Fitch lowers Tohopekaliga Water, Fla., bonds to A+

Fitch Ratings said it downgraded the long-term rating assigned to the $92.395 million Tohopekaliga Water Authority (Florida) Utility System variable-rate revenue bonds, series 2007, to A+ and assigned a short-term rating of F1+ to the bonds.

The revision is in connection with the provision of an irrevocable, direct-pay letter of credit issued by Landesbank Hessen-Thuringen Girozentale, acting through its New York branch (Helaba), securing the bonds.

Fitch currently rates The Tohopekaliga Water Authority (TOHO) AA-.

The bonds were initially issued in an auction-rate mode with the support of an insurance policy provided by CIFG Assurance North America. On April 10, the bonds were called for mandatory tender in connection with the rate mode conversion from auction rate to variable rate. Pending remarketing, the bonds are being held for the account of TOHO.

The remarketing of the bonds is scheduled for May 22, at which time the insurance policy will be cancelled and the bonds will be supported solely by the LoC.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.