Mubasher: Aviation Lease and Finance (Alafco) has signed a leasing contract valued at $553 million (KWD 168.2 million) for five new A320Neo Airbus planes with Scandinavian Airlines System.

Alafco noted that confidential negotiations are still ongoing between the buyer and purchaser, the Kuwaiti company noted on Tuesday.

The financial impact of this leasing contract will be realised in the income statements of Alafco starting from the third quarter of fiscal year ending on 30 September 2019 and until ten years from the delivery date.

At the stock level, Alafco closed Tuesday’s session 0.56% lower at 357 fils.