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Air Canada posts good early results from notes tender offer

Canada´s flag carrier Air Canada said that holders of USD 557.6m principal amount of its 9.250% senior secured notes due 2015 CAN 285.2m principal amount of its 10.125% senior secured notes due 2015 and USD 190.8m principal amount of its 12.000% senior second lien notes due 2016 had tendered their notes and delivered related consents on or before 5:00 pm ET time on September 18 2013.

This was the early tender deadline for Air Canada´s previously announced cash tender offers for any and all of its outstanding notes.

The principal amount of senior secured notes tendered represents approximately 93.6% of the outstanding principal amount of the Senior Secured Notes, and the principal amount of Second Lien notes tendered represents approximately 95.4% of the outstanding principal amount of the Second Lien Notes.

Air Canada said that the notes were tendered in connection with three separate offers that are being made pursuant to Air Canada´s offers to purchase and consent solicitations statement, dated September 5, 2013.

Holders who validly tendered (and did not validly withdraw) their notes and validly delivered (and did not validly revoke) their consents on or prior to the early tender deadline are eligible to receive USD 1,044.63, CAD 1,048.57 and USD 1,097.50 per USD 1,000 or CAD 1,000 principal amount, as applicable, of senior secured notes, CAD senior secured notes and second lien notes, respectively if such notes are accepted for purchase.

The total consideration includes an early tender premium of USD 30.00 or CAN 30.00 per USD 1,000 or CAN 1,000 principal amount, as applicable, of notes.

Air Canada serves more than 175 destinations on five continents.

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