This article is based on an official press release from BOC Aviation.

BOC Aviation and Philippine Airlines Seal Landmark Deal for Two Airbus A350-1000s

BOC Aviation Limited has officially announced a significant purchase-and-leaseback agreement with Philippine Airlines (PAL) involving two Airbus A350-1000 Commercial-Aircraft. According to the company’s statement released on December 4, 2025, this Contracts marks a dual milestone, it welcomes PAL as a new customer to the lessor’s portfolio and represents the first-ever addition of the A350-1000 model to the BOC Aviation fleet.

The agreement secures the immediate future of PAL’s long-haul capabilities, with the first aircraft scheduled for Delivery in December 2025. As the aviation industry continues to navigate a competitive landscape for wide-body assets, this deal underscores the strategic reliance on lessors to facilitate fleet modernization and capacity expansion.

Transaction Details and Aircraft Specifications

The deal is structured as a purchase-and-leaseback transaction, a financial mechanism where BOC Aviation purchases the aircraft and immediately leases them back to the Airlines. This allows Philippine Airlines to maintain liquidity while securing essential assets for its premier routes.

According to details released regarding the agreement, the two Airbus A350-1000s will be powered by Rolls-Royce Trent XWB engines. The aircraft are expected to feature a high-density, premium tri-class configuration designed to accommodate 382 passengers. The layout includes:

• Business Class: 42 seats
• Premium Economy: 24 seats
• Economy Class: 316 seats

Steven Townend, CEO and Managing Director of BOC Aviation, highlighted the significance of the transaction in the official release:

“We are delighted to welcome PAL as a new customer. This is our first A350-1000 delivery and underscores our commitment to supporting the industry’s development with latest-technology aircraft. As a global aircraft operating lessor… our financial strength and orderbook allow us to support the growth of our airline customers with both capital and capacity.”

Strategic Implications for Philippine Airlines

For Philippine Airlines, the acquisition of the A350-1000 is a critical component of its “Fleet Modernization” strategy. The airline aims to operate one of the youngest fleets in Asia, replacing older Boeing 777-300ERs with more fuel-efficient alternatives. The A350-1000 is currently the only aircraft in PAL’s inventory capable of operating non-stop on its longest transpacific routes, specifically Manila to New York (JFK) and Manila to Toronto, without payload restrictions.

Richard Nuttall, President and COO of Philippine Airlines, commented on the operational benefits of the new airframes:

“The addition of the Airbus A350-1000 to our fleet marks a pivotal step in Philippine Airlines’ ongoing fleet modernization program. This investment not only aligns with our commitment to operating one of the youngest and most fuel-efficient fleets in the region, but also ensures we can deliver world-class comfort, reliability, and efficiency to our passengers.”

AirPro News Analysis: The Wide-Body Market Context

This transaction occurs against the backdrop of a tightened wide-body market in late 2025. Industry data indicates a persistent shortage of twin-aisle aircraft driven by manufacturing delays and a robust resurgence in long-haul international travel. Consequently, lease rates have risen, and securing delivery slots has become increasingly competitive.

By securing these assets through BOC Aviation, PAL bypasses potential delivery backlogs that might affect direct orders. Furthermore, the deal highlights BOC Aviation’s substantial market position. As of September 30, 2025, the lessor reported a total portfolio of 812 aircraft owned, managed, and on order, demonstrating the liquidity required to execute large-scale capital deployments during periods of high demand.

Frequently Asked Questions

When will Philippine Airlines receive the new aircraft?

According to the press release, the first Airbus A350-1000 is scheduled for delivery in December 2025.

What routes will these aircraft fly?

While specific scheduling is subject to change, the aircraft are intended for PAL’s premier long-haul routes to North America, including non-stop services from Manila to New York and Toronto.

How many passengers can the new A350-1000 carry?

The aircraft will be configured with a premium tri-class layout totaling 382 seats.

Sources

• BOC Aviation Press Release