Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 15, 2022 | Jun. 30, 2021 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2021 | ||
Current Fiscal Year End Date | --12-31 | ||
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, | ||
Entity Address, Address Line Two | 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 Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
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 | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 4.5 | ||
Entity Common Stock, Shares Outstanding | 114,047,485 | ||
Documents Incorporated by Reference | Designated portions of the Proxy Statement relating to registrant’s 2022 Annual Meeting of Shareholders have been incorporated by reference into Part III of this report. | ||
Entity Central Index Key | 0001487712 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Class A Common Stock | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Class A Common Stock | ||
Trading Symbol | AL | ||
Security Exchange Name | NYSE | ||
6.150% Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A | |||
Entity Information [Line Items] | |||
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 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2021 | |
Audit Information [Abstract] | |
Auditor Name | KPMG LLP |
Auditor Location | Irvine, CA |
Auditor Firm ID | 185 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Assets | ||
Cash and cash equivalents | $ 1,086,500 | $ 1,734,155 |
Restricted cash | 21,792 | 23,612 |
Flight equipment subject to operating leases | 27,101,808 | 23,729,742 |
Less accumulated depreciation | (4,202,804) | (3,349,392) |
Flight equipment subject to operating leases, net | 22,899,004 | 20,380,350 |
Deposits on flight equipment purchases | 1,508,892 | 1,800,119 |
Other assets | 1,452,534 | 1,276,939 |
Total assets | 26,968,722 | 25,215,175 |
Liabilities and Shareholders’ Equity | ||
Accrued interest and other payables | 611,757 | 492,473 |
Debt financing, net of discounts and issuance costs | 17,022,480 | 16,518,338 |
Security deposits and maintenance reserves on flight equipment leases | 1,173,831 | 1,072,704 |
Rentals received in advance | 138,816 | 142,915 |
Deferred tax liability | 1,013,270 | 916,404 |
Total liabilities | 19,960,154 | 19,142,834 |
Shareholders’ Equity | ||
Preferred Stock, $0.01 par value; 50,000,000 shares authorized; 10,600,000 (aggregate liquidation preference of $850,000) and 10,000,000 (aggregate liquidation preference of $250,000) shares issued and outstanding at December 31, 2021 and December 31, 2020, respectively | 106 | 100 |
Paid-in capital | 3,399,245 | 2,793,178 |
Retained earnings | 3,609,885 | 3,277,599 |
Accumulated other comprehensive (loss)/income | (1,808) | 325 |
Total shareholders’ equity | 7,008,568 | 6,072,341 |
Total liabilities and shareholders’ equity | 26,968,722 | 25,215,175 |
Class A Common Stock | ||
Shareholders’ Equity | ||
Common stock | $ 1,140 | $ 1,139 |
Common stock, issued (in shares) | 113,987,154 | 113,852,896 |
Common stock, outstanding (in shares) | 113,987,154 | 113,852,896 |
Class B Non‑Voting Common Stock | ||
Shareholders’ Equity | ||
Common stock | $ 0 | $ 0 |
Common stock, issued (in shares) | 0 | 0 |
Common stock, outstanding (in shares) | 0 | 0 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, issued (in shares) | 10,600,000 | |
Preferred stock, outstanding (in shares) | 10,600,000 | |
Preferred stock, aggregate liquidation preference (in dollars) | $ 850,000 | |
Noncumulative Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, issued (in shares) | 10,600,000 | 10,000,000 |
Preferred stock, outstanding (in shares) | 10,600,000 | 10,000,000 |
Preferred stock, aggregate liquidation preference (in dollars) | $ 850,000 | $ 250,000 |
Class A Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, issued (in shares) | 113,987,154 | 113,852,896 |
Common stock, outstanding (in shares) | 113,987,154 | 113,852,896 |
Class B Non‑Voting Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, issued (in shares) | 0 | 0 |
Common stock, outstanding (in shares) | 0 | 0 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME AND OTHER COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues [Abstract] | |||
Rental of flight equipment | $ 2,003,337 | $ 1,946,620 | $ 1,916,869 |
Aircraft sales, trading, and other | $ 85,052 | $ 68,819 | $ 100,035 |
Revenue from Contract with Customer, Product and Service [Extensible Enumeration] | Aircraft Sales, Trading And Other [Member] | Aircraft Sales, Trading And Other [Member] | Aircraft Sales, Trading And Other [Member] |
Total revenues | $ 2,088,389 | $ 2,015,439 | $ 2,016,904 |
Expenses | |||
Interest | 462,396 | 431,733 | 397,320 |
Amortization of debt discounts and issuance costs | 50,620 | 43,025 | 36,691 |
Interest expense | 513,016 | 474,758 | 434,011 |
Depreciation of flight equipment | 882,562 | 780,691 | 702,810 |
Selling, general, and administrative | 125,279 | 95,684 | 123,653 |
Stock-based compensation | 26,516 | 17,628 | 20,745 |
Total expenses | 1,547,373 | 1,368,761 | 1,281,219 |
Income before taxes | 541,016 | 646,678 | 735,685 |
Income tax expense | (104,384) | (130,414) | (148,564) |
Net income | 436,632 | 516,264 | 587,121 |
Preferred stock dividends | (28,473) | (15,375) | (11,958) |
Net income available to common stockholders, basic | 408,159 | 500,889 | 575,163 |
Net income available to common stockholders, diluted | 408,159 | 500,889 | 575,163 |
Other Comprehensive Income/(Loss): | |||
Foreign currency translation adjustment | (2,419) | (6,828) | (7,191) |
Change in fair value of hedged transactions | (294) | 8,992 | 5,441 |
Total tax benefit/(expense) on other comprehensive income/loss | 580 | (442) | 353 |
Other comprehensive (loss)/income, net of tax | (2,133) | 1,722 | (1,397) |
Total comprehensive income available for common stockholders | $ 406,026 | $ 502,611 | $ 573,766 |
Earnings per share of common stock: | |||
Basic (in dollars per share) | $ 3.58 | $ 4.41 | $ 5.14 |
Diluted (in dollars per share) | $ 3.57 | $ 4.39 | $ 5.09 |
Weighted-average shares of common stock outstanding | |||
Basic (in shares) | 114,050,578 | 113,684,782 | 111,895,433 |
Diluted (in shares) | 114,446,093 | 114,014,021 | 113,086,323 |
Dividends declared per share (in dollars per share) | $ 0.67 | $ 0.61 | $ 0.54 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred Stock | Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive (Loss)/Income | Class A Common StockCommon Stock | Class B Non‑Voting Common StockCommon Stock |
Beginning balance (in shares) at Dec. 31, 2018 | 0 | 110,949,850 | 0 | ||||
Beginning balance at Dec. 31, 2018 | $ 4,806,900 | $ 0 | $ 2,474,238 | $ 2,331,552 | $ 0 | $ 1,110 | $ 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Issuance of common stock upon exercise of options, vesting of restricted stock units and convertible debt conversion (in shares) | 2,511,873 | ||||||
Issuance of common stock upon exercise of options, vesting of restricted stock units and convertible debt conversion | 44,885 | 44,860 | $ 25 | ||||
Issuance of preferred stock (in shares) | 10,000,000 | ||||||
Issuance of preferred stock | 242,130 | $ 100 | 242,030 | ||||
Stock-based compensation expense | 20,745 | 20,745 | |||||
Cash dividends | (60,609) | (60,609) | |||||
Preferred dividends | (11,958) | (11,958) | |||||
Change in foreign currency translation adjustment and in fair value of hedged transactions, net of tax | (1,397) | (1,397) | |||||
Tax withholdings on stock based compensation (in shares) | (111,456) | ||||||
Tax withholdings on stock based compensation | (4,273) | (4,272) | $ (1) | ||||
Net income | 587,121 | 587,121 | |||||
Ending balance (in shares) at Dec. 31, 2019 | 10,000,000 | 113,350,267 | 0 | ||||
Ending balance at Dec. 31, 2019 | 5,623,544 | $ 100 | 2,777,601 | 2,846,106 | (1,397) | $ 1,134 | $ 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Issuance of common stock upon exercise of options, vesting of restricted stock units and convertible debt conversion (in shares) | 700,737 | ||||||
Issuance of common stock upon exercise of options, vesting of restricted stock units and convertible debt conversion | 6,571 | 6,564 | $ 7 | ||||
Stock-based compensation expense | 17,628 | 17,628 | |||||
Cash dividends | (69,396) | (69,396) | |||||
Preferred dividends | (15,375) | (15,375) | |||||
Change in foreign currency translation adjustment and in fair value of hedged transactions, net of tax | 1,722 | 1,722 | |||||
Tax withholdings on stock based compensation (in shares) | (198,108) | ||||||
Tax withholdings on stock based compensation | (8,617) | (8,615) | $ (2) | ||||
Net income | 516,264 | 516,264 | |||||
Ending balance (in shares) at Dec. 31, 2020 | 10,000,000 | 113,852,896 | 0 | ||||
Ending balance at Dec. 31, 2020 | 6,072,341 | $ 100 | 2,793,178 | 3,277,599 | 325 | $ 1,139 | $ 0 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Issuance of common stock upon exercise of options, vesting of restricted stock units and convertible debt conversion (in shares) | 451,188 | ||||||
Issuance of common stock upon exercise of options, vesting of restricted stock units and convertible debt conversion | 1,441 | 1,437 | $ 4 | ||||
Issuance of preferred stock (in shares) | 600,000 | ||||||
Issuance of preferred stock | 591,342 | $ 6 | 591,336 | ||||
Stock-based compensation expense | $ 26,516 | 26,516 | |||||
Common stock repurchased (in shares) | (153,949) | (153,949) | |||||
Common stock repurchased | $ (5,781) | (5,780) | $ (1) | ||||
Cash dividends | (75,873) | (75,873) | |||||
Preferred dividends | (28,473) | (28,473) | |||||
Change in foreign currency translation adjustment and in fair value of hedged transactions, net of tax | (2,133) | (2,133) | |||||
Tax withholdings on stock based compensation (in shares) | (162,981) | ||||||
Tax withholdings on stock based compensation | (7,444) | (7,442) | $ (2) | ||||
Net income | 436,632 | 436,632 | |||||
Ending balance (in shares) at Dec. 31, 2021 | 10,600,000 | 113,987,154 | 0 | ||||
Ending balance at Dec. 31, 2021 | $ 7,008,568 | $ 106 | $ 3,399,245 | $ 3,609,885 | $ (1,808) | $ 1,140 | $ 0 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared per share of common stock (in dollars per share) | $ 0.67 | $ 0.61 | $ 0.54 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Operating Activities | |||
Net income | $ 436,632 | $ 516,264 | $ 587,121 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation of flight equipment | 882,562 | 780,691 | 702,810 |
Stock-based compensation | 26,516 | 17,628 | 20,745 |
Deferred taxes | 97,446 | 166,467 | 92,049 |
Amortization of prepaid lease costs | 46,547 | 43,224 | 32,849 |
Amortization of debt discounts and issuance costs | 50,620 | 43,025 | 36,691 |
Gain on aircraft sales, trading and other activity | (46,109) | (34,654) | (89,417) |
Changes in operating assets and liabilities: | |||
Other assets | (176,391) | (415,347) | (153,879) |
Accrued interest and other payables | 63,112 | (22,810) | 139,337 |
Rentals received in advance | (4,099) | (4,302) | 24,166 |
Net cash provided by operating activities | 1,376,836 | 1,090,186 | 1,392,472 |
Investing Activities | |||
Acquisition of flight equipment under operating lease | (2,506,175) | (1,631,551) | (3,663,605) |
Payments for deposits on flight equipment purchases | (496,838) | (885,679) | (884,459) |
Proceeds from aircraft sales, trading and other activity | 137,887 | 151,132 | 995,345 |
Acquisition of aircraft furnishings, equipment and other assets | (229,654) | (160,993) | (291,258) |
Net cash used in investing activities | (3,094,780) | (2,527,091) | (3,843,977) |
Financing Activities | |||
Issuance of common stock upon exercise of options and warrants | 1,438 | 6,569 | 44,885 |
Issuance of preferred stock | 591,340 | 0 | 242,130 |
Cash dividends paid on Class A common stock | (73,001) | (68,183) | (58,026) |
Common shares repurchased | (5,780) | 0 | 0 |
Preferred dividends paid | (28,473) | (15,375) | (11,958) |
Tax withholdings on stock-based compensation | (7,441) | (8,618) | (4,272) |
Net change in unsecured revolving facilities | 0 | (20,000) | (582,000) |
Proceeds from debt financings | 3,655,830 | 4,659,762 | 3,567,728 |
Payments in reduction of debt financings | (3,194,482) | (1,728,029) | (978,369) |
Debt issuance costs | (10,245) | (8,102) | (11,280) |
Security deposits and maintenance reserve receipts | 174,521 | 114,596 | 310,220 |
Security deposits and maintenance reserve disbursements | (35,238) | (76,009) | (52,490) |
Net cash provided by financing activities | 1,068,469 | 2,856,611 | 2,466,568 |
Net (decrease)/increase in cash | (649,475) | 1,419,706 | 15,063 |
Cash, cash equivalents and restricted cash at beginning of period | 1,757,767 | 338,061 | 322,998 |
Cash, cash equivalents and restricted cash at end of period | 1,108,292 | 1,757,767 | 338,061 |
Supplemental Disclosure of Cash Flow Information | |||
Cash paid during the period for interest, including capitalized interest of $49,070, $53,163 and $59,358 at December 31, 2021, 2020 and 2019, respectively | 508,616 | 449,662 | 442,132 |
Cash paid for income taxes | 5,734 | 29,733 | 16,657 |
Supplemental Disclosure of Noncash Activities | |||
Buyer furnished equipment, capitalized interest, deposits on flight equipment purchases and seller financing applied to acquisition of flight equipment and other assets applied to payments for deposits on flight equipment purchases | 1,009,554 | 782,896 | 1,399,136 |
Cash dividends declared, not yet paid | $ 21,088 | $ 18,216 | $ 17,003 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Supplemental Disclosure of Cash Flow Information | |||
Cash paid for interest, capitalized interest | $ 49,070 | $ 53,163 | $ 59,358 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Organization 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. The Company is principally engaged in purchasing new commercial jet aircraft directly from the manufacturers, such as The Boeing Company (“Boeing”) and Airbus S.A.S.(“Airbus”). The Company leases these aircraft to airlines throughout the world to generate attractive returns on equity. As of December 31, 2021, and giving effect to the Company’s conversion of three Boeing 787 aircraft to 18 737 MAX aircraft in February 2022, the Company owned 382 aircraft and had 431 aircraft on order with the manufacturers. In addition to its leasing activities, the Company sells aircraft from its fleet to third parties, including other leasing companies, financial services companies, airlines and other investors. The Company also provides fleet management services to investors and owners of aircraft portfolios for a management fee. Principles of consolidation The Company consolidates financial statements of all entities in which the Company has a controlling financial interest, including the accounts of any Variable Interest Entity in which the Company has a controlling financial interest and for which it is the primary beneficiary. All material intercompany balances are eliminated in consolidation. Rental of flight equipment The Company leases flight equipment principally under operating leases and reports rental income ratably over the life of each lease. Rentals received, but unearned, under the lease agreements are recorded in Rentals received in advance on the Company’s Consolidated Balance Sheets until earned. The difference between the rental income recorded and the cash received under the provisions of the lease is included in Lease receivables, as a component of Other assets on the Company’s Consolidated Balance Sheets. An allowance for doubtful accounts will be recognized for past-due rentals based on management’s assessment of collectability. Management monitors all lessees with past due lease payments and discuss relevant operational and financial issues facing those lessees in order to determine an appropriate allowance for doubtful accounts. In addition, if collection is not reasonably assured, the Company will not recognize rental income for amounts due under the Company’s lease contracts and will recognize revenue for such lessees on a cash basis. All of the Company’s lease agreements are triple net leases whereby the lessee is responsible for all taxes, insurance, and aircraft maintenance. In the future, we may incur repair and maintenance expenses for off-lease aircraft. We recognize repair and maintenance expense in our Consolidated Statements of Income for all such expenditures. In many operating lease contracts, the lessee is obligated to make periodic payments, which are calculated with reference to the utilization of the airframe, engines, and other major life-limited components during the lease. In these leases, we will make a payment to the lessee to compensate the lessee for the cost of the Qualifying Event incurred, up to the maximum of the amount of Maintenance Reserves payment made by the lessee during the lease term, net of previous reimbursements. These payments are made upon the lessee’s presentation of invoices evidencing the completion of such Qualifying Event. The Company records the portion of Maintenance Reserves that is virtually certain will not be reimbursed to