Given that the project will reach full production within the next month and that the lenders have a gross revenue pledge
, Standard & Poor's is comfortable affirming the rating at triple-'B' and maintaining the stable outlook.
The bonds are secured by a gross revenue pledge
which includes tuition and unlimited student fees.
Though certificates are first secured by assessment levies, they are ultimately secured by a gross revenue pledge
on virtually all flood control system revenues, which includes the district's portion of the county 1% property levy allocated to flood protection.
The trust indenture for the current bonds economically creates a gross revenue pledge
for the senior bonds, after payments to an operating reserve.
AHS sells a portion of its accounts receivable, currently $425 million, which is not included in the gross revenue pledge
and which reduce bondholders' security interest.
The bonds are supported by a gross revenue pledge
, mortgage lien, and debt service reserve fund.
Still, despite the gross revenue pledge
, rate-setting process, and strong bankruptcy protection language, the authority will face economic, operational, and political risks similar to other utility systems.
The security for the 2006 bonds remains a gross revenue pledge
Legal documents evidencing a gross revenue pledge
that, following payment of project operating expenses, will pay senior debt service, replenish reserves, and other fees, and
STRONG FINANCIAL PERFORMANCE BUT HIGH EXPENSE PROFILE: Despite the gross revenue pledge
, Fitch calculates senior and combined debt service coverage net of operating and capital expenses to be at least 2.
The bonds are secured by a Housing Assistance Payment contract from the Department of Housing and Urban Development for 87%, or 41 of 47, of the units and a gross revenue pledge
The port's senior revenue bonds are secured by a gross revenue pledge
of all port revenues, including the aviation (Oakland International Airport), maritime (Oakland Seaport), and commercial real estate divisions.