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Hunnu Air Orders First Cessna SkyCourier in Mongolia for Regional Growth

Hunnu Air’s order of Cessna SkyCourier aircraft boosts Mongolia’s tourism and regional connectivity with deliveries starting in 2026.

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First Cessna SkyCourier Order in Mongolia Marks Strategic Expansion for Hunnu Air in Asia-Pacific Aviation Market

Hunnu Air’s order of Cessna SkyCourier aircraft marks a significant milestone in Mongolia’s aviation history, representing the first deployment of this versatile model in the country. Announced by Textron Aviation in August 2025, the order comprises two passenger variants of the Cessna SkyCourier and one Cessna Grand Caravan EX, with deliveries expected to commence in 2026. This move positions Hunnu Air to enhance its domestic cargo and tourism operations, aligning with Mongolia’s broader ambitions to grow its tourism sector and improve regional connectivity across the Asia-Pacific.

The SkyCourier’s robust capabilities, such as its ability to transport three LD3 containers and operate from unimproved airstrips, make it particularly suitable for Mongolia’s vast and rugged terrain. This strategic acquisition reflects industry trends that favor cost-effective, multi-role turboprop aircraft in emerging markets, especially where infrastructure and demand patterns require operational flexibility.

As Mongolia targets a rise in tourism’s contribution to GDP by 2030, investments in aviation like Hunnu Air’s order are pivotal. The SkyCourier’s versatility is poised to support both the country’s economic development and its efforts to expand access to remote regions, serving as a case study for similar markets across the Asia-Pacific.

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Background and Historical Context of Regional Aviation in Mongolia

Mongolia’s aviation sector has grown in response to the country’s vast geography and limited ground infrastructure. Covering over 1.5 million square kilometers, Mongolia relies on air travel as a primary means of connecting remote communities, especially during harsh winters when surface transport is unreliable or impossible. Chinggis Khaan International Airport in Ulaanbaatar serves as the main hub, linking Mongolia to major Asian and select European cities.

The domestic market has traditionally been led by MIAT Mongolian Airlines, but newer entrants like Aero Mongolia and Hunnu Air have carved out crucial roles, providing regional connectivity and supporting economic activity in less accessible areas. Hunnu Air, originally launched as Mongolian Airlines in 2011 and renamed in 2013, has grown into the country’s second-largest airline, backed by mining and business conglomerates.

Hunnu Air’s evolution reflects the challenges and opportunities of operating in emerging markets. After early domestic expansion with Fokker 50s and a brief international foray using leased Airbus A319s, financial pressures led to a refocus on sustainable growth and operational resilience. Today, Hunnu Air’s mixed fleet and expanding route network demonstrate adaptability and a commitment to both domestic and international service, including the recent introduction of Embraer E-190 and E195-E2 jets.

The Strategic SkyCourier Order and Its Significance

Hunnu Air’s order for the Cessna SkyCourier is the first of its kind in Mongolia, reflecting both operational necessity and strategic vision. The selection of two passenger SkyCouriers and one Grand Caravan EX underscores a dual focus on passenger and cargo markets, allowing the airline to tailor its services to fluctuating demand and diverse route profiles.

Textron Aviation’s announcement of the deal in multiple languages highlights the global resonance of this milestone. Deliveries are set for 2026, providing Hunnu Air time to integrate the new types into its operations, train crews, and optimize route planning. Lannie O’Bannion, Textron’s Senior Vice President of Sales and Marketing, characterized the SkyCourier as “the ideal choice to support Hunnu Air’s services in Mongolia,” citing its versatility and growing international popularity.

The SkyCourier’s design, high-wing, rugged landing gear, and quick-change interiors, makes it well-suited for Mongolia’s operational realities. Its ability to serve remote airstrips, carry both passengers and standard cargo containers, and transition between roles positions Hunnu Air to support Mongolia’s expanding tourism sector and provide essential connectivity to rural communities.

