Aircraft Finance & Leasing News - North America.


New York (AirGuideBusiness - Aircraft Finance & Leasing News North America) Nov 27, 2011

Aeroflot, Airbus, Sukhoi, Rostechnology, Boeing Aeroflot to modernize subsidiariesO fleet with A320s, SSJ100s. Aeroflot plans to modernize the fleet of its subsidiaries with Airbus A320s and Russian regional aircraft Sukhoi Superjet 100s, SU CEO Vitaly Savelyev said. OAeroflot now prefers A320s and in [the] future these aircraft will partly renovate the fleet of our subsidiaries. These aircraft will serve international flights primarily,O said Savelyev, adding that the company is considering using SSJ100s in the Far East. Aeroflot has 30 SSJ100s on order, to be used on its domestic routes. This week the carrier received its third aircraft. In 2010, the Russian government decided the largest Russian carrier would get six airlines belonging to Russian state corporation Rostechnology, in a deal valued at RUB 2.5 billion (USD81 million). Four airlines are based in the European part of Russia: Rossiya Airlines (FV), OrenAir (R2), Saratov Airlines (6W) and Mineralnye vody-based KMV (KV), which ceased operations this summer to become part of Donavia. The other two are Far East-based carriersNVladivostok-Avia (XF) and SAT Airlines (HZ) in Yuzhno-Sakhalinsk. Last year, Rostechnology finalized an order with Boeing for 50 737NGs with purchase rights for an additional 35 aircraft, in a deal valued at USD3.7 billion, to be leased to SU. Aeroflot subsidiaries use different aircraft types. FV operates A320s and 737s but is planning to remove its 737s soon, while R2 operates 737s. XF operates A320s, A330s and Tupolev Tu-204-300.

Nov 14, 2011

Air Lease Air Lease Corporation Announces Pricing of USD200 Million of Convertible Senior Notes Due 2018. Air Lease Corporation today announced the pricing of its offering of USD200 million aggregate principal amount of 3.875% convertible senior notes due 2018 in an offering exempt from registration under the Securities Act of 1933, as amended (the OSecurities ActO). The Notes are being sold only to qualified institutional buyers in reliance upon Rule 144A under the Securities Act. The initial sale of the Notes is expected to close on November 21, 2011, subject to satisfaction of customary closing conditions. The Notes will be senior unsecured obligations of the Company and will bear interest at a rate of 3.875% per annum, payable semi-annually in arrears on June 1 and December 1 of each year, commencing on June 1, 2012. The Notes are convertible at the option of the holder into shares of the CompanyOs Class A common stock. The conversion rate will initially be 33.0836 shares of the CompanyOs Class A common stock (subject to customary adjustments) per USD1,000 principal amount of Notes, equivalent to an initial conversion price of approximately USD30.23 per share of the CompanyOs Class A common stock, which represents a conversion premium of approximately 35% above the closing price on the New York Stock Exchange of the CompanyOs Class A common stock of USD22.39 per share on November 15, 2011. The Notes will mature on December 1, 2018, unless earlier repurchased or converted. The Company will not have the right to redeem the Notes prior to the maturity date. The Company intends to use the proceeds of the offering to fund the acquisition of commercial aircraft and for general corporate purposes. The Notes, and the shares of the CompanyOs Class A common stock issuable upon conversion of the Notes, have not been and will not be registered under the Securities Act or applicable state securities laws and, unless so registered, may not be offered or sold in the United States, except pursuant to an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Notes, or the shares of the CompanyOs Class A common stock issuable upon conversion of the Notes, in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Nov 16, 2011

Airbus, EADS Airbus did announce the sale of A320neos to lessor Aviation Capital Group for USD2.7 billion on Tuesday. ACG Chief Executive Stephen Hannahs said the Pacific Life unit had access to capital because it was investment grade, but that conditions in the market were tough. "The bank market, and the European bank market in particular, which has been a large supporter of the aviation sector, is undergoing a lot of stress right now," he said. "I suspect for the next six months, you're going to see banks in the euro zone sitting on the sidelines -- they won't be active participants until they sort out their capital structure. So there are going to be challenges." Nov 15, 2011

