KBRA assigns Allegheny County Airport Authority (Pittsburgh Worldwide Airport) A + score; Outlook is steady

NEW YORK, August 03, 2021 – (BUSINESS WIRE) – Kroll Bond Rating Agency (KBRA) awards a long-term rating of A + with a stable outlook for Airport Revenue Bonds, Series 2021A (AMT) and Airport Revenue Bonds, Series 2021B ( Non-AMT) issued by the Allegheny County Airport Authority (Pittsburgh International Airport). The Allegheny County Airport Authority manages Pittsburgh International Airport (PIT), a commercial international airport, and Allegheny County Airport (AGC), an auxiliary airport for PIT’s general aviation.

An evaluation report follows.

Important creditworthiness considerations

KBRA continues to monitor the direct and indirect effects of the COVID-19 virus. Click here to access KBRA’s ongoing research on the subject.

The rating was given based on the following key creditworthiness considerations:

Credit positives

  • Innovative leadership team that has increased revenue diversification potential including growth in air cargo and airport real estate development.

  • The lack of a concentration of airlines, strong sources of income outside of aviation, and the origin and destination of airport activities all contribute to stability.

  • The regionally diversified economy benefits from a relatively young, well-educated workforce, low unemployment and growth in strategic employment sectors, although persistent population decline somewhat offsets these positive demographics.

Credit challenges

  • The agency, which is currently tendering and awarding construction package contracts, is at construction and execution risk on the $ 1.35 billion TMP.

  • The timing of a sustained recovery in passenger traffic to pre-pandemic levels is not yet known.

  • The forecast leverage is very high. Certain sources of income that can be classified as “other pledged income” under the MTI are volatile.

Valuation sensitivities

For upgrade

  • On-time and on-budget completion of the TMP in the amount of 1.35 billion

  • Heavy traffic recovery that generates net revenue that, along with other committed revenue, maintains adequate coverage and allows for moderate airfare to be maintained.

For downgrade

The story goes on

  • Building cost escalation or delays leading to significant cost overruns.

  • Poor traffic recovery that does not generate net revenue that, along with other promised revenue, is sufficient to maintain compliance with collective bargaining agreements, requiring significant increases in airline costs.

To access reviews and relevant documents, click here.


A description of all material material sources that were used to establish the rating and information about the methodology (s) (including any material models and sensitivity analyzes of the relevant material rating assumptions, if applicable) that were used in determining the rating is available Information Disclosure Form (s) can be found here.

Information on the meaning of the individual assessment categories can be found here.

Further information on this rating measure can be found in the information disclosure forms mentioned above. For more information on KBRA policies, methods, rating scales and indications, visit www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered as an NRSRO with the Securities and Exchange Commission. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered with the UK Financial Conduct Authority as a CRA under the temporary registration system. In addition, KBRA has been named by the Ontario Securities Commission as the designated rating organization for issuers of asset-backed securities for the submission of a short prospectus or shelf prospectus. KBRA is also recognized as a credit rating provider by the National Association of Insurance Commissioners.

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Analytical contacts

Linda Vanderperre, Senior Director (Lead Analyst)
+1 (646) 731-2482

Harvey Zachem, managing director
+1 (646) 731-2385

Jozelle Cox, Senior Analyst
+1 (646) 731-1227

Karen Daly, Senior Managing Director (Chair of the Evaluation Committee)
+1 (646) 731-2347

Business development contacts

William Baneky, managing director
+1 (646) 731-2409

James Kissane, Senior Director
+1 (213) 806-0026

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