Actions based on assignment of counterparty risk assessments
New York, May 15, 2015 -- Moodys has upgraded the long term ratings of the debts listed below to
Aa3 from A1. Each of these debts is supported by a letter of credit
provided by Northern Trust Company (the Bank). The ratings are
based on the structure and legal protections of each transaction,
which provide for timely payment of amounts due bondholders, and
on Moody's long-term counterparty risk assessment of the
Bank, currently Aa3(cr). Each of these ratings was placed
under review for upgrade on March 17, 2015. The actions announced
herein conclude those reviews.
RATINGS RATIONALE
Moody's is not taking any action on the short-term ratings
of debts listed below. Moody's short-term counterparty
risk assessment of the Bank, currently P-1(cr), has
replaced the senior unsecured rating of the Bank as an input to the short-term
ratings of the debts listed below.
WHAT COULD CHANGE THE RATINGS UP OR DOWN
The long-term ratings of the debts listed below would be revised
up or down as a result of any change in Moody's long-term
counterparty risk assessment of the Bank.
CUSIP; Issuer
451905BZ5; Illinois Development Finance Authority
432321BG1; Hillsborough County Ind. Dev. Auth.,
FL.
353186Q69; Franklin (County of) OH
353186Q77; Franklin (County of) OH
088379MD1; Bexar County Housing Finance Corporation, TX
4520003G5; Illinois Educational Facilities Authority
452001QM5; Illinois Educational Facilities Authority
452001NA4; Illinois Educational Facilities Authority
451908RD1; Illinois Development Finance Authority
452000S60; Illinois Educational Facilities Authority
353186V22; Franklin (County of) OH
130911GW4; California Statewide Communities Dev. Auth.
67765QAN6; Ohio Water Development Authority
93978LBG0; Washington State Housing Finance Commission
696547CN6; Palm Beach (County of) FL
407272J20; Hamilton (County of) OH
45188R6F1; Illinois Development Finance Authority
00037CFH8; ABAG Finance Authority for Nonprofit Corp. CA
45200FZK8; Illinois Finance Authority
797391YJ2; San Diego (County of) CA
45200BKX5; Illinois Finance Authority
00037CGQ7; ABAG Finance Authority for Nonprofit Corp. CA
45200BRH3; Illinois Finance Authority
00037CHZ6; ABAG Finance Authority for Nonprofit Corp. CA
180858AW2; Clark (County of) NV
45200B3G1; Illinois Finance Authority
45200FLX5; Illinois Finance Authority
45200FMP1; Illinois Finance Authority
45200FMN6; Illinois Finance Authority
45200FJ91; Illinois Finance Authority
19645RNN7; Colorado Educational & Cultural Facs. Auth.
914353H34; Board of Trustees of University of Illinois
DEBTS RATED BASED ON JOINT SUPPORT FROM NORTHERN TRUST COMPANY AND THE
UNDERLYING OBLIGOR
Moodys has upgraded the long term ratings of the debts listed below to
Aa1 from Aa2. Each of the debts listed below is jointly supported
by a letter of credit provided by Northern Trust Company (the Bank) and
the underlying obligor. The ratings are based on the structure
and legal protections of each transaction, which provide for timely
payment of amounts due bondholders, Moody's long-term
counterparty risk assessment of the Bank, currently Aa3(cr),
Moody's rating of the underlying obligor and on Moody's assessment
of the joint probability of default by both the Bank and the underlying
obligor. These ratings were placed under review for upgrade on
March 17, 2015. The actions announced herein conclude those
reviews.
Moody's is not taking any action on the short-term ratings
of these debts. Moody's short-term counterparty risk
assessment of the Bank, currently P-1(cr), has replaced
the senior unsecured rating of the Bank as an input to the short-term
ratings of these debts.
WHAT COULD CHANGE THE RATINGS UP OR DOWN
The long-term letter of credit supported ratings of these debts
could be revised up or down as a result of a change in Moody's long-term
counterparty risk assessment of the Bank, Moody's long-term
rating of the underlying obligor or Moody's assessment of the joint
probability of default by both the Bank and the underlying obligor.
CUSIP; Issuer
13033LPD3; California Health Facilities Fin.Auth
60636ADS9; Missouri State Health & Educ. Facs.
Auth.
094833BA7; Bloomington-Normal Airport Authority, IL
452152UB5; Illinois (State of)
455057NJ4; Indiana Finance Authority
57583RWG6; Massachusetts Development Finance Agency
13033WQ97; California Infrastructure & Econ. Dev.
Bank
130795W45; California Statewide Communities Dev. Auth.
45200FSE0; Illinois Finance Authority
PRINCIPAL METHODOLOGY USED
The principal methodology used in this rating was Rating Transactions
Based on the Credit Substitution Approach: Letter of Credit-backed,
Insured and Guaranteed Debts published in March 2015. Please see
the Credit Policy page on www.moodys.com for a copy of this
methodology.
REGULATORY DISCLOSURES
For ratings issued on a program, series or category/class of debt,
this announcement provides certain regulatory disclosures in relation
to each rating of a subsequently issued bond or note of the same series
or category/class of debt or pursuant to a program for which the ratings
are derived exclusively from existing ratings in accordance with Moody's
rating practices. For ratings issued on a support provider,
this announcement provides certain regulatory disclosures in relation
to the rating action on the support provider and in relation to each particular
rating action for securities that derive their credit ratings from the
support provider's credit rating. For provisional ratings,
this announcement provides certain regulatory disclosures in relation
to the provisional rating assigned, and in relation to a definitive
rating that may be assigned subsequent to the final issuance of the debt,
in each case where the transaction structure and terms have not changed
prior to the assignment of the definitive rating in a manner that would
have affected the rating. For further information please see the
ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.
For any affected securities or rated entities receiving direct credit
support from the primary entity(ies) of this rating action, and
whose ratings may change as a result of this rating action, the
associated regulatory disclosures will be those of the guarantor entity.
Exceptions to this approach exist for the following disclosures,
if applicable to jurisdiction: Ancillary Services, Disclosure
to rated entity, Disclosure from rated entity.
Regulatory disclosures contained in this press release apply to the credit
rating and, if applicable, the related rating outlook or rating
review.
The below contact information is provided for information purposes only.
Please see the ratings tab of the issuer page at www.moodys.com,
for each of the ratings covered, Moody's disclosures on the lead
analyst and the Moody's legal entity that has issued the ratings.
Please see www.moodys.com for any updates on changes to
the lead rating analyst and to the Moody's legal entity that has issued
the rating.
Please see the ratings tab on the issuer/entity page on www.moodys.com
for additional regulatory disclosures for each credit rating.
Randy Matlosz
Analyst
Public Finance Group
Moody's Investors Service, Inc.
250 Greenwich Street
New York, NY 10007
U.S.A.
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Thomas Jacobs
Senior Vice President
Public Finance Group
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Releasing Office:
Moody's Investors Service, Inc.
250 Greenwich Street
New York, NY 10007
U.S.A.
JOURNALISTS: 212-553-0376
SUBSCRIBERS: 212-553-1653
Moody's upgrades long-term ratings of municipal VRDBs supported by Northern Trust Company