Gulf Air signs up US$75million loan arrangement with Standard Chartered Bank

Manama, Bahrain 31 March 2009: National carrier Gulf Air has signed a loan facility of US$75 million with Standard Chartered Bank. An agreement to this effect was concluded between the two organizations recently.

The three year loan will be injected into the working capital of the company to finance its corporate development plans.

“We are glad to have partnered with Standard Chartered Bank, the oldest and one of the well-known banks in Bahrain, on this loan arrangement,” says Gulf Air Deputy Chief Executive Officer Mr. Ismail Karimi.

“Gulf Air is moving on with its realignment programme in tune with Bahrain’s ‘Vision 2030’ strategy and is committed to strengthen its presence as a leading player in the regional and global aviation industry,” said Mr. Karimi.

“The loan arrangement will facilitate implementing these plans that include upgrading and introducing new products and services, forming part of our working capital. Our ultimate aim is to make Gulf Air the carrier of choice.”

“Gulf Air and Standard Chartered Bank, Bahrain have been working together for many years now and this loan arrangement is another example of mutual trust and long-standing working relationship between the two,” Mr. Karimi concluded.

Jonathan Morris, Chief Executive Officer, Standard Chartered Bank, Bahrain said, "We are committed to strengthening our long standing relationship with Gulf Air, a subsidiary company of Bahrain Mumtalakat Holding Company, the investment arm of the Kingdom of Bahrain, and to participating in the growth of our national airline."

"We are delighted to arrange this facility to meet Gulf Air's financing requirements, particularly in this challenging economic climate. Standard Chartered has significant capabilities in aircraft finance and this transaction further demonstrates our commitment to our client base and the aircraft industry in the Middle East."

“Standard Chartered’s key brand promise is clear; we believe in establishing ourselves as our clients’ ‘Right Partner’ in their banking and financial needs. We aim to offer innovative products and services that fully meet our clients’ financial needs.”

“In Bahrain, we will also continue to partner with Bahrain Government, and leading Corporates in driving significant infrastructure projects that will help shape Bahrain’s future as part of the ‘Vision 2030’.”

Standard Chartered Bank Bahrain, established in 1920, is the First Bank in Bahrain and has a network of 5 branches and a sales outlet.