the lessee as Rental of flight equipment revenue. Maintenance Reserves payments which we may be required to reimburse to the lessee are reflected in our overhaul reserve liability, as a component of Security deposits and overhaul reserves on flight equipment leases in our Consolidated Balance Sheets. Any Maintenance Reserves or end of lease payments collected that were not reimbursed to the lessee during the term of the lease for a Qualifying Event are recognized as rental revenues at the end of the lease. Leases that contain provisions which require us to pay a portion of a lessee's major maintenance based on the usage of the aircraft and major life-limited components that were incurred prior to the current lease are recorded as lease incentives based on estimated payments we expect to pay the lessee. These lease incentives are amortized as a reduction of rental revenues over the term of the lease. Lessee-specific modifications are capitalized as initial direct costs and amortized over the term of the lease into rental revenue in our Consolidated Statements of Income. Under Financial Accounting Standards Board Accounting Standards Update No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” entities are required to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. Revenue is recognized when the performance obligation is satisfied and the control of the underlying goods or services related to the performance obligation is transferred to the customer. Our performance obligation associated with the sale of flight equipment is satisfied upon delivery of the flight equipment to a customer, which is the point in time where control of the underlying flight equipment has transferred to the buyer. At the time flight equipment is retired or sold, the cost and accumulated depreciation are removed from the related accounts and the difference, net of transaction price, is recorded as a gain or loss. Net investment in finance or sales-type lease A net investment in sales-type lease is recognized if a lease meets specific criteria under Accounting Standards Codification (“ASC”) 842 at its inception. Upon commencement of the lease, the book value of the leased asset is de-recognized and a net investment in sales-type lease is recognized within Other assets in our Consolidated Balance Sheets based on the present value of fixed payments under the contract and the residual value of the underlying asset, discounted at the rate implicit in the lease. We recognize the difference between the book value of the aircraft and the net investment in the lease in Aircraft sales, trading, and other in our Consolidated Statement of Income and Comprehensive Income. Interest income on our net investment in sales-type leases is recognized over the lease term in a manner that produces a constant rate of return on the net investment in the lease. Initial direct costs The Company records as period costs those internal and other costs incurred in connection with identifying, negotiating, and delivering aircraft to the Company's lessees. Amounts paid by us to lessees and/or other parties in connection with originating lease transactions are capitalized as lease incentives and are amortized over the lease term. Additionally, regarding the extension of leases that contain maintenance reserve provisions, the Company considers maintenance reserves that were previously recorded as revenue and no longer meet the virtual certainty criteria as a function of the extended lease term as lease incentives and capitalizes such reserves. The amortization of lease incentives are recorded as a reduction of lease revenue in the Consolidated Statements of Income. Cash, cash equivalents and restricted cash The Company considers cash and cash equivalents to be cash on hand and highly liquid investments with original maturity dates of 90 days or less. Restricted cash consists of pledged security deposits, maintenance reserves, and rental payments related to secured aircraft financing arrangements. The following table reconciles cash, cash equivalents and restricted cash reported in the Company’s Consolidated Balance Sheets to the total amount presented in our consolidated statement of cash flows (in thousands): December 31, 2021 December 31, 2020 Cash and cash equivalents $ 1,086,500 $ 1,734,155 Restricted cash 21,792 23,612 Total cash, cash equivalents and restricted cash in the consolidated statements of cash flows $ 1,108,292 $ 1,757,767 Flight equipment Flight equipment under operating lease is stated at cost less accumulated depreciation. Purchases, major additions and modifications, and interest on deposits during the construction phase are capitalized. The Company generally depreciates passenger aircraft on a straight-line basis over a 25-year life from the date of manufacture to a 15% residual value. Changes in the assumption of useful lives or residual values for aircraft could have a significant impact on the Company’s results of operations and financial condition. Major aircraft improvements and modifications incurred during an off-lease period are capitalized and depreciated over the remaining life of the flight equipment. In addition, costs paid by us for scheduled maintenance and overhauls are capitalized and depreciated over a period to the next scheduled maintenance or overhaul event. Miscellaneous repairs are expensed when incurred. Management evaluates on a quarterly basis the need to perform an impairment test whenever facts or circumstances indicate a potential impairment has occurred. An assessment is performed whenever events or changes in circumstances indicate that the carrying amount of an aircraft may not be recoverable. Recoverability of an aircraft’s carrying amount is measured by comparing the carrying amount of the aircraft to future undiscounted net cash flows expected to be generated by the aircraft. The undiscounted cash flows consist of cash flows from currently contracted leases, future projected lease rates, and estimated residual or scrap values for each aircraft. We develop assumptions used in the recoverability analysis based on our knowledge of active lease contracts, current and future expectations of the global demand for a particular aircraft type, potential for alternative use of aircraft and historical experience in the aircraft leasing market and aviation industry, as well as information received from third-party industry sources. The factors considered in estimating the undiscounted cash flows are affected by changes in future periods due to changes in contracted lease rates, economic conditions, technology, and airline demand for a particular aircraft type. In the event that an aircraft does not meet the recoverability test and the aircraft's carrying amount falls below estimated values from third-party industry sources, the aircraft will be recorded at fair value in accordance with the Company’s Fair Value Policy, resulting in an impairment charge. Our Fair Value Policy is described below under “Fair Value Measurements”. Maintenance Rights The Company identifies, measures, and accounts for maintenance right assets and liabilities associated with its acquisitions of aircraft with in-place leases. A maintenance right asset represents the fair value of the Company’s contractual right under a lease to receive an aircraft in an improved maintenance condition as compared to the maintenance condition on the acquisition date. A maintenance right liability represents the Company’s obligation to pay the lessee for the difference between the lease end contractual maintenance condition of the aircraft and the actual maintenance condition of the aircraft on the acquisition date. The Company’s aircraft are typically subject to triple-net leases pursuant to which the lessee is responsible for maintenance, which is accomplished through one of two types of provisions in its leases: (i) end of lease return conditions (“EOL Leases”) or (ii) periodic maintenance payments (“MR Leases”). (i) EOL Leases Under EOL Leases, the lessee is obligated to comply with certain return conditions which require the lessee to perform maintenance on the aircraft or make cash compensation payments at the end of the lease to bring the aircraft into a specified maintenance condition. Maintenance right assets in EOL Leases represent the difference in value between the contractual right to receive an aircraft in an improved maintenance condition as compared to the maintenance condition on the acquisition date. Maintenance right liabilities exist in EOL Leases if, on the acquisition date, the maintenance condition of the aircraft is greater than the contractual return condition in the lease and the Company is required to pay the lessee in cash for the improved maintenance condition. Maintenance right assets, net of accumulated amortization, are recorded as a component of Flight equipment subject to operating leases on the Consolidated Balance Sheets. When the Company has recorded maintenance right assets with respect to EOL Leases, the following accounting scenarios exist: (i) the aircraft is returned at lease expiry in the contractually specified maintenance condition without any cash payment to the Company by the lessee, the maintenance right asset is relieved, and an aircraft improvement is recorded to the extent the improvement is substantiated and deemed to meet the Company’s capitalization policy; (ii) the lessee pays the Company cash compensation at lease expiry in excess of the value of the maintenance right asset, the maintenance right asset is relieved, and any excess is recognized as end of lease income; or (iii) the lessee pays the Company cash compensation at lease expiry that is less than the value of the maintenance right asset, the cash is applied to the maintenance right asset, and the balance of such asset is relieved and recorded as an aircraft improvement to the extent the improvement is substantiated and meets the Company’s capitalization policy. Any aircraft improvement will be depreciated over a period to the next scheduled maintenance event in accordance with the Company’s policy with respect to major maintenance and included in Depreciation of flight equipment on the Company’s Consolidated Statements of Income. When the Company has recorded maintenance right liabilities with respect to EOL Leases, the following accounting scenarios exist: (i) the aircraft is returned at lease expiry in the contractually specified maintenance condition without any cash payment by the Company to the lessee, the maintenance right liability is relieved, and end of lease income is recognized; (ii) the Company pays the lessee cash compensation at lease expiry of less than the value of the maintenance right liability, the maintenance right liability is relieved, and any difference is recognized as end of lease income; or (iii) the Company pays the lessee cash compensation at lease expiry in excess of the value of the maintenance right liability, the maintenance right liability is relieved, and the excess amount is recorded as an aircraft improvement to the extent that it meets our capitalization policy. (ii) MR Leases Under MR Leases, the lessee is required to make periodic payments to us for maintenance based upon planned usage of the aircraft. When a Qualifying Event occurs during the lease term, the Company is required to reimburse the lessee for the costs associated with such an event. At the end of lease, the Company is entitled to retain any cash receipts in excess of the required reimbursements to the lessee. Maintenance right assets in MR Leases represent the right to receive an aircraft in an improved condition relative to the actual condition on the acquisition date. The aircraft is improved by the performance of a Qualifying Event paid for by the lessee who is reimbursed by the Company from the periodic maintenance payments that it receives. Maintenance right assets are recorded as a component of Flight equipment subject to operating leases on the Consolidated Balance Sheets. When the Company has recorded maintenance right assets with respect to MR Leases, the following accounting scenarios exist: (i) the aircraft is returned at lease expiry and no Qualifying Event has been performed by the lessee since the acquisition date, the maintenance right asset is offset by the amount of the associated maintenance payment liability, and any excess is recorded as end of lease income; or (ii) the Company has reimbursed the lessee for the performance of a Qualifying Event, the maintenance right asset is relieved, and an aircraft improvement is recorded to the extent that it meets our capitalization policy. As of December 31, 2021 and 2020, there were no maintenance right liabilities for MR Leases. When flight equipment is sold, maintenance rights are included in the calculation of the disposition gain or loss. For the year ended December 31, 2021, the Company did not purchase aircraft in the secondary market. For the year ended December 31, 2020, the Company purchased 15 aircraft in the secondary market, none of which were subject to existing leases. As of December 31, 2021 and 2020, the Company had maintenance right assets, net of accumulated amortization of $17.6 million and $17.8 million, respectively. Maintenance right assets are included under Flight equipment subject to operating leases in our Consolidated Balance Sheets. Flight equipment held for sale Management evaluates all contemplated aircraft sale transactions to determine whether all the required criteria have been met under Generally Accepted Accounting Principles (“GAAP”) to classify aircraft as flight equipment held for sale. Management uses judgment in evaluating these criteria. Due to the significant uncertainties of potential sale transactions, the held for sale criteria generally will not be met unless the aircraft is subject to a signed sale agreement, or management has made a specific determination and obtained appropriate approvals to sell a particular aircraft or group of aircraft. Aircraft classified as flight equipment held for sale are recognized at the lower of their carrying amount or estimated fair value less estimated costs to sell. At the time aircraft are classified as flight equipment held for sale, depreciation expense is no longer recognized. As of December 31, 2021, and December 31, 2020, the Company did not have any flight equipment classified as held for sale. Capitalized interest The Company may borrow funds to finance deposits on new flight equipment purchases. The Company capitalizes interest expense on such borrowings. The capitalized amount is calculated using our composite borrowing rate and is recorded as an increase to the cost of the flight equipment on our Consolidated Balance Sheets at the time of purchase. Fair value measurements Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company measures the fair value of certain assets on a non-recurring basis, principally our flight equipment, when GAAP requires the application of fair value, including events or changes in circumstances that indicate that the carrying amounts of assets may not be recoverable. The Company records flight equipment at fair value when we determine the carrying value may not be recoverable. The Company principally uses the income approach to measure the fair value of flight equipment. The income approach is based on the present value of cash flows from contractual lease agreements and projected future lease payments, including contingent rentals, net of expenses, which extend to the end of the aircraft’s economic life in its highest and best use configuration, as well as a disposition value based on expectations of market participants. These valuations are considered Level 3 valuations, as the valuations contain significant non-observable inputs. Income taxes The Company uses the asset and liability method of accounting for income taxes. Under the asset and liability method, deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. The effect on deferred taxes of a change in the tax rates is recognized in income in the period that includes the enactment date. The Company records a valuation allowance for deferred tax assets when the probability of realization of the full value of the asset is less than 50%. The Company recognizes the impact of a tax position, if that position is more than 50% likely to be sustained on audit, based on the technical merits of the position. Recognized income tax positions are measured at the largest amount that is greater than 50% likely to be realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company recognizes interest and penalties for uncertain tax positions in income tax expense. Deferred costs The Company incurs debt issuance costs in connection with debt financings. Those costs are deferred and amortized over the life of the specific loan using the effective interest method and charged to interest expense. The Company also incurs costs in connection with equity offerings. Such costs are deferred until the equity offering is completed and either netted against the equity raised, or expensed if the equity offering is abandoned. Aircraft under management The Company manages aircraft across three management platforms: (i) its Thunderbolt platform, (ii) the Blackbird investment funds and (iii) on behalf of financial institutions as of December 31, 2021. The Company manages aircraft on behalf of two investment funds, Blackbird Capital I, LLC (“Blackbird I”) and Blackbird Capital II, LLC (“Blackbird II”). The Company owns non-controlling interests in each fund representing 9.5% of the equity of each fund. These investments are accounted for using the equity method of accounting due to the Company’s level of influence and involvement. The investments are recorded at the amount invested net of the Company’s 9.5% share of net income or loss, less any distributions or return of capital received from the entities. Also, the Company manages aircraft that it has sold through its Thunderbolt platform. The Company’s Thunderbolt platform facilitates the sale of mid-life aircraft to investors while allowing to continue the management of these aircraft for a fee. In connection with the sale of aircraft portfolios through the Company’s Thunderbolt platform, the Company has non-controlling interests of approximately 5.0% in two entities. These investments are accounted for using the cost method of accounting and are recorded at the amount invested less any return of capital received from the respective entity. Finally, the Company also manages aircraft for financial institutions for a fee. The Company does not have any equity interest in these financial institutions. Stock-based compensation Stock-based compensation cost is measured at the grant date based on the fair value of the award. Stock-based compensation expense is recognized over the requisite service periods of the awards on a straight-line basis. Reclassifications Certain reclassifications have been made in the prior year’s consolidated financial statements to conform to the classifications in 2021. Use of estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. |
