The Aircraft Leasing firm Avolon has announced that it has placed firm orders on 250 new aircraft from Boeing and Airbus, including 140 Boeing B-737 MAX jets, 75 Airbus A320neo jets, and 35 Airbus A330neo jets. The orders will expand Avolon’s fleet to over 1,300 aircraft, most of which are from Boeing or Airbus.
What Has Been Announced?
Avolon released details of its third quarter aircraft purchases on Friday Oct. 9. These include legally binding firm orders for 140 B-737 MAX jets, as well as a total of 110 A320neo and A330neo jets.
The lessor also announced that it has an option to acquire up to 100 more Airbus aircraft, though it did not specify which models this option covers.
The firm orders will need to approval from the shareholders of the Bohai Leasing Co., which holds a controlling stake in Avolon. If approved, the additions will increase the number of aircraft Avolon has either received or placed on firm order to 1,342.
What is Avolon?
Avolon is the world’s second largest aircraft leasing firm by fleet size, behind only AerCap, which is also based in Dublin.
Aircraft leasing firms function by purchasing aircraft, and then renting them to individual airlines during periods of high demand.
Avolon has ongoing leasing agreements with 138 airlines across 62 countries, including the U.S. based Delta Air Lines, and the Malaysian carrier AirAsia. Its fleet already comprises of a range of Airbus and Boeing aircraft, as well as the Bombardier CRJ900 jet and the Embraer E190-200 and E195-E21 jets.
The decision to add over 200 aircraft to its narrowbody fleet signals Avolon’s confidence in future demand for short-haul flights, even at a time when airlines are being hit by relatively high jet fuel prices.
Have you ever flown on B-737 MAX, A320neo, or A330neo? Do you think aircraft leasing will become more common in the future? Let us know in the comments.
