BOC Aviation, a global aircraft operating leasing company, has passed a corporate milestone having signed up more than 1,000 lease agreements and has committed to buying over 900 aircraft since the company was founded in 1993.
Robert Martin, managing director and chief executive of BOC Aviation, said: “We are extremely proud to celebrate these two achievements in our 27th year of operation, which are testaments to our company’s long and successful history.
“Attaining these milestones reflects our disciplined investment and counter-cyclical strategy, which have contributed to long-term sustainable returns as we purchase aircraft at competitive prices and place them on long-term leases.
“To date, we have committed to purchase more than 900 aircraft and signed over 1,000 lease commitments with more than 160 airlines in 57 countries and regions.”
Steven Townend, chief commercial officer of BOC Aviation, said: “Thanks to the efforts of our leasing and sales departments, our current owned portfolio features a young average fleet age of 3.4 years plus a long remaining average lease term of 8.5 years.
“BOC Aviation continues to be a key long-term industry player. We thank all our stakeholders for their support for more than a quarter of a century, and remain committed to continuing to work closely with our customers and other business partners.”
BOC Aviation has a fleet of 567 aircraft owned, managed and on order. Its owned and managed fleet was leased to 92 airlines worldwide in 40 countries and regions as at 31 March 2020.
The business is listed on the Hong Kong Stock Exchange and has its headquarters in Singapore with offices in Dublin, London, New York and Tianjin.
BOC Aviation says it benefits from long-term, US dollar-denominated cash flows from a globally diversified airline customer base who lease its aircraft, and from owning assets with values denominated in US Dollars.
In a statement the company said: “Our portfolio of owned aircraft has an average age of less than four years, weighted by net book value, making it one of the youngest in the aircraft operating lease industry.
“We have long-term contracted cash flows, with a weighted average remaining lease term on the owned portfolio of more than seven years.
“We benefit from a low average cost of funds, supported by our strong credit ratings (A- from both Standard & Poor’s and Fitch) and a diversified range of funding sources. We also enjoy strong and committed support from our controlling shareholder, Bank of China.”