ALAFCO and Garuda Sign Agreements For The Sale and Leaseback of 2 B777-300ER Aircraft
Kuwait City, 22 April 2013 – ALAFCO Aviation Lease And Finance Company and PT Garuda Indonesia (Persero) Tbk jointly held a ceremony today in Jakarta to commemorate the signing of agreements for the sale and leaseback of 2 new Boeing 777-300ER aircraft. Under the transaction, Alafco shall acquire the aircraft from Garuda and lease them back to the airline for a period of twelve years. The aircraft are expected to be delivered from Boeing in June and July 2013.
Present at the signing ceremony were Alafco's Chairman, Mr. Ahmad A. Alzabin, and Garuda's Chief Executive Officer, Mr. Emirsyah Satar.
In a statement released after the ceremony, Mr. Alzabin said "ALAFCO is very proud to have Garuda as a new customer. The airline's management and Board have done a remarkable job in turning this airline around and making it the pride of Indonesia, and he is confident the airline will continue to reach new heights in the coming years. This transaction is the first for Alafco in Indonesia, where the aviation industry is growing rapidly on the back of a strong economy that is forecasted to grow at an average rate of 6-7% annually until 2017 and be among the top six global economies by 2030". He went on to say "the B777-300ER shall be the first in Garuda's fleet and is the best aircraft in its class today that will provide the airline and its customers years of reliable service and comfort. The leases for these two aircraft are structured in accordance with Islamic Shariah principles". Finally, Alzabin said "he looks forward to more opportunities to support Garuda's fleet expansion plan.”
Alafco is a Shariah-based aircraft leasing company with its headquarters in Kuwait. The company is listed on the Kuwait stock exchange and its ticker symbol is ALAFCO. Alafco has in its portfolio 50 Boeing and Airbus aircraft that it leases to airlines around the world.