Cebu Pacific inks finance lease deal with StanChart
MANILA, Philippines – Gokongwei-led budget airline Cebu Pacific has inked a multi-million dollar finance lease deal for two Airbus 320-200 aircraft with Standard Chartered Bank.
The two planes were delivered in December 2013 and January 2014 as part of the airline’s fleet expansion program.
"As we continue to expand our route network in North Asia, ASEAN and the Middle East, we look forward to working closely with our partners, particularly on our fleet expansion plans. We are glad to be a partner of Standard Chartered. Their continuous support allows CEB to offer its trademark low fares to even more travelers around the globe," Cebu Pacific president and chief executive Lance Gokongwei said in a statement on Thursday.
Standard Chartered arranged and funded the 10-year financing facilities for the aircraft.
“This transaction, along with other products and facilities the airline has with us, demonstrates our capabilities and commitment to partnering with core clients in their strategic growth ambitions. We look forward to staying close to Cebu Air and supporting them in many more years to come as they take their business forward," said Standard Chartered managing director and chief commercial officer of aviation finance Simon Perkins.
Cebu Pacific also has another Airbus 320-200 on operating lease from Standard Chartered through a previous transaction in 2009.
Cebu Air Inc., the operator of Cebu Pacific, currently operates a fleet of 50 aircraft comprising 10 Airbus A319, 29 Airbus A320, 3 Airbus A330 and 8 ATR-72 500 aircraft.
The airline will take delivery of 13 more Airbus A320, 30 Airbus A321neo, and 3 Airbus A330 aircraft between 2014 and 2021.
Its $15 million-acquisition of Tiger Airways Philippines was recently approved by the Civil Aeronautics Board (CAB). [http://www.abs-cbnnews.com/business/02/21/14/cab-approves-cebu-pacific-tigerair-deal]
Cebu Pacific currently operates over 2,200 flights per week to 24 international and 33 Philippine cities while Tigerair Philippines currently operates about 118 flights per week with five aircraft to 11 domestic and international destinations from Manila and Clark.