Fitch trims Avation

Fitch Ratings said it downgraded the long-term issuer default ratings of Avation plc and its subsidiaries, Avation Capital SA and Avation Group (S) Pte. Ltd., to B+ from BB-. Fitch also downgraded the rating of Avation Capital's senior unsecured notes guaranteed by Avation to B from BB- and assigned an RR5 recovery rating. Fitch placed the ratings on rating watch negative.

These actions are being taken in conjunction with a global aircraft leasing sector review conducted by Fitch, covering ten publicly rated firms.

The downgrade and rating watch negative reflect Avation's high leverage of above 4x since end-June 2019, which reduces capitalization headroom to withstand impairments and increases the company's vulnerability to the economic effect from the coronavirus, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.