WHO'S GOT THE MONEY? FUNDING GROWING CAPITAL PROGRAMS IN LEAN TIMES

This article examines how the capital spending of airports has changed since 1999-2000. Recent data indicates that airport capital spending has increased over the three-year period from 1999-2000 to 2001-2002. Small hubs reported an average increase of 21 percent, medium hubs 17 percent and large hubs 110 percent. Much of the capital spending during this period was programmed before September 11, 2001 and the subsequent economic slowdown. Survey data indicates that these levels of capital spending are likely to continue over the next several years. Most new capital needs have been funded through bonds. As a result, airports have shown substantial increases in average level of outstanding debt since 1999-2000. An analysis of estimated average debt capacity compared with average actual debt outstanding indicates that airports are rapidly reaching their limit of debt-carrying capacity and will soon need to find new revenue sources.

• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/07445326
• Corporate Authors:

  AAAE Service Corporation, Incorporated

  4212 King Street
  Alexandria, VA  United States  22302
• Authors:
  • Andrews, J P
• Publication Date: 2003-5

Language

• English

Media Info

• Features: Figures; References; Tables;
• Pagination: p. 18-19
• Serial:
  • Airport Magazine
  • Volume: 15
  • Issue Number: 3
  • Publisher: AAAE Service Corporation, Incorporated
  • ISSN: 0744-5326

Subject/Index Terms

• TRT Terms: Airport planning; Airports; Bonds; Capital expenditures; Debt; Economic analysis; Financing; Hubs
• Subject Areas: Aviation; Economics; Finance; Terminals and Facilities;

Filing Info

• Accession Number: 00960762
• Record Type: Publication
• Files: TRIS
• Created Date: Jul 13 2003 12:00AM