The Financial Post reports in its Thursday, May 9, edition that the Chorus Aviation chief executive officer Joe Randell sees a silver lining in a slowing global economy. A Canadian Press dispatch to the Post reports that Mr. Randell said during a conference call: "Historically during economic downturns, mainline carriers typically contract more flying to their regional partners to lower costs and increase their utilization of smaller aircraft, which are better-suited to serve reduced market demand. Further, airlines look to the benefits of leasing aircraft versus acquiring them to allow for better operational flexibility and reduced financing requirements."
Chorus, which provides regional service for Air Canada, has been growing its regional aircraft leasing business, announcing four leasing deals this year for 11 aircraft in total.
The deals bring Chorus's fleet to 45 aircraft.
India's Spicejet is among the carriers that have been picking up the slack after Jet Airways suspended all flight operations last month after its lenders turned down its request for emergency funds, putting its future in jeopardy.
Mr. Rabdell said, "There's very, very heavy demand and a lot of growth in that market."
© 2019 Canjex Publishing Ltd. All rights reserved.