canadflyau
Well-known member
- Joined
- May 2, 2002
- Posts
- 437
From Lakes Quarterly Report 16-May-2005
"On April 25, 2005, Raytheon notified the Company that due to the Company's current defaults, it intended to reduce its exposure by requiring the Company to return five Beechcraft 1900D aircraft to Raytheon by June 30, 2005. The five aircraft to be returned may not include either of the two aircraft the Company leases to another airline. Among other things, the notice requested a full monthly payment by April 29, 2005, the return of all six spare engines that had been loaned to the Company, the sale of the Company's six spare engines, and the remitting of the proceeds to Raytheon. Upon return of the aircraft, Raytheon will release the Company from all future obligations under the related financing provided by Raytheon on the aircraft, but not the past due principal or interest payments."
Sounds like a REPO notice...
"On April 27, 2005, Boeing gave the Company a notice of default under its lease agreements, pursuant to which the Company leases two Embraer EMB-120ER aircraft, and directed the Company to pay Boeing with five days all amounts currently owing under those agreements. The notice stated that failure to do so would cause Boeing to exercise other rights as it deems appropriate. At April 27, 2005, the total amount due under the leases, including installments and penalty interest, was $7.6 million. The Company continues to engage in negotiations with Boeing regarding potential terms of repayment for these outstanding obligations."
and thats lots of money...
Just a concerned ex-Laker wonder what's happening out there.
"On April 25, 2005, Raytheon notified the Company that due to the Company's current defaults, it intended to reduce its exposure by requiring the Company to return five Beechcraft 1900D aircraft to Raytheon by June 30, 2005. The five aircraft to be returned may not include either of the two aircraft the Company leases to another airline. Among other things, the notice requested a full monthly payment by April 29, 2005, the return of all six spare engines that had been loaned to the Company, the sale of the Company's six spare engines, and the remitting of the proceeds to Raytheon. Upon return of the aircraft, Raytheon will release the Company from all future obligations under the related financing provided by Raytheon on the aircraft, but not the past due principal or interest payments."
Sounds like a REPO notice...
"On April 27, 2005, Boeing gave the Company a notice of default under its lease agreements, pursuant to which the Company leases two Embraer EMB-120ER aircraft, and directed the Company to pay Boeing with five days all amounts currently owing under those agreements. The notice stated that failure to do so would cause Boeing to exercise other rights as it deems appropriate. At April 27, 2005, the total amount due under the leases, including installments and penalty interest, was $7.6 million. The Company continues to engage in negotiations with Boeing regarding potential terms of repayment for these outstanding obligations."
and thats lots of money...
Just a concerned ex-Laker wonder what's happening out there.
