Flight Options Secures $167M in Financing for Phenoms
Flight Options announced yesterday that it entered into a three-year, $167 million financing agreement with Brazil’s Banco Nacional de Desenvolvimento Econômico e Social (BNDES) to finance the fractional jet provider’s order for up to 150 Embraer Phenom 300 light jets. The loan agreement between BNDES and Cleveland-based Flight Options will be guaranteed by the Brazilian Ministry of Finance, which is advised by the Brazilian Export Credit Insurance Agency (SBCE). This is the first time that BNDES has made an agreement with a fractional provider. In December 2007, Flight Options placed a firm order for 100 Phenom 300s and options on 50 more. Using current list prices and including all options, the total value of the deal exceeds $1.2 billion. The fractional firm began taking delivery of aircraft from Embraer in May 2010 and currently has eight of the Brazilian-made light jets in service. Flight Options anticipates having 15 Phenom 300s in its fleet by year-end.