This case study deals with long term export finance.
Golden Plover wishes to receive cash payment for an export contract of USD 30 million for the manufacture and delivery of 7 luxury mono turboprop planes GP 1424 to a Chinese client, the Lucky Charm Airline Company(LCAC).
They also consider signing a contract with a Russian client, the Rainbow Airline Company (RAC). But the situation of Russia has degraded.
A long term financial solution will have to be provided by the banks for the transaction with LCAC, in accordance with ASU 2011.
The case study will mainly address a finance lease solution with the creation of a SPC in the Cayman Islands.
BUISSON, V. (2016). The Golden Plover Export Finance Case: part II Long Term Financing Solutions (2). ESSEC Business School.