Standard & Poor’s Global Ratings (S&P) raised its long-term ratings from “AA-”to “AA” on the Port of Tacoma's senior-lien port revenue bonds and from “A+” to “AA-” on the Port's subordinate-lien port revenue bonds. In addition, S&P affirmed its “AA” rating on the Port's limited-tax general obligation (GO) bonds and its “AA+/A-1” long-term component rating.
The rating actions reflect the application of S&P’s Transportation Infrastructure Enterprise Criteria and their view of the Port’s very strong market position, extremely strong service area economic fundamentals, low industry risk and very strong management and governance, with an experienced management team that enforces prudent financial policies.
Credit ratings are forward-looking opinions about credit risk and express the agency's opinion about the ability and willingness of an issuer, such as a governmental agency, to meet its financial obligations in full and on time. The high bond ratings help ensure that future Port debt will be issued at the lowest possible interest expense and cost to taxpayers. High ratings also allow for the potential to refinance outstanding debt at lower interest rates, saving taxpayers' money over the term of a bond.
“We are very pleased that S&P has raised the Port’s revenue bond ratings,” said Dick Marzano, Port of Tacoma commission president. "These ratings affirm the commitment by the Port commission and staff to our strong financial and budget practices and history of prudent financial management and strategic investments."
About the Port of Tacoma
The Port of Tacoma is an economic engine for South Puget Sound. More than 29,000 jobs are generated by port activity, which also provides $195 million per year in state and local taxes to support education, roads and police and fire protection for our community. As a partner in The Northwest Seaport Alliance, the Port of Tacoma is also a major cargo gateway to Asia and Alaska.