Category: Leasing News (Page 5 of 7)

Air Lease Places Two Airbus A320-200 Aircraft with Qanot Sharq Airlines Uzbekistan

February 21, 2021 / WIL BALDWIN

Los Angeles, California, February, 2021 – Air Lease Corporation (NYSE: AL) announced today long-term lease placements for two used Airbus A320-200 aircraft with Qanot Sharq Airlines (Uzbekistan), scheduled to deliver this March. This will be the first two aircraft in the fleet of the Uzbek startup airline.

“ALC is pleased to announce this lease placement of two A320-200s with Qanot Sharq Airlines,” said AJ Abedin, Vice President, Marketing of Air Lease Corporation. “We have worked closely with the Qanot Sharq executive team and are thrilled to participate in the launch of the first Uzbek startup airline through the placement of their first two aircraft.”

“We are honored and excited to work with one of the largest aircraft leasing companies in the world to assist with the launch of our airline,” said Nosir Abdugafarov, owner of Qanot Sharq Airlines. “These two A320-200s are scheduled to deliver in March and will be the first two aircraft in Qanot Sharq’s fleet, ensuring the highest standard of safety and comfort for our passengers.”

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including expected delivery dates. Such statements are based on current expectations and projections about our future results, prospects and opportunities and are not guarantees of future performance. Such statements will not be updated unless required by law. Actual results and performance may differ materially from those expressed or forecasted in forward-looking statements due to a number of factors, including those discussed in our filings with the Securities and Exchange Commission.

About Qanot Sharq Airlines

Established as the first privately owned Airline in Uzbekistan, Qanot Sharq is led by a team of highly accomplished airline industry professionals with over 200 years of combined industry experience. The airline will operate from multiple regional airports in Uzbekistan, providing scheduled air service to international destinations such as Istanbul, Ankara (Turkey), Dubai (UAE), Jeddah, Medina (Saudi Arabia), Moscow, St. Petersburgh (Russian Federation) and Almaty (Kazakhstan).

Air Lease Corporation Delivers Two New Boeing 737-8 Aircraft to Sunwing Airlines

February 9, 2021 / WIL BALDWIN

Air Lease Corporation (NYSE: AL) announced the delivery of two new Boeing 737-8 aircraft on long-term lease to Sunwing Airlines. These aircraft, featuring CFM International LEAP-1B27 engines, are the third and fourth new Boeing 737-8 aircraft to deliver to Sunwing from ALC’s order book with Boeing.

Sunwing Airlines currently has two 737-800s and two other 737-8s on lease from ALC.

Forward-Looking Statements

Kansas City Southern and NorthPoint to Develop 220-Acre Wylie Logistics Park in Texas

January 21, 2021 / WIL BALDWIN

KANSAS CITY, Mo.–(BUSINESS WIRE)– Kansas City Southern (NYSE: KSU) announced today that it has entered into a joint agreement with NorthPoint Development to develop the master planned Wylie Logistics Park in Wylie, Texas, located adjacent to KCS’ David L. Starling Wylie Intermodal Terminal.

The Wylie Logistics Park offers 2.4 million square feet of potential building capacity for traditional warehousing and distribution; industrial grade amenities; dual feed electrical system with redundant power; as well as a heavy-haul road network comprised of direct access to Highway 78 and the interstate system, air and seaports, and a state-of-the-art intermodal terminal.

“KCS is pleased to enter into this agreement with NorthPoint Development for the Wylie Logistics Park,” said KCS vice president chemical and energy products Ginger Adamiak, who also leads the company’s industrial development team. “Wylie is part of the Dallas metro area, the fourth fastest growing industrial market in the U.S., and Wylie offers a business-friendly environment, low taxes and a double free port exemption.”

“We are extremely bullish on the opportunities that the Wylie Logistics Park offers,” said NorthPoint Development president/founding partner Chad Meyer. “Wylie is a supportive, pro-business municipality partnering with a unique Class I intermodal facility that has the best direct connectivity to the growing east coast ports. Couple this with exceptional demographics from an eCommerce demand and the great labor pool that this development requires and you have all of the ingredients for a very successful project.”

KCS’ Wylie Intermodal Terminal opened in 2015 and expanded in 2018. It now offers track capacity of 19,000 feet and annual lift capacity of 342,000, resulting in fluid and efficient availability of containers and improved on-time arrivals and departures. The terminal also boasts 1,800-wheeled parking spaces (with room to expand); 300 container stack spots; an Automated Gate System (AGS) with high definition imagery; optical character recognition and biometric driver identification; enhanced traffic signals and specific turn lanes.

