PUD Bond Rating Upgraded
January 24, 2012 – Standard & Poor’s Rating Services (S&P) has raised its rating for Columbia River PUD’s electric system revenue obligations from “A Stable” to “A+ Stable”.
S&P listed the PUD’s strong debt service coverage, limited risk as a BPA customer, and stable, competitive rates among the reasons for the improved rating.
“Over the past five years, during a time of increasing power costs, high unemployment, and a struggling economy, we have exceeded our financial goals, provided reliable service, and kept rates affordable and stable,” said PUD General Manager Kevin Owens. “This rating upgrade reaffirms that our operations have been focused and effective.”
This is the second time in recent years that the PUD has received a rating upgrade. In December 2008, S&P raised the PUD’s rating from “A- Stable” to “A Stable”.
A credit rating is a tool that investors use when making decisions about purchasing bonds and other debt securities. S&P’s credit ratings range from AAA to D. The “A+ Stable” rating awarded to the PUD is an investment-grade rating that indicates that the utility’s capacity to meet its financial commitment on bond obligations is strong, and that the risk for investors is very low.