“Designed for versatility and performance, the Cessna SkyCourier is the ideal choice to support Hunnu Air’s services in Mongolia. The aircraft’s growing global popularity underscores its exceptional adaptability for air freight, charter flights and special missions, demonstrating its broad appeal across diverse operational sectors.” – Lannie O’Bannion, Textron Aviation

Aircraft Specifications and Operational Capabilities

The Cessna 408 SkyCourier is a twin-engine turboprop designed for robust performance in challenging environments. Certified by the FAA in March 2022, it features two Pratt & Whitney Canada PT6A-65SC engines, delivering a maximum cruise speed of 210 knots and a service ceiling of 25,000 feet. The aircraft’s maximum takeoff weight is 19,000 pounds, supporting payloads up to 6,000 pounds in cargo configuration or 19 passengers in the commuter variant.

A standout feature is its ability to carry three LD3 or four LD2 containers, unique in its class, streamlining cargo operations and reducing labor costs. The cabin, measuring over 28 feet in length and offering 884 cubic feet of volume, includes a flat floor for efficient loading and a large cargo door for oversized items.

The SkyCourier’s passenger variant is equipped with large windows, separate crew and passenger doors, and quick-release fixtures for rapid conversion between passenger and cargo roles. Avionics are centered on the Garmin G1000 NXi suite, supporting advanced navigation, weather, and safety features. Maintenance is simplified through MSG-3 protocols and single-point refueling, while optional kits allow for gravel runway operations, ideal for Mongolia’s remote regions.

“Being able to carry containers is a big differentiator for the SkyCourier, so many potential customers are considering it because of this. The containers save labor costs and protect the cargo from the elements, meaning the freighter is ideal in regions that are hot, cold or rainy.” – Juan Manuel Escalante, Textron Aviation

Market Context and Asia-Pacific Regional Aviation Trends

The Asia-Pacific region is among the fastest-growing aviation markets, with turboprop aircraft playing a crucial role in regional connectivity and economic development. Market analysis projects a compound annual growth rate above 2% for the regional turboprop segment through 2033, driven by rising incomes, infrastructure investment, and government support for regional air service.

Mongolia’s aviation market, while smaller than those of China or India, is projected to reach 870,000 annual passengers by 2028, growing at 1.7% per year from a 2023 baseline of 780,000. The country’s vast distances and limited ground infrastructure make efficient regional aircraft like the SkyCourier especially valuable.

The SkyCourier’s introduction aligns with regional trends toward more sustainable, cost-effective operations. Turboprops are favored for their lower fuel consumption per seat and ability to serve secondary cities and remote areas. In India, for example, IndiGo has expanded its ATR fleet to meet regional demand, while in Nepal and Australia, similar strategies have proven effective. Leasing has also become common in the region, allowing smaller airlines to modernize fleets without large upfront capital outlays.

“The commercial aviation segment is expected to exhibit the highest growth rate within the Asia-Pacific turboprop market, driven by increasing regional connectivity requirements and the cost-effectiveness of turboprop operations compared to jet aircraft on shorter routes.” – Asia-Pacific Turboprop Market Report

Financial and Economic Implications

While the specific value of Hunnu Air’s order has not been disclosed, industry data from 2018 places the SkyCourier’s price at approximately $5.5 million for cargo variants and $6.3 million for passenger versions (2017 USD). With two passenger SkyCouriers and one Grand Caravan EX, the total investment likely exceeds $15 million.

This expenditure aligns with Mongolia’s broader tourism and infrastructure development plans. The government aims to increase tourism’s share of GDP to 10% by 2030, supported by $4 billion in investments in roads, hotels, and related infrastructure. Air transport is a critical enabler of this growth, with improved regional connectivity supporting both tourism and economic diversification.

Textron Aviation, meanwhile, reported $3.716 billion in total revenues for Q2 2025, a 5% increase year-over-year, with aviation segment revenues at $1.5 billion. The SkyCourier program’s international expansion, including recent deliveries in Canada and new certifications, demonstrates its growing global footprint.

Regional Connectivity and Tourism Impact

The SkyCourier’s arrival is central to Mongolia’s plan to boost tourism and improve access to remote areas. The aircraft’s ability to operate from gravel and unimproved runways expands the number of destinations reachable by air, enabling direct service to natural and cultural attractions that are otherwise difficult to access.

