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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report: June 17, 1997
(Date of earliest event reported)
AMERICA WEST AIRLINES, INC.
(Exact name of Registrant as specified in its charter)
Delaware 1-10140 86-0418245
(State of Incorporation) (Commission File No.) (I.R.S. Employer
Identification No.)
4000 East Sky Harbor Boulevard
Phoenix, Arizona 85034
(Address of Principal executive offices) (Zip Code)
Registrant's Telephone Number, Including Area Code: (602) 693-0800
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Item 5. Other Events.
On June 17, 1997, America West Airlines, Inc. ("AWA") issued a press
release announcing the completion of a public offering of $93,888,000 aggregate
principal amount of America West Airlines 1997-1 Pass Through Trusts Pass
Through Certificates, Series 1997-1 (the "Certificates").
Attached hereto as Exhibit 99.1, and incorporated herein by reference,
is AWA's June 17, 1997 press release.
Item 7. Financial Statements and Exhibits.
(c) Exhibits
<TABLE>
<CAPTION>
Exhibit
Number Description
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<S> <C>
99.1 Press Release, dated June 17, 1997
</TABLE>
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Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934,
AWA has duly caused this Report to be signed on its behalf by the undersigned
hereunto duly authorized.
AMERICA WEST AIRLINES, INC.
June 30, 1997 By: /s/ JACQUES C. LAZARD
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Jacques C. Lazard
Vice President and Treasurer
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EXHIBIT INDEX
<TABLE>
<CAPTION>
Exhibit
Number Description
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<S> <C>
99.1 Press Release, dated June 17, 1997
</TABLE>
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EXHIBIT 99.1
[AMERICAN WEST AIRLINES LETTERHEAD]
NEWS RELEASE
Investor Contact: Nancy Gore
Phoenix, AZ (PDT)
602/693-2843
Media Contact: Patty Nowack
Phoenix, AZ (PDT)
602/693-5729
FOR IMMEDIATE RELEASE: Tuesday, June 17,1997
AMERICA WEST ANNOUNCES PRICING OF
PASS THROUGH CERTIFICATES
PHOENIX (NYSE:AWA) -- America West Airlines, Inc. announced today the
completion of its public offering of $93.9 million of Enhanced Pass Through
Trust Certificates issued in connection with the refinancing of four Airbus
A320 aircraft. The transaction closed on June 17, 1997.
"America West is very pleased with the completion of this transaction
and the attractive pricing of the Certificates," said W. Douglas Parker, senior
vice president and chief financial officer. "The demand and pricing reflect the
confidence of the financial markets in America West's financial condition and
strategy."
The Pass Through Certificates were issued in four classes, including
$45.9 million of 7.33 percent Class A Certificates, $17.2 million of 7.40
percent Class B Certificates, $17.2 million of 7.53 percent Class C
Certificates and $13.5 million of 8.12 percent Class D Certificates. The Class
A, B, C and D Certificates were priced at, respectively, spreads of 77 basis
points, 93.5 basis points, 113 basis points and 200 basis points over benchmark
U.S. Treasury obligations. The combined effective interest rate on the $93.9
million financing will be 7.41 percent, indicating a blended spread of 95.1
basis points. Additional details about the Certificates are described in the
attachment to this press release.
more/...
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America West Airlines
Pass Through Certificates/2
The proceeds of the transaction were used to refinance indebtedness
incurred by the owners of the aircraft leased to America West. Under the
arrangements, the financial benefits of the transactions are shared among
America West, the equity investors in leverage leases covering the aircraft and
a U.S. subsidiary of GPA Group plc that was the original lessee under the
restructured leases. America West benefits from the transaction by a reduction
in rental expense of approximately $250,000 per year.
Patrick Blaney, chief executive of GPA, said he was pleased by the
success of the offering. "GPA has a long-standing and valued business
relationship with America West. This refinancing is good for both America West
and GPA, and reflects the high standing of both the A320 aircraft and America
West in the financial markets."
The Pass Through Certificates were issued by separate pass through
trusts, which hold equipment notes secured by a security interest in the
aircraft and an assignment of America West's leases. America West's obligations
are limited to those under the leases. The Pass Through Certificates and the
equipment notes will be non-recourse to the airline.
The securities were underwritten by Morgan Stanley Dean Witter. The
Pass Through Certificates have been registered under the Securities Act of 1933
but will not be listed an any exchange. Copies of the prospectus relating to
the Pass Through Certificates may be obtained from Jacqueline Hayot at Morgan
Stanley Dean Witter, 1585 Broadway, New York, NY 10036.
more/...
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America West Airlines
Pass Through Certificates/3
America West, the nation's ninth largest airline, serves more than 90
destinations in the U.S., Canada and Mexico offering the same full-service
product travelers have come to expect from other national airlines but with low
fares. America West Airlines ranked number one in customer satisfaction among
the nine major U.S. carriers for short-haul flights in this year's Airline
Customer Satisfaction -- U.S. Flights Study conducted by Frequent Flyer Magazine
and J. D. Power and Associates.
America West Airlines is a wholly owned subsidiary of America West
Holdings Corporation, an aviation and travel services company with annual sales
of more than $1.7 billion.
-attachment follows-
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AMERICA WEST AIRLINES
1997-1 PASS THROUGH TRUSTS
PASS THROUGH CERTIFICATES, SERIES 1997-1
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SUMMARY OF TERMS
Common Terms
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Issuer: America West Airlines, Inc.
Underwriter: Morgan Stanley Dean Witter
Series: 1997-1
Settlement: June 17, 1997
Issue Type: Enhanced Pass Through Equipment Trust
Certificates
Class A
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Amount: $45.9 million
Moody's Rating: A2
S & P Rating: AA-
Coupon: 7.33%
Spread: 77 bp over the 5 5/8% Treasury Note of
February 2006
Final Expected Distribution Date: July 2, 2008
Initial Average Life: 8.66 years
Class B
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Amount: $17.2 million
Moody's Rating: Baa2
S & P Rating: A-
Coupon: 7.40%
Spread: 93.5 bp over the 5 7/8% Treasury Note
of February 2004
Final Expected Distribution Date: July 2, 2005
Initial Average Life: 6.63 years
Class C
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Amount: $17.2 million
Moody's Rating: Ba1
S & P Rating: BBB-
Coupon: 7.53%
Spread: 113 bp over the 6 1/2% Treasury Note of
May 2002
Final Expected Distribution Date: January 2, 2004
Initial Average Life: 4.89 years
Class D
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Amount: $13.5 million
Moody's Rating: Ba3
S & P Rating: BB
Coupon: 8.12%
Spread: 200 bp over the 6 1/4% Treasury Note of
May 1999
Final Expected Distribution Date: July 2, 2001
Initial Average Life: 1.99 years
- AWA -
