Boeing secures financing commitments for over $12 billion: source

This post was originally published on this site
https://i-invdn-com.akamaized.net/trkd-images/LYNXMPEG0Q244_L.jpg
© Reuters. A Boeing logo is seen at the company's facility in Everett© Reuters. A Boeing logo is seen at the company’s facility in Everett

By David Shepardson

(Reuters) – Boeing Co (N:) has secured financing commitments for more than $12 billion from over a dozen banks, a source familiar with the matter said on Monday, as financial pressures mount due to a production halt on its 737 MAX aircraft.

The financing deal was not closed and not yet finalized, the source added.

Boeing declined to comment.

Earlier in the day, CNBC reported that the company had secured the loan.

Reuters last week reported https://reut.rs/37vYQnn that Boeing was in talks to obtain up to $12 billion in loans and that Citigroup (NYSE:) was leading the transaction along with JP Morgan, Wells Fargo (NYSE:) and Bank of America (NYSE:).

Analysts estimate that Boeing has been losing around $1 billion a month because of the grounding after two crashes involving the 737 MAX jetliner. The company reported an almost $3 billion negative free cash flow for the third quarter.

Boeing is expected to report its fourth-quarter results on Jan. 29.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Add Comment