Emirates ‘on track for record year’

Tuesday, 29 March 2011 00:01 - - {{hitsCtrl.values.hits}}

Emirates, one of the Arab world’s largest carriers, said on Sunday that it had repaid a $500 million bond that was due this month and it is on course for a “record breaking” financial year.

The bond, listed on the Luxembourg Stock Exchange, was originally issued in 2004 with a seven-year term.

“The repayment of this bond is part of Emirates overall financing strategy,” the airline’s chairman and chief executive Sheikh Ahmed bin Saeed Al-Maktoum said in a statement.

He said the airline would continue to use normal diverse range of options available to finance its growth.

Emirates dropped plans for a bond to finance expansion after the uprisings in North Africa made rates more expensive, its president Tim Clark said earlier this month.

The carrier is on track for another record breaking financial year, the company said in a statement.

“The results for the first half of the 2010-11 are incredibly robust,” said Sheikh Ahmed.

“We continue to invest our profits in growing the business and our healthy financial position enables us to successfully meet all of our financial commitments and raise financing for future aircraft deliveries.”

He said that the 62 new aircraft ordered in the first half of 2010 will help the airline capitalise on its growth plans.

The Dubai-based airline last year announced a multi-billion dollar increase in its fleet to include 120 Airbus A380 superjumbos.

Emirates is Dubai’s flagship company and one of the biggest contributors to a local economy hit hard by a property crisis.

The government-owned airline rivals longer established names for traffic between Europe and east Asia. - Reuters