Hong Kong-based lessor CALC has reported a 5.4% increase in revenue to $45 million for 2019 when it delivered 11 aircraft.
At the end of 2019, CALC had 134 aircraft in its fleet, including 111 owned and 23 managed aircraft with Its self-owned fleet at an average age of 4.6 years and average remaining lease period of 8.2 years. The firm’s aircraft were on lease to 35 airlines in 15 countries and regions.
According to Calc’s results figures it has 218 aircraft in its order book, including 125 Airbus and 93 Boeing aircraft, while the firm delivered two Boeing 787 Dreamliner passenger jets from its order book to an Asian airline customer in December 2019 and January 2020.
CALC sold eight aircraft from its portfolio - seven to third-party investors, and one to ARI – which it said in the statement was part of the firm’s. “asset-light strategy in the future”.
During 2019 CALC completed its first cross-border transaction with China Southern Air Leasing Company with the acquisition of an old aircraft portfolio including three A320 aircraft and one A320 airframe.
In October 2019 CALC’s MRO arm, FL ARI Aircraft Maintenance & Engineering Company, became China’s first accredited disassembler to obtain accreditations for aircraft disassembly from the Civil Aviation Administration of China.
CALC’s results report also said that in In May 2019, it completed a five-year unsecured revolving syndicated loan to finance its Pre-Delivery Payments, its first revolving type of syndicated loan for new aircraft orders, where it attracted a total of 17 banks. The syndicated loan, which was launched at US$300 million closed at US$840 million, which CALC said made it one of the largest deals of its kind globally last year.
While in June CALC issued its first three-year senior unsecured RMB bond in China.
Mr. Zhao Wei, chairman of CALC, said, "CALC is committed to becoming a professional aircraft asset manager. To achieve this goal, CALC is in collaboration with China Everbright to use its fund management capability and diversified financial services, to seek more opportunities in the aviation related fund with high-growth potential."
Mike Poon, chief executive of CALC, said, “The aviation industry is facing challenges in the upcoming year, with pressure building given the recent Coronavirus Disease 2019 outbreak. Despite these, the long-term demand for commercial aircraft will continue to remain robust.”