Moody’s Ratings (Moody’s) has recently upgraded San Diego County Regional Airport Authority’s (Airport Authority) approximately $1.06 billion outstanding senior airport revenue bonds to Aa3 from A1 and approximately $2.75 billion outstanding subordinate lien bonds to A1 from A2. Moody’s has also revised the airport’s outlook from positive to stable.
“We are very pleased with our recent Moody’s upgrades to our bond ratings which reflects our strong market position that will hopefully continue to boost investor confidence,” said Kimberly Becker, President & CEO, San Diego County Regional Airport Authority. “The upgrades are partly the result of our successful continued construction progress on our New Terminal 1 (New T1). We are about 10 months away from opening our New T1, and we are on track to meet our projected financial metrics with the New T1.”
Strong enplanement recovery since the pandemic was also a factor that contributed to the upgraded ratings. The stable outlook reflects the expectation that new Terminal 1 will be completed by the projected timeline and the enplanement growth will support adequate financial metrics and liquidity.
In addition, Moody’s Ratings has affirmed the A3 rating on San Diego County Regional Airport Authority, Consolidated Rental Car Facility $275 million outstanding Special Facilities Bonds. The A3 rating on the rental car special facility bonds reflects the narrow pledge of customer facility charges (CFC) on rental car transactions and other contingent rents charged to rental car companies. The outlook is stable for the special facility.
Moody’s Investor Services is a leading provider of credit ratings, research, and risk analysis. Moody's commitment and expertise contributes to transparent and integrated financial markets, protecting the integrity of credit. Credit ratings and research help investors analyze the credit risks associated with fixed-income securities. Such independent credit ratings and research also contribute to efficiencies in fixed-income markets and other obligations, such as insurance policies and derivative transactions, by providing credible and independent assessments of credit risk.
The Airport Authority is a financially self-sufficient agency and does not rely on taxpayer dollars or City or County funds for our operations. Lean budgeting and fiscal prudence are the rule at the Airport Authority but this in no way detracts from our commitment to operate San Diego International Airport at the peak of safety, security, and efficiency for our passengers. The Airport Authority continues to have solid financial performance and maintains its bond covenant requirement. For more information, please click here.
