Meanwhile, the Chorus debt to Fairfax is secured by some of the company’s Dash 8-100 and Dash 8-300 aircraft, as well as some real estate property.Chorus said the redemption will be funded using net proceeds from a recently-completed sale of two aircraft by its subsidiary,The sale of the two aircraft generated net proceeds of about $53.5 million , according to the company.
Joe Randell, President and Chief Executive Officer for Chorus, said in a Jan. 3 press release,"The sale of these aircraft demonstrates Falko's ability to generate cash flows from trading while enabling a reduction in Chorus' debt and associated leverage. “We will continue to look for opportunistic aircraft sale transactions that advance our transition to an asset-light leasing business and enhance shareholder value."
Chorus said the redemption of the debentures and the aircraft sales announced Jan. 3 are not expected to materially change the company’s financial outlookIt has been our privilege to have the trust and support of our East Coast communities for the last 200 years. Our SaltWire team is always watching out for the place we call home. Our 100 journalists strive to inform and improve our East Coast communities by delivering impartial, high-impact, local journalism that provokes thought and action.