| Leasing has become a common technique to acquire | | | | statistics, there are about 12500 commercial aircrafts in |
| an aircraft, since this asset has become expensive | | | | the world, among which about 2500 work on operating |
| and always subject to a variety of laws and | | | | lease. |
| regulations. One of its prime advantages is that it helps | | | | It is always preferable to acquire aircraft leasing |
| to defray cost considerably. Leasing aircraft is most | | | | services from Commercial Aircraft Sales and Leasing |
| common in military aviation. Further, individuals, pilots, | | | | ? a collective term given to organizations engaged in |
| commercial aviations, and government agencies utilize | | | | marketing airliners from manufacturers such as Boeing |
| leasing options. Both short term and long term aircraft | | | | and Airbus. A countless number of other providers, |
| leasing options are available. | | | | such as commercial banks, financial institutions, and |
| Aircraft leasing transactions are categorized into | | | | hedge funds, are also in the scenario to make available |
| finance leasing and operating leases. Finance lease is | | | | aircraft leasing services. Of which prominent are GE |
| required to meet any of these criteria: a lease term | | | | Commercial Aviation Services (GECAS) and |
| greater than 75% of the aircraft?s estimated life, | | | | International Lease Finance Corporation (ILFC). |
| option to purchase the asset for less than fair market | | | | As part of full service lease, most render maintenance |
| value, or ownership of the asset to be transferred to | | | | management including AOG and heavy maintenance |
| the lessee when lease expires. It is always enhanced | | | | functions. Besides, companies like CIT Group Inc. offer |
| by tax benefits and is shown on the balance sheet of | | | | leasing as well as financing packages for new and |
| the lessee. Generally, it is for a long term period. On the | | | | used commercial and corporate aircrafts. Customized |
| other hand, an operating lease is usually signed for a | | | | aircraft leasing packages that are designed according |
| short term period. Presently, aircraft leasing is mostly | | | | to the needs of the clients are also available |
| on the basis of this type of lease. According to | | | | nowadays. |