The rating on Maine Municipal Bond Bank's bonds reflects the state of Maine's moral obligation pledge. Although the bonds are general obligations of the bond bank, payable from any of the bank's available assets, they are primarily secured by loan payments from participating local governments. There are 17 local governments participating in this financing. Ultimately, rating strength is provided by the bond bank's pledge to maintain a debt service reserve fund (DSRF) equal to maximum annual debt service (MADS) on all outstanding loans, or $101.4 million, including this issuance. If the bond bank's DSRF falls below the required MADS level, the governor must request the state legislature to appropriate necessary funds to replenish the reserve to its required level. This...
Companies mentioned in this report are:
- Maine Mun Bnd Bank
Action: New Rating
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
This product consists of a Summary Analysis: Bi-annual (at least). An abbreviated analysis containing Standard & Poor's issuer credit ratings as of the time the article was published. The analysis includes a rating rationale - the basis on which the rating was assigned - and an outlook section if the issuer is not on CreditWatch. Financial statistics are not included. SHOW LESS READ MORE >