Posted at 12:56 p.m., Monday, August 6, 2007
Fitch assigns rating to upcoming Harbor Div. bonds
Advertiser Staff
Fitch Ratings has assigned an "A+" rating to the $51.9 million State of Hawaii harbor system revenue bonds, series A, that are expected to be sold later this month. Fitch also affirmed its "A+" rating on about $261 million in outstanding revenue bonds.The ratings agency said the rating reflects the strength of the state's underlying economy, the Harbor Division's natural monopoly position in providing essential maritime services for the movement of goods to and throughout the state, and a strong financial position.
It said offsetting the strengths of this credit are the economic sensitivity to any significant fluctuations in the tourism industry, unknown financial exposure related to payments to the Office of Hawaiian Affairs regarding the ceded lands on which a portion of the port system operates, a sizable and evolving capital program that will necessitate increasing leverage, and ongoing security and environmental concerns.
