Business Context and Reporting Period
Company: Grupo Aeroportuario del Pacifico, S.A.B. de C.V. (Pacific Airport Group)
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Date: December 11, 2009
Context: The Company operates twelve airports in Mexico's Pacific region, including major hubs in Guadalajara and Tijuana, and tourist destinations such as Puerto Vallarta and Los Cabos. This filing announces the details of a new credit facility secured to finance capital investment programs for 2009 and 2010.
Key Financial Metrics and Debt Structure
New Credit Facility: The Company secured a total credit line of Ps. 651.4 million for the Guadalajara, Puerto Vallarta, Hermosillo, and Guanajuato airports.
- Financing Split: Equal amounts of Ps. 325.7 million from Banamex and HSBC.
- Utilization: Funds are allocated for remaining 2009 capital investments and expected 2010 capital investments.
- Existing Debt: As of the filing date, the outstanding balance on a Banamex loan signed in September 2007 totaled Ps. 906.2 million.
Interest and Fees:
- Commission Structure: 135.0 basis points (Banamex) and 128.0 basis points (HSBC) for 2009; 128.0 basis points for both in 2010.
- Commitment Fee: 25 basis points (Citigroup) and 50 basis points (HSBC) on unexercised amounts.
- Repayment: 28 equal quarterly payments of principal and interest, commencing three months after the exercise date.
Material Changes and Credit Terms
The primary material change is the execution of a new credit contract with a seven-year maturity for both Tranche A (exercised immediately) and Tranche B (to be exercised by February 28, 2010).
| Airport | Tranche A (Exercised Dec 10, 2009) | Tranche B (By Feb 28, 2010) | Total (Millions Ps.) |
|---|---|---|---|
| Guadalajara | 97.0 | 246.1 | 343.1 |
| Puerto Vallarta | 0.0 | 168.5 | 168.5 |
| Hermosillo | 19.8 | 44.0 | 63.8 |
| Guanajuato | 27.0 | 49.0 | 76.0 |
| TOTAL | 143.8 | 507.6 | 651.4 |
Guarantees: The credit is unsecured by external guarantees; the airports act as guarantors for each other.
Financial Covenants and Risks
The credit agreement imposes strict financial obligations applicable to all airports, calculated on a consolidated basis for the previous four quarters:
- Total Debt to EBITDA: Must remain below 2.5 to 1.
- EBITDA to Gross Interest Cost: Must remain above 4.0 to 1.
- Shareholders' Equity to Total Debt: Must remain below 3.0 to 1.
Management Commentary: The Company states it has made timely payments on all capital and interest obligations to date. The filing includes standard forward-looking statement disclaimers regarding economic conditions, industry trends, and capital expenditure plans.
Investor Verification Checklist
- Verify the Company's compliance with the new financial covenants (Debt/EBITDA < 2.5x, EBITDA/Interest > 4.0x) using the most recent quarterly data.
- Confirm the total outstanding debt load, including the Ps. 906.2 million existing Banamex loan and the new Ps. 651.4 million facility.
- Monitor the execution of Tranche B (Ps. 507.6 million) to ensure it is drawn by the February 28, 2010 deadline.
- Review the impact of the new interest costs (approx. 128-135 bps) on future EBITDA and net income projections.
- Assess the liquidity position relative to the 28-quarter repayment schedule starting in Q1 2010.