ALAFCO Aviation Lease and Finance Company announced its financial results for the first quarter of the current fiscal year that ended 31 December 2010.

Kuwait City, Kuwait – 18 January 2011 ALAFCO Aviation Lease and Finance Company announced its financial results for the first quarter of the current fiscal year that ended 31 December 2010. The company earned a net profit of KD 21.8 million during the period, increasing around ten fold compared to KD 2.3 million reported during the same period last year. Earnings per share also rose around ten times to 28 Fils, compared to 3 Fils last year. Total revenue during the quarter jumped 43% to KD 12.4 million compared to KD 8.7 million during the previous year. The company’s total assets increased by 30% to KD 589 million and shareholders’ equity increased by 25% to KD 119.5 million during the period.

In a press statement issued after a board meeting, company Chairman and CEO, Mr. Ahmad A. Alzabin, said the results were in line with expectations. The sharp increase in profit this quarter as compared to last year was due to amendments to some contracts that contributed additional one-time revenue of around KD 20 million. He said Alafco strives to achieve high returns for its shareholders.

Alzabin said the company met its obligations to airline customers during the quarter by delivering on schedule two Airbus A320-200 aircraft to Saudi Arabian Airlines, three new Boeing B737-800 aircraft to Ethiopian Airlines and two new Boeing B737-800 aircraft to Okay Airways in China. Financing for the newly acquired aircraft was obtained from local and international banks in the amount of US $185 million. He said the company plans to increase the size of its leased aircraft portfolio to 100 by 2015 and continue its expansion regionally and globally.

ALAFCO is a Kuwait-based aircraft leasing company and has been listed on the Kuwait Stock Exchange since October 2006. The company leases Airbus and Boeing aircraft to various airlines in Europe, Asia, Africa and the Middle East.

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