Aircraft Finance & Leasing News - Europe

AirGuide Business, July 14, 2008

7/14/2008

Airbus, EADS

Airbus parent EADS' CEO said he is confident his company and U.S. partner Northrop Grumman Corp. will win a disputed $35 billion Pentagon Air Force tanker contract when the bidding process reopens. The Air Force in February selected the Northrop team to replace 179 Eisenhower-era aerial refueling planes. Boeing (nyse: BA - news - people ) filed a protest in March, and last week, Defense Secretary Robert Gates said the Pentagon will reopen the bid. The deal - one of the largest in Pentagon history - is the first of three contracts worth up to $100 billion to replace nearly 600 refueling tankers over the next 30 years. 7/14/2008

Condor, TUIfly, Germanwings

German charter airline Condor has joined months-old merger talks between fellow charter airline TUIfly and budget Lufthansa unit Germanwings after the failure of a deal with Air Berlin, sources familiar with the situation told Reuters on Saturday. 7/14/2008

ILFC, Airbus, Boeing

ILFC announced the following lease agreements: One used 737-800 to Miami Air International for four years; four new A321-200s and two used A330-200s to Vietnam Airlines for 10 and eight years each respectively; three used A330-200s to Gulf Air for eight years each; one new A321-200 to Air France for six years; one used 737-800 to Caribbean Airlines for three years; two new A321-200s to Aegean Airlines for six years each; one new 737-800 to Oman Air for 10 years; two used 737-800s to Orenburg Airlines for five years each; two used A320-200s and three used 767-300ERs to Rossiya for five and seven years each respectively; two used 737-800s to Saga Airlines for seven years each; one new A320-200 to SATA for six years; one new 737-800 to Shanghai Airlines for 10 years; one used 767-300ER to Blue Panorama for five years; two new A320-200s, four used 737-800s and one used 767-300ER to S7 Airlines for six years each; two used 737-800s to Garuda Indonesia for eight years each; two new 737-800s to Korean Air for eight years each. 7/17/2008

MK Airlines, Freight Feeder Aircraft

MK Airlines and Freight Feeder Aircraft Corp. signed a letter of intent for the purchase of 10 FF5000 Freight Feeder Aircraft plus five options, the companies announced in a joint statement. Officials of both Freight Feeder and MK, the UK-based carrier that suspended operations last month but re-launched shortly afterward after securing new funding, plan to meet within the year to complete final negotiations. Purchase order will become finalized upon "first flight" of the FF5000 prototype currently under construction and scheduled for completion next spring. 7/7/2008

Norwegian Air, Boeing

Norwegian Air ended the quarter with 41 aircraft in operation compared to 24 one year earlier. It took delivery of six 737-800s, continued to integrate the former FlyNordic (now Norwegian.se) and settled into its new base at Oslo Rygge. 7/18/2008

Ryanair

Ryanair exercised options for three Boeing 737-800s for delivery in June 2010. 7/8/2008

SAS Scandinavian

SAS Scandinavian said on Wednesday it would ground 15 aircraft in September and October and cut about 900 jobs, giving it a EUR90 million euro (USD$143 million) earnings boost in 2009. SAS, which last month abandoned a plan to sell Spanair, will cancel nine unprofitable routes. SAS Scandinavian Group likely will announce a new cost savings program featuring further "dramatic" cuts as it grapples with high fuel prices and weakening demand, CEO Mats Jansson told Sweden's Dagens Industri. 7/16/2008

Skyworks Leasing, Transamerica Aviation, Airbus, VGS Aircraft Leasing One

Skyworks Leasing arranged the sale of a Transamerica Aviation Airbus A320 to VGS Aircraft Leasing One, a subsidiary of VGS Aircraft Holding (Ireland). Aircraft is on lease to US Airways. It also arranged the sale on behalf of Bank of America of a 767-300 to 767(2), a company affiliated with Ryan International Airlines, and of a former Skybus Airlines A319 acquired earlier this year from Air Canada to a special purpose company affiliated with VTB Leasing, Moscow. After interior modifications, that aircraft will be placed on long-term lease with Rossiya. 7/9/2008

Spanair

Spanair yesterday unveiled a "feasibility plan" designed to negotiate the "economic crisis" and rising fuel prices that will generate an estimated EUR90 million ($143.4 million). It will ground 15 aircraft in September and October, lay off 900 fulltime employees and permanently cancel service from Madrid to Vienna, Munich, Girona, San Sebastian, Granada and Oviedo as well as Barcelona-Zurich, Bilbao-Malaga and Bilbao-Jerez. It still will operate more than 80% of its network, equal to 260 daily flights to 48 destinations. "I am proud to see that in this challenging environment Spanair can lead the process to normalize capacity in the Spanish market," CEO Marcus Hedblom said. SAS Group last month abandoned its effort to divest Spanair. 7/17/2008

Sukhoi Aircraft, AMA Group

Russian planemaker Sukhoi said it had received a USD$600 million order for 20 Superjet 100 planes from an undisclosed customer at the Farnborough Airshow. It also announced an agreement with AMA Group for five Superjet 100 planes, in a deal valued at USD$150 million. 7/15/2008