Tag: lease (Page 5 of 8)

EgyptAir Adds More Boeing 787s to Fleet as Dreamliners Deliver 23% Fuel Boost

November 18, 2019 / WIL BALDWIN

Egyptian flag carrier to lease two more 787-9 jets from leading lessor AerCap
Airline joins other operators in growing their Dreamliner fleet after achieving eye-opening fuel efficiency improvement

EGYPTAIR is growing its Boeing 787 Dreamliner fleet with an agreement to lease two more airplanes from AerCap, the airline announced today at the Dubai Airshow. The Egyptian flag carrier unveiled it had selected the super-efficient airplane to modernize its fleet during the last Dubai Airshow in 2017.

The carrier began operating the 787-9 this year, deploying the Dreamliner on new direct flights from its hub in Cairo to Washington, D.C., and other cities. EGYPTAIR says the 787s have delivered on the Dreamliner’s promise of unmatched efficiency, providing a 23-percent reduction in fuel consumption compared to the airplanes they replaced.

“The Boeing 787 Dreamliner has outperformed our expectations, helping us significantly reduce our fuel use and emissions, while bringing comfort to our passengers,” said Ahmed Adel, chairman and CEO of EGYPTAIR Holding Company. “We look forward to growing our network with additional 787-9 airplanes and flying more passengers to their destinations at an affordable cost.”

To maintain its fleet of 787’s, the carrier also announced agreements with Boeing this week that would provide EGYPTAIR with global access to critical aircraft components, including a Landing Gear Exchange and Quick Engine Change kit solutions.

EGYPTAIR joins other 787 operators in expanding its commitment to the Dreamliner program after experiencing the airplane in revenue service. More than half of all 787 customers have placed repeat orders for the airplane, helping the Dreamliner become the fastest-selling widebody airplane in history. The biggest 787 customer is Dublin-based AerCap with 117 airplanes owned and on order. AerCap will lease a total of eight 787’s to EGYPTAIR.

Speaking at the Dubai Airshow, AerCap CEO Aengus Kelly said, “AerCap is very proud to continue to support EGYPTAIR’s widebody fleet renewal program and sustainable growth ambitions. We thank our friends and partners at EGYPTAIR for their continued confidence in AerCap and we look forward to working with the EGYPTAIR and Boeing teams as these aircraft deliver.”

“EGYPTAIR has shown a strong commitment to growing its business in a sustainable and profitable manner and we are thrilled that the 787 Dreamliner is helping the airline realize their vision. There is no better endorsement of the 787’s efficiency, range and passenger comfort than an operator returning for more aircraft,” said Ihssane Mounir, senior vice president of Commercial Sales & Marketing, The Boeing Company. “Of course, this would not be possible without AerCap and its market-leading portfolio that gives carriers great flexibility in operating an optimized fleet.”

At 63 meters (206 feet) long, the 787-9 can fly 296 passengers, in a typical two-class configuration, up to 7,530 nautical miles (13,950 kilometers). The airplane is 6 meters longer than the original Dreamliner and is capable of carrying 48 more passengers with increased range. The 787 Dreamliner family has won more than 1450 orders from over 80 customers on six continents.

CIAF Leasing Signs Order with Embraer for Three E190 Jets

November 17, 2019 / WIL BALDWIN

Dubai, UAE, November 17, 2019 – Embraer and Cairo-based CIAF Leasing have signed a firm order for three E190 aircraft. The deal has a value of USD 161.4 million at current list prices and will be added to Embraer’s fourth quarter backlog.

The three new aircraft will join CIAF’s existing fleet of three E170s, two of which are on lease with Jasmin Airways, the other with Air Cairo. CIAF are also due to receive two E195s in mid-November.

Dr. Hassan Mohamed, Chairman and CEO of CIAF Leasing said, “The three new E190s will be an excellent addition to our growing fleet of Embraer E-Jets. With a fleet of E170s, E190s, and E195s, CIAF will have the flexibility to offer to both our wet and dry lease customers a service that fits their needs exactly.”

Raul Villaron, Vice President Sales, Africa and Middle East, Embraer Commercial Aviation said, “CIAF is rapidly increasing its footprint in both wet and dry leasing with the addition of further aircraft to their fleet and the establishment of their own AOC (Air Operator Certificate) in June this year. It’s a pleasure to work with an organisation that’s going from strength to strength by exploiting the benefits a family of aircraft can provide.”

All three aircraft will be delivered in the fourth quarter of 2020, in a new livery showing off CIAF’s new visual identity.

