B747FR8DAWG
GIANT 747
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Press ReleaseSource: Atlas Air Worldwide Holdings, Inc.
Atlas Air Worldwide Holdings Subsidiary Closes Initial PDP Financing for New State-of-the-Art Boeing 747-8 Freighters
Monday February 4, 9:04 am ET $270 Million Facility; Available for Pre-Delivery Deposits on First Five of 12 Next-Generation, Wide-Body Freighter Aircraft Scheduled for Delivery in 2010 and 2011
PURCHASE, N.Y.--(BUSINESS WIRE)--Atlas Air Worldwide Holdings, Inc. (AAWW) (Nasdaq: AAWW - News), a leading provider of global air cargo services, today announced that its subsidiary, Atlas Air, Inc. (Atlas), has closed on a $270 million financing facility in connection with pre-delivery deposit payments (PDPs) on five next-generation Boeing 747-8 wide-body freighters scheduled for delivery to the Company between February and July 2010.
Required PDPs on the five aircraft, including amounts already paid, total $311 million, with $202 million scheduled to be paid in 2008. The latter figure represents more than 80% of Atlas’ total 2008 PDP requirements on its firm order for 12 747-8F aircraft. Principal amounts outstanding under the PDP facility are to be repaid in tranches upon delivery of each aircraft to Atlas.
Six 747-8Fs are scheduled to be delivered to Atlas in 2010, with six additional deliveries scheduled in 2011. The 747-8 Freighter will represent the largest and most efficient heavy freighter in the market, providing the lowest ton-mile cost of any freighter alternative. The 12 freighter aircraft, along with options and rights to acquire up to an additional 14, anchor a fleet strategy that focuses on the Company’s customers and reinforces AAWW’s position as the most advanced, most efficient, and most reliable provider of leased freighter aircraft and outsourced air cargo services and solutions.
“We are very pleased to achieve PDP financing for our first 747-8s that complements our launch-customer pricing on the aircraft,” said William J. Flynn, AAWW’s President and Chief Executive Officer. “The financing community has been very receptive to both the Company and the asset. The -8s will represent the most fuel-efficient and cost-effective heavy freighter alternative in the market.”
He added: “In addition to the inherent economic and operating advantages of the -8s, the aircraft financing community also recognizes the relative scarcity value the -8s will have when they enter operation and our first-mover advantage as the only outsource provider with -8s on order. Furthermore, our strong operating performance, balance sheet, and prospects for growth – combined with our premier international customer list and our long-term contractual relationships – leverage the attractiveness of the asset.”
Norddeutsche Landesbank Girozentrale, a leading aircraft financier, underwrote the PDP facility and will serve as the lead bank and facility agent. Funds drawn under the facility will bear interest at Libor plus a margin.
According to Boeing generic assumptions, the 747-8 Freighter is capable of flying a maximum structural payload capacity of 140 metric tons (154 short tons) while offering 16 percent more revenue cargo volume and equivalent range when compared to than the 747-400F. The 747-8 Freighter upholds its predecessor’s legendary efficiency with equivalent trip costs and 16 percent lower ton-mile costs than the 747-400F. The 747-8 Freighter will enjoy the lowest ton-mile costs of any freighter, giving operators unmatched profit potential.
Atlas Air Worldwide Holdings Subsidiary Closes Initial PDP Financing for New State-of-the-Art Boeing 747-8 Freighters
Monday February 4, 9:04 am ET $270 Million Facility; Available for Pre-Delivery Deposits on First Five of 12 Next-Generation, Wide-Body Freighter Aircraft Scheduled for Delivery in 2010 and 2011
PURCHASE, N.Y.--(BUSINESS WIRE)--Atlas Air Worldwide Holdings, Inc. (AAWW) (Nasdaq: AAWW - News), a leading provider of global air cargo services, today announced that its subsidiary, Atlas Air, Inc. (Atlas), has closed on a $270 million financing facility in connection with pre-delivery deposit payments (PDPs) on five next-generation Boeing 747-8 wide-body freighters scheduled for delivery to the Company between February and July 2010.
Required PDPs on the five aircraft, including amounts already paid, total $311 million, with $202 million scheduled to be paid in 2008. The latter figure represents more than 80% of Atlas’ total 2008 PDP requirements on its firm order for 12 747-8F aircraft. Principal amounts outstanding under the PDP facility are to be repaid in tranches upon delivery of each aircraft to Atlas.
Six 747-8Fs are scheduled to be delivered to Atlas in 2010, with six additional deliveries scheduled in 2011. The 747-8 Freighter will represent the largest and most efficient heavy freighter in the market, providing the lowest ton-mile cost of any freighter alternative. The 12 freighter aircraft, along with options and rights to acquire up to an additional 14, anchor a fleet strategy that focuses on the Company’s customers and reinforces AAWW’s position as the most advanced, most efficient, and most reliable provider of leased freighter aircraft and outsourced air cargo services and solutions.
“We are very pleased to achieve PDP financing for our first 747-8s that complements our launch-customer pricing on the aircraft,” said William J. Flynn, AAWW’s President and Chief Executive Officer. “The financing community has been very receptive to both the Company and the asset. The -8s will represent the most fuel-efficient and cost-effective heavy freighter alternative in the market.”
He added: “In addition to the inherent economic and operating advantages of the -8s, the aircraft financing community also recognizes the relative scarcity value the -8s will have when they enter operation and our first-mover advantage as the only outsource provider with -8s on order. Furthermore, our strong operating performance, balance sheet, and prospects for growth – combined with our premier international customer list and our long-term contractual relationships – leverage the attractiveness of the asset.”
Norddeutsche Landesbank Girozentrale, a leading aircraft financier, underwrote the PDP facility and will serve as the lead bank and facility agent. Funds drawn under the facility will bear interest at Libor plus a margin.
According to Boeing generic assumptions, the 747-8 Freighter is capable of flying a maximum structural payload capacity of 140 metric tons (154 short tons) while offering 16 percent more revenue cargo volume and equivalent range when compared to than the 747-400F. The 747-8 Freighter upholds its predecessor’s legendary efficiency with equivalent trip costs and 16 percent lower ton-mile costs than the 747-400F. The 747-8 Freighter will enjoy the lowest ton-mile costs of any freighter, giving operators unmatched profit potential.
