December 31, 2018

Icelandair closes on PDP finance

Icelandair Group in late December closed on a pre-delivery payment (PDP) finance facility related to B-737max aircraft, scheduled for delivery in 2019 and 2020.

Total amount of the financing facility is approximately $200 million but the company’s liquidity increased by $160 million by the end of 2018 due to the agreement.

The carrier has placed orders for nine B-737max8 and seven B-737max9 aircraft, three of which have been delivered.

… Icelandair closes on sale and leasebacks

In addition to the PDP facility the parties have also agreed to a sale and leaseback of two B-737max aircraft, with deliveries scheduled for 2019 and 2020.

Lease term is 12 years but includes a purchase option 30 months into the lease.