ALAFCO and Wataniya negotiating outstanding lease deal
Kuwait's Aviation Lease & Finance Co (ALAFCO) is reportedly close to scaling back its financial demands on the defunct Wataniya Airways, owned by Kuwait National Airlines Co. The carrier terminated operations in Mar-2011, but in Apr-2011 ALAFCO demanded USD70 million from the airline for their remaining A320 leasing deal.
ALAFCO and Wataniya are in the final phase of negotiations for the leasing company to scale back its demands. Negotiations are expected to be completed within 10 days. Wataniya shareholders will decide on a capital raising to put the carrier back into operation, conditional on an agreement with ALAFCO.
- Alitalia: ALC is leasing 10 new aircraft to Alitalia, consisting of five E175s and five E190LRs under 12-year leases;
- SriLankan Airlines: ALC and SriLankan have entered into lease agreements for three new A320-200s, one delivered in May-2011 and the remaining two for Oct-2011 and Nov-2011 on 12-year leases;
- S7 Airlines: Leasing three new A320-200s for eight years, for delivery in Jan-2012, Feb-2012 and May-2012;
- Kenya Airways: eight-year leases for three new E190ARs scheduled for delivery in Aug-2011, Sep-2011 and May-2012;
- Spring Airlines: ALC acquired one A320-200 on lease to Spring.
Selected Lessors daily share price movements (% change): 3-Jun-2011