Dreaming of more Dreamliners

THE DUBLIN-based aviation unit of Orix is in talks with customers of Boeing’s 787 Dreamliner to buy the new aircraft and lease…

THE DUBLIN-based aviation unit of Orix is in talks with customers of Boeing’s 787 Dreamliner to buy the new aircraft and lease it back to the airlines, helping to expand the finance company’s fleet and market share.

Orix Aviation is discussing 10- 12-year lease agreements, David Power, the unit’s chief executive officer, said.

He declined to name specific companies or how many aircraft he was aiming to buy.

The company is also opening an office in Singapore, Orix Aviation’s first outside Ireland, by September, with Power arguing that a presence in Asia is vital to its growth targets.

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The Irish subsidiary of Japanese group Orix currently owns 130 aircraft and works with 65 airlines worldwide. It was looking to increase this to 250 planes and 100 customers, Power said.

However, the company said it did not plan to order any aircraft directly from the manufacturer.

Boeing noted last month that Asia-Pacific airlines may take delivery of as many as 12,030 new aircraft over the next 20 years.

“To expand our customers and keep our growth, we must open a base there,” Power observed.

Japan Air Lines and All Nippon Airways are currently the only airlines flying the Dreamliner and, while both have a number on order, neither had any plans to lease them, a spokesman said.

However, the board of Air India, which has also ordered a number of the aircraft for its fleet, has approved the sale and leaseback in principle as part of a restructuring.