LONDON (Reuters) - British Airways on Wednesday said it had launched a $927 million (601 million pounds) publicly-traded bond issue, using aircraft as collateral. BA, owned by International Airlines Group , said the collateral for the bonds, known as Enhanced Equipment Trust Certificates (EETCs), would be made up of six new Boeing 787-8 aircraft, two Boeing 777-300 ER jets and six new Airbus A320-200 planes, due for delivery between June 2013 and June 2014. EETCs and are a form of aircraft financing commonly used by U.S. airlines. IAG said its class A bonds have an annual coupon, payable quarterly, of 4.625 percent, while the class B bonds have an annual coupon, payable quarterly, of 5.625 percent. (Reporting by Rhys Jones, Editing by Brenda Goh) |
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