“The Wylie Logistics Park is ideal for customers looking to combine logistics and real estate in one location,” said KCS vice president intermodal and automotive Rodrigo Flores. “Locating in the park will provide tenants and customers significant cost savings by reducing drayage from ramp to facility and providing quick access to the regional interstate network. Customers will also enjoy the environmental benefits of intermodal transportation and connectivity to other intermodal and port facilities on KCS’ U.S. and Mexico rail network.”

https://www.youtube.com/watch?v=RxbwWqQeMe8&feature=youtu.be

BBAM Adds Up to 12 737-800 Boeing Converted Freighters

January 19, 2021 / WIL BALDWIN

Boeing [NYSE: BA] and BBAM Limited Partnership today announced the lessor is expanding its 737-800 Boeing Converted Freighter fleet with six firm orders and six options. The agreement brings BBAM’s 737-800BCF orders and commitments to 15 and highlights the continued strength of the e-commerce and express cargo market.

“As we look ahead to expanding our cargo fleet, the 737-800 Boeing Converted Freighter provides the performance and efficiency our customers need,” said Steve Zissis, CEO of BBAM. “Adding these highly capable freighters to 276 Boeing airplanes in our managed fleet helps to further strengthen our leadership position in the marketplace.”

Based on the popular Next-Generation 737, the 737-800BCF is meeting customer demand for a newer-generation freighter that offers higher reliability and lower fuel consumption and operating costs per trip compared to other standard body freighters. Primarily used to carry express cargo on domestic or short-haul routes, the airplane is capable of carrying up to 23.9 tonnes (52,800 pounds) and flying up to 2,025 nautical miles (3,750 kilometers). Since entering service in 2018, the 737-800BCF has won more than 150 orders and commitments.

“BBAM is one of the industry’s leading full-service leasing companies and has built their reputation on smart investments. We are honored that BBAM has selected more 737-800BCFs, based on the success of our standard body freighters in their portfolio,” said Ihssane Mounir, Boeing’s senior vice president of Commercial Sales and Marketing. “The continued strong demand for the 737-800BCF demonstrates the critical role these converted freighters play in the growing express and e-commerce market.”

BBAM is the world’s largest dedicated manager of investments in leased commercial jet aircraft, providing over 200 airline customers in more than 50 countries with fleet and financing solutions over the last three decades. BBAM is the only manager in the aircraft leasing industry focused exclusively on generating investment returns for third-party investors. BBAM currently has more than $28 billion of assets under management and employs over 150 professionals at its headquarters in San Francisco and in additional offices in Tokyo, Singapore, Zurich, Dublin and Santiago. For more information about BBAM, please visit its website at www.bbam.com.

Boeing is the world’s largest aerospace company and leading provider of commercial airplanes, defense, space and security systems, and global services. As a top U.S. exporter, the company supports commercial and government customers in more than 150 countries and leverages the talents of a global supplier base. Building on a legacy of aerospace leadership, Boeing continues to lead in technology and innovation, deliver for its customers and invest in its people and future growth.

Lufthansa Raised 500 Million Euro in Aircraft Financing in the Second Half of 2020

January 15, 2021 / WIL BALDWIN

Since July 2020, Deutsche Lufthansa AG (LHA.DE)has raised a total of around 500 million euros by using aircrafts as security in eight financing transactions. This enabled the Group to secure additional funds on top of the 1.6 billion euros raised via a convertible bond and a corporate bond.

The five Airbus A350s and three aircraft from the A320 family were used as securities for various financing instruments. Funds were raised through sale and lease back financing, secured loans and secured promissory notes (Schuldscheindarlehen). Banks, private equity funds and corporate investors, particularly from Europe and Asia, participated in the financing. Lufthansa was also able to agree upon attractive terms compared with the most recently issued bonds.

“We have taken another successful step in refinancing existing liabilities which are maturing in 2021. The transactions once again demonstrate the confidence the market has in our company and our restructuring measures. We have a wide range of financing instruments at our disposal and aircraft financing will continue to play a key role in our financing strategy as it offers financially attractive conditions,” said Wilken Bormann, Executive Vice President Corporate Finance of the Lufthansa Group.

