KBRA Releases Report Assigning Ratings to Memphis-Shelby County Airport Authority Airport Revenue Refunding Bonds, Series 2020A and 2020B

NEW YORK–(BUSINESS WIRE)–On August 19, 2020, Kroll Bond Rating Agency (KBRA) assigned a long-term rating of A+ and Stable Outlook to Memphis-Shelby County Airport Authority’s (MSCAA) Airport Revenue Refunding Bonds, Series 2020A (Private Activity, Non-AMT) and Series 2020B (AMT). At the same time, KBRA affirmed the long-term rating of A+ on MSCAA’s outstanding airport revenue bonds and assigned a Stable Outlook. The Watch-Developing placement has been removed.

The assignment of a Stable Outlook reflects the sizable Memphis International Airport cargo component, which has buffered the impact of sharp passenger reductions on financial operations in the COVID-19 environment. Cargo activity has performed relatively well under these conditions, and the MSCAA appears poised to withstand a slow recovery in passenger volumes in the near to medium term.

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Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the U.S. Information Disclosure Form located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the U.S. Information Disclosure Form referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

KBRA is a full-service credit rating agency registered as an NRSRO with the U.S. Securities and Exchange Commission. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider and is a certified Credit Rating Agency (CRA) with the European Securities and Markets Authority (ESMA). Kroll Bond Rating Agency Europe is registered with ESMA as a CRA.

Contacts

Analytical Contacts

Harvey Zachem, Managing Director (Lead Analyst)

+1 (646) 731-2385

hzachem@kbra.com

Jack Morrison, Associate Director

+1 (646) 731-2410

jmorrison@kbra.com

Karen Daly, Senior Managing Director (Rating Committee Chair)

+1 (646) 731-2347

kdaly@kbra.com

Business Development Contact

Bill Baneky, Managing Director

+1 (646) 731-2409

bbaneky@kbra.com

James Kissane, Senior Director

+1 (213) 806-0026

jkissane@kbra.com