Mongolia’s tourism strategy, developed with Boston Consulting Group, emphasizes international connectivity, especially from North America and Asia, as a growth lever. United Airlines’ recent direct flight to Mongolia via Tokyo is expected to double U.S. visitor numbers, and domestic air service improvements will be essential to distributing these visitors across the country.

The SkyCourier’s flexible configuration supports both passenger and cargo operations, allowing Hunnu Air to adapt to seasonal tourism peaks and off-peak cargo demand. Enhanced air service to rural communities also supports economic resilience, healthcare access, and emergency response, extending benefits beyond the tourism sector.

“The SkyCourier’s ability to operate from unimproved airstrips expands the potential network of destinations accessible to tourists, enabling direct access to remote natural attractions and cultural sites that form the foundation of Mongolia’s tourism appeal.” – Market Analysis

Competitive Landscape and Fleet Modernization Strategy

Hunnu Air’s fleet modernization, combining Embraer jets with the new SkyCouriers, enables it to serve a diverse range of routes and passenger volumes. The SkyCourier’s unique cargo container capability, rapid reconfiguration, and rugged design differentiate it from regional competitors like the ATR and Bombardier Q-Series.

The Asia-Pacific market is competitive, with major manufacturers vying for share through technological innovation and regional partnerships. Hunnu Air’s decision to diversify its fleet reflects a broader industry trend toward operational flexibility and cost control, crucial for airlines serving variable and seasonal demand.

Integrating new aircraft types requires investment in training, maintenance, and support infrastructure. The SkyCourier’s MSG-3 maintenance program and widespread PT6A engine usage simplify this process, while Textron’s global support network enhances reliability for operators in remote regions.

Future Outlook and Industry Implications

Hunnu Air’s SkyCourier order may serve as a model for other emerging market operators seeking to enhance regional connectivity with versatile, efficient aircraft. The success of this program will be closely watched by regional peers, manufacturers, and policymakers interested in replicating the benefits in similar contexts.

The broader industry implications include validation of the SkyCourier’s market positioning and the potential for further international expansion. As Mongolia continues to invest in tourism and infrastructure, the integration of modern aircraft like the SkyCourier will be pivotal in achieving economic and social development goals, while also informing best practices for aviation in challenging environments.

FAQ

Q: What aircraft did Hunnu Air order from Textron Aviation?
A: Hunnu Air ordered two passenger variants of the Cessna SkyCourier and one Cessna Grand Caravan EX, with deliveries scheduled to begin in 2026.

Q: Why is the Cessna SkyCourier well-suited for Mongolia?
A: The SkyCourier’s ability to operate from unimproved airstrips, carry standard cargo containers, and quickly switch between passenger and cargo roles makes it ideal for Mongolia’s vast, rugged terrain and variable demand.

Q: How does this order support Mongolia’s tourism goals?
A: Improved regional air connectivity enables access to remote destinations, supporting the government’s goal of raising tourism’s share of GDP to 10% by 2030.

Q: What are the financial implications of the order?
A: While the exact value is undisclosed, industry data suggests the order exceeds $15 million, reflecting a significant investment in fleet modernization and economic development.

Q: What distinguishes the SkyCourier from other regional aircraft?
A: Its unique container-carrying capability, rapid reconfiguration, and suitability for rugged environments set it apart from other 19-seat turboprops.

Sources

Textron Aviation Press Release

Photo Credit: Textron

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Aircraft Orders & Deliveries

FAA Certifies Boeing 737 MAX 10 for Commercial Service

The FAA issued the type certificate for the Boeing 737 MAX 10 on Oct. 20, 2026, completing the MAX family certification.

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FAA Certifies Boeing 737 MAX 10 for Commercial Service

The Federal Aviation Administration (FAA) has officially issued the amended type certificate and updated Production Limitation Record for the Boeing 737 MAX 10, clearing the largest variant of the narrowbody family for commercial service and production.

The October 20, 2026, certification marks the conclusion of a years-long regulatory review process and completes the certification of the entire 737 MAX family. In a press release issued today, Alaska Airlines (AS) welcomed the milestone, noting the aircraft is a critical component of its long-term fleet strategy and planned premium transcontinental services.

