Course Name:
Aircraft Acquisition and Finance
Duration:
3 Days
Scope:
Finance & Accounting
Conducted By:RTC
How Will I Benefit?
- Gain insight into the fleet planning process from capacity planning, aircraft specification and evaluation, type selection, management of LOI and purchasing campaigns with manufacturers
- Be able to manage large fleet purchasing projects with leading manufacturers in professional way
- Understand the financing market, its players and instruments and learn about available financing options including importance of residual value considerations
- Be able to manage aircraft acquisition and financing projects to achieve an optimal result and control risks
- Understand basic underlying legal concepts of lease agreements, loan agreements, security packages, repossession, aviation law and international treaties (Cape Town)
- Have reviewed real leasing cases and conducted case studies on lease agreements
Who Should Attend?
- Fleet planners
- Aircraft procurement managers and executives
- Legal staff supporting the negotiation and purchasing process or managing outside legal counsel
- Airline CFO and General Counsel
- Head of Fleet planning and fleet management
- Insurance Experts supporting lease negotiation process
- Airline accounting managers involved in lease accounting
Course Contents:
- Introduction into global financing and leasing market: size, demand & supply for financing, volumes, historic developments, market trends, with special notion of the MENA markets
- Importance of financing and leasing from airline’s perspective
- Optimal finance mix?
- Definition of key players: who is in the financing and leasing market
- Key Aviation Financing Banks
- Leading Export Credit Agencies in US, Europe, Canada and Brazil
- Global Leasing Companies
- Players in the Capital Markets
- Tax Leasing Providers
- Description of financing instruments, key features and common financing structures:
- Aircraft Loans
- ECA backed transactions and WTO Aircraft Sector Understanding (ASU)
- Finance and tax leases
- Operating leases
- Enhanced Equipment Trust Certificates (EETC) for US and non-US airlines
- Islamic finances
- Structural elements of the above (SPCs, banks/lenders, security agents, others)
- Documentation of leases and financings:
- Lease agreements structure and key features
- Key elements in documentation
- Major areas of risk and remedies for leasing managers
- Technical Provisions of Leases and Financing agreements
- Risk and pitfalls in documentation
- Residual value considerations and importance in the financing process
- Risk Management and Insurances
- Shape of the insurance market for aircraft
- Insurance buying groups
- Key elements of insurances
- Areas of focus and concern
- Aspects of Aircraft Registration and Security Package of Financing or Leasing
- Special Topic on Security for Financiers and Leasing Companies: Cape Town Convention
- Case Studies
- Lease Agreement: review and comment on key features and structure, good or bad for airline, for lessor, recommendations, short presentations (optional)
- Loan Agreement: review and comment on key features and structure, good or bad for airline, for lender, recommendations, short presentations (optional)