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The potential for a massive $23 billion goodwill charge in the power segment of General Electric Co. and a resulting series of adverse ratings actions did not represent the only bad news to emerge for GE Capital Global Holdings LLC as October began.
One of the aircraft leasing customers of GE Capital Aviation Services, ultra-low-cost-carrier Primera Air, revealed Oct. 1 that it was immediately discontinuing operations less than six months after heralding the first in a series of new aircraft deliveries.
GE Capital Aviation Services, better known as GECAS, said April 16 that Primera took delivery of its first Airbus SE A321neo -- one of three from the lessor's order book that the airline planned to have enter service in 2018. Primera planned to utilize the aircraft, which was subsequently hit by production delays, to fly cross-Atlantic routes from the United Kingdom and France. The aircraft have CFM-Leap-1A engines manufactured by the CFM International joint venture of GE and France's Safran Aircraft Engines SAS.
The lessor said at the time that it had been partnering with Primera Air on fleet solutions for 11 years. A GECAS spokesman declined to comment on...