NEW YORK, Nov. 7, 2006 (PRIMEZONE) -- JetBlue Airways Corporation (Nasdaq:JBLU) announced today that it has priced approximately $124 million in principal amount of Enhanced Equipment Trust Certificates (EETCs) secured by a lien on certain spare parts owned by JetBlue to fund working capital and capital expenditures.
JetBlue plans to issue the certificates in two classes, with terms as follows:
Final Standard
Expected and
Face Distribution Poor's Moody's
Certificates Amount Interest Rate Date Ratings Ratings
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Class G-1 $74.1 m. LIBOR plus 0.23% 1/02/2014 AAA Aaa
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Class B-1 $49.4 m. LIBOR plus 2.875% 1/02/2014 B+ Ba3
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The Class G-1 certificates will be supported by an insurance wrap provided by MBIA Insurance Corporation. Additional details about the certificates can be found in the company's prospectus supplement to its shelf registration filed with the U.S. Securities and Exchange Commission.
Morgan Stanley is the sole bookrunning manager on this transaction, with RBS Greenwich Capital acting as co-manager. A copy of the final prospectus and the prospectus supplement may be obtained from the offices of Morgan Stanley & Co. Incorporated, 1585 Broadway, New York, NY 10036.
A registration statement relating to these securities has been filed with the U.S. Securities and Exchange Commission. This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
The JetBlue logo is available at http://www.primezone.com/newsroom/prs/?pkgid=795
This press release contains statements of a forward-looking nature which represent our management's beliefs and assumptions concerning future events. Forward-looking statements involve risks, uncertainties and assumptions, and are based on information currently available to us. Actual results may differ materially from those expressed in the forward-looking statements due to many factors, including, without limitation, our extremely competitive industry; increases in fuel prices, maintenance costs and interest rates; our ability to implement our growth strategy, including the integration of the EMBRAER 190 aircraft into our operations; our significant fixed obligations; our ability to attract and retain qualified personnel and maintain our culture as we grow; our reliance on high daily aircraft utilization; our dependence on the New York metropolitan market; our reliance on automated systems and technology; our being subject to potential unionization; our reliance on a limited number of suppliers; changes in or additional government regulation; changes in our industry due to other airlines' financial condition; and external geopolitical events and conditions. Further information concerning these and other factors is contained in the Company's Securities and Exchange Commission filings, including but not limited to, the Company's 2005 Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. We undertake no obligation to update any forward-looking statements to reflect events or circumstances that may arise after the date of this release.