3. Aircraft Debt Finance
3.1 Structuring
Restrictions on Lending and Borrowing
There are no restrictions on foreign lenders financing an
aircraft locally, nor on borrowers using the loan proceeds.
Effect of Exchange Controls or Government
Consents
There are no exchange controls or government consents that would
be material to any financing or repatriation of realisation
proceeds under a loan, guarantee or security document.
Granting of Security to Foreign Lenders
Borrowers are permitted to grant security to foreign
lenders.
Downstream, Upstream and Cross-stream
Guarantees
Downstream, upstream and/or cross-stream guarantees are
permitted in favour of lenders. There are no consideration or
corporate benefit or registration requirements. However, directors
must act in the best interests of the Company and, if there is any
doubt as to whether the guarantee is in the Company's best
interest, it can be whitewashed by resolution of the members.
