Southwest Obtains Lease Rate Reductions on 717s
Southwest Airlines has obtained more favorable lease rates on many of its Boeing 717 aircraft that joined its fleet as part of the acquisition of AirTran Airways. Southwest recently-released annual report noted the existence of “lease rate reductions negotiated for the Boeing 717 leases.”
While Southwest did not provide much more in terms of detail, the annual report for Boeing Capital Corporation suggests that it could be the lessor behind the rate reductions:
In the fourth quarter of 2011 we revised the contractual terms of our leases with AirTran in conjunction with a full guarantee from Southwest of those lease payment obligations. Rev
February 16, 2012
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Posted by Sarah Miles
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