British Airways is downsizing a recent enhanced equipment trust certificate (EETC) issuance by almost 40% as a result of production delays reducing the available aircraft to form its collateral. Fitch Ratings states in a 28 April note that the IAG-owned airline is reducing the size of its EETC 2020-1 issuance from $1.04 billion to $614 million. This will involve the downsizing of its Class A certificates from $763.5 million to $466.6 million and Class B certificates from $241.1 million to $147.4 due to production delays by aircraft manufacturers beyond the certificates' drawdown deadline of 31 March 2021. One Airbus A320neo and three Boeing 787-10s will no longer be financed by the certificates and undrawn certificates proceeds held at the depositary have been refunded back to the certificate holders. BA expects to find other sources of funding to finance delayed deliveries, Fitch states. BA issued its EETC 2020-1 in November 2020, secured by 14 aircraft, in order to repay a $750 million bridge loan and fund additional deliveries. The collateral consisted of four A320s delivered in 2009-10 and the rest would be new A320neo, A350-1000 and B787-10 deliveries in 2020. Fitch says the collateral pool's two A350-1000s – which it views as tier-two assets due to their limited user base and orderbook and the absence of engine commonality with other A350 families – will now contribute over 40% of the total from 25% initially. The older-generation of A320s will now contribute 9% compared with 5% initially; the A320neo and 787-10 now contribute 12% and 38%, respectively. The downsizing does not impact on Fitch's "BB" rating with a negative outlook for the B Class certificates and the "A-" rating for the Class A certificates. The liquidity facility associated with the financing and the strong ratings of the UK carrier factor into the agency's calculations for the Class B certificates.

Nigerian authorities have lifted a suspension order against local carrier Azman Air after it implemented a corrective plan to address safety matters, the airline states. The suspension affected Azman’s Boeing 737 fleet and was imposed in mid-March after several incidents involving the undercarriage of passenger flights, each of which involved aircraft damage, over the space of six weeks. Nigeria’s civil aviation authority had described, on 19 March, an “alarming trend” of tyre failures, combined with “improper” tyre maintenance procedures, as a “clear and strong indication of an accident chain formation in its final stages”. “No responsible civil aviation authority will fold its arms and wait for the next incident to occur, perhaps a fatal accident, before taking action,” it added, justifying its suspension of Azman’s 737 operations and the initiation of a comprehensive audit into airworthiness, training, finances and other areas. But Azman Air says it met with the authority on 1 May, after undergoing the safety audit and implementing the recommended corrective action plan. It cites a 1 May communication from the regulator which states that the authority has reviewed the plans and “found them satisfactory” and that it “hereby lifts the suspension… with regards to the operations of [737s]”. “We can assure the general public that it is the beginning of a new experience,” says the carrier. “We remain committed to raising the standard when it comes to the safety of crew, equipment and passengers.”

Lufthansa Group has placed an order for five additional Boeing 787-9 Dreamliners as part of its fleet modernisation efforts. The US aircraft manufacturer says the new purchase agreement takes the European airline group’s orderbook to 25 787-9s. An initial order for 20 aircraft was placed in 2019. "We are very pleased that five more Boeing 787-9s will accelerate the modernisation of our long-haul fleet. With these ultra-modern, fuel-efficient aircraft, we send a strong signal for environmental responsibility within the Lufthansa Group,” Deutsche Lufthansa executive board member and chief operations officer Detlef Kayser states. “Furthermore, we will reduce our operating costs and provide our guests a state-of-the-art travel experience.” The 787-9 can fly up to 20% more passengers and around 25% more cargo while reducing fuel use and emissions by up to 25% compared to the airplanes it replaces.