Debt Financing
Debt Financing | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt Financing | Debt Financing The Company’s consolidated debt as of December 31, 2021 and 2020 is summarized below: December 31, 2021 December 31, 2020 (in thousands) Unsecured Senior notes $ 16,892,058 $ 15,583,544 Term financings 167,000 811,550 Total unsecured debt financing 17,059,058 16,395,094 Secured Term financings 126,660 276,032 Export credit financing 18,301 24,955 Total secured debt financing 144,961 300,987 Total debt financing 17,204,019 16,696,081 Less: Debt discounts and issuance costs (181,539) (177,743) Debt financing, net of discounts and issuance costs $ 17,022,480 $ 16,518,338 At December 31, 2021, management of the Company believes it is in compliance in all material respects with the covenants in its debt agreements, including minimum consolidated shareholders’ equity, minimum consolidated unencumbered assets, and an interest coverage ratio test. The Company’s secured obligations as of December 31, 2021 and 2020 are summarized below: December 31, 2021 December 31, 2020 (in thousands, except for number of aircraft) Nonrecourse $ — $ — Recourse 144,961 300,987 Total $ 144,961 $ 300,987 Number of aircraft pledged as collateral 3 12 Net book value of aircraft pledged as collateral $ 222,211 $ 628,674 Senior unsecured notes (including Medium-Term Note Program) As of December 31, 2021, the Company had $16.9 billion in aggregate principal amount of senior unsecured notes outstanding with remaining terms ranging from less than one month to 8.92 years and bearing interest at fixed rates ranging from 0.70% to 4.625%, with two notes bearing interest at a floating rate of three-month LIBOR plus 0.35% and a floating rate of LIBOR plus 1.125%. As of December 31, 2020, the Company had $15.6 billion in aggregate principal amount of senior unsecured notes outstanding bearing interest at fixed rates ranging from 2.25% to 4.625%, with one note bearing interest at a floating rate of three-month LIBOR plus 0.67% and one note bearing interest at a floating rate of LIBOR plus 1.125%. During the year ended December 31, 2021, the Company issued $3.7 billion in aggregate principal amount of Medium-Term Notes comprised of (i) $750.0 million in aggregate principal amount of 0.70% Medium-Term Notes due 2024, (ii) $1.2 billion in aggregate principal amount of 1.875% Medium-Term Notes due 2026, (iii) $600.0 million in aggregate principal amount of Medium-Term Notes due 2022 bearing interest at a floating rate of three-month LIBOR plus 0.35%, (iv) $600.0 million in aggregate principal amount of 0.80% Medium-Term Notes due 2024, and (v) $500.0 million in aggregate principal amount of 2.10% Medium-Term Notes due 2028. In January 2022, the Company issued $750.0 million in aggregate principal amount of Medium term notes due 2027 bearing interest at a fixed rate of 2.20% and $750.0 million in aggregate principal amount of Medium term notes due 2032 bearing interest at a fixed rate of 2.875%. Unsecured revolving credit facility As of December 31, 2021 and December 31, 2020, the Company did not have any amounts outstanding under its unsecured revolving credit facility (the “Revolving Credit Facility”). Borrowings under the Revolving Credit Facility accrue interest at either (a) LIBOR plus a margin of 1.05% per year or (b) an alternative base rate plus a margin of 0.05% per year, subject, in each case, to increases or decreases based on declines or improvements in the credit ratings for the Company’s debt. The Company is required to pay a facility fee of 0.20% per year (also subject to increases or decreases based on declines or improvements in the credit ratings for the Company’s debt) in respect of total commitments under the Revolving Credit Facility. Borrowings under the Revolving Credit Facility are used to finance the Company’s working capital needs in the ordinary course of business and for other general corporate purposes. In 2021, the Company amended and extended its Revolving Credit Facility through an amendment that, among other things, extended the final maturity date from May 5, 2023 to May 5, 2025. In addition, the Company executed four new lender supplements to the Revolving Credit Facility. After giving effect to the amendment and the new lender supplements, the total revolving commitments increased to approximately $6.8 billion, representing an increase of 13.3% from December 31, 2020. As of December 31, 2021, lenders held revolving commitments totaling approximately $6.1 billion that mature on May 5, 2025, commitments totaling $575.0 million that mature on May 5, 2023 and commitments totaling $105.0 million that mature on May 5, 2022. The amended Revolving Credit Facility also added benchmark replacement language with respect to LIBOR largely based on Alternative Reference Rates Committee LIBOR fallback language and amended certain financial maintenance covenants, including removing the maximum consolidated leverage ratio covenant, increasing the required level for minimum consolidated shareholders’ equity and removing the mechanism for suspending the minimum interest coverage ratio if certain debt ratings are met. Other debt financings From time to time, we enter into other debt financings such as unsecured term financings and secured term financings, including export credit. As of December 31, 2021, the remaining maturities of all other debt financings ranged from less than three months to approximately 7.8 years. The outstanding balance on other debt financings was $312.0 million and $1.1 billion as of December 31, 2021 and 2020, respectively. Maturities Maturities of debt outstanding as of December 31, 2021 are as follows: (in thousands) Years ending December 31, 2022 $ 2,133,882 2023 2,490,951 2024 2,892,276 2025 2,313,889 2026 3,456,845 Thereafter 3,916,176 Total $ 17,204,019 |
Interest Expense
Interest Expense | 12 Months Ended |
Dec. 31, 2021 | |
Interest Expense [Abstract] | |
Interest Expense | Interest Expense The following table shows the components of interest for the years ended December 31, 2021, 2020 and 2019: Year Ended Year Ended Year Ended (in thousands) Interest on borrowings $ 511,466 $ 484,896 $ 456,678 Less capitalized interest (49,070) (53,163) (59,358) Interest 462,396 431,733 397,320 Amortization of discounts and deferred debt issue costs 50,620 43,025 36,691 Interest expense $ 513,016 $ 474,758 $ 434,011 |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders’ Equity The Company was authorized to issue 500,000,000 shares of Class A common stock, $0.01 par value at December 31, 2021 and December 31, 2020. As of December 31, 2021 and December 31, 2020, the Company had 113,987,154 and 113,852,896 Class A common shares issued and outstanding, respectively. The Company was authorized to issue 10,000,000 shares of Class B common stock, $0.01 par value at December 31, 2021 and December 31, 2020. The Company did not have any shares of Class B non-voting common stock, $0.01 par value, issued or outstanding as of December 31, 2021 or December 31, 2020. The Company was authorized to issue 50,000,000 shares of preferred stock, $0.01 par value, at December 31, 2021 and December 31, 2020. As of December 31, 2021 the Company had 10,000,000 shares of 6.15% Fixed-to-Floating Non-Cumulative Perpetual Preferred Stock, Series A (the “Series A Preferred Stock”), $0.01 par value, issued and outstanding with an aggregate liquidation preference of $250.0 million ($25.00 per share), 300,000 shares of 4.65% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series B (the “Series B Preferred Stock”), $0.01 par value, issued and outstanding with an aggregate liquidation preference of $300.0 million ($1,000 per share) and 300,000 shares of 4.125% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series C (the “Series C Preferred Stock”), $0.01 par value, issued and outstanding with an aggregate liquidation preference of $300.0 million ($1,000 per share). As of December 31, 2020, the Company had 10,000,000 shares of Series A Preferred Stock issued and outstanding with an aggregate liquidation preference of $250.0 million. On March 5, 2019, the Company issued 10,000,000 shares of Series A Preferred Stock. The Company will pay dividends on the Series A 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 3.65% 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 any dividend payment date 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. The Series A Preferred Stock ranks on a parity with the Series B Preferred Stock and the Series C Preferred Stock. On March 2, 2021, the Company issued 300,000 shares of Series B Preferred Stock, $0.01 par value. The Company will pay dividends on the Series B 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 $1,000 per share at a rate per annum equal to: (i) 4.65% through June 15, 2026, and payable quarterly in arrears beginning on June 15, 2021, and (ii) the Five-year U.S. Treasury Rate as of the applicable reset dividend determination date plus a spread of 4.076% per reset period from June 15, 2026 and reset every five years and payable quarterly in arrears. The Company may redeem shares of the Series B Preferred Stock at its option, in whole or in part, from time to time, on any dividend payment date on or after June 15, 2026, for cash at a redemption price equal to $1,000 per share, plus any declared and unpaid dividends, without accumulation of any undeclared dividends. The Company may also redeem shares of the Series B Preferred Stock at the Company’s option under certain other limited conditions. The Series B Preferred Stock ranks on a parity with the Series A and Series C Preferred Stock. In October 2021, the Company issued 300,000 shares of Series C Preferred Stock. The Company will pay dividends on the Series C 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 $1,000 per share at a rate per annum equal to: (i) 4.125% through December 15, 2026, and payable quarterly in arrears beginning on December 15, 2021, and (ii) the Five-year U.S. Treasury Rate as of the applicable reset dividend determination date plus a spread of 3.149% per reset period from December 15, 2026 and reset every five years and payable quarterly in arrears. The Company may redeem shares of the Series C Preferred Stock at its option, in whole or in part, from time to time, on any dividend payment date on or after December 15, 2026, for cash at a redemption price equal to $1,000 per share, plus any declared and unpaid dividends, without accumulation of any undeclared dividends. The Company may also redeem shares of the Series C Preferred Stock at the Company’s option under certain other limited conditions. The Series C Preferred Stock ranks on a parity with the Series A and Series B Preferred Stock. The following table summarizes the Company’s preferred stock issued and outstanding as of December 31, 2021 (in thousands, except for share and per share amounts and percentages): Shares Issued and Outstanding as of December 31, 2021 Carrying Value as of December 31, 2021 Issue Date Dividend Rate in Effect at December 31, 2021 Dividend rate reset date Dividend rate after reset date (in thousands) Fixed-to-floating-rate: Series A 10,000,000 $ 250,000 March 5, 2019 6.150 % March 15, 2024 3M LIBOR plus 3.65% Fixed-rate reset: Series B 300,000 300,000 March 2, 2021 4.650 % June 15, 2026 5 Yr U.S. Treasury plus 4.076% Fixed-rate reset: Series C 300,000 300,000 October 13, 2021 4.125 % December 15, 2026 5 Yr U.S. Treasury plus 3.149% Total Preferred Stock 10,600,000 $ 850,000 During the year ended December 31, 2021, the Company repurchased 153,949 shares of its Class A common stock under its previously announced stock repurchase program at an average purchase price of $37.55 per share. |
Rental Income
Rental Income | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Rental Income | Rental Income At December 31, 2021, minimum future rentals on non-cancellable operating leases of flight equipment in the Company’s fleet, which have been delivered as of December 31, 2021, are as follows: (in thousands) Years ending December 31, 2022 $ 2,122,770 2023 1,996,285 2024 1,868,045 2025 1,707,558 2026 1,512,894 Thereafter 5,554,732 Total $ 14,762,284 The Company recorded $44.2 million, $11.3 million, and $43.9 million in overhaul revenue based on its lessees’ usage of the aircraft for the years ended December 31, 2021, 2020, and 2019, respectively. The following table shows the scheduled lease terminations (for the minimum non-cancellable period which does not include contracted unexercised lease extension options) of the Company’s owned aircraft portfolio, excluding one aircraft currently off lease: Aircraft Type 2022 2023 2024 2025 2026 Thereafter Total Airbus A319-100 — — — 1 — — 1 Airbus A320-200 9 3 6 10 1 1 30 Airbus A320-200neo — — 1 — — 22 23 Airbus A321-200 2 7 1 4 9 3 26 Airbus A321-200neo — — 4 — 2 63 69 Airbus A330-200 1 3 3 4 — 2 13 Airbus A330-300 1 2 — 1 — 4 8 Airbus A330-900neo — 1 — — — 8 9 Airbus A350-900 — — — — 1 11 12 Airbus A350-1000 — — — — — 5 5 Boeing 737-700 — 2 2 — — — 4 Boeing 737-800 7 15 7 18 18 23 88 Boeing 737-8 MAX — — 1 6 — 21 28 Boeing 737-9 MAX — — — — — 7 7 Boeing 777-200ER — — — 1 — — 1 Boeing 777-300ER 1 2 — 2 7 12 24 Boeing 787-9 — — — — 1 25 26 Boeing 787-10 — — — — — 6 6 Embraer E190 — — 1 — — — 1 Total 21 35 26 47 39 213 381 |
Concentration of Risk
Concentration of Risk | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
