The Research On Aircraft Finance Lease Of China Northwest Airlines

Aircraft lease derives from lease in Europe, but the modern aircraft lease was created by US in 1960's. At the beginning of 1980's,china started to made aircraft lease. During the following twenty years, aircraft lease developed rapidly. Domestic airlines are short of the funds to buy aircraft. They are facing the problem which is how to introduce the new aircraft by choosing the financing with lower cost.Firstly, the essay gives the conception of aircraft lease through the lease theory. At the same time, It clarifies the virtue of aircraft finance lease by comparing the finance lease with capital, loan, issuing stocks and installments.Secondly, the essay compares and analyses the cross-board aircraft finance lease in developed countries which includes the English lease, US leverage lease, Japanese leverage lease and German leverage lease. China can make use of good experience from them. Because the rapid development of aircraft finance lease and the requirement of being one member of WTO, it is more important for China to research the law of lease. Referring to the International Finance Lease Convention, the essay points out that the Civil Aviation law needs revising and amendments. It analyses the risks which impacts on aircraft finance lease and establishes the procedure and method of aircraft finance lease. The risk factors which have a bad impaction on aircraft lease has been approached and the way to avoid the risks has been raised.Last, with years practice in China Northwest Airlines, the author givestwo true cases of aircraft operating lease and aircraft finance lease. Then, the essay puts forward to the conclusion: we must value and appraise the different aircraft lease schemes according to the airline's strategy and goal before introducing the new aircraft.