With airline results for quarter one trickling in, it feels like a sensible time to revisit lease default rates and airline failures within the market. So far we’re seeing positive results from the US majors with no significant deviation from those seen in Quarter one 2018, despite the impact of the 737 MAX groundings. Will this be the same for those operating in the East….? In our opinion, we’re not expecting operators in the region to fare so well. Stuart Hatcher, IBA’s Head of Intelligence, has generated a lease default rate and airline failures update that includes some interesting ‘what if’ scenarios. This useful insight piece looks at the implications for aircraft trading liquidity should the market experience more defaults and bankruptcies.