Concentration of Risk | Concentration of Risk Geographical and credit risks As of December 31, 2021, all of the Company’s Rental of flight equipment revenues were generated by leasing flight equipment to foreign and domestic airlines, and the Company leased and managed aircraft to 118 customers whose principal places of business are located in 60 countries as of December 31, 2021 compared to 112 lessees in 60 countries as of December 31, 2020. Over 95% of the Company’s aircraft are operated internationally. The following table sets forth the regional concentration based on each airline's principal place of business of the Company’s flight equipment subject to operating leases based on net book value as of December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Region Net Book Value % of Total Net Book Value % of Total (in thousands, except percentages) Europe $ 7,439,993 32.5 % $ 6,413,557 31.4 % Asia (excluding China) 5,952,981 26.0 % 5,513,498 27.1 % China 2,934,224 12.8 % 2,766,543 13.5 % The Middle East and Africa 2,447,919 10.7 % 2,356,418 11.6 % U.S. and Canada 1,638,450 7.2 % 1,298,974 6.4 % Central America, South America and Mexico 1,566,133 6.8 % 1,074,792 5.3 % Pacific, Australia, and New Zealand 919,304 4.0 % 956,568 4.7 % Total $ 22,899,004 100.0 % $ 20,380,350 100.0 % At December 31, 2021 and 2020, we owned and managed leased aircraft to customers in the following regions based on each airline's principal place of business: December 31, 2021 December 31, 2020 Region Number of Customers (1) % of Total Number of Customers (1) % of Total Europe 50 42.5 % 48 42.9 % Asia (excluding China) 22 18.6 % 20 17.8 % The Middle East and Africa 14 11.9 % 14 12.5 % U.S. and Canada 13 11.0 % 11 9.8 % China 9 7.6 % 9 8.0 % Central America, South America and Mexico 7 5.9 % 7 6.3 % Pacific, Australia, and New Zealand 3 2.5 % 3 2.7 % Total 118 100.0 % 112 100.0 % (1) A customer is an airline with its own operating certificate. The following table sets forth the dollar amount and percentage of the Company’s Rental of flight equipment revenues from our flight equipment subject to operating leases attributable to the indicated regions based on each airline’s principal place of business: Year Ended Year Ended Year Ended Region Amount of Rental Revenue % of Total Amount of Rental Revenue % of Total Amount of Rental Revenue % of Total (in thousands, except percentages) Europe $ 564,479 28.2 % $ 525,543 27.0 % $ 531,778 27.7 % Asia (excluding China) 558,020 27.9 % 573,722 29.5 % 484,017 25.3 % China 352,375 17.6 % 341,121 17.5 % 357,278 18.6 % The Middle East and Africa 210,977 10.5 % 220,017 11.3 % 226,932 11.8 % U.S. and Canada 130,717 6.5 % 106,694 5.5 % 98,627 5.1 % Central America, South America and Mexico 104,315 5.2 % 88,113 4.5 % 124,850 6.6 % Pacific, Australia, and New Zealand 82,454 4.1 % 91,410 4.7 % 93,387 4.9 % Total $ 2,003,337 100.0 % $ 1,946,620 100.0 % $ 1,916,869 100.0 % For the years ended December 31, 2021, 2020, and 2019, China was the only individual country that represented at least 10% of our rental revenue based on each airline's principal place of business. In 2021, 2020, and 2019, no individual airline represented at least 10% of our rental revenue. Currency risk The Company attempts to minimize currency and exchange risks by entering into aircraft purchase agreements and a majority of lease agreements and debt agreements with U.S. dollars as the designated payment currency. |
Income Tax
Income Tax | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax The provision for income taxes consists of the following: Year Ended 2021 2020 2019 (in thousands) Current: Federal $ — $ (38,520) $ 38,520 State 184 (107) 1,025 Foreign 6,754 2,574 2,937 Deferred: Federal 94,050 163,002 91,243 State 3,396 3,465 14,839 Foreign — — — Income tax expense $ 104,384 $ 130,414 $ 148,564 Differences between the provision for income taxes and income taxes at the statutory federal income tax rate are as follows: Year Ended 2021 2020 2019 Amount Percent Amount Percent Amount Percent (in thousands, except percentages) Income taxes at statutory federal rate $ 113,613 21.0 % $ 135,802 21.0 % $ 154,494 21.0 % Foreign tax credit (15,651) (2.9) (9,464) (1.5) (18,231) (2.5) State income taxes, net of federal income tax effect and other 2,828 0.5 2,653 0.4 12,532 1.7 Other 3,594 0.7 1,423 0.2 (231) — Income tax expense $ 104,384 19.3 % $ 130,414 20.1 % $ 148,564 20.2 % As of December 31, 2021 and 2020, the Company’s net deferred tax assets (liabilities) are as follows: December 31, 2021 December 31, 2020 (in thousands) Deferred tax assets Net operating losses $ 127,591 $ 24,206 Foreign tax credit 78,286 60,160 Rents received in advance 26,702 28,007 Other 19,743 5,383 Equity compensation 4,462 3,386 Accrued bonus 4,349 1,126 Total deferred tax assets 261,133 122,268 Deferred tax liabilities Aircraft depreciation $ (1,219,061) $ (995,023) Straight-line rents (55,342) (43,649) Total deferred tax liabilities $ (1,274,403) $ (1,038,672) Net deferred tax assets/(liabilities) $ (1,013,270) $ (916,404) The Company has NOL for federal and state income tax purposes of $600.5 million and $24.0 million as of December 31, 2021, respectively, which are available to offset future taxable income in future periods. The Company has foreign tax credits for federal income tax purposes of $78.3 million as of December 31, 2021 which are available to offset future taxable income in future periods. The Company's loss and tax credit carryforwards expire in the following periods: NOL Carryforwards Tax Credit Carryforwards (in thousands) 2022-2026 $ — $ 11,935 Thereafter 624,538 66,404 Total carryforwards $ 624,538 $ 78,339 The Company has not recorded a valuation allowance against its deferred tax assets as of December 31, 2021 and 2020 as realization of the deferred tax asset is considered more likely than not. In assessing the realizability of the deferred tax assets, management considered whether forecasted income, together with reversals of existing deferred tax liabilities, and tax planning strategies will be sufficient to recover the deferred tax assets and tax credits in making this assessment. Management anticipates the timing differences on aircraft depreciation will reverse and be available for offsetting the reversal of deferred tax assets. As of December 31, 2021 and 2020, the Company has not recorded any liability for unrecognized tax benefits. The Company files income tax returns in the U.S. and various state and foreign jurisdictions. The Company is subject to examinations by the major tax jurisdictions for the 2017 tax year and forward. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Aircraft Acquisition During the year ended December 31, 2021, the Company increased its committed orderbook by entering into agreements with Airbus to purchase 116 aircraft, including 59 A321neos, 25 A220-300s, 20 A321XLRs, seven A350F and five 330-900s. As of December 31, 2021, the Company had commitments to acquire a total of 431 new aircraft for delivery through 2028. The table is subject to change based on Airbus and Boeing delivery delays. As noted below, the Company expects delivery delays for some aircraft deliveries in its orderbook. The Company remains in discussions with Boeing and Airbus to determine the extent and duration of delivery delays; however, the Company is not yet able to determine the full impact of the delivery delays. Estimated Delivery Years Aircraft Type 2022 2023 2024 2025 2026 Thereafter Total Airbus A220-100/300 4 17 23 20 12 — 76 Airbus A320/321neo (1) 27 24 26 23 32 64 196 Airbus A330-900neo 8 6 4 — — — 18 Airbus A350-900/1000 3 3 3 — — — 9 Airbus A350F — — — — 2 5 7 Boeing 737-7/8/9 MAX (2) 33 31 35 2 — — 101 Boeing 787-9/10 (2) 10 3 6 5 — — 24 Total (3)(4) 85 84 97 50 46 69 431 (1) The Company's Airbus A320/321neo aircraft orders include 28 long-range variants and 49 extra long-range variants. (2) The table above reflects the conversion for three 787-9 aircraft to 18 737 MAX aircraft pursuant to a February 2022 agreement with Boeing. (3) The table above reflects Airbus and Boeing aircraft delivery delays based on information currently available to us based on contractual documentation. (4) Excluded from the table above are orders for 32 Boeing 737 MAX aircraft pursuant to a February 2022 memorandum of understanding signed with Boeing. Pursuant to our purchase agreements with Boeing and Airbus, we agree to contractual delivery dates for each aircraft ordered. These dates can change for a variety of reasons, however for the last several years, manufacturing delays have significantly delayed the planned purchases of our aircraft on order with Boeing and Airbus. Currently, the most significant delivery delays that we are experiencing are with regards to our aircraft orders for Boeing aircraft. Boeing has experienced significant aircraft delivery delays related to the 737 MAX aircraft stemming from the worldwide grounding of the 737 MAX beginning in March 2019, which resulted in material delivery delays of 737 MAX aircraft from our orderbook. However, a majority of the world’s aviation authorities have re-certified the 737 MAX aircraft during the last two years, with a majority of these re-certifications taking place in 2021. During 2020, Boeing began to experience manufacturing issues on its 787 aircraft, which also resulted in significant aircraft delivery delays. Currently, Boeing has paused 787 deliveries and currently is unable to forecast when they will resume. The aircraft purchase commitments discussed above could also be impacted by lease cancellations. The Company's leases typically provide that the Company and the airline customer each have a cancellation right related to certain aircraft delivery delays. The Company’s purchase agreements with Boeing and Airbus also generally provide that the Company and the manufacturer each have cancellation rights that typically parallel the Company’s cancellation rights in its leases. The Company’s leases and its purchase agreements with Boeing and Airbus generally provide for cancellation rights starting at one year after the original contractual delivery date, regardless of cause. Commitments for the acquisition of these aircraft, calculated at an estimated aggregate purchase price (including adjustments for anticipated inflation) of approximately $27.7 billion as of December 31, 2021 are as follows: (in thousands) Years ending December 31, 2022 $ 6,533,876 2023 5,399,461 2024 5,571,342 2025 3,041,583 2026 2,730,867 Thereafter 4,454,212 Total $ 27,731,341 The Company has made non-refundable deposits on the aircraft for which the Company has commitments to purchase of $1.5 billion and $1.8 billion as of December 31, 2021 and 2020, respectively, which are subject to manufacturer performance commitments. If the Company is unable to satisfy its purchase commitments, the Company may be forced to forfeit its deposits. Further, the Company would be exposed to breach of contract claims by its lessees and manufacturers. |
Net Earnings Per Share
Net Earnings Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Share | Net Earnings Per Share Basic net earnings per share is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted net 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 December 31, 2021, we did not have any Class B Non-Voting common stock outstanding. Diluted net 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 years ended December 31, 2021, 2020, and 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 1,083,174, 1,032,305, and 945,565 shares related to restricted stock units for which the performance metric had yet to be achieved as of December 31, 2021, 2020, and 2019, respectively. The following table sets forth the reconciliation of basic and diluted net earnings per share: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 (in thousands, except share and per share amounts) Basic earnings per share: Numerator Net income $ 436,632 $ 516,264 $ 587,121 Preferred stock dividends (28,473) (15,375) (11,958) Net income available to common stockholders $ 408,159 $ 500,889 $ 575,163 Denominator Weighted-average common shares outstanding 114,050,578 113,684,782 111,895,433 Basic earnings per share $ 3.58 $ 4.41 $ 5.14 Diluted earnings per share: Numerator Net income $ 436,632 $ 516,264 $ 587,121 Preferred stock dividends (28,473) (15,375) (11,958) Net income available to common stockholders $ 408,159 $ 500,889 $ 575,163 Denominator Number of shares used in basic computation 114,050,578 113,684,782 111,895,433 Weighted-average effect of dilutive securities 395,515 329,239 1,190,890 Number of shares used in per share computation 114,446,093 114,014,021 113,086,323 Diluted earnings per share $ 3.57 $ 4.39 $ 5.09 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Assets and Liabilities Measured at Fair Value on a Recurring and Non-recurring Basis The Company has a cross-currency swap related to its Canadian-dollar Medium-Term Notes, which were issued in December 2019. The fair value of the swap as a foreign currency exchange derivative is categorized as a Level 2 measurement in the fair value hierarchy and is measured on a recurring basis. As of December 31, 2021 and 2020, the estimated fair value of the foreign currency exchange derivative asset was $14.1 million and $14.4 million, respectively. Financial Instruments Not Measured at Fair Values 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 December 31, 2021 was $17.6 billion compared to a book value of $17.2 billion. The estimated fair value of debt financing as of December 31, 2020 was $17.6 billion compared to a book value of $16.7 billion. The following financial instruments are not measured at fair value on the Company’s Consolidated Balance Sheets at December 31, 2021, but require disclosure of their fair values: cash and cash equivalents and restricted cash. The estimated fair value of such instruments at December 31, 2021 and 2020 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. |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-based Compensation | 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 December 31, 2021, the number of stock options (“Stock Options”) and restricted stock units (“RSUs”) authorized under the 2014 Plan is approximately 4,495,097. 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 The Company recorded $26.5 million, $17.6 million, and $20.7 million of stock-based compensation expense for the years ended December 31, 2021, 2020, and 2019, respectively. 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 book value and time based 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 RSUs that vest based on the attainment of TSR goals 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 year ended December 31, 2021, the Company granted 597,728 RSUs of which 116,599 are TSR RSUs. The following table summarizes the activities for our unvested RSUs for the year ended December 31, 2021: Unvested Restricted Stock Units Number of Shares Weighted‑ Unvested at December 31, 2020 1,466,060 $ 42.03 Granted 597,728 $ 47.64 Vested (423,402) $ 41.91 Forfeited/canceled (68,971) $ 49.21 Unvested at December 31, 2021 1,571,415 $ 43.88 Expected to vest after December 31, 2021 1,547,915 $ 44.45 At December 31, 2021, the outstanding RSUs are expected to vest as follows: 2022—503,906; 2023—468,024; and 2024—575,985. As of December 31, 2021 there was $28.8 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 1.79 years. Stock Options The Company uses the BSM option pricing model to determine the fair value of stock options. The fair value of stock-based payment awards on the date of grant is determined by an option-pricing model using a number of complex and subjective variables. These variables include expected stock price volatility over the term of the awards, a risk-free interest rate, and expected dividends. Estimated volatility of the Company’s common stock for new grants is determined by using historical volatility of the Company’s peer group. Due to our limited operating history at the time of grant, there was no historical exercise data to provide a reasonable basis which the Company could use to estimate expected terms. Accordingly, the Company used the “simplified method” as permitted under Staff Accounting Bulletin No. 110. The risk-free interest rate used in the option valuation model was derived from U.S. Treasury zero-coupon issues with remaining terms similar to the expected term on the options. The Company has not granted any stock options since 2011. A summary of stock option activity in accordance with the Company’s stock option plan for the year ended December 31, 2021 follows: Shares Exercise Remaining Aggregate Intrinsic Value (in thousands) (1) Balance at December 31, 2018 2,620,295 $ 20.40 1.49 25,697 Granted — — — — Exercised (2,256,142) $ 20.00 — 46,358 Forfeited/canceled — — — — Balance at December 31, 2019 364,153 $ 22.90 0.75 8,965 Granted — — — — Exercised (314,153) $ 21.96 — 3,972 Forfeited/canceled — — — — Balance at December 31, 2020 50,000 $ 28.80 0.32 781 Granted — — — — Exercised (50,000) $ 28.80 — 993 Forfeited/canceled — — — — Balance at December 31, 2021 — $ — 0.00 — (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 December 31, 2021, there were no unrecognized compensation costs related to outstanding employee stock options. For the years ended December 31, 2021, 2020, and 2019, there was no stock-based compensation expense related to Stock Options. |
Aircraft Under Management
Aircraft Under Management | 12 Months Ended |
Dec. 31, 2021 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Aircraft Under Management | Aircraft Under Management As of December 31, 2021, the Company managed 92 aircraft across three aircraft management platforms. The Company managed 51 aircraft through its Thunderbolt platform, 36 aircraft through the Blackbird investment funds and five on behalf of financial institutions. The Company managed 36 aircraft on behalf of third-party investors, through two investment funds, Blackbird I and Blackbird II. These funds invest in commercial jet aircraft and lease them to airlines throughout the world. The Company provides management services to these funds for a fee. As of December 31, 2021, the Company's non-controlling interests in each fund was 9.5% and is accounted for under the equity method of accounting. The Company's investment in these funds aggregated $73.2 million and $52.6 million as of December 31, 2021 and 2020, respectively, and is included in Other assets on the Consolidated Balance Sheets. The Company continues to source aircraft investment opportunities for Blackbird II. As of December 31, 2021, Blackbird II has remaining equity capital commitments to acquire up to approximately $363.1 million in aircraft assets, for which the Company has committed to fund up to $10.3 million related to these potential investments. Additionally, the Company continues to manage aircraft that it sells through its Thunderbolt platform. The Thunderbolt platform facilitates the sale of mid-life aircraft to investors while allowing the Company to continue the management of these aircraft for a fee. As of December 31, 2021, the Company managed 51 aircraft across three separate transactions. The Company has non-controlling interests in two of these entities of approximately 5.0%, which are accounted for under the cost method of accounting. The Company’s total investment in aircraft sold through its Thunderbolt platform was $9.3 million as of each December 31, 2021 and 2020, and is included in Other assets on the Consolidated Balance Sheets. |
