Allegiant closes on purchase of 12 A319s

Washington DC
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Las Vegas-based Allegiant Air has closed on the purchase of 12 Airbus A319s that it announced earlier this month.

The carrier had closed on five of the 12 aircraft on 18 June, and announces today that it has closed on the remaining seven aircraft in the week of 23 June. The purchase price for the seven aircraft is $139 million, including $83.6 million through assumption of debt secured by the seven A319s.

Allegiant is acquiring the aircraft through 12 special purpose companies created for the transaction, with each owning one aircraft. The A319s are currently on lease to an European airline through 2018 and will join Allegiant's fleet as they come off the leases.

Allegiant is paying $236 million for the 12 aircraft, of which $142 million is through the assumption of debt.

The 12 A319s are part of a series of transactions that Allegiant announced on 13 June to grow its Airbus fleet. The carrier is also purchasing a A319 and A320 on top of the 12 A319s.

Separately, the airline announced it will purchase two additional A319s it already leases, and will purchase six other A319s when they are delivered in late 2014 through 2015 from lessor GECAS.