Embraer is the world’s leading manufacturer of commercial aircraft up to 150 seats with more than 100 customers across the world. For the E-Jets program alone, Embraer has logged more than 1,800 orders and 1,500 aircraft have been delivered. Today, E-Jets are flying in the fleets of 80 customers in 50 countries. The versatile 70 to 150-seat family is flying with low-cost airlines as well as with regional and mainline network carriers.

Air Lease Corporation Initiates Portfolio Sale of 19 Aircraft to Thunderbolt III Aircraft Lease Limited

November 13, 2019 / WIL BALDWIN

LOS ANGELES, November 11, 2019 – Air Lease Corporation (the “Company” or “ALC”) announced today that the Company initiated the sale of a portfolio of 19 aircraft to Thunderbolt III Aircraft Lease Limited (“Thunderbolt III”), a newly formed entity, and Thunderbolt III has now completed its equity and debt financing transactions. The aircraft comprise a mix of narrowbody and widebody jet aircraft that, as of August 31, 2019, had a weighted average age of 9.7 years and were leased to 18 lessees based in 15 countries. ALC and its Irish affiliate, ALC Aircraft Limited, will act as servicers with respect to the aircraft and ALC will act as portfolio manager. ALC estimates that the process of transfer and sale of the majority of aircraft will occur progressively during Q4 2019 and Q1 2020.

The Thunderbolt III structure included two series of Fixed Rate Notes and Equity Certificates. Approximately 15.6865% of the Equity Certificates were purchased by the anchor investor which is an investment vehicle managed by ITE Management L.P. and approximately 5% of the Equity Certificates were purchased by ALC.

Proceeds from the issuance of the Notes and the Equity Certificates will be used to acquire the aircraft, fund certain accounts for the Notes and pay certain expenses.

“We are pleased to announce the closing of Thunderbolt III. This transaction allows ALC to efficiently sell 19 aircraft while retaining the customer relationships through our continued management of these aircraft. I would like to thank our team and the Thunderbolt III investors for making this a successful transaction,” said Gregory B. Willis, Executive Vice President and Chief Financial Officer of ALC.

Mizuho Securities acted as Global Coordinator, Mizuho Securities, BofA Securities and Goldman Sachs & Co. LLC acted as Joint Lead Structuring Agents and Joint Lead Bookrunners, Wells Fargo Securities acted as Joint Lead Bookrunner, and BNP PARIBAS, Citigroup, J.P. Morgan, MUFG, RBC Capital Markets, SOCIETE GENERALE and SunTrust Robinson Humphrey acted as Passive Bookrunners (for the Notes) and Co-Managers (for the Equity Certificates).

Hughes Hubbard & Reed LLP acted as U.S. counsel to ALC and the Issuers, and Milbank LLP acted as U.S. counsel to the Global Coordinator, the Joint Lead Structuring Agents and the Joint Lead Bookrunners. EY acted as U.S. and Irish tax advisors. Walkers acted as Cayman Islands counsel and A&L Goodbody acted as Irish counsel. Vedder Price P.C. acted as counsel for ITE.

Canyon Financial Services Limited will act as the managing agent for the Issuers. Citibank, N.A. will act as trustee, security trustee, paying agent and operating bank. Wells Fargo Bank, N.A. will also act as the liquidity facility provider. DealVector, Inc. will provide certain investor services for the holders of the Notes and Equity Certificates.

KLM Firms Up Order for E195-E2 Jets, Adds Six Further Aircraft

November 12, 2019 / WIL BALDWIN

AMSTERDAM, Netherlands, Nov. 12, 2019 /PRNewswire/ — Embraer and KLM Cityhopper have signed a firm order for 21 E195-E2 aircraft, plus 14 purchase rights. The 21 firm positions will be acquired via operating lease from Embraer lessor partners Aircastle and ICBC Aviation Leasing. The order was previously announced as a Letter of Intent for 15 firm orders with 20 purchase rights at the Paris Air Show earlier this year. With all purchase rights exercised the deal would have a value of USD 2.48 billion.

The aircraft for this order will come from the existing backlogs of lessors Aircastle and ICBC Aviation Leasing; each providing KLM with 11 and 10 E195-E2s, respectively.

“KLM’s decision to add a further six aircraft to this order is a significant vote of confidence in our E2 programme”, said John Slattery, President and CEO, Embraer Commercial Aviation. “Delivering 30% lower emissions when compared to KLM’s current E190s, yet still providing a further 32 seats, the E195-E2 will simultaneously increase capacity for KLM at slot constrained Schiphol Airport, while also delivering huge reductions in emissions.”

