Texas Trans. Comm.-Central TX Tpke. Sys., TX — Moody’s revises to stable the outlook of Texas Transportation Commission – Central Texas Turnpike System; affirms A3 first tier and Baa1 second tier ratings

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Moody’s Investors Service, (“Moody’s”) affirmed the A3 on the Texas Transportation Commission – Central Texas Turnpike System’s approximately $1.6 billion (inclusive of accretion) first tier revenue bonds and the Baa1 on the approximately $1.16 billion second tier revenue bonds. The A3 first tier is based on the continued strong traffic growth on the system’s roads, improving moderate total debt service coverage ratios that Moody’s expects to return to around 1.5x after traffic stabilizes following the coronavirus outbreak. The rating is supported by the thriving Austin area economy that will continue to be one of the strongest in the nation and see strong growth as technology companies such as Apple increase work forces in the region, supporting demand for the system’s toll roads as population growth spreads the geographic footprint of the service area.

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