Dubai: Dubai Aerospace Enterprise (DAE) has put on hold plans to lease two narrow body aircraft to a Libyan start-up airline, citing ongoing violence in the North African Country.
“We cannot really do anything,” Khalifa Al Daboos, the aircraft leasers managing director, told Gulf News on Wednesday.
DAE signed a long-term lease agreement for two Airbus A319s with Tripoli-based Libyan Wings in May, the same month civil war broke out in the country.
Both of Tripoli’s airports, Tripoli International and Mitiga Airport, have been severely damaged in the fighting.
DAE is still committed to fulfilling the contract it signed with Libyan Wings, Al Daboos said, but is conscious of the risk it would take by placing the aircraft in Libya.
“We are willing to support them whenever they are ready as long as we have a full hold on our assets and they are able to get out,” he said.
Libyan Wings, which planned to launch short-haul flights this year, could not be reached for comment on Wednesday.
For now, the two A319’s are still under a leasing contract with another airline, Al Daboos said.
DAE has been embarking on a return to the market in the past 24 months after suffering massive losses in the fallout of the 2008/09 financial crisis.
This year, DAE ordered 20 turboprop ATR 72-600s and reported a Dh410 million profit for 2013.
Al Daboos said DAE will receive delivery of the first “four or five” ATR 72-600s in 2015, when it is “likely” to firm up options for 20 more of the aircraft.
“A lot of customers are interested,” he said.
The 40 aircraft order is valued at $988 million.
DAE, which wants its fleet to grow to between 80 and 100, plans to place a widebody aircraft order within 24 months.
The firm is considering Boeing 777s and 787s and Airbus A350s, Al Daboos said.
DAE would also be interested in A380s if Airbus was to make the re-engined “neo” version Emirates is calling for, he said.
Talks with banks for a $1.2 billion loan, to be used to purchase aircraft and meet debt requirements, will begin early next year, Al Daboos confirmed.
