R&I - Rating and Investment Information Inc.

10/18/2018 | Press release | Distributed by Public on 10/18/2018 00:07

Okayama Prefecture: R&I Changes Outlook to Positive

Oct 18, 2018

R&I Affirms AA, Changes Outlook to Positive: Okayama Prefecture

Rating and Investment Information, Inc. (R&I) has announced the following:

ISSUER:

Okayama Prefecture

Issuer Rating: AA, Affirmed

Rating Outlook: Positive, Changed from StableRATIONALE:

Okayama Prefecture's economy is driven by manufacturing businesses operating in its coastal areas, especially those in the heavy and chemical industry. Clustering of logistics companies is also underway thanks to its locational advantage as a major hub for a transportation network in the Chugoku-Shikoku region. The prefecture has a robust industrial base, as well as strong economic fundamentals, on which R&I places an emphasis. The impact of a population decline is relatively small, and tax revenues consisting mainly of the two corporate taxes are high.

With fiscal discipline maintained under a prudent administrative and fiscal management policy, the ratio of outstanding debt to gross prefectural product is expected to fall further. Loans from the prefecture to an extragovernmental organization, which were a cause for concern, have been reduced as planned, so do not need to be considered as an overly serious issue, in R&I's view. Based on these considerations, R&I has affirmed the Issuer Rating at AA and changed the Rating Outlook to Positive from Stable. R&I will upgrade the rating if it can confirm the progress of administrative and fiscal reforms.

Although Okayama Prefecture was hit by the July 2018 torrential rains in western Japan, the impact on its fiscal position will be limited, in R&I's view, given that the central government provides ample financial support for catastrophic disasters.

The primary rating methodology applied to this rating is provided at "R&I's Analytical Approach to Local Governments". The methodology is available at the web site listed below, together with other rating methodologies that are taken into consideration when assigning the rating.

https://www.r-i.co.jp/en/rating/about/rating_method.html

R&I RATINGS:

ISSUER:

Okayama Prefecture

Issuer Rating

RATING:

AA, Affirmed

RATING OUTLOOK:

Positive, Changed from Stable

10-year Pref. Bonds No.1

(FY2008)

RATING:

Issue Date

Maturity Date

Issue Amount (mn)

Dec 25, 2008

Dec 25, 2018

JPY 10,000

AA, Affirmed

■Contact : Sales and Marketing Division, Customer Service Dept. ■Media Contact : Corporate Planning Division (Public Relations)TEL.+81-(0)3-6273-7471 E-mail.[email protected]TEL.+81-(0)3-6273-7273

Rating and Investment Information, Inc.

TERRACE SQUARE, 3-22 Kanda Nishikicho, Chiyoda-ku, Tokyo 101-0054, Japanhttps://www.r-i.co.jp

10-year Pref. Bonds No.2 (FY2008)

Issue Date

Maturity Date

Issue Amount (mn)

Mar 31, 2009

Mar 29, 2019

JPY 20,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.1 (FY2009)

Issue Date

Maturity Date

Issue Amount (mn)

Nov 27, 2009

Nov 27, 2019

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.2 (FY2009)

Issue Date

Maturity Date

Issue Amount (mn)

Mar 31, 2010

Mar 31, 2020

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.1 (FY2010)

Issue Date

Maturity Date

Issue Amount (mn)

Nov 30, 2010

Nov 30, 2020

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.2 (FY2010)

Issue Date

Maturity Date

Issue Amount (mn)

Mar 31, 2011

Mar 31, 2021

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.1 (FY2011)

Issue Date

Maturity Date

Issue Amount (mn)

Nov 30, 2011

Nov 30, 2021

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.2 (FY2011)

Issue Date

Maturity Date

Issue Amount (mn)

Mar 30, 2012

Mar 30, 2022

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.1 (FY2012)

Issue Date

Maturity Date

Issue Amount (mn)

Jan 31, 2013

Jan 31, 2023

JPY 10,000

RATING:

AA, Affirmed

■Contact : Sales and Marketing Division, Customer Service Dept. ■Media Contact : Corporate Planning Division (Public Relations)TEL.+81-(0)3-6273-7471 E-mail.[email protected]TEL.+81-(0)3-6273-7273

Rating and Investment Information, Inc.

TERRACE SQUARE, 3-22 Kanda Nishikicho, Chiyoda-ku, Tokyo 101-0054, Japanhttps://www.r-i.co.jp

10-year Pref. Bonds No.2 (FY2012)

Issue Date

Maturity Date

Issue Amount (mn)

Mar 29, 2013

Mar 29, 2023

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.1 (FY2013)

Issue Date

Maturity Date

Issue Amount (mn)

Jan 31, 2014

Jan 31, 2024

JPY 10,000

RATING:

AA, Affirmed

10-year Pref. Bonds No.2 (FY2013)

Issue Date

Maturity Date

Issue Amount (mn)

Mar 31, 2014

Mar 29, 2024

JPY 10,000

RATING:

AA, Affirmed

■Contact : Sales and Marketing Division, Customer Service Dept. ■Media Contact : Corporate Planning Division (Public Relations)TEL.+81-(0)3-6273-7471 E-mail.[email protected]TEL.+81-(0)3-6273-7273

Rating and Investment Information, Inc.

TERRACE SQUARE, 3-22 Kanda Nishikicho, Chiyoda-ku, Tokyo 101-0054, Japanhttps://www.r-i.co.jp