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Wheels Up Announces Fleet Modernization Strategy and Associated Transactions

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Wheels Up to transition its current jet fleets to Phenom 300 Series and Challenger 300 Series aircraft

Entered into agreement to acquire GrandView Aviation’s entire fleet of 17 Phenom 300 and Phenom 300E aircraft

Entered into agreement to sell entire owned fleet of super mid Citation X aircraft and lease for a limited period in preparation for transition to Challenger fleet

New fleet to be outfitted with best-in-class Gogo Galileo HDX satellite-based WiFi

Committed financing to be provided by Bank of America, with credit support from Delta Air Lines

ATLANTA, Oct. 22, 2024 /PRNewswire/ — Wheels Up Experience Inc. (NYSE: UP) today announced a series of major aircraft, commercial and financing transactions that lay the foundation for the company’s fleet modernization strategy. Upon closing, the transactions will initiate the transition of Wheels Up’s four existing jet aircraft types to two of the most preferred and successful aircraft types in the industry – Embraer’s Phenom 300 and Phenom 300E aircraft and Bombardier’s Challenger 300 and Challenger 350 aircraft.

Once complete, the transition of Wheels Up’s jet aircraft to the highly reliable Phenom 300 series and Challenger 300 series models is expected to lower the average aircraft age of its fleet by approximately 10 years – a fleet transition with wide-reaching operational implications, including expected improvement in operational performance, operational efficiency and, in turn, an enhanced customer experience.

The company intends to continue to operate in support of its customers a fleet of King Air aircraft within its existing service areas.

“Fleet modernization is the next critical step in the journey of Wheels Up. We believe our flexible, accessible offerings across programmatic membership and global charter, enhanced through our one-of-a-kind strategic partnership with Delta Air Lines, already deliver the most customer-centric global aviation solutions available in the market today” said George Mattson, CEO of Wheels Up. “We believe our fleet modernization strategy and the enabling transactions we are announcing today will allow us to deliver those solutions with a best-in-class aircraft fleet, with an elevated customer experience to match.”

Wheels Up to Acquire GrandView Aviation’s Phenom Fleet
Wheels Up has entered into a binding agreement to acquire the entire Phenom fleet of GrandView Aviation, a subsidiary of Global Medical Response. The agreement provides for the acquisition of their entire fleet of 17 Embraer Phenom 300 and Phenom 300E aircraft and certain related maintenance assets to support the fleet, at a purchase price of $105 million, subject to certain adjustments. Under the terms of the agreement, Wheels Up expects to assume GrandView’s existing customer programs and retain most of the existing pilot group, integrating them into the existing Wheels Up pilot workforce. 

Wheels Up and GrandView also expect to enter into a short-term Transition Services Agreement at closing, under which GrandView will operate the Embraer Phenom aircraft on Wheels Up’s behalf while the aircraft are transitioned to the company’s Wheels Up Private Jets FAA operating certificate.

The company anticipates that the GrandView acquisition will close as promptly as practicable this quarter and expects thereafter to immediately introduce the Phenom fleet into its programmatic membership and charter offerings.

Wheels Up intends to grow its fleet of Phenom series aircraft by opportunistically acquiring or leasing additional aircraft in the secondary market and expects to complete the fleet transition and retire its existing fleet of light and mid-sized jet aircraft within approximately three years, subject to business and market conditions.

Wheels Up to Introduce Bombardier Challenger Aircraft
In the super mid category, Wheels Up intends to opportunistically acquire a fleet of pre-owned Challenger 300 and Challenger 350 aircraft via the secondary market through a combination of outright purchases and long-term leasing.

In preparation for this transition, Wheels Up has agreed to sell all 13 of its currently owned Citation X aircraft to an unrelated third party. The company expects to lease a portion of those sold aircraft and amend the lease terms for other Citation X aircraft that are currently leased from that same buyer. This agreement also provides the ability to replace leased aircraft with Challenger aircraft in the future.

The Bombardier Challenger 300 Series aircraft are expected to be introduced into Wheels Up’s fleet beginning next year, with availability on both an as-requested charter basis and on specified routes for members. A full introduction into Wheels Up’s programmatic offering across guaranteed service areas is expected by the end of 2025.