Net Investment in Sales-type Le
Net Investment in Sales-type Lease | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Net Investment in Sales-type Lease | Net Investment in Sales-type Lease During the year ended December 31, 2021, the Company entered into an agreement to lease ten A320 aircraft to an airline with terms that meet the criteria of being classified as a sales-type lease. As of December 31, 2021, one A320-200 aircraft was delivered with a remaining lease term of 10.2 years. Net investment in sales-type lease was included in Other assets in our Consolidated Balance Sheets based on the present value of fixed payments under the contract and the residual value of the underlying asset, discounted at the rate implicit in the lease. The Company’s investment in sales-type lease consisted of the following: December 31, 2021 Future minimum lease payments to be received $ 24,805 Estimated residual values of leased flight equipment 9,169 Less: Unearned income (5,545) Investment in Sales-type Lease $ 28,429 As of December 31, 2021, future minimum lease payments to be received on sales-type lease were as follows: (in thousands) Years ending December 31, 2022 $ 2,255 2023 2,460 2024 2,460 2025 2,460 2026 2,460 Thereafter 12,710 Total $ 24,805 |
Update on COVID-19 Pandemic Imp
Update on COVID-19 Pandemic Impact | 12 Months Ended |
Dec. 31, 2021 | |
Unusual or Infrequent Items, or Both [Abstract] | |
Update on COVID-19 Pandemic Impact | Update on COVID-19 Pandemic Impact Throughout 2021, passenger air travel gradually improved. The strong recovery in most domestic markets, together with robust global cargo demand, resulted in steady improvements in airline financial results throughout the year. While domestic travel improved significantly in the United States, Europe, China and Latin America, Inter-Asia traffic did not fare as well given more widespread travel restrictions. It is unclear how long and to what extent travel restrictions will remain in place. In the aggregate, the recovery of passenger traffic from pandemic-level lows has led to a firming market for aircraft values and lease rates. We also expect that the continued recovery of passenger traffic and production-related issues at Boeing and Airbus may contribute to a shortage of new technology aircraft in the years ahead, which could present a favorable environment for aircraft lessors. Throughout the pandemic, on a case-by-case basis, the Company has agreed to accommodations with approximately 66% of its lessees. The majority of these accommodations have been in the form of partial lease deferrals which, in many cases, include lease extensions. As of December 31, 2021, we had $203.2 million in outstanding deferred rentals as compared to $144.3 million in the prior year, the increase is primarily related to Vietnam Airlines. The majority of our outstanding deferred rentals are scheduled to be repaid within the next two years. In addition to lease deferral arrangements, the Company has from time to time agreed to restructure some of its lease agreements. As part of its lease restructuring agreements, the Company has typically modified its existing leases by extending the lease term and reducing its lease rates. In the aggregate, the impact of these restructurings have extended the weighted average lease term remaining of the Company’s fleet and have decreased its total revenues by $132.5 million for the year ended December 31, 2021. While lease deferrals may delay the Company's receipt of cash, the Company generally recognizes lease revenue during the period even if a deferral is provided to the lessee, unless it determines collection is not reasonably assured. The Company monitors all lessees with past due lease payments and discusses relevant operational and financial issues facing those lessees in order to determine an appropriate course of action. In addition, if collection is not reasonably assured, the Company will not recognize rental income for amounts due under the Company’s lease contracts and will recognize revenue for such lessees on a cash basis. For a lessee whose revenue the Company recognizes on a cash basis, the Company will not recognize revenue from the lessee if the lease receivables from such lessee exceed the lease security package held by the Company. During the year ended December 31, 2021, the Company was not able to recognize $72.7 million in rental revenue from lessees on a cash basis of accounting because collection was not reasonably assured. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On February 15, 2022, the Company’s board of directors approved quarterly cash dividends for the Company’s Class A common stock and Series A, Series B and Series C preferred stock. The following table summarizes the details of the dividends that were declared: Title of each class Cash dividend per share Record Date Payment Date Class A Common Stock $ 0.185 March 18, 2022 April 7, 2022 Series A Preferred Stock $ 0.384375 February 28, 2022 March 15, 2022 Series B Preferred Stock $ 11.625 February 28, 2022 March 15, 2022 Series C Preferred Stock $ 10.3125 February 28, 2022 March 15, 2022 In addition, the Company’s board of directors approved a new share repurchase program, which authorized repurchase of up to $150.0 million of the Company’s Class A common stock through September 30, 2022. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Principles of consolidation | Principles of consolidationThe Company consolidates financial statements of all entities in which the Company has a controlling financial interest, including the accounts of any Variable Interest Entity in which the Company has a controlling financial interest and for which it is the primary beneficiary. All material intercompany balances are eliminated in consolidation. |
Rental of flight equipment/ Net investment in finance or sales-type lease | Rental of flight equipment The Company leases flight equipment principally under operating leases and reports rental income ratably over the life of each lease. Rentals received, but unearned, under the lease agreements are recorded in Rentals received in advance on the Company’s Consolidated Balance Sheets until earned. The difference between the rental income recorded and the cash received under the provisions of the lease is included in Lease receivables, as a component of Other assets on the Company’s Consolidated Balance Sheets. An allowance for doubtful accounts will be recognized for past-due rentals based on management’s assessment of collectability. Management monitors all lessees with past due lease payments and discuss relevant operational and financial issues facing those lessees in order to determine an appropriate allowance for doubtful accounts. In addition, if collection is not reasonably assured, the Company will not recognize rental income for amounts due under the Company’s lease contracts and will recognize revenue for such lessees on a cash basis. All of the Company’s lease agreements are triple net leases whereby the lessee is responsible for all taxes, insurance, and aircraft maintenance. In the future, we may incur repair and maintenance expenses for off-lease aircraft. We recognize repair and maintenance expense in our Consolidated Statements of Income for all such expenditures. In many operating lease contracts, the lessee is obligated to make periodic payments, which are calculated with reference to the utilization of the airframe, engines, and other major life-limited components during the lease. In these leases, we will make a payment to the lessee to compensate the lessee for the cost of the Qualifying Event incurred, up to the maximum of the amount of Maintenance Reserves payment made by the lessee during the lease term, net of previous reimbursements. These payments are made upon the lessee’s presentation of invoices evidencing the completion of such Qualifying Event. The Company records the portion of Maintenance Reserves that is virtually certain will not be reimbursed to the lessee as Rental of flight equipment revenue. Maintenance Reserves payments which we may be required to reimburse to the lessee are reflected in our overhaul reserve liability, as a component of Security deposits and overhaul reserves on flight equipment leases in our Consolidated Balance Sheets. Any Maintenance Reserves or end of lease payments collected that were not reimbursed to the lessee during the term of the lease for a Qualifying Event are recognized as rental revenues at the end of the lease. Leases that contain provisions which require us to pay a portion of a lessee's major maintenance based on the usage of the aircraft and major life-limited components that were incurred prior to the current lease are recorded as lease incentives based on estimated payments we expect to pay the lessee. These lease incentives are amortized as a reduction of rental revenues over the term of the lease. Lessee-specific modifications are capitalized as initial direct costs and amortized over the term of the lease into rental revenue in our Consolidated Statements of Income. Under Financial Accounting Standards Board Accounting Standards Update No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” entities are required to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. Revenue is recognized when the performance obligation is satisfied and the control of the underlying goods or services related to the performance obligation is transferred to the customer. Our performance obligation associated with the sale of flight equipment is satisfied upon delivery of the flight equipment to a customer, which is the point in time where control of the underlying flight equipment has transferred to the buyer. At the time flight equipment is retired or sold, the cost and accumulated depreciation are removed from the related accounts and the difference, net of transaction price, is recorded as a gain or loss. Net investment in finance or sales-type lease A net investment in sales-type lease is recognized if a lease meets specific criteria under Accounting Standards Codification (“ASC”) 842 at its inception. Upon commencement of the lease, the book value of the leased asset is de-recognized and a net investment in sales-type lease is recognized within Other assets in our Consolidated Balance Sheets based on the present value of fixed payments under the contract and the residual value of the underlying asset, discounted at the rate implicit in the lease. We recognize the difference between the book value of the aircraft and the net investment in the lease in Aircraft sales, trading, and other in our Consolidated Statement of Income and Comprehensive Income. Interest income on our net investment in sales-type leases is recognized over the lease term in a manner that produces a constant rate of return on the net investment in the lease. |
Initial direct costs | Initial direct costs The Company records as period costs those internal and other costs incurred in connection with identifying, negotiating, and delivering aircraft to the Company's lessees. Amounts paid by us to lessees and/or other parties in connection with originating lease transactions are capitalized as lease incentives and are amortized over the lease term. Additionally, regarding the extension of leases that contain maintenance reserve provisions, the Company considers maintenance reserves that were previously recorded as revenue and no longer meet the virtual certainty criteria as a function of the extended lease term as lease incentives and capitalizes such reserves. The amortization of lease incentives are recorded as a reduction of lease revenue in the Consolidated Statements of Income. |
Cash, cash equivalents and restricted cash | Cash, cash equivalents and restricted cash The Company considers cash and cash equivalents to be cash on hand and highly liquid investments with original maturity dates of 90 days or less. Restricted cash consists of pledged security deposits, maintenance reserves, and rental payments related to secured aircraft financing arrangements. |
Flight equipment | Flight equipment Flight equipment under operating lease is stated at cost less accumulated depreciation. Purchases, major additions and modifications, and interest on deposits during the construction phase are capitalized. The Company generally depreciates passenger aircraft on a straight-line basis over a 25-year life from the date of manufacture to a 15% residual value. Changes in the assumption of useful lives or residual values for aircraft could have a significant impact on the Company’s results of operations and financial condition. |
Maintenance Rights | Maintenance Rights The Company identifies, measures, and accounts for maintenance right assets and liabilities associated with its acquisitions of aircraft with in-place leases. A maintenance right asset represents the fair value of the Company’s contractual right under a lease to receive an aircraft in an improved maintenance condition as compared to the maintenance condition on the acquisition date. A maintenance right liability represents the Company’s obligation to pay the lessee for the difference between the lease end contractual maintenance condition of the aircraft and the actual maintenance condition of the aircraft on the acquisition date. The Company’s aircraft are typically subject to triple-net leases pursuant to which the lessee is responsible for maintenance, which is accomplished through one of two types of provisions in its leases: (i) end of lease return conditions (“EOL Leases”) or (ii) periodic maintenance payments (“MR Leases”). (i) EOL Leases Under EOL Leases, the lessee is obligated to comply with certain return conditions which require the lessee to perform maintenance on the aircraft or make cash compensation payments at the end of the lease to bring the aircraft into a specified maintenance condition. Maintenance right assets in EOL Leases represent the difference in value between the contractual right to receive an aircraft in an improved maintenance condition as compared to the maintenance condition on the acquisition date. Maintenance right liabilities exist in EOL Leases if, on the acquisition date, the maintenance condition of the aircraft is greater than the contractual return condition in the lease and the Company is required to pay the lessee in cash for the improved maintenance condition. Maintenance right assets, net of accumulated amortization, are recorded as a component of Flight equipment subject to operating leases on the Consolidated Balance Sheets. When the Company has recorded maintenance right assets with respect to EOL Leases, the following accounting scenarios exist: (i) the aircraft is returned at lease expiry in the contractually specified maintenance condition without any cash payment to the Company by the lessee, the maintenance right asset is relieved, and an aircraft improvement is recorded to the extent the improvement is substantiated and deemed to meet the Company’s capitalization policy; (ii) the lessee pays the Company cash compensation at lease expiry in excess of the value of the maintenance right asset, the maintenance right asset is relieved, and any excess is recognized as end of lease income; or (iii) the lessee pays the Company cash compensation at lease expiry that is less than the value of the maintenance right asset, the cash is applied to the maintenance right asset, and the balance of such asset is relieved and recorded as an aircraft improvement to the extent the improvement is substantiated and meets the Company’s capitalization policy. Any aircraft improvement will be depreciated over a period to the next scheduled maintenance event in accordance with the Company’s policy with respect to major maintenance and included in Depreciation of flight equipment on the Company’s Consolidated Statements of Income. When the Company has recorded maintenance right liabilities with respect to EOL Leases, the following accounting scenarios exist: (i) the aircraft is returned at lease expiry in the contractually specified maintenance condition without any cash payment by the Company to the lessee, the maintenance right liability is relieved, and end of lease income is recognized; (ii) the Company pays the lessee cash compensation at lease expiry of less than the value of the maintenance right liability, the maintenance right liability is relieved, and any difference is recognized as end of lease income; or (iii) the Company pays the lessee cash compensation at lease expiry in excess of the value of the maintenance right liability, the maintenance right liability is relieved, and the excess amount is recorded as an aircraft improvement to the extent that it meets our capitalization policy. (ii) MR Leases Under MR Leases, the lessee is required to make periodic payments to us for maintenance based upon planned usage of the aircraft. When a Qualifying Event occurs during the lease term, the Company is required to reimburse the lessee for the costs associated with such an event. At the end of lease, the Company is entitled to retain any cash receipts in excess of the required reimbursements to the lessee. Maintenance right assets in MR Leases represent the right to receive an aircraft in an improved condition relative to the actual condition on the acquisition date. The aircraft is improved by the performance of a Qualifying Event paid for by the lessee who is reimbursed by the Company from the periodic maintenance payments that it receives. Maintenance right assets are recorded as a component of Flight equipment subject to operating leases on the Consolidated Balance Sheets. When the Company has recorded maintenance right assets with respect to MR Leases, the following accounting scenarios exist: (i) the aircraft is returned at lease expiry and no Qualifying Event has been performed by the lessee since the acquisition date, the maintenance right asset is offset by the amount of the associated maintenance payment liability, and any excess is recorded as end of lease income; or (ii) the Company has reimbursed the lessee for the performance of a Qualifying Event, the maintenance right asset is relieved, and an aircraft improvement is recorded to the extent that it meets our capitalization policy. As of December 31, 2021 and 2020, there were no maintenance right liabilities for MR Leases. When flight equipment is sold, maintenance rights are included in the calculation of the disposition gain or loss. |
