Air Lease Corporation Extends $7.2 Billion Senior Unsecured Revolving Credit Facility

Air Lease Corporation amended and extended its senior unsecured revolving credit facility with JPMorgan Chase Bank, N.A., as administrative agent whereby the company extended the final maturity date of the facility from May 5, 2026 to May 5, 2027 and amended the total revolving commitments to approximately $7.2 billion across 49 financial institutions as of May 5, 2023.  The senior unsecured revolving credit facility accrues interest at adjusted term SOFR plus a margin of 1.05% per year with a 0.20% facility fee, each subject to adjustments based on the company’s credit ratings.  

“We are pleased to announce the extension of our senior unsecured revolving credit facility by one year to 2027, and we’d like to thank our bank partners for their continued support” said Gregory B. Willis, Executive Vice President and Chief Financial Officer of Air Lease Corporation.  “The ongoing success of this facility reflects ALC’s strong investment grade credit metrics and platform, and it remains a key component of our cost-efficient funding strategy.”

Air Lease Corporation is a leading global 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 new commercial aircraft and leasing them to its airline customers worldwide through customized aircraft leasing and financing solutions. 

Air Lease Corporation latest results.

Air Lease Corporation has announced an update on aircraft investments, sales, and significant financing activities occurring in the first quarter of 2023.

As of March 31, 2023, ALC’s fleet was comprised of 437 owned aircraft and 86 managed aircraft, with 376 new aircraft on order from Boeing and Airbus set to deliver through 2029.  

Aircraft Investments

Delivered 22 new aircraft from ALC’s order book including six Airbus A321neos, two Airbus A330-900neos, one Airbus A350-900, five Boeing 737-8s, and eight Boeing 737-9s.

Aircraft investments in the quarter totalled approximately $1.4 billion.

Sales

Sold two aircraft to third-party buyers.

Financing

Issued $700 million of 5.30% senior unsecured medium-term notes due 2028.

Completed inaugural US$600 million sukuk offering, consisting of 5.85% trust certificates due 2028.

ALC is a leading global 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 new commercial aircraft and leasing them to its airline customers worldwide through customized aircraft leasing and financing solutions. 

Air Lease Corporation Announces Fourth Quarter & Fiscal Year 2022 Results

Air Lease Corporation has released its financial results for the three months and year ended December 31, 2022.

“Aircraft demand is bolstering lease rates, accelerating our orderbook placements, and intensifying lease extension requests. Airline industry recovery with constrained balance sheets, drive for environmental sustainability, and lack of available delivery slots from the OEMs continues to favor ALC’s business model of providing new aircraft from our orderbook,” said John L. Plueger, Chief Executive Officer and President.

“High quality commercial aircraft are increasingly in limited supply given strong airline need for capacity – exacerbated by ongoing delivery delays at both Boeing and Airbus, which we do not see abating. We expect to see continued growth and strength in global air traffic and airline yields in 2023, offering a counterbalance to global macroeconomic cross-currents,” said Steven F. Udvar-Házy, Executive Chairman of the Board.

Air lease Corp says Air India is set to order around 500 aircraft....

Steven Udvar-Hazy, executive chairman of AirLease Corporation has said that Air India is set to order around 500 planes as an airline industry recovery takes hold following the coronavirus pandemic. 

"As a result of this recovery, there is now more momentum for large orders from airlines who have sort of sat back and watched the movie, and now they're seeing there's going to be a positive trend,"   Udvar-Hazy told the Airline Economics conference.

"We have this 500-aircraft order coming out of India, which is going to be about 400 narrow-body aircraft, probably a mix of Airbus A320neos, A321neos and Boeing 737 MAXs, and 100 wide-bodies which will include Boeing 787s, 777X, potentially some 777 freighters and Airbus A350s."

"We do expect a number of airlines will place large orders and again most of these orders will be for replacement," Udvar-Hazy said.

ALC's latest performance

                          Air Lease Corporation has announced an update on aircraft investments, sales, and significant financing activities occurring in the fourth quarter of 2022.

