AerCap Holdings N.V. Announces Second Quarter 2008 Transactions
11 July 2008 - 9:12PM
PR Newswire (US)
AMSTERDAM, Netherlands, July 11 /PRNewswire-FirstCall/ -- AerCap
Holdings N.V. ("AerCap," "the Company", NYSE: AER) today announced
the completion of the following transactions during the second
quarter 2008: -- Signed five financing transactions, increasing
committed debt funding by $1.9 billion and obtained $62.8 million
of equity from a joint venture partner, -- Signed new lease
agreements for 32 aircraft, -- Delivered six aircraft and 14
engines under lease agreements, -- Purchased 24 aircraft and 14
engines, -- Sold ten aircraft and two engines, -- Disassembled five
engines. AerCap's CEO Klaus Heinemann commented: "During the second
quarter of 2008, we have significantly enhanced both the capital
base of AerCap and its fleet composition through the execution of
almost $2 billion of additional equity and debt funding and the
sale of older or fuel-inefficient aircraft." Lease Activities:
Contracts Signed for 32 Aircraft and 14 Engines - Letters of Intent
Signed for 17 Aircraft New Lease Agreements AerCap signed 32 new
lease agreements for aircraft in the second quarter 2008: -- Three
new Airbus A330s for Hainan Airlines (China), -- Three new Airbus
A320s for Kuwait National Airways (Kuwait), -- One new A319 for
Hemus Air (Bulgaria), -- Three new Airbus A321s for Vietnam
Airlines (Vietnam), -- Nine Boeing B737-800s for Hapagfly/TUI
Travel (Germany), -- One Boeing B737-800 for Jet4You/TUI Travel
(Morocco), -- Six Boeing B757-200s and two B767-300ERs for
Thomsonfly/TUI Travel (United Kingdom), -- One Boeing 737-800 for
TUIFly Nordic/TUI Travel (Sweden), -- Two Boeing 737-500s for
Aeroflot-Nord (Russia), and -- One Boeing 737-400 for Ukraine
International Airlines (Ukraine). Of the lease agreements above, 19
were executed with subsidiaries of TUI Travel in the context of the
acquisition of a 19-aircraft-portfolio from TUI. AerCap added eight
new airlines to its customer base in the second quarter of 2008:
Hainan Airlines, Kuwait National Airways, Ukraine International
Airlines, Vietnam Airlines, and four TUI subsidiaries Hapagfly,
Jet4You, Thomsonfly, TUIFly Nordic. The average term of the ten
lease agreements for new aircraft signed during the second quarter
was 122 months. The average term of the 22 lease agreements for
used aircraft was 57 months. During the second quarter, AerCap also
executed letters of intent (signed and deposit paid by lessee) for
17 aircraft leases with an average lease term of 136 months for new
aircraft (six) and 71 months for used aircraft (11). AerCap also
entered into 14 engine lease agreements in the second quarter and
delivered the engines to the lessees in the same period. Thirteen
were for CFM-56 engines and one for a CF34 engine. Deliveries
AerCap completed six aircraft deliveries in the second quarter
under previously contracted lease agreements: -- One new Airbus
A320 for Nouvelair (Tunisia), -- One new Airbus A320 for TACA
International Airlines (El Salvador), -- One new Airbus A319 for
Hemus Air (Bulgaria), -- One Airbus A321 for Monarch Airlines (UK),
and -- Two Boeing 737-300s for PT Garuda (Indonesia). Purchase
Activities: 24 Aircraft Acquired in the Second Quarter During the
second quarter, AerCap acquired a 19-aircraft-portfolio from TUI
Travel in a joint venture with Deucalion Aviation Funds. This
portfolio contained eleven Next Generation Boeing 737-800s, six
Boeing B757-200s and two B767-300ERs. With the eleven Boeing
737-800s in this newly acquired portfolio, AerCap has expanded its
fleet of Next Generation Boeing 737 aircraft to 18 over the last
two years. In addition, AerCap acquired two new A320s, one new
A319, one Boeing 757-200 and one Boeing 737-300 during the second
quarter 2008. The Boeing 737-300 was resold in the same period.
