Standard & Poor’s boosts New Orleans’ bond rating to investment grade, move key to bond sale

S&P upgrades New Orleans’ bond rating

NEW ORLEANS — Standard & Poor’s Ratings Services has boosted its bond rating for the city of New Orleans to investment grade, significant for the city as it continues recovering from Hurricane Katrina.

After the 2005 storm, Standard & Poor’s rated the city at below-investment grade, and an upgrade was seen as critical to the city’s hopes of selling up to $80 million in bonds for infrastructure projects this year.

Fitch Ratings last week upgraded its investment grade rating and Moody’s Investors Service last month affirmed its investment grade rating.

What happens next will be up to the Board of Liquidation, City Debt. The board is likely to meet sometime in May to discuss how to approach a bond sale.