Business View Magazine | June 2020

5 BUSINESS VIEW MAGAZINE JUNE 2020 OPENING L INES Prudent Stewardship Allows Brownsville to Weather Economic Uncertainty While Remaining Competitive for Continued Job Creation and Development BROWNSVILLE, Texas: The Port of Brownsville ranks third among U.S. ports for “strong financial resilience” surveyed in a new report issued by Moody’s Investor Services, underscoring the ongoing value of the port’s prudent financial stewardship in light of economic impacts from the worldwide COVID-19 pandemic. Moody’s analysis evaluated American ports on a range of key factors surrounding financial responsibility like the ability to handle the impact of a significant decline in cargo volume, financial liquidity, and debt service coverage ratio. Weighing these important factors, the analysis ranks the Port of Brownsville among PORT OF BROWNSVILLE RANKS 3RD AMONG U.S. PORTS SURVEYED FINANCIAL RESILIENCE” IN THE FACE OF COVID-19 PANDEMIC’S EC the most stable in the nation and better able to weather today’s unique economic challenges. “We take our financial obligations very seriously and work to ensure we are responsible stewards of the port’s resources,” said John Reed, Chairman of the Brownsville Navigation District. “Even during today’s extraordinary economic climate, the Brownsville Navigation District Commission is taking responsible steps to maintain a stable financial foundation to attract continued growth and job creation.” “Landlord”Advantage in Minimizing Risk Moody’s report highlighted the important advantages of a “landlord” business model – in which authorities like the Port of Brownsville partner with tenants primarily through stable long-term leases – versus the “operator” model in which authorities conduct daily operations directly for port customers, which can result in “high revenue volatility in periods of stress.” The report concludes that “the landlord model has historically