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Potential
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Sales Financing
Advantages of leasing
- long-term (up to 15 years) financing of aircraft purchase with minimum equity investments
- providing by the lessor of an effective airworthiness support system for acquired aircraft
- obtaining additional airworthiness and performance guarantees from the lessor
- reduction of costs of aircraft acquisition through using state subsidizing for part (up to 30%) of lease payments
- use of tax benefits under leasing:
a. exemption from property tax
b. possibility of accelerated depreciation of the lease object.
Financial lease
Ilyushin Finance Co. supplies aircraft to customers for financial lease for a term of up to 15 years. On termination of the lease term, the title for the aircraft will pass to the customer.
The basic financial terms provide for an initial advance payment in the amount of up to 10% of the aircraft price, and subsequent monthly lease payments in the amount conforming to the world practice applied for financing similar programs.
Within the lease term, the customer may buy the aircraft at an agreed price.
Operating lease
Ilyushin Finance Co. supplies aircraft to customers for operating lease for a term from 7 to 10 years.
The basic financial terms provide for monthly lease payments. The amount of such payments is established depending on the lease term. Upon termination of the lease term, the aircraft is returned to the lessor.
Export Supplies Financing
Ilyushin Finance Co. arranges customer financing in the framework of the Russian Government Export Support Program.
Standard terms of financing under the RF Government export credit guarantees:
- 85% of the contract value
- in rubles or foreign currency
- for a term of 10-12 years
- secured by a sovereign guarantee or guarantee of first-class bank or pledge of the aircraft
- interest rate under the export support program is fixed at a level similar to export support programs of OECD member countries
Performance support and aircraft value guarantees
For a separate fee, Ilyushin Finance Co. will provide:
- performance guarantees, including weight and fuel consumption guarantees
- dispatch reliability guarantee
- residual value guarantee
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