27. 7. 2005 - CSA’s Supervisory Board approves the winner of tender for financing new airplanes
Prague, 27 July 2005
At its today’s meeting, the Supervisory Board unanimously approved the decision of Czech Airlines Board of Directors regarding the winner of the tender for financing the purchase of 12 Airbus A320 and A319 aircraft. The banks of the winning consortium, ČSOB, a.s., BNP Paribas and Natexis Banques Populaires, whose offer was assessed as economically best by Czech Airlines in cooperation with legal and economic advisers (Weil, Gotshal & Manges, Deloitte), belong to leading finance institutions specializing in aircraft financing. Czech Airlines will finance its new airplanes valued at 10 – 12 billion CZK through a 12-year financial leasing guaranteed by European Export agencies.
The airplanes will be delivered within 2006 – 2008, first 3 new airplanes will arrive in March 2006, 5 airplanes in 2007 and 4 airplanes 2008.
Czech Airlines announced the tender for financing 12 new medium-haul Airbus A320 and A319 airplanes at the beginning of April 2005. Renowned local and foreign banks and finance institutions showed interest in the tender, among others Citibank, ČSOB, BNP Paribas and Natexis consortium, ING Bank & Calyon consortium and Komerční banka & Société Générale.
The suppliers of individual components, so called optional components of Airbus 6 A320’s and 6 Airbus A319’s were also selected in a tender. Out of more than 70 suppliers, Czech Airlines selected the following companies: B/E (passenger seats supplier), Panasonic and Rockwell (in-flight entertainment systems supplier), Bucher (supplier of closets on board) and Rockwell-Collins and Honeywell (key avionic systems suppliers).
Czech Airlines experienced a remarkable interest in tender participation from financial institutions and consortiums, indicated also by high quality proposals and a large number of applicants. The winning proposal from ČSOB, a.s., BNP Paribas and Natexis Banques Populaires consortium will secure Czech Airlines a saving of more than 1 billion CZK if compared with the financial plan for 2005 – 2015.
Also the negotiations with the suppliers of optional components brought Czech Airlines remarkable discounts and benefits. The airline saved several hundred million CZK if compared with the financial plan for 2005 – 2008 and acquired for example free deliveries of spare parts and tools and provision of training for employees.
Czech Airlines has successfully completed another phase of its project of the introduction of new medium-haul airplanes in its fleet. Following step will be the conclusion of a mandate contract with the ČSOB, a.s., BNP Paribas and Natexis Banques Populaires consortium and beginning of talks with export agencies.