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FSA Guarantees Perth Airport Refinancing
NOT FOR RELEASE OR DISTRIBUTION IN THE UNITED STATES, CANADA OR JAPAN
Sydney, November 23, 2006 - Financial Security Assurance (FSA) has guaranteed A$340 million of seven-year and 10-year senior secured bonds to be issued by Westralia Airports Corporation (WAC), the owner and operator of Perth Airport, the fourth largest in Australia. Commonwealth Bank of Australia acted as lead manager for the issue. The bonds are rated Aaa/AAA/AAA based on FSA's guaranty of timely payment of principal and interest. The issue funded a refinancing of bonds issued in 1998 and is part of a program to refinance all of the airport's existing debt.
"This refinancing will help Perth Airport reduce its cost of funds and continue a major capital improvement program," said Chris Wrenn, a director of FSA's Australia office. "In addition to the cost savings, the issuance provides a flexible funding structure."
The guaranteed bonds are secured by a fixed and floating charge over all the airport's assets, including a 99-year lease of the airport site and buildings, which WAC purchased in 1997.
About FSA
Financial Security Assurance Holdings Ltd. (FSA Holdings) is a New York-headquartered holding company whose subsidiaries provide financial guarantees in both the public and private sectors around the world. Its principal operating subsidiary, Financial Security Assurance Inc., is a leading guarantor of municipal bonds, infrastructure financings and asset-backed securities. Financial Security Assurance (U.K.) Limited is a U.K.-licensed subsidiary of Financial Security Assurance Inc. Guarantees issued by these subsidiaries carry the highest ratings available, from Fitch Ratings, Moody's Investors Service, Inc., Standard & Poor's Ratings Services and Rating and Investment Information, Inc. FSA Holdings is a member of the Dexia group, the world leader in public finance. For additional information, visit www.fsa.com.
THIS PRESS RELEASE IS NOT AN OFFER FOR SALE IN THE UNITED STATES. SECURITIES MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES ABSENT REGISTRATION OR AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT OF 1933