Air Lease (AL) 10-Q7 Nov 192019 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2019	Nov. 06, 2019
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2019
Document Transition Report	false
Entity File Number	001-35121
Entity Registrant Name	AIR LEASE CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	27-1840403
Entity Address, Address Line One	2000 Avenue of the Stars, Suite 1000N
Entity Address, City or Town	Los Angeles
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	90067
City Area Code	310
Local Phone Number	553-0555
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		112,704,349
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Entity Central Index Key	0001487712
Amendment Flag	false
Class A Common Stock
Title of 12(b) Security	Class A Common Stock
Trading Symbol	AL
Security Exchange Name	NYSE
Series A Preferred Stock
Title of 12(b) Security	6.150% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A
Trading Symbol	AL PRA
Security Exchange Name	NYSE

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Assets
Cash and cash equivalents	$ 291,772	$ 300,127
Restricted cash	44,651	22,871
Flight equipment subject to operating leases	21,601,147	17,985,324
Less accumulated depreciation	(2,689,880)	(2,278,214)
Flight equipment subject to operating leases, net	18,911,267	15,707,110
Deposits on flight equipment purchases	1,600,959	1,809,260
Other assets	761,052	642,440
Total assets	21,609,701	18,481,808
Liabilities and Shareholders' Equity
Accrued interest and other payables	420,444	382,132
Debt financing, net of discounts and issuance costs	13,751,872	11,538,905
Security deposits and maintenance reserves on flight equipment leases	1,091,073	990,578
Rentals received in advance	134,635	119,526
Deferred tax liability	749,504	643,767
Total liabilities	16,147,528	13,674,908
Shareholders' Equity
Paid-in capital	2,758,928	2,474,238
Retained earnings	2,702,018	2,331,552
Total shareholders' equity	5,462,173	4,806,900
Total liabilities and shareholders' equity	21,609,701	18,481,808
Series A Preferred Stock
Shareholders' Equity
Preferred stock, $0.01 par value; 50,000,000 shares authorized; 10,000,000 shares of 6.150% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A (aggregate liquidation preference of $250,000) issued and outstanding at September 30, 2019 and no shares issued or outstanding at December 31, 2018	100
Class A Common Stock
Shareholders' Equity
Common Stock	1,127	1,110
Class B Non-Voting Common Stock
Shareholders' Equity
Common Stock

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Mar. 05, 2019	Sep. 30, 2019	Dec. 31, 2018
Preferred Stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01
Preferred Stock, shares authorized		50,000,000	50,000,000
Preferred Stock, shares issued		10,000,000	0
Preferred Stock, shares outstanding		10,000,000	0
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock	6.15%
Series A liquidation preference		$ 250,000
Common Stock, issued shares	10,000,000
Series A Preferred Stock
Preferred Stock, par value (in dollars per share)		$ 0.01	$ 0.01
Preferred Stock, shares authorized		50,000,000	50,000,000
Preferred Stock, shares issued		10,000,000	0
Preferred Stock, shares outstanding		10,000,000	0
Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock		6.15%
Series A liquidation preference		$ 250,000
Class A Common Stock
Common Stock, par value (in dollars per share)		$ 0.01	$ 0.01
Common Stock, authorized shares		500,000,000	500,000,000
Common Stock, issued shares		112,701,349	110,949,850
Common Stock, outstanding shares		112,701,349	110,949,850
Class B Non-Voting Common Stock
Common Stock, par value (in dollars per share)		$ 0.01	$ 0.01
Common Stock, authorized shares		10,000,000	10,000,000
Common Stock, issued shares		0	0
Common Stock, outstanding shares		0	0

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Revenues
Rental of flight equipment	$ 492,869	$ 422,763	$ 1,412,478	$ 1,194,104
Aircraft sales, trading and other	38,033	27,935	55,870	35,617
Total revenues	530,902	450,698	1,468,348	1,229,721
Expenses
Interest	104,637	82,189	290,681	224,584
Amortization of debt discounts and issuance costs	9,078	8,199	26,330	24,231
Interest expense	113,715	90,388	317,011	248,815
Depreciation of flight equipment	183,788	149,703	514,948	428,437
Selling, general and administrative	34,715	26,377	92,188	71,194
Stock-based compensation	4,897	4,848	14,934	13,165
Total expenses	337,115	271,316	939,081	761,611
Income before taxes	193,787	179,382	529,267	468,110
Income tax expense	(38,000)	(32,808)	(107,081)	(95,674)
Net income	155,787	146,574	422,186	372,436
Preferred stock dividends	(3,844)		(8,115)
Net income available to common stockholders	$ 151,943	$ 146,574	$ 414,071	$ 372,436
Earnings per share of Class A and Class B common stock:
Basic (in dollars per share)	$ 1.36	$ 1.41	$ 3.71	$ 3.58
Diluted (in dollars per share)	$ 1.34	$ 1.32	$ 3.67	$ 3.36
Weighted-average shares outstanding
Basic (in shares)	112,133,556	104,066,785	111,511,960	103,940,723
Diluted (in shares)	113,263,396	112,509,612	112,837,526	112,377,870
Dividends declared per share of Class A common stock (in dollars per share)	$ 0.13	$ 0.10	$ 0.39	$ 0.30

CONSOLIDATED STATEMENTS OF SHAR

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Class A Common StockCommon Stock	Preferred Stock	Paid-in Capital	Retained Earnings	Total
Balance at Dec. 31, 2017	$ 1,036		$ 2,260,064	$ 1,866,342	$ 4,127,442
Balance (in shares) at Dec. 31, 2017	103,621,629
Increase (Decrease) in Shareholders' Equity
Issuance of common stock upon vesting of restricted stock units and upon exercise of options	$ 4		2,632		2,636
Issuance of common stock upon vesting of restricted stock units and upon exercise of options (in shares)	514,773
Stock-based compensation			3,432		3,432
Cash dividends (declared $0.10 and $0.13 per share of Class A common stock)				(10,397)	(10,397)
Tax withholding related to vesting of restricted stock units and exercise of stock options			(7,141)		(7,141)
Tax withholding related to vesting of restricted stock units and exercise of stock options (in shares)	(156,568)
Net income				110,651	110,651
Balance at Mar. 31, 2018	$ 1,040		2,258,987	1,966,596	4,226,623
Balance (in shares) at Mar. 31, 2018	103,979,834
Balance at Dec. 31, 2017	$ 1,036		2,260,064	1,866,342	4,127,442
Balance (in shares) at Dec. 31, 2017	103,621,629
Increase (Decrease) in Shareholders' Equity
Net income					372,436
Balance at Sep. 30, 2018	$ 1,041		2,270,302	2,207,575	4,478,918
Balance (in shares) at Sep. 30, 2018	104,068,079
Balance at Mar. 31, 2018	$ 1,040		2,258,987	1,966,596	4,226,623
Balance (in shares) at Mar. 31, 2018	103,979,834
Increase (Decrease) in Shareholders' Equity
Issuance of common stock upon vesting of restricted stock units and upon exercise of options	$ 1		1,521		1,522
Issuance of common stock upon vesting of restricted stock units and upon exercise of options (in shares)	85,211
Stock-based compensation			4,885		4,885
Cash dividends (declared $0.10 and $0.13 per share of Class A common stock)				(10,399)	(10,399)
Net income				115,211	115,211
Balance at Jun. 30, 2018	$ 1,041		2,265,393	2,071,408	4,337,842
Balance (in shares) at Jun. 30, 2018	104,065,045
Increase (Decrease) in Shareholders' Equity
Issuance of common stock upon vesting of restricted stock units and upon exercise of options			61		61
Issuance of common stock upon vesting of restricted stock units and upon exercise of options (in shares)	3,034
Stock-based compensation			4,848		4,848
Cash dividends (declared $0.10 and $0.13 per share of Class A common stock)				(10,407)	(10,407)
Net income				146,574	146,574
Balance at Sep. 30, 2018	$ 1,041		2,270,302	2,207,575	4,478,918
Balance (in shares) at Sep. 30, 2018	104,068,079
Balance at Dec. 31, 2018	$ 1,110		2,474,238	2,331,552	4,806,900
Balance (in shares) at Dec. 31, 2018	110,949,850
Increase (Decrease) in Shareholders' Equity
Issuance of common stock upon vesting of restricted stock units and upon exercise of options	$ 2		439		441
Issuance of common stock upon vesting of restricted stock units and upon exercise of options (in shares)	263,218
Issuance of preferred stock		$ 100	242,141		242,241
Issuance of preferred stock (in shares)		10,000,000
Stock-based compensation			4,174		4,174
Cash dividends (declared $0.10 and $0.13 per share of Class A common stock)				(14,445)	(14,445)
Tax withholding related to vesting of restricted stock units and exercise of stock options	$ (1)		(3,587)		(3,588)
Tax withholding related to vesting of restricted stock units and exercise of stock options (in shares)	(94,899)
Net income				138,094	138,094
Balance at Mar. 31, 2019	$ 1,111	$ 100	2,717,405	2,455,201	5,173,817
Balance (in shares) at Mar. 31, 2019	111,118,169	10,000,000
Balance at Dec. 31, 2018	$ 1,110		2,474,238	2,331,552	4,806,900
Balance (in shares) at Dec. 31, 2018	110,949,850
Increase (Decrease) in Shareholders' Equity
Net income					422,186
Balance at Sep. 30, 2019	$ 1,127	$ 100	2,758,928	2,702,018	5,462,173
Balance (in shares) at Sep. 30, 2019	112,701,349	10,000,000
Balance at Mar. 31, 2019	$ 1,111	$ 100	2,717,405	2,455,201	5,173,817
Balance (in shares) at Mar. 31, 2019	111,118,169	10,000,000
Increase (Decrease) in Shareholders' Equity
Issuance of common stock upon vesting of restricted stock units and upon exercise of options	$ 6		10,791		10,797
Issuance of common stock upon vesting of restricted stock units and upon exercise of options (in shares)	547,957
Issuance of preferred stock			(111)		(111)
Stock-based compensation			5,863		5,863
Dividends declared on preferred stock				(4,271)	(4,271)
Cash dividends (declared $0.10 and $0.13 per share of Class A common stock)				(14,516)	(14,516)
Net income				128,305	128,305
Balance at Jun. 30, 2019	$ 1,117	$ 100	2,733,948	2,564,719	5,299,884
Balance (in shares) at Jun. 30, 2019	111,666,126	10,000,000
Increase (Decrease) in Shareholders' Equity
Issuance of common stock upon vesting of restricted stock units and upon exercise of options	$ 11		20,584		20,595
Issuance of common stock upon vesting of restricted stock units and upon exercise of options (in shares)	1,047,695
Stock-based compensation			4,897		4,897
Dividends declared on preferred stock				(3,844)	(3,844)
Cash dividends (declared $0.10 and $0.13 per share of Class A common stock)				(14,644)	(14,644)
Tax withholding related to vesting of restricted stock units and exercise of stock options	$ (1)		(501)		(502)
Tax withholding related to vesting of restricted stock units and exercise of stock options (in shares)	(12,472)
Net income				155,787	155,787
Balance at Sep. 30, 2019	$ 1,127	$ 100	$ 2,758,928	$ 2,702,018	$ 5,462,173
Balance (in shares) at Sep. 30, 2019	112,701,349	10,000,000

