Airbus Signs MOU on Aircraft Financing with Chinese Partner
Airbus today signed a Memorandum of Understanding with the CDB Leasing Co., Ltd. (CLC), one of China's leading leasing companies, on cooperation in aircraft financing and leasing.
The MoU was signed by John Leahy, Airbus Chief Operating Officer Customers, and Wang Chong, President of CLC, in Toulouse, France. Airbus and CLC endeavour to share competence and experience to cooperate on a variety of leasing and financing projects, such as pre-delivery payment financing for Airbus aircraft, delivery financing new and used Airbus aircraft and Passenger to Freighter conversion projects.
Under the MoU, CLC will provide aircraft delivery financing solutions to airlines around the world for the acquisition of aircraft ordered from Airbus. CLC will provide financing support by way of sale and leaseback transactions with its airline customers in the amount of up to four billion US dollars over the next five years for all Airbus aircraft types, including aircraft assembled at the Airbus Final Assembly Line China (FALC) as well as Airbus’ Final Assembly Lines in Europe.
Furthermore, CLC is also considering purchasing a certain number of aircraft directly from Airbus for future leasing needs of airlines worldwide.
"The modern and advanced Airbus aircraft are valuable assets for leasing companies at any time. We are proud to provide financing solutions for customers worldwide to support the development of the aviation industry, especially the aviation industry of China. At the same time, through this cooperation, CLC will expand its market share in the field of aviation leasing," said Wang Chong, President of CLC.
"Airbus is always looking for ways to help its customers finance their aircraft. Thanks to our close cooperation with CLC, we can support airlines in taking delivery of the most eco-efficient and advanced aircraft available today," said John Leahy, Airbus Chief Operating Officer, Customers.
CDB Leasing Co., Ltd. (CLC) is the non-bank financial institution, mostly held by China Development Bank (CDB), with registered capital over 8 billion RMB (1.2 billion US dollars) and total assets over 36 billion RMB (5.3 billion US dollars), making it the largest financial leasing company in China in terms of registered capital and total assets. CLC is the pioneer for doing aircraft leasing in China. So far, CLC has delivered 51 aircraft to airlines, and gained professional experiences on managing aircraft financial lease and operating lease.
Airbus Signs MOU on Aircraft Financing Solutions with Chinese Partner