Consistent with the timing of the Phenom transition plan, and subject to business and market conditions, Wheels Up expects to complete the transition to the Challenger platform within approximately three years.

An Enhanced Customer Experience with Gogo
As a key strategic step in enhancing the customer experience, Wheels Up has entered into a letter of intent with Gogo Business Aviation to equip the Phenom and Challenger aircraft Wheels Up expects to acquire with the enhanced capabilities and superior performance of Gogo Galileo HDX satellite-based WiFi. Gogo’s low earth orbit (LEO) satellite system is expected to deliver high bandwidth, low latency, global coverage and be capable of live streaming and voice telephony.

“We believe that providing best-in-class connectivity while in the air is a core element of the customer promise and the customer experience”, said George Mattson, Wheels Up CEO. “We anticipate that we will be one of the first and only domestic fleets of private aviation aircraft equipped with this level of capability and, like our partner Delta in the commercial aviation space, want to provide the highest level of connectivity and performance that available technology delivers.”

As part of the agreement, Gogo has committed to complete certification for the Gogo Galileo HDX system and plans to have HDX certification on the Challenger and Phenom platforms by the middle of 2025, with transition for Wheels Up’s updated fleet planned to begin immediately thereafter. 

Committed Financing to be Provided by Bank of America with Credit Support from Delta Air Lines
Wheels Up has entered into a commitment letter with Bank of America for a new, five-year, up to $332 million senior secured revolving credit facility. The company anticipates that the revolving facility will close concurrently with the closing of the GrandView acquisition in the fourth quarter.

Wheels Up expects to utilize the revolving facility to fund several actions, including the GrandView acquisition; the redemption of all outstanding equipment notes on the company’s owned aircraft; and general corporate purposes. The financing is also expected to deliver up to $115 million of additional cash to the balance sheet of Wheels Up and provides future revolving borrowing availability under certain conditions, with which Wheels Up expects to opportunistically acquire additional Phenom and Challenger aircraft in the future as it completes its fleet modernization plan.

Delta Air Lines is expected to provide credit support for the new financing, enhancing Wheels Up’s access to capital and on more attractive terms than would otherwise be available.

“In the year since we’ve invested in Wheels Up, their operational performance, financial progress and the successful revamp of their customer offering have validated our decision to embark on this one-of-a-kind strategic partnership,” said Ed Bastian, CEO of Delta Air Lines. “Underpinned by those key improvements and further fueled by the forthcoming execution of this modernized fleet strategy, we feel more confident than ever that Wheels Up is on the right track to be a global leader in private aviation, as we work together to build an unrivaled partnership spanning across commercial and private travel.” 

Future Fleet Enhancements
Wheels Up is also in discussions with Bombardier, Embraer and other third-party providers on additional elements of its product offering and customer experience, including standardized livery and interiors. Updates are expected in the coming months.

Concurrently with this announcement, the company is filing a current report on Form 8-K with the SEC related to the GrandView acquisition and commitment for the revolving facility.

About Wheels Up
Wheels Up is a leading provider of on-demand private aviation in the U.S. and one of the largest companies in the industry. Wheels Up offers a complete global aviation solution with a large and diverse fleet and a global network of safety vetted charter operators, all backed by an uncompromising commitment to safety and service. Customers can access charter and membership programs, as well as unique commercial travel benefits through a one-of-a-kind, strategic partnership with Delta Air Lines. Wheels Up also offers freight, safety and security solutions and managed services to individuals, industry, government and civil organizations. 

Wheels Up is guided by the mission to deliver a premium solution for every customer journey. With the Wheels Up mobile app and website, members and customers have the digital convenience to search, book and fly.

