Moody's announces completion of a periodic review of ratings of American Samoa
New York, NY — Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of American Samoa (Territory of) and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since 1 January 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion.
This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. For any credit ratings referenced in this publication, please see the ratings tab on the issuer/entity page on www.moodys.com for the most updated credit rating action information and rating history.
Key rating considerations are summarized below.
The Territory of American Samoa's general credit quality (Ba3) reflects its small and volatile economy, low income levels, significant long-term liabilities, improving, but weak financial position, and financial management challenges. The rating also factors in its status as a US territory which receives substantial operating and capital assistance from the federal government. Additionally, the rating incorporates risks associated with operating a government-owned charter bank. This periodic review also covered related credits within the territory's debt stack including any special tax, lease, appropriation and moral obligation, intercept program, and pool program ratings.
This document summarizes Moody's view as of the publication date and will not be updated until the next periodic review announcement, which will incorporate material changes in credit circumstances (if any) during the intervening period.