Air India ties up with banks to avail loans for 3 Boeing 777 planes
NEW DELHI: State-owned Air India has tied up with UAE-based First Abu Dhabi Financial institution in addition to Customary Chartered Financial institution and Mashreq Financial institution to avail short-term loans for buying three Boeing 777 plane, Union minister Jayant Singh mentioned in the present day.
Two of the plane are for use for ferrying VVIPs, the minister of state for civil aviation mentioned in a written reply within the Lok Sabha.
The supply of the three B777-300 ER planes is scheduled to be accomplished subsequent month — two in January and one in February.
“Air India has signed a short-term consumers credit score facility settlement with First Abu Dhabi Financial institution PJSC collectively with Customary Chartered Financial institution and Mashreq Financial institution PSC for acquisition of three B777-300ER plane,” the minister mentioned.
In early November, the disinvestment-bound airline issued a revised tender (after first floating it in October), soliciting curiosity from lenders for a mortgage value as much as $535 million (round Rs three,460 crore).
Final month, the airline additionally floated tenders for securing loans value over Rs 1,100 crore for modification of two Boeing plane for ferrying VVIPs — the president, vice-president and prime minister.
In 2006, Air India positioned orders with Boeing for 68 plane — 27 Dreamliners, 15 B777-300 ERs, eight B777-200 LRs and 18 B737-800s.
Of those, the state-run service has already taken the supply of 65 planes, together with 12 B777-300ERs.
Following the downturn within the international aviation sector, the supply of three B777-300ERs was postponed in 2010 as there was no “cancellation” clause within the authentic buy settlement with Boeing Firm.
Then, in September 2015, the service determined to take supply of the remaining three planes as per the 2006 buy settlement.