Sanad extends contract with Etihad Airways by $100 million
Sanad Aero Solutions GmbH (Sanad), a wholly-owned subsidiary of the Mubadala Development Company, has increased its leasing portfolio of spare engines and components with Etihad Airways through the addition of new assets valued at $100 million.
This includes spare GEnx and GP7200 engines and spare landing gear and nacelles, to support the airline’s growing fleet of B777, B787, A320 and A380 aircraft.
With the additional assets, the overall value of Sanad’s leasing relationship with Etihad Airways now exceeds $450 million.
James Hogan, Etihad Airways President and Chief Executive Officer, said: “This latest financial agreement builds on the growing relationship between the two companies, enabling us to benefit from existing synergies, maximise the economics of our assets, and lease spare engines and components at very competitive costs.
“Last year 21 aircraft joined the fleet, including our first A380 and Boeing 787 Dreamliner aircraft. With another 16 Airbus and Boeing aircraft scheduled for delivery in 2015, it’s vital that we have the recommended level of inventory to keep our fleets fully serviceable at all times.”
Sanad’s relationship with Etihad Airways began in 2011 through the financing of 11 GE90 and Rolls-Royce Trent spare engines, and the two companies extended this in 2013 through the financing of rotable component spares valued at over US$125 million.
Troy Lambeth, Chief Executive Officer of Sanad, said: “We are delighted to expand our leasing portfolio with Etihad Airways and extend our long term support to its fleet as it continues to grow. Our relationship with the airline continues to drive our shared mandate in creating a global aerospace hub here in Abu Dhabi and we look forward to further collaboration as a long-term partner in the airline’s record growth.”
Etihad Airways, the national airline of the United Arab Emirates, has also recently clinched top honours at the 2015 Aviation 100 Awards, organised by Airline Economics magazine.
The prestigious awards are voted for by the industry and recognise outstanding achievement in the aerospace sector, with Etihad Airways claiming the coveted ‘Airline of the Year’ title.
The awards follow a milestone year, which saw the national flag carrier quantum leap its level of growth, innovation and service. In 2014 the airline launched 10 new routes including three in North America, and injected significant investment into new equity partnerships.
Last year, Etihad Airways also revealed a brand new look with new livery, uniforms and onboard offerings, with its first-of-kind ‘Residence by Etihad’ concept changing the face of luxury commercial air travel.
DHL Claim Multi-Sector Collaboration Key to Fighting COVID
Since January, global logistics leader DHL has distributed more than 200 million doses of the COVID vaccine to 120+ countries around the globe. While the US and UK recently rolled out immunisation plans to most citizens, countries with less developed infrastructure still desperately need more doses. In the United Arab Emirates (UAE), which currently has one of the highest per-capita immunisation rates, the government set up storage facilities to cover domestic and international demand. But storage, as we’ve learned, is little help if you can’t transport the goods.
This is where logistics leaders such as DHL make their impact. The company built over 50 new partnerships, bilateral and multilateral, to collaborate with pharmaceutical and private sector firms. With more than 350 DHL centres pressed into service, the group operated 9,000+ flights to ship the vaccine where it needed to go.
With new pandemic knowledge, DHL just released its “Revisiting Pandemic Resilience” white paper, which examined the role of logistics and supply chain companies in handling COVID-19. As Thomas Ellman, Head of Clinical Trials Logistics at DHL, said: “The past one year has highlighted the importance of logistics and supply chain management to manage the pandemic, ensure business continuity and protect public health. It has also shown us that together we are stronger”.
Multisector partnerships, DHL said, enabled rapid, effective vaccine distribution. While international scientists developed a vaccine in record time—five times faster than any other vaccine in history—manufacturers ramped up production and logistics teams rolled out distribution three times faster than expected. When commercial routes faced backups, logistics operators worked with military officers to transport vaccines via helicopters and boats.
In the UAE, the public-private HOPE Consortium distributed billions of COVID-19 doses to its civilians as well as other countries in need by partnering with commercial organisations such as DHL. For the first time, apropo for an unprecedented pandemic, logistics companies made strong connections with public health and government.
“While the race against the virus continues, leveraging the power of such collaborations and data analytics will be key”, said Katja Busch, Chief Commercial Officer DHL and Head of DHL Customer Solutions & Innovation. “We need to remain prepared for high patient and vaccine volumes, maintain logistics infrastructure and capacity, while planning for seasonal fluctuations by providing a stable and well-equipped platform for the years to come”.
How Do We Sustain Immunisation?
By the end of 2021, experts estimate that we need approximately 10 billion doses of vaccines—many of which will be shipped to areas of the world, such as India, South Africa, and Brazil, that lack significant infrastructure. This is perhaps the greatest divide between countries that have rolled out successful immunisation programmes and those that have not. As Busch noted, “the UAE’s significant investments in creating robust air, sea, and land infrastructure facilitated logistics and vaccine distribution, helping us keep supply chains resilient”.
Neither is the novel coronavirus a one-time affair. If predictions hold, COVID will be similar to seasonal colds or the flu: here to stay. When fall comes around each year, governments will need to vaccinate the world as quickly as possible to ensure long-term immunisation against the virus. This time, logistics companies must be better prepared.
Yet global immunisation, year after year, is no small order. To keep reinfection rates low and slow the spread of COVID, governments will likely need 7-9 billion annual doses of the vaccine to meet that mark. And if DHL’s white paper is any judge of success, multi-sector supply chain partnerships will set the gold standard.