Engine leasing and asset management at MTU
Netherlands - Amsterdam
Background Information Current trend: leasing
The percentage of leased passenger aircraft and freighters in the worldwide fleet of aircraft has grown steadily in recent years.
In 1970, less than one percent of aircraft were leased, ten years later that figure was 1.7 percent; by 1990 it was almost ten times that. In the meantime, the figure is estimated at over 40 percent.
For the past several years, engine leasing has gained in popularity – a trend that is also on the up. Lessors include original equipment manufacturers (OEMs) and independent providers.
MTU is one of the players in this growing market.
Growing trend toward leasing
Emerging from a meeting at 10 a.m., Martin Friis-Petersen, Managing Director of MTU Maintenance Lease Services B.V. (MLS), sits down at his desk in his Amsterdam office. He has just finalized the details of a leasing contract with a customer. His expertise is in higher demand than ever: “These days, more and more airlines are leasing aircraft and engines, with demand especially for short-term leases continuing to grow,” Friis-Petersen notes. The advantage with leasing: greater flexibility and lower costs of capital.
Joint ventures pool expertise
In 2013, MTU established two joint ventures with Sumitomo, a leading Japanese trading company, to better meet the increasing demand on the part of airlines for financing models: MTU Maintenance Lease Services (MLS), in which MTU holds an 80-percent stake, and Sumisho Aero Engine Lease with an MTU interest of ten percent. Both companies specialize in engine leasing and are headquartered in Amsterdam. While MLS focuses on short- and medium-term leasing business, Sumisho Aero Engine Lease provides long-term solutions.