Jetblue enters $350m revolver credit line

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US low-cost carrier Jetblue Airways secured a $350 million revolving credit and letter of credit facility with Citibank in the second quarter of this year.

The facility, which has a three-year tenor is secured by take-off and landing slots at John F. Kennedy international airport, Newark Liberty international airport, LaGuardia airport and Ronald Reagan Washington National airport and certain other assets, says Jetblue in a 10Q filing.

The New-York based carrier says that it terminated its unsecured revolving credit facility with American Express as of 24 April. Jetblue entered the revolving credit facility with American Express in September 2011, which allows up to a maximum of $125 million in borrowings. Borrowings can only be used for the purchase of jet fuel. The facility was subject to a 6.9% annual interest rate and had a three-year tenor.

At the end of the first quarter Jetblue's weighted average interest rate of all of its long-term debt was 4.5%. The carrier says scheduled debt maturities total $345 million for the remainder of this year, $574 million in 2014, $260 million in 2015, $457 million in 2016, $184 million in 2017 and $1.01 billion thereafter.