As of December 31, 2022, ALC’s fleet was comprised of 417 owned aircraft and 85 managed aircraft, with 398 new aircraft on order from Boeing and Airbus set to deliver through 2028.  

Aircraft Investments

Delivered 16 new aircraft from ALC’s order book including two Airbus A220-300s, five A321neos, two Airbus A330-900neos, three Boeing 737-8s, three Boeing 737-9s, and one Boeing 787-9. 

Aircraft investments in the quarter totaled approximately $1 billion.

Recovered one Boeing 737-8 aircraft previously detained in Russia.

Sales 

Sold five aircraft to third-party buyers.

Financing

Issued $700 million of 5.85% senior unsecured medium-term notes due 2027.

Closed a $400 million unsecured term loan facility with final maturity in 2027.

Air Lease Corporation is a leading global 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 new commercial aircraft and leasing them to its airline customers worldwide through customized aircraft leasing and financing solutions.

Three new Boeing 787-9 aircraft for Air Astana

Three new Boeing 787-9 aircraft on lease from Air Lease Corporation for Air Astana

                      Air Lease Corporation has agreed on the long-term lease placements on three new Boeing 787-9 aircraft with Air Astana, the national carrier of Kazakhstan.  

The leasing giant has said these aircraft are scheduled to deliver to Air Astana beginning in early 2025 through spring 2026 from its existing order book with Boeing. 

“We are pleased to announce this lease placement for three new Boeing 787-9 aircraft with Air Astana today,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation.  “These three ALC Dreamliner aircraft will greatly enhance Air Astana’s long-range capabilities and passenger comfort as the airline expands international routes from Kazakhstan.”

“ALC is honoured to announce this lease placement with the longtime customer, Air Astana, and be a part of the airline’s fleet modernization program by adding three highly efficient new Boeing 787-9 aircraft to Air Astana’s fleet,” added Alex Khatibi, Executive Vice President of Air Lease Corporation. 

“The Boeing 787-9 is an important aircraft to Air Astana’s fleet modernization as we expand our routes and focus on passenger experience,” said Peter Foster, President and Chief Executive Officer of Air Astana.  “The Dreamliner offers fuel efficiency and range flexibility that will greatly add to our current fleet operations.”

Air Lease Corporation Announces Third Quarter 2022 Results

Global passenger traffic, along with airline revenue trends and yields, remains on a solid recovery path with little sign of abatement despite global economic and geopolitical factors is how Air Lease Corporation's boss John L. Plueger opened his statement on the firm's latest results.  

“Our strong balance sheet, young fleet, and attractive order book are once again proving to be the right combination in today’s world for our airline customers. Reflecting this confidence, I am pleased to announce that our Board of Directors has authorized an increase in our quarterly common stock dividend to $0.20 per share, representing the 10th increase and 40th consecutive dividend payment since the founding of ALC,” said Steven F. Udvar-Házy, Executive Chairman of the Board.

Highlights

Took delivery of 14 aircraft from our new order pipeline, representing $843 million in aircraft investments, ending the period with over $28 billion in total assets.

As of September 30, 2022, we had 405 aircraft in our owned fleet, with a net book value of $23.9 billion, a weighted average age of 4.5 years and a weighted average lease term remaining of 7.0 years.

Placed 99% of our contracted orderbook positions on long-term leases for aircraft delivering through the end of 2023 and have placed 58% of our entire orderbook.

Ended the quarter with $30.9 billion in committed minimum future rental payments consisting of $15.1 billion in contracted minimum rental payments on the aircraft in our existing fleet and $15.8 billion in minimum future rental payments related to aircraft on order.

Increased our quarterly cash dividend by approximately 8.1%, from $0.185 per share to $0.20 per share of our outstanding Class A common stock. The next quarterly dividend of $0.20 per share will be paid on January 10, 2023 to holders of record of our common stock as of December 16, 2022.

