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Australia deputy PM: Cape Town Convention signature has reduced capital costs for airlines

7-Aug-2013 5:29 PM

Australia's deputy Prime Minister and Minister for Infrastructure and Transport Anthony Albanese, speaking at the CAPA Australia Pacific Aviation Summit, noted (07-Aug-2013) that legislation has recently passed the Parliament enabling Australia to sign up to the Cape Town Convention. He explained, "Capital costs are a concern for any industry and the Convention means airlines can now find cheaper finance when buying aircraft. This reduces the risk for creditors, giving your industry greater certainty. It could mean a saving of up to $2.5 million on a new Airbus A380, and about $1.7 million on the cost of a new Boeing 787-8. But it’s not just for the big guys. It will also help regional airlines expand and renew their fleets with savings of up to $330,000 on an ATR-72". [more - original PR]