NOTES TO CONSOLIDATED FINANCIAL STATEMENTS OF AMERICAN AIRLINES GROUP INC. (d) Senior Notes The details of our 5.50% and 4.625% senior notes are shown in the table below as of December 31, 2018: The 5.50% and 4.625% senior notes are senior unsecured obligations of AAG. The senior notes are fully and unconditionally guaranteed by American. The indentures for the senior notes contain covenants and events of default generally customary for similar financings. In addition, if we experience specific kinds of changes of control, we must offer to repurchase the senior notes at a price of 101% of the principal amount plus accrued and unpaid interest, if any, to (but not including) the repurchase date. Upon the occurrence of certain events of default, the senior notes may be accelerated and become due and payable. As of December 31, 2018, AAG had issued guarantees covering approximately $769 million of American’s special facility revenue bonds (and interest thereon) and $8.4 billion of American’s secured debt (and interest thereon), including the Credit Facilities and certain EETC financings. Certain of our debt financing agreements contain loan to value (LTV) ratio covenants and require us to annually appraise the related collateral. Pursuant to such agreements, if the LTV ratio exceeds a specified threshold, we are required, as applicable, to pledge additional qualifying collateral (which in some cases may include cash collateral), or pay down such financing, in whole or in part. Specifically, we are required to meet certain collateral coverage tests on an annual basis for our Credit Facilities, as described below: At December 31, 2018, we were in compliance with the applicable collateral coverage tests as of the most recent measurement dates. 103 2013 Credit Facilities 2014 Credit Facilities April 2016 Credit Facilities December 2016 Credit Facilities Frequency of Appraisals of Appraised Collateral Annual Annual Annual Annual LTV Requirement 1.6x Collateral valuation to amount of debt outstanding (62.5% LTV) 1.6x Collateral valuation to amount of debt outstanding (62.5% LTV) 1.6x Collateral valuation to amount of debt outstanding (62.5% LTV) 1.6x Collateral valuation to amount of debt outstanding (62.5% LTV) LTV as of Last Measurement Date 34.8% 18.8% 40.9% 57.5% Collateral Description Generally, certain slots, route authorities and airport gate leasehold rights used by American to operate all services between the U.S. and South America Generally, certain slots, route authorities and airport gate leasehold rights used by American to operate certain services between the U.S. and European Union (including London Heathrow) Generally, certain spare parts Generally, certain Ronald Reagan Washington National Airport (DCA) slots, certain La Guardia Airport (LGA) slots, certain simulators and certain leasehold rights 5.50% Senior Notes 4.625% Senior Notes Aggregate principal issued and outstanding $750 million $500 million Maturity date October 2019 March 2020 Fixed interest rate per annum 5.50% 4.625% Interest payments Semi-annually in arrears in April and October Semi-annually in arrears in March and September Guarantees Collateral-Related Covenants