Third Quarter 2022 Results

The following table summarizes our operating results for the three and nine months ended September 30, 2022 and 2021 (in millions, except per share amounts and percentages):

Three New Boeing 737 MAX jets for Aeroitalia

Today Air Lease Corporation confirmed it had completed a deal to lease three new Boeing 737- MAX jets to Aeroitalia.  These three new Boeing aircraft are scheduled to deliver to the Italian airline from ALC’s order book with Boeing beginning in 2023 through 2024.

“We are very pleased to announce this placement of three new Boeing 737-8 aircraft with Aeroitalia,” said Steven F. Udvar–Házy, Executive Chairman of Air Lease Corporation.  “The capabilities of the Boeing 737-8 will greatly enhance Aeroitalia’s operational efficiency and expanding fleet with the most modern, fuel-efficient aircraft.”

“With this placement, Aeroitalia’s team of seasoned airline industry veterans are prudently growing their fleet and operations to meet the needs of the airline’s steadily growing business,” said AJ Abedin, Vice President of Marketing at Air Lease Corporation.

Gaetano Intrieri, Chief Executive Officer of Aeroitalia, added: “With this lease agreement, we strengthen our business relations with ALC.  We consider this deal a very important step for Aeroitalia in its plan for sustainable green growth and to support the Italian market.  Our team is very proud of the support and trust we have received from ALC, one of the most important worldwide lessors.  Let me give a special thanks to Mr Hazy for believing in our project.”

a 10th Airbus A320-200 for Allegiant from Air Lease Corp.

Air Lease Corporation has confirmed the delivery of a tenth Airbus A320-200 aircraft to the U.S. budget carrier Allegiant this week.  The jet was formerly on lease to Alaska Airlines and is the tenth of ten used Alaska A320s the firm has delivered to Allegiant Air. 

“ALC is pleased to announce this tenth A320 delivery to Allegiant,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation. “These ten young A320s are providing valuable service to Allegiant’s growing fleet with advanced technology and fuel efficiency.”

To replace Alaska’s A320 fleet, ALC and Alaska signed long-term lease agreements for 14 new Boeing 737- MAX 9 aircraft of which 11 have already been delivered. The remaining aircraft are scheduled to deliver through the end of 2022 from ALC’s order book with Boeing.

Air Lease Corporation Announces Lease Placement of Five New Airbus A321-200 XLR Aircraft with LATAM Airlines

Air Lease Corporation Announces Lease Placement of 

Five New Airbus A321-200 XLR Aircraft with LATAM Airlines

Air Lease Corporation announced long-term lease placements for five new long-range Airbus A321-200 XLR aircraft with LATAM Airlines.  The aircraft are scheduled to deliver to LATAM starting in fall 2025 through 2026 from ALC’s order book with Airbus.

“We are pleased to announce this lease placement for five new long-range Airbus A321-200 XLRs with our airline customer based in Chile, LATAM Airlines, and be the first to introduce the XLR to the airline,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation.  “As the largest South American carrier, LATAM is continuing its fleet modernization program adding the most advanced technology aircraft to enhance efficiency and passenger experience. These five new ALC A321XLR jets will optimize and grow the airline’s expanding international route network.” 

LATAM is Latin America’s leading airline group, with presence in five domestic markets in South America: Brazil, Chile, Colombia, Ecuador and Peru, along with international operations within Latin America and to Europe, US and the Caribbean.  The group operates a fleet including Boeing 787, Airbus A350, A321, A320neo and A319 aircraft, the most modern models of their kind.  

Air Lease Corporation is a leading global 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 new commercial aircraft and leasing them to its airline customers worldwide through customized aircraft leasing and financing solutions. 

Air Lease Corporation Activity Update for the Third Quarter of 2022

Air Lease Corporation Activity Update for the Third Quarter of 2022

Today Air Lease Corporation announced an update on aircraft investments and sales activity occurring in the third quarter of 2022.

As of September 30, 2022, ALC’s fleet was comprised of 405 owned aircraft and 87 managed aircraft, with 412 new aircraft on order from Boeing and Airbus set to deliver through 2028.  

