Finance: Long Beach, Palm Beach, Trois-Rivières
Long Beach Port Maintains Strong Bond Rating
Fitch Ratings has affirmed the Port of Long Beach’s "AA" rating on its outstanding debt.
Fitch said the AA rating was warranted by the port’s strong market position; resilient, long-term revenues from tenants; and the port’s robust ability to service its debt.
The rating agency said that the port’s $3.2 billion capital improvement program through fiscal year 2026 ensures a competitive position in the future. "Strong financial metrics" and "considerable liquidity" are expected throughout the plan’s duration.
The agency affirmed the AA rating for $867.6 million in outstanding bonds and an "AA-" rating on an existing, yet to be issued $325 million Transportation Infrastructure Finance and Innovation Act loan.
Trois-Rivières Reports Positive Balance for 2015
Net income of C$1.5 million was among the achievements of 2015 highlighted by the Trois-Rivières Port Authority at its annual meeting on May 26. Additionally, reported Port Authority Chair Cléo Marchand, "We welcomed 203 ships carrying 3.0 million metric tons of merchandise. International cruise ship traffic in the meanwhile continued to make strong progress, with 16 calls and 7,000 passengers."
Gaétan Boivin, the port authority’s president and chief executive officer, noted "work is moving forward on the $35 million investment we made in infrastructure in 2015. That is in addition to the expenditure of C$15 million by port users for handling equipment."
These projects include rebuilding Dock 13, consolidating Dock 14 and constructing the storage area located alongside these docks, and the roads and train tracks that provide access to these facilities. Its surface area will be approximately 5.81 acres. The improvement planned for Terminal 13 will increase outdoor storage space at the docks by 40 percent. The port also invested $80,000 in the construction of a new passenger terminal, which officially opened just last month.
The port authority’s Annual Report 2015 provides a comprehensively review of the business year.
Port of Palm Beach Receives Upgraded Fitch Rating Outlook
Fitch Ratings has revised upward from "stable" to "positive" the rating outlook on approximately $9.72 million of outstanding Port of Palm Beach District revenue bonds, series 2005.
Fitch said the positive outlook recognizes the port's continued improvement in debt service coverage ratios to a four-year average of 1.75x and robust liquidity position of over 300 days cash on hand since 2010 – indicators of the port’s improved financial capacity to cope with volatile economic conditions.
"It has been a pleasure to watch the port rebuild and fortify its financial strength and stability," explains Port District Wayne Richards. "Since the 2008 recession, the port has restructured its operating profile, bringing in its most profitable multi-day cruise to date and lengthening the durations of its terminal and operating leases."
These changes, the result of strong business development initiatives and contract negotiations, have been paired with robust cash balances, a fully-liquidity funded capital plan supported by operating cash flow and grants from the Florida Department of Transportation, and a tenant base that continuously exceeds minimum annual guarantees.
Port operating revenues grew at a compounded annual rate of approximately 5 percent between fiscal years 2008 and 2015. Operating revenues so far this fiscal year exceed last year’s 17.2 percent, thanks in part to a more than 50 percent increase in sugar, molasses and breakbulk cargo commodities.
"It has been a pleasure to watch the port rebuild and fortify its financial strength and stability," explains Port District Wayne Richards. "Since the 2008 recession, the port has restructured its operating profile, bringing in its most profitable multi-day cruise to date and lengthening the durations of its terminal and operating leases."