Boeing starts $1.3 bln Bangladesh plane supply 2011

DHAKA, May 8 (BestGrowthStock) – U.S. aircraft maker Boeing (BA.N: )
will start to deliver 10 aircraft to state-owned Biman
Bangladesh Airlines under a $1.3 billion deal from next year,
officials said on Saturday.

“Two Boeing 777-300ER will be supplied in October next year
and the rest four 777-300ERs by 2013 and the rest four 373-800s
by 2019,” Biman’s spokeswoman Tasmin Akter told Reuters.

The $1.27 billion deal awarded in 2008 for eight aircraft
was later enhanced to $1.3 billion with the addition of two more
aircraft.

To fund the purchase of these two aircraft next year 10
local banks have agreed to give a syndicated loan of $114.49
million to Biman, central Bangladesh Bank officials said.

The loan at 5.0 percent interest rate is to be returned in
by 2013.

Biman officials hope that the entire $1.3 billion deal will
be funded by local and foreign assistance as scheduled.

Biman now has a fleet of 14 aircraft with a Boeing 777-200ER
and two Boeing 737-800 on lease from EuroAtlantic Airways and GE
Capital Aviation Services (GECAS) respectively in February.

With the leased aircraft Biman has resumed flights to some
routes earlier cancelled. In 2006, the loss-making company was
forced to halt flights to New York, Paris, Tokyo, Frankfurt,
Brussels, Yangon and Mumbai due to a shortage of funds and
aircraft.

Biman became a public limited company in July 2008 and new
management was brought in last year.

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($1 = 69.30 taka)
(Reporting by Nizam Ahmed; editing by James Jukwey)

Boeing starts $1.3 bln Bangladesh plane supply 2011