Aircraft Investments

Delivered 14 new aircraft from ALC’s order book including two Airbus A220-300s, three A321neos, three Airbus A330-900neos, five Boeing 737-8s, and one Boeing 737-9 

Aircraft investments in the quarter totalled approximately $840 million

Sales 

Sold one aircraft to a third-party buyer

LOT Polish Airlines signs lease deal for 6 Boeing 737 MAX 8 aircraft.

LOT to take 6 unwanted 737 MAX 8 on lease  Photo Boeing

This week the aircraft leasing giant Air Lease Corporation confirmed it had agreed on a deal to lease 6 Boeing 737 MAX 8 jets to LOT Polish Airlines. 

This deal will see all the planes delivered to LOT this month, October 2022 and will add to the five Boeing 737-8 and one Dreamliner aircraft currently on lease to the Polish airline from ALC.

“We are honoured and pleased to expand our long relationship with LOT by leasing the airline six modern 737- [MAX] 8 jet aircraft, in addition to the six aeroplanes currently on lease, doubling the size of the ALC-owned portfolio to 12 aircraft at LOT.  ALC has played an important role in the recent fleet modernization program of LOT since late 2017 and these six additional aircraft will support LOT’s network and development strategy,” said Steven F. Udvar-Házy, Executive Chairman of Air Lease Corporation.

“LOT is in the process of selecting a new fleet in the regional and narrow-body segment.  Until a supplier is selected, we are planning to source aircraft as a bridging solution - the first Embraer 175 and 190 have already joined LOT Polish Airlines' fleet and will soon be followed by the Boeing 737- [MAX] 8.  I am very pleased to see these reliable and economical aircraft completing our single-aisle fleet,” said Maciej Wilk, Chief Operating Officer of LOT Polish Airlines.

Book LOT Polish Airlines flights here.

LOT Polish Airlines was founded in 1928 and is based in Warsaw using Chopin Airport as its main hub. It also flies from Tallinn, Krakow and Budapest, and with over 90 destinations covered in mainly Europe and the Middle East it also has many long-haul flights to North America and Asia.

HiSky to lease two new Airbus aircraft from Air Lease Corporation

Air Lease Corporation confirmed the long-term lease placements for two new Airbus A321neo LR aircraft with HiSky.  Scheduled to deliver to the European carrier in March 2023 from ALC’s order book with Airbus, these two new A321neo LRs join one Airbus A319 and four A320s currently on lease to the airline from ALC and its managed vehicles, Blackbird I and II. 

“ALC is pleased to announce this placement with HiSky for two new A321neo LRs,” said David Beker, Senior Vice President of Air Lease Corporation.  “HiSky launched in 2020 with used A320 family aircraft exclusively provided by ALC and they have grown their business consistently since then.  The airline is now ready to take the next step in their growth plans and we are happy to support this expansion with two brand-new A321neo LRs."

“The addition of these two new A321neo LR aircraft is the right ingredient to sustain our growth strategy in 2023,” said Iulian Scorpan CEO of HiSky.  “We are grateful to ALC for the opportunity to operate the industry’s most modern aircraft offering top performance, range, and fuel efficiency.  Starting in April 2023, HiSky passengers will benefit from several long-range nonstop flight solutions to be announced this autumn.”

Photo HiSky

HiSky is a company with one hundred per cent private capital that arose from the sincere desire to become an attractive alternative in the local and regional markets. It is a carrier that operates flights from Cluj, Iasi and Chisinau to some of the most important destinations in Europe. It is an airline that has adopted a low-cost business model, with a range of offers and add-ons for a fee.

Photo HiSky

Air Lease Corporation to lease four Airbus A321XLR aircraft to Air Transat

An Air Transat A321LR    Photo Airbus

This week Air Lease Corporation announced it will supply four new Airbus A321XLR aircraft to the Canadian airline Air Transat.  Three new aircraft are confirmed to deliver to the airline starting at the end of 2025 through 2026 from ALC’s order book with Airbus. The agreement also includes an option for one additional A321XLR aircraft to be delivered in 2027.  

