Guelph’s AA Credit Rating is Confirmed

AA credit rating continues for Guelph

June 23, 2010 – Standard & Poor’s Ratings Services has confirmed that the City of Guelph has maintained its ’AA’ credit rating again this year.

The rating reflects Standard & Poor’s Ratings Services’ view that the City has promising long-term prospects, manageable debt, and adequate operating performance and liquidity.

“This rating is good news for Guelph as the economy continues to recover,” said the City’s Finance Director Margaret Neubauer.

Even with the expected increase in capital expenditures in 2010, Standard and Poor’s believes the planned expenditures are manageable and the City’s debt will remain under control. The City is committed to a disciplined and integrated long-term approach to capital planning and continues to adhere to a long-term financial plan guided by debt and reserve management policies.

This ’AA’ rating means the City can secure lower interest rates when issuing debt to finance large capital expenditures resulting in significant savings to the municipality.

Standard & Poor’s also expects Guelph to benefit from the increasingly diverse economies in Kitchener, Waterloo and Cambridge as the region evolves from a traditional concentration in manufacturing to a technology and service-based economy.

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Margaret Neubauer
City Treasurer, Director of Finance
T 519-822-1260 x 5606