This report does not constitute a rating action. Overview Key strengths Key risks Very favorable regulatory framework, with the proven supportive stance of the company’s only shareholder, the Cabildo Insular de Tenerife (CIT), the island's government. Possibility of moderation in ridership growth if free tickets are phased out. Minimal funding costs, with all debt concentrated in a single bullet bond issued at very favorable rates; the entity holds a debt reserve fund to avoid refinancing risk. Exposure to volatility in electricity costs. Prudent and experienced management and technical team. S&P Global Ratings views Metropolitano de Tenerife S.A. (Metrotenerife) as an essential tool in implementing the CIT’s mobility strategy. The CIT owns and supervises Metrotenerife’s strategy and operations, which is essential
