ACG Press Releases
The following files are available for download for use in news stories.
November 17, 2011
ACG Announces 737 Max Commitment and NG 737 Order
- Commitment for 35 737 MAX airplanes
- ACG first leasing company to announce commitment for 737 MAX
- Firm order for 20 Next-Generation 737-800s
Tim Bader
+1 206-859-3633
Product Strategy Communications
Boeing Commercial Airplanes
+1-206-766-2930
karen.r.crabtree@boeing.com
November 15, 2011
ACG signs order for 30 A320neo
Sept. 20, 2011
ACG Establishes US$500m Multicurrency MTN Program
September 20, 2011
Aviation Capital Group Establishes U.S. $500,000,000 Multicurrency Medium Term Note Program
NEWPORT BEACH, Calif.--Aviation Capital Group Corp. (“ACG”) announced today that it has filed documentation with and received approval from the Singapore Exchange Securities Limited (“SGX-ST”) to issue unsecured Medium Term Notes from time to time which may be denominated in various currencies and listed on the SGX-ST or other stock exchanges. (Unlisted notes may also be issued pursuant to the Program.) The aggregate nominal amount of such notes will not at any time exceed U.S. $500,000,000. Proceeds from the offering(s) are expected to be used for general corporate purposes.
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ACG is a leading operating lessor of commercial jet aircraft to airlines worldwide. ACG manages a portfolio of more than 245 aircraft on lease to more than 90 airlines. ACG was founded in 1989 and is a wholly owned subsidiary of Pacific Life Insurance Company, a Pacific LifeCorp company.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any Note, nor shall there be any offer, solicitation or sale of the notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
.
The Notes have not been and will not be registered under the United States Securities Act of 1933, as amended (the “Securities Act”) or with any securities regulatory authority of any state or other jurisdiction of the United States, and Notes in bearer form are subject to US tax law requirements. The Notes may not be offered, sold or (in the case of Notes in bearer form) delivered within the United States to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the Securities Act) except in certain transactions exempt from the registration requirements of the Securities Act.
Contacts
Aviation Capital Group
Cathy Egan, 949-219-4631
April 7, 2011
Aviation Capital Group Closes $750,000,000 Senior Notes Offering
April 7, 2011
Aviation Capital Group Closes $750,000,000 Senior Notes Offering
NEWPORT BEACH, Calif.--Aviation Capital Group (ACG) announced today that it has closed the sale of $750 million of its 6.750% senior notes due April 6, 2021. Proceeds from the offering will be used for general corporate purposes.
The joint book-running managers for the offering were BNP Paribas Securities Corp., Credit Suisse Securities (USA) LLC and J.P. Morgan Securities LLC.
In 2010, ACG issued $600 million of Rule 144A senior notes and $255 million of privately placed unsecured notes. Including the sale of the notes announced today, ACG has raised a total of approximately $3.64 billion in debt financing since the beginning of 2008.
ACG is a leading operating lessor of commercial jet aircraft to airlines worldwide. ACG manages a portfolio of over 245 aircraft, which are leased to more than 90 airlines in 38 countries. In addition to leasing the aircraft that it owns, ACG also provides aircraft management and remarketing services to third-party investors and financial institutions. ACG was founded in 1989 and is a wholly owned subsidiary of Pacific Life Insurance Company, a Pacific LifeCorp company.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any Note, nor shall there be any offer, solicitation or sale of the notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
.The Notes were issued in a private placement transaction and were offered and resold inside the United States to qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (Securities Act), and outside the United States to non-U.S. persons in reliance on Regulation S under the Securities Act. The Notes have not been and will not be registered under the Securities Act or any state securities laws. Further, the Notes may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements and, therefore, will be subject to substantial restrictions on transfer.
Aviation Capital Group
Cathy Egan, 949-219-4631
Jan. 25, 2011
ACG Announces 2010 Activities
Aviation Capital Group Announces 2010 Recap
Newport Beach, CA, January 25, 2011: Aviation Capital Group (ACG) today highlighted its 2010 activities.
ACG’s portfolio activity consisted of 66 lease and sale transactions during the year and 14 aircraft purchases (including orders).
