Norwegian to focus on new deliveries with new leasing entity

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Norwegian will concentrate on new Boeing 737-800 deliveries through its new Irish leasing entity, September Aviation Assets, according to a source at the budget carrier.

The first aircraft to be placed under the control of the fully-owned asset management company is a delivery due later this month.

Norwegian has secured US Export-Import (Ex-Im) guaranteed financing on some of its 2013-15 new deliveries along with pre-delivery payments. It has one 737-800 to delivering this month, two in November and two in December according to Flightglobal’s Ascend online database. Next year, the Norwegian carrier will receive 11 737-800s followed by six in 2015.

“The aircraft we will put into the Irish entity will not be financed with Ex-Im guarantee,” says the source.

He adds that the aim is not to take existing aircraft into the structure.

Norwegian has an order backlog for 62 737-800s to be delivered through the end of 2018.

The 100 Boeing 737 Max fleet is scheduled to join between 2017 and 2012, but Norwegian has an additional 100 aircraft on option.

The Airbus A320 neo deliveries, which start in 2016, are not planned to be included into the leasing entity at this stage, he says.

September Aviation Assets is being incorporated under Irish regime and will have US dollars as its functional currency.