Greater Orlando Aviation Authority Receives Favorable Bond Ratings

Press Release

ORLANDO, FL. — The nation’s top bond rating agencies have assigned ratings to the Greater Orlando Aviation Authority’s (GOAA) series 2016A and 2016B Airport Facilities Revenue Bonds and 2016C Airport Facilities Taxable Refunding Revenue Bonds.

Fitch, Moody’s and Standard & Poor’s have also assigned a Stable Rating Outlook on all bonds. The following ratings reflect the strength of Orlando as one of the preeminent origin and destination markets in the United States with an increasingly diversified economic base:

Fitch AA- Outlook: Stable
Moody’s Aa3 Outlook: Stable
S&P AA- Outlook: Stable

“We are pleased that the rating agencies share our confidence in the long-term viability of the Orlando market and the Aviation Authority’s ability to manage its finances and capital program in a fiscally responsible fashion,” says Phil Brown, Greater Orlando Aviation Authority Executive Director.

Key Rating Drivers

Fitch

  • Leading Origination & Destination market
  • Strong traffic base
  • Diverse carrier mix
  • Low airline costs
  • Conservative debt structure

Moody’s

  • Airport’s near monopoly for air travel into a world-class travel destination
  • Region’s continued economic growth and diversification away from the tourism industry

S&P

  • A large origin and destination base
  • An expanding service area that has a very strong tourist industry
  • Low airline cost structure
  • Relatively diverse revenue base

The Series 2016A and 2016B Bonds are being issued for the purpose of providing funds to: (a) finance a portion of the costs of the 2016 Project (more specifically improvements to Airsides 1 and 3, the South Automated People Mover and the Loop Road System Overlay), (b) fund a deposit to the Composite Reserve Subaccount of the Debt Service Reserve Account, (c) pay capitalized interest on the Series 2016A and 2016B Bonds, (d) repay draws made on certain Existing Lines of Credit, and (e) pay certain costs of issuance of the Series 2016A Bonds.