WOOD DALE, Ill.
April 15, 2013
/PRNewswire/ -- AAR CORP. (NYSE: AIR) announced today that it has completed its previously announced add-on offering of
aggregate principal amount of its 7.25% Senior Notes due 2022 (the "Notes") in a private placement to eligible purchasers. The Notes were sold at a price equal to 107.5% of the principal amount thereof, for a yield to maturity of 6.12%. The Notes are senior unsecured obligations of AAR CORP. (the "Company") and are guaranteed by substantially all of the Company's subsidiaries.
The Notes were issued under the indenture dated as of
January 23, 2012
, as supplemented as of
November 30, 2012
(the "Indenture"), pursuant to which the Company issued
aggregate principal amount of its 7.25% Senior Notes due 2022 (the "Existing Notes"). The Notes will be treated as a single series with the Existing Notes and have the same terms as those of the Existing Notes, except for certain provisions relating to registration rights. The Notes and the Existing Notes will vote as one class under the Indenture.
The Company will use the net proceeds of the offering to repay a portion of the borrowings under its unsecured revolving credit agreement and to pay related fees and expenses.
The Notes and the related guarantees were sold in a private placement in reliance on Rule 144A and Regulation S under the Securities Act of 1933, as amended (the "Securities Act"). The Notes and related guarantees have not been registered under the Securities Act or applicable state securities laws and may not be offered or sold in
the United States
absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state laws.
This press release is being issued pursuant to Rule 135c under the Securities Act, and is neither an offer to sell nor a solicitation of an offer to buy the Notes or any other securities, and shall not constitute an offer to sell or a solicitation of an offer to buy, or a sale of, the Notes or any other securities in any jurisdiction in which such offer, solicitation or sale is unlawful.