Here is my response.. I must say that I feel this is unacceptable. Not only did this milestone take hours, but afterward I had to print it out and re-type it in. Big Tobacco bond... High Risk Junk Bond. Need I say more. Rating Caa/Ca/C CCC/CC/C Junk Highly Speculative. State Mdy S&P Qnt Description coupon mat ytm/wcy price OH Caa1 B- 715 Bckeye OH Tob Set 5.125 6/01/2024 5.382 98.500 http://www.obm.ohio.gov/BondsInvestors/doc/tobacco/auditedfinacialStatements/Audited-Financial-Statements_fy2016.pdf Q. List at least three financial factors for each organization that you feel are the reasons for the analyst ratings. A. According to page 5: 1. Though assets show an increase 2016 2015 Change Total Assets 899,013,199 885,349,783 13,673,416 Deferred State Payments are Deferred State Payments 4,331,332,390 4,406,566,813 -1.7% Wow talk about being behind in payment, and they are still pilling up. 2. Bonds Payable 5,570,667,680 5,561,795,212 0.2% Total Liabilities 5,601,535,795 5,589,711,560 This tells me that though they cannot pay the bills they have already, they primarily subsidizing they're liabilities by the sale bonds. They seem to be scrambling as the ship goes down. As proof page 26 shows the long term debt that was reconciled in the financial statements as Bonds Payable (5,570,667,680)(2016) (5,598,688,384)(2015) 3. Page 11 shows Fund Balance/Net Position, End of Year 2016 Reconciliation 4,755,310,060 (5,126,510,266) that is a change of (371,200,206) They are 5 billion dollars in debt; they are not paying their payments and the debt is growing. If it were not for this bit of inventive bookkeeping it would show them in the red. Q. Do you agree or disagree? Why or why not? A. Yes I agree. I do not expect to see them around for much longer. They are going further in debt by the second, and they are making little effort to pay. Q. Would you personally invest in the organizations by buying the bonds? Why or why not? A. I found this clip a little further in the statements. "No payments will be made with respect to first subordinate bonds, including the series 2007B Bonds, before all senour bonds, including the Series 2007A Bonds, are paid or redeemed in full. NO payments will be made with respect to second subordinate bonds including the Series 2007C Bonds, before all senior bonds, including the Series 2007A Bonds and the first subordinate bonds, including the Series 2007B Bonds, are pad or redeemed in full." So why would I ever invest in something where I am on the bottom of a very long list of people who already are not getting paid? Next Bond This is a County Bond Rating Aa AA Investment High Quality State S&P Qnt Disc. Cupon Maturity ytm price TX AA 75 Kaufman Cnty Frsh Wtr 3.000 09/01/2021 2.000 104.068 http://windmillfarmsservice.org/finacialStatements.aspx Q. List at least three financial factors for each organization that you feel are the reasons for the analyst ratings. 1. Looking at page 5 it is seen that revenues are going up. 2016 2015 change Net Investment in Capital Assets 1,595,516 1,467,333 128,183 2. Further, though there has been a change in investment capital The Total net position shows much less. Total Net Position. 781,298 375,165 406,133 This shows a 104,000 dollar increase already. This is great financial management. 3. Page 39 shows that for the last 5 years the levied taxes (their revenue) has not only gone up but they are maintaining a 98% collection rate. They are really good at getting their money! these are by no doubt some of the reasons that the Bod is rated AA Q. Do you agree with the analyst ratings? Why or why not? A. Yes after looking at the financial papers I agree with the rations. Tough levied pretty well this county is growing, this in turn increases county revenue. Since they have a collection rate of above 98% every year this is a good gamble. Q. Would you personally invest in the organization by buying the bonds? Why or why not. A. This is low yielding but safe. If I had the money to invest I might do so. Note... this milestone was a lot of work....