NASHVILLE, Tenn. (AP) -- Moody's Investors Service has downgraded Metropolitan Nashville's credit rating, citing the city's "above average debt burden," among other things.
The Tennessean reports Moody's announced late Monday that it has downgraded Metro's $2.2 billion in outstanding general obligation bonds from an AA1 rating to the next-highest level, AA2. Moody's indicated the AA2 rating is still strong.
Metro Finance Director Rich Riebeling said Nashville remains in a strong position and wouldn't be deterred from borrowing to finance projects such as a proposed bus rapid transit line. Riebeling said he is comfortable that Metro has the resources to pay off its debt.
Moody's also downgraded the Metro Sports Authority's outstanding debt from AA2 to AA3. That includes a $157 million and a $419 million series of Metro Convention Center Authority bonds.
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