April 14, 2003
 

 MOODY’S AND STANDARD AND POOR’S ASSIGN

HIGH RATINGS TO JOHN WAYNE AIRPORT’S

REVENUE BONDS AND UPGRADES SERIES 1997 BONDS
 

Santa Ana, CA – Impressed with the economic strength of Orange County, Moody's assigned its Aa3 rating to the County's $51.0 million Series 2003 Airport Revenue Bonds issued for John Wayne Airport and Standard and Poor's assigned its single "A" + rating. Additionally, Moody's has affirmed the Aa3 rating, one of the highest Moody's has assigned to any single airport, while Standard and Poor's has upgraded the rating on the Airport's Series 1997 bonds to "A"+ from "A". 

According to both rating agencies, the ratings reflect consistently strong debt service coverage and growth in enplanements, especially during a difficult time in the aviation sector. John Wayne Airport is the only commercial airport in Orange County and an important economic asset to Southern California and the state. The strength of the market at the Airport is nearly unprecedented nationwide, as reflected by JWA's strong recovery from September 11, 2001. 

"The ratings by Moody's and Standard and Poor's are representative of the financial stability, strong operations and outstanding service that John Wayne Airport provides for Orange County," said Alan L. Murphy, Airport Director. "Our ratings reflect our commitment to efficient and cost effective services to our passengers and tenants." 

Other factors influencing the rating are the resilient demand for airport facilities as evidenced by enplanements of 4.0 million in 2002, the credit strength provided by strong debt service coverage, and a high volume of origination and destination traffic. Additionally, JWA has a diverse carrier mix and fiscally conservative management, as evidenced by a well-established history of sound financial operations. These strengths are offset by the generally competitive nature of Southern California air traffic market and the potential of additional general revenue airport bonds for capacity enhancements.I

– SNA –