American Airlines talks $957 million class A, B pass-throughs

By Aleesia Forni and Paul A. Harris

Virginia Beach, Sept. 2 – American Airlines, Inc. announced a $956,884,000 offering of class A and class B pass-through certificates, series 2014-1, in a filing with the Securities and Exchange Commission on Tuesday.

The deal includes $741,460,000 of class A certificates (/A/) with a final expected regular distribution date of Oct. 1, 2026.

Price talk for the class A certificates is set in the 3.75% area, according to a market source.

There is also $215,424,000 of class B certificates with a final expected regular distribution date of Oct. 1, 2022.

The class B certificates are talked in the 4.75% area, a market source said.

Goldman Sachs & Co. is the structuring agent and lead bookrunner.

Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Morgan Stanley & Co. LLC, Citigroup Global Markets Inc., BofA Merrill Lynch, Barclays, BNP Paribas Securities Corp., Credit Agricole Securities and J.P. Morgan Securities LLC are the bookrunners.

Proceeds will be used to acquire equipment notes that will be issued to finance the purchase of five Airbus A319-112 aircraft delivered new to American in 2013, seven Airbus A321-231 aircraft delivered new to American in 2014 and five Boeing 777-323ER aircraft delivered new to American from 2012 to 2014.

The commercial airline, which is a subsidiary of AMR Corp., is based in Fort Worth, Texas.

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