Sourcing-Buy/Sell

MDI works closely with several cargo airlines in markets across the world to keep up to date with market trends, needs, pricing, and sourcing opportunities. The sources for freighter acquisitions include airlines, banks, aircraft leasing companies, and after-market aircraft companies. 

There are target freighter aircrafts that MDI has identified, including 747s, 757s, 767s, 777s, MD80s, CRJs, ATRs, and many others. As aircraft come out of passenger operation, cargo conversion can extend the viable life of the aircraft by up to twenty years. MDI can acquire airframes and manage the conversion process with end customers in mind.

Leasing of Aircraft

Many cargo airlines operate on a limited budget. Leasing cargo aircraft becomes a viable option for smaller to mid-size cargo operators as well as the largest cargo airlines. By establishing lease parameters and managing the lease, MDI can collect a stable monthly rent on freighters placed worldwide. Through comprehensive aircraft management, MDI provide:

  • Maintenance oversight
  • Lease management
    • Lease monitoring and compliance services
    • Maintenance reserve collection and payment 
  • Repossessions 
  • Remarketing Services aircraft 
  • Purchase & Lease contract negotiation

Passenger to Cargo Conversions

Given the high cost and length of time it takes to convert a passenger aircraft to a freighter; many cargo airlines look for financing options through the conversion program. MDI capitalizes on this opportunity, by purchasing airframes, locking up the back-end purchase or lease, and using its connections at conversion facilities like AEI, PEMCO, EFW, or IAI, to provide solutions to its customers. The profit margin grows through financing the conversion and the lease rate can be inflated on the back-end.

Part-Out Opportunities

As the freighter aircrafts reach the end of life, the engines will be removed and either parted out, sent to shop, or placed on another aircraft. The airframes, under MDI’s management, will then have a few options. 

  • MDI can sell the aircraft into the part-out market
  • Tear the aircraft down and sell it for parts
  • Sell the airframe to an operator using that same aircraft

The cannibalization of the aircraft to support other similar aircraft is an important sector of aviation. MDI can manage this process through consignment and/or outright sales.