The COVID-19 pandemic has challenged the commercial aviation industry like never before. Even though we continue to grapple with the impacts of COVID-19, we are beginning to see global demand for airline passenger capacity recovering.
But recovery requires readiness.
The aircraft leasing community has demonstrated resilience and smart long-term thinking through the pandemic, enabling readiness and positioning lessors to play a key role in the industry’s recovery.
For context, in 1980 the number of aircraft under lease was about 2% of the global commercial fleet. That figure has grown exponentially in recent years. As noted in Boeing’s most recent Current Aircraft Finance Market Outlook, at the end of 2018, the lessor-owned share of the commercial aviation fleet was 41% and by the end of 2020, leased aircraft represented 46% of the flying fleet, expanding through the pandemic period. Even prior to the pandemic, aircraft lessors owned an expanding share of the global fleet, and we should expect that trend to continue. As a result, the recovery of commercial air travel will likely be accompanied by a significant volume of aircraft transitions and re-deliveries, requiring lessors to move aircraft out of storage, back into service, often with new airlines and operators.
Boeing Global Services (BGS) is ready to help lessors with this process. We provide aircraft transition support to lessors in order to efficiently move aircraft from one operator to the next, creating value by helping extend the economic life of the airplane. We’ve structured the BGS solutions to align with the unique requirements that a lessor encounters in each phase of the transition process, from aircraft re-delivery, to aircraft storage, maintenance, modification and interior reconfiguration, to delivery to the next operator. Our aircraft transition services enable lessors and operators to maximize aircraft utilization by making their transition as efficient and swift as possible.
Commercial aviation is a pillar of the global economic recovery, and commercial aircraft lessors are critical enablers to the industry’s success – now more than ever before. Boeing Global Services stands ready to deliver the support and solutions the leasing community requires to return the commercial fleet to the skies.
For more information, visit our Lease Transitions webpage.