KUWAIT FINANCE HOUSE PURCHASES FOUR A320-200S

Kuwait Finance House (KFH) and Airbus signed a purchase agreement for four A320-200s on 21st February. Mohammed Al-Omar, Assistant General Manager, Investment Sector, signed on behalf of KFH, and Noël Forgeard, Chief Executive Officer, signed for Airbus.

The order follows a memorandum of understanding signed in July 2000, and is valued at about $200 million. KFH will take delivery of two aircraft in 2003 and two in 2004.

Mohammed Al-Omar stated that “this purchase is the latest step in the realisation of KFH’s strategic focus to design new, high quality, sophisticated investment opportunities compatible with Islamic Sharia, for itself and for its investing clients.”

“The Airbus A320-200 was chosen on the basis of it being the best-selling passenger aircraft in the world today. KFH intends to put the aircraft into operating leases with airlines, and the aircraft will be registered in reputable offshore locations, such that the investment can be securitised,” he added.

Ahmad Alzabin, Managing Director and Chief Executive Officer of Aviation Lease & Finance Company (ALAFCO) stated that “we recommended KFH to invest in the A320 because of its modern technology and because of its popularity with airlines, investors and lessors.” ALAFCO is a subsidiary of KFH and assisted it in the purchase of the aircraft.

KFH is a new customer for the A320 family, which consistently leads in independent passenger surveys, and which has been chosen by 130 customers and operators around the world.

“KFH is one of the longest established, largest and most highly rated Islamic investment organisations, with a pioneering approach. We welcome KFH’s decision to invest in our aircraft, and look forward to working with it and ALAFCO to grow their business to our mutual benefit,” says Airbus Chief Executive Officer Noël Forgeard.

Being an all-new design, the A320 offers passengers the widest cabin and most comfortable seats of any single-aisle airliner, as well as an unmatched combination of economy and range. The A320 family also enjoys unprecedented operational commonality with other Airbus aircraft, making it the ideal starting point for carriers that want to grow their business.

With almost 2,700 orders to its credit, the A320 family are the world’s most successful and modern airliners, in widespread service on every continent.

Airbus is jointly owned by BAE SYSTEMS (20 per cent) and EADS (80 per cent).