AVIATION
March 2023
ISRAIR IS PURCHASING AN AIRCRAFT FOR 29 MILLION ILS According to Israir Group’s statement, the plane, along with other measures, will bring prosperity to the company
EL AL ANNOUNCES NEW FOR FLIGHTS TO AND FROM THE USA The Israeli airline announced that it will add flights to various destinations throughout the country
capital structure, improve EBITDA and improve the company’s cash flow during the year 2024 and beyond”. Israir Group intends to issue series A bonds in order to raise money to purchase the Airbus aircraft. The company’s board of directors authorized the company’s management to examine options for financing the purchase and as part of the company’s strategy to strengthen the capital structure and improve cash flow, the company’s board of directors approved the examination of the possibility of raising debt, by issuing bonds. After the purchase of the plane, Israir will own three planes with a total value of about 70 million dollars, and together with the company’s hotel real estate, the value of the aviation and tourist real estate alone will reach about 100 million dollars. Israir Group’s share has increased since the beginning of the year on the Tel Aviv Stock Exchange by 7.30%, since the beginning of the month by 2.10% with a value of 411.181 million ILS.
a very wide variety of onward destinations for those landing at the destination. Los Angeles, the farthest destination for El Al, is considered highly sought after both due to the fact that it has a very large Jewish and Israeli community, and also due to being an attractive destination for many tourists. Shlomi Zafrani, El Al’s VP of Commerce and Aviation Relations, said: “Since the outbreak of the war, El Al has condensed its flight schedule to the USA in order to continue to maintain the air bridge to a destination that is such a significant main artery for the State of Israel. We are continuing the expansion trend in the USA also for the summer season. Los Angeles and Boston are major destinations that are characterized by extensive Jewish and Israeli communities, a business and cultural center and connection points for onward flights to a variety of destinations across the continent.
El Al announced the addition of flights to various destinations in the United States. The addition of flights to the country is possible, among other things, following the cessation of flights to South Africa, as the planes that will be used for the flights to Johannesburg will be operated on flights to Los Angeles and Boston. In total, El Al will operate more than 50 flights a week to the USA: 6 flights a day to New York, 8 flights a week to Los Angeles, 4 flights a week to Boston and 6 flights a week to Miami. One of the reasons for adding the flights to Boston is the cooperation between the Israeli airline and Delta, which will allow passengers in the city to continue to many onward destinations within the USA, Mexico, other destinations in Central America and more, in a structured connection with the American airline. One of Delta’s hubs is in Boston, which should allow for
I srair entered into a binding, full and final agreement to purchase an Airbus aircraft from one of the company’s aircraft lessors. As part of the contract, it was agreed that in return for the transfer of approximately 24 million dollars by March 12th, 2024, minus an advance payment of approximately two million dollars and additional collateral, the sale of the aircraft and its transfer to the company would be completed. Also, Israir will contribute another five million dollars in the renovation of the plane’s engines, so that the total cost of the plane to the company will reach 29 million ILS. Israir Group, the controlling owner of Israir, states that “the company sees the purchase of the aircraft as a strategic opportunity to strengthen the position of the company’s aircraft fleet, improve the
26 • www.itn.co.il
Made with FlippingBook interactive PDF creator