Air India makes pre-delivery payment to Boeing for aircraft order - BusinessLine

- Air India has completed the payment for Pre Delivery Payments (PDP) to Boeing for its 70 aircraft deal, which consists of 40 Airbus A350s, 20 Boeing 787s, and 10 Boeing 777-9 wide-body aircraft, as well as 210 Airbus A320/321 Neos and 190 Boeing 737 MAX narrow-bodies.

- Funding for PDP came from multiple banks at competitive rates and was converted to US dollars at the best rates. There was a short period to arrange the funds.

- Air India had been seeking loans amounting to $3bn, including short-term loans ranging from $300-400m to cover PDP. The short-term loans were obtained at competitive rates and did not require collateral.

- The airline is reportedly in discussions to secure loans for the purchase and sale-and-leaseback security of some of the 470 new aircraft and for the refurbishment of existing aircraft.

- Air India is expected to receive 50 new aircraft over the next two years.

Source: Link