Deal for eight ATR 72s heralds a lift for Africa
London-based investment conglomerate Lonrho unveiled plans last month to develop what it calls the first true pan-African airline with a new fleet of eight

London-based investment conglomerate Lonrho unveiled plans last month to develop what it calls the first true pan-African airline with a new fleet of eight 66-seat ATR 72-500s. The memorandum of understanding–one of the largest ever signed by an African regional airline for ATR turboprops–calls for delivery of four airplanes this year and four more next year to Lonrho’s Kenyan airline subsidiary, Lonrho Air, which operates from Nairobi under the name Fly540.

ATR has promised to help Lonrho obtain export finance backing from COFACE and SACE, the export credit agencies (ECA) of France and Italy, respectively. ECA support might cover up to 85 percent of the purchase costs of the aircraft. The balance will come from Lonrho Air in periodic installments, before each delivery.