GE Capital Aviation Services Announces First A320 NEO Delivery to AirAsia as part of a Deal Involving Nine Airbus Aircraft

SHANNON, Ireland, September 15, 2016 – GE Capital Aviation Services Limited (GECAS), the commercial aircraft leasing arm of GE, today announced the delivery of its first Airbus A320neo to AirAsia from the purchase-and-leaseback transaction with the airline for five new Airbus A320neo aircraft powered by CFM LEAP engines. CFM is a joint venture between GE and Snecma SA.

This delivery signifies the first A320neo for AirAsia and first A320neo to enter the GECAS portfolio.

Separately, GECAS purchased two Airbus A320s powered by IAE engines from AirAsia and leased to the AirAsia Group two Airbus A320s powered by CFM engines. “This is another example of the large-scale, complex transactions only a company like GECAS can execute with our access to specific aircraft types and financial certainty,” said Antony Snelleman, GECAS Senior Vice President & Regional Manager. “We were able to help AirAsia exit older technology aircraft and move toward greater engine commonality and lower maintenance costs, as well as help them finance their new deliveries through a purchase-and-leaseback.”

AirAsia is the largest low-cost carrier in Asia, operating flights to more than 120 destinations in over 20 countries in Asia, Australia, the Middle East and Africa. It currently operates a fleet of about 175 Airbus aircraft.

AirAsia Berhad’s wholly-owned subsidiary, Asia Aviation Capital Ltd (AACL), is the advisor and originator of the purchase-and-leaseback deal.

AACL is the leasing entity incorporated to provide aircraft leasing services to the AirAsia Group and to third parties. Its business offerings include the purchase and trading of aircraft assets including sale-and-leaseback transactions, leasing to airline customers and aircraft portfolio trading. In addition, AACL expects to build up its ancillary services such as offering maintenance programs bundled with leases, spare engine leasing as well as advisory services.