KLM President & CEO Pieter Elbers, said, “For KLM this aircraft is a significant part of our commitment to improving our environmental impact. Not only is the E195-E2 the most fuel efficient lowest emission aircraft in its class, it is also the quietest by a considerable margin – a huge benefit for both our communities and our passengers.

KLM will configure the aircraft with 132 seats. Deliveries will begin in the first quarter of 2021.

Resurgent Boeing 737 MAX Could Trigger Jet Surplus

November 4, 2019 / WIL BALDWIN

– Market faces potential surplus of 1,000 jets next year

– Air Lease CEO less worried about surge in MAX deliveries

– Older aircraft won reprieve during MAX grounding

– Boeing aims to deliver record-matching 70 MAX a mth on return

HONG KONG, Nov 5 (Reuters) – Airlines struggling to cope with the grounding of the 737 MAX could face a markedly different problem when Boeing Co’s best-selling jet is cleared to re-enter service: a switch to concerns about aircraft oversupply, carriers have been warned.

The U.S. planemaker has continued to produce the jet since it was grounded in March after two fatal accidents, and is expected to speed deliveries by 40%, to 70 units a month, when its factory doors reopen, in a bid to clear the backlog.

Rob Morris, global head of consultancy at UK-based Ascend by Cirium, said the combination of any rapid rebound in deliveries, economic worries and an accumulation of market pressures dating back before the crashes could make it hard to absorb the jets.

“Next year is the challenge. When the dam breaks and the MAX starts to flow, there are going to be a lot of aircraft,” Morris told financiers at a Hong Kong briefing late on Monday.

“There could potentially be as many as 1,000 surplus aircraft next year.”

The forecast is based on both a rebound in MAX deliveries and a potential glut of second-hand airplanes flooding back onto the market after standing in for the MAX during the grounding.

The crisis has rekindled demand for older and less efficient jets, with airlines using more than 800 planes that are more than 15 years old, compared to conditions four years ago, Morris told the Airline Economics Growth Frontiers conference on Tuesday.

TWO-YEAR LOG JAM

Until now, most concern has focused on whether regulators would permit an orderly return to service by avoiding gaps in approvals by different countries.

But Morris, who has warned a long up-cycle in aviation is nearly over, said there were also risks in opening floodgates too quickly, overwhelming fragile growth in travel demand.

Still, he and other delegates at back-to-back aviation finance gatherings in Hong Kong agreed it would take Boeing 18 months or longer to deliver all the stranded aircraft.

The operation will be one of the industry’s biggest ever logistical challenges and any glitches or delays could further brake supply.

“Getting all those aircraft, that are currently parked, off the ground could take two years,” John Plueger, chief executive of Air Lease Corp, told Reuters, adding he did not see fundamental changes as a result of the MAX’s return.

“It is not as if all these MAX could be delivered over a one-, two- or three-month period … so it is not an open floodgate and 350 planes all coming onto the market tomorrow,” he said on the sidelines of last week’s Airfinance Journal Asia Pacific conference.

Boeing aims to return the 737 MAX to service in the United States by the end of 2019, after making software changes in the wake of the crashes, which killed 346 people.

Europe’s top regulator said on Monday the airliner is likely to return to service in Europe in the first quarter of 2020.

Analysts say more than 300 MAX aircraft have been produced since March, when commercial flights were banned and deliveries frozen. This could rise to 400 by the time it resumes service.

Boeing is additionally expected to deliver close to 600 jets straight from the production line next year. It has indicated it plans to deliver up to 70 jets a month, equal to a previous record. Of this, analysts say around 20 are expected to be drawn from inventory parked at its factories and the rest newly built.

(Reporting by Tim Hepher and Anshuman Daga in Hong Kong Editing by Matthew Lewis and Clarence Fernandez)

Air Premia Announces Commitment for 5 Boeing 787 Jets

October 29, 2019 / WIL BALDWIN

– New Korean carrier to bolster future fleet with five additional super-efficient 787-9 Dreamliners

HONG KONG, Oct. 29, 2019 /PRNewswire/ — Boeing [NYSE: BA] and Air Premia today announced the Korean startup airline plans to buy five 787-9 Dreamliner airplanes, following an agreement to lease three 787-9 jets from Air Lease Corporation earlier this year. Air Premia, which plans to launch operations in 2020 is poised to become South Korea’s second Dreamliner operator.

The commitment, valued at $1.4 billion at list prices, will be reflected on Boeing’s Orders & Deliveries website when it is finalized.