Flight equipment held for sale | Flight equipment held for saleManagement evaluates all contemplated aircraft sale transactions to determine whether all the required criteria have been met under Generally Accepted Accounting Principles (“GAAP”) to classify aircraft as flight equipment held for sale. Management uses judgment in evaluating these criteria. Due to the significant uncertainties of potential sale transactions, the held for sale criteria generally will not be met unless the aircraft is subject to a signed sale agreement, or management has made a specific determination and obtained appropriate approvals to sell a particular aircraft or group of aircraft. Aircraft classified as flight equipment held for sale are recognized at the lower of their carrying amount or estimated fair value less estimated costs to sell. At the time aircraft are classified as flight equipment held for sale, depreciation expense is no longer recognized. |
Capitalized interest | Capitalized interest The Company may borrow funds to finance deposits on new flight equipment purchases. The Company capitalizes interest expense on such borrowings. The capitalized amount is calculated using our composite borrowing rate and is recorded as an increase to the cost of the flight equipment on our Consolidated Balance Sheets at the time of purchase. |
Fair value measurements | Fair value measurements Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company measures the fair value of certain assets on a non-recurring basis, principally our flight equipment, when GAAP requires the application of fair value, including events or changes in circumstances that indicate that the carrying amounts of assets may not be recoverable. The Company records flight equipment at fair value when we determine the carrying value may not be recoverable. The Company principally uses the income approach to measure the fair value of flight equipment. The income approach is based on the present value of cash flows from contractual lease agreements and projected future lease payments, including contingent rentals, net of expenses, which extend to the end of the aircraft’s economic life in its highest and best use configuration, as well as a disposition value based on expectations of market participants. These valuations are considered Level 3 valuations, as the valuations contain significant non-observable inputs. |
Income taxes | Income taxes The Company uses the asset and liability method of accounting for income taxes. Under the asset and liability method, deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. The effect on deferred taxes of a change in the tax rates is recognized in income in the period that includes the enactment date. The Company records a valuation allowance for deferred tax assets when the probability of realization of the full value of the asset is less than 50%. The Company recognizes the impact of a tax position, if that position is more than 50% likely to be sustained on audit, based on the technical merits of the position. Recognized income tax positions are measured at the largest amount that is greater than 50% likely to be realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company recognizes interest and penalties for uncertain tax positions in income tax expense. |
Deferred costs | Deferred costs The Company incurs debt issuance costs in connection with debt financings. Those costs are deferred and amortized over the life of the specific loan using the effective interest method and charged to interest expense. The Company also incurs costs in connection with equity offerings. Such costs are deferred until the equity offering is completed and either netted against the equity raised, or expensed if the equity offering is abandoned. |
Aircraft under management | Aircraft under management The Company manages aircraft across three management platforms: (i) its Thunderbolt platform, (ii) the Blackbird investment funds and (iii) on behalf of financial institutions as of December 31, 2021. The Company manages aircraft on behalf of two investment funds, Blackbird Capital I, LLC (“Blackbird I”) and Blackbird Capital II, LLC (“Blackbird II”). The Company owns non-controlling interests in each fund representing 9.5% of the equity of each fund. These investments are accounted for using the equity method of accounting due to the Company’s level of influence and involvement. The investments are recorded at the amount invested net of the Company’s 9.5% share of net income or loss, less any distributions or return of capital received from the entities. Also, the Company manages aircraft that it has sold through its Thunderbolt platform. The Company’s Thunderbolt platform facilitates the sale of mid-life aircraft to investors while allowing to continue the management of these aircraft for a fee. In connection with the sale of aircraft portfolios through the Company’s Thunderbolt platform, the Company has non-controlling interests of approximately 5.0% in two entities. These investments are accounted for using the cost method of accounting and are recorded at the amount invested less any return of capital received from the respective entity. |
Stock-based compensation | Stock-based compensation Stock-based compensation cost is measured at the grant date based on the fair value of the award. Stock-based compensation expense is recognized over the requisite service periods of the awards on a straight-line basis. |
Reclassifications | Reclassifications Certain reclassifications have been made in the prior year’s consolidated financial statements to conform to the classifications in 2021. |
Use of estimates | Use of estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of cash and cash equivalents and restricted cash | The following table reconciles cash, cash equivalents and restricted cash reported in the Company’s Consolidated Balance Sheets to the total amount presented in our consolidated statement of cash flows (in thousands): December 31, 2021 December 31, 2020 Cash and cash equivalents $ 1,086,500 $ 1,734,155 Restricted cash 21,792 23,612 Total cash, cash equivalents and restricted cash in the consolidated statements of cash flows $ 1,108,292 $ 1,757,767 |
Debt Financing (Tables)
Debt Financing (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Summary of consolidated debt | The Company’s consolidated debt as of December 31, 2021 and 2020 is summarized below: December 31, 2021 December 31, 2020 (in thousands) Unsecured Senior notes $ 16,892,058 $ 15,583,544 Term financings 167,000 811,550 Total unsecured debt financing 17,059,058 16,395,094 Secured Term financings 126,660 276,032 Export credit financing 18,301 24,955 Total secured debt financing 144,961 300,987 Total debt financing 17,204,019 16,696,081 Less: Debt discounts and issuance costs (181,539) (177,743) Debt financing, net of discounts and issuance costs $ 17,022,480 $ 16,518,338 |
Schedule of secured obligations | The Company’s secured obligations as of December 31, 2021 and 2020 are summarized below: December 31, 2021 December 31, 2020 (in thousands, except for number of aircraft) Nonrecourse $ — $ — Recourse 144,961 300,987 Total $ 144,961 $ 300,987 Number of aircraft pledged as collateral 3 12 Net book value of aircraft pledged as collateral $ 222,211 $ 628,674 |
Schedule of maturities of debt outstanding | Maturities of debt outstanding as of December 31, 2021 are as follows: (in thousands) Years ending December 31, 2022 $ 2,133,882 2023 2,490,951 2024 2,892,276 2025 2,313,889 2026 3,456,845 Thereafter 3,916,176 Total $ 17,204,019 |
Interest Expense (Tables)
Interest Expense (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Interest Expense [Abstract] | |
Schedule of components of interest | The following table shows the components of interest for the years ended December 31, 2021, 2020 and 2019: Year Ended Year Ended Year Ended (in thousands) Interest on borrowings $ 511,466 $ 484,896 $ 456,678 Less capitalized interest (49,070) (53,163) (59,358) Interest 462,396 431,733 397,320 Amortization of discounts and deferred debt issue costs 50,620 43,025 36,691 Interest expense $ 513,016 $ 474,758 $ 434,011 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Schedule of preferred stock issued and outstanding | The following table summarizes the Company’s preferred stock issued and outstanding as of December 31, 2021 (in thousands, except for share and per share amounts and percentages): Shares Issued and Outstanding as of December 31, 2021 Carrying Value as of December 31, 2021 Issue Date Dividend Rate in Effect at December 31, 2021 Dividend rate reset date Dividend rate after reset date (in thousands) Fixed-to-floating-rate: Series A 10,000,000 $ 250,000 March 5, 2019 6.150 % March 15, 2024 3M LIBOR plus 3.65% Fixed-rate reset: Series B 300,000 300,000 March 2, 2021 4.650 % June 15, 2026 5 Yr U.S. Treasury plus 4.076% Fixed-rate reset: Series C 300,000 300,000 October 13, 2021 4.125 % December 15, 2026 5 Yr U.S. Treasury plus 3.149% Total Preferred Stock 10,600,000 $ 850,000 |
Rental Income (Tables)
Rental Income (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Schedule of minimum future rentals on non-cancellable operating leases of flight equipment | At December 31, 2021, minimum future rentals on non-cancellable operating leases of flight equipment in the Company’s fleet, which have been delivered as of December 31, 2021, are as follows: (in thousands) Years ending December 31, 2022 $ 2,122,770 2023 1,996,285 2024 1,868,045 2025 1,707,558 2026 1,512,894 Thereafter 5,554,732 Total $ 14,762,284 |
Schedule of lease terminations by aircraft type for operating lease portfolio | The following table shows the scheduled lease terminations (for the minimum non-cancellable period which does not include contracted unexercised lease extension options) of the Company’s owned aircraft portfolio, excluding one aircraft currently off lease: Aircraft Type 2022 2023 2024 2025 2026 Thereafter Total Airbus A319-100 — — — 1 — — 1 Airbus A320-200 9 3 6 10 1 1 30 Airbus A320-200neo — — 1 — — 22 23 Airbus A321-200 2 7 1 4 9 3 26 Airbus A321-200neo — — 4 — 2 63 69 Airbus A330-200 1 3 3 4 — 2 13 Airbus A330-300 1 2 — 1 — 4 8 Airbus A330-900neo — 1 — — — 8 9 Airbus A350-900 — — — — 1 11 12 Airbus A350-1000 — — — — — 5 5 Boeing 737-700 — 2 2 — — — 4 Boeing 737-800 7 15 7 18 18 23 88 Boeing 737-8 MAX — — 1 6 — 21 28 Boeing 737-9 MAX — — — — — 7 7 Boeing 777-200ER — — — 1 — — 1 Boeing 777-300ER 1 2 — 2 7 12 24 Boeing 787-9 — — — — 1 25 26 Boeing 787-10 — — — — — 6 6 Embraer E190 — — 1 — — — 1 Total 21 35 26 47 39 213 381 |
Concentration of Risk (Tables)
Concentration of Risk (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
Schedule of concentration of risk by regions | The following table sets forth the regional concentration based on each airline's principal place of business of the Company’s flight equipment subject to operating leases based on net book value as of December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Region Net Book Value % of Total Net Book Value % of Total (in thousands, except percentages) Europe $ 7,439,993 32.5 % $ 6,413,557 31.4 % Asia (excluding China) 5,952,981 26.0 % 5,513,498 27.1 % China 2,934,224 12.8 % 2,766,543 13.5 % The Middle East and Africa 2,447,919 10.7 % 2,356,418 11.6 % U.S. and Canada 1,638,450 7.2 % 1,298,974 6.4 % Central America, South America and Mexico 1,566,133 6.8 % 1,074,792 5.3 % Pacific, Australia, and New Zealand 919,304 4.0 % 956,568 4.7 % Total $ 22,899,004 100.0 % $ 20,380,350 100.0 % At December 31, 2021 and 2020, we owned and managed leased aircraft to customers in the following regions based on each airline's principal place of business: December 31, 2021 December 31, 2020 Region Number of Customers (1) % of Total Number of Customers (1) % of Total Europe 50 42.5 % 48 42.9 % Asia (excluding China) 22 18.6 % 20 17.8 % The Middle East and Africa 14 11.9 % 14 12.5 % U.S. and Canada 13 11.0 % 11 9.8 % China 9 7.6 % 9 8.0 % Central America, South America and Mexico 7 5.9 % 7 6.3 % Pacific, Australia, and New Zealand 3 2.5 % 3 2.7 % Total 118 100.0 % 112 100.0 % (1) A customer is an airline with its own operating certificate. |
Schedule of rental of flight equipment revenues from flight equipment subject to operating leases | The following table sets forth the dollar amount and percentage of the Company’s Rental of flight equipment revenues from our flight equipment subject to operating leases attributable to the indicated regions based on each airline’s principal place of business: Year Ended Year Ended Year Ended Region Amount of Rental Revenue % of Total Amount of Rental Revenue % of Total Amount of Rental Revenue % of Total (in thousands, except percentages) Europe $ 564,479 28.2 % $ 525,543 27.0 % $ 531,778 27.7 % Asia (excluding China) 558,020 27.9 % 573,722 29.5 % 484,017 25.3 % China 352,375 17.6 % 341,121 17.5 % 357,278 18.6 % The Middle East and Africa 210,977 10.5 % 220,017 11.3 % 226,932 11.8 % U.S. and Canada 130,717 6.5 % 106,694 5.5 % 98,627 5.1 % Central America, South America and Mexico 104,315 5.2 % 88,113 4.5 % 124,850 6.6 % Pacific, Australia, and New Zealand 82,454 4.1 % 91,410 4.7 % 93,387 4.9 % Total $ 2,003,337 100.0 % $ 1,946,620 100.0 % $ 1,916,869 100.0 % |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of provision for income taxes | The provision for income taxes consists of the following: Year Ended 2021 2020 2019 (in thousands) Current: Federal $ — $ (38,520) $ 38,520 State 184 (107) 1,025 Foreign 6,754 2,574 2,937 Deferred: Federal 94,050 163,002 91,243 State 3,396 3,465 14,839 Foreign — — — Income tax expense $ 104,384 $ 130,414 $ 148,564 |
Schedule of differences between the provision for income taxes and income taxes at the statutory federal income tax rate | Differences between the provision for income taxes and income taxes at the statutory federal income tax rate are as follows: Year Ended 2021 2020 2019 Amount Percent Amount Percent Amount Percent (in thousands, except percentages) Income taxes at statutory federal rate $ 113,613 21.0 % $ 135,802 21.0 % $ 154,494 21.0 % Foreign tax credit (15,651) (2.9) (9,464) (1.5) (18,231) (2.5) State income taxes, net of federal income tax effect and other 2,828 0.5 2,653 0.4 12,532 1.7 Other 3,594 0.7 1,423 0.2 (231) — Income tax expense $ 104,384 19.3 % $ 130,414 20.1 % $ 148,564 20.2 % |
Schedule of net deferred tax assets (liabilities) | As of December 31, 2021 and 2020, the Company’s net deferred tax assets (liabilities) are as follows: December 31, 2021 December 31, 2020 (in thousands) Deferred tax assets Net operating losses $ 127,591 $ 24,206 Foreign tax credit 78,286 60,160 Rents received in advance 26,702 28,007 Other 19,743 5,383 Equity compensation 4,462 3,386 Accrued bonus 4,349 1,126 Total deferred tax assets 261,133 122,268 Deferred tax liabilities Aircraft depreciation $ (1,219,061) $ (995,023) Straight-line rents (55,342) (43,649) Total deferred tax liabilities $ (1,274,403) $ (1,038,672) Net deferred tax assets/(liabilities) $ (1,013,270) $ (916,404) |
