KBRA Publishes One Sky Flight LLC’s 2021-1 EETC Ratings

31 Jan 2024   |   New York

Contacts

KBRA publishes the A, BBB- and BB- ratings on One Sky Flight LLC’s 2021-1 Enhanced Equipment Trust Class A Loans, Class B Certificates and Class C Certificates (“the Securities”), respectively, which are guaranteed by One Sky Flight LLC (OneSky or the Company), a leading provider of private aviation services, based in Cleveland, Ohio. The Outlook of the ratings is Stable. KBRA initially assigned A, BBB- and BB- unpublished ratings on One Sky Flight LLC’s 2021-1 Enhanced Equipment Trust Class A Loans, Class B Certificates and Class C Certificates, respectively, on December 15, 2021, with Stable Outlooks and most recently affirmed the unpublished ratings on December 15, 2023, with Stable Outlooks.

The ratings for the Securities reflect KBRA’s expected loss analysis and our view of the aircraft collateral pool as strategically important to OneSky as well as KBRA’s view of the Company as having an appropriate credit profile to support the transaction’s ratings. The ratings are supported by a strong collateral pool of 87 good-quality business jets, diversified across models and sizes, which are strategically important to OneSky given that they represent a significant majority of OneSky’s fully-owned aircraft and a significant portion of its total operated fleet, which supports a high likelihood of affirmation of the transaction in the event of a bankruptcy or restructuring of OneSky. The ratings consider the priority of payments for the senior Loans and subordinated certificates, the loan-to-value of each Security, and the payment-in-kind (“PIK”) feature for up to 18 months of interest payments on all Securities Classes as well as the structural protections of the EETC structure available to the Securities holders.

To access rating and relevant documents, click here.

Click here to view the report.

Methodologies

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003088

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