United prices first EETC of 2018

Eleanor Steed
By Eleanor Steed February 1, 2018 15:47

United prices first EETC of 2018

United Airlines has priced two tranches of enhanced equipment trust certificates, which mature in March 2030: $677.175 million class AA certificates, which are rated AA by Fitch and have an initial loan to value (LTV) of 42.6%, carry a 3.50% coupon with a 125 basis point make-whole spread over treasuries; and $257.965 million class A certificates, rated A with an LTV of 58.9%, carry a coupon of 3.700% and make-whole spread of 150bps.

The notes are secured by a perfected first priority security interest in two 737-800s, six 737 MAX 9s, five 787-9s, and three 777-300ERs.

Lead underwriters are Credit Suisse and Citi, with Goldman Sachs, Deutsche Bank, Morgan Stanley, Barclays, Merrill Lynch, BNP Paribas, Credit Agricole0CIB, JPMorgan, Standard Chartered and Wells Fargo.

Eleanor Steed
By Eleanor Steed February 1, 2018 15:47