Aircraft Orders & Deliveries
CDB Aviation Leases Six Airbus A321neo Jets to Loong Air by 2027
CDB Aviation and Loong Air sign lease for six fuel-efficient Airbus A321neo aircraft, supporting fleet growth and sustainability goals by 2027.
The aviation sector continues to evolve amid growing demand for modern, fuel-efficient aircraft and strategic partnerships. One such development is the recently announced lease agreement between CDB Aviation and Loong Air for six Airbus A321neo aircraft. Scheduled for delivery in 2027, this transaction not only enhances Loong Air’s operational capabilities but also reinforces a decade-long relationship between the two entities.
Loong Air, a Hangzhou-based airline, is poised to expand its domestic and international network with the integration of these new-generation aircraft. For CDB Aviation, a global aircraft lessor backed by China Development Bank, the deal reflects its ongoing commitment to supporting airline partners with sustainable fleet solutions. The A321neo, known for its fuel efficiency and extended range, aligns with both companies’ strategic goals in an increasingly competitive and environmentally conscious market.
This article explores the background of the two companies, the technical merits of the A321neo, the structure and implications of the lease agreement, and the broader context of aircraft leasing and sustainability trends shaping global aviation.
CDB Aviation is a wholly-owned Irish subsidiary of China Development Bank Financial Leasing Co., Ltd. (CDB Leasing), the leasing arm of China Development Bank. With investment-grade credit ratings from S&P Global (A), Fitch (A+), and Moody’s (A2), CDB Aviation maintains a robust financial profile. As of June 2024, it managed a fleet of 510 owned and committed aircraft, valued at $11.8 billion in net book terms, and served 85 lessees across 41 countries.
Loong Air, officially known as Zhejiang Loong Airlines Co., Ltd., was established in 2011 and is headquartered in Hangzhou. With a fleet of over 70 Airbus A320-family aircraft, the airline operates both domestic and select international routes. Its partnership with CDB Aviation spans over a decade, with multiple transactions supporting fleet modernization and capacity enhancement.
Both companies have demonstrated a shared vision for growth and sustainability. The latest lease agreement further cements their strategic alignment and mutual interest in leveraging advanced aircraft technology to meet evolving market demands.
The Airbus A321neo is the largest member of the A320neo family, offering significant improvements in fuel efficiency, emissions, and passenger comfort. It features new-generation engines, either Pratt & Whitney PW1100G-JM or CFM International LEAP-1A, and sharklet wingtips that contribute to a 20% reduction in fuel burn and COâ‚‚ emissions per seat compared to previous-generation aircraft.
The aircraft typically seats between 180 and 220 passengers in a two-class configuration, with a high-density layout accommodating up to 244 passengers. In its long-range (LR) variant, the A321neo can fly up to 4,000 nautical miles, enabling airlines to operate transcontinental and regional routes efficiently. These performance metrics make the A321neo a preferred choice for airlines seeking to balance operational cost savings with environmental responsibility. Frontier Airlines, for example, reported achieving 120 miles per gallon per seat with the A321neo, the highest fuel efficiency among U.S. carriers.
“The A321neo’s superior economics and passenger comfort align perfectly with Loong Air’s vision of expanding its domestic, international, and regional network.”, Jie Chen, CEO of CDB Aviation
Beyond its technical efficiency, the A321neo also delivers enhanced passenger experience through Airbus’s Airspace cabin design. This includes slimmer sidewall panels for increased shoulder space, larger overhead bins, and full LED ambient lighting that improves cabin aesthetics and comfort.
The aircraft’s flexible cabin configuration allows airlines to tailor layouts for various market needs. Delta Air Lines, for instance, operates A321neos with a 194-seat configuration, offering lie-flat business-class seats, Wi-Fi connectivity, and in-seat power outlets, features that appeal to both business and leisure travelers.
Such flexibility is particularly valuable for carriers like Loong Air, which operates across diverse route profiles. The A321neo’s cabin innovations support Loong Air’s goal of elevating passenger experience while maintaining operational efficiency.
The lease agreement was signed on July 17, 2025, at Loong Air’s headquarters in Hangzhou. It covers the delivery of six Airbus A321neo aircraft from CDB Aviation’s existing orderbook, with deliveries scheduled for 2027. This transaction marks a continuation of the longstanding partnership between the two companies.
According to the official announcement, the A321neos will support Loong Air’s expansion into new domestic, regional, and international markets. The aircraft’s range and efficiency make it well-suited for high-demand routes, particularly in China’s growing secondary cities and regional hubs.
Qihong Liu, Chairman of Loong Air, emphasized the strategic importance of the deal: “The A321neo’s enhanced performance and cabin flexibility will allow us to offer an elevated travel experience to our passengers, while supporting our long-term sustainability objectives.”
