Fitch Rates Tender Option Bond Series 2016-XF2311 Trust
OREANDA-NEWS. Fitch Ratings assigns the following ratings to the floater certificates and residual certificates of the Tender Option Bond Trust series listed below:
--Floater certificates, series 2016-XF2311 'A+/F1', Negative Outlook;
--Residual certificates, series 2016-XF2311 'A+', Negative Outlook.
KEY RATING DRIVERS
The long-term 'A+', Negative Outlook ratings assigned to the series 2016-XF2311 floater and residual certificates are based on the rating that Fitch has assigned to the County of Montgomery, Ohio revenue bonds (Catholic Health Initiatives) series 2009A, term bonds (rated 'A+', Negative Outlook) that have been deposited in the series 2016-XF2311 trust.
The short-term 'F1' ratings assigned to the series floater certificates is based on the liquidity facility provided by Morgan Stanley Bank, N. A. (rated 'A+/F1', Stable Outlook), which has a stated expiration date of June 15, 2017, unless such date is extended or earlier terminated.
RATING SENSITIVITIES
The short-term rating assigned to the floater certificates 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 certificates and residual certificates are exclusively tied to the creditworthiness of the underlying bonds deposited in the trust and will reflect all changes to such rating.
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