BRADENTON, Fla. - Moody's Investors Service yesterday downgraded Jefferson County, Ala.'s $3.2 billion in outstanding sewer revenue warrants to Baa3 from A3.

The rating action concerns the county's highly complex and leveraged sewer enterprise program, of which more than $3 billion is in auction- and variable-rate warrants. Moody's said the program, which includes a series of swaps and overlapping swaps, is a unique, risky, and highly leveraged structure.

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