Air India seeks fund to buy Dreamliners


Air India invites banks to partly fund six Dreamliners’ purchase….reports Asian Lite News

Air-IndiaNational passenger carrier Air India has invited banks to finance more than Rs.700 crore ($110 million) needed for the initial payment for acquiring six Boeing 787 Dreamliner aircraft.

Air India through a tender, invited banks and other financial institution to submit “a fully underwritten offer for pre-delivery payment requirements” (PDP) for six B787-8 aircraft.

The tender document was uploaded on the airlines’ website on Tuesday.

“AI (Air India) has signed an agreement with Boeing for purchase of 27 B787 aircraft. As per the terms of agreement with Boeing, AI is required to pay 10 percent of the gross cost of the aircraft as advance payment 12 months prior to delivery,” the airlines’ tender document said.

According to the tender document, the loan would be repaid from aircraft delivery financing process.

Currently, Air India has 21 Boeing 787-800 Dreamliner aircraft in its fleet. The remaining six are scheduled to join the airlines’ fleet during 2016-17.

The airline had ordered 27 Dreamliners from Boeing in 2008.