CONSOLIDATED STATEMENT OF SHARE

CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares	3 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
Cash dividends declared per share (in dollars per share)	$ 0.13	$ 0.13	$ 0.13	$ 0.10	$ 0.10	$ 0.10

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Operating Activities
Net income	$ 422,186	$ 372,436
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of flight equipment	514,948	428,437
Stock-based compensation	14,934	13,165
Deferred taxes	97,566	95,674
Amortization of debt discounts and issuance costs	26,330	24,231
Amortization of prepaid lease costs	24,190	18,713
Gain on aircraft sales, trading and other activity	(45,123)	(24,469)
Changes in operating assets and liabilities:
Other assets	(149,740)	(62,528)
Accrued interest and other payables	51,156	110
Rentals received in advance	15,109	4,335
Net cash provided by operating activities	971,556	870,104
Investing Activities
Acquisition of flight equipment under operating lease	(3,021,758)	(1,874,094)
Payments for deposits on flight equipment purchases	(727,982)	(548,225)
Proceeds from aircraft sales, trading and other activity	426,382	239,067
Acquisition of aircraft furnishings, equipment and other assets	(236,847)	(204,449)
Net cash used in investing activities	(3,560,205)	(2,387,701)
Financing Activities
Issuance of common stock upon exercise of options	31,823	4,188
Cash dividends paid on Class A common stock	(43,383)	(31,155)
Preferred dividends paid	(8,115)
Tax withholdings on stock-based compensation	(4,089)	(7,141)
Net change in unsecured revolving facility	8,000	(847,000)
Proceeds from debt financings	3,135,918	3,358,885
Payments in reduction of debt financings	(947,837)	(1,131,206)
Net proceeds from preferred stock issuance	242,139
Debt issuance costs	(9,443)	(9,327)
Security deposits and maintenance reserve receipts	230,966	173,754
Security deposits and maintenance reserve disbursements	(33,905)	(52,764)
Net cash provided by financing activities	2,602,074	1,458,234
Net increase/(decrease) in cash	13,425	(59,363)
Cash, cash equivalents and restricted cash at beginning of period	322,998	308,282
Cash, cash equivalents and restricted cash at end of period	336,423	248,919
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest, including capitalized interest of $46,314 and $38,947 at September 30, 2019 and 2018, respectively	358,237	278,297
Cash paid for income taxes	9,515	2,506
Supplemental Disclosure of Noncash Activities
Buyer furnished equipment, capitalized interest and deposits on flight equipment purchases applied to acquisition of flight equipment	1,161,573	663,223
Cash dividends declared on Class A common stock, not yet paid	$ 14,644	$ 10,407

CONSOLIDATED STATEMENTS OF CA_2

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Supplemental Disclosure of Cash Flow Information
Cash paid for interest, capitalized interest	$ 46,314	$ 38,947

Company Background and Overview

Company Background and Overview	9 Months Ended
Company Background and Overview	Sep. 30, 2019
Company Background and Overview
Company Background and Overview	Note 1. Company Background and Overview Air Lease Corporation (the “Company”, “ALC”, “we”, “our” or “us”) is a leading aircraft leasing company that was founded by aircraft leasing industry pioneer, Steven F. Udvar-Házy. We are principally engaged in purchasing new commercial jet transport aircraft directly from aircraft manufacturers, such as The Boeing Company (“Boeing”) and Airbus S.A.S. (“Airbus”), and leasing those aircraft to airlines throughout the world with the intention to generate attractive returns on equity. In addition to our leasing activities, we sell aircraft from our operating lease portfolio to third parties, including other leasing companies, financial services companies, airlines and through our asset-backed securities platform. We also provide fleet management services to investors and owners of aircraft portfolios for a management fee. As of September 30, 2019, we owned a fleet of 307 aircraft, managed 64 aircraft and had 316 aircraft on order with aircraft manufacturers.

Basis of Preparation and Critic

Basis of Preparation and Critical Accounting Policies	9 Months Ended
Basis of Preparation and Critical Accounting Policies	Sep. 30, 2019
Basis of Preparation and Critical Accounting Policies
Basis of Preparation and Critical Accounting Policies	Note 2. Basis of Preparation and Critical Accounting Policies The Company consolidates financial statements of all entities in which we have a controlling financial interest, including the accounts of any Variable Interest Entity in which we have a controlling financial interest and for which we are the primary beneficiary. All material intercompany balances are eliminated in consolidation. The accompanying Consolidated Financial Statements have been prepared in accordance with Generally Accepted Accounting Principles in the United States of America (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The accompanying unaudited Consolidated Financial Statements include all adjustments, consisting only of normal, recurring adjustments, which are in the opinion of management necessary to present fairly the Company’s financial position, results of operations and cash flows at September 30, 2019, and for all periods presented. The results of operations for the three and nine months ended September 30, 2019 are not necessarily indicative of the operating results expected for the year ending December 31, 2019. These financial statements should be read in conjunction with the Consolidated Financial Statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2018. Recently adopted accounting standards In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02 (“ASU 2016-02”), “Leases (Topic 842).” The amendments in ASU 2016-02 set out the principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. Subsequently, the FASB issued additional ASUs that further clarified ASU 2016-02. The Company adopted the amendments to Accounting Standards Codification (“ASC”) 842 on January 1, 2019 using the Effective Date Method. As a result, the Company continues to disclose comparative reporting periods under the previous accounting guidance, ASC 840. Based on our evaluation of the guidance, the Company noted that lessor accounting is similar to the current model, but the guidance impacted us in scenarios where we are the lessee. For scenarios where we are the lessee, the Company determines if an arrangement is a lease at inception. Operating leases are included in right-of-use (“ROU”) lease assets under Other assets, and long-term lease obligations under Accrued interest & other payables on the Company’s Consolidated Balance Sheets. ROU lease assets represent the Company’s right to use an underlying asset for the lease term and lease obligations represent the Company’s obligation to make lease payments arising from the lease. Operating ROU lease assets and obligations are recognized at the commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The Company elected to exclude recognition of leases with a term of 12 months or less (short-term leases) from the Consolidated Balance Sheets. As of January 1, 2019, the Company recognized operating ROU lease assets and obligations in the amounts of $44.6 million and $51.2 million, respectively, on its Consolidated Balance Sheets. The adoption of this standard did not have a material impact on the Company’s Consolidated Financial Statements.

