US Airways Group has entered into a commitment letter with
Citigroup and Morgan Stanley as
Joint Lead Arrangers to arrange a debt financing transaction. The transaction, of up to
$1.6 billion, would permit US Airways to refinance $1.25 billion of its
existing senior secured credit facility, refinance $325 million of unsecured
debt, and raise incremental liquidity.
Citigroup and Morgan Stanley’s
commitment is subject to customary terms and conditions, including negotiation
and execution of definitive loan documentation. US Airways expects to
complete the transaction by the end of the first quarter 2007. Citigroup will
act as Administrative Agent, Morgan Stanley will acts as Syndication Agent,
and GE Commercial Finance—Corporate Lending, a subsidiary of General
Electric, will act as Documentation Agent.