Boeing's (BA) Long-Term Rating at Risk if Ex-Im Bank Not Reauthorized - S&P

Boeing's (NYSE: BA) long-term credit rating could face risks should U.S. lawmakers opt to close the Export-Import Bank, which provides billions of dollars to support the aircraft maker's commercial sales.

Standard & Poor's Ratings Services commented to the WSJ that Boeing would need to make a significant expansion of its direct loans and guarantees to risk should the Ex-Im bank shutter it's doors.

Boeing would need to offer $7 to $9 billion of financing should lawmakers opt to not reauthorize the bank by September 30th.

By comparison, Boeing's finance portfolio was at $3.5 billion through the end of last March.

The Ex-Im Bank generally offers guarantees of loans and bonds for airlines and leasing companies in exchange for a fee.

Some that oppose Ex-Im Bank claim that up-and-coming airlines, like many out of the Middle East, are getting more favorable rates for loans on the same routes that U.S. airliners are using.

Shares of Boeing are lower in early trading.

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