leasing companies how to solve money problems

Denver Nuggets aviation leasing market for hundreds of millions of Air leasing has become increased airline capacity in important ways. According to the civil aviation authority is expected, the "Twelve-Five" period, China's aviation market will reach $ 60 billion, with an average annual value at more than US $ 10 billion of new aviation leasing market. BOCOM financial leasing company air lease Department director Li Ling in Airbus production line in China recently 88th aircraftDelivered onsite to accept the China Securities newspaper interview pointed out that aviation leasing has become the focus of many domestic banks of leasing companies to develop their business, have broad market prospects, but also policy issues such as environment, sources of funding, such as incomplete. Now leasing companies are "legs", through free trade zone SPV outside leasing, leasing and other ways to expand aviation leasingWorks. Policies and environmental improvement in China Securities journal: how to treat the aviation leasing market prospect? Whether it be under the influence of the current situation in the aviation industry downturn? Now what are the constraints? Li Ling: aviation leasing in international development for a long time, the tests continue through multiple economic cycles. Compared to the airline industry, aviation leasing business run more stable. Especially domesticAviation leasing, smaller base itself, and many of China's aviation market opportunities, thus broad prospects for development. At present, banks of aviation leasing company leases as a key development directions. But domestic policy environment of aviation leasing, sources not yet adequate, more control, but also has improved. When purchasing aircraft in the past, customs duties view the site, VAT and other combinedRate 22.85%, only air enterprise can enjoy preferential rates, high cost of leasing companies to step in. Now, the bonded zone bonded lease this platform visit the site, can enjoy preferential rates with 5.04% navigation and enterprise, which makes Chinese leasing enterprises leasing company with foreign stations operating on the same platform. China Securities News: airline for whichSome choose to lease aircraft? Li Ling: airline arrangements generally considered routes as well as the balance sheet. Introduction of aircraft if all loans, debt to asset ratio is too high, have an impact on future navigation and enterprise sustainable development and therefore may select an operating lease; if this type is a short-term arrangement, may also introduce new models in the future, they may lease;If provisional to open routes for the airline, aircraft could not buy at manufacturers in the short term, it is possible by leasing aircraft to make up for the shortage of capacity. In General, mainly based on structural adjustment, optimization of finance, short term capacity and other considerations. At present, the domestic Airlines plane with more than one-third was introduced by means of leasing, also on internationalThis. Bank leasing companies are more competitive advantage in China Securities News: aviation leasing involving large volumes of funds, leasing companies how to solve money problems? Christina Lee: "legs". Bank Leasing, for example, through domestic bank loans, and second, by foreign channels. In addition, will also consider measures such as debt such as Bank Leasing is the first bank in betweenLeasing company to issue Yuan bonds, are now studying the possibility of issuing bonds. Currently, Airbus, Boeing or other small aircraft manufacturers, clearing $ are used, while the country of billions of dollars is not sufficient. Domestic leasing companies therefore also hope that huge reserves can be part of the domestic leasing companies use. This has two benefits: first,, Foreign attention to safety, and long life of aircraft assets themselves, high security standards, insurance mechanisms improve, for aircraft leasing is appropriate and, secondly, its benefits relative to the purchase of United States bonds is higher. China Securities journal: China's leasing company mainly engaged in aviation leasing business with banks in the background and with the aviation industry in the background of two classes. Bank backgroundWhat are the features and advantages of leasing companies? Li Ling: comparison of their financial strength, suitable for participation in aviation leasing leasing of such capital-intensive and technology-intensive business. This is valid for Bank added that rely primarily on spread income mode expansion relying on the profitability of investment channels. Aircraft leasing in domestic developments will mainstream banks. Advantages are threefold:High is a strong financial strength, credit rating, with a certain degree of financial advantages, such as bank leasing company total assets exceeded $ 60 billion yuan; the second advantage is a bank with a global distribution network, may use different countries around the world, capital of the region for customer service; third, banks risk prevention mechanism for improving, risks for aircraft leases have some help.China Securities journal: be able to get Bank Leasing, for example, briefly explain the current business model and development of aviation leasing? Christina Lee: currently, the aircraft lease business model includes a traditional sale and rent-back, free trade zone SPV operations may include territory outside finance leasing, operating leasing, and through SPV leasing. Bank now has certainPeople trade, that is, "after the first customer aircraft", is also gradually taking into account some of the mainstream model of order in future that we accepted mainstream models will also have a direct order. Our customers include Air China, China Southern Airlines, China Eastern Airlines, Hainan Airlines, Shenzhen Airlines, such as spring and autumn, auspicious, Tianjin and Hebei airlines, models including the 320 series, 737NG, 330,67, and so on, there is a business jet aircraft. Aviation leasing will be the key development directions of Bank Leasing, but the emphasis will be on air transport aircraft. At present the company is leasing 17 aircraft, this year is expected to expand to 30 aircraft, the contract amount is expected to be around 6 billion yuan.