Cautionary Note Regarding Forward-Looking Statements
This press release contains certain “forward-looking statements” within the meaning of the federal securities laws. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside of the control of Wheels Up Experience Inc. (the “Company”, “Wheels Up”, “our”, “us” or “we”). These forward-looking statements include, but are not limited to, statements regarding: (i) the acquisition of 17 Embraer Phenom 300 and Phenom 300E aircraft and certain related maintenance assets to support the fleet, and existing customer program from GrandView Aviation LLC (the “GrandView Acquisition”), and any expected benefits or impacts to the Company as a result of the GrandView Acquisition or operation of the assets acquired as part of the GrandView Acquisition after closing, including the Company’s ability to consummate the closing of such acquisition on the schedule that it currently anticipates; (ii) the commitment letter entered into between Wheels Up and Bank of America, N.A. and the up to $332 million senior secured revolving credit facility (the “Revolving Facility”) contemplated thereby, including the expected terms of the Revolving Facility, the ability to use net proceeds from the Revolving Facility to fund the GrandView Acquisition, the refinancing of the Company’s existing equipment notes, the potential receipt and expected use of any remaining net proceeds from the initial closing under the Revolving Facility (including the potential future acquisition of aircraft using such net proceeds, assumptions regarding the consummation of aircraft sales currently under contract and other factors that may impact the amount of remaining net cash proceeds expected to be delivered to Wheels Up from such initial closing), the ability of the Company to reborrow under the Revolving Facility in the future, and the ability of the Company to consummate such financing on the terms and timeline that it currently anticipates; and (iii) the Company’s fleet modernization strategy described herein and the ability of the Company to execute such strategy, as well as the expected operational and financial impacts to the Company from implementing such strategy on the timeline that it currently anticipates. The words “anticipate,” “continue,” “could,” “expect,” “plan,” “potential,” “should,” “would,” “pursue” and similar expressions, may identify forward-looking statements, but the absence of these words does not mean that statement is not forward-looking. Factors that could cause actual results to differ materially from those expressed or implied in forward-looking statements can be found in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 filed with the U.S. Securities and Exchange Commission (“SEC”) on March 7, 2024 and the Company’s other filings with the SEC from time to time. You are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Except as required by law, the Company does not intend to update any of these forward-looking statements after the date of this press release.

For more information, please visit: wheelsup.com

Media Contact
press@wheelsup.com

Investor Contact
ir@wheelsup.com

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SOURCE Wheels Up

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Technology

BRICS building stronger impetus for world peace, development

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October 23, 2024

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BEIJING, Oct. 23, 2024 /PRNewswire/ — A report from People’s Daily: Chinese President Xi Jinping will attend the 16th BRICS Summit in Kazan, Russia, from Oct. 22 to 24 at the invitation of President of the Russian Federation Vladimir Putin. It’ll be the first such gathering to be held after the BRICS expansion.

China looks forward to working with all relevant parties to get the greater BRICS cooperation off to a good start, write new chapters of emerging markets and developing countries jointly seeking development, and bring more certainty, stability and positive energy to the world.

Since its establishment, the BRICS cooperation mechanism has consistently acted on the BRICS spirit of openness, inclusiveness and win-win cooperation, and has become a pacesetter in  South-South cooperation.

As the world has entered a new period of turbulence and transformation, various security threats are intertwined, and the global economic recovery has been impacted by multiple factors. This has posed severer challenges to developing countries.

Last year, the BRICS took a historic step in expanding its membership, further enhancing its representativeness and influence globally.

Holding a BRICS extraordinary virtual summit on the Palestinian-Israeli issue and jointly defending the rights and interests of developing countries in multilateral mechanisms such as the G20, BRICS countries has become a positive and stable force for good in international affairs.

The continuous development and growth of the BRICS cooperation mechanism come from its efforts to conform to the trend of history and find the right path for cooperation.

The BRICS countries adhere to the overarching direction of peaceful development. Adhering to the political settlement of hotspot issues, they settle disputes through dialogue, resolve differences through consultation, and enhance security through cooperation, which conforms to the aspiration of the people of all countries for a sound security environment.

The BRICS countries prioritize development. They work together to restore development as the central international agenda item, and focus on the real difficulties faced by developing countries, which is in line with the aspirations of people of all countries for a better life.

