Wheels Up Advances Fleet Modernization Plan with Strategic Sale-Leaseback Transaction and Satellite Wi-Fi Milestone

Core Insights - Wheels Up Experience Inc. has announced a sale-leaseback transaction for part of its aircraft fleet, marking a significant step in its fleet modernization strategy aimed at enhancing customer experience and supporting growth in 2026 [1][4][5] Fleet Modernization Strategy - The company is focused on scaling its fleet of Bombardier Challenger 300 series and Embraer Phenom 300 series aircraft, with strong demand for its new fleet offerings linked to the recently launched Signature membership [2][6] - In the fourth quarter, Wheels Up has acquired or entered into agreements to acquire 10 additional Challenger and Phenom aircraft, with plans for further expansion in 2026 [2] Sale-Leaseback Transaction - Wheels Up has entered into an agreement to sell 3 Challenger 300s and 7 Phenom 300s, while entering into long-term operating leases for all 10 aircraft, ensuring continued operation and access for customers [3][4] - The sale price for this transaction is approximately $105 million, with expected proceeds used to repay $65 million of outstanding debt and provide $40 million in cash to the company's balance sheet [4] Customer Experience Enhancement - The first Phenom 300 equipped with Gogo Galileo HDX satellite Wi-Fi has entered service, initiating a fleet-wide upgrade to next-generation connectivity, which enhances in-flight performance and customer experience [5][6] - The company anticipates delivering its first HDX-equipped Challenger aircraft early in 2026, with plans to quickly upgrade the entire fleet throughout the year [6]