El Al gets $120mln loan from Israeli banks for Boeing 787 purchase

Israel's Bank Hapoalim POLI.TA said on Wednesday it was leading a group to finance El Al Israel Airlines ELAL.TA purchase of the carrier's 17th Boeing BA.N 787 Dreamliner aircraft. In the past, El Al - which has an all Boeing fleet - has used foreign banks to fund its aircraft procurements. But CFO Yancale Shahar said El Al sought to "support the Israeli economy and businesses in Israel, while deepening the involvement of Israeli banks in El Al's financing activities." Hapoalim, one of Israel's two largest banks, along with participation from Mizrahi Tefahot Bank MZTF.TA will lend El Al $120m for the purchase of its latest 787-9 aircraft. The loan is for 12 years with El Al able to use the funds within two years. "Bank Hapoalim will continue to provide credit to companies and entities in the economy to finance their business expansion," said Oren Cohen, the bank's head of corporate finance. El Al currently flies 12 Boeing 787-9s and four 787-8s and is expected to receive two more Dreamliner aircraft on lease in 2026. It also has signed an agreement to purchase three more Boeing 787-9 and has an option to purchase up to six more.<br/>