Garuda Indonesia wraps up its financial restructuring
20-Dec-2010 Garuda Indonesia has wrapped up its financial restructuring with all the creditors, where the last group which are the ECA (European Export Credit Agency) and the Commercial Lenders was signed for the remainder debt of US 277 million.
The signing was done by EVP Finance Garuda Indonesia, Elisa Lumbantoruan and David Brackenridge from Lloyds TSB on behalf of the Lenders, witnessed by the President and CEO of Garuda Indonesia, Emirsyah Satar and the Ambassador of the Republic of Indonesia for UK, HE Yuri Thamrin.
Since 2005, Garuda's total debt has decreased significantly from US 868 million to US 464 million on November 2010; due to a combination of payment, debt buy back and equity conversion.
The last part of US464 million, was signed on Friday in an amount of US 277 million and restructured until 2016. The debt was used to fund the 6 a/c Airbus A330-300 in 1996.
President and CEO Garuda Indonesia, Emirsyah Satar says that the wrap up of the financial restructuring is an important milestone for Garuda, which will speed up the development of Garuda, especially with the plan for IPO in the near future.
The Ambassador of the Republic Indonesia for UK, HE Yuri Thamrin extends his appreciation for the support shown from the creditors to Garuda Indonesia, and he hopes this financial restructuring signing will give more opportunity of cooperation between Indonesia and Europe in the future.
Garuda during its restructuring has been advised by Rothschild as their financial advisor, KL Gates, as their international Council.