Airbus issues bonds for the first time since 2020

Glonghui, May 6th — Airbus has publicly issued bonds for the first time since 2020, aiming to bolster cash flow after a difficult start to the year. According to a person familiar with the matter who wished to remain anonymous, the aerospace and defense company has begun the issuance of seven-year, euro-denominated senior bonds. Bloomberg data shows that the company last issued international bonds nearly six years ago. The aforementioned person stated that the bond's initial price guidance is 90 to 95 basis points above the mid-swap rate. The company is dealing with ongoing engine shortages, which is especially impacting its best-selling A320 model. This has dragged down first-quarter earnings, with cash outflows for the quarter reaching as much as €2.5 billion ($2.9 billion).