EXHIBIT 99.1
FOR IMMEDIATE RELEASE
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FINE AIR EVALUATING DEBT RESTRUCTURING ALTERNATIVES
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Miami, Florida, June 2, 2000 - Fine Air Services Corp. reported that it
is in discussions with the holder of more than a majority of its 9-7/8% Senior
Notes due 2008 on the terms of a proposed long-term debt restructuring. The
company is also actively pursuing several other financing options and has
retained the services of an outside consulting firm to assist it in evaluating
its restructuring alternatives.
The company also reported that it has notified the indenture trustee
for the Senior Notes that it will defer the interest payment that was due June
1, 2000. Under the terms of the indenture governing the issuance of the Senior
Notes, the non-payment of interest will not constitute an event of default
unless it continues for more than 30 days.
Barry H. Fine, Fine Air's President and Chief Executive Officer,
commented that "[o]ur number one priority is to achieve a long-term debt
restructuring that will provide us the financial flexibility to expand our
scheduled cargo services to serve every major destination in Latin America and
the Caribbean. The successful completion of a restructuring should ensure that
we have adequate financing available to accommodate our seasonal working capital
requirements, capital expenditures and debt service payments."
Fine Air Services Corp. is a leading provider of air cargo services
between the United States and South and Central America and the Caribbean. Since
1994, the Company has been the largest international air cargo carrier serving
Miami International Airport, based on tons of cargo transported to and from that
airport. The Company provides scheduled cargo services through its Miami
International Airport hub linking North America, Europe, Asia and the Pacific
Rim with 25 South and Central American and Caribbean cities. The Company's
customers include international and domestic freight forwarders, integrated
carriers, passenger and cargo airlines, major shippers and the United States
Postal Service.
Contact:
Barry H. Fine, President
Orlando Machado, Chief Financial Officer
(305) 871-6606
