On Aug. 25, 2003, Standard & Poor's Ratings Services affirmed its 'BB+' corporate credit rating and 'BB+' senior unsecured rating ($175 million senior unsecured notes, of which $148 million remains outstanding) on Tanger Factory Outlet Centers Inc. (Tanger) and its operating partnership, Tanger Properties L.P. The outlook is stable. The rating affirmation acknowledges Tanger's success to date in repositioning its portfolio toward a more stable and upscale tenancy base, reflected in the company's improved cash flow and coverage measures. These strengths continue to be offset by the mixed quality and performance trends within the company's relatively small and more concentrated portfolio of assets, and an above-average level of encumbered net operating income (NOI) that somewhat constrains financial flexibility. Greensboro, N.C.-based
