BAE SYSTEMS LEASES TWO ATPs TO ASIAN SPIRIT OF THE PHILIPPINES

BAE SYSTEMS Regional Aircraft has signed an agreement with Philippine domestic airline Asian Spirit for the long-term lease of two 68-seat ATP regional airliners. Delivery of the first aircraft will take place in December 2003 with the second following in 2004.

Asian Spirit was set up by a team of experienced former Philippine Airlines management, as an employee co-operative, following deregulation of the local air transport industry.

Operations commenced in April 1996 and Asian Spirit provides scheduled domestic services from its base at the capital Manila, linking to some 18 destinations across the country.

The airline envisages that the ATPs will be acquired to replace a proportion of older 60-seat Japanese-built YS-11 turboprops, for continued route expansion and to provide additional peak travel time frequencies during the busy October- May period of the year.

In addition to the lease contract, Asian Spirit has also signed a MACRO contract with Regional Aircraft. MACRO provides operators with a fixed rotable component maintenance cost that includes comprehensive spares support for a single fixed rate per aircraft flight hour.