https://www.ch-aviation.com/portal/n...nt-obligations
Hong Kong Airlines meets bond repayment obligations
22.01.2019 - 13:55 UTC
Blue Sky Fliers Co. has announced that
Hong Kong Airlines (HX,
Hong Kong Int'l) has met its obligations insofar as the payment of its USD550 million worth of bonds is concerned.
The airline had agreed to the commitment in 2016 through the issuance of USD180 million 6.90% Guaranteed Notes due 2019 on January 20, 2016; a further issue of USD120 million 6.90% Guaranteed Notes on March 30, 2016, and a final issue of USD250 million 6.90% Guaranteed Notes on August 4, 2016. All three formed a single series and matured on January 20, 2019.
Despite much speculation regarding the state of the airline's finances, the British Virgin Islands-based holding Blue Sky Fliers Co. said in a stock market filing on Monday, January 21, that Hong Kong Airlines had indeed paid off the bond and all accrued interest.
"The Issuer [Blue Sky Fliers Co.] wishes to announce that on January 18, 2019, The Bank of New York Mellon, the fiscal agent and payment agent for the Guaranteed Notes, has confirmed receipt of a total amount of USD568,975,000 from the Issuer, which represented the amount of Guaranteed Notes redeemed in full at their principal amount on the interest payment date falling on January 22, 2019, in accordance with the terms of the Guaranteed Notes," it said.
"[...] As such, the Issuer, Hong Kong Airlines International Holdings Limited, HKA Group Company Limited, and Hong Kong Airlines have fulfilled their financial obligations under the Guaranteed Notes and they are confident that they will continue to fulfil their financial obligations under other instruments that they may subject to."