SkyCargo receives second B777F

DAE Capital, the aircraft leasing financial business arm of Dubai Aerospace Enterprise (DAE), has handed over the second Boeing 777 Freighter to Emirates SkyCargo.

Six more Boeing 777 Freighters are expected to be delivered to DAE between 2009 and 2014.

HH Sheikh Ahmed bin Saeed Al-Maktoum, chairman and chief executive of Emirates Airlines and group said: “Emirates has been satisfied with the performance of the Boeing 777F since it joined our fleet. It is proving to be the most efficient freighter operating today, while its modern technologies and competencies will benefit our operations for years to come.”

Ram Menen, Emirates divisional senior vice-president cargo, said: “The last two years have not been easy for the air cargo industry, but we hope to see some stability return in the coming months. For Emirates SkyCargo, 2009 will be a year of consolidation.

“We will bolster our presence in markets where we have a greater demand from our customers, such as China and Africa.”

DAE has also secured a US$450 million guaranteed loan facility from Citibank, to fund the purchase of nine aircraft from Boeing with delivery dates between June 2009 to April 2010. The Export-Import Bank of the US will guarantee 100 per cent of the principal and interest. In the near future, DAE also plans to issue a capital markets note to replace the borrowing from this facility and further diversify its funding sources.

HE Omar bin Sulaiman, DAE Group managing director, said: “This transaction helps DAE pave the way to fund its aircraft purchase commitments for the next 12 months. It will also allow us to access a different investor base for our obligations and build our distribution strategy.”

“Operating lessors such as DAE are an important distribution channel for US-manufactured aircraft, and Export-Import Bank is pleased to support these transactions on behalf of the US aerospace industry,” said Ex-Im Bank’s transportation division vice-president, Robert Morin.

DAE Capital’s fleet currently comprises 35 single aisle and wide-body aircraft. Furthermore, it has an additional 26 aircraft contracted of which 17 are on a purchase and lease-back basis. DAE Capital has committed to invest in a fleet portfolio with an estimated market value of $27 billion. It will gradually encompass 100 Airbus A320 family and A350 XWB aircraft, and 100 Boeing 737 Next Generation aircraft and wide-body planes, which will commence delivery in 2010.

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