Ireland-based aircraft lessor Avolon is speaking out against what it characterizes as irresponsible speculation that the economic life of modern airliners has been significantly reduced by the dismantling (for parts) of a number of relatively young aircraft, such as the Airbus A318. In an October 2 webcast, Avolon CEO Domhnal Slattery and head of strategy Dick Forsberg presented the results of a study drawing on raw fleet data provided by consultancy Ascend, combined with its own 10-year projections.
Financing, Insurance and Taxes » Aviation Financing
Issues regarding financing of aircraft.
Engine Lease Finance (ELFC) has become the first CFM International (CFMI) spare-engine lessor to use the manufacturer’s portable maintenance for lessors (PML) program under a memorandum of understanding that could be formally ratified by year’s end.
A legal case that could hold serious ramifications for the aircraft financing and leasing industry met its end with a blow against the lenders when the U.S. Supreme Court refused to hear an appeal.
With aircraft owners facing continuing headaches over importing aircraft into the European Union, offshore registrations are increasingly being considered as a more flexible option. At the same time, lawyers have been scrambling to develop elegant solutions to avoid at least immediate liability for punitive rates of value added tax through deferral schemes.
A new 3,600-sq-ft customs-clearance facility has been constructed at Hector International Airport in Fargo, North Dakota, on the north general aviation ramp between two of Fargo Jet Center’s main hangars. It is equipped with the latest technology to expedite U.S. Customs clearances and improve the experience for international passengers. Fargo Jet Center is exhibiting here at EBACE (Stand 456).
Attendees at the National Aircraft Financing Association annual meeting late last week in Savannah, Ga., largely agreed that aircraft financing is “thawing,” but new international banking rules that will start to be phased in next year might make things worse.
Encouraged by last year’s successful effort to secure three European lessors for 10 Air Nostrum CRJ1000s, Bombardier expects the trend toward more lease acquisitions of regional airliners to continue. For the Canadian airframer, attracting lessors will prove vital to the success of the new C Series as well, and perhaps most notably in China, where aircraft leasing remains a relatively new option.
Embraer and Beijing-based ICBC Financial Leasing signed a memorandum of understanding (MoU) today on aircraft financing and leasing for the sale of Embraer airliners and business jets in China and other markets. Under the MoU, total program support could amount to as much as $2.5 billion over the next five years.
It came as no surprise to industry watchers that Minsheng Financial Leasing Co. Ltd. (MSFL) won the recent Corporate Jet Investor (CJI) award for Asian Business Jet Financier of the Year. MSFL has so far signed agreements for, and placed nonrefundable deposits on, more than 100 private aircraft acquisitions in China. The firm’s total registered capital is RMB five billion ($790 million).