Spain's leading airline, Iberia, this week became the first European airline to launch an enhanced equipment trust certificate (EETC), the secured borrowing tool that has become a major source of finance for US carriers. Deutsche Bank lead managed the issue of Eu117m of senior notes rated double-A by Duff & Phelps and Moody's and Eu39m of mezzanine debt rated A+/A1. Iberia will retain Eu39m of unrated notes from the financing, which will be used to buy six new Airbus A-320s worth Eu260m.
September 03, 1999
