Volga-Dnepr to own more 747-8Fs with lease conversions

Russia-based Volga-Dnepr Group is set to take ownership of more of the 747-8Fs its affiliate AirBridgeCargo operates, after the group converted the operating lease of a second 747-8F from Voyager Aviation Holdings into a finance lease. [caption id="attachment_415268" align="alignright" width="560"] Voyager took delivery of two 747-8Fs and leased them to ABC in 2017. (Photo/Voyager Aviation)[/caption] Volga-Dnepr and Voyager entered into a similar deal involving another 747-8F in December 2020. Volga-Dnepr confirmed to Cargo Facts that the two 747-8Fs leased from Voyager are units 63695 and 63781, which the lessor — previously known as Intrepid Aviation — took new from Boeing in 2017. Voyager told Cargo Facts that, as is typical of finance leases, each of the two 747-8Fs is now subject to a purchase option at the end of their respective leases. Volga-Dnepr said it intends to exercise those options. The company also said that, as of Jan. 22, it has four 747-400Fs and five 747-8Fs under operational lease, with one being converted into a finance lease in the immediate future, and it is reviewing the possibility of restructuring the lease agreements for three more 747-8Fs on similar terms. An option to purchase the underlying asset “that the lessee is reasonably certain to exercise” is one of the criteria under which a lease is classified as a finance lease, according to the Financial Accounting Standards Board. Another is the straight transfer of ownership — without an option — at the end of the lease term. AirBridgeCargo’s total fleet currently stands at thirteen 747-8Fs, four 747-400Fs and one 777F. The latter, delivered last August, is being leased from DAE Capital under a sale-leaseback agreement, but an option to purchase the 777F also exists, according to Volga-Dnepr. The financial health of Volga-Dnepr has stabilized amid the booming freighter market. In stark contrast, in late 2019, Volga-Dnepr sought to reduce the size of its 747 fleet and in early 2020 the group failed to take delivery of the first of four 747-8Fs — which eventually led to Atlas Air’s recent order for the final four 747 frames. Volga-Dnepr still has six more 777Fs on firm order with Boeing, as of Dec. 31, 2020.

Volga-Dnepr to own more 747-8Fs with lease conversions

A330 conversions gain traction with Turkmenistan duo

Airbus completes first UPS A300F upgrade

Airbus completes first UPS A300F upgrade

CARGO FACTS CONSULTING

CFC: Large widebody freighter choices expand again

CFC: Expect slower international express market growth after 2021

Follow Us

Welcome Back!

Retrieve your password

Volga-Dnepr to own more 747-8Fs with lease conversions

Already subscribed? Click below.

A330 conversions gain traction with Turkmenistan duo

Airbus completes first UPS A300F upgrade

Airbus completes first UPS A300F upgrade

By subscribing you agree to our Terms of Use and Privacy Policy

CARGO FACTS CONSULTING

CFC: Large widebody freighter choices expand again

CFC: Expect slower international express market growth after 2021

Follow Us

Welcome Back!

Retrieve your password