US PPP and Project Finance Conference

Thursday, December 6, 2018

December 2018

Conference

US PPP and Project Finance Conference

Funding, financing and credit trends across diverse assets

thursday, November 08, 2018
merchant taylors' hall, london

US PPP and Project Finance Conference

Funding, financing and credit trends across diverse assets
Thursday, December 6, 2018
December 2018
Moody's Headquarters
New York

US PPP and Project Finance Conference

Funding, financing and credit trends across diverse assets

Thursday, December 6, 2018
December 2018
Moody's Headquarters
New York

US PPP and Project Finance Conference

Funding, financing and credit trends across diverse assets

Thursday, December 6, 2018
December 2018
Moody's Headquarters
New York

US PPP and Project Finance Conference

Funding, financing and credit trends across diverse assets

Thursday, December 6, 2018
December 2018
Moody's Headquarters
New York

US PPP and Project Finance Conference

Funding, financing and credit trends across diverse assets

Thursday, December 6, 2018
December 2018
Moody's Headquarters
New York

As the US PPP market expands and diversifies, the new asset types, financing and project structures we see are introducing new risks. Many projects in construction are materially delayed while others face challenges transitioning into operations, triggering contractual default thresholds. Some projects face rising construction costs, skilled labor shortages and a higher cost of capital in a rising interest rate environment.

Financing and project structures are weakening, yet public bond offerings continue to be oversubscribed due to high demand for a limited number of projects that reach financial close each year. Does the pricing achieved by PPPs reflect the risks of the PPP project or market dynamics? Will this corrector continue indefinitely?

On December 6th, Moody's Annual PPP and Project Finance Conference 2018 brings together industry thought leaders and Moody’s senior analysts across multiple sectors to engage in discussions on current events and trends.

  • Will infrastructure funding take a back seat to other policy priorities post the midterm elections?
  • Will PPPs continue to grow as alternative procurement approaches are more accepted by public issuers?
  • What are the risks and opportunities of digital infrastructure and smart city projects?
  • Will the growth in higher education and airport PPPs continue?
  • Which infrastructure sectors are most exposed to ESG credit risks?
  • What are the prospects and unique dynamics of the Canadian and Latin American PPP markets?

8:00 AM      Registration & Breakfast

8:00 AM     Pre-conference Workshop: Enhancing your fundamental credit analysis with Moody’s CreditView

Join us for an interactive session where you will gain practical knowledge on leveraging Moody’s CreditView while conducting fundamental credit analysis.  Discover how to utilize the wealth of Moody’s research, data, and service to improve the quality and efficiency of your analysis.

»        Presented by Moody’s Analytics

9:00 AM      Opening Remarks

Walter Winrow, Managing Director, Global Project and Infrastructure Finance, Moody’s Investors Service

9:05 AM      Agenda Overview & Moody’s Project Finance Loan Default Study

Michael Mulvaney, Managing Director, Project & Infrastructure Finance, Moody’s Investors Service

9:10 AM      Public Policy, Funding and Financing: What does the future hold?

Post the midterm elections, will infrastructure investment continue to take a back seat to other policy priorities despite the growing need for investment as assets age or need expanding? If a federal infrastructure bill never passes, will state and local governments continue to lead through local funding, despite their own fiscal pressures? Are federal financing programs going to grow as they become more attractive as interest rates rise?

 

Moderator

AJ Sabatelle, Associate Managing Director, Project & Infrastructure Finance, Moody’s Investors Service

Speakers

Tim Blake, Managing Director, State Ratings, Moody’s Investors Service

Duane Callender, Director, Build America Bureau

Jill Jamieson, Managing Director, JLL Public Institutions Group

Michael Patella, Senior Policy Advisor, EPA's Water Finance Center

10:10 AM     Credit Trends: Construction delays; operating transition risks; weakening project structures; rising costs

As the market expands and diversifies into new asset classes, we continue to see new financing and project structures that introduce new risks. New surety products have varying degrees of liquidity features. Several projects in construction are materially delayed while others are having issues transitioning into the operating phase. New projects face rising construction costs, labor shortages and a higher cost of capital in a rising interest rate environment. Despite these risks, project structures are weakening due to the limited number of projects reaching financial close compared to a high demand for the asset class from a large and deep capital market. How do these trends affect credit and project ratings?

 

Moderator

John Medina,  VP – Senior Credit Officer, Project & Infrastructure Finance, Moody’s Investors Service

Speakers

Jennifer Chang, VP – Senior Analyst, Project & Infrastructure Finance, Moody’s Investors Service

Catherine DeLuz, Senior Vice President, Project & Infrastructure Finance, Moody’s Canada  

Kathrin Heitmann, VP – Senior Analyst, Project & Infrastructure Finance, Moody’s Investors Service

Louis Ko, VP – Senior Analyst, Project & Infrastructure Finance, Moody’s Canada

 

11:10 AM     Networking Break

 

11:25 AM      ESG Credit Risks

How does Moody’s define ESG and how do we assess ESG credit risks in our research and ratings? What sectors are the most exposed? What are the credit risks of climate change? Highlights of Moody’s ESG research series and new global developments related to ESG.

