12-Feb-2016 12:32 PM

Aircastle sells 31 aircraft and acquires 46 in 2015, cuts portfolio age and exposure

Aircastle reported (11-Feb-2016) the following portfolio highlights for 2015:

  • Acquired 46 aircraft for USD1.4 billion, including 14 aircraft for USD384.8 million during 4Q2015. Average age of the aircraft acquired was 5 years and leases had an average remaining term of approximately 8.6 years. Of the 46 aircraft purchased during the year, 43 were narrowbodies;
  • Aircastle has acquired or committed to acquire 10 narrowbody aircraft in 2016 for USD380 million. In addition, during 2015 Aircastle entered into an agreement with Embraer to acquire 25 new technology E-Jet E2 aircraft delivering in 2018 through 2021;
  • Sold 31 aircraft for net proceeds of USD562.5 million, with a record gain on the sale of flight equipment of USD58.0 million. The weighted average age of the aircraft sold during 2015 was 15.5 years;
  • Completed the sale of 11 aircraft in 4Q2015, including two widebody and two freighter aircraft;
  • Portfolio activity reduced freighter exposure to 11 aircraft accounting for 10% of total fleet net book value, representing a "significant reduction in exposure";
  • During1Q2016, Aircastle continued executing sales and expects to sell six narrowbody aircraft to the JV with the Ontario Teachers' Pension Plan, for gross proceeds of more than USD190 million. The aircraft are leased to major customers and the sale will help us manage portfolio concentrations while improving our return on deployed capital. Upon completion, the JV with the Pension Plan will have nearly USD700 million in assets. [more - original PR]

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