Saturday, June 03, 2017

Air India to buy 4 Boeing Dreamliners, use $450mn bridge loan to fund purchase

New Delhi: With a view to expanding international operations, Air India will add four Dreamliner aircraft to its fleet. Senior executives at the airline said it would use a $450 million bridge loan (Rs 2,900 crore) to part fund the purchase. The mandate for sourcing the loan has been given to Mashreque Bank and NABARD. The expansion of the Dreamliner fleet will help the airline operate on long haul routes.
“The acquisition of these four Dreamliners was a part of the original acquisition plan of 68 aircraft from Boeing. With these, the fleet of 787s will go up to 27,” a senior official of Air India said.
The first Dreamliner aircraft was inducted into the fleet in 2012 and the last one will come in October this year.
The airline could opt for either the sale and lease back model or the direct finance model. Air India chairman, Ashwani Lohani, has observed aircraft should be purchased rather than sold and leased back.
03/06/17 : Malyaban Ghosh/Financial Express