How Boeing went from appealing for government aid to snubbing it

How Boeing went from appealing for government aid to snubbing it

WASHINGTON: In just six weeks, Boeing Co. went from seeking government aid to announcing it no longer needed it.. A $2.3 trillion US stimulus package, enacted into law at the end of March to provide relief to the US economy which was hit hard by the pandemic, subsequently carved out $17 billion in aid for Boeing and other companies critical to national security.. Boeing itself had lobbied extensively for aid and had called for at least $60 billion in government loans for the entire aerospace manufacturing sector. ". Credit rating agencies told Boeing it could borrow as much as $25 billion through a bond issue and just about retain its investment-grade rating, according to the sources.. Boeing priced different bond tranches spanning several maturities at between 450 basis points and 593 basis points, whereas the average spread for bonds of Boeing's credit rating is 306 basis points, according to ICE BofA Data.. Boeing had to make concessions to cajole the credit rating agencies and bond investors.. It capped the concessions at 100 basis points per credit-rating agency and 200 basis points in total.. Boeing expects the money from the bond issue to cover its funding needs for the year, barring