United Continental Holdings'$300 million senior unsecured notes issue priced yesterday at 6.375%.
The spread to benchmark US Treasury on the five-year deal is 573 basis points.
Bank of America Merrill Lynch, Barclays Capital, JP Morgan, Deutsche Bank and Morgan Stanley were joint bookrunners and managers of the issue.
JP Morgan Securities was the largest underwriter with $165 million, followed by Morgan Stanley at $45 million. Barclays Capital underwrote $37 million, while Deutsche Bank Securities and Merrill Lynch, Pierce, Fenner & Smith took $30 million and $22.5 million of the issue, respectively.
Bank of New York Mellon is the trustee.
United Continental will use the remaining $295.5 million for general corporate purposes that could include "repaying debt, funding pension liabilities or for working capital requirements."
The notes are due 1 June 2018.
The issue is rated "B2" by Moody's Investors Service and "B" by Fitch Ratings and Standard & Poor's.