Qatar Airways completes financing for two A320 aircraft

This is the first transaction in which Natexis has been mandated as arranger for Qatar Airways; they have however acted as the Export Credit Agency (ECA) and Commercial Lenders and French Agent in two previous A330 financing transactions for the airline. The new financing will be structured as a finance lease, with the European Export Credit Agencies supporting 85% of the loan and the balance of 15% being a commercial loan. Natexis has considerable experience in ECA transactions.

Prime Aviation of London-Gatwick Airport advised Qatar Airways on the structuring of this transaction.

Qatar Airways recently signed an agreement with Airbus for an order of 34 aircraft in a $5.1 billion deal that will allow the airline to increase its fleet from 24 to 52 by 2008.

The present fleet consists of 24 new Airbus aircraft including A330-200s, A300-600s, A320-200s, and A319 Corporate Jets. The new order includes A330-200/300s, A340-600HGWs and A321s. The airline has also confirmed orders for the A380 'Super Jumbo'.

Qatar Airways is one of the world's fastest growing airlines, serving 41 destinations throughout Europe, Africa, the Middle East and Asia. The A320 will be deployed in a two-class layout on Qatar Airways' regional scheduled services within the Gulf, to the Middle East and to southwest Asia. The airline's excellent product and high efficiency are expected to underpin its continued rapid growth.

The Qatar Airways Group of Companies includes Qatar Airways, Qatar Duty Free, Qatar Aviation Catering Company, Qatar Aviation Services, Qatar Airways Holidays, the Qatar Distribution Company, and United Media International.