Investing in Aviation Finance Germany

Nov 26, 2019

Sofitel Munich, Germany

Announcement: New venue
We have now moved to Sofitel Munich, Bayerstraße 12, 80335 München

Ishka's 3rd Investing in Aviation Finance: Germany delivers an unrivalled opportunity for high-level networking. This is the industry's only forum connecting German institutional investors and fund managers with the international aviation finance community to stimulate activity within the market and foster new working relationships.

Our carefully curated agenda delivers enriching content to inform and educate German investors and market practioners on the valuable opportunities in aviation finance into 2020 and beyond.

With just 2 weeks to go we now have final tickets remaining
Register today to secure your place at this unmissable event

EXPERT INSIGHT FROM OUR SENIOR SPEAKER LINE-UP:

NETWORK WITH CONFIRMED INVESTORS INCLUDING:

Investor/Airline Registration

Complimentary conference passes are available to airlines and instiutional investors (subject to approval by Ishka)

The crew at Ishka are global & disruptive thinkers. Their events are excellent & deserve the industry support. (Co-founder Ryan Air)

Declan Ryan

Founder, Viva Air

Ishka's unique format encourages open and candid debate on key issues among leading industry figures and market players resulting in a high quality dialogue. Ishka events are the 'conference of choice' for me and many colleagues

Steve Bridgland

SVP, DVB Bank SE Representative Office New York

If you’re looking for an event in aviation finance that goes to a deeper level and debates the (critical) topics – this is the one!

