[§261E-15]  Issuance of securities;execution of leases.  A Hawaii air carrier, with the approval of the aircarrier commission, may issue stocks and stock certificates, bonds, notes, andother evidences of indebtedness, payable at periods of more than twelve monthsafter the date thereof, and enter into long-term leases of more than five yearsand leverage leases, for the following purposes:

(1)  For the acquisition or use of property;

(2)  For the construction, completion, extension, orimprovement of or addition to its facilities or service;

(3)  For the discharge or lawful refunding of itsobligations; and

(4)  For the reimbursement of moneys actually expendedfrom income or from any other moneys in its treasury not secured by or obtainedfrom the issue of its stocks or stock certificates, or bonds, notes, or otherevidences of indebtedness, except maintenance of service, replacements, andsubstitutions not constituting capital expenditure in cases where the aircarrier has kept its accounts for the expenditure in a manner as to enable thecommission to ascertain the amount of moneys expended and the purposes forwhich the expenditures were made and the sources of the funds in its treasuryapplied to the expenditures.

A Hawaii air carrier may not issue securitiesor enter into long-term leases of more than three years and leverage leases, toacquire or use property or to construct, complete, extend, improve, or add toits facilities or service, if the commission determines that the proposedtransaction will have a material adverse effect on the carrier's operations. No carrier shall repurchase or reissue its own common stock without theapproval of the commission.

This section shall apply to a transactioninvolving a related company to the extent that the commission determines thatthe transaction may have a potential impact upon the relevant Hawaii aircarrier or its operations.  A related company shall notify the commission ofany transaction at least sixty days prior to its consummation. [L Sp 2008, c 1,pt of §2]