PORT AUTHORITY OF NEW YORK & NEW JERSEY $100 MILLION BONDS RATED
PORT AUTHORITY OF NEW YORK & NEW JERSEY $100 MILLION BONDS
RATED AA-' BY FITCH -- FITCH FINANCIAL WIRE --
NEW YORK, Nov. 15 /PRNewswire/ -- The Port Authority of New York and New Jersey's $100 million consolidated bonds, seventy-sixth series are rated AA-' by Fitch. The rating also pertains to $4 billion outstanding parity bonds. The credit trend is stable.
The Port Authority dominates the region as a transportation provider and expediter of commerce; its diverse operations are critical to the region's economic growth. Financial results have produced debt service coverage ranging from 1.81 times (x) - 2.18x over the past five fiscal years, as well as reserve levels in excess of $700 million over the same period. Solid management is evidenced by both these stable financial results and by proven long-term planning capabilities. The Port Authority's bistate nature can be politically unwieldy, and its operations are susceptible to economic cycles.
Operations at many of the Port Authority's facilities decreased during 1991's first six months. However, unaudited financial results for 1991's first six months remain solid due, in part, to the toll increase that was implemented in early April. The primary risk to the Port Authority continues to be that budget constraints could force the authority to put off essential capital maintenance and expansion projects. However, these longer-term concerns are offset by the authority's diverse operations and its continued sound financial position.
/CONTACT: Andrea R. Bozzo of Fitch, 212-908-0515/ CO: Port Authority of New York and New Jersey ST: New York, New Jersey IN: SU: RTG SM -- NY059 -- 1573 11/15/91 12:54 EST