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Regulatory approval and safety enhancements

The certification of the Boeing 737 MAX 10 (737-10) follows an extensive testing and review period. According to Boeing, the certification program included approximately 1,000 test flights and 2,060 total flight test hours.

The regulatory path for the 737-10 was significantly extended following the two fatal crashes of the 737 MAX 8 in 2018 and 2019, which resulted in heightened regulatory scrutiny and new legislative requirements. The 737-10 is the first commercial airplane certified to the full extent of the 2020 Aircraft Certification, Safety, and Accountability Act (ACSAA).

To meet requirements set by the FAA and the National Transportation Safety Board (NTSB), Boeing incorporated key safety improvements into the aircraft. These include updates to the flight-control system featuring an enhanced angle of attack (AOA) sensor. This enhanced AOA system will become standard across the entire 737 MAX family.

U.S. Transportation Secretary Sean P. Duffy highlighted the rigor of the process in an official statement.

“After extensive safety reviews, including thousands of hours of test flights, the team at the FAA is ready to approve this critical aircraft for sale. This is a major win for American manufacturing and our nation’s status as a global aviation powerhouse.”

FAA Administrator Bryan Bedford confirmed that the agency will maintain strict oversight as the manufacturer transitions to the next phase. Bedford stated that the decision follows a thorough review of the design and safety requirements of the aircraft, adding that the FAA will continue to hold Boeing to the highest safety standards as production begins.

Alaska Airlines targets premium transcontinental routes

For Alaska Airlines, the certification unlocks a new phase of fleet modernization and route expansion. The Seattle-based carrier has positioned the 737-10 as the foundation for its upcoming premium transcontinental service.

During its Analyst and Investor Day on September 29, 2026, Alaska Airlines revealed its strategy to deploy the MAX 10 on high-demand, long-haul domestic routes. The airline plans to configure these aircraft with a four-cabin layout featuring 12 lie-flat suites and at least 45 percent premium seating. The carrier intends to use a minimum of 25 MAX 10 aircraft to launch this service.

Ben Minicucci, Chief Executive Officer of Alaska Air Group, emphasized the importance of the regulatory milestone for the carrier.

“The MAX 10 is an important part of Alaska’s long-term fleet strategy and our future.”

Boeing’s competitive positioning in the narrowbody market

Introduced at the 2017 Paris Air Show, the 737-10 was designed to compete directly with the Airbus A321neo in the high-capacity, long-range single-aisle segment. The aircraft features a maximum passenger seating capacity of 230 and offers an additional 365 nautical miles of range compared to competitors without auxiliary fuel tanks.

The narrowbody market remains highly competitive, with the Airbus A321neo currently holding a dominant position in the high-capacity space. The certification of the MAX 10 allows Boeing to offer a direct competitor with claimed advantages in per-seat economics.

Stephanie Pope, President and Chief Executive Officer of Boeing Commercial Airplanes, stated that completing the certification program clears the path for the manufacturer to deliver an airplane that sets a new standard in commercial aviation. Pope noted that the 737-10 offers greater capacity, longer range, and the best seat economics in its class.

The MAX 10 accounts for a significant portion of Boeing’s narrowbody backlog. The variant represents 30 percent of the current 737 MAX program order book, with 1,555 total orders from more than 30 customers globally.

The October 20, 2026, approval follows the certification of the smaller 737-7 variant in August 2026, finalizing the regulatory approvals for the four main variants of the MAX family. Boeing expects to begin delivering the 737-10 to airline customers in the coming months, with the first aircraft projected to enter commercial service in 2027.

AirPro News analysis

The certification of the 737-10 is a critical inflection point for Boeing as it seeks to stem market share losses to the Airbus A321neo. While the A321neo has established a formidable lead in the high-capacity single-aisle segment, the MAX 10 provides Boeing operators with a high-density alternative that maintains crucial fleet commonality and reduces pilot transition costs.

For carriers like Alaska Airlines, the aircraft enables a strategic shift toward premium-heavy configurations that were previously difficult to justify on smaller airframes. The ability to install 12 lie-flat suites while maintaining favorable seat economics allows domestic operators to compete more aggressively on lucrative transcontinental routes, potentially altering the competitive dynamics among major U.S. carriers.

