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Aurigny bank loan plans take off

Aurigny bank loan plans take off

Wednesday 09 January 2019

Aurigny bank loan plans take off


RBS International has confirmed a multi-million pound loan to enable Aurigny - the States of Guernsey owned airline - to buy three new planes.

The new ATR72-600s have been bought from Avions de Transport Regional GIE and have the much discussed 'fog busting' ClearVision technology, designed to reduce the disruption caused locally on foggy days.

Aurigny has previously said these new aircraft will also reduce ongoing maintenance costs as they are phased into the fleet because they are newer than the current aircraft.

clear vision Aurigny

Pictured: The Clear Vision technology being demonstrated in Guernsey last year. 

The RBS International relationship team in Guernsey, led by Craig Morris, Senior Relationship Director, Corporate and Commercial and Emma Rayson, Credit Manager, arranged a 10 year term loan facility so Aurigny could invest in the new technology.  

Chris Simpson, Aurigny’s Group Finance Director said: “We were impressed with how quickly and professionally RBS International’s team worked to understand Aurigny’s needs in this transaction enabling the bank to deliver a credit approved response to our financing request in a short time period.  Once appointed as our financing partner, the bank’s commitment to delivering the deal on time, crucial to our plans, never wavered.” 

2018-06-01RobGirard2SRV01.00.jpg

Pictured: Rob Girard.

Rob Girard, RBS Guernsey Island Director, said: “We were delighted to be chosen to work with Aurigny on this transaction which represents a significant capital investment in updating their fleet.  The relationship team worked alongside colleagues in our Credit and Markets teams and delivered a funding solution in a very short timeframe demonstrating our local ability to deliver for our clients.”

As the deal to buy the new planes was done in US dollars, and the loan was provided in sterling, the team also helped Aurigny manage the foreign exchange risks, as well as managing the interest rate exposure over the ten year term. 

Aurigny is now scheduled to take delivery of the new aircraft in August, October and November this year. 

Pictured top: A current ATR in the Aurigny fleet. 

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