Moody's Investors Service said it has upgraded to Ba3 from Caa3 the rating on Jefferson County, Ala.'s $89.6 million in outstanding Series 2003-A and 2004-A general obligation limited tax debt, to B1 from Ca the rating on $78.4 million in outstanding lease revenue warrants issued through the Jefferson County Public Building Authority and to Ba3 from B3 the rating on $726 million in outstanding limited obligation school warrants.
Moody's has also upgraded to Ba3 from Caa3 the county's outstanding issuer rating.
The issuer rating incorporates Moody's assessment of the county's implied unlimited general obligation pledge; the outlook on all of the warrants is stable.
The rating upgrades to Ba3 and B1 on the general obligation and lease revenue debt reflect the county's recent exit from Chapter 9 bankruptcy.
The upgrades acknowledge the substantial structural improvements that the county has made in terms of its debt and operating cost structure, the restoration of financial reserves, and the relative strengths of its economic base.
Moody's said it also upgraded to Baa1 from Ba3 the rating on the Birmingham-Jefferson Civic Center Authority's (BJCCA) $28.5 million Special Tax Bonds, Series 2005-A; the outlook is stable. The Baa1 rating affects $28.5 million of outstanding debt.
