Alaska Air Group Inc.

NYSE:ALK   3:59:59 PM EDT
+0.35 (+0.88%)
Debt Financing / Related, Other Pre-Announcement

Alaska Air Group Says Co And Unit Entered Into Loan And Guarantee Agreement

Published: 10/01/2020 11:18 GMT
Alaska Air Group Inc (ALK) - Alaska Air Group Inc - on September 28, Co and Unit Entered Into Loan and Guarantee Agreement.
Alaska Air - Agreement Provides for Secured Term Loan Facility Which Permits Alaska to Borrow Up to $1.3 Billion.
Alaska Air Group - Has Been Advised by U.S. Treasury It Intends to Allocate Additional Loans to Co Under Cares Act in Oct.
Alaska Air Group Inc - May Borrow Additional Amounts in Up to Two Subsequent Borrowings Until March 31, 2021.
Alaska Air - All Proceeds Must Be Used for Some Corporate Purposes in Accordance With Terms and Conditions of Provisions of Cares Act.
Alaska Air Group - Agreement Also Requires Air Group to Calculate Debt Service Coverage Ratio on a Quarterly Basis, Beginning in Dec 2020.
Alaska Air Group Inc - All Borrowings Will Be in Form of Term Loans Which Mature, Will Be Due and Payable in Single Installment on September 26, 2025.
Alaska Air Group Inc - Intends to Withdraw Excess Collateral After Determining Total Amount It Will Borrow During Availability Window.
Alaska Air Group Inc - Under Agreement, Co Must Maintain Minimum Aggregate Liquidity of $500 Million.
Alaska Air Group Inc - Has Authorized Plan to Retire 10 Owned Airbus A320 Aircraft Earlier Than Previously Scheduled.
Alaska Air Group Inc - Expects to Record Impairment Charge Associated With 10 Owned Airbus A320 Aircraft.
Alaska Air Group Inc - Impairment Charges Are Expected to Range From $115 Million to $125 Million.