 

John Thieroff, VP – Senior Analyst, Global ESG, Moody’s Investors Service

Swami Venkataraman, Senior Vice President, Global ESG, Moody’s Investors Service

 

11:45 AM     Airport Projects: Rising user demand drives capacity expansions; changing procurement preferences; strong investor interest

While only a limited number of airport project financings have closed in the US, more are in development as airports seek private sector experience for the development  of non-core assets or selectively to monetize assets. What is driving the interest in alternative procurement models? Will airport privatizations take off in the US? What do the airlines think? How does the contractual structure affect the credit risk of the project? What does the project pipeline look like and when will large capital investment plans slow down?

Moderator

Kurt Krummenacker, SVP/Manager, Project & Infrastructure Finance, Moody’s Investors Service

Speakers

Larry Belinsky, Managing Director, Frasca and Associates

Earl Heffintrayer, VP – Senior Analyst, Project &Infrastructure Finance, Moody’s Investors Service

Elizabeth McCarthy, Chief Financial Officer, The Port Authority of New York and New Jersey

12:45 PM     Lunch and Keynote address by Keynote Address

Mark Zandi, Chief Economist, Moody’s Analytics

2:10 PM      Breakout Sessions I

Track A: Higher Education PPPs: District Energy, Housing, Parking

Higher education projects continue to expand beyond student housing to include district energy, parking and hybrid projects with academic programming and for profit retail. At the same time, new student housing projects are moving forward while others are struggling. Risks are higher for some projects versus others and this depends on the project type,  structure and essentiality to the university. How are these factors incorporated into a project when it is developed and ultimately financed? What are the credit implications to the university of undertaking a PPP?

 

Moderator

Susan Fitzgerald, Associate Managing Director, Global Higher Education, Moody’s Investors Service

 

Speakers

Stephen Auton-Smith, Managing Director, Ernst & Young

Shawn Connolly, Vice President, University Facilities, Montclair State University

Ritu Kalra, Managing Director, Head of Higher Education Finance, Goldman Sachs

Florence Zeman, Associate Managing Director, Housing Finance, Moody’s Investors Service

 

Track B: Digital Infrastructure: Broadband to Smart Cities…what’s next?

What are the risks and opportunities of new technology and digital infrastructure projects and can they be procured and financed as PPPs? What is a “Smart City”? How are cities incorporating new technology into their operations? How can technology improve transportation efficiency and reduce environmental impacts? How do these efforts help cities with their sustainability goals? In an evolving digital age, what about the digital divide between urban and rural users? What is the role of the public versus private sector in this asset class?

Moderator

Catherine DeLuz, Senior Vice President, Project & Infrastructure Finance, Moody's Canada

Speakers

Edward Fanter, Infrastructure Advisory, Deloitte

Prakash Ganesh, Director, Deal Advisory in Infrastructure, KPMG

Neil Mack, VP – Senior Analyst, Telecommunications and Media, Moody’s Investors Service

3:05 PM      Breakout Sessions II

Track A: Canadian PPP and Project Finance Market: Stable, diverse, consistent

Canada’s mature PPP market is one of the most consistent and stable markets in the world. The proven financing and project structures established in the Canadian market are often replicated in the US and elsewhere. However, recent market events related to Carillion’s bankruptcy coupled with a change in the political landscape and some problematic projects, highlight the risks present. What are the key lessons to be learned from Canada’s mature market? What are new developments in the Canadian market and what does the future hold?

 

Moderator

Catherine DeLuz, Senior Vice President, Project & Infrastructure Finance, Moody’s Canada  

 

Speakers

Raymond A. DiPrinzio, Executive Director, Co-Head of Infrastructure Finance North America, SMBC

Louis Ko, VP – Senior Analyst, Project & Infrastructure Finance, Moody’s Canada

Antony Lawrence, Managing Director, Infrastructure & Project Finance, National Bank of Canada

 

Track B: Latin America PPP and Project Finance Market: High risk, high reward?

Several governments continue to pursue ambitious infrastructure investment plans and PPPs and project finance are fundamental to achieving these goals. Will Argentina’s PPP program stall? How are the projects structured and financed? Will Brazilian PPPs and concessions expand at the local levels? Is the Colombian 4G program on hold pending investigations? Post the recent elections, what does the future look like? Project financing structures in Latin America are complex and new programs aim to replicate PPP frameworks and financing structures used in other markets, yet each market is different and projects carry unique risks.

 

Moderator

Alejandro Olivo, Associate Managing Director, Project & Infrastructure Finance, Moody’s Investors Service

 

Speakers

Jennifer Chang, VP – Senior Analyst, Project & Infrastructure Finance, Moody’s Investors Service

Ricardo De Vecchi Galindo, Investment Management Lead Officer, PPP Advisory Services, IDB Invest

John Greenwood, Managing Director, Project, Infrastructure& Principal Finance, Goldman Sachs

Jaime Reusche, VP – Senior Credit Officer, Sovereign Risk Group, Moody’s Investors Service

4:00 PM      Conference Concludes

 

For more information

Minsun Pak

Assistant Director - MIS Events and Outreach

Global Marketing & Events

minsun.pak@moodys.com