The US Export-Import Bank (Ex-Im) has approved a $45.5 million loan guarantee to Brazil's Gol to send engine maintenance to Delta TechOps.
The funding will support about 400 jobs at the Delta Air Line subsidiary's maintenance base in Atlanta.
The transaction follows a $84.8 million loan guarantee that Ex-Im approved for Gol last April, which also covered engine maintenance services.
Gol relies on Delta TechOps for more than half of its engine maintenance work. Delta Air Lines invested $100 million in the low-cost carrier in 2011, and the airlines announced today that they have implemented a codeshare agreement.
"Supporting American service exports is a critical component of what we do here at Ex-Im Bank, and I am pleased that our financing will help support high-quality jobs for Delta employees in Atlanta," says Ex-Im chairman Fred Hochberg. "American companies provide the best products and services in the world, and this financing demonstrates how Ex-Im Bank helps level the playing field for American companies like Delta."
Last month, Delta joined Hawaiian Airlines and the Air Line Pilots Association (ALPA) to file a suit against Ex-Im, alleging that the bank's loan guarantees for foreign airlines have a negative impact on US competitors. The loan guarantees cited in that lawsuit were to LATAM Airlines Group, which includes Gol's competitor TAM, as well as Emirates, Etihad Airways, Korean Air, and LOT Polish Airlines.