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RIAC audited financial statement for 6/30/2013 year end shows Operating Revenues of $50.3 million against 48.6 million of operating expenses. Total revenues minus total expenses shows a net loss of $6.0 million which was offset by a "capital contribution" of $6.4 million. That capital contribution was shown in the financial statement as a provision for $146 million of bonds that slipped into junk bond status (Standard and Poors BB as reported by the airport in a Material Event Notice filed on March 7, 2013.

This event notice document's over half of RIAC's non-Intermodal Train Station bonds into junk raising the question if RIAC should be considered as having generally fallen into junk status. The notice invites the public to correspond with the airport's CFO for any questions. Perhaps the Beacon's readership should contact him for details.

New bond ratings for both the airport's regular bonds and the Intermodal should be out shortly. This is a required component of RIAC's attempt to refinance some of this badly slipping debt prior to seeking more financing for the Runway 16-34 safety projects and what seems now to be an almost impossible mission to raise debt to pay for the extension of Runway 5-23.

It is interesting to note that the issuer of RIAC bonds, the RI EDC staff, has not informed its board of the Material Events Notice of March 7, 2013. One would think that after the 38 Studios fiasco, RI EDC staff would go ultra conservative - but it did not. In fact RIAC and EDC failed to tell the RI Clean Water Financing Agency of this junk bond situation when an arrangement was made to borrow $35 million from that agency this past June. Clean Water's financial adviser who specifically claimed that all was OK with RIAC when pressed by the Clean Water board -- this adviser is being sued by RI EDC for its role in the 38 Studios fiasco.

It's time for RIAC to come clean regarding its financial mess and at least report to the public what is in its financial reports!

From: Airport director aims for 5M passengers by 2018

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