ILFC pays down $2 billion in bank debt
07-Oct-2010 International Lease Finance Corporation (ILFC), a wholly-owned subsidiary of American International Group, Inc. (NYSE: AIG), today announced the repayment of a $2 billion bank loan.
This bank loan was issued as a revolving line of credit in October 2005 which was unutilized until September 2008 when it was fully drawn. Since that time, ILFC has been able to increase its liquidity position by more than $12.5 billion, through the issuance of debt, extension of debt and sales of aircraft.
ILFC Chief Financial Officer, Fred Cromer, commented, "These funds were borrowed at a time when ILFC was facing uncertainty in the financing markets. All of our banks supported us at a critical time. Now that we are in a much stronger liquidity position we are paying this maturity with cash on hand. This provides our core relationship banks with more flexibility to support us in the future."
ILFC Chief Executive Officer, Henri Courpron, continued, "ILFC's financial position keeps improving. Better access to the financial markets, attracting new talent to complement an outstanding team already in place, and efficient marketing allow us to manage the business in such a way that our industry leadership is without question."