The global aircraft leasing industry plays a critical role in enabling airlines to modernize fleets without incurring the high capital costs of direct purchases. Leasing also provides flexibility in fleet management, allowing carriers to adjust capacity in response to market fluctuations. China’s aircraft leasing market is among the fastest-growing globally, driven by rising air travel demand and government support. CDB Aviation, backed by China Development Bank, benefits from favorable regulatory frameworks and financial stability, positioning it as a key player in this expanding market.
Sustainability is another major driver of fleet renewal. Airlines are under increasing pressure to reduce carbon emissions, and aircraft like the A321neo offer a practical solution. The model is compatible with Sustainable Aviation Fuel (SAF) blends up to 50%, further enhancing its environmental credentials.
The narrowbody aircraft segment, particularly the A321neo, is experiencing strong demand. As of June 2025, Airbus had received over 7,000 orders for the A321neo, with more than 1,700 deliveries completed. Its popularity is attributed to its balance of range, capacity, and cost-efficiency.
In parallel, the global aircraft leasing market is projected to grow significantly. Valued at $183.13 billion in 2024, it is expected to reach $397.21 billion by 2034. This growth is underpinned by trends such as fleet modernization, emerging market expansion, and the shift toward asset-light business models.
For lessors like CDB Aviation, these trends present opportunities to expand portfolios and deepen relationships with airline partners. For airlines, leasing provides a pathway to adopt next-generation aircraft without compromising financial flexibility.
The lease agreement between CDB Aviation and Loong Air for six A321neo aircraft highlights a confluence of strategic planning, technological advancement, and sustainability priorities. It underscores the value of long-term partnerships in navigating the complexities of modern aviation.
As the industry continues to recover and evolve post-pandemic, such transactions set a benchmark for future fleet strategies. They reflect a broader shift toward environmentally responsible, economically viable, and operationally flexible aviation solutions.
What is the A321neo? When will Loong Air receive the aircraft? Why is leasing aircraft beneficial for airlines? CDB Aviation, Airbus, Fitch Ratings, S&P Global, Moody’s, Planespotters, IATA
CDB Aviation and Loong Air Execute Lease Agreements for Six New A321neo Aircraft
Background: CDB Aviation and Loong Air
The Airbus A321neo: Technical and Operational Advantages
Cabin Design and Passenger Experience
Lease Agreement Structure and Strategic Implications
Industry Context: Aircraft Leasing and Sustainability Trends
Market Dynamics and Future Outlook
Conclusion
FAQ
The Airbus A321neo is a fuel-efficient, narrowbody aircraft offering extended range and modern cabin features. It is part of the A320neo family.
The six A321neo aircraft are scheduled for delivery in 2027.
Leasing allows airlines to modernize fleets without large upfront costs and provides flexibility to adjust capacity as market conditions change.
Sources
Photo Credit: JetPhoto
Aircraft Orders & Deliveries
BOC Aviation Renews $3.5B Credit Facility with Bank of China to 2031
BOC Aviation extends its $3.5 billion revolving credit facility with Bank of China to 2031, securing liquidity for aircraft investments and growth.
This article is based on an official press release from BOC Aviation.
BOC Aviation Limited has officially announced the renewal of its US$3.5 billion unsecured revolving credit facility (RCF) with its majority shareholder, the Bank of China. Confirmed on February 16, 2026, the transaction extends the maturity of the facility to February 13, 2031, providing the Singapore-based lessor with a five-year horizon of secured liquidity.
The renewal maintains the facility’s total value at the same level established during its 2020 expansion. According to the company, this move is designed to bolster financial flexibility and ensure consistent access to capital for aircraft investments, regardless of broader market cycles. The agreement underscores the continued financial backing BOC Aviation receives from its parent company, a critical differentiator in the competitive aircraft leasing sector.
The renewed agreement is an unsecured revolving credit facility, a structure that allows BOC Aviation to draw down, repay, and re-borrow funds as needed up to the US$3.5 billion limit. By extending the maturity date to 2031, the lessor secures a long-term funding runway to support its growth strategy.
Steven Townend, Chief Executive Officer and Managing Director of BOC Aviation, emphasized the strategic importance of this renewal in a statement released by the company. He highlighted the alignment between the lessor and its parent organization.
“This RCF extension reflects the confidence that Bank of China has in the future of our business and underscores the depth of our relationship with our major shareholder. The facility strengthens our financial flexibility and ensures our access to ample liquidity to support our aircraft investments across the cycle.”
, Steven Townend, CEO of BOC Aviation
The credit facility has grown significantly alongside BOC Aviation’s fleet over the last two decades. The company provided a timeline of the facility’s evolution, illustrating the increasing scale of support from the Bank of China:
This liquidity event occurs against a backdrop of significant operational activity for the lessor. As of December 31, 2025, BOC Aviation reported a total portfolio of 815 aircraft and engines, including owned, managed, and ordered assets. The company’s reach extends to 87 airlines across 46 countries and regions.
