The ratings on Brisbane Airport Corp. Pty Ltd. (BAC) primarily reflect the Australian airport's strong competitive position as the main aviation hub for the state of Queensland (AAA/Stable/A-1+) and resilient and somewhat diverse revenue base. Also underpinning the ratings is BAC's prudent management and track record of exceeding financial policies and targets. Offsetting these strengths are BAC's aggressive financial profile, a reducing level of financial flexibility, and the significant risks associated with its large—albeit somewhat deferred—capital-expenditure program. Brisbane Airport's strong competitive position as the main aviation hub for Queensland is underpinned by the airport's diverse mix of airlines, which fly to an extensive network of destinations, and the state's historically strong economic and demographic growth. These strengths more than offset
