13 February 2024
AMEDEO
AIR FOUR PLUS LIMITED (the "Company")
(LSE: AA4, LEI: 21380056PDNOTWERG107)
Factsheet
The Company announces that its factsheet for the period to 31 December
2023 is now available on its website
at http://www.aa4plus.gg. An
extract from the Chairman's statement within the factsheet is
reproduced below.
Tailwinds
First, the directors were very
pleased to be able to show their confidence in the Company's
finances by increasing the dividend last month. Whilst there are
issues surrounding values (good and bad) our cash flow is strong,
we are not exposed to rising interest rates and our lessees are
performing well.
Aircraft values in some areas have
bounced back from the collapses in 2020/21, not everywhere but
nevertheless the immutable laws of supply and demand prevail as
they always do. Demand for capacity is slowing slightly in some
areas but is still there. The Dublin Airfinance Conference at the
end of January was heavily attended and upbeat. Amongst all the
airlines, lessors and financiers I spoke to, lack of supply is the
issue, not lack of demand.
Asia Pacific traffic continues its
strong recovery which helps Thai Airways. They are
rumoured to be about to order new Boeing 787 aircraft. The
airline is clearly confident that it will have the balance sheet
and cashflow to finance them.
Headwinds
There are not so many.
Rising fuel and maintenance costs
(i.e. things that go to airline profitability) are still a concern,
not helped by political instability around the Red Sea.
In the USA low-cost carriers have
plateaued, and some have surplus capacity. That is not our
market.
The future of the A380 ebbs and
flows. Their greatest supporter, Sir Tim Clark, delayed his
retirement so as to see Emirates through the pandemic, which he has
done. Boeing must prove that the 777-X meets its performance
targets, failure there will mean the airline must look for capacity
elsewhere. The airline has demanded rigorous testing in local
(harsh) conditions.
I must clarify that, following some
queries from shareholders after publication of our half year
financials, we have not concluded any deal with Emirates and will
not speculate (i.e. guess) whether any deal will materialise or
what it will look like. Our first aircraft is not due to be
returned until September 2026 and the lease agreements specify
timelines and return conditions, which both we and Emirates will
scrupulously observe.
For further information, please
contact:
JTC Fund Solutions (Guernsey)
Limited
+44 (0) 1481 702 400
Liberum Capital
Limited
Chris Clarke / Darren Vickers / Owen
Matthews
+44 (0) 20 3100 2000
About the Company
The Company is a Guernsey-domiciled
company, with shares admitted to trading on the Specialist Fund
Segment of the London Stock Exchange's Main Market (LSE:
AA4).
The Company's investment objective
is to obtain income returns and a capital return for its
Shareholders by acquiring, leasing and then selling
aircraft.