Hull's Outlook Goes Stable

Standard & Poor's revised its outlook on the general obligation bonds of Hull, Mass., to stable from negative. The agency also affirmed its AA-minus long-term rating on the town's GOs in connection with the planned sale of 2012 GO municipal purpose bonds.

"The outlook revision is based on the community's efforts and success in stabilizing its financial position," said Standard & Poor's credit analyst Victor Medeiros.

Hull, with a population of around 11,000, is a small residential suburb in Boston's South Shore on a peninsula that extends into Boston Harbor.

Standard & Poor's cited the town's access to state capital Boston; strong income levels, with median household effective buying income at 120% of the national level; extremely strong per capita market value despite recent decreases in real estate valuations; and low-to-moderate debt burden with limited capital needs.

"Despite these strong long-term fundamentals, the town has what we consider sizable long-term liabilities that if unaddressed could impair its long-term creditworthiness," Standard & Poor's said.

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