In their findings, both agencies cited Roswell’s strong financial position and good management practices in awarding the AAA bond rating. In awarding the rating, the agencies also mentioned Roswell’s very strong residential community and sound commercial base, strong wealth and income levels, low unemployment, the city’s low overall debt, written financial policies and historical practices, and a well-funded benefit pension for employees.
“We expected the rating agencies to come back with the AAA bond rating,” said Mayor Jere Wood. “The city of Roswell is one of the best managed cities in the state and maintaining our AAA bond rating through these tough economic times reflects that. Only one other city in the state of Georgia holds an AAA credit rating from both Moody’s and Standard and Poor’s so we are very pleased with the news.”
Moody’s and Standard & Poor’s credit ratings express each agency’s opinion about the ability and willingness of an issuer, such as the city of Roswell, to meet its financial obligations in full and on time. Each agency applies its own methodology in measuring creditworthiness and uses a specific rating scale to publish its ratings opinions. The ratings serve as a useful tool for investors and market participants to gauge credit risk.