Sanad Aero Solutions Executes Component Financing and Access Agreement with Virgin Australia

28 September 2011, Abu Dhabi: Sanad Aero Solutions (Sanad), Mubadala Aerospace’s component and engine financing solutions company, has executed a comprehensive financing and access agreement with Virgin Australia for the carrier’s Boeing 737NG and Embraer E-Jet spare aircraft components.

The new transaction follows the agreement signed in August 2011 between Virgin Australia, Sanad, and SR Technics, also part of Mubadala Aerospace. That agreement leverages the full scope of Mubadala Aerospace’s global maintenance, repair and overhaul (MRO) capabilities and includes major component maintenance and technical training agreements supporting the carrier’s Airbus A330 fleet. It is complemented by a broad scope component financing solution from Sanad.

The new transaction announced today facilitates the further expansion of Mubadala Aerospace’s MRO relationship with Virgin Australia to cover the carrier’s Boeing 737NG and Embraer E-Jet fleets.

Troy Lambeth, Sanad CEO, commented, “This agreement represents Sanad’s single largest transaction to date and expands our partnership with Virgin Australia. These agreements create additional liquidity and fiscal flexibility for Virgin Australia and support SR Technics and Abu Dhabi Aircraft Technologies (ADAT) as they expand their long-term maintenance and technical training partnership with the carrier. Since its launch in early 2010, Sanad has entered into a number of asset transactions valued now in excess of US$ 250 million with associated long-term MRO contracts valued in excess of US$ 1.6 billion.”

Key agreements signed by Sanad include large scale component inventory agreements with ADAT and SR Technics; an Integrated Engine Solution (IES) with German carrier airberlin; and a broad scope integrated component solution in support of UAE carrier Etihad Airways for the airline’s entire Airbus fleet.