The BRICS countries uphold and safeguard true multilateralism. They defend the United Nations’ central role in international affairs, uphold international law and the basic norms governing international relations, and encourage and support countries to pursue development paths that suit their national conditions, which meets the demands of Global South countries for a fair development space.

The BRICS countries share broad consensus and common goals, and regardless of the changing international situation, their original intention of cooperation and common aspirations remain unchanged.

As leading members of the Global South, BRICS countries always breathe the same breath with other developing countries and pursue a shared future with them.

The BRICS cooperation mechanism was born in the era of the collective rise of Global South countries. As the BRICS cooperation mechanism develops, it can better unite the forces of the Global South, lead the development of the Global South, safeguard the interests of the Global South, and amplify the voice of the Global South.

The fact that more than 30 countries have applied to join the BRICS cooperation mechanism fully demonstrates that the appeal of BRICS is continuously increasing and its attractiveness is growing stronger.

The expanded BRICS family should bring out the strategic significance and political impact of the expanded BRICS, and make it a new type of multilateral cooperation mechanism with emerging markets and developing countries as the mainstay, and with an open, inclusive and globally-oriented outlook, so as to make global governance more just and equitable.

The BRICS cooperation mechanism is at a crucial time to build on its past achievements and open up a new future. China supports BRICS countries in enhancing cooperation across the board, building a high-quality partnership, and playing a greater role on the international stage. China advocates for BRICS countries to promote common security and work towards achieving lasting peace.

BRICS countries should support each other on issues concerning their core interests, enhance coordination on major international and regional issues, actively mediate in hotspot issues, and promote political resolutions.

China proposes that BRICS countries be fellow companions on the journey of development and revitalization, take the development and revitalization of Global South countries as a priority of the Global Development Initiative, and drive the development of the Global South through their own development.

China believes that BRICS countries need to champion the spirit of inclusiveness, advocate peaceful coexistence and harmony between civilizations, and promote respect of all countries in independently choosing their paths to modernization.

BRICS countries should practice true multilateralism, uphold the United Nations-centered international system, support and strengthen the WTO-centered multilateral trading system, fully leverage the role of the New Development Bank, and push forward reform of the international financial and monetary systems.

Starting from a new point, the greater BRICS should shoulder greater responsibilities and make greater achievements. China is willing to work with BRICS partners to uphold the founding purpose of strengthening themselves through unity, promote stable and long-term greater BRICS cooperation, usher in a new era of self-improvement of the Global South, and jointly promote world peace and development.

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SOURCE People’s Daily

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Technology

Tbay Introduces Fast Transaction Feature: A New Standard for Secure and Instant Gift Card Trading

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54 mins ago

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October 23, 2024

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ABUJA, Nigeria, Oct. 22, 2024 /PRNewswire/ — Tbay, the leading platform for trading gift cards in Nigeria, is thrilled to announce the launch of its groundbreaking “Fast Transaction” feature. Over the years, Tbay has solidified its reputation as a trusted and reliable platform for gift card trading, and with the new Fast Transaction feature, we are further elevating the user experience by making trades more secure, faster and incredibly seamless.

With Fast Transaction, Tbay users can now sell their gift cards directly to Tbay itself—bypassing the need to deal with vendor and offer selection. This innovative feature not only speeds up the process but also enhances security, ensuring that users can trade with complete peace of mind.

Why Choose Fast Transaction?

Unmatched Security
Tbay has always placed a premium on user safety, and Fast Transaction takes this to the next level. This feature guarantees that all transactions are fully secure and managed by a trusted and well-established platform. With Fast Transaction, you’re always trading with Tbay, a name synonymous with reliability and safety in the gift card industry.

Simplified, Streamlined Process
The Fast Transaction feature has been designed with ease of use in mind. In just a few simple steps, users can complete a sale and receive payment almost instantly. It’s as simple as selecting your gift card, confirming the details, and getting paid—quickly and effortlessly.

Instant Payouts
At Tbay, we understand that time is critical when selling gift cards. Fast Transaction ensures that once your gift card is verified, payment is processed within minutes. Whether you need cash urgently or just prefer a hassle-free experience, the Fast Transaction feature delivers by offering almost immediate payout.

