21 Aug 2017

Irish Aircraft Leasing Newsletter 21 August

AirAsia jet-leasing division lands Irish base in expansion  Malaysia's Asia Aviation Capital, a $1bn (€854m) vehicle, is the latest international aircraft-leasing company to establish a base in Dublin. Asia Aviation Capital has a fleet of about 60 jets, and they are primarily leased to AirAsia affiliates. Apollo Aviation Group Acquires 38 Aircraft in H1, 2017 Apollo Aviation Group announced on 15 August that it contracted to purchase 38 aircraft in the first half of 2017 for a total gross purchase price of $910 million. The 38 aircraft are comprised of 32 narrowbody and six widebody aircraft from the A319, A320, A321, A330 and B737 families. All the models are in-production and all were acquired with leases attached to airlines based in Asia-Pacific, South & Central America, North America and Europe. AWAS Closes US$242 Million Portfolio Facility with Credit Agricole AWAS announced on 11 August that it has closed a US$242 million Senior Secured Portfolio Facility, arranged by Credit Agricole Corporate and Investment Bank. The Facility is intended to provide a refinancing solution for AWAS fleet aircraft, as well as finance of new aircraft deliveries. The Facility is secured by, among other things, the ownership interest in 11 narrow body aircraft. The Facility was initially closed with finance of four AWAS fleet aircraft. The remaining seven aircraft will be brought under the Facility on a rolling basis over the coming months. Fly Leasing Appoints Julie Ruehl as Chief Financial Officer Fly Leasing announced on 11 August it has appointed Julie Ruehl as its Chief Financial Officer, succeeding Gary Dales, who served as FLY's CFO for ten years. Prior to joining FLY, Ms. Ruehl previously served as the Vice President and Chief Accounting Officer for Big Heart Pet Brands and for its predecessor, Del Monte Corporation. Prior to that she was in a senior financial position with Sanmina Corporation, a global provider of electronics manufacturing services, and previously served as an Audit Partner at Arthur Andersen LLP. Ms. Ruehl graduated cum laude from Louisiana State University with a bachelor of science degree in Accounting. Ireland’s Fly Leasing builds toward $750 million acquisition goal FLY Leasing continued to boost its fleet and shore up equity in the second quarter, aiming to meet its $750 million acquisition goal by the end of 2017. FLY acquired five aircraft during the quarter, including four that were new deliveries from manufacturers, a $290 million investment. The four new aircraft included a Boeing 787 on a 12-year lease to an unidentified European airline; a 737 MAX 8 on a 12-year lease to Indonesian low-cost carrier (LCC) Lion Air; a 737-800 on a 10-year lease to Turkish Airlines; and an Airbus A320-200 on a 12-year lease to an unidentified Asian airline. Kahala Aviation Announces Acquisition of One A319 Kahala Aviation announced 14 August the acquisition of one Airbus A319-100 aircraft (MSN2843) on lease to Iberia Airlines. Lessor Avolon says MAX 10 launch will cannibalize part of line-up One of the world’s largest lessors believes that Boeing’s recent  launch of the 737 MAX 10 will significantly improve the manufacturer’s share of the narrowbody market, but probably at the cost of limiting sales of the smaller MAX 9. In an assessment of the MAX range, Ireland-based Avolon said Boeing’s MAX product strategy decisions had been reactive, “resulting in lower market share and a plethora of variants which do not all reflect actual market demand.” NAC delivered two Embraer E190s, MSNs 19000068 and 19000146, to Aeroméxico Connect on lease Nordic Aviation Capital confirmed on 16 August that it has delivered two Embraer E190s, MSNs 19000068 and 19000146, to Aeroméxico Connect on lease. SMBC sets sights on becoming top lessor The chief executive of Dublin-based aircraft leasing firm SMBC Aviation Capital, Peter Barrett, has told investors that the company aims to become the world's leading jet lessor. The company, with owned aircraft assets worth $10bn (€8.5bn), is currently ranked fourth in the world by aircraft portfolio size, after GECAS, AerCap and Avolon. Acumen Aviation © 21 August All Rights Reserved.