Gestair Private Aviation has announced a $115 million investment over the next four years to further expand its 30-aircraft fleet. The Spanish-based company is also planning a new main- tenance hangar. Also anticipated is FBO network expansion and company acquisitions abroad.
Financing, Insurance and Taxes » Aviation Financing
Issues regarding financing of aircraft.
Guggenheim Partners and UBS have formed Guggenheim Aero Finance, a corporate jet financing company that will combine worldwide reach with a streamlined approval process to offer aircraft financing solutions to individual and corporate buyers of new and pre-owned corporate jets.
Austrian-based operator Jetalliance announced here on Tuesday that it is now offering what it claims to be a new kind of business aircraft financing called asset-based leasing. Under the scheme, a firm or individual agrees to make a down payment for part of an aircraft–say, 30 percent. Jetalliance then buys the aircraft from the manufacturer. It will then own the remaining 70 percent.
At press time, Boeing was close to concluding a deal in which it will be selling its business-jet finance division. Boeing hopes to announce the buyer at its board meeting on May 3. The business, currently under the direction of Louis Seno, is expected to remain headquartered in Broomfield Hills, Mich. Financing for new BBJ transactions will stay with Boeing, but will be handled by the company’s offices in Renton, Wash.
World banking giant Bank of America (Booth No. 700), a long-time player in fixed-wing financing, announced yesterday its entrance into the rotorcraft market. Although the bank has financed helicopters on an individual basis in the past, this marks the company’s first attempt at luring a broad spectrum of new clients.
The Inspector General of the DOT says that as long as Congress continues to mandate funding the FAA out of general tax funds, aviation taxes can fully pay for ATC modernization efforts. AOPA believes this position is “verification from the federal government” of its financial analysis of the FAA’s current funding structure.
With so many choices available to companies and individuals contemplating alternatives to airline travel, what’s a business owner or prospective flight department manager to do? Speakers at the fourth annual Conklin & de Decker Aircraft Acquisition Planning Seminar, held recently in Scottsdale, Ariz., sought to provide some answers to those questions.
The FAA’s budgetary woes are but one symptom of the U.S. fiscal freight train that has been speeding down the track with ever greater wobbles since 9/11.
The Middle East region is waking up to business aircraft financing, it emerged at the inaugural Middle East Business Aviation (MEBA) conference here at the Dubai airshow on Saturday. As recently as five years ago, it was difficult to find funds to buy business jets, but it is now much easier to convince a bank, a local charter operator said. In addition, so-called Sukuk Islamic bonds may soon become available to aircraft customers.
The U.S. Exim Bank has approved a long-term loan guarantee to support the sale of three Gulfstream G350 business jets to Saudi Arabian executive air transport provider National Air Services. Gulfstream signed a letter of intent in May for the aircraft, which the Exim Bank accord finalizes. The transaction is structured as an asset-based financing arrangement with the G350s serving as collateral. Arab Banking Corp.