Boeing Forecasts Continued Health And Growth For Aircraft Financing In 2019 | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Recent Daily Episodes

Episode Date

Airborne Unlimited-
Monday

Airborne Unmanned-
Alt. Wednesdays

Airborne Flight Training-Alt. Wednesdays

Airborne Unlimited-
Friday

Airborne Special Programs!

Airborne On ANN

Airborne Unlimited--05.18.20

Airborne-Unmanned--05.14.20

NEW! Airborne-Flight Training--05.06.20

Airborne Unlimited--05.22.20

Airborne's Annual April 1st Episode

Airborne-YouTube

Airborne Unlimited--05.18.20

Airborne-Unmanned--05.14.20

NEW! Airborne-Flight Training--05.20.20

Airborne Unlimited--05.22.20

The 2020 Avionics Innovation Preview!

Fri, Dec 07, 2018

Boeing Forecasts Continued Health And Growth For Aircraft Financing In 2019

Financing Industry To Provide Approximately $143 Billion In Aircraft Funding In 2019

Boeing anticipates stable growth and broad, diversified funding will continue to support efficient aircraft financing in the next year.

The company’s annual Current Aircraft Finance Market Outlook (CAFMO) evaluates and forecasts financing sources for new commercial airplane deliveries in the coming year and the industry’s overall delivery financing requirements for the next five years. The CAFMO also explores trends within major funding sources and their potential impact on the broader market.

“The aircraft financing market remains healthy, with adequate commercial liquidity, providing a wide range of efficient options available for our customers,” said Tim Myers, president of Boeing Capital Corporation. “We expect another year of balanced funding for commercial airplane deliveries in 2019, mirroring the broader industry, primarily split between bank debt, capital markets and cash.”

Boeing forecasts continued strong demand for new commercial airplanes in 2019, resulting in about $143 billion in deliveries by major manufacturers, with potential to grow to more than $180 billion by 2023.  

“Driven by a growing understanding of aviation’s strong growth potential and the industry’s attractive returns, we continue to see innovations and first-time entrants into the market, providing increased capacity for funding new deliveries as well as pre-delivery payments, mezzanine debt financing and the secondary aircraft market,” Myers said.

New to this year’s report is the addition of the secondary aircraft financing market outlook, as well as expanded analysis of other funding sources, including the leasing community, tax equity and the insurance market.

Highlights of the 2019 CAFMO include:

  • Funding for deliveries is expected to be balanced between commercial bank debt and capital markets and cash.
  • Airlines and lessors are expected to have some of their lowest historical costs of financing.
  • Capital markets continue to grow, bolstered by unsecured borrowing.
  • Aircraft leasing has grown to represent more than 40 percent of in-service commercial aircraft ownership.
  • Export credit agencies remain a small but critical funding source, particularly in the United States.
  • Strong industry fundamentals are attracting more participants and investment in new deliveries and the used aircraft market.

(Source: Boeing news release)

FMI: www.boeing.com/CAFMO

Advertisement

More News

Aero-News: Quote of the Day (05.26.20)

“By conducting advanced at sea tests against UAVs and small craft, we will gain valuable information on the capabilities of the Solid State Laser Weapons System Demonstrator >[...]

ANN's Daily Aero-Term (05.26.20): High Speed Taxiway

High Speed Taxiway A long radius taxiway designed and provided with lighting or marking to define the path of aircraft, traveling at high speed (up to 60 knots), from the runway ce>[...]

Virgin Orbit Addresses Failure of First Launch Attempt

The Valiant Attempt To Reach Orbit Also Recognized and Lauded by SpaceX' Elon Musk It was not the best of days for the team at Virgin Orbit, but it was an educational one. After ha>[...]

AMA Staying Active In 'DC' Despite Pandemic Issues

AMA Offers A Government Affairs Update Our friends at AMA remain busy trying to keep the more ignorant factions of our government from doing any more damage to the model aviation c>[...]

Destination Aviation Summer Camp Goes Online

Content Designed For Campers 11-17 Years Old The Aerospace Center for Excellence, Inc has announced that it will host its Destination Aviation Summer Camp for participants online f>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2020 Web Development & Design by Pauli Systems, LC