OREANDA-NEWS. Fitch Ratings assigns ratings to the following New York City Transitional Finance Authority future tax secured tax-exempt subordinate bonds:

--\\$100,000,000 subseries 2016A-4 'AAA/F1';
--\\$50,000,000 subseries 2016A-5 'AAA/F1+'.

The Rating Outlook is Stable for the long-term ratings on all subseries of bonds.

KEY RATING DRIVERS:
The long-term 'AAA' is based on the strong legal framework, low tax rate risk, statutory cash flow provisions, robust coverage, solid economic underpinnings, dependence on Wall Street and is sensitive to revenue declines.

For more information on TFA's long-term credit rating, see 'Fitch Rates NYC Transitional Finance Auth's \\$1B Future Tax Secured Bonds 'AAA'; Outlook Stable' dated Sept. 16, 2015, also available on the website.

The short-term 'F1' and 'F1+' ratings are based on the liquidity support provided by Bank of America N.A. (rated 'A+/F1', Stable Outlook) for subseries 2016 A-4 and Royal Bank of Canada (rated 'AA/F1+', Stable Outlook) for subseries 2016 A-5, in the form of two Standby Bond Purchase Agreements (SBPAs). Each SBPA has a stated expiration date of Sept. 28, 2018, unless extended or earlier terminated, during the daily, weekly or two-day modes interest rate mode only.

Each SBPA provides for the payment of the principal component of purchase price plus an amount equal to 35 days of interest calculated at a maximum rate of 9%, based on a year of 365 days for tendered bonds during the daily, weekly and two-day rate modes in the event that the proceeds of a remarketing of the bonds are insufficient to pay the purchase price following an optional or mandatory tender. Each SBPA will expire on Sept. 28, 2018, the stated expiration date, unless such date is extended; upon conversion to a commercial paper, indexed, rate; or upon the occurrence of certain events of default which result in a mandatory tender or other events of default related to the credit of the bond obligor which result in an automatic and immediate termination. The remarketing agent for subseries 2016A-4 is Merrill Lynch, Pierce, Fenner & Smith Incorporated and for subseries 2016A-5 bonds is RBC Capital Markets, LLC. The bonds are expected to be delivered on or about Sept. 29, 2015.

Both subseries of bonds will be issued in the daily rate mode, but may be converted to a weekly, two-day, commercial paper, indexed, term auction, stepped coupon or fixed rate. While bonds bear interest in the daily, weekly or two-day rate mode, interest is paid on the first business day of each month, commencing Oct. 1, 2015. Holders of bonds bearing interest in the daily, weekly or two-day rate mode may tender their bonds for purchase with the requisite prior notice. The tender agent is obligated to make timely draws on each respective SBPA to pay purchase price in the event of insufficient remarketing proceeds, and in connection with the expiration or termination of the respective SBPA, except in the case of the credit-related events permitting immediate termination or suspension of the respective SBPA.

Funds drawn under each SBPA are held uninvested, and are free from any lien prior to that of the bondholders. The bonds are subject to mandatory tender: (1) upon conversion of the interest rate; (2) upon expiration, substitution or termination of each respective SBPA; and (3) following the receipt of written notice from the bank of an event of default under the SBPA, directing such mandatory tender. Optional and mandatory redemption provisions also apply to the bonds.

Bond proceeds will be used to finance capital projects for the city.

RATING SENSITIVITIES
The short-term rating reflects the short-term rating that Fitch maintains on the bank providing liquidity support and 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 bond obligor. The long-term rating is exclusively tied to the creditworthiness of the bond obligor and will reflect all changes to that rating.