Ratings assigned to Element Equipment Finance Notes expected to enable more efficient processing and funding of aircraft financing transactions
TORONTO, Sept. 30, 2013 /CNW/ - Element Financial Corporation (TSX: EFN) ("Element" or the "Company"), one of North America's leading independent equipment finance companies, today announced that the company's aviation finance business unit, acting as lessor, lender or lead arranger, has successfully leased or financed more than 100 aircraft since the inception of this business unit in the first quarter of 2012.
"With the completion of transactions booked in the current quarter, in just over eighteen months our aviation finance team will have financed, leased or arranged financing on more than100 aircraft for the North American civil aviation market," noted Tony Bergeron who heads the Company's aviation finance team as President of Element Capital. "We were able to quickly reach this milestone because our team of experienced professionals understands the importance of delivering timely and tailored financing solutions to the clients we serve in this market," added Mr. Bergeron.
Element's success in rapidly penetrating this market has been underpinned by two unique strengths - the Company's deep relationships with Original Equipment Manufacturers (OEMs) in the aerospace industry together with the long-term partnerships that Element has established with the syndication, securitization and investment partners that participate in the Company's various funding programs and structures.
On September 17, 2013, the Company received confirmation of ratings from Standard & Poor's on its $400 million Variable-Rate Equipment Contract-Backed Notes Series 2013-B. The Notes are backed by loans and leases associated with fixed wing aircraft, helicopters and flight simulation systems originated by the Company's aviation finance business unit.
"Over the last year, we've seen Element Capital's potential transaction pipeline grow to more than $2 billion," noted Steven K. Hudson, Element's Chairman and CEO. "Based on the strong organic demand for equipment in this industry together with the added funding capacity that is available to us through these rated notes, we anticipate accelerating the transaction flow from the aviation finance team in the coming quarters as they continue to engage this efficient funding structure to support the equipment financing needs of a growing number of civil aviation customers," added Mr. Hudson.
With total assets of approximately $2.5 billion, Element Financial Corporation is one of North America's leading independent equipment finance companies. Element operates across North America in three verticals of the equipment finance market - Element Capital provides large ticket equipment leasing, Element Finance serves the mid-ticket equipment finance market and Element Fleet provides vehicle fleet leasing and management solutions.
This release includes forward-looking statements regarding Element and its business. Such statements are based on the current expectations and views of future events of Element's management. In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking events and circumstances discussed in this release, may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the company. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Element undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
SOURCE: Element Financial Corporation
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