Etihad Airways in a $367 Million Spare Engine Sale Deal with Sanad and Engine Lease Finance Corporation - Elf
Etihad Airways, the national airline of the United Arab
Emirates, has mandated sale and lease back transactions to the value of
$367 million to Sanad Aero Solutions (Sanad) and Engine Lease Finance
Corporation (ELF), for the financing of its 16 in-service spare engines
and seven future spare engine deliveries.
Sanad will purchase andlease back to Etihad Airways five GE90 and six Rolls Royce Trent 500
engines and ELF will purchase and lease back to Etihad Airways six RollsRoyce Trent 700 and six IAE V2500 engines. Both transactions are for a
10-year operating lease term.
The spare engines are for Etihad Airways’ entire fleet of passenger and cargo aircraft.
JamesHogan, Etihad Airways President and Chief Executive Officer, said:
“These spare engine sales and lease back transactions provide the
airline with a long-term financing solution for its entire spare engine
fleet while mitigating residual value risk and providing competitive
cost of ownership over the long term.
“We are delighted with
the support that we were shown by the market in a very competitive
bidding process, and we are pleased to mandate such strong partners as
Sanad and ELF.”
Troy Lambeth, Sanad Chief Executive Officer, said: “We are
excited to expand our relationship with Etihad Airways through this
transaction. It is another significant milestone in our shared mandate
to establish Abu Dhabi as a global aerospace hub and expands the
foundation for further cooperation and partnership between our
companies.”
Jon Sharp, President and Chief Executive Officer of
ELF, said: “We are particularly pleased to extend our already strong
relationship with Etihad Airways, which continues to set the pace for
airline performance. This transaction is a perfect illustration of how
two innovative companies can work together to mutual advantage.”
Source: Etihad