Maryland Drops Moody's for Bond Ratings a Year After State Downgrade

Maryland has replaced Moody's Investors Service with Kroll Bond Rating Agency (KBRA) for its bond ratings.

The decision follows a downgrade by Moody's one year ago. Moody's lowered Maryland's rating from AAA to Aa1. This action ended the state's long-standing perfect rating streak.

Maryland Treasurer Dereck Davis cited a "toxic relationship" with Moody's as the reason for the change. State officials had publicly disagreed with the downgrade.

The state now relies on Fitch, Standard & Poor's, and KBRA. All three agencies currently rate Maryland's bonds at AAA.