American Airlines is preparing a pair of pass-through trusts that will issue two classes of certificates, raising about $1.3 billion in total proceeds to purchase and refinance 37 aircraft.
The 2026-A and 2026-B series from the Pass Through Trusts are expected to raise $1.05 billion and $273.9 million, respectively, according to filings with the Securities and Exchange Commission.
Proceeds will primarily purchase 22 new aircraft for delivery between July 2026 and February 2027, according to the SEC. Those assets will be prefunded, and until those assets are purchased, the related funds will be held by Sumitomo Mitsui Banking.
Otherwise, the funds will refinance 15 vintage aircraft, according to the SEC and analysts at Fitch Ratings.
Fitch notes that American Airlines can substitute one or more aircraft of a different model and manufacturer if an aircraft delivery is delayed more than 30 days. Also, American Airlines has the right to issue more subordinate classes after the initial issuance date, the rating agency said.
Class A and class B certificates have final expected distribution date of Feb. 20, 2029 and Aug. 20, 2035, respectively, according to the SEC.
BNP Paribas,
Fitch finds that the collateral pool consists of nine A321neo craft, five A321XLR craft, 13 A321-200, two 777-300ERs and eight ERJ-175 aircraft, adding that the pool is weighted toward the A321neo and XLR, accounting for 36% and 22% of the AAL 2026-2, respectively.
Certificate holders will be repaid through a waterfall in which the class B interest will be paid off ahead of principal on the class A certificates, Fitch said.
Fitch assigns ratings of A- and BBB- to the AAL 2026-2 class A and class B certificates, respectively, the rating agency said.
