STANDARD & POORS ISSUES FAVOURABLE BOND RATING FOR GUAM GATEWAY
Standard & Poor’s (S&P) has issued BBB+/Stable credit ratings on Guam International Airport Authority’s (GIAA) General Revenue Bonds.
The move follows Moody’s Investors Service’s decision to assign a Baa2 ratings to the senior General Revenue Bonds 2019 Series A (AMT) ($20.01 million) and 2019 Series B (Taxable) ($20.6 million) that GIAA – the operator of Antonio B Won Pat International Airport – plans issuing later this month.
GIAA claims that the BBB+/Stable ranking reflects S&P’s “view of the airport’s adequate financial performance, very strong debt and liabilities capacity, and strong liquidity and financial flexibility”.
It believes that it also reflects the airport’s importance “as an essential service facility to the island, tempered by our expectation of fluctuating activity levels as a result of the island’s unique exposures.”
GIAA executive manager, Tom Ada, stated: “Standard & Poor’s credit ratings and affirmations on our General Revenue Bonds are positive, and places us in a marketable position when we go to market to refund callable Series A & B General Revenue Bonds next week.
“I anticipate high demand for Guam Airport bonds, and expect the sale to be very successful.”
He notes that cash flow savings acquired through the refunding of a portion of the 2013 Revenue Bonds will be applied to necessary airport capital improvement projects.
“Improvements to Guam’s airport is a continuing process to ensure safe and efficient airport operations,” said Ada.