Banks win Qatar finance to buy Boeing 777s

A bank consortium has secured a US$500 million 12-year finance lease for Qatar Airways to purchase three Boeing 777 aircraft with a scheduled delivery by the end of 2008.

Bank of Tokyo-Mitsubishi UFJ, BNP Paribas, Deutsche Bank, Standard Chartered Bank and Sumitomo Mitsui Banking Corporation Europe have all come together to create a deal – 100 per cent of the purchase cost of the aircraft – which achieves a loan-to-aircraft value profile that satisfies international aviation finance banks while also appealing to regional lenders. The transaction also addressed delays in delivery of the aircraft due to the recent industrial action at Boeing.

Standard Chartered Bank acted as facility agent and security trustee for the deal.