United Airlines closed a $919.6 million issuance of enhanced equipment trust certificates (EETC): consists of two classes of notes: a $637 million AA tranche and a $283 million A tranche.

The transaction marks United’s second EETC issuance in 2016 and achieved the lowest pricing of any EETC on record. The Class AA priced at 2.875% and the Class A priced at 3.100%, resulting in a spread over the 10 year treasury of 114bps and 137bps on the Class AA and Class A, respectively. The transaction marks the first EETC with a coupon on the AA tranche below 3%. The proceeds from the 12-year notes will be used to finance one 737-800 delivering in December 2016; three 737-900ERs delivering in December 2016; two 787-9s delivering in January and February next year; and seven 777-300ERs delivering between March and June 2017.