Fitch Ratings said it downgraded $21.21 million in outstanding village of Addison, Ill., general obligation bonds to AA-plus from AAA.

Fitch assigned an AA-plus rating to the village's $8.695 million GO refunding bonds, series 2013.

The bonds are expected to sell via negotiated sale the week of May 28. Proceeds are being used to refund a portion of the village's outstanding series 2006C and 2007 bonds.

The rating outlook is stable.

The bonds are secured by the village's full faith and credit and its ad valorem tax pledge, without limitation as to rate or amount.

The downgrade reflects Fitch's concerns about economic weakness as indicated by a recent accelerated decline in equalized assessed value and a continued elevated unemployment rate. Recent data show only a tepid recovery in the housing market.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.