Milestone Aviation Group completes US$575 million private placement debt financing | Press Release

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Press Release

Issued by Milestone Aviation Group.

January 7, 2014

Milestone Aviation Group completes US$575 million private placement debt financing

Milestone Aviation Group, the global leader in helicopter leasing, announced today that it has successfully completed the private placement of US$ 575 million of senior secured notes. The company intends to use the proceeds to fund the continued expansion of its business and to refinance existing debt.

The senior secured notes, which have an average maturity of 8 years with tranches of 7 to 10 years, was upsized to US$ 575 million from the original offering size of US$ 300 million to satisfy investor demand. Seventeen investors participated in the private placement, sixteen of which are new to Milestone.

“We believe the investment community's strong support for this offering is further validation of our business model,” commented Daniel Rosenthal, Milestone's president. “Through this private placement, we have extended debt maturities, reduced interest rate exposure and further diversified funding sources, positioning Milestone to continue delivering for our operating partners for years to come.”

As announced in October, Kroll Bond Rating Agency assigned Milestone an investment-grade issuer rating of “BBB” with a stable outlook. The offering of senior secured notes was rated “BBB+” by Kroll Bond Rating Agency.

Merrill Lynch, Pierce, Fenner & Smith Incorporated (“Merrill”) served as Sole Bookrunner and Lead Placement Agent.

Deutsche Bank AG, London Branch (“DB”) and Nomura Securities International, Inc. (“Nomura”) served as Co-Lead Placement Agents; and Merrill, DB, Nomura, The Huntington Investment Company and SunTrust Robinson Humphrey, Inc. served as Co-Placement Agents.

The senior secured notes have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the senior secured notes, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which, or to any person to whom, such an offer, solicitation or sale is unlawful.