Emirates to seek $1bn credit terms

EMIRATES, the Arab world's largest carrier, is seeking terms for a $1bn (£643m) revolving credit facility to fund its aircraft purchases, Reuters sources have said.

A decision should be made in the next couple of weeks as banks flesh out details with Emirates, the source added.

The airline said in a statement today it was considering "all commercially viable financing options".

Emirates chairman Sheikh Ahmed bin Saeed al Maktoum said in November there were no plans to issue bonds or raise funds.

This followed the announcement of a planned multi-billion dollar increase in its fleet to include 120 Airbus A380 superjumbos.

"Emirates has well-documented financing requirements to support its growth plans and hence has a continuous and ongoing dialogue with various financial institutions.

"We will continue to explore all commercially viable financing options," the statement said.

Emirates is Dubai's flagship company and one of the biggest contributors to the local economy, which has been hit hard by a property crisis.

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