APOC closes multi-million dollar deal with LTLGS UK
In a multi-million dollar contract program, APOC’s specialist landing gear division has agreed a long-term lease with Lufthansa Technik Landing Gear Systems UK (LTLGS) for a Boeing 777 landing gear.
Karolis Jurkevicius, VP Landing Gear Trading & Leasing – APOC said: “We have worked closely with LTLGS for several years and we are extremely pleased to develop this mutually beneficial solution with them for this top-class widebody asset. We have been able to offer an attractive proposition, underpinned by our solid investment strategy, because our focus on building a long-term relationship gave us insight into their operational cost efficiency objectives.”
Identifying suitable assets is a complex business and APOC carefully evaluate LDGs with leases attached if they fit with the division’s asset criteria of the highest quality. Currently around 40% of APOC’s LDG stock is leased, 30% is allocated to exchange programs and the remaining 30% is set up for additional lease opportunities, part-out projects and sales.
“Widebody assets are an integral part of APOC’s LDG expansion plan” continues Jurkevicius. “We’re investigating various opportunities to meet customers’ expectations and although this is our first significant first widebody project, it was a planned step. LDG stock for B767, B787, A330 and others will soon be part of the portfolio and we are aiming to further increase our inventory to meet customers’ needs.”
APOC is appealing to growing numbers of airlines and MROs around the world who are seeking flexible and nimble ways to leverage their landing gear stock. It offers repair management as a service to operators and has a portfolio of audited LDG repair shops with whom it manages repairs as needed. It also works with third-party experts to tear down LDGs for piece parts for sale, or to support customers’ on-going overhaul projects.
Christian Rodarius, Managing Director/CEO Lufthansa Technik Landing Gear Systems UK said “Leasing the LDG from APOC has been a seamless experience. Choosing the lease option enables us to calculate costs for operational projects with certainty and it gives us additional flexibility to explore alternative investment strategies for our business.”
“APOC developed the ideal asset management solution for the Boeing 777 LDG and the new lease agreement is perfect for us” commented Tim Zurawski – Head of Asset Management at LTLGS. “We established a great team mind-set throughout the project and I look forward to new opportunities together.”
Jurkevicius is keen to acknowledge the trust placed by Lufthansa Technik Landing Gear Systems UK and observes that this is one of the largest projects for APOC and the landing gear division so far. “We appreciate their confidence in us, and we are proud that they have joined the APOC lessee family. Finding different ways to support operators with our specialist services is so important as the industry prepares itself for a new future post-COVID.”
