Ex-Im Bank backs EgyptAir Boeing 737 purchase
Washington, August 27, 2009
The Export-Import Bank of the United States (Ex-Im Bank) has backed a loan for EgyptAir’s purchase of five Boeing 737-800 aircraft as part of a major fleet renewal.
EgyptAir, the national flag carrier of Egypt, today signed documents finalizing Ex-Im Bank’s support for
At a ceremony at Ex-Im Bank headquarters, Ex-Im Bank chairman and president Fred P Hochberg; Mohamed Hassan, advisor to the chairman of EgytAir Holding Company; and Astar Saleh, executive director, JPMorgan Chase Bank, signed financing documents related to Ex-Im Bank’s guarantee of a loan from JP Morgan Chase.
“This signing represents an important milestone in US-Egyptian relations – and is the first Ex-Im Bank-supported financing for EgyptAir in more than 25 years,” said Hochberg. “It also will support skilled jobs in the American economy. Just last week I learned that EgyptAir recently ordered eight more of the Boeing aircraft, and Ex-Im Bank stands ready to consider supporting that purchase, as well as other aircraft exports in this important region of the world.”
Hochberg noted that in the current economic environment, the fleet renewal requires a scale of financing difficult to secure from the private sector alone, “and we are glad to fill the gap as the United States’ official export credit agency. This is good for Egypt, good for the regional and world economy, and good for American workers.”
The first of the five financed 737-800 aircraft will be delivered to EgyptAir by Boeing on the Friday after the signing ceremony in Seattle, Washington. The aircraft are equipped with CFM56-7 engines made by CFM International, Cincinnati, Ohio.
In addition to fleet renewal, as part of its effort to become a major global hub, EgyptAir has become a member of the Star Alliance, a global airline alliance that will provide EgyptAir’s passengers with world-wide reach through 17,000 daily flights to 916 destinations in 160 different countries.
The airline also recently opened Terminal 3 at Cairo International Airport for Star Alliance members. The terminal, equipped with cutting edge airport IT systems and airport and passenger technologies, is designed to carry 14 million passengers a year, more than triple today’s volume. - TradeArabia News Service