Overview

BOC Aviation enters into sale-and-leaseback agreement with Azul Linhas Aéreas Brasileiras S/A for four Embraer E195 aircraft

Commitment Year•2011Country of Activity•BrazilDirect Recipient Country of Incorporation•BrazilOverseas Jurisdiction•SingaporeSector•Transport And StorageFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date: Nov 1, 2011

End (planned): Jun 30, 2012

Last repayment (originally scheduled): Oct 29, 2021

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownership

Funding agencies

State-owned companies

BOC Aviation Limited

Receiving agencies

Private Sector

Azul Linhas Aéreas Brasileiras S/A

Loan description

BOC Aviation enters into sale-and-leaseback agreement with Azul Linhas Aéreas Brasileiras S/A for four Embraer E195 aircraft

Interest type•UnknownMaturity•10 years

Narrative

Full Description

Project narrative

In November 2011, BOC Aviation entered into a purchase and leaseback agreement with Brazilian airline Azul Linhas Aéreas Brasileiras S/A for four Embraer E195 aircraft. The lease tenor was at least 10 years, according to a spokeswoman for BOC Aviation. Two aircraft had been delivered by December 2012 and the remaining two were scheduled to be delivered by the second quarter of 2012.

Staff comments

1. Sale and leaseback (or sale-leaseback) agreements are generally considered to be off-balance-sheet hybrid debt products.