Ryanair 2010 Annual Report Download - page 95

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The following table summarizes the aggregate purchase options available to the Company under its
contracts with Boeing as of the dates specified, broken down by periods in which the relevant option aircraft are
deliverable.
For Deliveries
in Fiscal
2007 – 2011
For Deliveries
in Fiscal
2012 – 2014
Total
Boeing 737-800
Options
Options available as of April 1, 2007 ...................... 67 70 137
Options granted in the period ............................... — — —
Options exercised in the period ............................ (27) — (27)
Options cancelled in the period ............................ — — —
Options available as of March 31, 2008................... 40 70 110
Options granted in the period ............................... — — —
Options exercised in the period ............................ (30) — (30)
Options cancelled in the period ............................ — — —
Options available as of March 31, 2009................... 10 70 80
Options granted in the period ............................... — — —
Options exercised in the period ............................ (10) — (10)
Options cancelled in the period ............................ — — —
Options available as of March 31, 2010................... — 70 70
Options granted after March 31, 2010.................. — — —
Options exercised after March 31, 2010............... — — —
Options cancelled after March 31, 2010............... — — —
Options available as of June 30, 2010...................... — 70 70
As can be seen from the delivery schedule table on the preceding page, delivery of the Boeing 737-
800s already ordered will enable the Company to increase the size of its summer schedule fleet by 40 additional
aircraft (net of planned disposals) in fiscal year 2011, by 15 additional aircraft (net of planned disposals) in
fiscal year 2012 and by 12 additional aircraft (net of planned disposals) in fiscal year 2013, thereby increasing
the size of the fleet, which is expected to total 299 at the end of that period (assuming that the planned disposal
and/or lease return of 23 such aircraft is completed on schedule). If traffic growth proves to be greater than can
be satisfied by these new aircraft, the Company may exercise its rights to acquire some of the option aircraft
detailed in the above table to cater to this demand.
Capital Resources. Ryanair’s long-term debt (including current maturities) totaled 12,398.4 million at
March 31, 2009 and 12,956.2 million at March 31, 2010, with the increase being primarily attributable to the
financing of new aircraft. Please see the table “Obligations Due by Period” below for more information on
Ryanair’s long-term debt (including current maturities) and finance leases as of March 31, 2010. See also Note
11 to the consolidated financial statements included in Item 18 for further information on the maturity profile of
the interest rate structure and other information on, the Company’s borrowings.
The Company’s purchase of the 54 Boeing 737-800 aircraft delivered in the 2010 fiscal year has been
funded by a combination of financing solutions, including bank loans supported by Ex-Im Bank guarantees (42
aircraft), and sale-and-leaseback financings (12 aircraft). At March 31, 2010, the majority of the aircraft in
Ryanair’s fleet had been financed through loan facilities with various financial institutions active in the
structured export finance sector and supported by a loan guarantee from Ex-Im Bank. Each of these facilities
takes essentially the same form and is based on the documentation developed by Ryanair and Ex-Im Bank,
which follows standard market forms for this type of financing. On the basis of an Ex-Im Bank guarantee with
regard to the financing of up to 85% of the eligible U.S. and foreign content represented in the net purchase
price of the relevant aircraft, the financial institution enters into a commitment letter with the Company to
provide financing for a specified number of aircraft benefiting from such guarantee; loans are then drawn down
as the aircraft are delivered and payments to Boeing become due. Each of the loans under the facilities is on
substantially similar terms, having a maturity of 12 years from the drawdown date and being secured by a first
priority mortgage in favor of a security trustee on behalf of Ex-Im Bank.