New Orleans’ Credit Rating Slashed by S&P on Financial Troubles
Bourbon Street in the French Quarter of New Orleans.
Photographer: Mario Tama/Getty ImagesS&P Global Ratings dropped its credit rating on New Orleans by one notch, as the city confronts one of the worst financial crises in its modern history.
The ratings firm lowered New Orleans to BBB+, the third-lowest level of investment grade, citing “structurally imbalanced operations, declining reserves and liquidity and the need to rely on multiple one-time measures to meet short-term cash needs,” according to a release. The outlook is still negative.