Moody’s lowers Aerostar notes to Ba1

Moody's Investors Service said it downgraded Aerostar Airport Holdings, LLCs $350 million of senior secured bonds rating to Ba1 from Baa3.

The rating was also placed under review for further downgrade.

The action follows the downgrade of the Commonwealth of Puerto Rico (B2 negative) and its related debt issuing entities earlier in July.

Moody’s said the downgrade recognizes that Aerostar’s creditworthiness cannot be completely de-linked from the current stresses facing the government and population of Puerto Rico, which have made credit quality more uncertain for companies operating under government-granted contracts governed under local law whose cash flow can also be affected by changes in disposable income. The action acknowledges the challenges of systemic risks for all local credits, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.