Credit Agencies Signal Growing Confidence in Pittsburgh Water with Positive Outlooks

Moody’s Ratings and S&P Global Ratings have both affirmed positive outlooks for Pittsburgh Water
A group of individuals in high visibility construction gear standing in front of a large brick building, the Highland Reservoir Pump Station Investments like the Highland Reservoir Pump Station, pictured here in December 2025, reflect Pittsburgh Water’s long-term approach to strengthening infrastructure and financial stability.

February 9, 2025

Pittsburgh, PA - Pittsburgh Water has received Positive outlooks on its credit ratings from both Moody’s Ratings and S&P Global Ratings, reflecting strong financial management and continued confidence in the utility’s ability to fund critical infrastructure investments.

The agencies affirmed Pittsburgh Water’s strong underlying credit ratings – A2 from Moody’s and A+ from S&P – and cited steady financial performance, improving regulatory relationships, and disciplined execution of capital projects as key drivers behind the outlook upgrades.

“The recent outlook upgrades from both Moody’s and S&P are further validation that our leadership team and Board of Directors are managing public finances responsibly,” said Pittsburgh Water CEO Will Pickering. “By continuing to manage our investments effectively, we will strengthen our vital public infrastructure and ensure reliable service for generations to come,” he continued.

The ratings were announced as Pittsburgh Water prepares to issue approximately $125.6 million in new bonds to support its capital improvement program.

What the rating agencies highlighted

According to S&P Global Ratings, the positive outlook reflects expectations that Pittsburgh Water will: 

  • Continue successfully delivering major capital projects 
  • Maintain strong financial metrics during an intensive investment period 
  • Strengthen its working relationship with the Pennsylvania Public Utility Commission 

S&P also noted that there is a one-in-three chance of a future credit rating upgrade over the next two years if current performance trends continue. 

Moody’s Ratings cited: 

  • Consistent financial results supported by strong management 
  • Solid debt service coverage and liquidity levels 
  • A clear commitment to making the investments needed to modernize aging infrastructure 

Moody’s stated that a future upgrade could occur if coverage and cash reserves remain stable while Pittsburgh Water moves through the most capital-intensive phase of its improvement plan. 

Long-term financial progress 

Since 2018, Pittsburgh Water has steadily strengthened its credit profile: 

  • Moody’s: One credit rating upgrade and three outlook upgrades, now A2 with Positive outlook 
  • S&P Global Ratings: One credit rating upgrade and one outlook upgrade, now A+ with Positive outlook 

“These positive outlooks reflect years of deliberate financial planning and operational improvements,” said Edward Barca, Pittsburgh Water’s Director of Finance. “They reinforce our ability to invest in critical infrastructure while maintaining financial stability and affordability for our customers.”

Pittsburgh Water’s capital improvement program exceeds $1 billion and focuses on replacing aging infrastructure, improving system reliability, and meeting regulatory requirements that protect public health and the environment.

For more information about Pittsburgh Water’s financials, including its Capital Improvement Program and Operating Budget, please visit pgh2o.com/finance.