“This is an exciting decision for Air Premia as we look to deliver a world-class experience to our customers, while also operating the most fuel efficient fleet,” said Peter Sim, CEO of Air Premia. “With the 787-9’s superior fuel efficiency and range capabilities, this investment fits perfectly with our unique business model and will position Air Premia for sustainable long-term growth.”

The 787-9 is a super-efficient widebody airplane that can fly 296 passengers in a standard configuration with a published range of 7,530 nautical miles (13,950 km). The Dreamliner model, powered by a revolutionary design and advanced engines, enables airlines to reduce fuel use and emissions by 20 to 25 percent compared to previous airplanes. The combination of unrivaled fuel efficiency and long range capabilities of the 787-9 has helped airlines save more than 40 billion pounds of fuel and open more than 235 non-stop routes.

“We are honored to welcome Air Premia as Boeing’s newest customer. As new entrants in Asia continue to launch innovative business models and strategies for growth, we are excited that Air Premia have selected the 787-9 Dreamliner to power their future fleet,” said Ihssane Mounir, senior vice president of Commercial Sales and Marketing, The Boeing Company. “The super-efficient 787-9 is a perfect fit for this new hybrid airline. The market-leading economics and capabilities of the Dreamliner will enable Air Premia to offer the best-in-class service to its customers at competitive fares.”

With its base at Seoul Incheon International Airport, Air Premia announced its plan to launch operations in September 2020. The carrier will initially operate regionally in Asia before expanding its network to Los Angeles and San Jose by 2021.

Air Lease Corporation Announces Lease Placement of Six New Airbus A321neo Aircraft with China Airlines

October 28, 2019 / WIL BALDWIN

LOS ANGELES, October 24, 2019 – Today Air Lease Corporation (“ALC”) (NYSE: AL) announced long-term lease agreements with China Airlines (Taiwan) for six new Airbus A321neo aircraft. The aircraft will deliver to the airline beginning in 2021 through 2022 from ALC’s order book with Airbus.

“We are honored to have been chosen by China Airlines to provide their first six new A321neos in their single-aisle fleet transformation,” said John L. Plueger, Chief Executive Officer and President of Air Lease Corporation. “The A321neo will provide significantly expanded capabilities which will benefit China Airlines and its passengers far into the future.”

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 Air Lease Corporation (NYSE: AL)

ALC is a leading aircraft leasing company based in Los Angeles, California that has airline customers throughout the world. ALC and its team of dedicated and experienced professionals are principally engaged in purchasing commercial aircraft and leasing them to its airline customers worldwide through customized aircraft leasing and financing solutions. ALC routinely posts information that may be important to investors in the “Investors” section of ALC’s website at www.airleasecorp.com. Investors and potential investors are encouraged to consult the ALC website regularly for important information about ALC. The information contained on, or that may be accessed through, ALC’s website is not incorporated by reference into, and is not a part of, this press release.

About China Airlines

Founded in 1959, China Airlines employs more than 12,000 people worldwide and operates a fleet of 111 aircraft, making it the largest airline by size and frequency of service in Taiwan. China Airlines is also one of the 19 SkyTeam Alliance member airlines. China Airlines offers passengers access to an extensive global network of more than 14,500 daily flights to 1,150 destinations in 175 countries. China Airlines is continuing to promote superior aviation safety as well as eco-friendly, innovative and attentive services that provide travelers with the perfect travel experience. Recent major international and domestic awards received by China Airlines include: 7/7 Safety Rating from AirlineRatings in Australia, the Taiwanese civil aviation industry’s top “Golden Flyer Award,” “Best of the Best” Red Dot Award, iF Design Award, Good Design Award from Japan, “Best Airline of the Year,” “Best Airline in North Asia,” “Best Business Class Seat Design” and “Best Premium Economy” from the U.S.-based Global Traveler, “Top 10 Premium Business Class” and “Top 10 Economy Class” from the DesignAir, PAX International reader survey’s winner in the “Outstanding Food Service by a Carrier – Asia” category, and the APEX Award for Publication Excellence for the inflight magazine “Dynasty.”

Embraer Welcomes Amaszonas to the E-Jets Family

October 20, 2019 / WIL BALDWIN

São José dos Campos, Brazil, October 15, 2019 – Amaszonas Línea Aérea of Bolivia is the newest Embraer E-Jet operator. The airline started flying an E190 today between Santa Cruz de la Sierra’s Viru Viru Airport and La Paz. Amaszonas is adding a total of six E190s to its fleet. The airplanes will fly to several domestic and international destinations.

