today announced that it has successfully completed the closing of a new
$850 million credit facility, replacing its $834 million revolving-credit
facility which was due to mature next year. Citigroup and J.P. Morgan
acted as joint lead arrangers and book runners of the transaction. The successful placement of the new $850 million facility, the principal
of which is payable over a six-year period, was supported by Merrill
Lynch, Credit Suisse First Boston and Goldman Sachs, who served as
documentation agents on the facility.
“The replacement of our credit facility is another important step in
building a stronger future for American Airlines under our Turnaround
Plan,” said James Beer, Senior Vice President and Chief Financial Officer
of American. “We were able to accomplish this transaction one year ahead
of the facility’s maturity date because of the strong support we received
from our banks, a very positive response from new investors, and the
important progress that our employees have made in transforming our
company into a stronger, more vibrant competitor.”
American also received support from other key financial institutions,
including CIT, UBS, WestLB and Calyon, who served as senior managing
agents for this transaction.
“We are very pleased by this result, which demonstrates the confidence
that the capital markets have in our business plan,” Beer said.