Moody’s Downgrades Suffolk County’s Bond Rating
NEW YORK (AP) - Suffolk County’s budget problems are causing some mild concern on Wall Street.
Moody’s Investors Service has reduced the county’s bond rating from Aa2 (double-A 2) to A1.
The rating is still considered above average. But Moody’s spokesman David Jacobson tells Newsday that the agency has also given Suffolk bonds a negative outlook. That means there could be another downgrade in the future.
Jacobson says the drop is related to the county’s tight cash flow and a deficit in its operating budget.
A lower bond rating could mean that it costs the county more to borrow money.
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