Recently Issued Accounting Stan

Recently Issued Accounting Standards	9 Months Ended
Recently Issued Accounting Standards	Sep. 30, 2019
Recently Issued Accounting Standards
Recently Issued Accounting Standards	Note 3. Recently Issued Accounting Standards In July 2019, the FASB issued ASU No. 2019-07 ("ASU 2019-07"), Codification Updates to SEC Sections. This ASU amends various Securities and Exchange Commission ("SEC") paragraphs pursuant to the issuance of SEC Final Rule Releases No. 33-10532, Disclosure Update and Simplification. One of the changes in the ASU requires a presentation of changes in stockholders' equity in the form of a reconciliation, either as a separate financial statement or in the notes to the financial statements, for the current and comparative year-to-date interim periods. The Company presented changes in stockholders' equity as separate financial statements for the current and comparative year-to-date interim periods beginning on January 1, 2019. The additional elements of the ASU did not have a material impact on the Company's Consolidated Financial Statements. This guidance was effective immediately upon issuance.

Debt Financing

Debt Financing	9 Months Ended
Debt Financing	Sep. 30, 2019
Debt Financing
Debt Financing	Note 4. Debt Financing The Company’s debt financing was comprised of the following at September 30, 2019 and December 31, 2018 (dollars in thousands): September 30, December 31, 2019 2018 Unsecured Senior notes $ 12,050,000 $ 10,043,445 Term financings 813,150 607,340 Revolving credit facilities 610,000 602,000 Total unsecured debt financing 13,473,150 11,252,785 Secured Term financings 392,593 371,203 Export credit financing 33,274 38,265 Total secured debt financing 425,867 409,468 Total debt financing 13,899,017 11,662,253 Less: Debt discounts and issuance costs (147,145) (123,348) Debt financing, net of discounts and issuance costs $ 13,751,872 $ 11,538,905 The Company’s secured obligations as of September 30, 2019 and December 31, 2018 are summarized below (dollars in thousands): September 30, December 31, 2019 2018 Nonrecourse $ 138,797 $ 167,245 Recourse 287,070 242,223 Total secured debt financing $ 425,867 $ 409,468 Number of aircraft pledged as collateral 17 20 Net book value of aircraft pledged as collateral $ 915,211 $ 1,132,111 Senior unsecured notes (including Medium-Term Note Program) As of September 30, 2019, the Company had $12.1 billion in senior unsecured notes outstanding. As of December 31, 2018, the Company had During the nine months ended September 30, 2019, the Company issued $2.85 billion in aggregate principal amount of Medium-Term Notes comprised of (i) $700.0 million due 2024 at a fixed rate of 4.25%, (ii) $750.0 million due 2026 at a fixed rate of 3.75%, (iii) $300.0 million due 2021 that bear interest at a floating rate of three-month LIBOR plus 0.67%, (iv) $600.0 million due 2023 at a fixed rate of 2.25% and (v) $500.0 million due 2029 at a fixed rate of 3.25%. Unsecured revolving credit facilities As of September 30, 2019, the total outstanding balance on the Company's unsecured revolving credit facilities was approximately $610.0 million. The total outstanding balance under the Company's unsecured revolving credit facilities was approximately $602.0 million as of December 31, 2018. In May 2019, the Company amended and extended its committed unsecured revolving credit facility whereby, among other things, the Company extended the final maturity date from May 5, 2022 to May 5, 2023 and, after giving effect to commitments that matured on May 5, 2019, increased the total revolving commitments to approximately $5.8 billion, representing an increase of 26.6% from December 31, 2018, with a 0.20% facility fee and current borrowings bearing interest at a floating rate of LIBOR plus 1.05%. On July 31, 2019, the Company executed a commitment increase to its unsecured revolving credit facility, which increased the aggregate facility capacity by an additional $58.0 million. Lenders hold revolving commitments totaling approximately $5.5 billion that mature on May 5, 2023, commitments totaling $245.0 million that mature on May 5, 2022, commitments totaling approximately $5.0 million that mature on May 5, 2021, and commitments totaling $92.7 million that mature on May 5, 2020. Maturities Maturities of debt outstanding as of September 30, 2019 are as follows (in thousands): Years ending December 31, 2019 $ 31,189 2020 1,456,585 2021 1,993,870 2022 2,696,599 2023 2,966,461 Thereafter 4,754,313 Total $ 13,899,017

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2019
Commitments and Contingencies
Commitments and Contingencies	Note 5. Commitments and Contingencies As of September 30, 2019, as adjusted for the conversion referenced in footnote 2 in the table below, the Company had commitments to acquire a total of 316 new aircraft for delivery through 2024 as follows: Aircraft Type 2019 2020 2021 2022 2023 Thereafter Total Airbus A320/321neo (1) 7 28 32 25 25 — 117 Airbus A330-900neo 1 3 3 6 3 — 16 Airbus A350-900/1000 — 3 6 3 2 — 14 Boeing 737-7/8/9 MAX (2) — 31 46 28 25 5 135 Boeing 787-9/10 (2) 1 15 7 6 5 — 34 Total (3)(4) 9 80 94 68 60 5 316 (1) Our Airbus A320/321neo aircraft orders include 56 long-range variants. (2) The table above reflects the conversion of purchase orders for 15 Boeing 737 MAX aircraft to five Boeing 787-9 aircraft pursuant to an October 2019 agreement with Boeing. The table also reflects our estimate of future Boeing 737 MAX aircraft delivery delays based on information currently available to us. The actual delivery dates of such Boeing 737 MAX aircraft may differ from our estimate and could be further impacted by the length of the grounding and the pace at which Boeing can deliver aircraft following the lifting of the grounding, among other factors. (3) In addition to the aircraft from our order book, we have a commitment to purchase one used Airbus A330-300 aircraft from a third party, which is scheduled for delivery in 2019. (4) Excluded from the table above are memorandums of understanding (“MOU”) with Airbus, signed in June 2019, to launch the A321 XLR aircraft and to order the A220 aircraft. Through these MOUs, we have the right to purchase 100 aircraft comprised of 27 A321 XLR aircraft, 23 A321neo aircraft and 50 A220 aircraft, and we have purchase options for an additional 25 A220 aircraft. Pursuant to our purchase agreements with Boeing and Airbus for new aircraft, the Company and each manufacturer agrees to contractual delivery dates for each aircraft ordered. However, these dates can change for a variety of reasons. In the last few years, Airbus and Boeing have had delivery delays, and these delays have significantly impacted when our aircraft have been delivered. Our leases typically provide that the Company and our airline customers each have a cancellation right related to aircraft delivery delays. The lease cancellation rights typically parallel our cancellation rights in our purchase agreements with Boeing and Airbus, and typically provide for cancellation rights starting at one year after the original contractual delivery date, regardless of cause. For several years, we have experienced delivery delays for certain of our Airbus orderbook aircraft, primarily the A321neo aircraft and, to a lesser extent, A330neo aircraft. Airbus has told us to continue to expect several months of delivery delays relating to such aircraft scheduled to deliver through 2021. The worldwide grounding of the Boeing 737 MAX began on March 10, 2019, and remains in effect. As a result, Boeing has halted deliveries of all Boeing 737 MAX aircraft. Lifting of the grounding is subject to global regulatory authorities and we are unable to speculate as to when this may occur. Boeing 737 MAX deliveries may be impacted by the duration of the grounding and the speed by which Boeing can deliver aircraft following the lifting of the grounding. We expect that if the grounding continues for an extended time, or if there are significant Boeing 737 MAX delivery delays even after the grounding is lifted, some of our customers may seek to cancel their lease contracts with us. It is unclear at this point if we will cancel some of our Boeing 737 MAX delivery positions with Boeing or find replacement lessees. We are currently in discussions with Boeing regarding the mitigation of possible damages resulting from the grounding of and the delivery delays associated with the Boeing 737 MAX aircraft that we own and have on order. Commitments for the acquisition of aircraft and other equipment, calculated at an estimated aggregate purchase price (including adjustments for inflation) was approximately $22.5 billion at September 30, 2019, as adjusted for the conversion referenced in footnote 2 in the table above, and are due as follows (in thousands): Years ending December 31, 2019 $ 771,134 2020 6,419,215 2021 6,647,270 2022 4,750,559 2023 3,678,420 Thereafter 225,142 Total $ 22,491,740 In addition to the Company's commitments, as of September 30, 2019, the Company had options to acquire up to five Airbus A350-1000 aircraft and 45 Boeing 737-8 MAX aircraft. If exercised, deliveries of these aircraft are scheduled to commence in 2023 and continue through 2024. We have made non-refundable deposits on the aircraft for which we have commitments to purchase of $1.6 billion and $1.8 billion as of September 30, 2019 and December 31, 2018, respectively, which are subject to manufacturer performance commitments. If we are unable to satisfy our purchase commitments, we may be forced to forfeit our deposits. Further, we would be exposed to breach of contract claims by our lessees and manufacturers.

