Press Release

BOC Aviation Finalises 13 Aircraft Deal with Skybus

15 Nov 2007

Singapore-based BOC Aviation has finalised an agreement with US low cost carrier Skybus Airlines covering the purchase and leaseback of 13 new A319 aircraft, including pre-delivery financing. The aircraft are due for delivery in 2009 and 2010.

The deal is the second contract between BOC Aviation and Skybus. A similar agreement was finalised in April this year, for four aircraft delivering in the fourth quarter of 2008.

Robert Martin, BOC Aviation Chief Executive Officer, said that the latest agreement with Skybus was a vote of confidence in the airline’s business model, as well as the value of the A319 as a proven asset.

“The combination of a focused low cost business model, astute management team and the A319 made this a winning deal for us,” he said. “We are pleased to be able to play a role in the growth of this competitive new carrier and look forward to working together for many years in the future.”

“In addition, the agreement with Skybus further extends our presence in the North American market, where we see huge potential for new business in the near and medium term.”

Skybus CEO Bill Diffenderffer added, “Because of the high cost of new aircraft, airlines have huge capital requirements. It is terrific for Skybus to have developed such a broad and long term relationship with such a powerhouse in financial services.”

Skybus began service in May this year, flying from its base in Columbus, Ohio, to cities throughout the United States. Early next year the airline will open a second base at Piedmont Triad International Airport in North Carolina. The airline currently has an all-Airbus fleet of 7 A319s, with over 70 more A319 aircraft scheduled to arrive over the next five years.
 
BOC Aviation is the leading Asia-based aircraft leasing company, with a fleet of over 70 aircraft in service with airlines worldwide and another 60 aircraft on firm order with Airbus and Boeing for delivery through to 2012. Of the 60 aircraft on order, 45 have already been leased to airlines in advance of delivery, with the next available new aircraft delivering in 2011.

BOC Aviation is owned 100% by Bank of China, currently the third largest bank in the world by market capitalisation.