(Editor's note: This article was originally published Feb 6, 1998. It is being republished now for RatingsDirect.) The rating on Austin, Texas' notes, issued for the city of Austin Airport System, is based on a direct pay LOC issued by Morgan Guaranty Trust Co. of New York, which was placed on CreditWatch with negative implications on Jan. 26, 1998. The LOC covers all principal and interest payments, as well as the purchase price on the bonds. The bonds will initially bear interest in the weekly-rate mode, but may be converted to a short-term rate, which consists of one or more bond interest terms. The bonds will mature Nov. 15, 2017. The bonds are subject to mandatory tender upon the occurrence