Rental Income

Rental Income	9 Months Ended
Rental Income	Sep. 30, 2019
Rental Income
Rental Income	Note 6. Rental Income At September 30, 2019, minimum future rentals on non-cancellable operating leases of flight equipment in our fleet, which have been delivered as of September 30, 2019, are as follows (in thousands): Years ending December 31, 2019 (excluding the nine months ended September 30, 2019) $ 503,359 2020 1,999,804 2021 1,908,650 2022 1,765,865 2023 1,561,393 Thereafter 6,404,246 Total $ 14,143,317

Net Earnings Per Share

Net Earnings Per Share	9 Months Ended
Net Earnings Per Share	Sep. 30, 2019
Net Earnings Per Share
Net Earnings Per Share	Note 7. Earnings Per Share Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding for the period. Preferred stock dividends are subtracted from net income in determining net income available to common stockholders. Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock; however, potential common equivalent shares are excluded if the effect of including these shares would be anti-dilutive. The Company’s two classes of common stock, Class A and Class B Non-Voting, have equal rights to dividends and income, and therefore, basic and diluted earnings per share are the same for each class of common stock. As of September 30, 2019, we did not have any Class B Non-Voting common stock outstanding. Diluted earnings per share takes into account the potential conversion of stock options, restricted stock units, and warrants using the treasury stock method and convertible notes using the if-converted method. For the three and nine months ended September 30, 2019, the Company did not exclude any potentially dilutive securities, whose effect would have been anti-dilutive, from the computation of diluted earnings per share. The Company excluded 946,406 and 950,761 shares related to restricted stock units for which the performance metric had yet to be achieved as of September 30, 2019 and 2018, respectively. The following table sets forth the reconciliation of basic and diluted earnings per share (in thousands, except share and per share amounts): Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Basic earnings per share: Numerator Net income $ 155,787 $ 146,574 $ 422,186 $ 372,436 Preferred stock dividends (3,844) — (8,115) — Net income available to common stockholders $ 151,943 $ 146,574 $ 414,071 $ 372,436 Denominator Weighted-average common shares outstanding 112,133,556 104,066,785 111,511,960 103,940,723 Basic earnings per share $ 1.36 $ 1.41 $ 3.71 $ 3.58 Diluted earnings per share: Numerator Net income $ 155,787 $ 146,574 $ 422,186 $ 372,436 Preferred stock dividends (3,844) — (8,115) — Assumed conversion of convertible senior notes — 1,823 — 5,309 Net income available to common stockholders plus assumed conversions $ 151,943 $ 148,397 $ 414,071 $ 377,745 Denominator Number of shares used in basic computation 112,133,556 104,066,785 111,511,960 103,940,723 Weighted-average effect of dilutive securities 1,129,840 8,442,827 1,325,566 8,437,147 Number of shares used in per share computation 113,263,396 112,509,612 112,837,526 112,377,870 Diluted earnings per share $ 1.34 $ 1.32 $ 3.67 $ 3.36

Fair Value Measurements

Fair Value Measurements	9 Months Ended
Fair Value Measurements	Sep. 30, 2019
Fair Value Measurements
Fair Value Measurements	Note 8. Fair Value Measurements Assets and liabilities measured at fair value on a recurring and non-recurring basis The Company had no assets or liabilities which are measured at fair value on a recurring or non-recurring basis as of September 30, 2019 or December 31, 2018. Financial instruments not measured at fair value The fair value of debt financing is estimated based on the quoted market prices for the same or similar issues, or on the current rates offered to the Company for debt of the same remaining maturities, which would be categorized as a Level 2 measurement in the fair value hierarchy. The estimated fair value of debt financing as of September 30, 2019 was approximately $14.2 billion compared to a book value of $13.9 billion. The estimated fair value of debt financing as of December 31, 2018 was $11.4 billion compared to a book value of $11.7 billion. The following financial instruments are not measured at fair value on the Company’s Consolidated Balance Sheets at September 30, 2019, but require disclosure of their fair values: cash and cash equivalents and restricted cash. The estimated fair value of such instruments at September 30, 2019 and December 31, 2018 approximates their carrying value as reported on the Consolidated Balance Sheets. The fair value of all these instruments would be categorized as Level 1 in the fair value hierarchy.

Shareholders' Equity

Shareholders' Equity	9 Months Ended
Shareholders' Equity	Sep. 30, 2019
Shareholders' Equity
Shareholders' Equity	Note 9. Shareholders’ Equity The Company was authorized to issue 500,000,000 shares of Class A common stock, $0.01 par value, at September 30, 2019 and December 31, 2018. As of September 30, 2019 and December 31, 2018, the Company had 112,701,349 and 110,949,850 Class A common shares issued and outstanding, respectively. The Company did not have any shares of Class B non-voting common stock, $0.01 par value, issued or outstanding as of The Company was authorized to issue 50,000,000 shares of preferred stock, $0.01 par value, at September 30, 2019 and December 31, 2018. As of September 30, 2019, the Company had 10,000,000 shares of preferred stock issued and outstanding with an aggregate liquidation preference of $250.0 million. The Company did not have any shares of preferred stock issued or outstanding as of December 31, 2018. On March 5, 2019, the Company issued 10,000,000 shares of 6.150% Fixed-to-Floating Non-Cumulative Perpetual Preferred Stock, Series A (the “Series A Preferred Stock”), $0.01 par value, with a liquidation preference of $25.00 per share. The Company will pay dividends on the preferred stock only when, as and if declared by the board of directors. Dividends will accrue, on a non-cumulative basis, on the stated amount of $25.00 per share at a rate per annum equal to: (i) 6.150% during the first five years and payable quarterly in arrears beginning on June 15, 2019, and (ii) three-month LIBOR plus a spread of 3.650% per annum from March 15, 2024, reset quarterly and payable quarterly in arrears beginning on June 15, 2024. The Company may redeem shares of the Series A Preferred Stock at its option, in whole or in part, from time to time, on or after March 15, 2024, for cash at a redemption price equal to $25.00 per share, plus any declared and unpaid dividends to, but excluding, the redemption date, without accumulation of any undeclared dividends. The Company may also redeem shares of the Series A Preferred Stock at the Company’s option under certain other limited conditions.