Photo Credit: Bo

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Embraer Delivers First RECARO-Equipped E175 to American Airlines

Embraer delivered the first E175 with new RECARO seats to American Airlines on October 19, 2026, in São José dos Campos.

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Embraer Delivers First RECARO-Equipped E175 to American Airlines

Embraer has delivered the first Embraer E175 regional jet equipped with new-generation RECARO passenger seats to American Airlines. The handover marks a tangible step in the carrier’s broader initiative to align its regional cabin experience with its mainline fleet.

The October 19, 2026, delivery from Embraer’s facility in São José dos Campos, Brazil, introduces an updated interior designed to maximize personal space and knee room. According to the manufacturer’s press release, the seating upgrade brings the E175’s main cabin environment closer to the standards of the newer Embraer E2 family.

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Upgrading the regional cabin environment

The integration of RECARO Aircraft Seating products into the E175 platform represents a shift in how airlines approach regional jet interiors. While Embraer’s official communications refer generally to new-generation RECARO passenger seats, aviation industry observers note the released images suggest the installation of the RECARO R2 model. The primary focus of the redesign is optimizing the available cabin footprint to enhance passenger comfort on shorter feeder routes.

American Airlines is the first United States-based carrier to introduce RECARO seating on the Embraer E175. The airline views the cabin update as a critical component of its customer service strategy, aiming to eliminate the historical disparity in comfort between regional and mainline flights.

“As the first U.S. airline to introduce RECARO seats on Embraer E175 aircraft, we’re continuing to raise the bar for regional travel,” said Rhonda Crawford, Senior Vice President of Customer Experience Design and Strategy at American Airlines. “Our goal is to deliver the elevated experience customers want, while creating greater consistency across the American travel experience.”

American Airlines’ fleet modernization strategy

The delivery follows a significant fleet commitment made by American Airlines earlier in the decade. On March 4, 2024, the carrier placed a firm order for 90 Embraer E175 aircraft, configured with 76 seats in a dual-class layout. The agreement also included purchase rights for an additional 43 jets.

This procurement strategy was designed to phase out the airline’s aging 50-seat, single-class regional jets by the end of the decade. Replacing these older airframes with larger, dual-class E175s allows American Airlines to offer premium seating options and better match the capacity and comfort levels expected by passengers connecting to mainline flights.

Building on the aircraft order, American Airlines announced a comprehensive regional fleet cabin modernization program on September 30, 2025. The phased rollout includes refreshed interiors, the installation of fast Wi-Fi, and the addition of in-seat power across its regional network. The newly delivered RECARO-equipped E175 is the first direct realization of this interior refresh initiative.

The enduring market position of the E175

Despite the introduction of the newer Embraer E2 family, the first-generation E175 remains a cornerstone of the North American regional aviation market. Embraer continues to invest heavily in the legacy platform to ensure it meets contemporary operational and passenger expectations.

Recent upgrades to the E175 program include enhanced data connectivity, next-generation weather radar systems, and the revised cabin interiors seen in the American Airlines delivery. These continuous improvements are intended to keep the aircraft competitive and reliable for operators.

“The E175 has built an unmatched reputation by continuously evolving to meet the needs of airlines and passengers,” said Arjan Meijer, President and CEO of Embraer Commercial Aviation. “The introduction of our new RECARO seats demonstrates our commitment to investing in the platform and delivering enhancements that improve passenger experience while creating additional value for operators.”

The sustained demand for the E175 in the United States is largely driven by pilot union scope clauses. These contractual agreements restrict the operation of heavier, higher-capacity aircraft by regional airline affiliates. The E175 fits precisely within these regulatory and contractual boundaries, making it the benchmark regional jet for U.S. network carriers.

Embraer, founded in 1969 and headquartered in Brazil, has delivered over 9,000 aircraft across its commercial, executive, defense, and agricultural divisions. The company maintains its position as the leading global manufacturer of commercial jets with a capacity of up to 150 seats.

