Hagåtña, Guam – With the Leon Guerrero-Tenorio Administration continuing to bolster economic recovery through meaningful government programs, the successful sale of the A.B. Won Pat International Airport Authority, Guam (GIAA) bonds–despite a tumultuous marketplace–showed significant investor interest and confidence in Guam’s economy. With the sale of $47 million in refunding bonds by the GIAA, Guam Economic Development Authority (GEDA), and the Bureau of Budget and Management Research (BBMR), the GIAA will now be able to significantly reduce its debt service payments over the next few years and achieve net present value savings of $2.28 million with All in True Interest Cost (TIC) of 5.24%.
“It has been the commitment of our Administration to do all we can to improve the financial sustainability of not only our government but also our only commercial airport,” stated Governor Lou Leon Guerrero. “We continue to work toward accelerating Guam’s economic recovery through government programs that help uplift our community and lower costs for our people.”
“We continue to work toward accelerating Guam’s economic recovery through debt refinancing that reduces operational costs. Our Administration has been at the forefront of achieving debt service reduction and has saved the people of Guam over $103 million over the last three years over multiple bond refinancings,” stated Lieutenant Governor Josh Tenorio. “This successful bond issue will further assist in providing a safe and secure travel experience and preparing for the impending return to pre-pandemic tourist arrivals.”
“We found that investors were very open to hearing Guam’s story, especially concerning the resilience of not only Guam’s tourism industry but also the Guam airport,” stated Brian Bamba, Chairman of the GIAA Board of Directors. “Our discussions with investors yielded a positive outcome with our bond subscription being oversubscribed eight times. This will greatly assist our airport in its continued recovery from the COVID-19 pandemic.”
Questions or comments should be addressed to Artemio “Ricky” Hernandez, Ph.D., Deputy Executive Manager, or Rolenda Faasuamalie, Airport Marketing Administrator, at (671) 646-0300. Also available to answer questions are BBMR Director Lester Carlson at (671) 475-9318 or GEDA CEO/Administrator Melanie Mendiola at (671) 647-4332.
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