Air Canada has accomplished the sale and leaseback transactions for 3 Boeing 737 MAX eight plane with Jackson Sq. Aviation.
Together with an identical deal for six Boeing 737 MAX eight plane with Avolon Aerospace Leasing, the flag-carrier has raised a complete of US$365 million and long-term lease commitments of US$345 million.
The 9 plane have been delivered to Air Canada over the previous three years.
“For the reason that begin of the Covid-19 disaster, Air Canada has accessed monetary markets quite a few occasions and has efficiently raised nearly $6 billion in liquidity, on cheap phrases and circumstances, together with with this transaction, because it continues to keep up liquidity ranges to mitigate the challenges and uncertainty forward.
“We’re more than happy to be extending our robust relationship with Avolon and starting a brand new relationship with Jackson Sq. Aviation,” stated Michael Rousseau, deputy chief government officer and chief monetary officer of Air Canada.
For the reason that begin of the Covid-19 pandemic within the first quarter of 2020, Air Canada has raised nearly $6 billion in liquidity.
Moreover, it lately accomplished two long run financings to exchange $1.four billion in short-term debt coming due inside the subsequent 9 months.
Air Canada is utilising the online proceeds from these transactions to complement its working capital and for different common company functions.
The online proceeds from the transactions will serve to extend Air Canada’s money place, thereby permitting for extra flexibility within the implementation of mitigation and restoration measures in response to the Covid-19 pandemic.
Air Canada will replace the quantity remaining in its unencumbered asset pool as a part of its third quarter 2020 monetary reporting course of.