SMBC Aviation Capital announces plans to merge with both SMFL Aircraft Capital Corporation and Sumisho Aircraft Asset Management, and officially launches in Tokyo and Dublin

October 15, 2012 – SMBC Aviation Capital, the world’s fourth largest aircraft lessor, announced today that it plans to merge its shareholders’ other aircraft leasing-related companies, SMFL Aircraft Capital Corporation and Sumisho Aircraft Asset Management, into its existing operations.

The merging of the three entities will result in the value of SMBC Aviation Capital’s portfolio growing to over $10bn, with the number of owned and managed aircraft increasing from 240 to 331. The deal will also mean the addition of 13new airline customers to SMBC Aviation Capital’s client base, and the company’s total headcount will be increased from around 70 to over 80 employees. Both SMFL Aircraft Capital Corporation and Sumisho Aircraft Asset Management are based in Amsterdam and will remain there following the merger. Subject to certain regulatory approvals being granted, the transactions are set to be completed in early 2013.

Commenting on the news, Peter Barrett, CEO of SMBC Aviation Capital, said: “This is a very positive development for all of SMBC Aviation Capital’s stakeholders. The merger will add further scale, expertise and product offerings to our already strong platform and is a significant step forward in terms of helping us to achieve our ambitious plans for the business. We believe that there is likely to be further consolidation in the aircraft leasing industry in the future, and that this transaction will help position us to take advantage of that trend.”

Yoshinori Kawamura, CEO of Sumitomo Mitsui Finance and Leasing, which is one of the shareholders of SMFL Aircraft Capital Corporation and is also a shareholder of SMBC Aviation Capital, said: “This merger should be taken as a sign of our strong commitment to the aircraft leasing business and, with SMBC Aviation Capital at the centre of our activities in this area, we intend to continue to expand our footprint in the sector.”

Yasuyuki Abe, Director and Senior Managing Executive Officer of Sumitomo Corporation, which is another shareholder of SMFL Aircraft Capital Corporation, the sole shareholder of SAAM and also a shareholder of SMBC Aviation Capital, said: “The allocation of our aircraft leasing-related companies to SMBC Aviation Capital will maximise the synergies that exist between the three businesses, and will provide us with a solid foundation for future growth.”

In addition, SMBC Aviation Capital is being officially launched at an event in Tokyo later today. This will be followed on Wednesday by a launch in Dublin, where the company is headquartered.

Commenting on the launch, Ireland’s Taoiseach, Enda Kenny, said: “I understand this launch represents one of the largest ever transactions in Irish corporate history creating one of the world’s largest aircraft leasing companies. SMBC Aviation Capital will help Ireland to strengthen its position as a leading hub for this sector, and demonstrates the attractiveness of our legal, regulatory and taxation regimes. The Government sees significant potential for further growth and job creation in this industry, and I wish the company every success as it continues to go from strength to strength.”