Standard & Poor's Ratings Services said it lowered its underlying rating to AA-minus from AA on L'anse Creuse Public Schools, Mich.'s outstanding general obligation (GO) debt.
At the same time, Standard & Poor's assigned its AA-minus underlying and AA-minus program ratings to the district's series 2015 unlimited-tax GO refunding bonds. The outlook on the program rating is stable, while the outlook on the underlying rating is negative.
"The lowered underlying rating reflects our view of the district's weakened financial position following a multiyear structural imbalance in its general fund," said Standard & Poor's credit analyst Scott Nees, "coupled with declining enrollment and economic indicators that have softened overall the past several years."
