Reference is made to West Atlantic AB (publ) (the "Issuer") press releases dated 2 November 2017, 7 November 2017 and 10 November 2017 (the "Press Releases").
All capitalised terms used herein and not otherwise defined shall have the meanings assigned to them in the terms and conditions for the bonds issued by the Issuer (the "Terms and Conditions").
Due to a breach of the Maintenance Test under the Terms and Conditions and as further communicated in the Press Releases, the Issuer has initiated discussions with a group of larger holders of Bonds (the "Holders Committee"). The Holders Committee has provided an extensive list of questions to the Issuer around topics such as the Issuer's liquidity position, contract situation, management of idle aircraft, etc., to which the Issuer has provided answers. On the basis of the answers provided by the Issuer, the Holders Committee deems that (i) the issues relating to the start-up of the Royal Mail contract, as described in previous press releases, are largely resolved, (ii) the upcoming aircraft sales, as elaborated on in the attached appendix, will improve the Issuer's liquidity position and allow it to meet its debt service obligations and comply with the Maintenance Test again at the latest as at 31 March 2018, and (iii) going forward, the Issuer's financial position is expected to improve as efforts to normalise the cost base and adapt it to the new contract situation begin to show results. As a consequence, the Holders Committee has elected to approve to waive temporarily the fulfilment of the Maintenance Test. Based on the outcome of the discussions with the Holders Committee, the Issuer has subsequently decided to proceed with a Written Procedure in order to formally request Holders' approval to, for a certain time period, waive the requirement to comply with the Maintenance Test.
More information about the material information disclosed to the Holders Committee is found in the appendix attached to this press release.
For further information, please contact:
Magnus Dahlberg, CFO
Telephone: +46 (0) 10 452 95 49
E-mail: magnus.dahlberg@westatlantic.eu
This information is information that West Atlantic AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 2017-12-08, 17.30 CET.
About West Atlantic
The West Atlantic Group is one of the market leading providers of dedicated airfreight services to European NMO's and airfreight capacity to Global Integrators and Freight Forwarders. The Group has a well-established geographic network and operates an all-cargo fleet of more than 50 aircraft comprised of B767, B737, BAE ATP and CRJ-200. West Atlantic was founded in 1962, employs 477 staff is headquartered in Gothenburg, Sweden and has two operating airlines, with one AOC in the UK and one in Sweden. For FY 2016, West Atlantic reported revenues of MSEK 1,320 and EBITDA of MSEK 128.
West Atlantic AB (publ) Org. no: 556503-6083, Box 5433, SE-402 29 Gothenburg, Sweden
Investor Relations: investor.relations@westatlantic.eu Webpage: www.westatlantic.eu
Attachments:http://www.globenewswire.com/NewsRoom/AttachmentNg/23853cdc-a0ba-42fb-afcd-b4666a90070a