Data released regarding the full year 2025 indicates robust activity, with the company taking delivery of 51 new aircraft and executing a record 333 transactions. These transactions included 160 aircraft purchase commitments, signaling an aggressive growth posture that necessitates substantial available capital. In addition to the RCF renewal, BOC Aviation has recently moved to diversify its funding sources. In early February 2026, the company successfully priced US$500 million in senior unsecured notes. The combination of these notes and the renewed RCF provides a multi-layered capital structure to fund future acquisitions.
The renewal of this facility highlights a structural advantage for BOC Aviation compared to independent lessors. In a high-interest-rate environment or during periods of market volatility, the cost of funds is a primary determinant of a lessor’s profitability. The direct backing of a major state-owned bank allows BOC Aviation to secure large-scale liquidity that might be more expensive or difficult to arrange for competitors without similar parentage.
Furthermore, with supply chain constraints continuing to affect Airbus and Boeing deliveries in 2026, lessors with ready cash are better positioned to execute sale-and-leaseback (SLB) transactions with airlines desperate for liquidity. By locking in US$3.5 billion in revolving credit through 2031, BOC Aviation is effectively positioning itself to act as a liquidity provider to the airline industry, potentially acquiring assets at attractive valuations while manufacturers struggle to meet delivery targets.
BOC Aviation Secures US$3.5 Billion Facility Renewal with Bank of China
Transaction Details and Management Commentary
Historical Evolution of the Facility
Operational Context and Financial Position
AirPro News Analysis
Sources
Photo Credit: BOC Aviation
Aircraft Orders & Deliveries
Air Astana Orders 15 Boeing 787-9 Dreamliners to Expand US Routes
Air Astana finalizes $7B order for 15 Boeing 787-9 Dreamliners to modernize its fleet and enable direct flights to North America starting 2026.
This article is based on an official press release from Boeing and Air Astana.
On February 17, 2026, Air Astana JSC, the flag carrier of Kazakhstan, officially finalized a major agreement with Boeing for up to 15 Boeing 787-9 Dreamliner aircraft. The deal, announced in Seattle, marks the largest single aircraft purchase in the airline’s history and signals a pivotal shift in its long-haul strategy. Valued at approximately $7 billion at list prices, the agreement is designed to modernize the carrier’s widebody fleet and facilitate direct operations to North America.
The acquisition comes at a critical transition point for the Airlines, coinciding with a leadership change and following its recent IPO. According to the official announcement, the new fleet will replace aging Boeing 767s and provide the range necessary to navigate complex geopolitical airspace restrictions while connecting Central Asia to the United States.
The agreement creates a long-term pipeline for fleet renewal. According to details released regarding the Contracts, the order for 15 aircraft is structured in three tiers:
While the newly purchased jets are scheduled for delivery between 2032 and 2035, Air Astana will begin operating the Dreamliner much sooner. Through a separate agreement with Air Lease Corporation (ALC), three leased Boeing 787-9s are expected to join the fleet in the first quarter of 2026. These leased units will allow the carrier to begin pilot training and route expansion immediately, bridging the gap until the direct orders arrive.
The selection of the 787-9 variant represents a significant upgrade in capacity and efficiency over Air Astana’s current widebody workhorse, the Boeing 767-300ER. Data provided in the announcement indicates the new Dreamliners will feature a two-class configuration with 303 seats, a substantial increase from the 223 seats offered on the 767s.
In a notable strategic pivot, Air Astana has selected General Electric GEnx-1B engines to power the new fleet, moving away from a 2012 intention to utilize Rolls-Royce Trent 1000 engines. The airline cites the 787-9’s superior fuel efficiency and range, approximately 7,530 nautical miles, as critical factors in the decision.
“Boeing airplanes have been integral to Air Astana’s operations from the beginning. We are proud that the 787 Dreamliner will support Central Asia’s growing importance in global aviation.”
, Paul Righi, VP of Commercial Sales (Eurasia), Boeing
A primary driver behind this investment is the airline’s ambition to launch non-stop service from Kazakhstan to New York (JFK). This route has long been a strategic goal but faces significant logistical hurdles due to the closure of Russian airspace following geopolitical sanctions. The current geopolitical climate necessitates a southern route over the Caspian Sea, Turkey, and Europe, adding considerable distance to the flight path. The extended range of the Boeing 787-9 is essential to making this detour commercially and operationally viable, allowing Air Astana to bypass Russian airspace without sacrificing payload or requiring technical stops.
