AerCap defers USD 300m in rents owed by airlines customers with grounded fleets

Irish Times has reported AerCap, an Irish aircraft leasing company, has deferred about USD 300 million (EUR 277 million) worth of rent from airlines with fleets grounded by COVID-19, the company said.

Dublin-based AerCap said it had revenues of USD 1.16 billion in the first three months of this year, unchanged on the same period in 2019.

AerCap said the amount to which the company leased craft had good credit quality, so it believes the chances of recovering these sums are high. Chinese airlines, which deferred rent payments earlier in the year as coronavirus spread through the country, had begun paying AerCap again, as they had restarted flying.

Companies such as AerCap buy aircraft from manufacturers including Airbus and Boeing and lease them to airlines around the world. Their revenues come from the rent paid by the carriers for the craft.