The smaller leasing firms are worried by the latest mega-order for 110 Airbus aircraft made this week at Paris by International Lease Finance Corporation (ILFC), the world's second largest operating lessor.
They are concerned that manufacturers may be selling too much capacity into an already fiercely competitive market, says Nicole Piasecki, vice-president of sales leasing companies for Boeing Commercial Airplanes Group. Around 70% of all aircraft ordered for the operating lease market go to ILFC and GECAS. Below them is a variety of medium and small lessors, who are worried that an over-supply of aircraft being offered for lease will deflate the market, she said.
Although the big two are extremely important customers for Boeing, Piasecki believes the industry is best served by having a multitude of lessors offering a variety of products and services. For instance, GECAS and ILFC tend to place their aircraft 12-18 months prior to delivery, while the smaller players can wait until six months before delivery.
Source: Flight Daily News
