Suffolk credit downgraded, interest rates higher
Suffolk County has sold $62.3 million in long-term bonds at an annual interest rate of 3.61 percent for various construction projects in the wake of last week’s credit downgrading by Moody’s Investor Service. (Jan. 3, 2011) Credit: Photo by Ed Betz
Suffolk County has sold $62.3 million in long-term bonds at an annual interest rate of 3.61 percent for various construction projects in the wake of last week’s credit downgrading by Moody’s Investor Service.
The interest rate was higher than the 2.96 percent the county paid last fall for a similar borrowing for 20-year bonds. Christina Capobianco, chief deputy comptroller, said the bond rating played only a minor role and attributed most of the higher rate to increased interest in stock market investments and a weakening in the demand for bonds.
Moody’s last week reduced Suffolk’s bond rating from A1 to A2 and warned that future downgradings are possible if the county does not make progress in balancing its budget. However, two other major Wall Street rating agencies, Standard & Poor’s and Fitch Ratings, made no changes in the county’s ratings.
Citigroup led a consortium that won out over five other bidders.
'It's personal to me' The law would require businesses to have proper state licensing, prove that their employees are paid and ban staff from living at the spas or sleeping there overnight. Repeat offenders could face penalties up to $25,000. NewsdayTV's Shari Einhorn has more.
'It's personal to me' The law would require businesses to have proper state licensing, prove that their employees are paid and ban staff from living at the spas or sleeping there overnight. Repeat offenders could face penalties up to $25,000. NewsdayTV's Shari Einhorn has more.
