Etihad Airways announces spare engine deal

11/01/2012 - Posted by Neil King
Etihad Airways announces spare engine deal

Etihad Airways has announced that it has mandated sale and lease back transactions to Sanad Aero Solutions (Sanad) and Engine Lease Finance Corporation (ELF) for the financing of 16 in-service spare engines and seven future spare engine deliveries. The contract is worth an impressive $367 million, people seeking UAE property may be interested to learn. According to the Abu Dhabi-based airline carrier, Sanad will purchase and lease back to Etihad Airways five GE90 and six Rolls Royce Trent 500 engines. ELF, meanwhile, has agreed to purchase and lease back to Etihad Airways six Rolls Royce Trent 700 and six IAE V2500 engines. "These spare engine sales and lease back transactions provide the airline with a long-term financing solution for its entire spare engine fleet while mitigating residual value risk and providing competitive cost of ownership over the long term," commented James Hogan, Etihad Airways' president and chief executive officer.