On June 15, 2006, Standard&Poor's Ratings Services assigned its 'AAA' long-term credit rating to Brisbane Airport Corp. Pty Ltd.'s (BAC; BBB/Stable/--) proposed A$400 million credit-wrapped notes. The notes are to be supported by an unconditional and irrevocable guarantee by Ambac Assurance Corp. (AAA/Stable/--). The issue's proceeds, net of issuing costs, will be used to refinance existing debt and provide financing headroom as the company pursues its development plans. The final rating on the proposed issue is subject to final documentation and pricing. The ratings on BAC reflect the airport's secure market position, resilient passenger traffic, good growth prospects, and increasing revenue diversity. Offsetting these strengths are BAC's aggressive financial profile and the airport's small—to-moderate catchment size. Brisbane Airport