The timing of this order suggests Air Astana is aggressively positioning itself as the dominant connector in the Central Asian market, outpacing regional competitors like Uzbekistan Airways. By securing the 787-9, the airline is not only solving the immediate problem of airspace restrictions but is also future-proofing its fleet against fuel price volatility. The shift to GE engines likely reflects a desire for reliability on these ultra-long-haul routes, where engine performance over remote regions is paramount.
The finalization of this order serves as a capstone achievement for outgoing CEO Peter Foster, who is set to retire in March 2026. Foster has led the airline through its recent IPO and this historic fleet renewal. He will be succeeded by current CFO Ibrahim Canliel, who will oversee the financial integration of these assets.
“The 787-9’s advanced technology and efficiency will allow us to connect Kazakhstan to new markets, including North America, with a superior passenger experience.”
, Peter Foster, Outgoing CEO, Air Astana
Sources: Boeing Mediaroom
Air Astana Finalizes Historic Orders for 15 Boeing 787-9 Dreamliners to Target US Routes
Deal Structure and Delivery Timeline
Technical Specifications and Fleet Modernization
Strategic Expansion: The “Holy Grail” of New York
AirPro News Analysis
Leadership Transition
Sources
Photo Credit: Boeing
Aircraft Orders & Deliveries
BlueFive Capital Launches Aircraft Leasing Platform in Oman Targeting $1B Fund
BlueFive Capital launches BlueFive Leasing in Muscat, Oman, aiming to raise over $1 billion to acquire commercial aircraft assets across Middle East, Asia, and Africa.
This article is based on an official press release from BlueFive Capital.
BlueFive Capital, a global alternative investment firm, has officially announced the launch of BlueFive Leasing, a new dedicated aircraft leasing and asset management platform headquartered in Muscat, Oman. The initiative marks a significant expansion for the firm, which is led by former Investcorp Co-CEO Hazem Ben-Gacem.
According to the company’s announcement, the new venture is established through a strategic partnership with a major Omani sovereign institution. To fuel its operations, BlueFive Leasing has commenced fundraising for BlueFive Wings Fund I, an investment vehicle targeting more than $1.0 billion in capital commitments to acquire commercial aircraft assets.
BlueFive Leasing aims to capitalize on the robust demand for air travel across the Middle-East, Asia, and Africa. By establishing its headquarters in Muscat, the platform aligns with broader regional goals to develop local financial markets and diversify economic activities.
The platform’s mandate is broad, covering the full age spectrum of commercial-aircraft. According to the press release, the company plans to build a portfolio containing a mix of:
This flexible approach allows BlueFive Leasing to offer competitive solutions to established airlines globally, particularly those modernizing fleets or expanding routes in high-growth emerging markets.
“The launch of BlueFive Leasing reflects our strategic ambition to diversify regional investment portfolios and provide a new source of aviation capital from the GCC.”
, Hazem Ben-Gacem, Founder & CEO of BlueFive Capital
The launch of the leasing platform follows a period of rapid growth for BlueFive Capital. Founded in late 2024, the firm has quickly scaled its operations. Following the recent close of its $3 billion Onyx Fund I, which focuses on technology investments in the U.S. and Europe, BlueFive Capital now reports approximately $7.4 billion in assets under management (AUM).
Hazem Ben-Gacem, who brings three years of leadership experience from Investcorp, serves as the driving force behind the firm. While specific executive appointments for the leasing arm’s day-to-day management have not yet been detailed, the company states it has assembled an expert management team with deep experience in aviation finance. The establishment of BlueFive Leasing represents more than just a new investment vehicle; it signals the continued maturation of the Gulf Cooperation Council (GCC) as a global hub for aviation finance. Historically, the region was known primarily for its world-class carriers like Emirates and Qatar Airways. Today, however, Gulf nations are moving “upstream” to own the assets themselves.
BlueFive Leasing joins a growing list of regional heavyweights, including Dubai Aerospace Enterprise (DAE) and Saudi Arabia’s AviLease. By partnering with an Omani sovereign institution, widely believed by industry analysts to be the Oman Investment Authority (OIA) or its Future Fund Oman, BlueFive is effectively leveraging sovereign wealth to capture value from the very assets that service the region’s booming travel hubs.
Furthermore, the decision to trade across the “full age spectrum” rather than focusing exclusively on new-technology aircraft suggests an opportunistic strategy. This approach may allow the firm to generate higher yields by trading mid-life assets, a segment where demand remains high due to production delays at major manufacturers like Boeing and Airbus.
BlueFive Capital Launches Aircraft Leasing Platform in Oman, Targets $1 Billion Fund
Strategic Expansion into Aviation Finance
Leadership and Capital Growth
AirPro News Analysis
Summary of Key Facts
Sources
Photo Credit: BlueFive
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