TUI Travel set to mandate 737/787s this month

London
Source: Flightglobal.com
This story is sourced from Flightglobal.com

TUI Travel will have financing in place for all of its Boeing deliveries through June 2014 after it mandates parties later this month.

UK-based subsidiary Thomson Airways received its first two Boeing 787-8 aircraft from Boeing last week. The 787s (MSNs 34422, 34423) are part of a four-aircraft request for proposal sent last year by TUI Travel. Both aircraft were acquired by operating lessor BBAM under a sale and leaseback transaction. The remaining two 787s are scheduled for delivery in June and August this year.

TUI Travel is also set to mandate banks on a request for proposals (RFP) covering four 787-8s and five 737-800s deliveries in its next fiscal year (to 31 September 2014).

The group approached financiers with a RFP sent out a few weeks ago seeking commercial debt, purchase and leaseback proposals as well as finance lease structures.

The 787-8s are scheduled to deliver in November this year and between May and June 2014. The five 737-800 deliveries are planned through Spring 2014.

Financing bids were submitted in the second part of May and TUI Travel is now shortlisting bids. The mandates are expected to be sent by the end of this month, according to a banking source.