Stock-based Compensation

Stock-based Compensation	9 Months Ended
Stock-based Compensation	Sep. 30, 2019
Stock-based Compensation
Stock-based Compensation	Note 10. Stock-based Compensation On May 7, 2014, the stockholders of the Company approved the Air Lease Corporation 2014 Equity Incentive Plan (the “2014 Plan”). Upon approval of the 2014 Plan, no new awards may be granted under the Amended and Restated 2010 Equity Incentive Plan (the “2010 Plan”). As of September 30, 2019, the number of stock options (“Stock Options”) and restricted stock units (“RSUs”) remaining under the 2014 Plan was approximately 5,282,848, which includes 282,848 shares which were previously reserved for issuance under the 2010 Plan. Stock Options are generally granted for a term of 10 years and generally vest ratably over a three-year period. The Company has issued RSUs with four different vesting criteria: those RSUs that vest based on the attainment of book value goals, those RSUs that vest based on the attainment of Total Shareholder Return (“TSR”) goals, time based RSUs that vest ratably over a time period of three years and RSUs that cliff-vest at the end of a one- or two-year period. The Company has two types of book value RSUs; those that vest ratably over a three-year period if the performance condition has been met, and those that cliff-vest at the end of a three-year period if the performance condition has been met. For the book value RSUs that cliff-vest at the end of a three-year period, the number of shares that will ultimately vest will range from of the RSUs initially granted depending on the percentage change in the Company’s book value per share at the end of the vesting period. At each reporting period, the Company reassesses the probability of the performance condition being achieved and a stock-based compensation expense is recognized based upon management’s assessment. Book value RSUs for which the performance metric has not been met are forfeited. The TSR RSUs cliff-vest at the end of a The Company recorded $4.9 million and $4.8 million of stock-based compensation expense related to RSUs for the three months ended September 30, 2019 and 2018, respectively. The Company recorded $14.9 million and $13.2 million of stock-based compensation expense related to RSUs for the nine months ended September 30, 2019 and 2018, respectively. Stock Options A summary of stock option activity for the nine months ended September 30, 2019 follows: Remaining Aggregate Exercise Contractual Term Intrinsic Value Shares Price (in years) (in thousands) (1) Balance at December 31, 2018 2,620,295 $ 20.40 1.49 $ 25,697 Granted — $ — — $ — Exercised (1,603,139) $ 20.00 — $ 29,909 Forfeited/canceled — $ — — $ — Balance at September 30, 2019 1,017,156 $ 21.04 0.80 $ 21,138 Vested and exercisable as of September 30, 2019 1,017,156 $ 21.04 0.80 $ 21,138 (1) The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the closing stock price of our Class A common stock as of the respective date. As of September 30, 2019, all of the Company’s outstanding employee stock options had fully vested and there were no unrecognized compensation costs related to outstanding stock options as of September 30, 2019. As a result, there was no stock-based compensation expense related to Stock Options for the three and nine months ended September 30, 2019 and 2018. The following table summarizes additional information regarding exercisable and vested stock options at September 30, 2019: Stock Options Exercisable and Vested Weighted- Average Number of Remaining Life Range of exercise prices Shares (in years) $20.00 897,156 0.69 $28.80 120,000 1.57 $20.00 - $28.80 1,017,156 0.80 Restricted Stock Units Compensation cost for stock awards is measured at the grant date based on fair value and recognized over the vesting period. The fair value of time based and book value RSUs is determined based on the closing market price of the Company’s Class A common stock on the date of grant, while the fair value of TSR RSUs is determined at the grant date using a Monte Carlo simulation model. Included in the Monte Carlo simulation model were certain assumptions regarding a number of highly complex and subjective variables, such as expected volatility, risk-free interest rate and expected dividends. To appropriately value the award, the risk-free interest rate is estimated for the time period from the valuation date until the vesting date and the historical volatilities were estimated based on a historical timeframe equal to the time from the valuation date until the end date of the performance period. During the nine months ended September 30, 2019, the Company granted 670,279 RSUs of which 139,895 are TSR RSUs. The following table summarizes the activities for our unvested RSUs for the nine months ended September 30, 2019: Unvested Restricted Stock Units Weighted-Average Number of Grant-Date Shares Fair Value Unvested at December 31, 2018 1,055,325 $ 41.66 Granted 670,279 $ 39.64 Vested (271,037) $ 34.58 Forfeited/canceled (202,621) $ 32.40 Unvested at September 30, 2019 1,251,946 $ 43.62 Expected to vest after September 30, 2019 1,341,575 $ 43.45 As of September 30, 2019, there was $29.2 million of unrecognized compensation cost related to unvested stock-based payments granted to employees. Total unrecognized compensation cost will be recognized over a weighted-average remaining period of 1.86 years.

Investments

Investments	9 Months Ended
Investments	Sep. 30, 2019
Investments
Investments	Note 11. Investments The Company entered into an agreement with a co-investment vehicle arranged by Napier Park Global Capital (US) LP to participate in two joint ventures and formed Blackbird Capital I, LLC and Blackbird Capital II, LLC for the purpose of investing in commercial aircraft and leasing them to airlines throughout the world. We also provide management services to these joint ventures for a fee based upon aircraft assets under management. The Company’s non-controlling interests in each joint venture is 9.5 % and are accounted for as investments under the equity method of accounting. The Company’s investment in these joint ventures was $45.9 million and $40.6 million as of September 30, 2019 and December 31, 2018, respectively, and is recorded in Other assets on the Consolidated Balance Sheets. As of September 30, 2019, the Company’s total unfunded commitment to Blackbird Capital II, LLC was $30.5 million. On August 1, 2018, we entered into an agreement to sell 18 aircraft to Thunderbolt Aircraft Lease Limited II (“Thunderbolt II”), an asset-backed securities platform that will facilitate the continued management and eventual sale of the aircraft assets. The Company’s non-controlling interest in Thunderbolt II is 5.1% and it is accounted for as an investment under the cost method of accounting. The Company manages all of the aircraft in Thunderbolt II’s portfolio. During the nine months ended September 30, 2019, we completed the sale of three aircraft from our operating lease portfolio to Thunderbolt II. We expect the sale of the remaining three aircraft to be completed in 2019. The Company’s investment in Thunderbolt II was $5.4 million as of September 30, 2019 and December 31, 2018, and is recorded in Other assets on the Consolidated Balance Sheets.

Flight Equipment Held for Sale

Flight Equipment Held for Sale	9 Months Ended
Flight Equipment Held for Sale	Sep. 30, 2019
Flight Equipment held for sale
Flight Equipment Held for Sale	Note 12. Flight Equipment Held for Sale As of September 30, 2019, we had six aircraft, with a carrying value of $208.5 million, which were held for sale and included in Flight equipment subject to operating leases on the Consolidated Balance Sheets. We expect the sale of all six aircraft to be completed in 2019. We cease recognition of depreciation expense once an aircraft is classified as held for sale. As of December 31, 2018, we had six aircraft classified as held for sale, with a carrying value of $241.6 million.

Subsequent Events

Subsequent Events	9 Months Ended
Subsequent Events	Sep. 30, 2019
Subsequent Events
Subsequent Events	Note 13. Subsequent Events On October 31, 2019, we initiated a portfolio sale of 19 aircraft to Thunderbolt Aircraft Lease Limited III (“Thunderbolt III”), an asset-backed securities platform. We anticipate closing the transaction on November 8, 2019 and will continue management of these aircraft assets. The Company’s non-controlling interest in Thunderbolt III will be approximately 5.0% and will be accounted for as an investment under the cost method of accounting. We expect a majority of the aircraft transfers to be completed over the next two quarters. On November 6, 2019, our board of directors approved a quarterly cash dividend of $0.15 per share on our outstanding Class A common stock. The dividend will be paid on January 6, 2020 to holders of record of our Class A common stock as of December 20, 2019. Our board of directors also approved a cash dividend of $0.384375 per share on our outstanding Series A Preferred Stock, which will be paid on December 15, 2019 to holders of record of our Series A Preferred Stock as of November 30, 2019.

Basis of Preparation and Crit_2

Basis of Preparation and Critical Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2019
Basis of Preparation and Critical Accounting Policies
Recent issued accounting pronouncements	Recently adopted accounting standards In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02 (“ASU 2016-02”), “Leases (Topic 842).” The amendments in ASU 2016-02 set out the principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. Subsequently, the FASB issued additional ASUs that further clarified ASU 2016-02. The Company adopted the amendments to Accounting Standards Codification (“ASC”) 842 on January 1, 2019 using the Effective Date Method. As a result, the Company continues to disclose comparative reporting periods under the previous accounting guidance, ASC 840. Based on our evaluation of the guidance, the Company noted that lessor accounting is similar to the current model, but the guidance impacted us in scenarios where we are the lessee. For scenarios where we are the lessee, the Company determines if an arrangement is a lease at inception. Operating leases are included in right-of-use (“ROU”) lease assets under Other assets, and long-term lease obligations under Accrued interest & other payables on the Company’s Consolidated Balance Sheets. ROU lease assets represent the Company’s right to use an underlying asset for the lease term and lease obligations represent the Company’s obligation to make lease payments arising from the lease. Operating ROU lease assets and obligations are recognized at the commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The Company elected to exclude recognition of leases with a term of 12 months or less (short-term leases) from the Consolidated Balance Sheets. As of January 1, 2019, the Company recognized operating ROU lease assets and obligations in the amounts of $44.6 million and $51.2 million, respectively, on its Consolidated Balance Sheets. The adoption of this standard did not have a material impact on the Company’s Consolidated Financial Statements.

