Singapore/Paris: From Scandinavia to Southeast Asia, low-cost airlines
have ordered record numbers of planes in recent years, redefining the
jet industry. Now they plan to lease out scores of their new planes,
re-ordering the aviation business all over again.
Between them, Indonesia`s Lion Air, Malaysia`s AirAsia and Norwegian Air Shuttle have ordered more than 1,400 Airbus and Boeing jets, worth about $140 billion at current list prices. They`re about to test the growing market for rented planes, competing with established finance firms that lease out aircraft to cash-strapped carriers from China to the United States.
Jet makers and the finance companies which dominate aircraft leasing question whether budget airlines have the know-how to succeed, and some in the industry wonder whether they have simply ordered more planes than they need. But the low-cost carriers` sights are trained on new revenue streams, and net profit margins of about 20 percent enjoyed by global aircraft lessors - well above the airline industry average.
Read news in full 22/10/14 Reuters/ZeeNews
Between them, Indonesia`s Lion Air, Malaysia`s AirAsia and Norwegian Air Shuttle have ordered more than 1,400 Airbus and Boeing jets, worth about $140 billion at current list prices. They`re about to test the growing market for rented planes, competing with established finance firms that lease out aircraft to cash-strapped carriers from China to the United States.
Jet makers and the finance companies which dominate aircraft leasing question whether budget airlines have the know-how to succeed, and some in the industry wonder whether they have simply ordered more planes than they need. But the low-cost carriers` sights are trained on new revenue streams, and net profit margins of about 20 percent enjoyed by global aircraft lessors - well above the airline industry average.
Read news in full 22/10/14 Reuters/ZeeNews
No comments:
Post a Comment