National Air Services announces successful close of a $60.5m seven year loan facility from Arab Banking Corporation

The Facility is supported by a guarantee from the Export-Import Bank of the United States ('Ex-Im Bank').

The Facility is to finance the delivery payments for NAS of the purchase of six Hawker 750 model aircraft from US-based Hawker Beechcraft Corporation.

Based upon the above facility, NAS is in position to sell fractional ownership under its NetJets Middle East Program and whole aircraft under its Aircraft Management Services on Hawker 750 aircraft while providing relaxed payment terms that extend to seven years at attractive rates. NAS has received additional three H750 aircraft in 2009 supported by this facility.

NAS is the largest private operator of business jets in the Middle East and the leading provider of VVIP and executive air transport services in the region.

NAS has a very successful relationship with the US Ex-Im and ABC and in 2007 NAS has obtained financing of $79.5m for financing of three Gulfstream G-450 aircraft and is planning to approach the US Ex-Im again for financing of further three Gulfstream G-450 in the very near future.

Parties involved in the transaction

National Air Services Group (NAS) was established in 1999 when NetJets-Middle East Program (NJME) was introduced in cooperation with NetJets-USA. Later on in 2001, Aircraft Management Services was established to provide customized management solutions for aircraft owners. It has signed management & operations contracts of over 66 governments, corporate and private aircraft. In 2007, NAS started its commercial operations through nasair the 1st Budget Airline carrier in KSA.

Ex-Im Bank is an independent U.S. government agency that assists in financing the export of U.S. goods and services to markets around the world, through export credit insurance & loan guarantees. In fiscal year 2008, Ex-Im Bank authorized a total of $14.4bn in financing to support an estimated $19.6bn of U.S. exports worldwide.

Arab Banking Corporation, known as ABC, is an international bank headquartered in Manama, Bahrain, with a network across 21 countries in the MENA, Europe, the Americas and Asia. ABC, founded in 1980, is listed on the BSE and its major shareholders are the Kuwait Investment Authority, Central Bank of Libya and Abu Dhabi Investment Authority.