News Release

Moody's Changes Outlook on GIAA General Revenue Bonds to Stable

Friday, January 18, 2019

Moody's Investor Services affirmed the Baa2 rating on A.B. Won Pat International Airport Authority, Guam (GIAA) senior General Revenue Bonds and has changed the outlook to stable from negative in its release to investors of January 14, 2019. This action follows Moody's recent outlook change of Government of Guam's Ba1 Issuer Rating from negative to stable, issued on January 10, 2019.

"Moody's action is indicative of their confidence in our ability to carry out critical improvement projects, most specifically the $110M International Arrivals Corridor, all the while meeting, and exceeding our debt service coverage of 1.25 on our General Revenue Bonds. In Fiscal Year 2017, we had a debt service coverage of 1.45 and had cash reserves to fund airport operations for over 600 days, "stated Tom Ada, Airport Executive Manager." In this Administration, you can expect all efforts to be maximized in terms of safety and security, fiscal management, revenue generation, operational efficiency and forward progress in our capital improvement programs," he continued.

Moody's latest outlook follows Standard & Poor's (S&P) upgraded the credit rating on the Antonio B. Won Pat International Airport Authority, Guam's (GIAA) senior-lien general revenue bonds from BBB to a BBB+ with a stable outlook released on September 27, 2018, and again mentioned in S&Ps "Year- End Update to S&P Global Ratings' U.S. and Canadian Not for Profit Transportation Infrastructure Enterprises Criteria Implementation" report issued November 28, 2018.

Moody's Investor Services January 14, 2019 release can be viewed in its entirety at https://www.moodys.com/research/Moodys-changes-outlook-on-AB-Won-Guam-International-Airport-Authoritys--PR_905665020.