Debt Financing (Tables)

Debt Financing (Tables)	9 Months Ended
Debt Financing (Tables)	Sep. 30, 2019
Debt Financing
Summary of consolidated debt	The Company’s debt financing was comprised of the following at September 30, 2019 and December 31, 2018 (dollars in thousands): September 30, December 31, 2019 2018 Unsecured Senior notes $ 12,050,000 $ 10,043,445 Term financings 813,150 607,340 Revolving credit facilities 610,000 602,000 Total unsecured debt financing 13,473,150 11,252,785 Secured Term financings 392,593 371,203 Export credit financing 33,274 38,265 Total secured debt financing 425,867 409,468 Total debt financing 13,899,017 11,662,253 Less: Debt discounts and issuance costs (147,145) (123,348) Debt financing, net of discounts and issuance costs $ 13,751,872 $ 11,538,905
Schedule of secured obligations	The Company’s secured obligations as of September 30, 2019 and December 31, 2018 are summarized below (dollars in thousands): September 30, December 31, 2019 2018 Nonrecourse $ 138,797 $ 167,245 Recourse 287,070 242,223 Total secured debt financing $ 425,867 $ 409,468 Number of aircraft pledged as collateral 17 20 Net book value of aircraft pledged as collateral $ 915,211 $ 1,132,111
Schedule of maturities of debt outstanding	Maturities of debt outstanding as of September 30, 2019 are as follows (in thousands): Years ending December 31, 2019 $ 31,189 2020 1,456,585 2021 1,993,870 2022 2,696,599 2023 2,966,461 Thereafter 4,754,313 Total $ 13,899,017

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
Commitments and Contingencies (Tables)	Sep. 30, 2019
Commitments and Contingencies
Schedule of commitments to acquire aircraft	Aircraft Type 2019 2020 2021 2022 2023 Thereafter Total Airbus A320/321neo (1) 7 28 32 25 25 — 117 Airbus A330-900neo 1 3 3 6 3 — 16 Airbus A350-900/1000 — 3 6 3 2 — 14 Boeing 737-7/8/9 MAX (2) — 31 46 28 25 5 135 Boeing 787-9/10 (2) 1 15 7 6 5 — 34 Total (3)(4) 9 80 94 68 60 5 316 (1) Our Airbus A320/321neo aircraft orders include 56 long-range variants. (2) The table above reflects the conversion of purchase orders for 15 Boeing 737 MAX aircraft to five Boeing 787-9 aircraft pursuant to an October 2019 agreement with Boeing. The table also reflects our estimate of future Boeing 737 MAX aircraft delivery delays based on information currently available to us. The actual delivery dates of such Boeing 737 MAX aircraft may differ from our estimate and could be further impacted by the length of the grounding and the pace at which Boeing can deliver aircraft following the lifting of the grounding, among other factors. (3) In addition to the aircraft from our order book, we have a commitment to purchase one used Airbus A330-300 aircraft from a third party, which is scheduled for delivery in 2019. (4) Excluded from the table above are memorandums of understanding (“MOU”) with Airbus, signed in June 2019, to launch the A321 XLR aircraft and to order the A220 aircraft. Through these MOUs, we have the right to purchase 100 aircraft comprised of 27 A321 XLR aircraft, 23 A321neo aircraft and 50 A220 aircraft, and we have purchase options for an additional 25 A220 aircraft.
Schedule of commitments for the acquisition of aircraft and other equipment at an estimated aggregate purchase price	Commitments for the acquisition of aircraft and other equipment, calculated at an estimated aggregate purchase price (including adjustments for inflation) was approximately $22.5 billion at September 30, 2019, as adjusted for the conversion referenced in footnote 2 in the table above, and are due as follows (in thousands): Years ending December 31, 2019 $ 771,134 2020 6,419,215 2021 6,647,270 2022 4,750,559 2023 3,678,420 Thereafter 225,142 Total $ 22,491,740

Rental Income (Tables)

Rental Income (Tables)	9 Months Ended
Rental Income (Tables)	Sep. 30, 2019
Rental Income
Schedule of minimum future rentals on non-cancellable operating leases of flight equipment	At September 30, 2019, minimum future rentals on non-cancellable operating leases of flight equipment in our fleet, which have been delivered as of September 30, 2019, are as follows (in thousands): Years ending December 31, 2019 (excluding the nine months ended September 30, 2019) $ 503,359 2020 1,999,804 2021 1,908,650 2022 1,765,865 2023 1,561,393 Thereafter 6,404,246 Total $ 14,143,317

Net Earnings Per Share (Tables)

Net Earnings Per Share (Tables)	9 Months Ended
Net Earnings Per Share (Tables)	Sep. 30, 2019
Net Earnings Per Share
Schedule of reconciliation of basic and diluted net income per share	The following table sets forth the reconciliation of basic and diluted earnings per share (in thousands, except share and per share amounts): Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 Basic earnings per share: Numerator Net income $ 155,787 $ 146,574 $ 422,186 $ 372,436 Preferred stock dividends (3,844) — (8,115) — Net income available to common stockholders $ 151,943 $ 146,574 $ 414,071 $ 372,436 Denominator Weighted-average common shares outstanding 112,133,556 104,066,785 111,511,960 103,940,723 Basic earnings per share $ 1.36 $ 1.41 $ 3.71 $ 3.58 Diluted earnings per share: Numerator Net income $ 155,787 $ 146,574 $ 422,186 $ 372,436 Preferred stock dividends (3,844) — (8,115) — Assumed conversion of convertible senior notes — 1,823 — 5,309 Net income available to common stockholders plus assumed conversions $ 151,943 $ 148,397 $ 414,071 $ 377,745 Denominator Number of shares used in basic computation 112,133,556 104,066,785 111,511,960 103,940,723 Weighted-average effect of dilutive securities 1,129,840 8,442,827 1,325,566 8,437,147 Number of shares used in per share computation 113,263,396 112,509,612 112,837,526 112,377,870 Diluted earnings per share $ 1.34 $ 1.32 $ 3.67 $ 3.36

Stock-based Compensation (Table

Stock-based Compensation (Tables)	9 Months Ended
Stock-based Compensation (Tables)	Sep. 30, 2019
Stock-based Compensation
Summary of stock option activity	Remaining Aggregate Exercise Contractual Term Intrinsic Value Shares Price (in years) (in thousands) (1) Balance at December 31, 2018 2,620,295 $ 20.40 1.49 $ 25,697 Granted — $ — — $ — Exercised (1,603,139) $ 20.00 — $ 29,909 Forfeited/canceled — $ — — $ — Balance at September 30, 2019 1,017,156 $ 21.04 0.80 $ 21,138 Vested and exercisable as of September 30, 2019 1,017,156 $ 21.04 0.80 $ 21,138 (1) The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the closing stock price of our Class A common stock as of the respective date.
Summary of additional information regarding exercisable and vested stock options	Stock Options Exercisable and Vested Weighted- Average Number of Remaining Life Range of exercise prices Shares (in years) $20.00 897,156 0.69 $28.80 120,000 1.57 $20.00 - $28.80 1,017,156 0.80
Summary of activities for unvested RSUs	Unvested Restricted Stock Units Weighted-Average Number of Grant-Date Shares Fair Value Unvested at December 31, 2018 1,055,325 $ 41.66 Granted 670,279 $ 39.64 Vested (271,037) $ 34.58 Forfeited/canceled (202,621) $ 32.40 Unvested at September 30, 2019 1,251,946 $ 43.62 Expected to vest after September 30, 2019 1,341,575 $ 43.45

Company Background and Overvi_2

Company Background and Overview (Details)	9 Months Ended
Company Background and Overview (Details)	Sep. 30, 2019aircraft
Organization
Number of aircraft owned	307
Number of aircraft managed	64
Number of aircraft on order with manufacturers	316

Basis of Preparation and Crit_3

Basis of Preparation and Critical Accounting Policies - Recently adopted accounting standards (Details) - ASU 2016-02 - Adjustment $ in Millions	Jan. 01, 2019USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating ROU lease assets	$ 44.6
Lease obligations	$ 51.2

Debt Financing (Details)

Debt Financing (Details) $ in Thousands	May 05, 2019USD ($)	Sep. 30, 2019USD ($)aircraft	Jul. 31, 2019USD ($)	Dec. 31, 2018USD ($)aircraft
Debt financing
Total debt financing		$ 13,899,017		$ 11,662,253
Less: Debt discounts and issuance costs		(147,145)		(123,348)
Debt financing, net of discounts and issuance costs		13,751,872		11,538,905
Unsecured Debt
Debt financing
Total debt financing		13,473,150		11,252,785
Senior Notes
Debt financing
Total debt financing		12,050,000		10,043,445
Medium Term Note Program
Secured Obligations
Principal amount issued		2,850,000
Medium Term Note Program 4.25 Percent Due 2024
Secured Obligations
Principal amount issued		$ 700,000
Interest rate (as a percent)		4.25%
Medium Term Note Program 3.75 Percent Due 2026 [Member]
Secured Obligations
Principal amount issued		$ 750,000
Interest rate (as a percent)		3.75%
Medium Term Note Program Due 2021 [Member]
Secured Obligations
Principal amount issued		$ 300,000
Medium Term Note Program Due 2021 [Member] \| LIBOR
Secured Obligations
Interest margin (as a percent)		0.67%
Medium Term Note Program 2.25 Percent Due 2023 [Member]
Secured Obligations
Principal amount issued		$ 600,000
Interest rate (as a percent)		2.25%
Medium Term Note Program 3.25 Percent Due 2029 [Member]
Secured Obligations
Principal amount issued		$ 500,000
Interest rate (as a percent)		3.25%
Unsecured Term financings
Debt financing
Total debt financing		$ 813,150		607,340
Revolving Credit Facilities
Debt financing
Total debt financing		610,000		602,000
Unsecured Revolving Credit Facility Maturing on May 5, 2020
Secured Obligations
Line of credit maturity amount	$ 92,700
Unsecured Revolving Credit Facility Mature On 5 May 2021
Secured Obligations
Line of credit maturity amount	5,000
Unsecured Revolving Credit Facility Mature On 5 May 2022
Secured Obligations
Line of credit maturity amount	245,000
Unsecured Revolving Credit Facility Mature On 5 May 2023
Secured Obligations
Maximum borrowing capacity	$ 5,800,000
Incremental borrowing capacity			$ 58,000
Incremental borrowing capacity increase percentage	26.60%
Line of credit maturity amount	$ 5,500,000
Facility fee (as a percent)	0.20%
Unsecured Revolving Credit Facility Mature On 5 May 2023 \| LIBOR
Secured Obligations
Interest margin (as a percent)	1.05%
Secured Debt
Debt financing
Total debt financing		425,867		409,468
Secured Obligations
Nonrecourse		138,797		167,245
Recourse		287,070		242,223
Total secured debt financing		$ 425,867		$ 409,468
Number of aircraft pledged as collateral \| aircraft		17		20
Net book value of aircraft pledged as collateral		$ 915,211		$ 1,132,111
Export Credit Financing
Debt financing
Total debt financing		33,274		38,265
Term Financings
Debt financing
Total debt financing		$ 392,593		$ 371,203

