LOT Polish Airlines tapped the capital markets on 9 July to fund a Boeing 787 delivery, a source at the carrier indicates.
The Polish flag carrier issued a new 12-year US Export-Import Bank (Ex-Im) bond transaction through a vehicle, Ulani MSN 39541, refinancing a June delivery.
The transaction closed with a 2.677% coupon equivalent to mid-swap spreads plus 65 basis points.
The 787 (MSN 39541) was delivered on 21 June. It is part of a five-aircraft Ex-Im-guaranteed loan provided by Apple Bank for Savings last November, with an option to refinance the units in the capital markets with KGS-Alpha Capital Markets. Nippon Export and Investment Insurance is a participant in the Ex-Im- guaranteed mandate.
The transaction marks the second time in a month the Polish flag carrier taps the capital markets for funding.
LOT closed two US Ex-Im backed bonds, totalling $179 million on 20 June, to fund two 787s. The first bond, Ulani MSN 37894, totalled $86 million and refinanced a December 2012 delivery. The pricing on the coupon was 2.18% equivalent to mid-swap spreads plus 62 basis points.
The second bond, Ulani MSN 35940, totalled $93 million and refinanced a May 2013 delivery. The pricing on the coupon was 2.22% equivalent to mid-swap spreads plus 62 basis points