Qatar secures $500mn deal for new aircraft

FINANCE BOOST: Qatar has secured a $500 million deal to finance three new aircraft.

Qatar Airways has secured $500 million to finance a deal for three Boeing 777 aircraft, it announced on Wednesday.

The Doha-based carrier has already received two of the 777-300ER planes in a transaction carried out by joint arrangers Calyon and Natixis Transport Finance.

Meanwhile, the third aircraft is expected to arrive in spring 2009. Calyon and Natixis are again involved in the deal, along with Arab Bank, ING Bank and Europe Arab Bank.  

“In the current financial climate, banks are focusing their liquidity on the strongest airlines,” said Qatar Airways’ CEO Akbar Al Baker. “I am very pleased that these banks continue to demonstrate their support for Qatar Airways.

“Qatar Airways has built up a strong reputation in the international marketplace with a solid long-term growth strategy that can weather any crisis.”

Al baker added the new aircraft will support increased frequencies and additional routes.  

The transactions carry a six-year, two tranche finance lease structure. The financing for both was underwritten by eight banks, including DekaBank, Europe Arab Bank, Fortis Bank, ING Bank, KfW IPEX-Bank GmbH, and Natixis.

Qatar Airways’ Boeing 777-300s feature 335 seats in a two-class configuration of 42 seats in business and 293 in economy. The airline already has four Boeing 777s in its fleet.

In total, Qatar Airways has ordered 32 Boeing 777s – 14 B777-300ERs, six B777-200LRs, seven B777-200 Freighters, with a further five aircraft on option.

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