June 18, 2015 - Thunder Bay's strong budgetary flexibility, low debt burden,and exceptional liquidity has led Standard & Poor's Ratings Services to reaffirm the City`s "˜AA-' credit rating.

"We are very pleased the City's finances have once again been rated positively by Standard & Poors and performance improvements recognized," said Carol Pollard, City Treasurer/CFO & General Manager - Corporate Services & Long Term Care. "Administration, with direction and guidance from Council, takes its financial responsibilities very seriously. Thunder Bay remains committed to sound and thorough long-term financial planning, and this rating by Standard and Poor's reflects that."

The ratings also reflect Standard & Poor`s view of Thunder Bay's strong economy, and the "very predictable and well-balanced" institutional framework for Canadian Municipalities. Thunder Bay's average budgetary performance has improved in the past year according the Standard & Poor`s assessment.

Stable Outlook

The stable outlook reflects Standard & Poor's expectation that, in the next two years, Thunder Bay will maintain exceptional liquidity, with free cash and liquid assets in excess of 100% of next 12 months' debt service. The outlook also reflects Standard & Poor's expectation that the City's budgetary performance will remain average, with operating surpluses of above 5% of operating revenues and after-capital deficits close to current levels. A positive rating action is possible if strong revenue growth and significant cost containment result in a five-year average after-capital deficit smaller than 5%.

The financial guiding principles support the City's strategic objective of being one of the best-run cities in Canada. More information is available on the City's website at www.thunderbay.ca/performance

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Contact:  Carol A. Pollard, CPA, CGA, CMM III, City Treasurer/General Manager - Corporate Services &

                  Long Term Care, 625-2241