Air India invites offers for bridge financing for purchase of four 787 aircraft

Air India invited (10-Aug-2012) banks and institutions to arrange bridge financing of up to USD500 million to help finance the induction of four Boeing 787 aircraft, scheduled for delivery between Aug-2012 and Dec-2012. The airline will repay the bridge loan by selling and leasing back the aircraft, according to the tender document. Banks have until 24-Aug-2012 to submit bids. The carrier's first two 787s are funded by a USD195 million loan from Standard Chartered Plc, and are scheduled to arrive this month. The next four 787s are scheduled for delivery (tentatively) in Aug-2012, Sep-2012, Nov-2012 and Dec-2012. Air India expects to have received a total of six 787s by the end of 2012. The bridge loan of six to 12 months would not be covered by a government guarantee, it said. [more - original PR]