Skip to content
AidData logo

Overview

BOC Aviation leases two Embraer E190 aircraft to TUI Travel plc

Commitment Year•2012Country of Activity•United KingdomDirect Recipient Country of Incorporation•United KingdomOverseas Jurisdiction•SingaporeSector•Transport And StorageFlow Type•Loan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Oct 1, 2012
Start (planned)
Jan 1, 2013
Start (actual)
Feb 28, 2013
End (planned)
Jun 30, 2013
End (actual)
Jun 30, 2013

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

  • TUI Travel plc

Loan description

BOC Aviation leases two Embraer E190 aircraft to TUI Travel plc

Interest type•Unknown

Narrative

Full Description

Project narrative

On or around October 1, 2012, BOC Aviation signed lease agreements with TUI Travel plc — a United Kingdom-based leisure travel and charter tour operator company majority-owned by Germany's TUI AG — for two new Embraer E190 aircraft. The aircraft were scheduled to be delivered in the first half of 2013 and be operated by Belgium-based Jetairfly, another TUI subsidiary. The first aircraft was delivered on or around February 28, 2013, with the second scheduled to be delivered in March 2013. Jetairfly planned to operate the aircraft from Brussels and fly to destinations in its European network including Faro, Portugal, Málaga, Spain, and Zakynthos, Greece. The other aircraft was delivered before June 30, 2013.

Staff comments

. A lease is a contractual arrangement calling for the lessee (user) to pay the lessor (owner) for use of an asset. The lessor is the legal owner of the asset, while the lessee obtains the right to use the asset in return for regular rental payments. Under a capital lease (a financial arrangement where the lessee/borrower uses an asset and pays regular installments plus interest to the lender/lessor), rental payments are usually classified as interest and obligation payments, similarly to a mortgage (with the interest calculated each rental period on the outstanding obligation balance). AidData codes capital leases as loans.