BRADENTON, Fla. – New Orleans received a second upgrade Monday as it prepares to price a general obligation bond deal.
Fitch Ratings raised both the city's GO bond ratings and issuer default ratings two notches to A-plus from A-minus.
The upgrades are a result of Fitch's revisions to its criteria for U.S. state and local governments in April, as well as well New Orleans' "sound revenue growth prospects and a manageable liability burden," said analyst Steve Murray.
"The city's economy continues to perform well, as evidenced by recent gains in economically sensitive revenues," Murray said. "Reserves are now at satisfactory levels."
S&P Global Ratings last week upgraded New Orleans to AA-minus from A-plus.
The $50 million in GO refunding bonds are expected to price Wednesday with Bank of America Merrill Lynch as the book-runner.
Moody's Investors Service affirmed its A3 rating.
All three rating agencies have stable outlooks.
