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Danish Government Backs SAS Cost Cuts

The Danish government has agreed to convert the aid it lent SAS during the pandemic into equity, as well as potentially investing new equity in the airline, as part of the airline's restructuring. Key to that, however, is the carrier...

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Air New Zealand Issues A$550 Million in Notes

Air New Zealand issued A$550 million ($389 million) in medium-term notes on May 26. The fixed-rate debt is split into an A$300 million 4-year tranche and an A$250 million 7-year tranche. Proceeds will be used to redeem NZ$400 million ($258...

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China Eastern Seeks to Raise up to $2.2 Billion

China Eastern Airlines plans to raise up to 15 billion yuan ($2.2 billion) through an equity issue. The carrier will issue up to 5.66 billion new shares on the Shanghai Stock Exchange to certain pre-approved investors. Proceeds will be used...

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Earnings Around the World

Turkish Airlines posted a $161 million net profit on a $512 million operating profit in the first quarter. Revenues increased 10 percent year-over-three-years to $3.1 billion during the period with cargo the highlight; freight revenues doubled to $980 million. Unit...

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Lufthansa Signs $2.2 Billion Revolver

The Lufthansa Group has signed a €2 billion ($2.2 billion) unsecured syndicated revolving credit facility. Chief Financial Officer Remco Steenbergen said the revolver, which replaces €700 million in undrawn bilateral credit lines, will help achieve the group's €6-8 billion liquidity...

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Air New Zealand to Raise $1.5 Billion

Air New Zealand is embarking on a major balance sheet improvement effort just as it's about to resume carrying international travelers. The airline has launched a NZ$2.2 billion ($1.5 billion) recapitalization program split between a NZ$1.2 billion rights offer to...

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Air Canada Eyes EETC Funds

Air Canada plans to pay cash for its deliveries of Boeing 737-8 and 787-9 aircraft over the "near term" in order to de-lever its balance sheet, Chief Financial Officer Amos Kazzaz said at a J.P. Morgan conference last week. However,...

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Aviation Financiers Look Past Volatility

Financiers at the annual ISTAT Americas conference were bullish on the the aviation finance market, even with concerns over the war in Ukraine and elevated oil prices. Most spoke of ample capital looking for a home in the market, whether...

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Icelandair Cancels Pandemic Credit Line

In the latest sign the international travel recovery is firmly underway, Icelandair has cancelled a $120 million credit facility from Íslandsbanki and Landsbanki that was backed by the Icelandic government. The two-year revolver was extended to the airline in September...

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United Weighs MileagePlus Stake Sale

After its successful securitization of MileagePlus in 2020, United Airlines is evaluating potentially selling a minority stake in the loyalty program, reported Bloomberg. The possible deal, which the carrier declined to comment on, would likely involve no more than 15...

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Castlelake Closes $1.6 Billion Fund

Gol has closed up to $600 million in lease financing from Castlelake for 12 Boeing 737 Max aircraft. The deal covers 10 finance leases and two sale-and-leasebacks of 737-8s, and will finance the full capital costs of the aircraft. The...

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Airlines Issue More Than $1 Billion in Bonds

Korean Air priced a Japanese yen-denominated senior unsecured bond guaranteed by the Export-Import Bank of Korea (KEXIM). Proceeds from the three-year notes will be used to repay debt. Moody's Investor Service rated the bond an investment grade Aa2.Singapore Airlines sold...

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