“ALC is pleased to announce this lease placement for four new A321XLRs with Air Transat and be the first to introduce the XLR to the Canadian airline,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation.  “The A321XLR will bring new levels of comfort and excellent service to Air Transat’s passengers, while providing significant enhancements to the airline’s operational efficiency.” 

"Air Transat's new leasing agreement with our long-trusted partner ALC represents another key milestone in the renewal and simplification of our fleet undertaken since 2017.  Along with A321LRs, XLRs figure as a cornerstone of Transat's 2022-2026 strategic plan.  These aircraft can improve the quality of our transatlantic program by increasing the number of frequencies per week with the same capacity, representing a more attractive offer for our customers.  Adding these three new XLRs to our fleet - with a fourth optional one - will allow us greater operational flexibility as this type of aircraft is very well suited to our needs across our programs annually," stated Annick Guérard, President and Chief Executive Officer of Transat.

An Air Transat A321LR    Photo Airbus

19 new Airbus aircraft for Germany's Condor.....

One of the global leading aircraft leasing and management companies, Air Lease Corporation, has confirmed the placements of 19 new Airbus aircraft with the German leisure and holiday airline Condor on a long lease basis.

This deal includes 17 Airbus A321neos and 2 Airbus A320neos, with the new aircraft scheduled to start arriving with the airline in early 2024 and continue through until mid-2027.  ALC currently leases five aircraft to Condor, including three A321s and two A320s and the new planes are all from ALC’s existing order book with manufacturer Airbus. 

“We are looking forward to continuing our partnership with ALC in the future. We are thankful for this collaboration as it supports Condor in reaching its next milestones,” says Ralf Teckentrup, CEO of Condor. “With the replacement of our entire long-haul fleet, it‘s the obvious next step for us to modernize our short/medium-haul fleet as well. We consistently focus on modern technology, maximum efficiency and the highest customer comfort and as a result, will have one of the greenest fleets in Europe.”

Steven Udvar-Házy, Executive Chairman of Air Lease Corporation said:  “This significant lease placement for 19 Airbus new generation aircraft continues ALC’s excellent relationship with Condor, one of our key German airline customers. -  The A321neo and A320neo are fundamental to Condor’s fleet operations and to maintain the airline’s highly competitive position in the European market.”

Air Lease Crop latest results

Aircraft leasing giant, Air Lease Corporation has just released its financial results for the three and six months ended June 30, 2022. During the period, ALC took delivery of 21 aircraft from our new order pipeline and one new incremental aircraft, representing approximately $1.4 billion in aircraft investments.

As of June 30, 2022, the group had 392 aircraft in its owned fleet, with a net book value of $23.5 billion, a weighted average age of 4.4 years and a weighted average lease term remaining of 7.1 years.

Steven F. Udvar-Házy, Executive Chairman of the Board, said: “Passenger traffic growth remains on a very strong recovery trajectory, with international volume gaining meaningful momentum so far in 2022 – accordingly, lease placements from our order book are stretching further out into the future. Lease rates are strengthening, reflective of diminishing aircraft supply, increasing interest rates, and higher aircraft values,”

John L. Plueger, Chief Executive Officer and President commented:  "We had a good second quarter with higher-than-expected aircraft deliveries and strong aircraft placements. Aircraft shortages and concerns about future new aircraft delivery delays are causing many airlines to secure lease extensions on existing aircraft, as pandemic recovery is well underway with airlines struggling to meet significant passenger demand,” 

Second Quarter 2022 Results

The following table summarizes our operating results for the three and six months ended June 30, 2022 and 2021 (in millions, except per share amounts and percentages):

Two new Airbus A321neo aircraft for Qanot Sharq Airlines of Uzbekistan

Air Lease Corporation leases two new Airbus A321neo jets to Qanot Sharq Airlines

Aircraft leasing giant Air Lease Corporation has placed two new Airbus A321neo aircraft on a long-term lease basis with Uzbekistan's Qanot Sharq Airlines, the first privately-owned airline in the country.

