Dubai Aerospace Enterprise (DAE) has released the following updates on business activity, liquidity and customer deferral requests:
DAE’s owned, managed and mandated-to-manage fleet stayed stable at 400+ aircraft. During the first half of 2020, DAE sold or novated 17 aircraft, acquired five aircraft, transitioned or extended leases on 23 aircraft, and negotiated 41 lease extensions subject to documentation. Since the onset of the COVID-19 pandemic, DAE has transitioned 11 aircraft with 18 ferry flights to and from nine countries. Portfolio lease utilization remained high and is above 99%. The managed aircraft portfolio grew to 73 aircraft.
DAE ended the first half of 2020 with total available liquidity of US$2.8 billion which comprised of approximately US$600 million of unrestricted cash and US$2.2 billion of long-term committed available lines of credit. The company repurchased US$187 million of its own bonds in the first-half 2020. Over the next 12 months, DAE has only one bond maturity of US$430 million in August 2020.
DAE continues to receive rent deferral requests; to date the company has granted 29 rent deferral requests totaling aggregate rent of approximately 12% of annual reported revenue. The company is currently evaluating an additional 28 rent deferral requests totaling aggregate rent of approximately 6% of annual reported revenue and expects to provide additional assistance to its clients and also expects arrears to climb as clients continue to refine their operating models.