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Airport Revenue Bond

 tax-exempt Bond issued by a city county state or Airport Authority to support the expansion and operations of an airport the repayment of principal and interest is backed by either the general revenues of Airport Authority or lease payments generated by one or more Airlines using the facilities in some cases airport revenue bonds are back directly by the financial strength of the major airline using the airport which makes the bonds more risky because airlines are particularly sensitive to economic cycles and could go out of business in a Down cycle

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