Aviation Finance

Aviation Finance Vol. 14 No 11, May 30th 2024. ISSN 2009-7859

Leasing Business

Delhi HC revised ruling suggests better CTC

In a judgment which suggests a greater willingness than heretofore by India's High Court to respect the terms of the Cape Town Convention, the High Court in Delhi has revised an earlier ruling in relation to two Boeing 737-800s on lease from TWC Aviation Capital.


Indian Aviation

IndiGo may order 100 planes but Go First bidder withdraws

IndiGo airlines, which controls 60% of India’s domestic market and already has a huge backlog of orders for nearly 1,000 planes with Airbus, is believed to be looking at placing an order for 100 regional aircraft, quite possibly for ATR72-600s. But hopes of finding a buyer for insolvent Indian carrier GoFirst appear to be dwindling.


Airline Business

Bonza administrators given more time to find a buyer

Australia's Federal Court has granted the administrators of insolvent Bonza a two-month extension of their appointment as voluntary administrators of the airline. Hall Chadwick said it needed the extra time to sell the business and its assets in the interests of all creditors.


Airline Business

GOL reviews further lessor concessions under new Chapter 11 exit plan

GOL’s new 5-Year Plan envisages a growth strategy, supported by a €1.5 billion equity raise and EBITDA improving from 23% next year to 34% by 2029. Following ‘meaningful lease concessions’ on 113 aircraft and 48 spare engines, GOL is now reviewing ‘competitive offers of concession packages’ from lessors covering substantially all of its remaining aircraft.


Developments

Aquila doubles loan; WLFC declares dividend

Aquila doubles loan; WLFC declares dividend; MUFG funds Viva Aerobus; KBRA affirms DAE ABS ratings; Air France finances A350-900; Flydubai secures JOL financing; Moody’s upgrades IAG rating; AviaAM delivers B737-800 to KlasJet; Air Europa accelerates repayment; Air Arabia turns to lessors; Lessor repossesses Air Vanuatu jet; S7 Airlines leases A321s; PAL to lease A330s; PIA privatisation plans progress; SAS agreement worth $420m; RR drops Vertical; FAA issues criteria for Archer’s Midnight.

 
In this issue

In this issue

The imbalance between supply and demand of aircraft is reflected in a number of stories in this issue. This includes Avation’s pre-delivery sale of two aircraft from its order book, with the $10 million cash proceeds earmarked for future PDPs, and the increased use of leasing by a number of carriers to bridge the shortfalls between planned capacity, the slippage in OEM deliveries and groundings required for engine inspections.


Airline Economics

More Airbus operators reveal impacts of P&W inspections

Problems with P&W engines, in terms of durability and the need for inspections, continue to create capacity problems for carriers with significant Airbus narrowbody fleets. Both Turkish Airlines and Wizz Air now expect to have between 40 and 50 aircraft grounded this year for inspections of the P&W 1100G geared turbofan jets, while EgyptAir has confirmed that ongoing problems with its P&W 1500G engine was the reason it decided to sell its fleet of 12 Airbus A220-300s last February to US-based lessor Azorra.


Rotary Aircraft

Helicopter market to present opportunities for lessors

Increasing applications suitable for helicopters, such as supporting offshore wind turbine operators, is helping to drive increased demand for new rotary aircraft. The Business Research Company predicts the market will show compound growth of over 4% over the next four years, while IBA expects that the share of the global helicopter fleet owned by lessors will increase from around 10% to 15% over the next six years.


Aviation Economics

A320neo order supports Saudi Arabia’s aviation goals

An order for more than 100 new A320 aircraft by Saudia Group and MoUs with Embraer and Eve were three significant events announced at the recent Future Aviation Forum in Riyadh. They all reflect the Kingdom’s Saudi Vision 2030 to become a world leading aviation hub in the future post-hydrocarbon age.


Leasing Business

Avation sells two new ATR 72-600 for $10m

In a move that clearly demonstrates the strength of demand for new aircraft and its effect on valuations, Avation has entered into a sale agreement with an airline client for its next two new ATR 72-600 deliveries from the manufacturer.