Contrail Aviation Support has completed a record 26 key asset transactions during its full year FY2019 financial results, spanning acquisitions, leases, and sales of commercial aircraft and jet engine parts.
The company acquired two A319-100 aircraft powered by V2500-A5 engines subject to stub-lease from a major global lessor. The remaining lease term has been optimised to create an end-of-life scenario at lease expiry, which will result in a mix of part-out and follow-on lease engines for the company’s parts business and lease portfolio.
Alongside this, two 737-700 aircraft were acquired, each equipped with two CFM56-7B22 engines from a major global lessor. The airframes were torn down by JetYard, and the airframe material was subsequently sold by AirCo.
Contrail acquired one A320-200 aircraft equipped with a V2500-A5 engine from a major US-based private equity fund. The airframe was sold, and one of the engines will be leased to an existing airline customer in Asia.
Two CFM56-7B22 engines were acquired by Contrail from an aircraft and engine asset specialist. The dismantled components will support the growth of Contrail’s surplus engine parts line of business.
Contrail’s CEO Joe Kuhn said: “Despite a competitive market environment in FY’19, we were able to overcome these headwinds and successfully complete 26 key, profitable transactions. Going forward, we are well-positioned, well-capitalised, and have developed a strong pipeline of assets that will continue to feed our trading and parts business throughout the upcoming year.”