Hawaiian Airlines draws down $235 million in revolving loans

By Rebecca Melvin

New York, March 18 – Hawaiian Airlines, Inc., a wholly-owned subsidiary of Hawaiian Holdings, Inc., drew down $235 million in revolving loans under its Dec. 11, 2018 amended and restated credit and guaranty agreement with Citibank, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission on Wednesday.

Borrowings bear interest at Libor plus 225 basis points, and the agreement becomes due on Dec. 11, 2022 unless extended by the parties.

In other events, Hawaiian Airlines reiterated that it is reducing its flight capacity system-wide by 8% to 10% in April and 15% to 20% in May, compared to its original 2020 plans. The capacity reduction was announced on March 13 and is in response to declining demand caused by the Covid-19 pandemic. In addition, the company announced that it has reached an agreement in principle on a new, five-year contract with the Association of Flight Attendants on March 16. It is also suspending all stock repurchases under its previously announced stock repurchase program that expires on Dec. 31, 2020.

The airline is based in Honolulu.

© 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.