Paydown and Replacement of Junior Debt

RNS Number : 4735B

Capital Lease Aviation PLC

04 March 2014

 



4 March 14

CAPITAL LEASE AVIATION PLC

("CLA" or the "COMPANY")

Paydown and Replacement of Junior Debt

Capital Lease Aviation PLC (CLA: LSE), the commercial passenger aircraft leasing company, announces that it is paying down US$2 million in junior related party debt used to secure the purchase of an Airbus A321 during calendar 2013.

In order to fund this payment, the term of certain debt previously obtained from Epsom Assets Limited ("Epsom"), a company in which Jeff Chatfield, a director of the Company, is interested, has been extended by agreement and Epsom has agreed to advance a further US$1.5 million to the Company. There are no changes to the cost of funds as a consequence of these arrangements.

The loans provided by Epsom are related party transactions under the AIM Rules. Further details of the loans provided by Epsom are set out in the Appendix, as disclosure pursuant to AIM Rule 13. The directors, other than Mr Chatfield, consider, having consulted with the Company's nominated adviser, that the terms of the transactions are fair and reasonable in so far as the shareholders are concerned.

ENDS

More information on Capital Lease Aviation PLC can be seen at: www.cl-aviation.com

Enquiries:

Capital Lease Aviation PLC Duncan Scott, Group General Counsel	[phone]
Nominated Adviser James Joyce, W H Ireland	[phone]
Company Stockbroker W H Ireland	[phone]
Blythe Weigh Communications Tim Blythe / Eleanor Parry	[phone]

APPENDIX

Further disclosures in relation to the loans provided by Epsom Assets Ltd:

-    Robert Jeffries Chatfield, a director of the Company, has an interest in and is also a director of Epsom Assets Limited.

-    The loans have an interest rate of 9.75% per annum.

-    The loans are for a term of six months extendable up to 9 months at the option of the Company.

-    The loans are unsecured.

 

END

 

 

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