Research Update: Outlook On Metropolitano de Tenerife Revised To Negative After Similar Action On Spain; ?A/A-1? Ratings Affirmed

On Sept. 18, 2020 we revised our outlook on Spain to negative from stable. We consider Metropolitano de Tenerife, S.A (MTSA) to be a government related-entity (GRE) of the Cabildo de Tenerife (Cabildo; local government), and we believe MTSA would almost certainly receive extraordinary support from the Cabildo in case of financial distress. We do not believe the Cabildo's creditworthiness could be above Spain's, nor do we think that MTSA's creditworthiness could be stronger than that of the Cabildo, from which it receives ongoing support. We are therefore revising our outlook on MTSA to negative from stable and affirming our long- and short-term issuer credit ratings at 'A/A-1'. On Sept. 25, 2020, S&P Global Ratings revised its outlook on MTSA

...- On Sept. 18, 2020 we revised our outlook on Spain to negative from stable. - We consider Metropolitano de Tenerife, S.A (MTSA) to be a government related-entity (GRE) of the Cabildo de Tenerife (Cabildo; local government), and we believe MTSA would almost certainly receive extraordinary support from the Cabildo in case of financial distress. - We do not believe the Cabildo's creditworthiness could be above Spain's, nor do we think that MTSA's creditworthiness could be stronger than that of the Cabildo, from which it receives ongoing support. - We are therefore revising our outlook on MTSA to negative from stable and affirming our long- and short-term issuer credit ratings at 'A/A-1'....

Research Update