Fitch Affirms ‘A’ Bond Rating, Stable Outlook for Canaveral
By Space Coast Daily // April 8, 2015
ABOVE VIDEO: Port Canaveral hosted six cruise ships at one time for the first time ever in February.
BREVARD COUNTY • PORT CANAVERAL, FLORIDA — With $617 million in capital projects planned and under way for expansion of its cruise and cargo operations moving forward, Canaveral Port Authority has received Fitch’s ‘A’ rating for $26.9 million of outstanding revenue bonds, series 2005 and 2006 A&B, and a rating of ‘stable’ for all Port bonds.
Fitch attributed the rating affirmation to Port Canaveral’s established operating history, recent sustained tourism-related revenue growth and the corresponding favorable operating contracts and cost management, aggressive, but flexible, capital program and no anticipated borrowing.
In addition, Fitch viewed Port Canaveral’s conservative debt structure, modest leverage, and strong coverage metrics as credit strengths.
“Our commitment remains to sound fiscal planning and capital investment as we expand our cruise and cargo operations with our network of international and regional partners,” said Port Canaveral CEO John E. Walsh.
“Our strength lies in our flexibility.”
According to Chief Financial Officer Rodger Rees, “The market continues to be flexible in adjusting to our borrowing needs while we continue to be aggressive in our efforts to diversify our revenue.
At the same time, we plan to maintain a deliberate, calculated approach to achieving our growth initiatives.”
At the end of 2014, Port Canaveral had $26.9 million in total outstanding port revenue bonds and $182.7 million in private placement bonds.