Sally Gilding

Senior Consultant, Ocorian

Presentation

Panel

Roundtable

Interactive

	Plenary	Industry-wide stream
08:00	Registration Main 08:00 Main Registration × Next session: How does aviation compare to real estate?
09:10	Ishka Welcome Main 09:10 Main Ishka Welcome × Next session: How does aviation compare to real estate?
09:15	More information How does aviation compare to real estate? Making the case for investing in aviation vs real estate, and where each asset class sits relative to each other. Main 09:15 Main How does aviation compare to real estate? × Making the case for investing in aviation vs real estate, and where each asset class sits relative to each other. Karl Essig Partner AgFe Philip Pearson Partner AgFe Next session: The industry leader’s gameshow
09:45	More information The industry leader’s gameshow Where does aviation fit into the long-term strategies of German banks? How have KG funds performed and where could it all go wrong? The available categories for aircraft investments under the Investment Ordinance (Anlageverordnung) and the stress factors under Solvency II Are there are sufficient (international) asset managers trusted by institutional investors focusing on the asset class Main 09:45 Main The industry leader’s gameshow × Where does aviation fit into the long-term strategies of German banks? How have KG funds performed and where could it all go wrong? The available categories for aircraft investments under the Investment Ordinance (Anlageverordnung) and the stress factors under Solvency II Are there are sufficient (international) asset managers trusted by institutional investors focusing on the asset class Markus Ohlert Head of Corporate Aircraft Finance & Financial Fleet Management Deutsche Lufthansa AG Joerg Schirrmacher Head of Transport Finance & Senior Vice President Helaba/Landesbank Hessen-Thuringen Richard Moody Managing Director - Credit Solutions Group Deutsche Bank Fraser Chestney Senior Vice President Magi Aviation Capital Philipp Prior Managing Partner EMP Structured Assets GmbH Stefan Schütte Senior Porfolio Manager R+V Lebensversicherung AG Next session: The Ishka Debate: “This house believes the lack of available aircraft is stunting the growth of aviation as an asset class for German investors”. Previous session: How does aviation compare to real estate?
10:30	Morning networking break Main 10:30 Main Morning networking break × Next session: The Ishka Debate: “This house believes the lack of available aircraft is stunting the growth of aviation as an asset class for German investors”. Previous session: How does aviation compare to real estate?
11:00	More information The Ishka Debate: “This house believes the lack of available aircraft is stunting the growth of aviation as an asset class for German investors”. No available assets, or not enough investors: What is holding up growth in the asset class within Europe? Are there a lack of entry assets to invest in? (narrowbodies; A320/neo, A321, 737/MAX etc) Should German investors be looking at riskier assets? Main 11:00 Main The Ishka Debate: “This house believes the lack of available aircraft is stunting the growth of aviation as an asset class for German investors”. × No available assets, or not enough investors: What is holding up growth in the asset class within Europe? Are there a lack of entry assets to invest in? (narrowbodies; A320/neo, A321, 737/MAX etc) Should German investors be looking at riskier assets? Martin Browne VP Commercial EMEA Aergo Capital Derek Wong Aviation Finance Investec Ted O'Byrne MD, Co Head of Aviation Carlyle Group Next session: The Crunch Before Lunch Previous session: How does aviation compare to real estate?
11:30	More information The Crunch Before Lunch Delegates are split into small groups and participate in a series of quick-fire crunch talks on industry innovations and risks impacting the aviation capital markets. Main 11:30 Main The Crunch Before Lunch × Delegates are split into small groups and participate in a series of quick-fire crunch talks on industry innovations and risks impacting the aviation capital markets. Philipp Goedeking Managing Partner Avinomics Helene Spro Johansen Associate Director Project Finance Scope Ratings AG Previous session: How does aviation compare to real estate?
12:15	Networking lunch Main 12:15 Main Networking lunch × Previous session: How does aviation compare to real estate?
	Industry-wide stream	Investor workshop
13:45	More information Appraising the appraisers: Have aircraft residual values held up vs expectation? Proof & concept: what appraisers said would happen vs what has actually happ... Main 13:45 Main Appraising the appraisers: Have aircraft residual values held up vs expectation? × Proof & concept: what appraisers said would happen vs what has actually happened How are residual values evaluated? With new gen aircraft in the market; are the current gen aircraft values now out of date? How much volatility is there with residual values? Markus Paul Niedermeier Head of Aviation LHI Kapitalverwaltungsgesellschaft mbH Eddy Pieniazek Head of Advisory Ishka Olga Razzhivina Director ORIEL Yves Germeaux Managing Director ATOZ Aviation Finance Next session: Will aviation investments be ESG compliant?	More information The business case: Can aviation really be classed as an infrastructure investmen... Exploring the characteristics of infrastructure assets and similarities to aviat... Second 13:45 Second The business case: Can aviation really be classed as an infrastructure investment? × Exploring the characteristics of infrastructure assets and similarities to aviation To what extent can investors dress up aviation as a quasi-infrastructure product? Does aviation qualify as infrastructure under Solvency II? Frank Segger Portfolio Manager KGAL Capital Next session: The product roulette: Navigating the different points of entry into aviation finance for German institutional investors
