Air Transport Services Group, Inc. (NASDAQ: ATSG) announced today that its wholly owned subsidiary, Cargo Aircraft Management, Inc. (“CAM”), plans to offer, subject to market and other customary conditions, up to $400 million in aggregate principal amount of senior notes due 2028 (the “Senior Notes”) in an unregistered offering pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended (the “Securities Act”).
The offering of the Senior Notes has not been registered under the Securities Act or under any state securities laws, and the Senior Notes may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and from applicable state securities laws.
The Senior Notes will be CAM’s senior unsecured obligations. They will be guaranteed, jointly and severally, on a senior unsecured basis, by ATSG and each domestic, wholly owned direct and indirect U.S. subsidiary of ATSG other than CAM.
CAM intends to use the proceeds from the offering of the Senior Notes to fund the repayment of certain revolving loans outstanding under ATSG and CAM’s Second Amended and Restated Credit Agreement and to pay fees and expenses in connection with such repayment and the offering of the Senior Notes.
This press release is neither an offer to sell nor the solicitation of an offer to buy any of the Senior Notes and shall not constitute an offer, solicitation or sale in any jurisdiction in which such an offer, solicitation or sale would be unlawful.