BAA Limited - Re-financing update

BAA today announces that nine banks have agreed in principle to provide a backstop facility of £7.65bn to be used in connection with the establishment of a permanent financing structure by BAA.

This represents a very important step in the establishment of the new financing structure, the implementation of which is still dependent on other conditions necessary to carry out the re-financing of the group including the initial senior financing used to acquire BAA.

One of these conditions is the acceptance by BAA’s existing bondholders of the structure and  terms of the new bonds to be issued by BAA as part of their migration into the new permanent financing structure. The process to achieve this aim has already commenced, as communicated in the press release dated 9 May 2008.