Summary of net operating loss carryforwards expiration | The Company's loss and tax credit carryforwards expire in the following periods: NOL Carryforwards Tax Credit Carryforwards (in thousands) 2022-2026 $ — $ 11,935 Thereafter 624,538 66,404 Total carryforwards $ 624,538 $ 78,339 |
Summary of tax credit carryforwards expiration | The Company's loss and tax credit carryforwards expire in the following periods: NOL Carryforwards Tax Credit Carryforwards (in thousands) 2022-2026 $ — $ 11,935 Thereafter 624,538 66,404 Total carryforwards $ 624,538 $ 78,339 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of commitments to acquire aircraft | Estimated Delivery Years Aircraft Type 2022 2023 2024 2025 2026 Thereafter Total Airbus A220-100/300 4 17 23 20 12 — 76 Airbus A320/321neo (1) 27 24 26 23 32 64 196 Airbus A330-900neo 8 6 4 — — — 18 Airbus A350-900/1000 3 3 3 — — — 9 Airbus A350F — — — — 2 5 7 Boeing 737-7/8/9 MAX (2) 33 31 35 2 — — 101 Boeing 787-9/10 (2) 10 3 6 5 — — 24 Total (3)(4) 85 84 97 50 46 69 431 (1) The Company's Airbus A320/321neo aircraft orders include 28 long-range variants and 49 extra long-range variants. (2) The table above reflects the conversion for three 787-9 aircraft to 18 737 MAX aircraft pursuant to a February 2022 agreement with Boeing. (3) The table above reflects Airbus and Boeing aircraft delivery delays based on information currently available to us based on contractual documentation. (4) Excluded from the table above are orders for 32 Boeing 737 MAX aircraft pursuant to a February 2022 memorandum of understanding signed with Boeing. |
Schedule of commitments for the acquisition of aircraft | Commitments for the acquisition of these aircraft, calculated at an estimated aggregate purchase price (including adjustments for anticipated inflation) of approximately $27.7 billion as of December 31, 2021 are as follows: (in thousands) Years ending December 31, 2022 $ 6,533,876 2023 5,399,461 2024 5,571,342 2025 3,041,583 2026 2,730,867 Thereafter 4,454,212 Total $ 27,731,341 |
Net Earnings Per Share (Tables)
Net Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of reconciliation of basic and diluted net income per share | The following table sets forth the reconciliation of basic and diluted net earnings per share: Year Ended December 31, 2021 Year Ended December 31, 2020 Year Ended December 31, 2019 (in thousands, except share and per share amounts) Basic earnings per share: Numerator Net income $ 436,632 $ 516,264 $ 587,121 Preferred stock dividends (28,473) (15,375) (11,958) Net income available to common stockholders $ 408,159 $ 500,889 $ 575,163 Denominator Weighted-average common shares outstanding 114,050,578 113,684,782 111,895,433 Basic earnings per share $ 3.58 $ 4.41 $ 5.14 Diluted earnings per share: Numerator Net income $ 436,632 $ 516,264 $ 587,121 Preferred stock dividends (28,473) (15,375) (11,958) Net income available to common stockholders $ 408,159 $ 500,889 $ 575,163 Denominator Number of shares used in basic computation 114,050,578 113,684,782 111,895,433 Weighted-average effect of dilutive securities 395,515 329,239 1,190,890 Number of shares used in per share computation 114,446,093 114,014,021 113,086,323 Diluted earnings per share $ 3.57 $ 4.39 $ 5.09 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Summary of activities for unvested RSUs | The following table summarizes the activities for our unvested RSUs for the year ended December 31, 2021: Unvested Restricted Stock Units Number of Shares Weighted‑ Unvested at December 31, 2020 1,466,060 $ 42.03 Granted 597,728 $ 47.64 Vested (423,402) $ 41.91 Forfeited/canceled (68,971) $ 49.21 Unvested at December 31, 2021 1,571,415 $ 43.88 Expected to vest after December 31, 2021 1,547,915 $ 44.45 |
Summary of stock option activity | A summary of stock option activity in accordance with the Company’s stock option plan for the year ended December 31, 2021 follows: Shares Exercise Remaining Aggregate Intrinsic Value (in thousands) (1) Balance at December 31, 2018 2,620,295 $ 20.40 1.49 25,697 Granted — — — — Exercised (2,256,142) $ 20.00 — 46,358 Forfeited/canceled — — — — Balance at December 31, 2019 364,153 $ 22.90 0.75 8,965 Granted — — — — Exercised (314,153) $ 21.96 — 3,972 Forfeited/canceled — — — — Balance at December 31, 2020 50,000 $ 28.80 0.32 781 Granted — — — — Exercised (50,000) $ 28.80 — 993 Forfeited/canceled — — — — Balance at December 31, 2021 — $ — 0.00 — (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. |
Net Investment in Sales-type _2
Net Investment in Sales-type Lease (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Summary of components of investment in sales-type leases, net | The Company’s investment in sales-type lease consisted of the following: December 31, 2021 Future minimum lease payments to be received $ 24,805 Estimated residual values of leased flight equipment 9,169 Less: Unearned income (5,545) Investment in Sales-type Lease $ 28,429 |
Schedule of future minimum lease payments to be received on sales-type lease | As of December 31, 2021, future minimum lease payments to be received on sales-type lease were as follows: (in thousands) Years ending December 31, 2022 $ 2,255 2023 2,460 2024 2,460 2025 2,460 2026 2,460 Thereafter 12,710 Total $ 24,805 |
Subsequent Events (Tables)
Subsequent Events (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Schedule of dividends declared | The following table summarizes the details of the dividends that were declared: Title of each class Cash dividend per share Record Date Payment Date Class A Common Stock $ 0.185 March 18, 2022 April 7, 2022 Series A Preferred Stock $ 0.384375 February 28, 2022 March 15, 2022 Series B Preferred Stock $ 11.625 February 28, 2022 March 15, 2022 Series C Preferred Stock $ 10.3125 February 28, 2022 March 15, 2022 In addition, the Company’s board of directors approved a new share repurchase program, which authorized repurchase of up to $150.0 million of the Company’s Class A common stock through September 30, 2022. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) | 1 Months Ended | 12 Months Ended | |
Feb. 17, 2022aircraft | Dec. 31, 2021USD ($)provisionaircraft_management_platformaircraftentityjoint_venture | Dec. 31, 2020USD ($)aircraft | |
Schedule of Equity Method Investments [Line Items] | |||
Number of aircraft owned | 382 | ||
Number of aircraft on order with manufacturers | 431 | ||
Aircraft useful life | 25 years | ||
Aircraft, residual value | 15.00% | ||
Number of lease provisions for lessee to satisfy maintenance requirement | provision | 2 | ||
Maintenance right liabilities | $ | $ 0 | $ 0 | |
Flight equipment subject to operating leases | $ | 0 | ||
Air craft, accumulated depreciation | $ | $ 4,202,804,000 | $ 3,349,392,000 | |
Number of aircraft held-for-sale | 0 | 0 | |
Number of aircraft management platforms | aircraft_management_platform | 3 | ||
Percentage of non-controlling interest ownership, number of entities | entity | 2 | ||
B-787-9 | Subsequent Event | |||
Schedule of Equity Method Investments [Line Items] | |||
Purchase commitment, number of aircraft converted | 3 | ||
B-737-Max as a Result of Conversion of B-787 | Subsequent Event | |||
Schedule of Equity Method Investments [Line Items] | |||
Purchase commitment, number of aircraft | 18 | ||
Blackbird I and Blackbird II | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of joint ventures participated in | joint_venture | 2 | ||
Percentage of equity ownership | 9.50% | ||
Thunderbolt II And Thunderbolt III | |||
Schedule of Equity Method Investments [Line Items] | |||
Percentage of non-controlling interest ownership | 5.00% | ||
Aircraft Improvement Assets | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of aircraft purchased | 0 | 15 | |
Maintenance Right Assets | |||
Schedule of Equity Method Investments [Line Items] | |||
Air craft, accumulated depreciation | $ | $ 17,600,000 | $ 17,800,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Cash and Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | ||||
Cash and cash equivalents | $ 1,086,500 | $ 1,734,155 | ||
Restricted cash | 21,792 | 23,612 | ||
Total cash, cash equivalents and restricted cash in the consolidated statements of cash flows | $ 1,108,292 | $ 1,757,767 | $ 338,061 | $ 322,998 |
Debt Financing - Consolidated D
Debt Financing - Consolidated Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Total debt financing | $ 17,204,019 | $ 16,696,081 |
Less: Debt discounts and issuance costs | (181,539) | (177,743) |
Debt financing, net of discounts and issuance costs | 17,022,480 | 16,518,338 |
Total unsecured debt financing | ||
Debt Instrument [Line Items] | ||
Total debt financing | 17,059,058 | 16,395,094 |
Senior notes | ||
Debt Instrument [Line Items] | ||
Total debt financing | 16,892,058 | 15,583,544 |
Term financings | ||
Debt Instrument [Line Items] | ||
Total debt financing | 167,000 | 811,550 |
Total secured debt financing | ||
Debt Instrument [Line Items] | ||
Total debt financing | 144,961 | 300,987 |
Term financings | ||
Debt Instrument [Line Items] | ||
Total debt financing | 126,660 | 276,032 |
Export credit financing | ||
Debt Instrument [Line Items] | ||
Total debt financing | $ 18,301 | $ 24,955 |
Debt Financing - Secured Obliga
Debt Financing - Secured Obligations (Details) - Secured Debt $ in Thousands | Dec. 31, 2021USD ($)aircraft | Dec. 31, 2020USD ($)aircraft |
Debt Instrument [Line Items] | ||
Nonrecourse | $ 0 | $ 0 |
Recourse | 144,961 | 300,987 |
Total | $ 144,961 | $ 300,987 |
Number of aircraft pledged as collateral | aircraft | 3 | 12 |
Net book value of aircraft pledged as collateral | $ 222,211 | $ 628,674 |
Debt Financing - Narrative (Det
Debt Financing - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Jan. 31, 2022 | |
Debt Instrument [Line Items] | |||
Outstanding balance | $ 17,204,019,000 | $ 16,696,081,000 | |
Outstanding balance | 17,022,480,000 | 16,518,338,000 | |
Senior notes | |||
Debt Instrument [Line Items] | |||
Outstanding balance | $ 16,892,058,000 | $ 15,583,544,000 | |
Senior notes | LIBOR | |||
Debt Instrument [Line Items] | |||
Interest margin | 1.125% | 1.125% | |
Senior notes | Three Month London Interbank Offered Rate Libor | |||
Debt Instrument [Line Items] | |||
Interest margin | 0.35% | 0.67% | |
Senior notes | Minimum | |||
Debt Instrument [Line Items] | |||
Remaining term | 1 month | ||
Interest rate | 0.70% | 2.25% | |
Senior notes | Maximum | |||
Debt Instrument [Line Items] | |||
Remaining term | 8 years 11 months 1 day | ||
Interest rate | 4.625% | 4.625% | |
Medium Term Note Program | Senior notes | |||
Debt Instrument [Line Items] | |||
Principal amount issued | $ 3,700,000,000 | ||
Medium Term Note Program, $750 Million, Due 2024 | Senior notes | |||
Debt Instrument [Line Items] | |||
Interest rate | 0.70% | ||
Principal amount issued | $ 750,000,000 | ||
Medium Term Note Program, $1.2 Billion Due 2026 | Senior notes | |||
Debt Instrument [Line Items] | |||
Interest rate | 1.875% | ||
Principal amount issued | $ 1,200,000,000 | ||
Medium Term Note Program, $600 Million, Due 2022 | Senior notes | |||
Debt Instrument [Line Items] | |||
Interest rate | 0.35% | ||
Principal amount issued | $ 600,000,000 | ||
Medium Term Note Program, $600 Million, Due 2024 | Senior notes | |||
Debt Instrument [Line Items] | |||
Interest rate | 0.80% | ||
Principal amount issued | $ 600,000,000 | ||
Medium Term Note Program, $500 Million, Due 2028 | Senior notes | |||
Debt Instrument [Line Items] | |||
Interest rate | 2.10% | ||
Principal amount issued | $ 500,000,000 | ||
Medium Term Note Program Due 2027 | Senior notes | Subsequent Event | |||
Debt Instrument [Line Items] | |||
Interest rate | 2.20% | ||
Principal amount issued | $ 750,000,000 | ||
Medium Term Note Program Due 2032 | Senior notes | Subsequent Event | |||
Debt Instrument [Line Items] | |||
Interest rate | 287.50% | ||
Principal amount issued | $ 750,000,000 | ||
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Outstanding balance | $ 0 | $ 0 | |
Facility fee | 0.20% | ||
Maximum borrowing capacity | $ 6,800,000,000 | ||
Increase in maximum capacity from prior period | 13.30% | ||
Revolving Credit Facility | LIBOR | |||
Debt Instrument [Line Items] | |||
Interest margin | 1.05% | ||
Revolving Credit Facility | Base Rate | |||
Debt Instrument [Line Items] | |||
Interest margin | 0.05% | ||
Unsecured Revolving Credit Facility Mature May 5, 2025 | Debt Instrument, Redemption, May 5, 2023 | |||
Debt Instrument [Line Items] | |||
Line of credit maturity amount | $ 6,100,000,000 | ||
Unsecured Revolving Credit Facility Mature May 5, 2023 | Debt Instrument, Redemption, May 5, 2022 | |||
Debt Instrument [Line Items] | |||
Line of credit maturity amount | 575,000,000 | ||
Unsecured Revolving Credit Facility Mature May 5, 2022 | Debt Instrument, Redemption, May 5, 2021 | |||
Debt Instrument [Line Items] | |||
Line of credit maturity amount | 105,000,000 | ||
Other Debt Financings | |||
Debt Instrument [Line Items] | |||
Outstanding balance | $ 312,000,000 | $ 1,100,000,000 | |
Other Debt Financings | Minimum | |||
Debt Instrument [Line Items] | |||
Debt term | 3 months | ||
Other Debt Financings | Maximum | |||
Debt Instrument [Line Items] | |||
Debt term | 7 years 9 months 18 days |
Debt Financing - Maturities of
Debt Financing - Maturities of Debt Outstanding (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Disclosure [Abstract] | ||
2022 | $ 2,133,882 | |
2023 | 2,490,951 | |
2024 | 2,892,276 | |
2025 | 2,313,889 | |
2026 | 3,456,845 | |
Thereafter | 3,916,176 | |
Total | $ 17,204,019 | $ 16,696,081 |
Interest Expense (Details)
Interest Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Interest Expense [Abstract] | |||
Interest on borrowings | $ 511,466 | $ 484,896 | $ 456,678 |
Less capitalized interest | (49,070) | (53,163) | (59,358) |
Interest | 462,396 | 431,733 | 397,320 |
Amortization of discounts and deferred debt issue costs | 50,620 | 43,025 | 36,691 |
Interest expense | $ 513,016 | $ 474,758 | $ 434,011 |
Shareholders' Equity - Narrativ
Shareholders' Equity - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | Mar. 02, 2021 | Mar. 05, 2019 | Oct. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 |
Class of Stock [Line Items] | |||||
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 | |||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Preferred stock, issued (in shares) | 10,600,000 | ||||
Preferred stock, outstanding (in shares) | 10,600,000 | ||||
Preferred stock, aggregate liquidation preference | $ 850,000 | ||||
Number of shares repurchased | 153,949 | ||||
Shares repurchased, average cost (in dollars per share) | $ 37.55 | ||||
Class A Common Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, authorized (in shares) | 500,000,000 | 500,000,000 | |||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Common stock, issued (in shares) | 113,987,154 | 113,852,896 | |||
Common stock, outstanding (in shares) | 113,987,154 | 113,852,896 | |||
Class B Non‑Voting Common Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, authorized (in shares) | 10,000,000 | 10,000,000 | |||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Common stock, issued (in shares) | 0 | 0 | |||
Common stock, outstanding (in shares) | 0 | 0 | |||
Series A Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, par value (in dollars per share) | $ 0.01 | ||||
Preferred stock, issued (in shares) | 10,000,000 | 10,000,000 | 10,000,000 | ||
Preferred stock, outstanding (in shares) | 10,000,000 | 10,000,000 | |||
Preferred stock, dividend rate | 6.15% | 6.15% | |||
Preferred stock, dividend rate, period | 5 years | ||||
Preferred stock, aggregate liquidation preference | $ 250,000 | $ 250,000 | |||
Preferred stock, liquidation preference (in dollars per share) | $ 25 | $ 25 | |||
Series B Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, par value (in dollars per share) | $ 0.01 | ||||
Preferred stock, par value (in dollars per share) | $ 0.01 | ||||
Preferred stock, issued (in shares) | 300,000 | 300,000 | |||
Preferred stock, outstanding (in shares) | 300,000 | ||||
Preferred stock, dividend rate | 4.65% | 4.65% | |||
Preferred stock, aggregate liquidation preference | $ 300,000 | ||||
Preferred stock, liquidation preference (in dollars per share) | $ 1,000 | ||||
Preferred stock, dividend rate (in dollars per share) | $ 1,000 | ||||
Preferred stock, dividend rate, reset period | 5 years | ||||
Preferred stock, redemption price (in dollars per share) | 1,000 | ||||
Series C Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Common stock, par value (in dollars per share) | $ 0.01 | ||||
Preferred stock, issued (in shares) | 300,000 | 300,000 | |||
Preferred stock, outstanding (in shares) | 300,000 | ||||
Preferred stock, dividend rate | 4.125% | 4.125% | |||
Preferred stock, aggregate liquidation preference | $ 300,000 | ||||
Preferred stock, liquidation preference (in dollars per share) | $ 1,000 | ||||
Preferred stock, dividend rate (in dollars per share) | $ 1,000 | ||||
Preferred stock, dividend rate, reset period | 5 years | ||||
