MOODY'S ASSIGNS Aa' RATING TO $5.8 MILLION ALASKA HOUSING FINANCE CORP.
HOUSING DEVELOPMENT BONDS BASED ON GENERAL OBLIGATION PLEDGE NEW YORK, Nov. 15 /PRNewswire/ -- Effective yesterday, Moody's Investors Service assigned a "Aa" to the Housing Development Bonds of the Alaska Housing Finance Corporation (AHFC). The rating assignment was undertaken in conjunction with the sale of $5.8 million Housing Development Bonds, 1991 Series A (Stephens Park Project), the first series to be issued under this new indenture. Bond proceeds will be used to make a loan to Alaska Neighborhoods Housing Service in order to purchase and rehabilitate a 160 unit low income multifamily housing project. In assigning the rating Moody's noted that, "the Aa' rating is based on the strong debt service coverage provided by the net income generated by the corporation's sizable unrestricted fund balances and available financial resources. The successful track record and proven management ability of this large sophisticated issuer are also important credit factors." Moody's goes on to further say, "the rating reflects the creditworthiness of the general obligation pledge of AHFC and is not based on the quality of the multifamily mortgage expected to repay bonds." In April of this year Moody's assigned a "Prime-1" rating to the corporation's $150 million Euro Commercial Paper Program, also based on the AHFC's credit and financial resources available for note repayment. This makes AHFC the first state housing agency to obtain a long and short term rating based solely on its general obligation pledge. The commercial paper rating was confirmed in conjunction with the assignment of the housing development bond rating. AHFC currently has $3.5 billion of debt outstanding with unrestricted fund balances totalling $568 million and a combined fund balance of approximately $1.5 billion. All of this debt represents general obligations of the corporation, but the assigned ratings are based primarily on third party guarantees or assets specifically pledged under the respective indentures. -0- 11/15/91 /CONTACT: Peter Tommaney, vice president/manager, 212-553-4091, or Christopher Martin, assistant vice president, 212-553-4836, both of Moody's/ CO: Alaska Housing Finance Corp. ST: Alaska IN: SU: RTG FC-SB -- NY080 -- 1680 11/15/91 15:51 EST
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|Date:||Nov 15, 1991|
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