Air Lease Announces Fourth Quarter and Year End 2020 Earnings Conference Call

January 4, 2021 / WIL BALDWIN

Air Lease Corporation (NYSE: AL) will host a conference call on February 22, 2021 at 4:30 PM Eastern Time to discuss the Company’s financial results for the fourth quarter and year end 2020.

Investors can participate in the conference call by dialing (855) 308-8321 domestic or (330) 863-3465 international. The passcode for the call is 7382239.

The conference call will also be broadcast live through a link on the Investors page of the Air Lease Corporation website at www.airleasecorp.com. Please visit the website at least 15 minutes prior to the call to register, download and install any necessary audio software. A replay of the broadcast will be available on the Investors page of the Air Lease Corporation website.

For your convenience, the conference call can be replayed in its entirety beginning at 7:30 PM ET on February 22, 2021 until 7:30 PM ET on March 1, 2021. If you wish to listen to the replay of this conference call, please dial (855) 859-2056 domestic or (404) 537-3406 international and enter passcode 7382239.

Air Lease Announces Delivery of New Airbus A320-200neo Aircraft to Peach

December 28, 2020 / WIL BALDWIN

Air Lease Corporation (NYSE: AL) announced the delivery of one new Airbus A320-200neo aircraft on long-term lease to Peach Aviation Limited (Japan). This aircraft, featuring CFM International LEAP-1A engines, is the first of two new A320-200neo aircraft delivering this December from ALC’s order book with Airbus. In addition to the two A320-200neos, Peach also has two new A321-200neo LRs delivering to the airline on lease from ALC in 2021 and 2022.

“We are pleased to announce this first of four Airbus aircraft delivery to Peach,” said Steven F. Udvar-Házy, Executive Chairman of Air Lease Corporation. “This most recent transaction by ALC in the Japanese market demonstrates our commitment to environmental sustainability with the most modern, fuel-efficient aircraft. ALC is honored to contribute to Peach’s growing all-Airbus A320 fleet and we are confident that our A320-200neo and A321neo LR aircraft will greatly enhance the airline’s operations in its domestic and international market.”

Rex Airlines Takes Delivery of First Boeing 737-800ng in Full Livery

December 28, 2020 / WIL BALDWIN

Rex Airlines marks another major milestone tomorrow, as the first of its Boeing 737-800NGs lands in Sydney in full Rex livery (airline colours). The aircraft arrived in Brisbane today just after 7:30pm on a transit stop after its major scheduled check overseas. The aircraft is due to touch down in Sydney at 8:30am on Christmas Eve.

Planespotters will be in for a treat as they finally get to see Rex’s official livery on its Boeing 737 in the Sydney skies.

Rex has leased six Boeing 737-800NG aircraft in readiness for its inaugural service from Melbourne to Sydney commencing 1 March 2021.

Brisbane will be added to Rex’s capital city network after Easter.

Rex’s Deputy Chairman the Hon John Sharp AM said, “The livery of Australia’s favourite Regional Airline is now emblazoned on a 737, ready for take-off. It’s a historic moment.”

“Our second 737 is currently being painted by Douglas Aerospace at one of the country’s finest aircraft paint facilities in Wagga Wagga. The remaining four 737s are undergoing scheduled checks and will be brought in-country over the next 3 months.”

“With Rex’s entry into the domestic market, passengers are no longer forced to choose between cheap fares that come with limited service and reliable service with premium fares. Rex is bringing its renowned country hospitality to the capital city market, offering twice the value at half the cost. This is the shake-up Australia’s domestic aviation sector has been crying out for and it could not have come at a better time, as Australia struggles to recover from the worst pandemic in the last century.”

To celebrate its launch, Rex is offering 100,000 special $79 fares between Melbourne and Sydney on sale now at rex.com.au.

Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab340 aircraft (pre-COVID) on 1,500 weekly flights to 59 destinations throughout all states in Australia. Rex will begin its domestic services with six 737-800NGs in March 2021. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

Alaska Airlines Boosts 737 MAX Orders and Options to 120 Jets

December 22, 2020 / WIL BALDWIN

Boeing [NYSE: BA] and Alaska Airlines [NYSE: ALK] announced that the carrier is buying 23 more 737-9 airplanes, building on its original order and an agreement last month to acquire new 737-9s through lease. The new deal brings Alaska Airlines’ total 737 MAX orders and options to 120 airplanes, which will give the fifth largest U.S. carrier the scale, efficiency and flexibility to expand as air travel recovers.

