Airline group IAG announced on Thursday that British Airways has received 2 billion pounds (2.22 billion euros) in a five-year loan, partially guaranteed by UK Export Finance. The deal’s commitment has some non-financial covenants, including restrictions on the airline’s dividend payment to IAG, the company said.
The group has further announced that it has renewed its board of directors to ensure that the majority of independent non-executive directors are from the European Union and has launched plans to comply with the ownership rules of the economic bloc after Brexit, the company said on Thursday.
Its plan includes the implementation of a national ownership structure for Aer Lingus and changes to its long-standing ownership structure in Spain, IAG said.
“It is disappointing that these changes were made necessary at the board. However, we are pleased that the EU-UK Trade and Cooperation Agreement recognizes the potential benefits of further liberalization of airline ownership and control.” stated the president, Antonio Vázquez.
The UK reached a trade deal on December 24 and set the terms of its new relationship with the EU following their divorce earlier this year.