Air France-KLM Group has secured a new €1 billion credit facility from a group of 12 international banks, strengthening the airline group’s liquidity and giving it greater flexibility to manage future financing needs. The multi-purpose facility can be drawn and repaid at Air France-KLM’s discretion. It has an initial maturity date of June 2028, with a one-year extension option that could extend it to June 2029, subject to lender approval.
New Financing Supports Future Growth
The credit facility will be used to refinance existing financial instruments and could also support potential mergers and acquisitions from the second half of 2026, subject to the completion of relevant transactions.
The new financing complements Air France-KLM’s existing liquidity resources and diversified funding structure. The group said it will also help manage future bond and hybrid instrument redemptions while simplifying its balance sheet.
By combining the facility with capital markets funding, Air France-KLM aims to diversify its financing sources and take advantage of favourable market conditions when planning future transactions.
Air France-KLM Maintains Focus on Balance Sheet
The airline group said the facility was secured on attractive terms, reflecting the confidence of its banking partners in its financial performance and credit profile.
The financing will not change Air France-KLM‘s gross debt position or its net debt-to-current EBITDA ratio, which stood at 1.5 times at the end of March.
Maintaining leverage between 1.5 and 2.0 times remains a key financial objective as the group works to strengthen its balance sheet while retaining the flexibility to pursue future growth and strategic opportunities.
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