CHICAGO -- Airport debt solely secured by passenger facility charges would be unlikely to achieve an investment-grade rating of Baa or above, according to a policy statement released yesterday by Moody's Investors Service.

Moody's pointed out that while Congress intended to allow airports to collect the $1 to $3 charges per enplaned passenger and leverage the revenues for bonds, "the ability of the Federal Aviation Administration to terminate an airport's passenger facility charge authority poses a significant uncertainty to potential investors."

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