MOODY'S LOWERS CITY OF DALLAS, TEXAS, GENERAL OBLIGATION BOND RATING FROM 'Aaa' to 'Aa1'
MOODY'S LOWERS CITY OF DALLAS, TEXAS, GENERAL OBLIGATION BOND RATING FROM 'Aaa' to 'Aa1' NEW YORK, Oct. 26 /PRNewswire/ -- Effective today, Moody's announced the lowering of the general obligation bond rating for the City of Dallas from "Aaa" to "Aa1". In adjusting the rating, Moody's noted, "Very high quality security remains as management continues to demonstrate its ability to respond to fiscal challenges resulting from a still soft economy. However, persistent and substantial reductions in taxable values as well as slowed growth in sales tax revenues have left the city somewhat weakened from its previous 'Aaa' prime quality position. City management has responded well with the successful implementation of substantial expenditure reductions including a 20 percent decline in the General Fund non-uniformed workforce. In addition, the city raised the property tax rate in three of the last five years, allowing for the retention of both essential services and operating reserves. While management is expected to continue to craft creative measures to promote fiscal balance, its options may now be somewhat limited by virtue of the notable actions taken to date." -0- 10/26/92 /CONTACT: Jeffrey F. Rizzo, vice president/managing director - Regional Ratings, 212-553-0354; Chris Evangel, vice president - Southwest Region, 212-553-1927; or Steve Levine, assistant vice president/supervisor - Southwest Region, 212-553-4097, all of Moody's Public Finance Department/ CO: City of Dallas ST: Texas IN: SU: RTG
GK-OS -- NY095 -- 4969 10/26/92 15:29 EST
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|Date:||Oct 26, 1992|
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