Moody’s Ratings has affirmed Nordic Aviation Capital’s B2 corporate family rating.
The backed B2 ratings of the senior unsecured notes and senior secured Term Loan B of NAC Aviaiton 29 Designated Activity Company (NAC 29) were also affirmed, with the outlook remaining stable.
‘The affirmation also reflects NAC’s prospects for good operating results in 2024 and its effectively managed capital and liquidity positions,’ notes Moody’s. It adds that 'NAC produced respectable profitability in 2023, its first full year of results after emerging from bankruptcy reorganization’. NAC’s earnings were helped by higher-than-anticipated rental values and gains from aircraft trading, both reflecting strong leased demand from airlines.
Moody predicts that ‘air travel growth and strengthening airline finance will continue to aid NAC’s leasing volumes and earnings prospects,’ although earnings and profitability in 2024 ‘could decline as the company continues to pare the fleet of less-strategic aircraft, reducing revenues’.
Nordic Aviation Capital retains Moody’s rating