Debt Financing - Maturities of

Debt Financing - Maturities of Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Maturities
2019	$ 31,189
2020	1,456,585
2021	1,993,870
2022	2,696,599
2023	2,966,461
Thereafter	4,754,313
Total	$ 13,899,017	$ 11,662,253

Commitments and Contingencies_2

Commitments and Contingencies (Details) $ in Thousands	1 Months Ended		9 Months Ended
Commitments and Contingencies (Details) $ in Thousands	Oct. 31, 2019aircraft	Jun. 30, 2019aircraft	Sep. 30, 2019USD ($)aircraftitem	Dec. 31, 2018USD ($)
Commitments to acquire aircraft
Minimum aircraft delivery delays that could trigger lessee cancellation clauses (in years)			1 year
Commitments for the acquisition of the aircraft and other equipment
2019 \| $			$ 771,134
2020 \| $			6,419,215
2021 \| $			6,647,270
2022 \| $			4,750,559
2023 \| $			3,678,420
Thereafter \| $			225,142
Total \| $			$ 22,491,740
Aircrafts
Commitments to acquire aircraft
2019			9
2020			80
2021			94
2022			68
2023			60
Thereafter			5
Total			316
Additional commitments under memorandums of understanding		100
Commitments for the acquisition of the aircraft and other equipment
Deposit Assets \| $			$ 1,600,000	$ 1,800,000
Airbus A321 XLR
Commitments to acquire aircraft
Additional commitments under memorandums of understanding		27
Airbus A320/321neo
Commitments to acquire aircraft
2019			7
2020			28
2021			32
2022			25
2023			25
Total			117
Number of long-range variants \| item			56
Additional commitments under memorandums of understanding		23
Airbus A220
Commitments to acquire aircraft
Additional commitments under memorandums of understanding		50
Memorandums of understanding commitment additional options		25
Airbus A330-900neo
Commitments to acquire aircraft
2019			1
2020			3
2021			3
2022			6
2023			3
Total			16
Airbus A350-900/1000
Commitments to acquire aircraft
2020			3
2021			6
2022			3
2023			2
Total			14
Boeing 737-7/8/9 MAX
Commitments to acquire aircraft
2020			31
2021			46
2022			28
2023			25
Thereafter			5
Total			135
Boeing 787-9/10
Commitments to acquire aircraft
2019			1
2020			15
2021			7
2022			6
2023			5
Total			34
Boeing 787-9 Aircraft
Commitments to acquire aircraft
Aircraft commitments converted	5
Airbus A330-300
Commitments to acquire aircraft
Additional purchase commitments			1
Airbus A350-1000 \| Maximum
Commitments for the acquisition of the aircraft and other equipment
Aircraft to be acquired under non-binding commitment			5
B-737-Max
Commitments to acquire aircraft
Aircraft commitments converted	15
Boeing 737-8 MAX Aircraft \| Maximum
Commitments for the acquisition of the aircraft and other equipment
Aircraft to be acquired under non-binding commitment			45

Rental Income (Details)

Rental Income (Details) $ in Thousands	Sep. 30, 2019USD ($)
Minimum future rentals on non-cancelable operating leases of flight equipment
2019 (excluding the nine months ended September 30, 2019)	$ 503,359
2020	1,999,804
2021	1,908,650
2022	1,765,865
2023	1,561,393
Thereafter	6,404,246
Total	$ 14,143,317

Net Earnings Per Share (Details

Net Earnings Per Share (Details) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2019USD ($)$ / sharesshares	Jun. 30, 2019USD ($)	Mar. 31, 2019USD ($)	Sep. 30, 2018USD ($)$ / sharesshares	Jun. 30, 2018USD ($)	Mar. 31, 2018USD ($)	Sep. 30, 2019USD ($)item$ / sharesshares	Sep. 30, 2018USD ($)$ / sharesshares
Anti-dilutive securities
Number of classes of common stock \| item							2
Numerator
Preferred stock dividends	$ (3,844)						$ (8,115)
Net income available to common stockholders	$ 151,943			$ 146,574			$ 414,071	$ 372,436
Denominator
Weighted-average common shares outstanding \| shares	112,133,556			104,066,785			111,511,960	103,940,723
Basic earnings per share (in dollars per share) \| $ / shares	$ 1.36			$ 1.41			$ 3.71	$ 3.58
Numerator
Net income	$ 155,787	$ 128,305	$ 138,094	$ 146,574	$ 115,211	$ 110,651	$ 422,186	$ 372,436
Preferred dividends paid							(8,115)
Assumed conversion of convertible senior notes				1,823				5,309
Net income plus assumed conversions	$ 151,943			$ 148,397			$ 414,071	$ 377,745
Denominator
Number of shares used in basic computation \| shares	112,133,556			104,066,785			111,511,960	103,940,723
Weighted-average effect of dilutive securities (in shares) \| shares	1,129,840			8,442,827			1,325,566	8,437,147
Number of shares used in per share computation \| shares	113,263,396			112,509,612			112,837,526	112,377,870
Diluted net income per share (in dollars per share) \| $ / shares	$ 1.34			$ 1.32			$ 3.67	$ 3.36
Restricted Stock Units
Anti-dilutive securities
Anti-dilutive securities excluded from the computation of diluted earnings per share (in shares) \| shares							946,406	950,761

Fair Value Measurements - Asset

Fair Value Measurements - Assets and Liabilities Recurring and Non-recurring (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Recurring basis
Fair Value Measurements
Assets	$ 0	$ 0
Liabilities	0	0
Non-recurring basis
Fair Value Measurements
Assets	0	0
Liabilities	$ 0	$ 0

Fair Value Measurements - Debt

Fair Value Measurements - Debt Financing (Details) - USD ($) $ in Billions	Sep. 30, 2019	Dec. 31, 2018
Book Value
Financial Instruments Not Measured at Fair Value
Debt financing	$ 13.9	$ 11.7
Level 2
Financial Instruments Not Measured at Fair Value
Debt financing	$ 14.2	$ 11.4

Shareholders' Equity (Details)

Shareholders' Equity (Details) - USD ($) $ / shares in Units, $ in Thousands	Mar. 05, 2019	Sep. 30, 2019	Dec. 31, 2018
Class of Stock [Line Items]
Common stock, shares issued	10,000,000
Preferred stock, shares authorized		50,000,000	50,000,000
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01
Preferred Stock, shares issued		10,000,000	0
Preferred Stock, shares outstanding		10,000,000	0
Preferred Stock, Liquidation Preference, Value		$ 250,000
Preferred Stock, rate (as a percent)	6.15%
Preferred Stock, Liquidation Preference, per share	$ 25
Preferred Stock, state amount	$ 25
Dividend Payable Beginning on 15 June 2019
Class of Stock [Line Items]
Preferred Stock, rate (as a percent)	6.15%
Preferred Stock, term	5 years
Dividend Payable Beginning on 15 March 2024
Class of Stock [Line Items]
Preferred Stock, redemption price (in dollars per share)		$ 25
Dividend Payable Beginning on 15 March 2024 \| Three-Month LIBOR
Class of Stock [Line Items]
Preferred Stock, spread	3.65%
Class A Common Stock
Class of Stock [Line Items]
Common Stock, authorized shares		500,000,000	500,000,000
Common Stock, par value (in dollars per share)		$ 0.01	$ 0.01
Common stock, shares issued		112,701,349	110,949,850
Common stock, shares outstanding		112,701,349	110,949,850
Class B Non-Voting Common Stock
Class of Stock [Line Items]
Common Stock, authorized shares		10,000,000	10,000,000
Common Stock, par value (in dollars per share)		$ 0.01	$ 0.01
Common stock, shares issued		0	0
Common stock, shares outstanding		0	0
Series A Preferred Stock
Class of Stock [Line Items]
Preferred stock, shares authorized		50,000,000	50,000,000
Preferred stock, par value (in dollars per share)		$ 0.01	$ 0.01
Preferred Stock, shares issued		10,000,000	0
Preferred Stock, shares outstanding		10,000,000	0
Preferred Stock, Liquidation Preference, Value		$ 250,000
Preferred Stock, rate (as a percent)		6.15%

