NEW YORK--(BUSINESS WIRE)--Fitch Ratings has assigned the following ratings to the Floater Receipts and Residual Receipts of the Tender Option Bond Trust series listed below:
--Floater Receipts, Series 2016-ZM0399 'AAA'/'F1+'/Stable Outlook;
--Residual Receipts, Series 2016-ZM0399 'AAA'/Stable Outlook.
KEY RATING DRIVERS
The Long-Term 'AAA'/Stable Outlook ratings assigned to the series 2016-ZM0399 Floater and Residual Receipts are based on the rating that Fitch has assigned to Board of Regents of The University of Texas System Permanent University Fund Bonds, Series 2016B (rated 'AAA'/Stable Outlook) that have been deposited in the series 2016-ZM0399 trust.
The Short-Term 'F1+' rating assigned to the Floater Receipts is based on the liquidity facility provided by JPMorgan Chase Bank, N.A. (rated 'AA-'/'F1+'/Stable Outlook), which has a stated expiration date of Aug. 31, 2017, unless such date is extended or earlier terminated.
The Short-Term rating assigned to the Floater Receipts will be adjusted upward or downward in conjunction with the short-term rating of the bank, and, in some cases, the long-term rating of the underlying bonds deposited in the trust. The long-term ratings assigned to the Floater Receipts and Residual Receipts are exclusively tied to the creditworthiness of the underlying bonds deposited in the trust and will reflect all changes to such rating.
Additional information is available at 'www.fitchratings.com'.
Criteria for Rating Tender Option Bonds (pub. 07 Apr 2016)
U.S. Municipal Structured Finance Criteria (pub. 23 Feb 2015)
Dodd-Frank Rating Information Disclosure Form