Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Kuwait Airways to buy 25 planes from Airbus  Join our daily free Newsletter

MENAFN - AFP - 03/12/2013
No. of Ratings : 0
Add to Mixx!

(MENAFN - AFP) Kuwait Airways Co. has signed a Memorandum of Understanding (MoU) with Airbus to buy 25 planes with an option for 10 more and to lease 12 planes, its acting chairman said on Tuesday.

"We have signed a Memorandum of Understanding with Airbus to purchase 25 planes to replace the existing ageing fleet," Jassar al-Jassar told a press conference.

He declined to reveal the value of the deal citing a confidentiality clause but local media, when talks of the deal first surfaced in May, estimated the cost at around 3 billion.

State-owned KAC, which is undergoing privatisation, signed a letter of acceptance for the deal in May.

He said the airline has obtained all the necessary authorisations from the government.

Financial consultant for the deal Amani Buresli, a former minister of commerce, said the agreement includes the purchase of 15 A320neo and 10 A350-900 planes with the option to buy 10 more, five from each category.

She said delivery of the purchased planes would start in 2019 and the last planes would be delivered in 2020.

In the meantime, KAC will lease 12 planes, seven A320 and five A330-200, from the European manufacturer.

The final contract for the deal, the first plane order by KAC in more than 20 years, will be signed after a month, she said.

Part of the financing will be done through a syndicated loan by international and local banks and for the other part KAC will issue bonds or Islamic Sukuk, she said.

In addition to modernising its fleet, the loss-making KAC wants to make the airline profitable before offering a local or foreign investor a 40 percent stake.

Kuwait Airways has posted losses in all but one of the past 21 years, amounting to a total of more than 2.7 billion, which has been covered by the government.



  MENA News Headlines
 Nov 27 2015 - Qatar- Buoyed by strong buying, QSE snaps four days bearish spellGulf Times
(MENAFN - Gulf Times) Snapping four days of bearish spell, Qatar Stock Exchange gained a marginal 11 points, mainly on buying in the transport, realty and insurance stocks.Domestic institutions ...

 Nov 27 2015 - Saudi Aramco plans to invest more in Indonesian oil sectorGulf Times
(MENAFN - Gulf Times) Saudi Aramco is looking for further investment opportunities in Indonesia's downstream refining and petrochemicals industry, the company's CEO said yesterday, after initiating a ...

 Nov 27 2015 - Despite $500bn loss, Opec seen holding the line at Vienna meetGulf Times
(MENAFN - Gulf Times) It'll take more than $40 crude to make Opec change its mind, analysts said before the group's December 4 meeting in Vienna.In the year since the Organisation of Petroleum ...

 Nov 27 2015 - Qatar- WTCC season finale set to light up Losail circuitGulf Times
(MENAFN - Gulf Times) This time at the Losail International Circuit, the screeching wail of the MotoGP and the WSBK motorcycles will be replaced by the guttural exhaust note of the touring cars ...

 Nov 27 2015 - UK- Time to start bombing IS, Cameron tells lawmakersGulf Times
(MENAFN - Gulf Times) Prime Minister David Cameron told lawmakers yesterday it was time to join air strikes against Islamic State militants in Syria, saying Britain cannot "subcontract its security ...

 Nov 27 2015 - Blogger case still before Saudi courts: ministerGulf Times
(MENAFN - Gulf Times) The case of Saudi blogger Raif Badawi, whose flogging sentence created worldwide outrage, is still before the courts, Foreign Minister Adel al-Jubeir said on Thursday."The legal ...

 Nov 27 2015 - Palestinian hits Israeli soldiers with car in West Bank, shot deadGulf Times
(MENAFN - Gulf Times) A Palestinian rammed his car into Israeli soldiers at a bus station in the occupied West Bank Friday before being shot dead, police said. "A Palestinian car hit two Israelis ...

 Nov 27 2015 - Envoy meets head of Qatar-EU Friendship GroupGulf Times
(MENAFN - Gulf Times) Qatar's Ambassador to Belgium and head of Qatar's mission to the European Union, HE Sheikh Ali bin Jassim al-Thani, met at the European Parliament the head of the ...

 Nov 27 2015 - Qatar- Traffic diversion for 2 years in Al Rayyan areaGulf Times
(MENAFN - Gulf Times) A traffic diversion for almost two years will come into effect on Gharrafat Al Rayyan Street between Gharrafat Al Rayyan Roundabout and Qatar Foundation (Civil Defence) from ...

 Nov 27 2015 - KSA's Aramco plans to spend big-cash in IndonesiaMENAFN
(MENAFN) Saudi Aramco seeks further investment chances in Indonesia's downstream refining and petrochemicals industry, amid its recent USD5.5 billion development to enhance Indonesia's biggest ...





Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  

Middle East North Africa - Financial Network

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices


Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks

Saudi Arabia 

Economic Calendar
Financial Glossary

Financial Calculators

RSS Feeds [XML]

Corporate Monitor


Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters

© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help