Stock-based Compensation - Stoc

Stock-based Compensation - Stock Options (Details) $ / shares in Units, $ in Thousands	May 07, 2014shares	Sep. 30, 2019USD ($)$ / sharesshares	Sep. 30, 2018USD ($)	Sep. 30, 2019USD ($)item$ / sharesshares	Sep. 30, 2018USD ($)	Dec. 31, 2018USD ($)$ / sharesshares
Stock-based Compensation
Unrecognized compensation cost		$ 29,200		$ 29,200
Equity Incentive Plan 2010
Stock-based Compensation
Number of shares authorized \| shares		5,282,848		5,282,848
Shares included in the authorized shares which was previously reserved for issuance \| shares		282,848		282,848
Shares
Granted (in shares) \| shares	0
Employee and Directors Stock Options
Stock-based Compensation
Term of award				10 years
Vesting period				3 years
Stock-based compensation		$ 0	$ 0	$ 0	$ 0
Unrecognized compensation cost		$ 0		$ 0
Shares
Balance at the beginning of the period (in shares) \| shares				2,620,295
Exercised (in shares) \| shares				(1,603,139)
Balance at the end of the period (in shares) \| shares		1,017,156		1,017,156		2,620,295
Vested and exercisable at the end of the period (in shares) \| shares		1,017,156		1,017,156
Exercise Price
Balance at the beginning of the period (in dollars per share) \| $ / shares				$ 20.40
Exercised (in dollars per share) \| $ / shares				20
Balance at the end of the period (in dollars per share) \| $ / shares		$ 21.04		21.04		$ 20.40
Vested and exercisable at the end of the period (in dollars per share) \| $ / shares		$ 21.04		$ 21.04
Remaining Contractual Term
Remaining Contractual Term (in years)				9 months 18 days		1 year 5 months 26 days
Vested and exercisable				9 months 18 days
Aggregate Intrinsic Value
Balance at the beginning of the period				$ 25,697
Exercised				29,909
Balance at the end of the period		$ 21,138		21,138		$ 25,697
Vested and exercisable at the end of the period		21,138		$ 21,138
Restricted Stock Units
Stock-based Compensation
Number of different vesting criteria \| item				4
Stock-based compensation		$ 4,900	$ 4,800	$ 14,900	$ 13,200
Restricted Stock Units \| Vesting Tranche One
Stock-based Compensation
Vesting period				3 years
Restricted Stock Units \| Vesting Tranche Three
Stock-based Compensation
Vesting period				3 years
Restricted Stock Units \| Vesting Tranche Four
Stock-based Compensation
Vesting period				3 years
Restricted Stock Units \| Minimum \| Vesting Tranche Two
Stock-based Compensation
Vesting period				1 year
Restricted Stock Units \| Maximum \| Vesting Tranche Two
Stock-based Compensation
Vesting period				2 years
Restricted Stock With Total Shareholder Return Conditions \| Minimum
Stock-based Compensation
Percentage of shares vested				0.00%
Restricted Stock With Total Shareholder Return Conditions \| Maximum
Stock-based Compensation
Percentage of shares vested				200.00%

Stock-based Compensation - St_2

Stock-based Compensation - Stock Option Exercise Price (Details)	9 Months Ended
	Sep. 30, 2019$ / sharesshares
$20.00
Stock options exercisable and vested by exercise price range
Exercise price (in dollars per share)	$ 20
Stock options exercisable and vested
Number of Shares \| shares	897,156
Weighted-Average Remaining Life (in years)	8 months 8 days
$28.80
Stock options exercisable and vested by exercise price range
Exercise price (in dollars per share)	$ 28.80
Stock options exercisable and vested
Number of Shares \| shares	120,000
Weighted-Average Remaining Life (in years)	1 year 6 months 25 days
$20.00 - $28.80
Stock options exercisable and vested
Number of Shares \| shares	1,017,156
Weighted-Average Remaining Life (in years)	9 months 18 days
Minimum \| $20.00 - $28.80
Stock options exercisable and vested by exercise price range
Exercise price (in dollars per share)	$ 20
Maximum \| $20.00 - $28.80
Stock options exercisable and vested by exercise price range
Exercise price (in dollars per share)	$ 28.80

Stock-based Compensation - Rest

Stock-based Compensation - Restricted Stock (Details) $ / shares in Units, $ in Millions	9 Months Ended
	Sep. 30, 2019USD ($)$ / sharesshares
Stock-based compensation expense
Unrecognized compensation cost \| $	$ 29.2
Weighted-average period of recognition of unrecognized stock-based compensation cost	1 year 10 months 9 days
Restricted Stock Units
Unvested Restricted Stock Units, Number of Shares
Unvested at the beginning of the period (in shares)	1,055,325
Granted (in shares)	670,279
Vested (in shares)	(271,037)
Forfeited/canceled (in shares)	(202,621)
Unvested at the end of the period (in shares)	1,251,946
Expected to vest after the end of the period (in shares)	1,341,575
Unvested Restricted Stock Units, Weighted-Average Grant-Date Fair Value
Unvested at the beginning of the period (in dollars per share) \| $ / shares	$ 41.66
Granted (in dollars per share) \| $ / shares	39.64
Vested (in dollars per share) \| $ / shares	34.58
Forfeited/canceled (in dollars per share) \| $ / shares	32.40
Unvested at the end of the period (in dollars per share) \| $ / shares	43.62
Expected to vest after the end of the period (in dollars per share) \| $ / shares	$ 43.45
Restricted Stock With Total Shareholder Return Conditions
Unvested Restricted Stock Units, Number of Shares
Granted (in shares)	139,895

Investments (Details)

Investments (Details)	3 Months Ended	9 Months Ended	12 Months Ended
Investments (Details)	Dec. 31, 2019aircraft	Sep. 30, 2019USD ($)aircraftitem	Dec. 31, 2018USD ($)aircraft	Aug. 01, 2018USD ($)
Blackbird I and Blackbird II
Investments
Number of joint ventures \| item		2
Equity method investment		$ 45,900,000	$ 40,600,000
Blackbird Capital I
Investments
Percentage of equity ownership		9.50%
Blackbird Capital II
Investments
Percentage of equity ownership		9.50%
Total unfunded commitment		$ 30,500,000
Thunderbolt II
Investments
Non-controlling interest (as a percent)				5.10%
Cost Method Investments			$ 5,400,000
Aircraft Held For Sale
Investments
Number of aircraft sold or agreed to be sold \| aircraft	6	6	6
Aircraft Held For Sale \| Thunderbolt II
Investments
Number of aircraft sold or agreed to be sold \| aircraft		3
Long-lived assets held for sale				$ 18
Forecast \| Aircraft Held For Sale \| Thunderbolt II
Investments
Number of aircraft \| aircraft	3

Flight Equipment held for sale

Flight Equipment held for sale (Details) - Aircraft Held For Sale $ in Millions	3 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2019aircraft	Sep. 30, 2019USD ($)aircraft	Dec. 31, 2018USD ($)aircraft
Flight Equipment Held for Sale
Number of aircraft sold or agreed to be sold \| aircraft	6	6	6
Flight Equipment, Net \| $		$ 208.5	$ 241.6

Subsequent Events (Details)

Subsequent Events (Details) - USD ($)	Nov. 06, 2019	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Oct. 31, 2019
Subsequent Events
Quarterly cash dividends on common stock		$ 0.13	$ 0.13	$ 0.13	$ 0.10	$ 0.10	$ 0.10
Subsequent Event \| Series A Preferred Stock
Subsequent Events
Dividend declared per share of Series A preferred stock	$ 0.384375
Subsequent Event \| Dividend Declared \| Class A Common Stock
Subsequent Events
Quarterly cash dividends on common stock	$ 0.15
Thunderbolt III \| Subsequent Event
Subsequent Events
Non-controlling interest (as a percent)								5.00%
Thunderbolt III \| Aircraft Held For Sale \| Subsequent Event
Subsequent Events
Long-lived assets held for sale								$ 19