Downgrades

Financial hits to Atlantic City's hospitality industry from state limitations aimed at curbing the spread of COVID-19 are hindering a state agency reliant on luxury tax revenues to pay debt service on outstanding bonds.

The transit agency — its revenues battered, its credit standing weakened and with no federal rescue aid in sight — looks to borrow its remaining $2.9 billion available through the Municipal Liquidity Facility.

The two-notch lowering to A-minus precedes the transit agency's planned $258 million negotiated sale of transportation revenue refunding green bonds.

The transit authority, reeling from the effects of the coronavirus, takes another hit from Wall Street.

New York State’s first credit downgrade in 17 years is a warning that fiscal changes will be necessary to combat its coronavirus-induced budget crisis, according to observers.

Bond analysts and budget watchdogs say the move underscores the need for the de Blasio administration to look within for efficiencies, even if it receives more federal or state help.

The rating agency lowered GO and other credits, citing the effects of the coronavirus.

Fitch questions Buffalo, N.Y's revenue estimates and says the pandemic forced the city to use much of its reserves.

The drop in tourism amid the coronavirus pandemic has resulted in a downgrade of Hawaii's ratings by Moody’s Investors Service affecting $9 billion in outstanding debt ahead of the state’s plans to price $900 million of taxable bonds Wednesday.

Fewer fliers due to the coronavirus pandemic sparked a second downgrade to Port Authority of New York and New Jersey-issued bonds sold for Kennedy Airport.

The ratings on the Louisville, Kentucky's KFC Yum! Center bonds were lowered to BBB-plus by S&P because of expected operational difficulties.

Moody's Investors Service cut the Catholic college in New Jersey to Baa1 citing its rising debt burden.

Declining state support and COVID-19-related funding pressures triggered a second downgrade to New Jersey City University in advance of a $52 million borrowing.

An indefinite closure of New York retail businesses during the COVID-19 pandemic added credit pressure on revenue bonds issued for the state’s largest mall.

The Fitch downgrade to A-plus from AA-minus affects nearly $2 billion in debt.

Moody's downgrades regional public university two notches to Baa3 ahead of a $52 million revenue refunding bond sale.

The COVID-19 pandemic has dragged the tourist city to the verge of junk status.

Size, timing and structure hinge on market variables, senior manager Jefferies said.

The historic nature of how ratings for municipal issuers play out in times of severe volatility is under scrutiny from various market participants.

Debt restructuring options as the transit agency navigates through the coronavirus crisis include refundings for savings or to push out debt, according to Robert Foran.