KBRA releases research on the aviation sector's post-pandemic recovery and potential trajectory. Aviation was among the hardest hit industries during the pandemic, with global travel coming to a standstill in 2020. As a result, aviation asset-backed securities (ABS) faced considerable strain, enduring some of the most severe credit challenges across all of structured finance. Despite these headwinds, the industry has made a strong recovery since 2022, with utilization and lease rates rebounding toward pre-pandemic levels.
In light of this rebound and the time elapsed since the pandemic’s peak, KBRA examined key aviation ABS metrics, including the weighted average utilization rate, weighted average debt service coverage ratio (DSCR), and weighted average implied lease rate for the outstanding aviation ABS universe each month.
Click here to view the report.
Related Publications
- Aviation ABS Exposure to China
- Aviation ABS Exposure to Israel-Hamas Conflict
- Aviation ABS Payment Status: Behind Schedule
- Aviation ABS: Insurance Recoveries Suffer Major Delays
About KBRA
KBRA is a full-service credit rating agency registered in the U.S., the EU, and the UK, and is designated to provide structured finance ratings in Canada. KBRA’s ratings can be used by investors for regulatory capital purposes in multiple jurisdictions.
Doc ID: 1005715
View source version on businesswire.com: https://www.businesswire.com/news/home/20240829363796/en/
Contacts
Brian Ford, Head of Structured Finance Research
+1 646-731-2329
brian.ford@kbra.com
Brajean Ramos, Senior Analyst
+1 646-731-2417
brajean.ramos@kbra.com
Media Contact
Adam Tempkin, Director of Communications
+1 646-731-1347
adam.tempkin@kbra.com
Business Development Contact
Arielle Smelkinson, Senior Director
+1 646-731-2369
arielle.smelkinson@kbra.com