AerCap also expanded its engine pool with the acquisition of 14
CFM56 engines in the second quarter. In addition to the completed
purchase activities above, AerCap signed letters of intent for the
purchase of three new Boeing 737-800 and one new A320. Sales
Activities: Ten Aircraft Sold in the Second Quarter 2008 AerCap
closed ten aircraft sales transactions in the second quarter 2008
which were all from its owned portfolio: -- One Fokker 100, -- One
DC9, -- One MD83, -- One Boeing 737-300, -- Four Airbus A320s, and
-- Two Airbus A321s. The average age of owned aircraft sold during
the quarter was 15 years. AerCap also sold two CFM56 engines from
its owned engine pool. In addition to the completed sales
activities above, AerCap has signed sales agreements for the
delivery of one owned A330, one managed Fokker 100, and two managed
MD-82. Transaction Overview Second Quarter 2008 Year To Date 2008
Owned Managed Total Owned Managed Total Lease Agreements Aircraft
(Contracts) 29 3 32 49 6 55 Aircraft (LOI's) 14 3 17 28 4 32
Deliveries Aircraft 5 1 6 12 1 13 Engines 14 NA 14 24 NA 24
Purchases Aircraft (Closed) 24 NA 24 43 NA 43 Engines (Closed) 14
NA 14 14 NA 14 Aircraft (LOI's) 4 NA 4 4 NA 4 Sales Aircraft
(Closed) 10 NA 10 18 NA 18 Engines (Closed) 2 NA 2 2 NA 2 Aircraft
(Contract signed, to be delivered) 1 3 4 1 3 4 Engines (LOI's) 1 NA
1 1 NA 1 Portfolio Summary As of June 30, 2008, AerCap's portfolio
consisted of 314 aircraft and 77 engines that were either owned, on
order, under contract or letter of intent, or managed. Key
Agreements The $1.9 billion of financing transactions closed in the
second quarter by AerCap included: -- A $1 billion aircraft
securitization that provides long-term non-recourse funding for 30
new A320 family aircraft, which are part of a 70 aircraft order
placed by AerVenture Limited, AerCap's consolidated joint venture,
in January 2006. -- A $425.7 million facility to finance the
acquisition of a 19-aircraft-portfolio from TUI Travel in a joint
venture with Deucalion Aviation Funds (in addition to the joint
venture equity of $62.8 million). -- A $269.2 million facility to
finance the pre-delivery payments for 37 new A320 family aircraft
under forward order from Airbus as part of AerCap's consolidated
joint venture AerVenture. The funding requirements for all
remaining pre-delivery payments of AerVenture have been met with
this transaction. -- A $100 million engine acquisition facility to
acquire a broad range of spare engines to expand the company's
long-term engine leasing business, based in Shannon, Ireland. -- A
$68.4 million increase of its pre-delivery payment funding facility
relating to A330 aircraft under forward order with Airbus. The
information above includes transactions completed by AerCap and
AeroTurbine, AerCap's subsidiary which focuses on engine leasing
and trading, airframe and engine disassembly, part sales and MRO
services. AerCap Holdings N.V. intends to report its transactions
on a quarterly basis. About AerCap AerCap is an integrated global
aviation company with a leading market position in aircraft and
engine leasing, trading and parts sales. AerCap also provides
aircraft management services and performs aircraft and engine
maintenance, repair and overhaul services and aircraft
disassemblies through its certified repair stations. AerCap is
headquartered in The Netherlands and has offices in Ireland, the
United States, Singapore, China and the United Kingdom. This press
release may contain forward-looking statements that involve risks
and uncertainties. In most cases, you can identify forward-looking
statements by terminology such as "may", "should", "expects",
"plans", "anticipates", "believes", "estimates", "predicts",
"potential" or "continue" or the negative of such terms or similar
terminology. Such forward-looking statements are not guarantees of
future performance and involve significant assumptions, risks and
uncertainties, and actual results may differ materially from those
in the forward-looking statements. For Media: For Investors: Frauke
Oberdieck Peter Wortel Tel. +31 20 655 9616 Tel. +31 20 655 9658
DATASOURCE: AerCap Holdings N.V. CONTACT: Media, Frauke Oberdieck,
+31-20-655-9616, ; or Investors, Peter Wortel, +31-20-655-9658, Web
site: http://www.aercap.com/
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