DAE ends first-quarter 2020 with available liquidity of US$2.8 billion

Dubai Aerospace Enterprise (DAE) has ended the first-quarter 2020 with available liquidity of approximately US$2.8 billion. DAE’s owned, managed and mandated-to-manage fleet exceeded 400 aircraft. During the first quarter, DAE sold or novated 15 aircraft, acquired four aircraft and transitioned or extended leases on eight aircraft. Firoz Tarapore, DAE’s CEO said, “In these unprecedented times, DAE has positioned itself to operate calmly and to balance the needs of all our important constituents – employees, customers, bondholders and banks, and shareholders.

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TUI Group receives KfW bridging loan of €1.8 billion

TUIfly ©AirTeamImages

TUI AG has received the approval of the German government for a bridging loan of €1.8 billion from the KfW. The funds from Germany’s state-owned development bank are to be used to increase TUI’s existing credit line with its banks amounting to €1.75 billion (Revolving Credit Facility). The KfW bridging loan is subject to the approval of the banks. Talks on this have already started and will be continued. One of the conditions of the KfW bridging loan is that TUI waives dividend payments for the duration of the bridge loan. This would give TUI access to financial resources and Read more

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Avia Solutions Group finalizes acquisition of Bluebird Nordic

Steinn Logi Björnsson Managing Director of Bluebird Noridc

On January 24, 2020, Avia Solutions Group signed an agreement with BB Holding EHF for the full acquisition of Bluebird Nordic, which entails a 100% stake ownership of the company’s shareholdings. On March, 31, 2020, following the completion of all prerequisites and receipt of relevant clearances from competition authorities, the transaction was finalized. Bluebird Nordic uses a fleet of six aircraft and operates scheduled as well as charter flights under its brand. The airline also offers cargo export and import services from and to Iceland, serving more than 100 locations worldwide. “We are happy that Bluebird is now a member Read more

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AeroCentury reports fourth- quarter 2019 and fiscal year 2019 results

AeroCentury, an independent aircraft leasing company, has reported a fourth-quarter 2019 net loss of US$7.0 million, compared to a net loss of US$3.8 million for the fourth quarter of 2018.  Net loss for the year ended December 31, 2019 was US$16.7 million, as compared to a net loss of US$8.1 million in 2018.  The results for the fourth quarter of 2018 and subsequent periods reflect the combined operations of AeroCentury and its subsidiary, JetFleet Holding, which was acquired by the company on October 1, 2018.The termination of the leases for, and repossession of, four aircraft from one of the company’s Read more

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Lufthansa agrees on short-time work

©Lufthansa's parked aircraft

Lufthansa has signed agreements with its works council and trade unions to introduce short-time working for cabin and ground staff in Frankfurt and Munich. This also applies to the management. An agreement with the pilots union “Vereinigung Cockpit” has not yet been reached.  The extent of reduced working hours is determined for employees depending on the loss of work and can be up to 100%. For some of the employees, reduced working hours began retrospectively in March 2020. The agreements apply to at least 27,000 employees of the approximately 35,000 employees of Deutsche Lufthansa AG. Based on the current agreements, Read more

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British Airways extends Revolving Credit Facility

International Airlines Group (IAG) has released that British Airways has extended its US dollar secured Revolving Credit Facility for one year from June 23, 2020 to June 23, 2021. The amount available under the extended facility is US$1.38 billion. Including the extended facility and some smaller additional facilities recently arranged, IAG has total undrawn general and committed aircraft financing facilities equivalent to €2.1 billion currently, compared to €1.9 billion at the end of 2019. IAG has not drawn down on any of its facilities. IAG continues to have strong liquidity with cash, cash equivalents and interest-bearing deposits of €7.2 billion Read more

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Singapore Airlines rescued with US$13 billion funding package

©Singapore Airlines

The future of Singapore Airlines (SIA) amidst the COVID-19 outbreak looks assured with a successful rescue package being put in place, headed by state investor Temasek Holdings, amounting to SG$19 billion. The figure represents the largest aid package to date for any airline struggling with the dramatic decrease in air travel. The package comprises SG$5.3 billion in equity and up to SG$9.7 billion in convertible note portions, all of which will be underwritten by Temasek, which owns a 55% stake in SIA. According to Reuters news agency, SIA has also secured a SG$4.0 billion bridging loan from Singapore’s biggest lender, Read more

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HAECO acquires Jet Engine Solutions

Hong Kong Aircraft Engineering Company (HAECO Group) has acquired Jet Engine Solutions, (JES), an engine MRO based in Dallas, Texas, U.S. JES specializes in quick-turn repairs and lease-returns for commercial aircraft engines. The acquisition of JES forms part of HAECO’s strategy to grow its Global Engine Support business. This includes the opening of a new GES location near Amsterdam. This facility is EASA Part 145-approved and located 20 minutes by road from Schiphol Airport, the Netherlands. The HAECO Global Engine Support facilities are located in the U.S., Europe and at HAECO’s headquarters in Hong Kong.

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FACC scraps dividend and reassess Croatia plans

FACC, owned by China’s Aviation Industry Corporation, is rapidly reassessing its €33 million (US$36 million) project to build an automated, digitized production complex in Croatia. In addition, the company has opted not to pay a dividend for last year. The situation has come about through the aviation industry’s reaction to the COVID-19 outbreak and, as a result, the company will also be reducing the working hours of many of its employees from April 6 for the next three months.  FACC is responsible for the manufacture of plane parts, predominantly wings, tail assemblies and fuselages as well as engines and cabin Read more

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Triumph Group provides update on steps to mitigate COVID-19 impact

Triumph Group has provided an update on the current impact of the coronavirus (COVID-19) on the business and the steps the company is taking to mitigate it. The company is expanding its actions to limit the spread of COVID-19 consistent with U.S. and international government safeguards.  Although the situation remains fluid, all factories remain operational.  Triumph is complying with all mandates for closure of non-essential operations. Triumph will adjust its plans as government decisions and company policies evolve. Given Boeing’s plans to close their Washington state factories for 14 days, Triumph will evaluate the need to furlough employees at a Read more

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