DAA bond rating cut
Rating agency Stadard & Poors has cut the rating on certain DAA (Dublin Airport Authority) bonds to BBB+ which is just two steps junk bond. S&P said in its review that a further reduction in the airport operator's rating could not be ruled out as the Authority grapples with declining passenger numbers at the three state airports in its control - Dublin, Shannon and Cork. The DAA issued €1.1bn of bonds to fund the construction of Dublin's T2 and improvements at Cork airport. S&P said that "The negative outlook reflects our view that a recovery in traffic is uncertain at this stage, especially in the context of the current economic position of the Republic, which could place further pressure on DAA's business and financial profiles."