“We have been working with Amaszonas for a long-time. To see the E190 flying in the airline’s colors is really rewarding for Embraer,” said Reinaldo Krugner, Vice President, Latin America & Caribbean, Embraer Commercial Aviation. “The E190 is the ideal aircraft to support the airline’s growing capacity in a very disciplined way. Amaszonas is taking advantage of the E190’s low operating cost.”

The first two E190s are leased from GECAS and configured with 112 seats in a single class layout. The other four aircraft will be leased from CDB Leasing and have 110 seats in a single class layout. The airline will also operate the E190s at Montevideo’s Carrasco International Airport in the future.

“The range of the E190 allows us to replace our smaller regional jets and support our expansion plans in Bolivia and Uruguay,” Sergio de Urioste, President & CEO of Amaszonas Línea Aérea. “Our E-Jets give us the flexibility we need to add more frequencies and destinations. We know our passengers are going to love the comfort of the E190 cabin.”

Embraer and Amaszonas have also signed a Flight Hour Pool Program agreement until 2024 to provide repairable component support for the carrier’s fleet of up to six E190s. The multiyear program features both the Pool Program and repair management services for the carrier’s fleet of E-Jets, including material services engineering and advanced component exchanges from Embraer’s spare parts distribution center in Fort Lauderdale, Florida.

SWISS Adds Ljubljana to its Route Network

October 3, 2019 / WIL BALDWIN

From 16 October onwards, SWISS will be offering a new service to the Slovenian capital of Ljubljana, departing from its hub at Zurich Airport. There will be five connections a week initially, with a daily flight from 27 October.

Swiss International Air Lines (SWISS) is to extend its route network to include a new destination, Ljubljana, from 16 October onwards. There will be five flights weekly up to and including 26 October, which will initially be operated by Helvetic Airways. With the rollout of the winter schedule on 27 October SWISS will fly to the new destination once a day from Zurich on an alternate basis with its wet lease partner, Helvetic Airways.

Prior to discontinuation of flight operations by Adria Airways, SWISS passengers were able to travel to from Zurich to Ljubljana thanks to a codeshare agreement. The new flights will ensure a continuing connection. As a result, passengers from all over the world will still enjoy smooth travel to the Slovenian capital via the SWISS hub at Zurich Airport. Passengers from Ljubljana will have access to the Swiss flag carrier’s worldwide network.

The timetable is available at swiss.com, flights may be booked now.

Air Lease Announces Placement of New Boeing 787-9 Aircraft with MIAT Mongolian Airlines

October 3, 2019 / WIL BALDWIN

Today Air Lease Corporation (AL) announced a long-term lease agreement with MIAT Mongolian Airlines for one new Boeing 787-9 aircraft. This aircraft, scheduled to deliver to the airline in Spring 2021 from ALC’s order book with Boeing, will be the first 787-9 to operate in Mongolia as well as the first Dreamliner in MIAT Mongolian Airlines’ fleet.

“ALC is honored to announce this significant lease placement with MIAT Mongolian Airlines and be the first to introduce the airline to the Dreamliner,” said Steven F. Udvar-Házy, Executive Chairman of Air Lease Corporation. “We are proud to support the national carrier as it expands its fleet with the most technologically advanced aircraft to connect Mongolia with the rest of the world.”

“Our vision is to become a globally recognized Mongolian national flag carrier, and we are making a significant step forward by adding the first 787-9 Dreamliner to our fleet,” said Battur Davaakhuu, President and CEO, MIAT Mongolian Airlines. “The Mongolian Dreamliner will fly our passengers direct and in unmatched comfort to their dream destinations. Today is a proud day for MIAT and for all Mongolians.”

“It will be wonderful to see the 787 Dreamliner in MIAT Mongolian Airlines’ livery flying in and out of Ulaanbaatar and connecting Mongolia with key destinations across Asia and Europe. The airline has continued to build on its proud aviation history by modernizing its fleet and operations. We are honored MIAT has selected the 787 and its superior fuel efficiency and range to profitably grow their international network,” said Ihssane Mounir, senior vice president of Commercial Sales and Marketing for The Boeing Company. “We are delighted to partner with leading lessor ALC, which has a tremendous portfolio of 787 Dreamliners and other advanced jets, to open a new chapter in MIAT’s history.”

MIAT Mongolian Airlines currently operates two Boeing 737 MAX 8 aircraft and one 737-800 aircraft on lease from ALC.

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