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Boeing said it won’t seek government aid the coronavirus pandemic after raising $25 billion in a bond offering Thursday.
|BA||THE BOEING CO.||233.09||+12.13||+5.49%|
BOEING WHACKED BY CORONAVIRUS, 737 MAX GROUNDING
The company said it does “not plan to seek additional funding through the capital markets or the U.S. government options at this time,” adding that it is “pleased with the response to the bond offering.”
Boeing made the move as it has been hit by the effects of the coronavirus pandemic on the economy, especially the travel industry. The company had also reportedly been looking into applying for aid from the U.S. Treasury.
The company posted a $641 million first-quarter loss this week, which it attributed to both the ongoing grounding of its 737 MAX jets and the pandemic, which has chilled travel worldwide.
A Boeing 737 MAX (Associated Press)
BOEING OUTLINES TERMS OF VOLUNTARY LAYOFFS
The Chicago-based jet maker credited the demand for its bond offering to long-term support for the aviation industry and confidence in the market created by the CARES Act and other federal stimulus programs that have helped businesses since the economy has been battered by the pandemic.
Boeing said its bond offerings were split among seven tranches with maturities between three and 40 years.