ANALYSIS: Airlines Ex-Im guarantees down 3% in 2012

London
Source: Flightglobal.com
This story is sourced from Flightglobal.com

The US Export-Import Bank funded $9.95 billion worth of aircraft deliveries last year, down slightly from its financing bill of $10.3 billion in the year-earlier period.

Ethiopian Airlines was the largest recipient of Ex-Im support for the year to 30 September with more than $1.2 billion in financing guarantees.

Cathay Pacific Airways and LAN Airlines received more than $1 billion each in Ex-Im guarantees for the year to 30 September.

Ex-Im approved a package for Atlas Air to the tune of $865 million, while Air China won a financing package worth $830 million.

Ryanair received $698 million in Ex-Im guarantees, while TAM Linhas Aereas won approval for $614 million in support. Emirates Airline secured $616 million in guarantees and Etihad Airways received $593 million in financing support.

During the fiscal year 2012, $1.8 billion worth of Ex-Im guarantees authorisations were approved in the October-December quarter, up 36% from 2011.

In the second quarter, authorisations nearly reached $2 billion, down 34% from 2011.

The third quarter saw more than $5.4 billion worth of authorisations, compared with $2 billion in the 2011 corresponding quarter.

Ex-Im authorised $693 million worth of transactions in the final quarter, compared with almost $4 billion in the fourth quarter of 2010.

The availability of the capital-markets has opened up additional sources of funding to back US exports, says Ex-Im.

"The bank has had considerable success with capital-markets funding in the three years since the first Ex-Im-guaranteed bond was issued in October 2009 to support Boeing aircraft sales to Emirates."

By the close of fiscal year 2012, there were 45 issuances, aggregating nearly $7.5 billion in guaranteed financings funded by the capital markets, says Ex-Im. Activity picked up substantially in the second half of the fiscal year, with 23 issuances during the six-month period from April 2012 through the end of September.

In 2011, Turk Hava Yollari was the largest recipient of Ex-Im guarantees for the year to 30 September with a $1.6 billion financing package. Air India also received approval for almost $1.3 billion in support.

During the past two years, Ex-Im has approved more than $20 billion in financing to support the export of US-manufactured commercial aircraft.

FISCAL YEAR 2011/12 LOAN AND LONG TERM GUARANTEES  
   
Airline  Date              Guarantees ($ million)
Air New Zealand

03/11/2011

2.9

Air New Zealand 06/10/2010

170.4

Air New Zealand 24/02/2011

322.8

Air India 30/09/2011

1273

Air China 31/05/2012

830.2

Air China 07/07/2011

270.8

Air China 07/07/2011

149.4

Asiana Airlines 31/05/2012

130

Atlas Air 01/12/2011

864.8

Biman Bangladesh Airlines 28/07/2011

261.8

Cargolux Airlines International 08/12/2011

4.8

Cargolux Airlines International 07/07/2011

949.6

Cathay Pacific Airways 21/02/2012

1,071

Cathay Pacific Airways 24/03/2011

634.7

Cathay Pacific Airways 05/05/2011

453.7

China Southern Airlines 31/05/2012

336.8

Copa Holdings 24/02/2011

188.5

Copa Holdings 21/04/2011

266.8

Comair 30/05/2012

112.2

Eastern & Southern Tarde Dev Bank (for Rwandair) 26/05/2011

59.5

Etihad Airways 10/05/2012

311.2

Etihad Airways 05/05/2011

271.9

Etihad Airways 16/06/2011

137.4

Etihad Airways 12/01/2012

281.8

Ethiopian Airlines 27/10/2012

192.7

Ethiopian Airlines 31/05/2012

1,012

Emirates Airline 30/05/2012

318.2

Emirates Airline 09/12/2011

297.7

Flydubai 27/09/2012

117.6

Korean Airlines 17/03/2011

418.6

Korean Airlines 29/08/2011

268.1

Korean Airlines 30/05/2012

276.8

Korean Airlines 26/01/2012

131.1

KLM Royal Dutch Airlines 12/07/2012

8.3

KLM Royal Dutch Airlines 03/02/2011

119.6

KLM Royal Dutch Airlines 03/02/2011

256.4

Lion Air 20/01/2012

2.2

LAN Airlines 31/05/2012

1,069

LAN Airlines 15/09/2011

232.8

MIAT Mongolian Airlines 31/05/2012

85.3

Norwegian Air Shuttle 30/08/2012

160.6

Norwegian Air Shuttle 11/03/2011

149.9

Norwegian Air Shuttle 17/12/2010

1.1

Norwegian Air Shuttle 22/06/2011

298.7

Pegasus Airlines 20/01/2011

450.6

Pegasus Airlines 26/04/2012

3.4

Philippine Airlines 30/05/2012

273.5

Royal Air Maroc 29/02/2012

93

Ryanair 26/07/2012

204.2

Ryanair 09/12/2011

493.4

Somon Air 25/08/2011

80

TAAG Angola 03/02/2011

255.6

TAM Linhas Aereas 23/06/2011

21.9

TAM Linhas Aereas 31/05/2012

614.3

Transavia Airlines 12/05/2011

78.5

Transavia Airlines 31/05/2012

83.2

Turk Hava Yollari 16/06/2011

428.6

Turk Hava Yollari 08/02/2012

317.9

Turk Hava Yollari 06/10/2010

1167

Turk Hava Yollari 03/11/2011

157.9

Virgin Blue International Airlines 18/11/2010

3.9

Virgin Blue International Airlines 25/08/2011

396.5

Virgin Blue International Airlines 14/07/2011

78

Virgin Blue International Airlines 06/09/2012

10

VRG Linhas Aereas 17/03/2011

195.1

WestJet Airlines 02/02/2012

76.3

Source: The Ex-Im Bank, 30 Sept 2011/12  

20255.5

Cathay Pacific Airways and Turkish Airlines received more than $2 billion in approvals during that period, while LAN Airlines had than $1.3 billion in Ex-Im guarantees. Air New Zealand and Air China received $1.27 billion and $1.25 billion in support, respectively.

Ethiopian Airlines and Korean Air Ex-Im received guarantees in 2011 and 2012 totalling $1.2 billion and approximately $1.1 billion, respectively. New Boeing 747-8F operators Cargolux Airlines and Atlas Air were approved for $954 million and $864 million, respectively. Irish budget carrier Ryanair follow received almost $700 million in Ex-Im financing packages.