...S&P Global Ratings affirmed its '##' issuer credit rating (ICR) on the Iowa Finance Authority (IFA). The outlook is positive. At the same time, we affirmed our '##' and '##/A-1+' ratings on the authority's general obligation (GO) and variable-rate debt. The rating is based on our opinion of the authority's rebuilding of its balance sheet to levels that demonstrate the following strengths: + Increasing net equity position over the last five years demonstrating solid performance and sound management; + High-quality and low-risk asset base which consists primarily of '##+' rated mortgage-backed securities (MBS); + Very low amount of nonperforming assets (NPAs), constituting a small percentage of total loans; and + Strong management. Offsetting those strengths, in our view, is the authority's profitability, which, while up in 2017, has shown signs of volatility due to changes in net grant income. IFA has demonstrated solid financial strength, ability to implement strategic objectives, and continued...
