Capt. Lee Moak, president of the Air Line Pilots Association, Int’l, commended yesterday’s passage of the Export-Import Bank Reauthorization Act of 2012, which includes important reforms to safeguard U.S. airlines and their employees from the bank’s financing of aircraft to overseas airlines.

“This legislation contains new protections and greater accountability,” said Moak, adding that “U.S. taxpayer dollars should not be used to give foreign carriers the competitive advantage.”

The Ex-Im Bank, the U.S. government’s export credit agency, provides financing assistance to foreign buyers of U.S.-produced goods, often at below-market prices. Boeing, one of the bank’s principal clients, has used the bank’s financing to sell dozens of wide-body aircraft to foreign carriers, providing these organizations with a distinct operational edge and putting U.S. airlines and their employees at risk.

This latest reauthorization legislation establishes new reporting and auditing rules, making Ex-Im Bank transactions more transparent. The law also directs the U.S. government to negotiate with European countries that finance Airbus to put an end to worldwide subsidies of wide-body aircraft.

“I applaud Congress and President Obama for taking swift action to pass this important law, which will be a first step in helping to level the playing field for U.S.-based airlines and enabling them to better compete in the global airline market,” said Moak.

For more extensive coverage of the U.S. Export-Import Bank reauthorization and the Association’s campaign to ensure adequate protections were included, see the June-July 2012 issue of Air Line Pilot magazine.