Airbus, EADS An unexpected morale boost to Canada's Bombardier, which has been suffering headwinds in trying to market a new model for 110-130 seats. It announced a provisional deal to sell 10 of the CS300 Series aircraft to Turkey's Atlasjet Havacilik worth USD776 million. Nov 15, 2011

Airbus, EADS, Boeing Airbus, Boeing fly high with orders from Dubai Airshow. Boeing and Airbus proved to be winners at the Dubai Airshow held this week in United Arab Emirates. Boeing received USD18.56 billion in new orders, while Airbus received USD13.71 billion in firm orders. "We're really bullish on the Middle East because the Middle East is bullish on aviation," said Airbus Chief Operating Officer John Leahy. Nov 17, 2011

Airbus, EADS, Boeing Gulf demand lifts Dubai air show. The world's top planemakers issued bullish forecasts for demand from the Middle East on Monday, underlining the region's importance to the industry a day after Boeing unveiled a blockbuster deal to sell 50 of its 777 jetliners to host airline Emirates. The U.S. company predicted that airlines in the Middle East would need 2,520 airplanes worth USD450 billion by 2030, while its European rival Airbus said it saw demand for 1,920 aircraft worth USD347 billion in the same period. "We believe that our customers will have the ability to weather the storm in Europe and the Middle East is booming," Habib Fekih, president of Airbus Middle East, told Reuters. The forecasts and Emirates' USD18 billion order for 50 wide-body Boeing jets boosted the showcase event and pushed talk of global recession to the sidelines -- though analysts said getting aircraft financing was proving an increasing challenge. Qatar Airways was expected to give the final word on possible Boeing and Airbus orders at the show while sources familiar with the matter said Abu Dhabi's Etihad had struck a USD2.5 billion deal for 12 Boeing jets on the show's sidelines. The Gulf's big three are buying wide-body aircraft to serve Asia and the United States and redraw the world's transport and logistics map with the Gulf at the center, thanks to its ability to reach most of the world's population in one long-haul hop. Kuwaiti lessor Alafco placed a USD4.6 billion expanded order for 50 Airbus A320neo passenger jets, adding to the flood of orders. Middle East demand makes up 8 percent of anticipated global aircraft demand over the next 20 years but 11 percent by value. Tinseth said the UAE alone could soak up 1,000 aircraft deliveries in the next 20 years as they access foreign markets. Alafco's chairman Ahmad Al Zabin said he was not greatly concerned about economic turmoil in Europe derailing long-term aircraft demand, especially in the Middle East. "We are talking long term; what is happening now is short term," he told a news conference. The expansion has provoked sharp exchanges between Gulf carriers and European airlines which accuse the region's carriers of expanding on the back of subsidies, something they deny. "The three big Gulf airlines are attacking other people's traffic. They are converting oil wealth into an aviation market position," said aerospace analyst Richard Aboulafia of Virginia-based consultancy Teal Group. Gulf airlines say they simply operate a better service, but geography is also on their side. The Gulf region is reachable from nearly every major city on earth in a single flight given the range of modern jetliners, making it a natural global hub for passengers and cargo. Airline chiefs played down the risk of contagion from Europe's debt crisis, but the head of Boeing's commercial division said it was a "watch item" and Brazil's Embraer trimmed a forecast for business jet deliveries due to the downturn. Still, the sales chief of Airbus warned that European lenders, especially French banks, which have been major financiers for Middle East carriers' deals, have become risk-averse because of the eurozone debt crisis. "We are watching it carefully," John Leahy said at a news conference. "We have done some aircraft financing in euros. Some European banks are having trouble accessing U.S. dollars ... this is more of a short-term thing than anything else." Record sales of the Boeing 777 capped by the Emirates announcement, which was attended by the ruler of Dubai, could force Airbus to do another rework of its future A350, Aboulafia said. Few if any A350 orders are expected at the show, but sales chief John Leahy said he felt under no pressure to drum up new sales for the aircraft, whose development has been delayed. The biennial November 13-17 takes place amid rising international tensions after a United Nations watchdog report expressed concerns over possible military dimensions to Iran's nuclear activities, which Tehran calls entirely peaceful. "On the military side, Iran is always a factor that is the number one security threat to the (Gulf Arab) states," Theodore Karasik, the Director of Research and Development at the Institute for Near East and Gulf Military Analysis, said. No major military deals have been signed at the show but contractors believe security concerns and...

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