Disposal of Bombardier fleet – Bolstering of cash position at Group level

Marfin Investment Group (“MIG”) announces that it has signed definitive agreements for the disposal of its subsidiary companies MIG Aviation UK and MIG Aviation 3 (the “Companies”) to Nordic Aviation Company (NAC).

The Companies are the owners of the Bombardier fleet operated by Olympic Air comprising of 10 (ten) Q-400 aircraft and 4 (four) Dash 8-100 aircraft.

The net cash consideration from the transaction to MIG is US$25.2m which constitutes an equivalent cash improvement at the parent company and Group level while as a result of the disposal losses of approx. €6.5m will be generated at both the MIG parent company and Group level.

The transaction involves the lease back of the aircraft by NAC to Olympic Air for a period of 11 years at market terms.

Finally, as part of the transaction there will be a reduction of Group loans by US$131.6m. However, due to the accounting treatment of the aircraft leases as financial leases, the long-term leases amounting to US$162.6m will be presented as long term debt in the Group accounts.