Natixis Acted as Bookrunner, Lead Arranger and Administrative Agent for $200 Million Delta Air Lines Senior Secured Credit Facilities Secured by Inventories
Natixis, New York Branch acted as Bookrunner, Lead Arranger and Administrative Agent for two Delta Air Lines’ committed credit facilities totaling $200 million. The facilities closed in May 2016 include a $50 million committed senior secured facility and a $150 million committed senior secured facility.
Both facilities are governed by asset based lending structures allowing Delta to monetize: (i) its US jet fuel inventories for the $50 million facility and (ii) crude oil and refined products inventories as well as receivables related to its wholly-owned Trainer refinery for the $150 million facility.
The facilities provide the lenders with suitable collateral coverage without being disruptive to Delta’s operations. In addition, the facilities allow Delta to tap additional liquidity secured against its refinery’s current assets, which were previously unencumbered.
The bank group also includes Commonwealth Bank of Australia, London Branch and Coöperatieve Rabobank U.A., New York Branch.
Delta elected not to exercise the facilities’ increase option, which remains available to support future liquidity needs.