Bizav Industry Tackling Major Issues, Leaders Say
“Airlines have stopped flying. They have less cash coming in,” Plueger said. While the largest carriers can withstand a short period of high disruption, “there are some secondary and tertiary carriers that need cash.”
Executives at Air Lease Corp. and AerCap are being flexible, offering everything from deferral of monthly lease payments to offering sale-leaseback deals.
“We’ll probably defer some rents given that their revenue line has obviously fallen significantly, and you’ll probably defer rents for a month or two to help them out on a case-by-case basis,” AerCap CEO Aengus Kelly said. “They’ve been with us for over 40 years, some of them, and of course, we’re going to try and help them through this period.”
Air Lease’s Plueger said “several” customers have asked for “one-to-two month” deferrals of lease payments. “We will probably accommodate that,” he added. In cases where a lessor’s customers have opposite short-term needs, moving aircraft between them is feasible.
Credit: Boeing
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