The Port of Virginia’s deep harbors — and its ability to dig deeper — has helped the port authority maintain its bond ratings with two leading international bond rating agencies.
Moody’s Investors Service and Standard & Poor’s last week publically affirmed it rated the authority’s port facilities revenue bonds Aa3 and A+ ratings, respectively, according to a news release.
For S&P that’s the third-best rating out of a total of 10 that an organization can garner.
The Moody’s Aa3 bond rating is the fourth highest rating out of 21 on a scale used by Moody’s.
Moody’s justified its findings because of the port’s “naturally-deep harbors dredged to 50 feet with an authorization to dredge to up to 55 feet as shipping lines continue to increase vessel size.”
“These ratings confirm the path we are on to create a sustainable business model that addresses our short- and long-term needs to continue to grow the Port of Virginia,” said John F. Reinhart, CEO and executive director of the Virginia Port Authority, in a statement.
Reinhart added that as the port begins to reinvest in its facilities, maintaining its ratings is important.
“As we continue to improve upon controlling our day-to-day operational costs, there is a growing, positive reflection on several important issues such as bond health, the ability to strategically invest in the operation and long-term sustainability,” Reinhart stated. “This sends out a larger, positive message to our customers and stakeholders about the fiscal health and well-being of the port. The end result is an improved ability to invest in the future of this port.”
O’Neal can be reached by phone at 757-247-4744.