In December ACG launched its operational office in Singapore where it has already transferred 15 aircraft and plans to grow its portfolio and staff.
“Singapore already has a robust aviation sector and provides ACG with a pro-business regulatory environment, attractive tax rates, and a highly educated workforce. Increasing our presence in Asia is essential to our goals of expanding our portfolio and our ability to provide timely and region specific services to our customers,” said Group Managing Director and CEO
R. Stephen Hannahs.
In addition, during 2010 ACG successfully raised more than $1 billion dollars of senior unsecured debt.
“A key element of ACG’s financial philosophy is the strategic decision to shift from secured financings, such as aircraft-backed securitizations and secured warehouse bank debt, to corporate unsecured borrowings,” Hannahs said. “Shifting to unsecured borrowings allows us to improve financial flexibility and have substantially greater flexibility in deploying our aircraft, which better serves our customers.”
ACG followed its April private placement issuance of $255 million in Unsecured Medium Term Notes with $600 million in Senior Unsecured Notes issued in the capital markets under Rule 144a.
ACG has sourced approximately $2.8 billion since the beginning of the financial crisis, reflecting ACG’s ability to access capital during an extremely challenging capital environment.
About Aviation Capital Group:
ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes more than 240 aircraft leased to 92 airlines in 36 countries. ACG’s Capital Markets Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a wholly-owned subsidiary of Pacific Life Insurance Company, a Pacific LifeCorp company.
Sept. 1, 2010
Feren Named Executive Vice President
Aviation Capital Group appoints John Feren Executive Vice President
Newport Beach (CA), September 1, 2010: Aviation Capital Group (ACG) announced today that John Feren has been appointed as Executive Vice President. Feren will oversee ACG’s Global Marketing and Portfolio Management Departments. He reports to R.
Prior to this new assignment, Feren served as a Senior Vice President of Business Development in ACG’s Bellevue (WA) office.
"I am pleased to have John assume this new role in ACG. He has been with
ACG for the last two years and has brought new levels of innovation to our company,” said Hannahs.
Feren began his aviation career with Douglas Aircraft in Long Beach (CA). He held positions in Marketing, Sales, and Program Management prior to the merger with Boeing. At Boeing he was Sales Vice President for eight years and participated in the launch of the 787. He left Boeing in 2008 to join ACG. In 2008, Feren served as the President of the Wings' Club in
ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes 242 aircraft leased to 97 airlines in 40 countries. ACG’s Portfolio Management Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a wholly owned subsidiary of Pacific Life Insurance Company, a Pacific LifeCorp company.
-end-
April 19, 2010
ACG Announces 1Q2010 Activity
Aviation Capital Group announces first quarter activity
Newport Beach (CA), April 19, 2010: Aviation Capital Group (ACG), one of the top-tier aircraft operating leasing companies in the world, reported 16 aircraft and engine transactions for the first quarter of 2010.
Ten of the transactions were lease extensions, three were new leases, two were deliveries and leases for new aircraft, and one aircraft was sold.
The number of transactions continues to reflect ACG’s conservative strategy of modest lease expirations in any given year, said R. Stephen Hannahs, ACG’s Group Managing Director and Chief Executive Officer. The high percentage of lease renewals also reflects the stability of ACG’s customer base.
|
Aircraft/Engine Type |
Activity Type |
New Lessee(Buyer) |
|
MD-83 |
Sale |
Austral |
|
B737-800 |
Lease Extension |
Sun Express |
|
B737-800 |
Lease Extension |
Sun Express |
|
A320-200 |
Lease Extension |
Dragonair |
|
A320-200 |
Lease Extension |
Dragonair |
|
A320-200 |
Transition to New Lease |
Avianova |
|
B737-300 |
Lease Extension |
US Airways |
|
B737-300 |
Lease Extension |
US Airways |
|
B737-300 |
Lease Extension |
US Airways |
|
B737-300 |
Lease Extension |
US Airways |
|
PW4060 |
Transition to New Lease |
Delta |
|
B737-800 |
New Order delivery |
Ukraine Int'l Airlines |
|
A320-200 |
Transition to New Lease |
Batavia |
|
A321-200 |
Lease extension |
Spanair |
|
B737-800 |
New Order delivery |
COPA |
|
B737-300 |
Lease Extension |
Southwest |
About Aviation Capital Group:
ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes 242 aircraft leased to 94 airlines in 39 countries. ACG’s Capital Markets Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a wholly owned subsidiary of Pacific Life Insurance Company, a Pacific LifeCorp company. See www.aviationcapital.com.
