STAMFORD, Conn., Dec. 19, 2013 /PRNewswire/ -- Aircastle
Limited (the "Company" or "Aircastle") (NYSE: AYR) announced today that it has formed a
joint venture to invest in leased aircraft (the "Joint Venture")
with an affiliate of Ontario Teachers' Pension Plan ("Teachers'"),
the largest single-profession pension plan in Canada. The
Joint Venture's first investment is two Airbus A330 family aircraft
manufactured in 2013 and leased to Indonesian flag carrier, PT
Garuda Indonesia (Persero) Tbk. Both aircraft were purchased
from Aircastle, which had acquired them earlier this year upon
delivery from Airbus. Over time, the Joint Venture hopes to
acquire between $500 million to $1
billion of aircraft investments. Aircastle will source
and service these investments, complementing the growth in its own
portfolio.
Ron Wainshal, Aircastle's Chief
Executive Officer, commented, "We are pleased to expand our
relationship with Teachers' through this aircraft leasing
venture. We believe that by working together we will be able
both to secure larger transaction opportunities and to manage
portfolio exposures while continuing to maintain strong servicing
relationships with our airline customers. This joint venture,
along with the recent strategic investment in our Company by
Marubeni Corporation, our largest shareholder, also strengthens
Aircastle's capital structure and our competitive
position."
Aircastle will provide marketing, asset management and
administrative services to the Joint Venture and will be paid
market-based fees for those services. The Company is not
obliged to source investments for the Joint Venture or to offer any
minimum number of investments to the Joint Venture, and neither
partner is obliged to invest in specific
transactions.
Teachers' investment was led by its Long-Term Equities group,
which focuses on direct investments with steady cash flow, growth
potential over a long-term horizon and a low to moderate level of
risk. Teachers' currently owns a minority stake in Aircastle
consisting of 6.9 million shares.
"Teachers' looks forward to working with Aircastle to grow the
joint venture," said Lee Sienna, Vice-President of Teachers'
Long-Term Equities. "Having the ability to invest in aircraft
leasing alongside a skilled partner is very attractive and makes
this a unique investment vehicle for us."
About Aircastle Limited
Aircastle Limited acquires, leases and sells commercial jet
aircraft to airlines throughout the world. As of September 30, 2013, Aircastle's aircraft
portfolio consisted of 161 aircraft on lease with 68 customers
located in 37 countries.
About Teachers'
With $129.5 billion in net assets
as of December 31, 2012, the Ontario
Teachers' Pension Plan is the largest single-profession pension
plan in Canada. An independent organization, it invests the
pension fund's assets and administers the pensions of 303,000
active and retired teachers in Ontario. For more information, including our
2012 and previous annual reports, visit www.otpp.com. Follow
us on Twitter @OtppInfo
Safe Harbor
Certain items in this press release and other information we
provide from time to time, may constitute forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995 including, but not necessarily limited to,
statements relating to our proposed public offering of notes and
our ability to acquire, sell, lease or finance aircraft, raise
capital, pay dividends, and increase revenues, earnings, EBITDA,
Adjusted EBITDA and Adjusted Net Income and the global aviation
industry and aircraft leasing sector. Words such as "anticipates,"
"expects," "intends," "plans," "projects," "believes," "may,"
"will," "would," "could," "should," "seeks," "estimates" and
variations on these words and similar expressions are intended to
identify such forward-looking statements. These statements are
based on management's current expectations and beliefs and are
subject to a number of factors that could lead to actual results
materially different from those described in the forward-looking
statements; Aircastle can give no assurance that its expectations
will be attained. Accordingly, you should not place undue reliance
on any forward-looking statements contained in this press release.
Factors that could have a material adverse effect on our operations
and future prospects or that could cause actual results to differ
materially from Aircastle's expectations include, but are not
limited to, capital markets disruption or volatility which could
adversely affect our continued ability to obtain additional capital
to finance new investments or our working capital needs; government
fiscal or tax policies, general economic and business conditions or
other factors affecting demand for aircraft or aircraft values and
lease rates; our continued ability to obtain favorable tax
treatment in Bermuda, Ireland and other jurisdictions; our ability
to pay dividends; high or volatile fuel prices, lack of access to
capital, reduced load factors and/or reduced yields, operational
disruptions caused by political unrest in North Africa, the Middle East or elsewhere, and other factors
affecting the creditworthiness of our airline customers and their
ability to continue to perform their obligations under our leases;
termination payments on our interest rate hedges; and other risks
detailed from time to time in Aircastle's filings with the
Securities and Exchange Commission ("SEC"), including as previously
disclosed in Aircastle's 2012 Annual Report on Form 10-K, and in
our other filings with the SEC, press releases and other
communications. In addition, new risks and uncertainties emerge
from time to time, and it is not possible for Aircastle to predict
or assess the impact of every factor that may cause its actual
results to differ from those contained in any forward-looking
statements. Such forward-looking statements speak only as of the
date of this press release. Aircastle expressly disclaims any
obligation to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change
in its expectations with regard thereto or change in events,
conditions or circumstances on which any statement is based.
For more information regarding Aircastle and to be added to our
email distribution list, please visit http://www.aircastle.com.
Contact:
Frank Constantinople
SVP Investor Relations
Tel: +1-203-504-1063
fconstantinople@aircastle.com
The IGB Group
Leon Berman
Tel: +1-212-477-8438
lberman@igbir.com
SOURCE Aircastle Limited