FRANKFURT - New solar installations reached a fresh record of 7.5 gigawatts (GW) in Germany in 2011, playing into the hands of advocates for steeper cuts in tariff subsidies to reduce growth of solar power and the resulting higher costs for consumers.
Malaysian Air lines up $1.73 billion bond to buy new Airbus aircraft
KUALA LUMPUR |
KUALA LUMPUR (Reuters) - Loss-making Malaysian Airline System Bhd (MASM.KL) (MAS) has secured a state-backed Islamic bond facility to raise up to 5.3 billion ringgit ($1.73 billion) for the purchase of eight new widebody aircraft made by EADS's (EAD.PA) Airbus.
The state-guaranteed bond was established through Turus Pesawat Sdn Bhd, a special-purpose vehicle owned by the ministry of finance, MAS said in a statement on Tuesday.
MAS has been struggling to remain competitive due to an ageing fleet, rising fuel costs and competition from low-cost carriers such as AirAsia Bhd (AIRA.KL).
Funds raised will go towards the acquisition of six Airbus A380s and two A330s, said MAS. Notes issued under the bond will have a tenure of up to 20 years.
The company has two outstanding bonds. It sold 1 billion ringgit of Islamic bonds without a fixed maturity through a private placement in June, when it also issued a 500 million-ringgit Islamic bond. ($1=3.0630 Malaysian ringgits)
(Reporting by Al-Zaquan Amer Hamzah; Editing by Greg Mahlich)
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