IBJNews

Indianapolis Airport Authority credit rating holds steady even as revenue falls

Back to TopCommentsE-mailPrintBookmark and Share
On The Beat Industry News In Brief

Beginning to pay the mortgage this year on a new, $1.1 billion terminal—just as the airline industry lost lift—the Indianapolis Airport Authority still has managed to maintain its rating by two credit agencies.

But Standard & Poor’s Ratings revised its outlook from stable to negative, while Moody’s Investors Service tweaked it from positive to stable.

Their ratings of the authority remain at A1 and A.

Indianapolis has fared better than some airports in terms of declining revenue, with passengers down about 10 percent for much of the year and revenue off 16 percent at one point. Earlier this year, the airport estimated that revenue may come in at 15 percent below projections.

But the ratings agencies said the authority maintained a strong financial position overall and has diversified revenue. It remains uncertain when traffic will pick up and by how much, however.

The authority plans a $25 million debt refunding, with bonds scheduled to price in mid-January.

The terminal carries a mortgage of about $40 million a year. It’s touted as being more efficient, while designed to generate extra retail and food/beverage revenue.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT

facebook - twitter on Facebook & Twitter

Follow on TwitterFollow IBJ on Facebook:
Follow on TwitterFollow IBJ's Tweets on these topics:
 
thisissue1-092914.jpg 092914

Subscribe to IBJ
ADVERTISEMENT