14:15	More information Will aviation investments be ESG compliant? What does ESG mean from a European regulatory standpoint?How has aviation made m... Main 14:15 Main Will aviation investments be ESG compliant? × What does ESG mean from a European regulatory standpoint? How has aviation made movements towards becoming more ESG compliant? (new tech aircraft, biofuels, hybrid electric aircraft etc) Oliver Oehri Founding Partner CSSP Next session: Why are airline bankruptcies still happening in a booming environment? Previous session: Appraising the appraisers: Have aircraft residual values held up vs expectation?	More information The product roulette: Navigating the different points of entry into aviation fin... Our panel of aviation experts will spin the wheel and discuss each of the entry ... Second 14:15 Second The product roulette: Navigating the different points of entry into aviation finance for German institutional investors × Our panel of aviation experts will spin the wheel and discuss each of the entry points within aviation for German investors with differing risk return profiles. Stephan Sayre Managing Director DVB Bank Leslie Kurshan Head of Product Development Marsh UK Richard Moody Managing Director - Credit Solutions Group Deutsche Bank Joerg Schirrmacher Head of Transport Finance & Senior Vice President Helaba/Landesbank Hessen-Thuringen Next session: Navigating end of lease situations and remarketing aircraft Previous session: The business case: Can aviation really be classed as an infrastructure investment?
14:45	Afternoon networking break Main 14:45 Main Afternoon networking break × Previous session: How does aviation compare to real estate?
	Industry-wide stream	Investor workshop
15:15	More information Why are airline bankruptcies still happening in a booming environment? What has been the fallout from the recent European airline bankruptcies?How have... Main 15:15 Main Why are airline bankruptcies still happening in a booming environment? × What has been the fallout from the recent European airline bankruptcies? How have these bankruptcies hit debt, asset equity and airline equity investors? Have Germania, WOW Air, Monarch aircraft been absorbed back into the industry? Lessons learnt for investors Airlines insolvency: lessons learnt Matthias Winter Rechtsanwalt - Partner Bird & Bird LLP Next session: Are German investors ready to talk ABS? Previous session: Appraising the appraisers: Have aircraft residual values held up vs expectation?	More information Navigating end of lease situations and remarketing aircraft Picking the right asset manager Trading strategies through the leasing cycle and... Second 15:15 Second Navigating end of lease situations and remarketing aircraft × Picking the right asset manager Trading strategies through the leasing cycle and key risks/protections Remarketing aircraft end of lease Jochen Baltes Managing Director GOAL Aircraft Leasing Sibylle Paehler Managing Director Doric GmbH Mamoun Kuzbari Managing Director Novus Aviation Capital Next session: Trends in Aviation Finance Previous session: The business case: Can aviation really be classed as an infrastructure investment?
15:45	More information Are German investors ready to talk ABS? Why has there been a lack of interest for aircraft ABS in Germany?What assets do... Main 15:45 Main Are German investors ready to talk ABS? × Why has there been a lack of interest for aircraft ABS in Germany? What assets do German investors want to see in ABS’? Can German investors who take longer to invest than US investors get access to the ABS market? How risky is the new tradeable e-note market? Ted O'Byrne MD, Co Head of Aviation Carlyle Group Bertrand Dehouck Managing Director, Aviation Finance BNP Paribas Dan Stone Executive Vice President Dubai Aerospace Enterprise Previous session: Appraising the appraisers: Have aircraft residual values held up vs expectation?	More information Trends in Aviation Finance Aviation Finance – Market Overview and OutlookMacroeconomic headwinds for ... Second 15:45 Second Trends in Aviation Finance × Aviation Finance – Market Overview and Outlook Macroeconomic headwinds for industry Overview of global tax environment & impact on aviation finance Evolution of Banking and Capital markets structures Impact of Trade Wars/tariffs on aviation finance James Kelly Partner KPMG Ireland Previous session: The business case: Can aviation really be classed as an infrastructure investment?
16:15	Closing remarks and close of conference Main 16:15 Main Closing remarks and close of conference × Previous session: How does aviation compare to real estate?

