Standard & Poor's Ratings Services assigned its 'AA' rating to the City of Knoxville, Tenn.'s series L-2005 gas system revenue refunding and improvement bonds, issued for the Knoxville Utilities Board (KUB). Additionally, Standard & Poor's affirmed its 'AA' long-term rating and underlying rating on the outstanding debt. The rating reflects the system's: Economically strong and growing service area, which serves as an employment anchor for an eight-county area in eastern Tennessee; Role as the sole distributor of retail gas within its service area; Rate mechanism, which passes through all of its wholesale market exposure monthly; Sound financial position, including good annual debt service coverage (DSC) and strong liquidity policies that mitigate the absence of a debt service reserve, which also...
Companies mentioned in this report are:
- Knoxville Utils Brd
Action: New Rating
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