Research Update: Mexico City Airport Trust 'BBB' Rating Affirmed On Traffic Recovery; Outlook Stable

As passenger volumes at the Mexico City International Airport (AICM) continue to recover gradually, we expect Mexico City Airport Trust (Mexcat or the project) to improve its liquidity position and maintain its minimum debt service coverage ratio (DSCR) at 1.75x in the long term. On Aug. 1, 2022, S&P Global Ratings affirmed its 'BBB' rating on Mexcat's senior secured bonds, and revised upward its stand-alone credit profile (SACP) to 'a-' from 'bbb+'. The stable outlook on the debt rating reflects our expectations of continued recovery in passenger volumes even following the opening of the competing Felipe Angeles International Airport (AIFA), enabling the project to post DSCR above 2.0x in the next 12-24 months. In addition, the outlook on the debt

...- As passenger volumes at the Mexico City International Airport (AICM) continue to recover gradually, we expect Mexico City Airport Trust (Mexcat or the project) to improve its liquidity position and maintain its minimum debt service coverage ratio (DSCR) at 1.75x in the long term. - On Aug. 1, 2022, S&P Global Ratings affirmed its '###' rating on Mexcat's senior secured bonds, and revised upward its stand-alone credit profile (SACP) to 'a-' from '###+'. - The stable outlook on the debt rating reflects our expectations of continued recovery in passenger volumes even following the opening of the competing Felipe Angeles International Airport (AIFA), enabling the project to post DSCR above 2.0x in the next 12-24 months. In addition, the outlook on the debt rating reflects the stable outlook on the sovereign, given the relationship between the project and the operator, Grupo Aeroportuario de la Ciudad de MTxico (GACM), and the Mexican federal government....

Research Update