Air India has begun seeking financing for pre-delivery payments to Boeing for its long-awaited order for new widebodies and narrowbodies.
The state-owned carrier says in tender notices on its website that it is close to signing firm purchase agreements with the airframe manufacturer for up to 68 new aircraft and that it needs more than $400 million in short-term financing. Potential lenders will have until 9 January to make loan offers.
Air India says it needs $306 million to make pre-delivery payments for 777-200LRs and 777-300ERs, starting with $250 million upon the signing of the purchase agreement followed by $56 million in instalments through May. Its first 777 from the planned order, a -200LR, will be due for delivery in January 2007.
The carrier also says it needs $123 million for the 737-800s it plans to order, starting with $113 million upon signing and another $10 million through May.
Air India has since April been seeking Government approval to place its first orders for new aircraft in well over a decade and is close to securing final backing. It says it wants to place firm orders for 20 787-8s, 10 777-300ERs and five 777-200LRs - all powered by General Electric engines - plus take 15 options. It also plans to order 18 737-800s for low-cost subsidiary Air India Express.
NICHOLAS IONIDES / SINGAPORE
Source: Flight International
