BA agrees £1.0 billion UKEF 5-year credit facility

RNS Number : 8922Q

International Cons Airlines Group

01 November 2021

 

British Airways agrees £1.0 billion UK Export Finance guaranteed 5-year committed credit facility

International Airlines Group (IAG) announces that British Airways has reached agreement with UK Export Finance (UKEF) and a syndicate of banks for a 5-year Export Development Guarantee committed Credit Facility (UKEF Facility) of £1.0 billion. This is additional to a £2.0 billion UKEF guaranteed facility that was announced in December 2020 and drawn in March 2021.

British Airways intends to draw down only if and when required and the facility will not be utilised upon signing.

Similar to the previous facility, British Airways is entitled to repay any drawn loan at any time on notice and there are similar non-financial covenants, including restrictions on dividend payments to IAG. Both facilities have similar sustainability-linked features.

At the end of September, IAG's total liquidity was strong at €10.6 billion. This facility further bolsters liquidity. IAG will update investors and analysts in its third quarter results announcement on 5 November.

  Stephen Gunning

Chief Financial Officer

1 November 2021

LEI: 959800TZHQRUSH1ESL13

This announcement contains inside information and is disclosed in accordance with the Company's obligations under the Market Abuse Regulation

 

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