US Airways 2006 Annual Report Download - page 194

Table of Contents
US Airways, Inc.
Notes to the Financial Statements — (Continued)
5. Debt, Including Capital Lease Obligations
Details of US Airways' debt are as follows (variable interest rates listed are the rates as of December 31, 2006 unless noted) (in
millions):
December 31, December 31,
2006 2005
Secured
Equipment notes payable, variable interest rates of 6.89% to 9.82%, averaging 8.14% as of December 31, 2006 $ 1,258 $ 1,240
US Airways East Citibank Loan (formerly ATSB loan)(a) — 551
Slot financing, interest rate of 8%, installments due through 2015(b) 47 50
Airport facility lease obligations, interest rate of 8%, installments due through 2021(c) 41 46
GE Credit Facility, variable interest rate of 9.62%, installments due 2006 to 2008(d) 21 28
Airbus Loans(a) — 186
1,367 2,101
Unsecured
GE Engine Maintenance Term Note, variable interest of 9.38%, installments due 2008 through 2011(e) 45 45
Note payable to PBGC, interest rate of 6%, interest only payments until due 2012(f) 10 10
55 55
Total long-term debt and capital lease obligations 1,422 2,156
Less: Unamortized discount on debt (129) (139)
Current maturities (93) (117)
Long-term debt and capital lease obligations, net of current maturities $ 1,200 $ 1,900
(a) On March 31, 2006, US Airways Group entered into a loan agreement with General Electric Capital Corporation ("GECC") and a
syndicate of lenders pursuant to which the Company borrowed an aggregate principal amount of $1.1 billion. On April 7, 2006,
US Airways Group entered into an amended and restated loan agreement, which increased the principal amount of the loan to
$1.25 billion (as amended and restated, the "GE Loan"). US Airways, America West Holdings, AWA, and other subsidiaries of
US Airways Group are all guarantors of the GE Loan.
On March 31, 2006, proceeds of the GE Loan were used, in part, to repay in full the following indebtedness of US Airways:
• The amended and restated US Airways loans entered into on September 27, 2005 that had previously been guaranteed by the Air
Transportation Stabilization Board (the "ATSB"). On October 19, 2005, $539 million of the loans, of which $525 million had
been guaranteed by the ATSB, was sold by the lenders by order of the ATSB to 13 fixed income investors, for which Citibank,
N.A. served as agent, removing the ATSB guarantee (the "Citibank Loans"). As a result of the sale of the loan, the US Airways
ATSB Loan is now called the US Airways East Citibank Loan. At the time of repayment of these loans on March 31, 2006, the
total outstanding balance of the loan was $551 million.
• The $161 million loan entered into as of September 27, 2005 between US Airways and AWA and Airbus Financial Services, for
which US Airways Group was the guarantor. At the time of repayment on March 31,
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