Fleet renewal strategy: FLY Leasing sells 33 aircraft

DUBLIN, Ireland – FLY Leasing Limited, a global leader in aircraft leasing, today announced it contracted to sell 33 aircraft from its portfolio for a total of $985 million.

Fleet renewal strategy: FLY Leasing sells 33 aircraft

DUBLIN, Ireland – FLY Leasing Limited, a global leader in aircraft leasing, today announced it contracted to sell 33 aircraft from its portfolio for a total of $985 million. This represents a $35 million pre-tax gain over approximate net book values as of June 30, 2015. The aircraft will transfer to the new owner over the course of 2015 and pro rata gains will be recognized at time of transfer of each aircraft. The sale is subject to customary closing conditions.

Latest eTN Podcast

“The sale is a milestone in our ongoing fleet rejuvenation plan, producing approximately $425 million in unrestricted cash to invest in newer aircraft,” said Colm Barrington, CEO of FLY. “The sale substantially reduces financial leverage, decreases exposure to some of our larger lessees and eliminates legacy accounting issues that have negatively impacted FLY’s GAAP results. Combined with the previously announced 2015 dispositions, the number of aircraft 10+ years of age in FLY’s fleet will decrease from 61 to 33. We believe these factors will help FLY increase return on equity.”

Fill out my online form.
CATEGORIES
Follow on Feedly