US-based aircraft leasing company, Aircastle terminated the leases for, and began the process to repossess, ten A320-200s and one A330-200 that had been on lease to Avianca Brazil, following a delinquent receivables issue with the airline. The A320-200 aircraft average 3.5 years old, while the A330-200 is 4.1 years old.
Aircastle is already in remarketing discussions with several potential customers.
The lease terminations for these eleven aircraft will have an impact on Aircastle’s quarterly results for 4Q 2018. Accordingly, Aircastle is updating lease rental revenue and maintenance revenue guidance for the 4Q as so: