INTERNATIONAL AIRCRAFT LEASE &

LEASE OVERSIGHT PROGRAMS

  • Operator Lease Intake and Return Services is designed to support, assist, or manage the leasing process of actual aircraft acceptance and verification that the aircraft meets the requirements of the lease for the operator.

 

  • ​Operator Lease Return Services provides the inspection and verification that the aircraft being returned from the operator/lessee to validate the the returned aircraft meets all of the required parameters of the lease relative to its return from service.

  • ​Leasing Company Re-Delivery Services is for the lessor to prepare the aircraft for the next operator/lessee.

  • Leasing Company Operator Oversight and In-Country Management provides general monitoring and reporting of the lease asset(s) as an agent for the lessor.

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Aircraft Lease or Finance Oversight Program

 

As the global finance industry expands, more and more banks and lessors could provide their services to ever increasing distances around the world.  The expansion for business is great, however oversight and monitoring of your asset can be more difficult to monitor and control.  This is when you should consider turning to a professional aircraft audit management company who can help protect your investment by providing oversight, and even maintenance and/or operational management of your asset(s) allowing you to expand your financial portfolio and create new financial opportunities while keeping risk low and maintain a good handle on your asset(s) and profit margins.

The AMS China “Aircraft Lease or Finance Oversight Program” has been developed toward helping banks (local, regional, and/or International) and leasing companies manage the aircraft and aircraft portfolios.  Since most of these companies do not have in-house technical talent to keep an eye on these assets on a continuing basis and may not have any offices or presence in China and Southeast Asia.  We have structured our customizable offerings for your business or firm based on your needs so we can provide you your own virtual in-house capabilities.

What AMS China can provide for you as a part of your new lease or finance package:

  • Assure that all contractually mandated terms and conditions are adhered to.

  • Monitor monthly hours, cycles and status of hourly cost maintenance programs, what maintenance has been performed and what is coming due.

    • The concept is to make sure that the Lender or Lessor doesn’t get caught in the blind if a deal goes bad, because the Lender is usually the LAST to learn that they have a problem and by that time, the aircraft is in very rough shape.

  • We act as your asset manager and technical resource team.

 

What AMS China can provide, if not previously engaged to support you in a default situation:

  • If we were not engaged to monitor your asset and it goes into default, we enter an engagement with you “after the fact” to provide whatever assistance you may want or need.  These might include:

    • Execute an engagement agreement that outline our operating and dollar approval parameters.

    • Gain legal control of the aircraft.

    • Gain physical control of the aircraft

    • Evaluate the physical condition of the aircraft

    • Determine the last flight and/or system operations of the aircraft

    • Determine its Airworthiness and Maintenance Status.

    • Verify hull and liability insurance coverage.

    • Verify status of Hourly Cost Maintenance programs and subscription services

    • Move the aircraft to an appropriate location for repair, remediation, and refurbishment with an eye toward re-marketing the aircraft

    • Develop the work scope for repair, remediation and refurbishment and create a working budget for the necessary/recommended services

    • Provide on-site oversight of the work to be performed.

    • Provide the necessary work or repairs in our facility.

    • Recommend the best (in our opinion) sale broker and coordinate our activities with them.

    • Assist in pre-purchase inspection and monitor the pre-purchase process.

    • Provide in-flight test flights and provide comments and advice.

    • Assist in closing, as necessary.

    • Provide you with a post-mortem report.

 

Lease Return Oversight Program

 

If you are a lender or an asset manager of an organization that is in the business of leasing aircraft, consider working with an experienced and qualified aviation management team to manage your asset’s return requirements and ensure that the aircraft meets the terms and conditions as defined in the lease agreement.  In doing so, our management team will carefully review the lease agreement and evaluate the asset against the terms of the agreement.  Evaluation is typically a four-part process, during which the management team should do the following:

  • Re-review the aircraft records for continuity and completeness (gaps or missing records will affect the value of the asset).

  • Ensure that the aircraft conforms to how it was originally certified or has subsequently been modified.

  • Review any damage history, out of sequence maintenance activities or major repairs.

  • Assist the lessor in the lease return inspection discussions with the lessee.

 

Even a minor issue with the asset — as an example, a malfunctioning galley component — being necessary to function and as part of the aircraft’s certification can cost your organization thousands of dollars to repair or replace if this item is not identified during the lease return inspection.  It is your management team’s job to flag any of these types of items or other potential issues and work with the lessee concerning the necessary maintenance work and or repairs that need to be completed to meet the return requirements.

An aviation management team can be particularly helpful to those banks or finance companies that do not have an in-house solution with the available time and expertise to conduct a thorough review.  Lessors that have older lease agreements will likely need additional guidance prior to the aircraft return to address potential issues that may not be covered.  The language used in older lease agreements often tends to be vague compared to newer agreements, which leaves room for misinterpretation.  Often, the two parties will need to negotiate the lease return requirements well in advance of the start of the lease return inspection process.  Our aviation management team will work with your asset management team to identify, suggest, and clarify these terms with the lessee and ensure that your organization maximizes the value of the aircraft upon its return.

The Importance of Continued Support

With some consultants or organizations, their work ends once the inspection and lease return process are complete.  The AMS China aviation management teams will continue to provide quality support and service well after the asset is returned.

Once the aircraft has been returned, banks or lenders may either re-lease the aircraft or choose to sell that aircraft out of their portfolio, and possibly even scrap the aircraft. If your organization intends to re-lease or sell an asset, consider working with AMS China who will work with you and other industry service providers to re-market the aircraft.  We are willing to provide you continued on-site support, such as securing a location to safely store the aircraft and manage the necessary maintenance support to keep the aircraft in flight ready condition.  We can even provide ferry crew to arrange the flight planning reposition the aircraft.

The key to finding the right aviation management team is to look for one backed with experienced members with years of industry experience and proven dedication to its clients.

 

Dedicated Support Capability & Logistics

We are approved with Certification of Maintenance Organization for Civil Aircraft (CCAR - 145) and the Civil Aviation Safety Management System (SMS) certification since 1992.

Our hangar and facilities are located strategically between Beijing & Shanghai and has been specifically designed to accommodate a variety of heavy corporate/business aircraft and single-aisle airliners.  Our ramp space is suitable for up to 6 Large twin-aisle aircraft up to the B747 or A380.

The airport has a 10,000’+ concrete runway, and our existing hangar covers an area of 3850 m2.