“We are extremely proud to be announcing this transformative agreement with Boeing,” said Brad Tilden, CEO of Alaska Air Group. “We believe in this airplane, we believe in our strong partnership with Boeing, and we believe in the future of Alaska Airlines and the incredible opportunities ahead as we climb our way out of this pandemic.”

Alaska Airlines, a longtime Boeing 737 operator, placed an order for 32 737-9 jets in 2012 as part of its fleet modernization program. The 737-9 is a member of the 737 MAX family that is designed to offer more fuel efficiency, reliability and flexibility in the single-aisle airplane market. Last month, Alaska Airlines announced it is expanding its commitment to the 737 MAX program by leasing 13 new 737-9s while selling some A320 jets it had taken on through its acquisition of Virgin America.

The new agreement announced today will add 23 firm orders for the 737-9 and more options for future purchases. In all, Alaska will have 52 options which, if fully exercised, would take the carrier to as many as 120 737 MAX airplanes. The airline said the deal moves it toward a more efficient, all-Boeing mainline fleet that will “enhance the guest experience, improve operational performance and support the company’s growth.”

“We could not ask for a better partner than Boeing and we are delighted to be standing side by side with them as we work together to get our economy back on its feet,” said Tilden.

Alaska Airlines and Boeing leaders announced the agreement during a signing ceremony at Boeing’s delivery facility in Seattle, flanked by a new 737-9 that will be among the first such jets to be operated by Alaska Airlines. In observance of COVID-19 restrictions, both companies limited attendance at the event and addressed the pandemic that has severely affected air travel, expressing confidence in the fundamental strength of the industry and long-term passenger demand.

“Alaska Airlines has done a tremendous job of weathering the impacts from the COVID-19 pandemic, and is well positioned to return to its growth trajectory and strengthen its standing as one of the top U.S. airlines. With Alaska’s industry-leading reputation for safety, sustainability and customer service, we are honored they have chosen to invest in their future with a significant purchase of additional Boeing 737 airplanes,” said Stan Deal, president and CEO of Boeing Commercial Airplanes. “We are grateful for Alaska’s trust and partnership. Our team is focused on delivering their first 737 MAX jets and helping ensure a safe and seamless entry into service.”

Alaska Airlines says the 737 – equipped with new, more fuel-efficient engines and improved aerodynamics – will use 20% less fuel and reduce emissions by 20% per seat compared to airplanes it replaces. The airline will configure the jet with 178 seats in a three-class configuration. The plane can fly 3,550 nautical miles, about 600 miles more than its predecessor. This additional capability will allow airlines to offer new and more direct routes to passengers. Every airplane will feature the new Boeing Sky Interior, highlighted by modern sculpted sidewalls and window reveals, LED lighting that enhances the sense of spaciousness and larger pivoting overhead storage bins.

Learn more about Alaska’s confidence in the safety and certification of the MAX at alaskaair.com/737MAX.

Total orders: 68 737 MAX Aircraft

Status	Announcement Date	Number of Aircraft
Existing Order	October 2012	32
Separate Lease Agreement	November 2020	13
New Order	December 2020	23

Total options: 52 737 MAX Aircraft

Status	Announcement Date	Number of Aircraft
Existing Order	October 2012	37
New Order	December 2020	15

Fly Leasing Closes New $180 Million Term Loan

October 16, 2020 / WIL BALDWIN

DUBLIN, Ireland – Fly Leasing Limited (NYSE: FLY), a global leader in aircraft leasing, today announced it has closed a new $180 million Term Loan (the “2020 Term Loan”). The interest rate on the five-year term loan is LIBOR plus 6.00% with a 1.00% LIBOR floor. The financing was issued at an original issue discount of 4.5%. The 2020 Term Loan will be secured by 11 narrowbody aircraft owned by FLY and its subsidiaries, four of which are unencumbered and seven of which are currently financed in FLY’s 2012 Term Loan. The proceeds will be used for general corporate purposes.

“FLY is enhancing its liquidity position with the successful completion of a new $180 million term loan that attracted strong demand from a robust group of institutional lenders,” said Colm Barrington, CEO of FLY. “FLY does not have any aircraft orders or other foreseeable capital commitments. Additionally, FLY only has three aircraft remaining to be remarketed in 2020, representing 2.4% of net book value.”

Following completion of the financing of the collateral pool under the 2020 Term Loan and the anticipated transfers of certain unencumbered aircraft into the 2012 Term Loan, FLY will have a total of nine unencumbered narrowbody aircraft with a net book value of $204 million.

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