Seabury Facilitates Successful Implementation of Air Nostrum’s Financial and Operational Turnaround Strategy Partnership Underscores Seabury’s Track Record of Providing Global Airlines with Sustainable Solutions for Restructuring and Recapitalization

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Seabury Facilitates Successful Implementation of Air Nostrum’s Financial and Operational Turnaround Strategy Partnership Underscores Seabury’s Track Record of Providing Global Airlines with Sustainable Solutions for Restructuring and Recapitalization

NEW YORK – May 29, 2014 – Seabury Capital LLC (Seabury) announced today that it has facilitated the successful implementation of the financial and operational turnaround strategy for Spain’s regional carrier Air Nostrum. The restructuring process has resulted in the airline’s adjustment plan and conclusion of its capital increase operation through which the company foresees a return to profit in 2015. Carlos Bertomeu has also become the airline’s majority shareholder.

“Seabury congratulates Air Nostrum’s management and Carlos Bertomeu for this exceptional turn-around.  We are very pleased to have been part of this success story and to have had the opportunity to assist Air Nostrum’s management in this remarkable effort,” said Seabury Chairman & Chief Executive Officer John E. Luth. “By undertaking a comprehensive restructuring of Air Nostrum’s strategic relationships, financial obligations and operational costs, Air Nostrum has successfully adapted to the current market conditions thereby ensuring its future profitability through a strong financial position and a solid growth strategy. This success has only been possible thanks to the quality and long-term integrity of the airline’s management.”

Seabury’s Investment Banking and Consulting Divisions supported the core of Air Nostrum’s restructuring process including its financial restructuring since April 2013 after the airline experienced operational and financial challenges resulting from the global financial crisis and Spanish economy’s downturn.

“Seabury’s restructuring experience, aviation expertise, industry connections and its commitment to Air Nostrum have been key to the success of our airline’s restructuring. I felt that Seabury representatives were part of my management team and trusted their advice,” said Air Nostrum President & Chief Executive Officer Carlos Bertomeu.

As part of the turnaround process, Seabury assisted the airline in undertaking a strategic assessment of its network and relationships, completing fleet optimization work, negotiating a restructuring of all aircraft debt and lease obligations, renegotiating key commercial and vendor contracts, and conducting its equity capital raise.  Air Nostrum is planning to be close to breakeven in 2014 and to fully return to profitability in 2015.

“We recognize the uniqueness of each client’s situation, which requires an extensive knowledge and understanding of airline operations, the aviation industry, and owner and legal constraints,” commented Michael B. Cox,Vice Chairman of Seabury Advisory Group and Global Head of Corporate Advisory Services. “In Air Nostrum’s case, the long-term strong relationships that the airline’s management had built over the years with its key partners and internal stakeholders were instrumental in successfully carrying out this comprehensive restructuring.  Carlos Bertomeu’s staunch support of Air Nostrum through its management and financial investment proved invaluable in ultimately completing this transformation of the airline.”

In anticipation of the sector trend of introducing regional aircraft with more seating capacity and in reaction to the crisis, Air Nostrum’s management has successfully redesigned its network, reduced its labor costs and adopted a fleet rationalisation plan and overcapacity management procedure.

ABOUT SEABURY GROUP

Seabury Capital is a leading global advisory and professional services firm that delivers diversified and responsive business solutions to clients in Aviation, Aerospace & Defense, Transportation and related industries. Since 1995, Seabury has partnered with more than 300 clients on 1000+ engagements to solve their most complex challenges through an integrated approach to consulting, investment banking, asset management and information technology. Our more than 250 professionals worldwide are top-tier bankers, consultants, technology experts and former executives who share a passion for delivering innovative and intuitive solutions geared toward our clients’ diverse and emerging needs. Headquartered in New York, Seabury and its subsidiaries are based in 14 countries on five continents. www.seaburygroup.com