Acquisition of two further aircraft and lease t...
LSE: AVAP
26 January 2012
AVATION PLC
(the "'Company')
Acquisition of two further aircraft and lease to Virgin Australia
Avation PLC is pleased to announce that it has entered into an agreement to acquire, an additional two
new ATR72-500 aircraft.
These aircraft will be leased by the Company to Australian carrier Skywest Airlines, which will
operate the aircraft on behalf of Virgin Australia, pursuant to a 10-year wet-lease contract. The two
airlines and the Company are making arrangements to take delivery of the new aircraft forthwith. It is
anticipated that the leases will both commence within fourteen days of the date of this announcement.
The operation of these aircraft constitutes a part of the Australian Regional Airline Network ("ARAN")
Agreement between Skywest Airlines and Virgin Australia, under which, the parties have agreed that
Skywest Airlines will operate a fleet of Aircraft on regional Australian routes on behalf of Virgin
Australia and branded in the Virgin Australia brand. These two aircraft are to be leased as
additional aircraft to the previously announced delivery stream. The acquisition costs have been
funded by a combination of internal funds and finance lease from the vendor. These two aircraft are
new and additional to the Company's previously announced firm and option orders direct with the ATR
Manufacturer.
Jeff Chatfield, Chairman, Avation PLC commented:
"We are delighted to have expanded our portfolio with the opportunistic acquisition of these two new
additional aircraft and to have acquired this using internal funding. These aircraft add to those
scheduled for firm delivery from ATR over the course of the next few years, further demonstrating the
Company's strategy to build a significant portfolio of these aircraft."
--ENDS--
Information on AVATION PLC can be found at www.avation.net
Avation PLC is registered in England and Wales with an Operational Headquarters in Singapore.
Avation PLC
Jeff Chatfield, Executive Chairman +44 7783 942 553
Financial Public Relations
Bishopsgate Communications
Nick Rome/Shabnam Bashir +44 207 562 3350
Website
www.avation.net
Avation plc
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