S&P: The Rieber Life Insurance Trust's Series 2016 Bonds Assigned Rating
The 'A-/A-2' rating reflects our opinion of the credit and liquidity support that BOKF N. A. provides in the form of an irrevocable direct-pay letter of credit (LOC) during the weekly interest rate mode (the rated mode). The LOC covers the entire principal balance and 35 days of interest accruals at a 10% maximum bond rate. During the rated mode, we believe that the coverage amount is sufficient to pay bond principal and maximum accrued interest, considering automatic interest reinstatement, and any additional time that may elapse before a full payment is made to the bondholders.
The 'A-' long-term component of our rating is based on our long-term issuer credit rating on BOKF N. A. and addresses full and timely interest and principal payments when the bondholders have not exercised the put option. The 'A-2' short-term component of our rating is based on our short-term issuer credit rating on BOKF N. A. and addresses full and timely interest and principal payments when the bondholders have exercised the put option.
In view of the bond structure, changes to our rating on the bonds can result from, among other things, changes to our ratings on the LOC provider or amendments to the transaction's terms. We will maintain a rating on the bonds as long as they are in the rated rate mode and the LOC has not expired or otherwise terminated. If either of these conditions change, we will likely withdraw the rating on the bonds.