Attorney General Brenna Bird Urges Top Credit Ratings Agencies to Stop Using Unlawful Policies that Hurt Iowa Farmers

Attorney General Brenna Bird announced today she has joined a coalition of 23 states urging the top three credit rating agencies to stop using unlawful environmental, social, and governance ("ESG") policies in their credit rating process. The agencies-Fitch Ratings, Moody's, and S&P Global Ratings-have pledged to systematically incorporate the radical ESG agenda into credit ratings.

ESG policies push a radical environmentalist agenda and burden farmers with high costs and regulations, hurting food production, shrinking farmland, and driving up food prices.

"It is crucial for Iowa farmers to have fair access to credit and not have the leftist environmental agenda force them into unnecessary regulations, high costs, and decreased yields," said Attorney General Bird. "And Iowans should not pay higher prices for food because of those policies."

The letter raises a number of concerns about the ratings agencies' policies and practices. The letter asserts:

• The agencies have downgraded the credit ratings of fossil-fuel companies

• The agencies policies threaten to undermine the States' bond ratings

• The ratings agencies' methodology pushes companies to prioritize ESG factors

• The agencies are artificially increasing demand for their suite of ESG-related consulting services, an unlawful conflict of interest

• The agencies policies constitute an antitrust violation or otherwise violate the States' laws that ban unfair and deceptive trade practices

Joining Attorney General Bird in the letter are the attorneys general of Alabama, Alaska, Arkansas, Florida, Georgia, Idaho, Indiana, Kansas, Kentucky, Louisiana, Mississippi, Missouri, Montana, Nebraska, North Dakota, Ohio, Oklahoma, South Carolina, Texas, Utah, West Virginia and Wyoming.

The letter may be viewed in its entirety here.

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Jen Green | [email protected]