Amerijet International Airlines has completed a financial and operational restructuring, enhancing its capital structure and returning the company to a stronger financial position.
In what the American cargo airline describes as a ‘consensual restructuring transaction,’ six 757 aircraft have been returned to lessors and modifications on its 767 fleet have been deferred. The 767 will now serve as Amerijet’s sole type, to be operated with a ‘reduced non-pilot headcount that is aligned with the right-sized fleet and current business demand,’ notes the airline. It has also received a $55 million capital infusion from its existing lenders.
Amerijet’s chief executive officer Joe Mozllali said that Amerijet was now in a “strong operating and financial position” following the restructuring, confirming that scheduled services and contract flights will continue to operate as usual. “The current air cargo environment demands agility and disciplined operational excellence,” he added, saying that “this definitive action will protect [Amerijet’s] position as the cargo carrier of choice in [its] markets”.
Amerijet’s core scheduled service segment achieved a 97.5% completion factor in the December quarter, a 2% year-on-year improvement. Despite a ‘difficult demand environment,’ its air freight volumes in the scheduled service segment also increased 8% versus 2022, achieved with 10% less flown block hours.
The company was advised throughout the restructuring process by Sidley Austin LLP as legal counsel, FTI Consulting as financial advisor, and FTI Capital Advisors as investment banker.