Ratings

Most Recent Ratings

$700,000,000 Commonwealth of Massachusetts General Obligation Bonds Consolidated Loan of 2014 Series F & Consolidated Loan of 2014 Series G (Federally Taxable)

FITCH: AA+

MOODY'S: Aa1

S&P: AA+

Bond ratings are an independent opinion of the general creditworthiness of an obligor, such as the Commonwealth, based on relevant risk factors.

Ratings are based on an issuer's ability to repay fully the principal and interest of its short-term or long-term debt obligations on a timely basis. When it goes to market to sell bonds or notes, Debt Management usually asks the three largest rating agencies, Fitch Ratings, Moody's Investor Services, and Standard & Poor's, to assign the security it is selling with a rating.

Ratings are expressed by a letter grade symbol, such as 'AAA', at the time a bond or note is sold. These ratings are monitored and updated throughout the life of that security to reflect changes in the issuer's credit position. The rating scale for investment grade bonds starts at 'AAA' and goes through 'BBB', with 'AAA' being the highest rating reflecting the strongest creditworthiness and 'BBB' representing the lowest or weakest in terms of credit strength.

The Commonwealth's current rating on its General Obligation (GO) Bonds are 'AA+/Aa1/AA+' from Fitch, Moody’s and Standard & Poor’s, respectively. This is the highest set of ratings the Commonwealth has ever had.

In general, rating agencies assign a GO rating based on four main factors: the issuer's economy, the issuer's financial position, the issuer's current/future debt burden and pension liabilities, and management. The Commonwealth of Massachusetts current GO bond ratings are:

Current Massachusetts General Obligation Credit Ratings

Type of Security

Fitch

Moody's

Standard & Poor's

General Obligation Bonds

AA+

Aa1

AA+

Short-Term General Obligation Notes

F1+

MIG 1

SP-1+

Commonwealth Transportation Bonds N/A AAA Aaa
Grant Anticipation Notes AA+ Aa1 AAA
Gas Tax Bonds AA Aa1 AAA
Convention Center Bonds N/A A1 A

The Commonwealth is currently covered by the following analysts:

Contacts of Rating Analysts

Coverage Analyst Name Contact Info
Laura Porter

Fitch Ratings
(212) 908-0575
laura.porter@fitchratings.com

David Hitchcock

Standard & Poor’s
(212) 438-2022
david.hitchcock@sandp.com

Lisa Heller Moody’s
(212) 553-7812
lisa.heller@moodys.com