How to Use Tbay’s Fast Transaction Feature?

Log in to Your Tbay Account
If you’re not already a Tbay user, registering is quick and easy, taking just a few minutes to set up an account.

Select the Fast Transaction Option
Navigate to the Fast Transaction feature directly from the homepage or by visiting this link https://h5.tbay.store/fast/cardType.

Enter Your Gift Card Details
Provide the necessary details like Pin code for the gift card you’re looking to sell. Double-check to make sure you are sharing the correct information.

Receive Instant Payment
Once the card is verified, payment is processed and sent to your Tbay account in a matter of minutes. You can immediately convert your Tbay points to Naira or use them as needed.

Why Tbay’s Fast Transaction Feature is a Game Changer?

Convenience Without Compromise
The Fast Transaction feature redefines convenience. It’s ideal for those who value efficiency and want to avoid the typical hassles of gift card sales.

Fast and Reliable Payment Options
Fast Transaction ensures that once your gift card is accepted, you won’t have to wait long for your payment. Users receive their Tbay points instantly. This feature is particularly beneficial when quick access to cash is needed, providing the reliability and speed users expect from a modern platform.

A Platform You Can Trust
With years of experience and a strong reputation, Tbay is the platform of choice for safe and secure gift card trading in Nigeria. The launch of the Fast Transaction feature further solidifies our commitment to providing users with the most reliable, fast, and secure service in the industry.

Conclusion

Tbay’s Fast Transaction feature sets a new benchmark for gift card trading in Nigeria. Whether you’re in need of quick cash or simply looking for a fast, secure, and hassle-free way to sell your gift cards, Fast Transaction offers a solution that meets all your needs.

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SOURCE Tbay

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JD Logistics Expands International Express Delivery to Seven Southeast Asian Countries

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54 mins ago

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October 23, 2024

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BEIJING, Oct. 23, 2024 /PRNewswire/ — JD Logistics (also known as JINGDONG Logistics), the logistics arm of Chinese e-commerce giant JD.com, today officially announced the launch of express delivery service from China to seven Southeast Asia countries: Singapore, Malaysia, Thailand, Vietnam, Indonesia, the Philippines, and Brunei.

This expansion follows the company’s recent launch of services to South Korea and Japan in September. Since launching its international express operations in late 2023, JD Express (JINGDONG Express) has rolled out two major services: “International Express” and “International Standard Express.” These services now span nearly 30 countries and regions, with the number expected to reach approximately 80 by year-end, addressing the diverse needs of both businesses and consumers.

JD Logistics is a leader in integrated supply chain services and has been driving innovation in the industry for over a decade, notably with its pioneering same- and next-day delivery services. Today, more than 90% of JD.com’s retail orders are fulfilled within 24 hours. The company employs over 300,000 in-house delivery personnel and operates more than 1,600 warehouses.

In addition to expanding its express delivery network, JD Logistics continues to extend its supply chain and warehousing capabilities to international markets. It currently operates nearly 100 bonded, direct mail, and overseas warehouses across the U.S., Germany, the Netherlands, France, the U.K., Australia, and beyond. In Southeast Asia, JD Logistics operates multiple local warehouses in Malaysia and Vietnam. In September, the company opened its second self-operated warehouse in Malaysia, a 10,000-square-meter facility providing B2B and B2C warehousing, rapid 24-hour fulfillment, reverse logistics, omni-channel fulfilment, transportation, customs clearance, and other value-added services. This warehouse has also been LEED-certified as a Green Building.

Earlier this year, JD Logistics announced plans to double its overseas warehouse capacity by 2025 as part of its broader global supply chain strategy. This expansion reflects JD Logistics’ commitment to meeting the growing demand for cross-border logistics solutions. With its continued focus on reliability, efficiency, and innovation, JD Express International remains a trusted partner in global shipping, offering seamless and dependable logistics solutions for customers worldwide.

 

View original content:https://www.prnewswire.com/apac/news-releases/jd-logistics-expands-international-express-delivery-to-seven-southeast-asian-countries-302283907.html

SOURCE JD Logistics

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