DUBLIN, Sept. 18, 2015 /PRNewswire/ -- FLY Leasing
Limited (NYSE: FLY) ("FLY"), a global leader in aircraft leasing,
today announced that it has contracted to sell 12 older aircraft
from its portfolio for $240 million.
The sale is anticipated to produce a $12
million pre-tax gain. In connection with the transaction,
FLY anticipates recording $3 million
in non-cash charges relating to debt modification and
extinguishment costs. The aircraft will transfer individually to
the new owner, with all transfers expected to be completed by year
end. The gain and the associated expenses will be recognized on a
pro rata basis at the time of each transfer. The sale is subject to
customary closing conditions.
"FLY is moving decisively to monetize older aircraft and to
reinvest the capital into younger aircraft to drive higher ROE,"
said Colm Barrington, CEO of FLY.
"In total, this year we have sold or contracted to sell 57 aircraft
with an average of 13 years."
"This bold action reflects our view that this is the right time
to rotate out of mid-life and older aircraft and to invest in
younger models," added Barrington. "We are improving every
measurable fleet metric to drive higher ROE in the quarters ahead.
The 12 aircraft in the transaction announced today have an average
age of 13 years and the sales will produce approximately
$80 million in cash. This is on top
of the $35 million gain and
$425 million in cash to be generated
by the portfolio sale of 33 aircraft previously announced in
June."
Separately, FLY completed a sale of a 22-year-old B747-400
aircraft earlier this month.
About FLY
FLY is a global aircraft leasing company with a fleet of modern,
high-demand and fuel-efficient commercial jet aircraft. FLY leases
its aircraft under multi-year operating lease contracts to a
diverse group of airlines throughout the world. FLY is managed and
serviced by BBAM LP, a worldwide leader in aircraft lease
management and financing. For more information, visit
www.flyleasing.com.
Cautionary Statement Regarding Forward-Looking
Statements
This press release contains certain "forward - looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements may be identified by
words such as "expects," "intends," "anticipates," "plans,"
"believes," "seeks," "estimates," "will," or words of similar
meaning and include, but are not limited to, statements regarding
the outlook for FLY's future business and financial performance.
Forward-looking statements are based on management's current
expectations and assumptions, which are subject to inherent
uncertainties, risks and changes in circumstances that are
difficult to predict. Actual outcomes and results may differ
materially due to global political, economic, business,
competitive, market, regulatory and other factors and
risks, including, without limitation, the possibility that the
transaction will not close in a timely fashion, or at all, the risk
that the expected benefits of the transaction may not be fully
realized, and the risk that business disruption relating to the
transaction may be greater than expected. Further information on
the factors and risks that may affect FLY's business is included in
filings FLY makes with the Securities and Exchange Commission from
time to time, including its Annual Report on Form 20-F and its
reports on Form 6-K. FLY expressly disclaims any obligation to
update or revise any of these forward-looking statements, whether
because of future events, new information, a change in its views or
expectations, or otherwise.
Contact:
Matt Dallas
FLY Leasing Limited
+1 203-769-5916
ir@flyleasing.com
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SOURCE FLY Leasing Limited