Oasis Leasing increases Risk Adjusted Lease Book by AED 191m in 2002

This reflects an annual growth of 27% over the past five years.

'We predicted 2002 would be a challenging year and so our focus has been to successfully transition assets to new customers and refinance assets where necessary. We not only achieved this but also concluded over AED 235 million of new business with three new customers and these transactions will make a significant contribution in the future,' said Mohammed Saif Al Mazrouei, Chairman, Oasis Leasing.

'Whilst the industry, and indeed the world economy, is currently at a low point of the economic cycle, the long-term fundamentals remain very firm.

Geo-political uncertainty can result in short term disruption, but the long-term growth trends in our market are unmistakable. The company is well positioned to capitalise on opportunities as the inevitable upturn happens,' Al Mazrouei added.

In its financial report for 2002, Oasis Leasing recorded revenues of AED 196 million, representing a 24% annual growth rate over the five years since 1998.

A one-off non-cash write-off in respect of accelerated amortisation of project finance costs has resulted in a small net loss. However, the underlying operating costs of the Company remain relatively low and fixed in nature. The net profit, taken before the accelerated amortisation charge, at AED 2million, more accurately reflects the operations of the business in the year.

The proposed dividend to shareholders remains unchanged at 2%.

'We have always emphasised that leasing is a long-term business, so the results of any one year should not be considered in isolation. The continued growth in our order book and the conservative approach taken to date means we have the confidence to maintain our dividend policy,' said Gordon Dixon, CEO, Oasis Leasing.

'We knew 2002 would be a difficult year but we have done well to keep our assets generating revenue and, more importantly, forge new relationships and expand the asset base. No mean feat in the circumstances. '

Oasis Leasing achieved a number of firsts in 2002. It completed its first leasing deal in the important North American market, with three aircraft leased to Canada's flagship airline Air Canada, including Oasis Leasing's first new aircraft, an Airbus A321.

'We have already seen positive results from these new investments and this trend is set to continue into 2003,' said Dixon. Oasis Leasing also entered into the expanding regional jet market and concluded its first finance lease during 2002.