Air Lease Corporation Announces Lease Placement of Six New Boeing 737 MAX 8 Aircraft and the Option to Lease Five Additional 737 MAX 8s with LOT Polish Airlines
LOS ANGELES, October 13, 2016 – Air Lease Corporation (NYSE: AL) announced today the placement of six new 737 MAX 8s with CFM Leap-1B engines on long-term lease to LOT Polish Airlines. In addition to the six firm lease placements, the agreement includes the option to lease five new 737 MAX 8s, to be confirmed by early 2017. All eleven aircraft are from ALC’s order book with Boeing.
Delivery of the first two firmly-contracted aircraft will begin in the fourth quarter of 2017, the next two in 2018, one in 2019, and the sixth aircraft will deliver in or before the first quarter of 2020. The optioned aircraft are expected to deliver in 2019 and 2020.
“We are very pleased to announce these 737 MAX 8 lease placements with LOT, a transaction that again demonstrates ALC's strong airline market presence in Europe,” said Steven Udvar-Házy, Executive Chairman of Air Lease Corporation. “The new technologies in the MAX 8 aircraft will bring an increased level of efficiency and passenger comfort to LOT that will greatly enhance the airline’s competitive capabilities.”
“LOT is Poland’s national flag carrier with more than 85 years in operation, and we at ALC are pleased with being selected by the airline to modernize its fleet and help develop its expanding network of connections. We are looking forward to a strong relationship with the LOT team as they execute their growth strategy,” said Alex Khatibi, Air Lease Corporation’s Executive Vice President.
The new 737 MAX 8 aircraft will be used by LOT to increase frequencies and add new destinations on LOT's extensive European and Eurasian route network.
“We are thrilled to enter into these lease agreements with Air Lease Corporation. The addition of these new aircraft to our fleet represents a significant step toward achieving sustainable viability as we gradually grow, simplify and standardize our target fleet and launch new flights. Specifically, Boeing’s 737-8 MAX 8 offers advancements in both technology and passenger experience critical for enhanced reliability and customer service,” says Rafal Milczarski, CEO of LOT Polish Airlines.
LOT has one of the youngest fleets in Europe and was the first European airline to introduce into service the Boeing 787 Dreamliner. LOT estimates that in 2020 it will operate a total of approximately 70 aircraft, including 16 Dreamliners and approximately 15 new single-aisle planes with 150-plus seating capacity.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including expected delivery dates. Such statements are based on current expectations and projections about our future results, prospects and opportunities and are not guarantees of future performance. Such statements will not be updated unless required by law. Actual results and performance may differ materially from those expressed or forecasted in forward-looking statements due to a number of factors, including those discussed in our filings with the Securities and Exchange Commission.
About Air Lease Corporation (NYSE: AL)
ALC is a leading aircraft leasing company based in Los Angeles, California that has airline customers throughout the world. ALC and its team of dedicated and experienced professionals are principally engaged in purchasing commercial aircraft and leasing them to its airline customers worldwide through customized aircraft leasing and financing solutions. For more information, visit ALC's website at www.airleasecorp.com.
About LOT Polish AirlinesLOT Polish Airlines is a modern airline that connects Central and Eastern Europe with the world. It provides nearly 5 million passengers a year with the shortest and most comfortable travel options to almost 60 destinations worldwide via Warsaw, a competitive hub that offers fast connections. As the only carrier in the region, LOT offers direct long-haul flights to New York, Chicago, Newark, Los Angeles, Toronto, Beijing, Tokyo and Seoul. It flies one of the youngest fleets in Europe and, as the only airline, operates the Boeing 787 Dreamliner, the world's most advanced aircraft, on all long-haul connections. LOT relies primarily on the passion and positive energy of its team members, including top ranking pilots in the global aviation business, often champions in many aviation sports. With 87 years of experience, LOT is also one of the oldest airlines in the world and the most internationally recognized Polish brand.