Aircraft financing deal reached

Article reports that after 12 months of talks, officials reported in December 2010 that they had reached agreement on a groundbreaking deal that will significantly raise the cost of financing new passenger jets for many of the world’s best-known airlines.

The new pact on export credit financing, negotiated by the European Union, the US and eight other countries through the Organisation for Economic Co-operation and Development, is expected to be formally approved in January 2011 and introduced on 1 February 2011.

ESO: Background information: Airlines face rise in cost of buying jets http://www.europeansources.info/record/airlines-face-rise-in-cost-of-buying-jets/

OECD: Trade: Export credits: Arrangement on Export Credits: Sector Understanding on Export Credits for Civil Aircraft (the ASU): 2010 Review http://www.oecd.org/document/7/0,3746,en_2649_34171_44763201_1_1_1_1,00.html

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