Published: 6/19/1998

Olga Pavlova, senior vice-president with Inkombank, one of the biggest independent Moscow banks, said on 13 May that the financier has invested over $150 into the Russian aviation industry in the last few years. Among the biggest projects supported by Incombank are overseas deliveries of combat aircraft from the Sokol plant of Nizhny Novgorod, setting up production (at Sokol) and marketing support for the Myasistchev M-101 Gzhel single turboprop, design work on the Sukhoi KR-860 super-large passenger airliner and S-21 supersonic business jet, completion of the Be-200 amphibian aircraft at IAPO factory in Irkutsk, revolving credit for major overhauling of D-30KU-154 engines from Aeroflot at Rybinsk Motors and some others. "Our banks are not a charity fund; we invest the money into something we think will pay off", Olga Pavlova commented. Inkombank's most recent move is aimed at setting up a leasing facility for the Ilyushin Il-114 commuter aircraft. Priced from $9 to $10.5m depending on the version, the aircraft is now offered to CIS operators in financial lease for 7-10 years, via the recently-established Central Aviation Leasing Company, Incom-leasing and Incom-avialeasing companies. A similar deal already arranged by Inkombank was that of two Tu-204s to be delivered to Khabarovsk United company as noted above.. Using its earlier experience, Inkombank now wants to be a risk-sharing partner in aviation projects rather than just to give credits at a certain interest rate. "Now we are wiser", Pavlova says, adding that participation in risk-sharing programmes is better for the bank and its clients. She explains that the idea with the Il-114 is to establish a system of hire purchase sales of aircraft from the base of a leasing company, and then attract "cheaper" foreign capital to reduce the burden on the lessors. Reportedly, the Il-114 lease scheme is based on a 10% annual interest rate for the lessor, whereas "normal" Russian interest rates now stand at 16% (in hard currency). "Since its foundation ten years ago, our bank has invested over $150m into the local aviation industry. This is by no means a limit for our bank", Pavlova says. She believes that the Il-114 will sell readily on the market under financial lease terms. She continues:"We feel there is a market for new regional aircraft and we want to be the first in this market". Although Incombank began an active marketing campaign on the Il-114 only a month ago, it already has country-wide interest from airlines. The intention to obtain the Il-114 via Inkombank has been expressed by Pulkovo, Nizhny Novgorod Airlines, Transaero, KrasAir and Aeroflot.(IN698.5a) (VK)  

Article ID: 192