QANTAS ANNOUNCES A$1.9 BILLION BANK FACILITY
SYDNEY, 06 October 2004
Qantas Airways Limited said today that it had successfully refinanced a A$2.1 billion syndicated bank facility.
The Chief Financial Officer of Qantas, Peter Gregg, said the refinancing had been launched in August and was heavily oversubscribed, with almost A$3 billion in commitments from a syndicate of 33 banks.
"We decided to reduce the size of the facility from A$2.1 billion to A$1.9 billion following a review of the company's future cash flow requirements," Mr Gregg said.
Mr Gregg said A$500 million would be used as a standby facility and the remaining $1.4 billion would be split between 4 and 5.5 year tranches of term and revolving loan facilities.
"The refinancing showed that there is strong market appetite for Qantas credit and this reflects the financial community's confidence in the ability of Qantas to meet the many challenges it currently faces," Mr Gregg said.
"The transaction has also strengthened our relationship with our core banking group."
The Joint Lead Arrangers for the transaction were ABN AMRO Bank N.V., Barclays Capital, Citibank, N.A. and Commonwealth Bank of Australia.
Issued by Qantas Corporate Communication (3158)