Article updated: 1/16/2012 10:21 AM
AAR sells $175 million in notes to cover purchases
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PRNewswire
WOOD DALE — AAR Corp. will sell $175 million in unsecured notes to help repay the company’s recent purchases of two European firms.
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AAR purchased Telair International and Nordisk Aviation on Dec. 2, 2011, and the company said in a release that it will use the proceeds from the sale to pay fees and expenses related to the purchase.
The unsecured notes will come due in due 2022 and will be sold at a price equal to 98.268 percent of the principal, for a yield to maturity of 7.50 percent. The notes will be senior obligations of AAR Corp. and will be guaranteed by the company’s existing domestic subsidiaries, according to the release.
