NEW LOAN FOR B.O.A.C.

Press, Volume XC, Issue 27302, 19 March 1954, Page 11

NEW LOAN FOR B.O.A.C.

£15,000,000 FOR COMETS AND BRITANNIAS

(Special Correspondent N.Z.P.A.) LONDON, March 17. The Chancellor of the Exchequer (Mr R. A. Butler) said in the House of Commons that the Government had approved proposals by the British Overseas Airways Corporation to raise £15,000,000 by the issue at par of 4 per cent, guaranteed stock, 1974-80, to the National Debt Commissioners.

The issue of this stock would be used to repay temporary bank advances, acquire additional aircraft and other assets, and provide further working capital. A 8.0.A.C. spokesman said later that tiie main purpose for which the additional capital was required was the purchase of new aircraft—from 17 to 22 Comets and 26 Britannias. “We will take delivery in the next few months of the 12 ; Series II Comets we have on order,” he said. “We are planning a South American service with these aeroplanes, which we hope to begin late in the summer. “We also have five Series 111 Comets on order, with options on a further five. These will be used to provide the first transatlantic jet airliner service in 1956 or 1957. The Britannias will play a big part in catering for the tourist fare traffic.”