The South Jersey Transportation Authority (SJTA) said S&P Global Ratings has upgraded its rating of the authority’s transportation revenue bonds, reflecting continued financial strength, disciplined management practices and stable toll road performance.
S&P Global Ratings raised the rating on SJTA’s senior-lien transportation revenue bonds to A-, up from a BBB+ rating. In addition, the authority’s subordinate-lien transportation revenue bonds were upgraded to BBB+ from BBB. The outlook for both ratings is stable.
“The rating upgrades confirm we are managing the authority’s finances responsibly and planning for the long term across all of our operations,” said SJTA Executive Director, Stephen F. Dougherty.
“That includes the Atlantic City Expressway, the Atlantic City International Airport, and our Transportation Services division. And receiving this upgrade during the construction of the almost $100 million All Electronic Tolling project, making the ACX fully cashless this week, underscores the steady, disciplined approach we’ve taken to meeting our obligations to bondholders and the traveling public.”
According to S&P Global Ratings, the upgrades are driven by expectations that SJTA will continue to generate solid debt service coverage levels, supported by annual toll rate indexing, conservative financial planning, and the absence of additional near-term debt issuance. The stable outlook reflects confidence in the authority’s ability to sustain strong financial performance through proactive monitoring of revenues and expenses.
