ข่าวประชาสัมพันธ์Uncategorized

Auckland Council Ratings ‘AA/A-1+’ Affirmed; Outlook Stable

          RATING ACTION 
          On Sept. 25, 2018, S&P Global Ratings affirmed its 'AA' long-term and 'A-1+' short-term credit ratings on New Zealand (the Crown) local government Auckland Council. The outlook on the ratings remains stable.
          OUTLOOK 
          The stable outlook reflects our expectation that the council will successfully manage the city's growth pressures and large capital expenditure requirements while containing its debt levels. 
          Downward rating pressure might arise if we consider Auckland's financial management to be weakening, resulting in higher deficits and debt levels. This could occur if infrastructure spending substantially increases without offsetting revenues, leading to after-capital account deficits underperforming our forecasts. This would result in debt rising to more than 270% of operating revenues. 
          Upward pressure on the ratings is unlikely, given the city's growth pace, size of its capital-expenditure requirement, and the rating on New Zealand. An upgrade could occur if we raised our rating on the New Zealand sovereign and Auckland's financial position and debt levels substantially improved.