Embraer to receive $600 million loan, partly backed by government, due to coronavirus

FILE PHOTO: The logo of Brazilian planemaker Embraer SA is seen at the company's headquarters in Sao Jose dos Campos, Brazil February 28, 2018. REUTERS/Roosevelt Cassio

SAO PAULO (Reuters) - Planemaker Embraer said on Monday it will receive a $600 million loan, financed partly by Brazil’s government, to help the company weather the coronavirus crisis that has ravaged the air travel industry.

Embraer had been lobbying for the loan since April, when a crucial deal with Boeing Co BA.N fell apart, leaving the Brazilian planemaker looking for new sources of liquidity. The loan will mature in four years.

Reporting by Marcelo Rochabrun; Editing by Chris Reese