Moody's Investors Service announced Wednesday it has assigned provisional ‘Baa3’ ratings to Aerostar Airport Holdings, LLC's $350 million of senior secured bonds. The outlook is stable. Bond proceeds will be used to partially fund the acquisition of a long-term lease to operate the Luis Muñoz Marin Airport.
In about a week, the Federal Aviation Administration is expected to make its decision on the public-private partnership agreement through which the government of Puerto Rico would turn over the management of the Luis Muñoz Marín International Airport to Aerostar Airport Holdings for the next 40 years.
If the Puerto Rico government were to walk away from the public-private partnership that turns over the responsibility of managing and operating the Luis Muñoz Marín International Airport to Aerostar Holdings, it would have to compensate the consortium with as much as $8 million for its troubles, according to the 40-year lease agreement signed earlier this year.
A Dow Jones/Factiva content provider since 2014
Subscribe to our Dollars & Sense podcast!
