Research Update: Tanger Factory Outlet Centers Inc. Downgraded To 'BBB' From 'BBB+' On Weaker Projected Operating Metrics; Outlook Stable

Tanger reported guidance for occupancy, same property net operating income (NOI), and tenant bankruptcies that is weaker than our previously forecast expectations for 2019. On Feb. 15, S&P Global Ratings lowered its issuer and issue-level ratings on Tanger to 'BBB' from 'BBB+'. Despite soft operating trends, we believe the company will continue to generate solid free operating cash flow and has limited debt maturities and funding needs for capex. We improved our assessment of liquidity to strong. The stable outlook reflects our expectation that, even though the operating environment will likely remain challenging for Tanger over the next 12 to 24 months, the company will be able to successfully manage the tenant disruptions while maintaining stable credit protection measures for

...+ Tanger reported guidance for occupancy, same property net operating income (NOI), and tenant bankruptcies that is weaker than our previously forecast expectations for 2019. + On Feb. 15, S&P Global Ratings lowered its issuer and issue-level ratings on Tanger to '###' from '###+'. + Despite soft operating trends, we believe the company will continue to generate solid free operating cash flow and has limited debt maturities and funding needs for capex. We improved our assessment of liquidity to strong. + The stable outlook reflects our expectation that, even though the operating environment will likely remain challenging for Tanger over the next 12 to 24 months, the company will be able to successfully manage the tenant disruptions while maintaining stable credit protection measures for the next two years....

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