A row had broken out between Boeing and Air India over compensation for 787 Dreamliner delays.
The aircraft manufacturer has denied claims by the Indian government that two weeks ago it agreed to pay $500 million in compensation to the airline.
Air India is demanding compensation for delays in the delivery of aircraft it ordered in 2005, including 27 Boeing 787s.
But Boeing chief executive Jim Albaugh said: "We don’t comment on deals that we’ve done. But I can tell you we’re not writing anybody a cheque for $500m."