The ratings on the Region of Champagne-Ardenne, in northeastern France, primarily reflect the region's robust operating results, above-average financial flexibility, fairly wealthy economy, and improved infrastructure. These factors are tempered by rapid debt accumulation, mostly fuelled by the region's ambitious capital program. Over the past three years, Champagne-Ardenne has kept on top of its new responsibilities, maintaining a high operating margin in absolute terms, mainly by using its above-average tax levying power. The 20% budgetary increase associated with these new responsibilities has, however, caused the region's operating margin to decrease in relative terms, to 28.2% of operating revenues in 2005, from 36% in 2003. Champagne-Ardenne is likely to maintain this robust operating margin by further tapping its fiscal flexibility, in...
Companies mentioned in this report are:
- Champagne-Ardenne (Region of)
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