IATA Aircraft Lease Guidance

Guidance Material and Best Practices for Aircraft Leases
5.2.1 Initial Phase
The redelivery process starts many months before the actual redelivery event, and a proper project plan,
based on a thorough evaluation of all lease requirements and the actual state of the aircraft and records will
prevent unpleasant surprises.
For engines it is advised to implement the redelivery conditions in the engine shop visit plan and monitor the
conditions of the engines against the redelivery conditions on a regular basis during the lease. Active
planning towards the redelivery conditions helps to reduce cost. With current trend monitoring and EGT
deterioration it is possible to make a long term forecast over the fleet. Staggering of engines over the fleet,
optimized build life during the shop visit and replacement of LLP’s capable make the redelivery conditions,
result in an optimized use of the engines with minimal cost.
The start and duration of this planning phase are dependent on the complexity and length of the aircraft
lease. Considering that engines may require shop visits to meet the redelivery conditions, and considering the
need to obtain additional information from third parties (such as shop reports), it may not be uncommon to
start this process six to fifteen months before redelivery.
5.2.2 Pre-redelivery Phase
Following the initial planning phase, the Lessee can start creating the relevant maintenance work-scopes.
Ideally this should be done in conjunction with the aircraft Lessor, if not already in the lease agreement, to
prevent any discussions so close to redelivery. Many Lessors will already have sent over an inspector to
perform a pre-redelivery inspection in order to determine the condition of the aircraft and records, and this
may be a good opportunity to discuss the expectations of the Lessor and the redelivery planning. Generally
this phase will include the following elements:
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Pre-redelivery audit by Lessor of the aircraft and records.
Creation of an engine work-scope and approval by Lessor (if applicable).
Selection of engine shop and allocation of slot to ensure timely return of the engine, if applicable.
Creation of airframe work-scope and selection of Maintenance, Repair and Overhaul organizations
(MRO).
Initial discussions with the Lessor on planning, records standard, and other requirements.
If a borescope is required at redelivery a preliminary borescope could possible prevent a surprise finding
during the redelivery.
A walk through of the cabin with Lessor and Lessee to agree on general standard of the cabin.
5.2.3 Redelivery Phase
The final phase will focus on the performance of the aircraft redelivery check and the preparation of the
aircraft records. Commonly, the aircraft lease will describe the exact records requirements, and this usually
62 4 th Edition 2017