MULLICA BOND RATING FROM MOODY -- Baa1

Insights into the fiscal health and mangement, or lack there of, of Mullica Township after over a decade of Republican control raise some legitimate questions whether it is not way past time for change in Mullica. The Bond rating which is indicative of the judgement by the bond market of how will a community is being run in terms of its financial health seems to raise serious questions about the Republican leadership despite substantial tax increases over the long period of Republican dominance in the town and what are some of the highest property taxes and least services compared with other towns in Atlantic County.

Insight in to Moody’s rating shows that their assessment of the “Best Quality’ bonds at Aaa, next in their rating system are bonds they rate respectively at “Aa1, Aa2, and Aa3 as “High Quality” and then there ratings system goes down to ‘Upper Medium Grade with bond offerings at A1, A2 and A3.

The Baa1 rating of Mullica Municipal Bonds recently is just above what Moody’s describes as ‘speculative.’

"Aaa" - Bonds rated Aaa are judged to be of the best quality. They carry the smallest degree of investment risk. Interest payments are protected by a large or by an exceptionally stable margin and principal is secure. While the various protective elements are likely to change, such changes as can be visualized are most unlikely to impair the fundamentally strong position of such issues.

"Aa" - Bonds which are rated Aa are judged to be of high quality by all standards. Together with the Aaa group they comprise what are generally known as high grade bonds. They are rated lower than the best bonds because margins of protection may not be as large as in Aaa securities or fluctuation of protective elements may be of greater amplitude or there may be other elements present which make the long-term risks appear somewhat larger than in Aaa securities.

"A" - Bonds which are rated A possess many favorable investment attributes and are to be considered as upper medium grade obligations. Factors giving security to principal and interest are considered adequate, but elements may be present which suggest a susceptibility to impairment sometime in the future.