Hawaiian Airlines secures $444.5M to fund new Airbus planes
Courtesy Hawaiian Airlines
Hawaiian Airlines Inc. has closed on $444.5 million in Enhanced Equipment Trust Certificates to finance the acquisition of six new Airbus A330-200 aircraft.
- Staff Pacific Business News
Hawaiian Airlines Inc. said Wednesday that it has closed on $444.5 million in Enhanced Equipment Trust Certificates to finance the acquisition[1] of six new Airbus A330-200 aircraft over the next 18 months.
“This financing represents a significant landmark for Hawaiian, and we are very pleased with the results,” Scott Topping[2], chief financial officer of Hawaiian Airlines, a subsidiary of Hawaiian Holdings Inc. (Nasdaq: HA), said in a statement.
The financing is comprised of $328.26 million of Class A certificates with an interest rate of 3.9 percent and a final distribution date of Jan. 15, 2026, and $116.28 million in Class B certificates with an interest rate of 4.95 percent and an final expected distribution date of Jan. 15, 2022.
Topping noted that the fixed interest rates of the Class A and Class B certificates were the lowest for an airline via a public EETC offering without an insurance wrap.
“The offering opens a significant new source of future capital for Hawaiian and reflects our financial strength, the confidence that capital market investors have in our strategy and the enduring value of our investment in the Airbus aircraft,” Topping said.
References
- ^ to finance the acquisition (www.bizjournals.com)
- ^ Scott Topping (feeds.bizjournals.com)