Air France plans bond issue, names banks - IFR

Air France-KLM has named five banks to manage a new bond issue, IFR reported on Tuesday, citing sources familiar with the deal.

BNP Paribas, Calyon, HSBC, Natixis and SG CIB have been picked to manage the issue, said IFR Markets, a Thomson Reuters online news and market analysis service.

Air France has no credit rating. It would join a growing number of high-yield European companies that have been tapping the bond market in recent weeks.

IFR reported earlier on Tuesday that speculation Air France could be preparing to issue a bond had pushed five-year credit default swaps on its debt about 30 basis points tighter to around 361 basis points.