Organisation for Economic Cooperation and Development (OECD) reportedly reached a compromise agreement on export credit financing for aircraft and the home country rule (AFP, 20-Dec-2010). A deal could be announced this week, following approval from national governments. The new agreement reportedly allows airlines from aircraft exporting countries such as France, Germany, Spain and the US to access export credit mechanisms to finance aircraft. The agreement will also reportedly be applied to Bombardier’s CSeries aircraft.
OECD reaches agreement on export credit financing
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Garuda Indonesia Part 4: revised fleet plan leads to new narrowbody and widebody orders
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The new fleet plan supports an ambitious plan to expand Garuda’s international network – both regionally and in the long haul sector. Garuda is also striving to strengthen its domestic position further with narrowbody growth.
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United Airlines Part 2: Sustaining balance sheet strength while declaring ambitious margin targets
One area where United Airlines has made important strides during the last few years is in overhauling its balance sheet. Its efforts have gained some recognition from credit agencies for its progress in paring down debt and improving leverage ratios; but similarly to its rival American Airlines – attaining an investment-grade credit rating is not a huge priority for United. The airline believes it can achieve some benefits that investment-grade companies enjoy with the current state of its balance sheet.
In order to sustain the progress it has made in balance sheet repair United plans to amend its aircraft order book to slash capex commitments during the next couple of years, including the deferral of 61 Boeing narrowbodies. United is hinting that other fleet changes could be under consideration, including deals similar to the agreement it forged during 2015 to lease used Airbus A319s.
This is Part 2 in a two-part series reviewing United’s financial and revenue-generating opportunities.