LONDON, 4 February 2000 - On 4 February 2000 in London, England, Export-Import Bank of the United States (Ex-Im Bank) and Export Credits Guarantee Department of the United Kingdom (ECGD) signed loan guarantees for Thailand’s national carrier, Thai Airways International Public Company Limited (THAI), on a 12-year, US$537 million export credit facility from Barclays Bank PLC for five previously ordered Boeing airplanes - one 747-400 and four 777-300s.
This financing arrangement is the largest of its kind for Thailand, an indication that the country is well on the road to recovery from the recent Asian economic slump and is an expression of confidence in the economic stability of Thailand. The current national economic situation has improved dramatically compared to the financial crisis that began more than two years ago.
This arrangement would not have been possible without the strong support and cooperation from the Thai government under the leadership of Prime Minister Chuan Leekpai, together with Minister of Finance Tarrin Nimmanahaeminda, Minister of Transport and Communications Suthep Thaugsuban, and officials from various other government agencies.
The financing documents were signed by THAI’s President Thamnoon Wanglee and executives from Ex-Im Bank, ECGD, and Barclays Bank. Also attending this signing ceremony were representatives from The Boeing Company and Rolls-Royce.
“We are pleased that Thai Airways International is able to increase its market share and competitive position in accordance with its strategic goals through the acquisition of these airplanes,” said Scott Scherer, Vice President of Customer Finance - Boeing Capital Corporation. “We are proud that this effective financing solution for THAI was achieved through the joint efforts of all parties involved.”
Under the agreements, Ex-Im Bank is guaranteeing the repayment of loans for the five Boeing airplanes and the four General Electric engines installed on the 747-400. ECGD is guaranteeing repayment of the loans for the eight United Kingdom manufactured Rolls-Royce engines installed on the 777-300s. THAI’s five airplanes and 12 engines will serve as collateral for these loans.