Core Viewpoint - Azul S.A. has initiated a pre-arranged restructuring process under Chapter 11 in the United States, aiming to secure approximately US$1.6 billion in debtor-in-possession financing and eliminate over US$2.0 billion in debt, positioning the company for long-term success in the aviation industry [1][3][5]. Financial Restructuring - The restructuring process includes Restructuring Support Agreements with key stakeholders, including bondholders and major lessors like AerCap, as well as strategic partners United Airlines and American Airlines [3][6]. - The financing structure involves up to US$950 million in equity investments, which will facilitate an accelerated emergence from the restructuring process [1][3]. - The company plans to utilize the Chapter 11 process to optimize its capital structure, reduce lease obligations, and enhance fleet efficiency, ultimately leading to improved cash flow generation [5][10]. Operational Continuity - Azul will continue its operations normally, honoring all customer commitments, including tickets and loyalty points, throughout the restructuring process [2][4]. - The company has filed motions to support ordinary-course operations, ensuring that crewmember compensation and benefits programs remain intact [9]. Stakeholder Support - Key stakeholders, including AerCap, United Airlines, and American Airlines, have expressed confidence in Azul's restructuring plan, highlighting the collaborative approach taken to strengthen the airline's future [6][8][9]. - The support from these partners is expected to reinforce Azul's financial position and operational efficiency, allowing the company to emerge stronger post-restructuring [10]. Company Overview - Azul S.A. is the largest airline in Brazil by flight departures and destinations, operating over 900 daily flights to more than 150 locations with a fleet of over 200 aircraft [13]. - The airline has been recognized for its operational excellence, being named the most on-time airline in the world in 2023 [13].

Financial Data and Key Metrics Changes - Revenues for Q4 were $666 million, up 28% year-over-year, and adjusted earnings per share were $1.96, up 54% compared to the same quarter last year [6] - For the fiscal year 2025, total revenues reached $2.4 billion, marking a 25% increase from the previous year, the highest annual revenue in the firm's history [6][10] - Adjusted compensation expenses for Q4 were $410 million, compared to $320 million in the same period last year, maintaining an adjusted compensation expense ratio of 61.5% [14][15] Business Line Data and Key Metrics Changes - Corporate Finance revenues were $413 million for the quarter, a 44% increase year-over-year, with 147 transactions closed, up from 121 in the same period last year [12] - Financial Restructuring revenues were $165 million for the quarter, a 6% increase year-over-year, with 38 transactions closed compared to 35 in the same quarter last year [13] - Financial and Valuation Advisory revenues were $89 million for the quarter, a 15% increase from the same period last year, with 1,224 fee events during the quarter [13] Market Data and Key Metrics Changes - The company noted that the average size of transactions and average transaction fees in Corporate Finance continued to grow, indicating a strengthening brand perception and quality of senior hires [7][8] - The capital markets business, now rebranded as Capital Solutions, had a record year, enhancing the platform with diversified, high-growth, and less volatile revenues [8] Company Strategy and Development Direction - The company executed three acquisitions in fiscal year 2025, expanding its industry, geographic, and product reach, which remains a key component of its growth strategy [7] - The management emphasized the importance of maintaining a diversified business model to navigate volatile market conditions effectively [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued elevated levels of restructuring activity, bolstered by recent market events [30] - The company acknowledged the challenges in forecasting due to current market volatility but noted that pitch level activity and deal processes were proceeding at a normal rate [23][24] Other Important Information - The Board approved a 5.3% increase in the quarterly dividend to $0.60 per share, to be paid in June [20] - The company ended the fiscal year with approximately $1.2 billion in unrestricted cash and equivalents, with a significant portion earmarked for accrued bonuses [19] Q&A Session Summary Question: How have revenues been tracking quarter to date amidst volatility? - Management indicated it is too early to provide meaningful indications but noted that pitch level activity and deal processes are moving at a normal rate [23] Question: What is the outlook for restructuring in light of recent events? - Management expects restructuring to remain at elevated levels, with confidence in continued activity [30] Question: How does the outlook differ between middle market and large scale M&A? - Management confirmed that mid-cap volumes are generally more resilient than large-cap volumes, a trend observed in previous cycles [44] Question: What is the state of the bolt-on acquisition pipeline for fiscal year 2026? - Management stated that discussions around acquisition opportunities remain active and are crucial to the strategic direction of the company [46] Question: How is the Capital Solutions business performing? - Management noted that the Capital Solutions Group continues to grow significantly, driven by various market trends [51] Question: What is the capacity for restructuring in a more stressed macro environment? - Management indicated that there is substantial capacity to handle a larger restructuring environment, with revenue per managing director currently lower than during previous economic downturns [55]

Corporate Update - Clear Blue Technologies International Inc. will provide a corporate update and report financial results for fiscal 2024 on April 30, 2025, after market close [1] - The company has successfully completed its financial restructuring and is now positioned to execute on future opportunities [2] Conference Call - A conference call is scheduled for May 1, 2025, at 11:00 a.m. Eastern Time to review the financial restructuring, 2024 results, and provide an update on the 2025 outlook and growth plan [2] Financial Restructuring - On April 9, 2025, the company announced the completion of its financial restructuring, which included a transaction with RE Royalties that replaced its banking loan [3] - The TSX-V approved the issuance of 1,388,889 equity units, each consisting of one common share priced at CAD 0.18 and one common share purchase warrant exercisable at CAD 0.30 for 24 months [3] Company Overview - Clear Blue Technologies International focuses on delivering clean, managed, "wireless power" for reliable, low-cost solar and hybrid power solutions across various applications [4] - The company manages thousands of systems across 37 countries, including the U.S. and Canada [4]