By Ronald Scheinberg (January 30, 2018, 12:07 PM EST) -- Commercial aircraft finance — the business of financing commercial aircraft — is anticipated to be a $140 billion-a-year industry in 2018.[1] Commercial aircraft are rather expensive, costing (at list price) $112 million for a narrow-body Boeing 737 MAX 8 jet, and upward of $390 million for an Airbus A380 wide body. The capital-intense nature of aircraft, accordingly, attracts a wide range of financing techniques, with the two core elements, debt finance and lease finance, constituting the basis for all such techniques. Developments in the debt finance element, particularly the private (versus public) markets thereof, will be the focus of this article. These developments, as will be evident, present particular challenges to financiers and the lawyers who represent them....
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