Fitch Ratings announced (02-Dec-2011) the bankruptcy filing of AMR Corp will impact the credit ratings on individual airports where American Airlines operates. As a result, Fitch has revised the rating outlook from negative to stable on the following bonds:
- Dallas Fort Worth International Airport's approximately USD4 billion joint revenue improvement bonds (rated A+ by Fitch);
- Miami Date-County's approximately USD6 billion aviation revenue bonds (rated A by Fitch), issued on behalf of Miami International Airport;
- City of Chicago's approximately USD6.5 billion airport revenue bonds (rated AA+ first lien, AA second lien, and A- third lien by Fitch), issued on behalf of Chicago O'Hare International Airport;
- In addition, Fitch affirmed the City of Chicago's approximately USD812.7 million passenger facility charge (PFC) bonds at A- with a stable rating outlook.
The risks to individual airport finances may increase over the course of the bankruptcy process as American undertakes a reorganisation that may result in considerable operational changes, according to Fitch. Hubs that rely on the scheduling decisions of American to generate significant levels of transfer traffic to complement local origin and destination (O&D) traffic are particularly vulnerable. At somewhat less risk are airports served by American that rely on local demand for air travel to drive their operations. [more - original PR]