Fitch Affirms State of Wisconsin GO Commercial Paper Short-Term Rating at 'F1+'

NEW YORK--()--Fitch Ratings has affirmed the Short-term 'F1+' rating assigned to the $275,000,000 State of Wisconsin General Obligation Commercial Paper Notes (notes).

The rating action is in connection with: (i) the substitution of the current credit agreement provided by The Bank of New York Mellon (rated 'AA/F1+'/Stable Outlook) supporting the notes, with a credit agreement provided by BMO Harris Bank N.A. (rated 'AA-/F1+'/Stable Outlook); and (ii) the reoffering of the notes.

KEY RATING DRIVERS

The 'F1+' rating on the notes is based on the support provided by a credit agreement of BMO Harris Bank, which has a stated expiration date of March 15, 2019, unless extended or earlier terminated. The BMO Harris Bank substitute credit agreement covers principal only. The State of Wisconsin remains obligated to pay interest upon maturity of all notes. The State of Wisconsin's Long-term rating is 'AA'/Stable Outlook.

U.S. Bank National Association will continue as the Issuing and Paying Agent for the notes, and as IPA, is directed to request an advance under the substitute credit agreement whenever proceeds of the sale of rollover notes and other funds are insufficient to pay maturing notes. The substitute credit agreement provides sufficient coverage for the principal amount of notes and the issuer is obligated to pay interest on the notes.

All notes will be issued at par, with interest due at maturity. Following the occurrence of an event of default under the credit agreement, BMO Harris Bank may direct the IPA to immediately stop the issuance of any additional notes. In such event, the substitute credit agreement will expire after all the notes supported by it mature and have been paid from funds drawn on it. In addition, the substitute credit agreement may be terminated by BMO Harris Bank upon the occurrence of specified immediate termination events. The dealers for the notes are Goldman, Sachs & Co. and Merrill Lynch Pierce Fenner & Smith, Incorporated and J.P. Morgan Securities LLC.

RATING SENSITIVITIES

The rating reflects the short-term rating that Fitch maintains on the substitute bank providing liquidity support and will be adjusted upward or downward in conjunction with changes to the short-term rating of the bank and in some cases, the long-term rating of the State of Wisconsin.

Additional information is available at www.fitchratings.com.

Applicable Criteria

Rating Criteria for Variable-Rate Demand Obligations and Commercial Paper Issued with External Liquidity Support (pub. 28 Jan 2016)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=876837

U.S. Municipal Structured Finance Criteria (pub. 23 Feb 2015)

https://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=862222

Additional Disclosures

Dodd-Frank Rating Information Disclosure Form

https://www.fitchratings.com/creditdesk/press_releases/content/ridf_frame.cfm?pr_id=1000947

Solicitation Status

https://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=1000947

Endorsement Policy

https://www.fitchratings.com/jsp/creditdesk/PolicyRegulation.faces?context=2&detail=31

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.

Contacts

Fitch Ratings
Primary Analyst
Janet Rosen
Analytical Consultant
+1-312-368-3172
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Secondary Analyst
Richard Park
Director
+1-212-908-0289
or
Committee Chairperson
Mario Civico
Senior Director
+1-212-908-0796
or
Media Relations:
Elizabeth Fogerty, +1 212-908-0526
elizabeth.fogerty@fitchratings.com

Contacts

Fitch Ratings
Primary Analyst
Janet Rosen
Analytical Consultant
+1-312-368-3172
Fitch Ratings, Inc.
33 Whitehall Street
New York, NY 10004
or
Secondary Analyst
Richard Park
Director
+1-212-908-0289
or
Committee Chairperson
Mario Civico
Senior Director
+1-212-908-0796
or
Media Relations:
Elizabeth Fogerty, +1 212-908-0526
elizabeth.fogerty@fitchratings.com