Debt

9 Months Ended

Sep. 30, 2019

As of September 30, 2019, United had its entire capacity of $2.0 billion available under the revolving credit facility of the Amended and Restated Credit and Guaranty Agreement. As of September 30, 2019, UAL and United were in compliance with their respective debt covenants.

EETCs. In February and September 2019, United created new enhanced equipment trust certificates ("EETC") pass-through trusts, each of which issued pass-through certificates. The proceeds from the issuance of the pass-through certificates are used to purchase equipment notes issued by United and secured by its aircraft financed with the proceeds of such notes. The Company records the debt obligation upon issuance of the equipment notes rather than upon the initial issuance of the pass-through certificates. The pass-through certificates represent fractional undivided interests in the respective pass-through trusts and are not obligations of United. The payment obligations under the equipment notes are those of United. Proceeds received from the sale of pass-through certificates are initially held by a depositary in escrow for the benefit of the certificate holders until United issues equipment notes to the trust, which purchases such notes with a portion of the escrowed funds. These escrowed funds are not guaranteed by United and are not reported as debt on our consolidated balance sheet because the proceeds held by the depositary are not United's assets. Certain details of the pass-through trusts with proceeds received from issuance of debt in 2019 are as follows (in millions, except stated interest rate):



EETC Issuance Date	Class	Face Amount		Final expected distribution date	Stated interest rate	Total proceeds received from issuance of debt during 2019 and recorded as debt as of September 30, 2019		Remaining proceeds from issuance of certificates to be received in future periods
September 2019	AA	$	702	May 2032	2.70%	$	76	$	626
September 2019	A	287		May 2028	2.90%	31		256
September 2019	B	232		May 2028	3.50%	25		207
February 2019	AA	717		August 2031	4.15%	651		66
February 2019	A	296		August 2031	4.55%	269		27
		$	2,234			$	1,052	$	1,182

Approximately $93 million of the proceeds from the issuance of the February 2019 pass-through certificates (such certificates, the "2019-1 Pass Through Certificates") were expected to be used to purchase equipment notes issued by United and secured by three Boeing 737 MAX aircraft, which aircraft were scheduled for delivery by Boeing in March, April and May of 2019. However, as a result of the FAA Order, United has not yet taken delivery of these three aircraft. If United is not in a position to take delivery of such 737 MAX aircraft on or prior to November 30, 2019, any funds remaining with the depositary in escrow at such time, together with accrued and unpaid interest thereon but without premium, will be distributed to the holders of the 2019-1 Pass Through Certificates.

4.875% Senior Note due 2025. In May 2019, UAL issued $350 million aggregate principal amount of 4.875% Senior Notes due January 15, 2025 (the "4.875% Senior Notes due 2025"), which are fully and unconditionally guaranteed and recorded by United on its balance sheet. The indenture for the 4.875% Senior Notes due 2025 requires that, if certain changes of control of UAL occur, UAL offer to repurchase the 4.875% Senior Notes due 2025 for cash at a purchase price equal to 101% of the principal amount of such notes repurchased plus accrued and unpaid interest.

The table below presents the Company's contractual principal payments (not including debt discount or debt issuance costs) at September 30, 2019 under then-outstanding long-term debt agreements (in millions):



Last three months of 2019	$	511
2020	1,363
2021	1,355
2022	1,708
2023	758
After 2023	8,629
	$	14,324