Atlantic Coast Airlines Successfully Completes Placement of $111.6 Million of Enhanced Equipment Trust Certificates.DULLES, Va.--(BUSINESS WIRE)--Sept. 25, 1997--Atlantic Coast Airlines (NASDAQ/National Market:ACAI), which operates in the Eastern United States as United Express, Thursday announced that it has successfully completed placement of $111.6 million aggregate principal amount of enhanced equipment pass through trust certificates ("EETCs") under Rule 144A Rule 144A A Securities & Exchange Commission rule modifying a two-year holding period requirement on privately placed securities to permit qualified institutional buyers to trade these positions among themselves. of the Securities Act of 1933. The net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). of the offering will be used to provide debt financing Debt Financing When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise to repay for leveraged lease transactions for the first six of the company's order of 12 new Bombardier Canadair Regional Jets ("CRJs"), scheduled for delivery between July 1997 and September 1998. A portion of the proceeds also will be used to finance leveraged leases for four used J-41 turboprop turboprop: see turbine. turboprop Hybrid engine that provides jet thrust and also drives a propeller. It is similar to the turbojet except that an added turbine, behind the combustion chamber, works through a shaft and speed-reducing gears to turn a aircraft and the purchase by the company of three used and one new J-41 aircraft. The EETCs have not been registered under the Securities Act and may not be offered or sold in the United States absent registration under the Securities Act or an applicable exemption. Atlantic Coast Airlines Atlantic Coast Airlines (IATA: DH, ICAO: BLR, and Callsign: Blue Ridge) was an airline based in the United States owned by Atlantic Coast Holdings, Inc.. It operated as United Express for United Airlines and Delta Connection for Delta Air Lines. operates its hub at Washington-Dulles International Airport, where it offers more than 200 departures every business day as United Express. From Washington-Dulles, ACA ACA - Application Control Architecture serves 40 destinations in 17 states with nonstop service. Its route system spans the East Coast from Maine to South Carolina South Carolina, state of the SE United States. It is bordered by North Carolina (N), the Atlantic Ocean (SE), and Georgia (SW). Facts and Figures Area, 31,055 sq mi (80,432 sq km). Pop. (2000) 4,012,012, a 15. and as far west as Michigan. ACA operates a fleet of 60 British Aerospace Jetstream aircraft, including 31 Jetstream 41s which accommodate 29 passengers, and 29 Jetstream 32s which accommodate 19 passengers. In January, ACA announced the acquisition of 12 50-seat jet aircraft from Bombardier's Canadair unit, with an option for 36 additional jets. Three Canadair Regional Jets have been delivered. The average age of ACA's fleet is approximately five years. -0- Note: To retrieve the latest ACA/United Express news releases, please visit ACA's home page on the World Wide Web at http://www.AtlanticCoast.com . CONTACT: Atlantic Coast Airlines Jennifer Heronema, public relations manager, 703/925-6019 |
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