SAO PAULO, BRAZIL — GOL Linhas Aéreas Inteligentes S.A., Brazil’s largest domestic airline, has closed a US$80 million financing with Apollo PK AirFinance for the acquisition of nine new spare engines directly from CFM.

This transaction will provide GOL with additional operational flexibility for the renewal of its fleet and will support increased productivity and lower unit costs.

The nine new engines are comprised of 1 LEAP-1B25 and 8 CFM56-7B27 that will equip the Boeing 737-MAX and Boeing 737-NG fleets, respectively. The engines will be received by the company directly from CFM International by the end of 2022.

This financing further diversifies GOL’s capex financing at competitive costs and reduces the cash outlays required to renew the fleet. The all-in interest rate is approximately 7% per annum, and the amortization period is 5 years. The financing covers the entire cost of acquiring the engines, net of pre-delivery payments already made by GOL.