United Air Lines prices $810.3 million equipment trust certificates

New York, Nov. 16 - United Air Lines, Inc. priced $810,337,000 in class A and B pass-through certificates, according to a company announcement and a 424B5 filing with the Securities and Exchange Commission on Monday.

The enhanced equipment trust certificates offering consists of $697,731,000 of class A certificates (Ba1/BBB) priced with an interest rate of 9.75% and an expected final distribution of Jan. 15, 2017 and $112,606,000 of class B certificates (B1/BB) priced with an interest rate of 12% and an expected final distribution of Jan. 15, 2016.

The sale was done off the high-grade syndicate desk.

The certificates are guaranteed by United Air Lines.

J.P. Morgan Securities Inc., Morgan Stanley & Co. and Goldman Sachs & Co. are the bookrunners for the public sale.

Co-managers are Citigroup Global Markets Inc., Credit Suisse Securities and Deutsche Bank Securities Inc.

Proceeds will be used to repay all $493 million of the 2000-2 enhanced equipment trust certificates and held in escrow to acquire equipment notes to buy aircraft.

The holding company for commercial airline United is based in Chicago.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.