Cleveland's 2016A&B Public Power Revenue Bonds Rated 'A-'; Parity Debt Ratings Affirmed

NEW YORK (S&P Global Ratings) Nov. 22, 2016--S&P Global Ratings has assigned its 'A-' rating and stable outlook to Cleveland'sproposed revenue bonds issued for Cleveland Public Power (CPP): $78.845 million public power system revenue refunding bonds, series 2016A; and $13.285 million public power system taxable revenue refunding bonds, series 2016B. At the same time, S&P Global Ratings affirmed its 'A-' ratings on the utility's $223 million of existing revenue bonds. S&P Global Ratings has calculated fixed charge coverage (FCC) of 1.1x for 2014 and 2015. "FCC strengthened following the utility's 2014 financing transaction that reamortized portions of debt to achieve a better alignment among revenues, expenses, and debt service," said S&P Global Ratings credit analyst David Bodek. The CPP pays

...NEW YORK (S&P Global Ratings) Nov. 22, 2016--S&P Global Ratings has assigned its 'A-' rating and stable outlook to Cleveland'sproposed revenue bonds issued for Cleveland Public Power (CPP): + $78.845 million public power system revenue refunding bonds, series 2016A; and + $13.285 million public power system taxable revenue refunding bonds, series 2016B. At the same time, S&P Global Ratings affirmed its 'A-' ratings on the utility's $223 million of existing revenue bonds. S&P Global Ratings has calculated fixed charge coverage (FCC) of 1.1x for 2014 and 2015. "FCC strengthened following the utility's 2014 financing transaction that reamortized portions of debt to achieve a better alignment among revenues, expenses, and debt service," said S&P Global Ratings credit analyst David Bodek. The CPP pays debt service from the electric system's net revenues. The bonds are solely an obligation of the utility and are not an obligation of the city's general fund. Bond proceeds will refund a portion...

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