Standard & Poor’s (S&P) has assigned an “A+” rating with a stable outlook on Philadelphia International Airport's (PHL) general airport revenue bonds. This is up two notches from the “A-“ rating PHL received in 2021. PHL has approximately $1.6 billion of debt outstanding, consisting of $1.5 billion of airport revenue bonds. Most of the airport's debt is fixed rate.
“To achieve an A+ stable rating from S&P while still recovering from the pandemic demonstrates the resiliency of the airport and is a testament to the hard work of our finance team to manage our portfolio during the most uncertain time in the aviation industry’s history,” said PHL CEO Atif Saeed. “Passenger volume and air service are growing at PHL once again. The new rating affirms that we are headed in the right direction.”
S&P assigned an “A+” rating to the airport revenue and refunding bonds Series 2015A, 2017A and 2017B. In explaining its rating, S&P’s stated, “The upgrade reflects a passenger recovery resulting in an improved enterprise risk profile to very strong and financial metrics we expect will be maintained at levels generally consistent with a strong financial risk profile.”
S&P recognized PHL’s competitive position, strong origin and destination market and its important role within American Airlines’ system. They also highlight PHL’s improved liquidity and skilled and experienced management team which has assisted the airport in mitigating risks as it continues its pandemic recovery.