Qanot Sharq is led by a team of highly accomplished airline industry professionals and operates as a scheduled carrier, performing services from multiple regional airports in Uzbekistan, providing regular and charter air service to international destinations such as Istanbul, Ankara, Dubai, Jeddah, Medina, Almaty and other Central Asian countries.

 

“We are very pleased with this placement of two new A321neo aircraft with Qanot Sharq Airlines. Thanks to positive economic reforms intended to encourage private sector growth, the Uzbek economy and middle class have been expanding and Qanot Sharq is successfully servicing the increased travel needs of this growing economy,” said AJ Abedin, Vice President of Air Lease Corporation.  "With the addition of these two new state-of-the-art A321neos equipped with long-range fuel tanks for expanded flight mission capabilities, Qanot Sharq and its passengers will benefit from new destinations, operational efficiencies and a premium travel experience.”

Air Lease Corporation Selects Pratt & Whitney GTF™ Engines to Power Up to 166 Airbus Aircraft

Pratt & Whitney announced this week that leading aircraft leasing company Air Lease Corporation (ALC) has selected GTF engines to power 80 firm A320neo family aircraft, as well as 76 firm and 10 option GTF-powered A220 aircraft. This brings ALC’s total to date to 222 firm and 10 option GTF-powered aircraft.

“ALC is continuing to foster our fleet’s growth in 2022 and beyond,” said John Plueger, chief executive officer at ALC. “We are pleased to add more GTF-powered aircraft to our fleet, which offer our customers world-class operating economics and dependability.”

ALC owns, manages and has on order more than 275 aircraft powered by Pratt & Whitney, including Airbus A220 and A320neo families with GTF engines, Airbus A320ceo family with V2500® engines and Airbus A330 family aircraft with PW4000 engines. ALC serves over 110 customers in approximately 70 countries with dynamic fleet solutions. 

“Pratt & Whitney and ALC have a long, collaborative history,” said Rick Deurloo, president, commercial engines and chief commercial officer at Pratt & Whitney. “With increasing fuel and commodity prices and growing concerns about climate change, the GTF leads the pack on fuel efficiency, emissions and noise. These GTF-powered aircraft will help ALC’s customers lower their operating costs and environmental footprint, and we look forward to working with them for years to come.”

Six new Airbus A220-300 aircraft for TAAG Angola Airlines

Today one of the leading aircraft leasing firms,  Air Lease Corporation confirmed a deal for six new Airbus A220-300 aircraft leased long-term to TAAG Angola Airlines. These planes will come from ALC's existing order book with Airbus and are scheduled to arrive between 2023 and the end of 2024 

“ALC is pleased to announce this significant lease placement for six new Airbus A220s with TAAG and be the first to introduce Airbus aircraft to the airline,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation.  “The capabilities of the A220-300 will greatly enhance TAAG’s operational efficiency and expanding route network with the most modern, fuel-efficient aircraft.”

“The A220-300 with its fuel efficiency, range and improved operating economics will progressively replace TAAG’s Boeing 737-700 fleet and allow the airline to optimize and broaden its flight schedule coverage and destinations from Luanda,” said Kishore Korde, Executive Vice President of Air Lease Corporation.

“Today we start our relationship with ALC incorporating six new Airbus A-220-300 into our fleet.  It’s indeed a significant announcement for us as we are celebrating a new era and a new vision for TAAG.  We are alive, back in business, breaching with the past to achieve greater results and becoming a reference for Africa. This partnership emphasizes our commitment to grow and further improving our credibility among international stakeholders while creating a new value proposition for our passengers,” said Eduardo Fairen, CEO of TAAG. 

Business slows for Air Lease during second quarter.

One of the major leasing firms has seen a slowing down of business during the second quarter of this year, in which no aircraft sales were recorded. 

The company delivered 21 new aircraft from its own order book including two Airbus A320neos, five Airbus A321neos, one Airbus A330-900neo, two Airbus A350s, nine Boeing 737 MAX jets.

ALC only purchased one new incremental Airbus A321neo, which was concurrently leased to an ALC customer the firm advised in its latest statement. 

ALC is based in Los Angeles, California and 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.