Los Angeles International Airport
Large HubLos Angeles, CA · LAX
Recent News
Updated Mar 8, 2026The Los Angeles Board of Airport Commissioners approved $1 billion in additional funding for the final phase of the Airfield and Terminal Modernization Program (ATMP) Roadway Improvement Project. The project will reconfigure 4.4 miles of roadway to better manage airport and neighborhood traffic as part of LAWA's $30 billion capital improvement program.
American Airlines announced in January 2026 two new domestic routes from Los Angeles to Cleveland and Washington Dulles, challenging United Airlines at LAX. The expansion improves Midwest and East Coast connectivity while reinforcing Los Angeles as a meaningful hub in American's network.
Los Angeles World Airports began removing the ring of 15 illuminated pylons that marked LAX's entrance for 25 years as part of the Airfield and Terminal Modernization Program (ATMP) Roadway Improvements Project in early 2026. The pylons, some reaching 100 feet tall, will return in updated form after construction completes before the 2028 Olympics.
Los Angeles World Airports began construction in January 2026 on a modernization of the Tom Bradley International Terminal following December 2025 Board approval. The project, led by Clark Construction with 30% local hire and extensive MWBE requirements, aims to welcome the world for the 2028 Olympic and Paralympic Games.
Airport Profile
Key Financial Data (FY 2025)
Enplaned Passengers (T-100)
Cost per Enplanement (CPE)
Revenue
Expense
Ratemaking Overview
Settlement & True-Up
Annual reconciliation of actual revenues and expenditures
Extraordinary Coverage Protection (ECP)
Not available
Landing Fee Methodology
Not available
Terminal Rental Rate
Terminal Buildings Charge = Unified Capital Requirement / rentable terminal area
Common Use & Gate Allocation
Additional Bonds Test
Additional Subordinate Obligations may be issued if either: (a) Subordinate Pledged Revenues (plus any Transfer) for any 12 consecutive months out of most recent 18 months were at least 115% of Subordinate Maximum Aggregate Annual Debt Service on all Outstanding and proposed Subordinate Obligations; or (b) a Consultant certifies historical coverage ≥115% and projected coverage ≥115% for each future Fiscal Year through final maturity; or (c) completion bonds meeting specific criteria.
Rate Covenant
Subordinate Pledged Revenues together with any Transfer must equal at least 115% of Subordinate Annual Debt Service on Outstanding Subordinate Obligations for each Fiscal Year. Subordinate Pledged Revenues = Pledged Revenues minus LAX Maintenance and Operation Expenses minus principal and interest on Outstanding Senior Bonds minus deposits to Senior Debt Service Reserve Funds.
Flow of Funds
FIRST: LAX Maintenance and Operation Expenses; SECOND: Senior Debt Service Funds; THIRD: Senior Reserve Funds; FOURTH: Subordinate Obligations (including Series 2025ABC); FIFTH: Subordinate Reserve Fund; SIXTH: Third Lien Obligations; SEVENTH: Third Lien reserves; EIGHTH: Maintenance and Operation Reserve Account (25-50% of budgeted LAX M&O Expenses); NINTH: Discretionary purposes authorized by Charter.
Source Documents
Official Statements
Airline Use Agreements
Budgets
Source: FAA CATS Form 5100-127, DOT T-100 Market Data, Airport Official Statements · Hub classification: FAA CY 2024 Enplanement Data · Prepared by DWU Consulting