Photo Credit: Embraer

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ACG Orders 75 Airbus A320neo Family Aircraft for 2032-2035

Aviation Capital Group places its largest-ever order, 75 A320neo Family jets, bringing total A320neo commitments to 190 aircraft.

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ACG Orders 75 Airbus A320neo Family Aircraft for 2032-2035

Aviation Capital Group (ACG) has finalized a firm order for 75 Airbus A320neo Family aircraft, securing delivery slots between 2032 and 2035 in the largest single transaction in the lessor’s nearly 40-year history.

The agreement, announced in a press release on October 16, 2026, brings the Newport Beach, California-based company’s total historical commitments for the A320neo Family to 190 aircraft. The order provides ACG with conversion rights across the aircraft family, allowing the lessor to adapt its portfolio to shifting airline demand over the next decade.

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Securing narrowbody capacity into the 2030s

The 75-aircraft commitment significantly expands ACG’s backlog with the European manufacturer. Following this transaction, the lessor holds 115 outstanding orders for the A320neo Family. As of June 30, 2026, ACG reported 118 A320neo Family aircraft in its active fleet.

Thomas Baker, Chief Executive Officer and President of Aviation Capital Group, stated that the company’s portfolio strategy focuses on new-technology narrowbody aircraft that are most in demand with airlines globally. He characterized the record order as a statement of confidence in the long-term future of air travel and in the company’s role as a conduit between airlines, aircraft, and capital.

The A320neo Family offers a minimum 20 percent reduction in fuel consumption and carbon dioxide emissions, along with a 50 percent noise reduction compared to previous-generation single-aisle aircraft. The program has secured more than 20,400 orders globally.

Rob Downes, Chief OEM Officer at ACG, noted that the aircraft family remains highly sought-after among airline customers for both replacement and growth requirements. The new order extends the lessor’s delivery pipeline into the mid-2030s.

The relationship between the two companies spans nearly two decades. Benoît de Saint-Exupéry, Executive Vice President of Sales for the Commercial Aircraft business at Airbus, highlighted that the partnership dates back to 2007 when ACG placed its first order with the manufacturer.

Corporate restructuring and leasing market demand

Founded in 1989, ACG is currently a wholly owned subsidiary of Tokyo Century Corporation. The lessor manages a portfolio of over 500 aircraft leased to approximately 85 to 90 airlines across 50 countries. On August 12, 2026, the company reported second-quarter financial results showing total revenues of $668 million for the first half of the year, total assets of $14.6 billion, and available liquidity of $6.6 billion. The company also recently relocated its global headquarters to a modernized facility in Newport Beach on June 15, 2026.

The record Airbus order arrives during a period of significant corporate transition for the lessor. On August 3, 2026, Tokyo Century Corporation announced a binding memorandum of understanding to transfer a 50 percent ownership interest in ACG’s direct parent company to ITOCHU Corporation for approximately $1.9 billion. The transaction, expected to close in November 2026 subject to regulatory approvals, will shift ACG to a 50:50 joint management structure between the two Japanese conglomerates.

The aircraft leasing sector is currently experiencing robust demand driven by a global shortage of new aircraft and sustained post-pandemic air travel demand. Lessors are placing large orders to secure delivery slots well into the next decade. ACG competes with major independent lessors such as AerCap, SMBC Aviation Capital, Avolon, and Air Lease Corporation.

AirPro News analysis

We view the timing of this record order as a direct reflection of ACG’s impending joint ownership structure under Tokyo Century and ITOCHU. The strategic partnership with ITOCHU is explicitly aimed at scaling ACG’s combined leasing business into one of the world’s top five by fleet size. By locking in 75 delivery slots in the highly constrained 2032 to 2035 window, ACG is executing on that growth mandate before the acquisition even closes.

Furthermore, securing A320neo Family positions into the mid-2030s is a defensive necessity in the current leasing environment. With Airbus production slots largely sold out for the remainder of the decade, lessors without guaranteed future pipelines risk losing market share to competitors who can offer airlines guaranteed lift. This order ensures ACG will have the industry’s most liquid asset class available to offer customers during a period when narrowbody capacity is expected to remain tight.

Photo Credit: Airbus

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