Markus Ohlert

Head of Corporate Aircraft Finance & Financial Fleet Management

Deutsche Lufthansa AG

Bertrand Dehouck

Managing Director, Aviation Finance

BNP Paribas

Stefan Schütte

Senior Porfolio Manager

R+V Lebensversicherung AG

Ted O'Byrne

MD, Co Head of Aviation

Carlyle Group

Yves Germeaux

Managing Director

ATOZ Aviation Finance

Stephan Sayre

Managing Director

DVB Bank

Martin Browne

VP Commercial EMEA

Aergo Capital

Philipp Prior

Managing Partner

EMP Structured Assets GmbH

Joerg Schirrmacher

Head of Transport Finance & Senior Vice President

Helaba/Landesbank Hessen-Thuringen

Karl Essig

Partner

AgFe

Christian Wolff

Director - Corporate Finance

Helaba (Landesbank Hessen-Thueringen)

Oliver Oehri

Founding Partner

CSSP

Johannes Vogel

Counsel

Frank Segger

Portfolio Manager

KGAL Capital

Paul Ng

Partner

Milbank

Paul O'Callaghan

EVP Portfolio Management

Aircastle

Derek Wong

Aviation Finance

Investec

Philipp Goedeking

Managing Partner

Avinomics

Neil Lewis

COO

Magi Aviation Capital

Patrick den Elzen

Managing Director

Arena Aviation Capital

Helene Spro Johanson

Director

Scope Ratings AG

Sibylle Paehler

Managing Director

Doric GmbH

Jochen Baltes

Managing Director

GOAL Aircraft Leasing

Markus Paul Niedermeier

Head of Aviation

LHI Kapitalverwaltungsgesellschaft mbH

James Kelly

Partner

KPMG Ireland

Philip Pearson

Partner

AgFe

Olga Razzhivina

Senior ISTAT Appraiser

ORIEL

Matthias Winter

Rechtsanwalt - Partner

Bird & Bird LLP

Richard Moody

Managing Director - Credit Solutions Group

Deutsche Bank

Dan Stone

Executive Vice President

Dubai Aerospace Enterprise

Eddy Pieniazek

Head of Advisory

Ishka

WHO'S ATTENDING?

Just a sample of some of the companies registered to attend includes:

Aergo Capital
AgFe
Air2E GmbH
AllMerus Energy Ltd
ÄrzteVersorgung Westfalen-Lippe
ATOZ Aviation Finance
Avinomics
BayernLB
Bird & Bird
BNP Paribas
Bruski Smeets Lange
Burnham Sterling
Carlyle Group
Castlelake
Commerz Real
CSSP
Dekabank
Deutsche Bank
Deutsche Lufthansa AG
Doric GmbH
Dr. Peters Group
Dubai Aerospace Enterprise
DVB Bank

EMP Structured Assets
Entrust Global
Fortress Investment Group
GOAL Aircraft Leasing
Helaba (Landesbank Hessen-Thueringen)
Hi Fly
HUK Coburg
Investec
KGAL Capital
Landesbank Baden - Wurttemberg (LBBW)
LHI Kapitalverwaltungsgesellschaft mbH
Magi Aviation Capital
Marsh UK
Millennium Capital AS
Norton Rose Fulbright
ORIEL
Pensionskasse Hypovereinsbank
Prime Capital AG
Scope Ratings AG
Talanx
Versorgungswerk der Steuerberater im Land Nordrhein-Westfahlen
Zurich Insurance Group

We caught up with keynote speaker Markus Ohlert, Head of Corporate Aircraft Finance & Financial Fleet Management, Deutsche Lufthansa who shares see his expert outlook on the financing landscape for
airlines and offers a glimpse of what to expect on 26th November in Munich.

Ishka: Is now the best time to be an airline with regards to access to financing? Surely costs must now be at record low?

Markus: "Correct, from Lufthansa’s perspective, accessibility to financing is easy and cost of financing very low. Lufthansa has issued a 500mEUR bond with a five year maturity and a coupon of 0,25%."

Ishka: What financing structures are you favouring and why?

Markus: "We like to mix secured and unsecured financing. With respect to secured financing, we like the JOLCO product for its pricing and reliability. As far as aunsecured financing is concerned, we have mostly used Schuldschein financing as well bond issues, depending on the market situation at the given point in time."

Ishka: JOLCOs have enviably cheap levels of equity - are you tempted to access that market again this year? How do you compare a bond with, say cheap long-form secured debt, like a JOLCO? Do you have a certain ratios you try and keep?

Markus: "We will be closing a JOLCO in December, but have locked in this transaction already a while ago. We expect to go back to the JOLCO market again in 2020, but will decide only step by step how much money we will raise. We constantly compare the cost of unsecured financing with the cost of secured financing, but are willing to live with the higher cost of unsecured financing in order to complement our debt portfolio, depending on the situation at the given point in time."

Ishka: A lot of investors are focused on ESG credentials, in your opinion can aviation qualify as an ESG investment?

Markus: "Lufthansa undertakes every effort to run its operations in a sustainable way, and we see similar activities in wide parts of our industry, but ultimately it will be the markets to decide whether aviation can qualify as an ESG investment."

Ishka: Eurowings has struggled to make a profit, would this challenge be even bigger if Lauda (Ryanair-owned) gets hold of more aircraft and moves to open bases in Germany next year?

Markus: "The point-to-point market in Germany is currently very competitive. This is great for the customers and tough for all market participants. While Eurowings is there to stay it will be interesting to see how the rest of the market will fare in the long run."