The methodology used to obtain the Financial Ratings published on this site is simple and transparent. These are the main steps employed to obtain the Financial Ratings published on this site.
TAA Financial Ratings are based on the most recent "Latest Twelve Month" ("LTM") data for each airline which renders the ratings more volatile than those of the rating agencies. This feature may make them leading indicators of changes by the rating agencies, who may wait for a trend to be confirmed before changing a rating.
TAA Financial Ratings provide ratings for the three most recent LTM periods so that trends in ratings are clearly identified. Also, we compare the TAA Financial Ratings with the public ratings from the three major rating agencies so that differences can be seen and analysed.