50 SKY SHADES - World aviation news

CIT Executive Spotlight Examines Global Aviation Finance Trends

Download: Printable PDF Date: 28 Sep 2015 11:28 category:
CIT Executive Spotlight Examines Global Aviation Finance Trends - Finance publisher
Tatjana Obrazcova

The global airline industry currently has access to an abundance of fragmented capital, but there may not be an equal abundance of market awareness to adapt to potential changes in market conditions. This fragmentation has served the industry well during a period of significant growth and profits; however, due to the cyclical nature of the global airline sector, this lack of market awareness is leaving companies vulnerable to the next potential downturn. These are some of the observations presented by John Morabito, Group Head, Financial Institutions Group, CIT Commercial Air &CIT Maritime Finance, divisions of CIT Group Inc. (NYSE:CIT), a global leader in transportation finance, in “Global Commercial Aerospace: Financing Trends” (www.cit.com/morabito), the latest piece of market intelligence in the CIT Executive Insights video series.

“As the industry reaches a peak, it’s crucial that global airlines and financial institutions strategically and methodically plan their growth and access to capital in order to protect their economics before the sector enters a slowdown,” said Morabito. “In order to better serve our clients in the face of this prospect, CITestablished a joint venture with Century Tokyo Leasing (CTL) that combines CIT’s platform and asset management experience with CTL’s unique capital backing and deep regional knowledge.”

Some of the other global aviation trends Morabito expands upon include:

Lack of focus on midlife equipment: Capital providers and some carriers are missing opportunities with midlife equipment, largely due to a lack of knowledge and expertise in financing this type of asset.
Opportunities in examining relative value options: A partner that understands new and midlife aircraft, technical considerations and regional nuances can assist in the creation of a diverse portfolio of assets and investments.
Partnerships combine experience and expertise: CIT and CTL’s joint venture pairs financing solutions from CITwith CTL’s deep regional knowledge and unique capital backing.

Loading comments for CIT Executive Spotlight Examines Global Aviation Finance Trends...


Vietnam Airlines Flies Its First Boeing 787-10 Dreamliner

  Boeing delivered the first of eight 787-10 Dreamliner airplanes to Vietnam Airlines today via lease from Air Lease Corporation . The Vietnamese flag carrier plans to put the 787-10 – t...

Gualter Helicopteros appointed as Kopter Group distributor for Brazil

Kopter Group started the active promotionof SH09 in Brazil with the appointment of Gualter Helicopteros as its representative & distributor. The partnership between the two companies...

Bell 407GXI earns IFR Certification

Bell Textron Inc. announced the FAA has issued an IFR STC for the Bell 407GXi. The certification is a requirement for the Navy Advanced Helicopter Training System competition, enab...

Norwegian to end transatlantic flights between Ireland and North America from 15 September 2019

Matthew Wood, SVP Long-Haul Commercial at Norwegian said: “As the airline moves from growth to profitability, we have conducted a comprehensive review of our transatlantic operations between...