31st May 2017: Philippine Airlines (PAL) and SMBC Aviation Capital have concluded a transaction for two Airbus A350-900 XWB on sale and leaseback which includes the financing of Pre-Delivery Payments to Airbus. The aircraft, which will be the first of its type to be added to the PAL fleet, are scheduled for delivery in 2018 and will be fitted with Rolls Royce Trent XWB-84 engines.
The addition of the A350 XWB forms part of the airline’s fleet modernization program.
Speaking on conclusion of the transaction, PAL President and Chief Operating Officer Jaime J. Bautista said, “We are very pleased to conclude this transaction with SMBC Aviation Capital which successfully marks the financing of the first two of our A350-900 aircraft due for delivery beginning June 2018. These aircraft will allow PAL to fly non-stop between Manila and New York all year round as well as service the rest of the carrier's long - haul destinations and bring a new level of comfort and service to our passengers.”
The transaction also marks the beginning of a new relationship between PAL and SMBC Aviation Capital.
Peter Barrett, CEO of SMBC Aviation Capital, added: “This deal demonstrates our ability to finance large deals of scale with innovative financing solutions for our customers. The strength of our portfolio is further enhanced by the addition of the A350 which is 25% more fuel efficient than its predecessor and will ultimately deliver greater cost savings for the airline. Today also marks the beginning of a new customer relationship with PAL. We are delighted to provide the airline with its first A350 and to further extend our presence across Asia.”