Emirate Pilot News
Emirates Signs $261 Million Agreement With Ex-Im
K.T. Abdurabb, Arab News
DUBAI, 7 July 2006 — Emirates Airline has signed a $261 million financing agreement with the Export-Import Bank (Ex-Im) of the United States for two B777-300ER aircraft, scheduled for delivery in August and October 2006.
Arranged by Citigroup, the innovative 12-year financing for both aircraft combines an Ex-Im supported loan with commercial funding, and carries a weighted average cost of funds of 0.66 per cent over three-month LIBOR (London Inter Bank Offered Rate).
The Ex-Im supported loan was fully funded by Citigroup and the commercial loan was funded by Citigroup and Bayerische Landesbank.
Nigel Hopkins, Emirates’ executive vice president of service department said: “We are appreciative of the support of Citigroup, one of the leading financiers in the world. Including this financing, we have used US Ex-Im Bank support on only four aircraft to date and there is further potential for US Ex-Im Bank supported financing in helping us finance a number of Emirates’ future Boeing deliveries.”
Emirates currently operates an all wide-bodied fleet of 94 aircraft comprising: 37 Boeing 777s, 29 Airbus A330-200s, ten Airbus 340-500s, eight A340-300s, one Airbus A310, three Airbus A310F and six Boeing 747 freighters.
In addition, the airline has an order book of over 100 aircraft units worth $28 billion, including 38 more Boeing 777-300ERs.
Emirates operates flights to 84 cities in 57 countries in Europe, North America, the Middle East, Africa, Indian subcontinent and Asia Pacific. In the next months, it intends to launch new services to Beijing and Bangalore.