Upgrade reflects airport’s strong credit profile
ERLANGER, Ky. (March 25, 2016) — Moody’s Investors Service has upgraded CVG’s revenue bonds rating to A2 from A3, citing “the significant progress CVG has made in transitioning from a connecting hub to a multi-carrier, origin and destination (O&D) airport” as the reason for the upgrade.
Moody’s also pointed out as positives, CVG’s very low leverage, strong debt service coverage, stable passenger traffic and manageable near-term capital spending.
“We’ve been working hard to diversify our carrier base and revenue streams, and this bond rating upgrade is a reflection of that hard work,” said Candace McGraw, chief executive officer, Cincinnati/Northern Kentucky International Airport. “We’re proud that others are taking notice of our solid financial profile.”
Since 1972, CVG had operated under a full residual airline agreement, but transitioned to a new five-year hybrid airline agreement effective January 2016. According to Moody’s, “this change affords the airport greater control over operations and planning, without exposing the airport to proportionally more risk.”
CVG offers more nonstop destinations than any airport in the region, including direct international service to Paris, Toronto, Cancun, Montego Bay, Punta Cana and Freeport Grand Bahama. CVGairport.com is your award-winning, travel-planning resource with flight status, security wait times, parking availability and weather.
CVG is one of three global super-hubs for DHL, a top 10 cargo airport in North America and is recognized globally as a leading U.S. airport by SkyTrax World Airport Awards. CVG is the only airport in the country to receive Safety Act Designation and Certification from the Department of Homeland Security (DHS), giving the airport the highest level of protections under the Act.