Municipality of Anchorage, AK – Port Revenue Rating Report

Rating Summary

The long-term rating reflects the Don Young Port of Alaska’s (the Port’s) essential role as the State of Alaska’s (the State’s) primary marine cargo and intermodal transport hub serving 76% of the State’s population; strategic importance to national defense and energy activities; optimal location near downtown Anchorage, supported by a highly developed intermodal infrastructure, and favorable economies of operating scale that underpin its dominant market position; and, broad rate-setting authority, subject to Municipal Assembly of Anchorage (Municipal Assembly) approval and practical market constraints. These strengths are balanced by the size and scope of the Port of Alaska Modernization Program (PAMP), significant portions of which will be debt financed; a recent track record of late financial audits and financial reporting deficiencies, and historically weak liquidity management as a result of timing mismatches between the funding of projects and the receipt of…