Alaska Air Announces Offering Of Senior Secured Notes Due 2029, 2031

(RTTNews) - Alaska Air Group, Inc. (ALK) Monday announced offering of Senior Secured Notes, due in 2029 and 2031 through its subsidiary AS Mileage Plan IP.

Alaska Airlines and AS Mileage Plan Holdings will guarantee the notes, which are backed by collateral tied to the Alaska Airlines Mileage Plan.

The funds raised from this offering, along with borrowings from a loyalty term loan facility, will be used for several purposes such as establishing reserve and collection accounts, providing an intercompany loan to Alaska Airlines, repaying existing debt from the Hawaiian Airlines merger, and supporting general corporate operations and liquidity.

These notes are available exclusively to qualified institutional buyers in accordance with Rule 144A and to international buyers under Regulation S of the Securities Act.