Fitch rates Danbury, Connecticut's (the city) $20 million general obligation (GO) bonds, Issue of 2008 'AA+'. In addition, Fitch assigns a short term 'F1+' rating to $74.345 million of the city's bond anticipation notes (BANs). The bonds and BANs are scheduled for competitive sale on July 23, 2008. The bonds are dated August 1, 2008 and mature serially on August 1, 2009-2028. The BANs mature on August 1, 2009. Fitch also affirms the city's $137 million in outstanding GO bonds at 'AA+' and the $66 million in outstanding BANs at 'F1+'. The Rating Outlook is Stable.
The 'AA+' rating reflects Danbury's considerable and diversifying economic base, low debt levels, and healthy financial reserves. The city's prudent financial practices in the areas of debt limitations, fund balance preservation, and conservative budgeting should continue to ensure maintenance of healthy financial flexibility. Employment and business investment have continued to trend upward in the city. While the city still maintains a concentration in manufacturing employment, there has been a significant shift in employment to the education and health care and professional and business services sectors as well as to the financial sector.
