Emirates looking to refinance Islamic bond

Brian Jeffery, senior vice president, corporate treasury told the agency, “We are currently considering whether to refinance, and by what product. Cash flow is good and we have the ability to repay if we decide,"

Emirates' cash balance stood at $4.25 billion at the end of March.

Industry analyst Saj Ahmad said: "Despite the fall in profits announced earlier this month, Emirates' cash balance is by far and away its biggest instrument for leverage when it comes to either refinancing or paying off its $550m bond. In the grand scheme of things, the bond is a drop in the ocean and they can pay it all back at a moment's notice.

 “In all likelihood, Emirates will pay this bond off and focus on another bond that suits its financing needs going forward. That said, Emirates is already receiving compensation for the downtime of its A380 fleet as a result of the wing crack issue so there's no real value to them refinancing the whole amount although Emirates has not ruled out any specific moves just yet. Either way, Emirates' liquidity and good credit history puts it in good stead should it need to either refinance or look to later issue another bond for its monetary needs."