April 12, 2010
ACG issues $255m in Unsecured Medium Term Notes
Aviation Capital Group issues $255 million in Medium Term Notes
Newport Beach (CA), April 12, 2010: Aviation Capital Group, one of the world’s Tier 1 commercial aircraft leasing companies, issued $255 million in Unsecured Medium Term Notes on April 8 it was announced today.
The notes were issued in three tranches of five-, seven-, and 10-year bullet maturities, with the majority of demand for the longer tranche. The issue, originally offered at $100 million, was oversubscribed three times.
With this transaction, ACG has sourced approximately $2 billion of capital since January 1, 2009, reflecting ACG’s ability to access capital during an extremely challenging capital environment.
“ACG’s ability to access multiple sources of financing has been a key strength during the recent economic downturn,” said R. Stephen Hannahs, Group Managing Director and Chief Executive Officer of ACG.
“A key element of ACG’s financial philosophy is the strategic decision to shift from secured financings, such as aircraft-backed securitizations and secured warehouse bank debt, to corporate unsecured borrowings,” Hannahs said. “Shifting to unsecured borrowings allows us to improve financial flexibility and have substantially greater flexibility in deploying our aircraft, which better serves our customers.”
Hannahs said ACG will make increasing use of unsecured borrowings in the future.
ACG’s financial strength is further demonstrated by the continued deleveraging of the Company and a capital structure in which more than 85% of its debt obligations mature in greater than five years. Despite the global recession, ACG’s revenues from operating leases increased in 2009 over 2008 and the Company posted its 20th consecutive year of record profitability.
ACG has more than 140 Boeing 737NGs, the Airbus A320 family and Boeing 787s on order for delivery through 2017; all aircraft are financed through next year.
BNP Paribas and Citi managed the placement.
About Aviation Capital Group:
ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes 242 aircraft leased to 94 airlines in 39 countries. ACG’s Capital Markets Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a wholly owned subsidiary of Pacific Life Insurance Company, a Pacific LifeCorp company. See www.aviationcapital.com.
Jan. 22, 2010
ACG 2009, 4th Q Activity Report
Aviation Capital Group Reports 4th Quarter Activity
In 2009, ACG took delivery of 12 new aircraft from Airbus and Boeing, all on lease. Twenty-four aircraft were remarketed to new customers and leases were extended on 33 aircraft and engines. Four aircraft were sold during the year.
|
Aircraft |
Owned/Managed |
Activity Type |
New Lessee(Buyer) |
|
PW4060 |
Owned |
Lease Extension |
Air Atlanta Icelandic |
|
MD-82 |
Owned |
Sale |
American |
|
B737-300 |
Owned |
Lease Extension |
Southwest |
|
B767-200SF |
Managed |
Sale |
--- |
|
A320-200 |
Owned |
New Order delivery |
Air France |
|
B737-800 |
Owned |
New Order delivery |
Jet Airways |
|
B737-800 |
Owned |
Re-market to New Lessee |
Merpati Airlines |
|
A320-200 |
Owned |
New Order delivery |
Air France |
|
A320-200 |
Owned |
New Order delivery |
Avianca |
|
B737-800 |
Owned |
New Order delivery |
China Eastern |
|
A320-200 |
Owned |
Lease Extension |
US Airways |
|
A319-100 |
Owned |
Lease Extension |
TAP |
|
B737-800 |
Owned |
New Order delivery |
COPA |
|
B737-700 |
Owned |
Lease Extension |
China Eastern |
|
B737-800 |
Owned |
Lease Extension |
China Hainan |
|
MD-83 |
Managed |
Re-market to New Lessee |
USA Jet Airlines |
During the year, ACG also accomplished the following:
- · Creation of a new financing structure in conjunction with the Export-Import Bank of the United States (Ex-Im) for aircraft financing. This new structure taps capital markets that have been largely closed to commercial aviation since the credit market crisis began in September 2008. The transaction provides for the capital markets issuance of more than $850 million in debt backed by Ex-Im to support the financing of 22 Boeing 737s to be delivered to ACG through 2011
- · Creation of a joint venture with Civil Aviation Finance Holding Co. (CIAF Holding), an Egyptian corporation, to form CIAF Leasing to serve Egypt, the Middle East and Northern Africa.
