SAS Group has closed engine sale and leaseback transactions with two lessors, Willis Lease Finance and Willis Mitsui Engine Support.
The $120 million transaction features 19 spare engines and is divided in four tranches, the first of which has already closed. The remainder are scheduled to complete by mid-March.
The proceeds from the sale will help to improve the financial position, says SAS Group.
"Part of our 4XNG plan for a profitable SAS is to increase liquidity from asset sales, and with this partnership and agreement we now deliver the first of our sales initiatives," says SAS Group chief financial officer Göran Jansson.
"This sale and leaseback transaction with SAS is a milestone achievement for Willis and our joint venture leasing company Willis Mitsui not only because of its size but also its complexity," says Charles F. Willis, Chairman and CEO, of Willis Lease Finance.