BOC Aviation Orders 80 Airbus Aircraft

• BOC Aviation has ordered 80 Airbus A320neos. The lessor expects to take delivery of the aircraft between 2027-2029. “This is the largest single order that we have ever placed and it will bring our total Airbus aircraft purchased since inception to 546,” BOC Aviation CEO Robert Martin said. Airbus had a backlog of 7,980 A320s as of March 31 and is on track to raise production rates to 65 aircraft per month by the middle of next year, a spokesperson for the airframer said.
  
• Air Europa is getting four Boeing 787s! Sort of. The Spanish carrier is subleasing two 787-8s and two -9s from Norse Atlantic, which will hand the aircraft over in the second quarter. “This sublease agreement with Air Europa provides a compelling opportunity to generate positive cash flow from aircraft that we were not planning to fully utilize in our start-up phase,” Norse CEO Bjørn Tore Larsen said. “The agreement strengthens our already solid financial position as we continue to stay true to our strategy of cautiously entering the market and ramping up based on customer demand.” Norse plans to start selling tickets later this month and begin flights in June.
  
• Lessors had a busy first quarter as the airline industry sloughs off its Covid torpor and prepares for its long-term recovery. AerCap signed 102 leases, including for 14 widebodies — a segment that has languished during the pandemic. The lessor also signed leases for 62 narrowbodies, two regional jets, and 16 helicopters (a portfolio it inherited from GECAS). AerCap bought 23 aircraft in the quarter: 15 Airbus A320neos, one A220, and four Boeing 737 Maxes. It sold 30 aircraft in the quarter. AerCap is in the process of filing claims for the $3.5 billion in assets it has in Russia.
  
• Meanwhile, Air Lease Corp. said it has 21 aircraft in Russia, or 3.4 percent of its portfolio. Outside of Russia, the lessor delivered eight aircraft to customers in the first quarter: one Airbus A320neo, two A321neos, one A330-900, three Boeing 737-8s, and one 737-9. ALC had a fleet of 391 aircraft and orders for 451 new aircraft at the end of the first quarter.
  
• Regional Cape Air took a small step forward on electrifying its fleet with a letter of intent for up to 75 of electric Eviation Alice aircraft that seat nine passengers. It’s a “small step” because the airline first unveiled a conditional agreement for an undisclosed number of Alices with deliveries from 2022 at the Paris Airshow in 2019. Fast forward three years and one pandemic, Eviation continues to work towards certification of the Alice and did not provide a timeline for its first delivery to Cape Air.
  
• Air France-KLM has made good on its earlier interest in the Airbus A350F and will take four freighters. Airbus has 29 orders for the A350F from five customers, the airframer said.
  
• TAP Air Portugal closed secured senior and mezzanine financing for two Airbus A321LRs. Aviation Capital Group provided the senior secured loan from its $650 million Aircraft Financing Solutions facility, and Novus Aviation Capital the junior mezzanine debt.

— Edward Russell & Madhu Unnikrishnan