Hawaii Aviation

Hawaiian Airlines has announced an offering consisting of $216,976,000 in Class A Certificates and $45,010,000 in Class B Certificates, with each class representing an interest in its respective pass-through trust. The funds raised through the offering will be used to acquire equipment notes secured by six Airbus A321-200neo and two Airbus A330-200 aircraft.

The two Certificate tranches will carry a weighted average interest rate of 7.85%. The Class A Certificates will have an interest rate of 7.375% per annum, with a final expected distribution date of September 15, 2027, while the Class B Certificates will bear an interest rate of 11.25% per annum and a final expected distribution date of September 15, 2025.
Subject to customary closing conditions, the offering is scheduled to conclude on August 5, 2020, and Hawaiian Airlines is expected to receive net proceeds of approximately $259,366,140 after transaction fees.

Hawaiian’s parent company will fully and unconditionally guarantee the airline’s payment obligations under the equipment notes.

The Certificates are exclusively offered to institutional investors meeting the qualifications outlined in Rule 144A under the Securities Act of 1933, as amended, as well as to non-U.S. investors in offshore transactions under Regulation S of the Securities Act. The Certificates will not be registered under U.S. securities laws or those of any other jurisdiction, and they will not be eligible for exchange offers or registration rights. Their sale in the United States is restricted, requiring registration or an applicable exemption.

Reference:

1. Hawaiian Airlines (July 29, 2020) Hawaiian Airlines, Inc. Prices Offering of $216,976,000 Class A and %45,010,000 Class B Enhanced Equipment Trust Certificates. Hawaiian Airlines. https://newsroom.hawaiianairlines.com/releases/hawaiian-airlines-inc-prices-offering-of-216-976-000-class-a-and-45-010-000-class-b-enhanced-equipment-trust-certificates