- · Selected Rolls-Royce Trent 1000 engines to power all five Boeing 787 Dreamliners ordered by ACG in 2007. The contract is worth $170m at list prices.
- · Selected Precision Conversions to convert up to three Boeing 757s from passenger to cargo airplanes. The first conversion was completed in December.
ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes 241 aircraft leased to 94 airlines in 40 countries. ACG’s Capital Markets Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a Pacific LifeCorp company
December 16, 2009
ACG orders Trent 1000 for 787s
(Rolls-Royce, December 16, 2009): Rolls-Royce, the global power systems company, has won its first order from US lessor Aviation Capital Group (ACG), for Trent 1000 engines to power all five Boeing 787 Dreamliner aircraft already purchased by ACG. The contract is worth $170m at list prices.
The aircraft, ordered by ACG in 2007, represent a significant addition to its portfolio as the company’s first next generation widebody purchase.
R. Stephen Hannahs, Aviation Capital Group Chief Executive Officer & Group Managing Director, said: “We are delighted to celebrate the 787’s first flight with this announcement. The Trent 1000 provides us with an excellent combination of operating and ownership economics. We are confident in its performance and its ability to meet our expectations and those of our customers.”
The 787 will produce 20 per cent less CO2, 40 per cent less NOx and 50 per cent less noise than current generation aircraft.
Mark King, Rolls-Royce President – Civil Aerospace, said: “I am delighted that this order starts what I have no doubt will be a long and successful relationship with ACG. I am particularly pleased that such a key player in the leasing market has shown its trust in our Trent 1000 technology by selecting the engine for all its aircraft.”
Rolls-Royce has a leading 50 per cent market share on modern, widebody aircraft, with more than 1,500 Trentâ engines in service on more than 550 aircraft and a further 2,500 engines on order. Each of the six members of the Trent family have either been the first or launch engine on the airframe, or have gone on to take the leading market share.
ACG has previously selected V2500 engines produced by International Aero Engines, a multinational aero engine consortium whose shareholders comprise Pratt & Whitney, Rolls-Royce, the Japanese Aero Engines Corporation and MTU Aero Engines.
1. Rolls-Royce, a world-leading provider of power systems and services for use on land, at sea and in the air, has established a strong position in global markets - civil aerospace, defence aerospace, marine and energy.
2. As a result of this strategy, Rolls-Royce today has a broad customer base comprising more than 600 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces, more than 2,000 marine customers, including 70 navies, and energy customers in nearly 120 countries, with an installed base of 54,000 gas turbines.
3. Rolls-Royce employs over 38,000 skilled people in offices, manufacturing and service facilities in 50 countries. The Group has a strong commitment to apprentice and graduate recruitment, and to further developing employee skills.
4. Sixty per cent of research and development investment and 40 per cent of new product development spending over the past five years has been outside the UK, with particularly strong relationships with the 27 universities worldwide where there are Rolls-Royce University Technology Centres.
5. In 2008, Rolls-Royce invested £885 million on research and development, two thirds of which had the objective of further improving the environmental aspects of its products, in particular the reduction of emissions.
6. Annual underlying revenues were £9.1 billion in 2008, of which 52 per cent came from services revenues. The firm and announced order book stood at £57.5 billion at 30 June 2009, providing visibility of future levels of activity.
7. ACG is the owner and manager of a diversified fleet of commercial jet aircraft leased to the world’s leading airlines. Its portfolio includes 241 aircraft leased to 94 airlines in 41 countries. ACG’s Capital Markets Group also provides asset management and remarketing services to aircraft investors and institutional clients. ACG was founded in 1989 and is a wholly-owned subsidiary of Pacific LifeCorp.