SAS has secured a Pre-Delivery Payment Financing Facility (“PDP Facility”) with DVB Bank covering a portion of the pre-delivery payments that SAS is making for five Airbus A320neo under the aircraft order with Airbus.
The PDP Facility is structured as a revolving credit facility under which SAS may draw up to MUSD 46.
Through this agreement, SAS has secured pre-delivery payments of in total 11 Airbus A320neo until the beginning of 2018. It is our second agreement relating to pre-delivery payments that we have completed and demonstrates that there is a strong interest amongst investors for the aircraft that SAS has on order, says Göran Jansson Executive Vice President and CFO at SAS.
The loans under the PDP Facility will be repaid upon delivery of each aircraft to SAS.