Preferred stock, redemption price (in dollars per share) | $ 1,000 | ||||
LIBOR | Series A Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, dividend rate | 3.65% | ||||
Preferred stock, dividend rate, basis spread | 3.65% | ||||
US Treasury (UST) Interest Rate | Series B Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, dividend rate, basis spread | 4.076% | 4.076% | |||
US Treasury (UST) Interest Rate | Series C Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, dividend rate, basis spread | 3.149% | 3.149% |
Shareholders' Equity - Preferre
Shareholders' Equity - Preferred Stock Issued and Outstanding (Details) - USD ($) $ in Thousands | Mar. 02, 2021 | Mar. 05, 2019 | Oct. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 |
Class of Stock [Line Items] | |||||
Preferred stock, issued (in shares) | 10,600,000 | ||||
Preferred stock, outstanding (in shares) | 10,600,000 | ||||
Preferred stock, aggregate liquidation preference (in dollars) | $ 850,000 | ||||
Series A Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, issued (in shares) | 10,000,000 | 10,000,000 | 10,000,000 | ||
Preferred stock, outstanding (in shares) | 10,000,000 | 10,000,000 | |||
Preferred stock, aggregate liquidation preference (in dollars) | $ 250,000 | $ 250,000 | |||
Preferred stock, dividend rate | 6.15% | 6.15% | |||
Series A Preferred Stock | LIBOR | |||||
Class of Stock [Line Items] | |||||
Preferred stock, dividend rate | 3.65% | ||||
Preferred stock, dividend rate, basis spread | 3.65% | ||||
Series B Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, issued (in shares) | 300,000 | 300,000 | |||
Preferred stock, outstanding (in shares) | 300,000 | ||||
Preferred stock, aggregate liquidation preference (in dollars) | $ 300,000 | ||||
Preferred stock, dividend rate | 4.65% | 4.65% | |||
Series B Preferred Stock | US Treasury (UST) Interest Rate | |||||
Class of Stock [Line Items] | |||||
Preferred stock, dividend rate, basis spread | 4.076% | 4.076% | |||
Series C Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Preferred stock, issued (in shares) | 300,000 | 300,000 | |||
Preferred stock, outstanding (in shares) | 300,000 | ||||
Preferred stock, aggregate liquidation preference (in dollars) | $ 300,000 | ||||
Preferred stock, dividend rate | 4.125% | 4.125% | |||
Series C Preferred Stock | US Treasury (UST) Interest Rate | |||||
Class of Stock [Line Items] | |||||
Preferred stock, dividend rate, basis spread | 3.149% | 3.149% |
Rental Income - Minimum Future
Rental Income - Minimum Future Rentals on Non-Cancellable Operating Leases of Flight Equipment (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Leases [Abstract] | |
2022 | $ 2,122,770 |
2023 | 1,996,285 |
2024 | 1,868,045 |
2025 | 1,707,558 |
2026 | 1,512,894 |
Thereafter | 5,554,732 |
Total | $ 14,762,284 |
Rental Income - Narrative (Deta
Rental Income - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Maintenance reserve revenue | $ 44.2 | $ 11.3 | $ 43.9 |
Rental Income - Lease terminati
Rental Income - Lease terminations by Aircraft Type for Operating Lease Portfolio (Details) | 12 Months Ended |
Dec. 31, 2021aircraft | |
Lease Terminations by Aircraft Type [Line Items] | |
Number of aircrafts currently off lease | 1 |
2022 | 21 |
2023 | 35 |
2024 | 26 |
2025 | 47 |
2026 | 39 |
Thereafter | 213 |
Total | 381 |
Airbus A319-100 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 1 |
2026 | 0 |
Thereafter | 0 |
Total | 1 |
Airbus A320-200 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 9 |
2023 | 3 |
2024 | 6 |
2025 | 10 |
2026 | 1 |
Thereafter | 1 |
Total | 30 |
Airbus A320-200neo | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 1 |
2025 | 0 |
2026 | 0 |
Thereafter | 22 |
Total | 23 |
Airbus A321-200 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 2 |
2023 | 7 |
2024 | 1 |
2025 | 4 |
2026 | 9 |
Thereafter | 3 |
Total | 26 |
Airbus A321-200neo | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 4 |
2025 | 0 |
2026 | 2 |
Thereafter | 63 |
Total | 69 |
Airbus A330-200 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 1 |
2023 | 3 |
2024 | 3 |
2025 | 4 |
2026 | 0 |
Thereafter | 2 |
Total | 13 |
Airbus A330-300 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 1 |
2023 | 2 |
2024 | 0 |
2025 | 1 |
2026 | 0 |
Thereafter | 4 |
Total | 8 |
Airbus A330-900neo | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 1 |
2024 | 0 |
2025 | 0 |
2026 | 0 |
Thereafter | 8 |
Total | 9 |
Airbus A350-900 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
2026 | 1 |
Thereafter | 11 |
Total | 12 |
Airbus A350-1000 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
2026 | 0 |
Thereafter | 5 |
Total | 5 |
Boeing 737-700 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 2 |
2024 | 2 |
2025 | 0 |
2026 | 0 |
Thereafter | 0 |
Total | 4 |
Boeing 737-800 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 7 |
2023 | 15 |
2024 | 7 |
2025 | 18 |
2026 | 18 |
Thereafter | 23 |
Total | 88 |
Boeing 737-8 MAX | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 1 |
2025 | 6 |
2026 | 0 |
Thereafter | 21 |
Total | 28 |
Boeing 737-9 MAX | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
2026 | 0 |
Thereafter | 7 |
Total | 7 |
Boeing 777-200ER | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 1 |
2026 | 0 |
Thereafter | 0 |
Total | 1 |
Boeing 777-300ER | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 1 |
2023 | 2 |
2024 | 0 |
2025 | 2 |
2026 | 7 |
Thereafter | 12 |
Total | 24 |
Boeing 787-9 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
2026 | 1 |
Thereafter | 25 |
Total | 26 |
Boeing 787-10 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 0 |
2025 | 0 |
2026 | 0 |
Thereafter | 6 |
Total | 6 |
Embraer E190 | |
Lease Terminations by Aircraft Type [Line Items] | |
2022 | 0 |
2023 | 0 |
2024 | 1 |
2025 | 0 |
2026 | 0 |
Thereafter | 0 |
Total | 1 |
Concentration of Risk - Narrati
Concentration of Risk - Narrative (Details) | 12 Months Ended | |
Dec. 31, 2021countryleased_aircraft | Dec. 31, 2020leased_aircraftcountry | |
Risks and Uncertainties [Abstract] | ||
Number of aircraft leased | leased_aircraft | 118 | 112 |
Number of countries | country | 60 | 60 |
Minimum percentage of aircraft operated internationally based on net book value | 95.00% |
Concentration of Risk - Regiona
Concentration of Risk - Regional Concentration Based on Net Book Value (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Concentration Risk [Line Items] | ||
Net Book Value | $ 22,899,004 | $ 20,380,350 |
Net Assets, Geographic Area | Geographic Region | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 22,899,004 | $ 20,380,350 |
% of Total | 100.00% | 100.00% |
Net Assets, Geographic Area | Geographic Region | Europe | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 7,439,993 | $ 6,413,557 |
% of Total | 32.50% | 31.40% |
Net Assets, Geographic Area | Geographic Region | Asia (excluding China) | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 5,952,981 | $ 5,513,498 |
% of Total | 26.00% | 27.10% |
Net Assets, Geographic Area | Geographic Region | China | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 2,934,224 | $ 2,766,543 |
% of Total | 12.80% | 13.50% |
Net Assets, Geographic Area | Geographic Region | The Middle East and Africa | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 2,447,919 | $ 2,356,418 |
% of Total | 10.70% | 11.60% |
Net Assets, Geographic Area | Geographic Region | U.S. and Canada | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 1,638,450 | $ 1,298,974 |
% of Total | 7.20% | 6.40% |
Net Assets, Geographic Area | Geographic Region | Central America, South America and Mexico | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 1,566,133 | $ 1,074,792 |
% of Total | 6.80% | 5.30% |
Net Assets, Geographic Area | Geographic Region | Pacific, Australia, and New Zealand | ||
Concentration Risk [Line Items] | ||
Net Book Value | $ 919,304 | $ 956,568 |
% of Total | 4.00% | 4.70% |
Concentration of Risk - Regio_2
Concentration of Risk - Regional Concentration Based on Number of Customers (Details) - Number Of Customers Geographic Area - Geographic Region - customer | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Concentration Risk [Line Items] | ||
Number of Customers | 118 | 112 |
% of Total | 100.00% | 100.00% |
Europe | ||
Concentration Risk [Line Items] | ||
Number of Customers | 50 | 48 |
% of Total | 42.50% | 42.90% |
Asia (excluding China) | ||
Concentration Risk [Line Items] | ||
Number of Customers | 22 | 20 |
% of Total | 18.60% | 17.80% |
The Middle East and Africa | ||
Concentration Risk [Line Items] | ||
Number of Customers | 14 | 14 |
% of Total | 11.90% | 12.50% |
U.S. and Canada | ||
Concentration Risk [Line Items] | ||
Number of Customers | 13 | 11 |
% of Total | 11.00% | 9.80% |
China | ||
Concentration Risk [Line Items] | ||
Number of Customers | 9 | 9 |
% of Total | 7.60% | 8.00% |
Central America, South America and Mexico | ||
Concentration Risk [Line Items] | ||
Number of Customers | 7 | 7 |
% of Total | 5.90% | 6.30% |
Pacific, Australia, and New Zealand | ||
Concentration Risk [Line Items] | ||
Number of Customers | 3 | 3 |
% of Total | 2.50% | 2.70% |
Concentration of Risk - Rental
Concentration of Risk - Rental Revenue and Percentage of Rental Flight Equipment Revenues (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 2,003,337 | $ 1,946,620 | $ 1,916,869 |
Sales | Geographic Region | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 2,003,337 | $ 1,946,620 | $ 1,916,869 |
% of Total | 100.00% | 100.00% | 100.00% |
Sales | Geographic Region | Europe | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 564,479 | $ 525,543 | $ 531,778 |
% of Total | 28.20% | 27.00% | 27.70% |
Sales | Geographic Region | Asia (excluding China) | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 558,020 | $ 573,722 | $ 484,017 |
% of Total | 27.90% | 29.50% | 25.30% |
Sales | Geographic Region | China | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 352,375 | $ 341,121 | $ 357,278 |
% of Total | 17.60% | 17.50% | 18.60% |
Sales | Geographic Region | The Middle East and Africa | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 210,977 | $ 220,017 | $ 226,932 |
% of Total | 10.50% | 11.30% | 11.80% |
Sales | Geographic Region | U.S. and Canada | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 130,717 | $ 106,694 | $ 98,627 |
% of Total | 6.50% | 5.50% | 5.10% |
Sales | Geographic Region | Central America, South America and Mexico | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 104,315 | $ 88,113 | $ 124,850 |
% of Total | 5.20% | 4.50% | 6.60% |
Sales | Geographic Region | Pacific, Australia, and New Zealand | |||
Concentration Risk [Line Items] | |||
Amount of Rental Revenue | $ 82,454 | $ 91,410 | $ 93,387 |
% of Total | 4.10% | 4.70% | 4.90% |
Income Tax - Provision for Inco
Income Tax - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current: | |||
Federal | $ 0 | $ (38,520) | $ 38,520 |
State | 184 | (107) | 1,025 |
Foreign | 6,754 | 2,574 | 2,937 |
Deferred: | |||
Federal | 94,050 | 163,002 | 91,243 |
State | 3,396 | 3,465 | 14,839 |
Foreign | 0 | 0 | 0 |
Income tax expense | $ 104,384 | $ 130,414 | $ 148,564 |
Income Tax - Differences Betwee
Income Tax - Differences Between the Provision for Income Taxes and Income Taxes at the Statutory Federal Income Tax Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Income taxes at statutory federal rate | $ 113,613 | $ 135,802 | $ 154,494 |
Foreign tax credit | (15,651) | (9,464) | (18,231) |
State income taxes, net of federal income tax effect and other | 2,828 | 2,653 | 12,532 |
Other | 3,594 | 1,423 | (231) |
Income tax expense | $ 104,384 | $ 130,414 | $ 148,564 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Income taxes at statutory federal rate | 21.00% | 21.00% | 21.00% |
Foreign tax credit | (2.90%) | (1.50%) | (2.50%) |
State income taxes, net of federal income tax effect and other | 0.50% | 0.40% | 1.70% |
Other | 0.70% | 0.20% | 0.00% |
Income tax expense | 19.30% | 20.10% | 20.20% |
Income Tax - Narrative (Details
Income Tax - Narrative (Details) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 624,538,000 | |
Tax credit carryforwards | 78,339,000 | |
Deferred tax assets, valuation allowance | 0 | $ 0 |
Unrecognized tax benefits | 0 | $ 0 |
Domestic Tax Authority | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | 600,500,000 | |
State | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 24,000,000 |
Income Tax - Net Deferred Tax A
Income Tax - Net Deferred Tax Assets (Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets | ||
Net operating losses | $ 127,591 | $ 24,206 |
Foreign tax credit | 78,286 | 60,160 |
Rents received in advance | 26,702 | 28,007 |
Other | 19,743 | 5,383 |
Equity compensation | 4,462 | 3,386 |
Accrued bonus | 4,349 | 1,126 |
Total deferred tax assets | 261,133 | 122,268 |
Deferred tax liabilities | ||
Aircraft depreciation | (1,219,061) | (995,023) |
Straight-line rents | (55,342) | (43,649) |
Total deferred tax liabilities | (1,274,403) | (1,038,672) |
Net deferred tax assets/(liabilities) | $ (1,013,270) | $ (916,404) |
Income Tax - Net Operating Loss
Income Tax - Net Operating Loss and Tax Credit Carryforwards Expiration (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Operating Loss Carryforwards [Line Items] | |
NOL Carryforwards | $ 624,538 |
Tax Credit Carryforwards | 78,339 |
2022-2026 | |
Operating Loss Carryforwards [Line Items] | |
NOL Carryforwards | 0 |
Tax Credit Carryforwards | 11,935 |
Thereafter | |
Operating Loss Carryforwards [Line Items] | |
NOL Carryforwards | 624,538 |
Tax Credit Carryforwards | $ 66,404 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021USD ($)aircraft | Dec. 31, 2020USD ($) | |
Long-term Purchase Commitment [Line Items] | ||
Minimum aircraft delivery delays that could trigger lessee cancellation clauses | 1 year | |
Purchase agreements, termination commencement period | 1 year | |
Non-refundable deposits on aircraft | $ | $ 1,508,892 | $ 1,800,119 |
Airbus Aircraft | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 116 | |
A-321-Neo | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 59 | |
A-220-300 | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 25 | |
A-321-XLR | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 20 | |
Airbus A350F | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 7 | |
A-330-900 | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 5 | |
Boeing 737-7/8/9 MAX(2) | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 101 | |
Boeing 787-9/10 | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 24 | |
Aircrafts | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft | 431 | |
Non-refundable deposits on aircraft | $ | $ 1,500,000 | $ 1,800,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Aircraft Acquisition (Details) - aircraft | 1 Months Ended | 12 Months Ended |
Feb. 17, 2022 | Dec. 31, 2021 | |
Aircrafts | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 85 | |
2023 | 84 | |
2024 | 97 | |
2025 | 50 | |
2026 | 46 | |
Thereafter | 69 | |
Total | 431 | |
Airbus A220-100/300 | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 4 | |
2023 | 17 | |
2024 | 23 | |
2025 | 20 | |
2026 | 12 | |
Thereafter | 0 | |
Total | 76 | |
Airbus A320/321neo | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 27 | |
2023 | 24 | |
2024 | 26 | |
2025 | 23 | |
2026 | 32 | |
Thereafter | 64 | |
Total | 196 | |
Number of long-range variant aircrafts | 28 | |
Number of extra long-range variant aircrafts | 49 | |
Airbus A330-900neo | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 8 | |
2023 | 6 | |
2024 | 4 | |
2025 | 0 | |
2026 | 0 | |
Thereafter | 0 | |
Total | 18 | |
Airbus A350-900/1000 | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 3 | |
2023 | 3 | |
2024 | 3 | |
2025 | 0 | |
2026 | 0 | |
Thereafter | 0 | |
Total | 9 | |
Airbus A350F | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 0 | |
2023 | 0 | |
2024 | 0 | |
2025 | 0 | |
2026 | 2 | |
Thereafter | 5 | |
Total | 7 | |
Boeing 737-7/8/9 MAX(2) | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 33 | |
2023 | 31 | |
2024 | 35 | |
2025 | 2 | |
2026 | 0 | |
Thereafter | 0 | |
Total | 101 | |
Boeing 787-9/10 | ||
Long-term Purchase Commitment [Line Items] | ||
2022 | 10 | |
2023 | 3 | |
2024 | 6 | |
2025 | 5 | |
2026 | 0 | |
Thereafter | 0 | |
Total | 24 | |
B-787-9 | Subsequent Event | ||
Long-term Purchase Commitment [Line Items] | ||
Purchase commitment, number of aircraft converted | 3 | |
B-737-Max as a Result of Conversion of B-787 | Subsequent Event | ||
Long-term Purchase Commitment [Line Items] | ||
Total | 18 | |
B-737-Max Incremental | Subsequent Event | ||
Long-term Purchase Commitment [Line Items] | ||
Total | 32 |
Commitments and Contingencies_3
Commitments and Contingencies - Aircraft Acquisition at Aggregate Purchase Price (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2022 | $ 6,533,876 |
2023 | 5,399,461 |
2024 | 5,571,342 |
2025 | 3,041,583 |
2026 | 2,730,867 |
Thereafter | 4,454,212 |
Total | $ 27,731,341 |
Net Earnings Per Share - Narrat
Net Earnings Per Share - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2021class_of_stockshares | Dec. 31, 2020shares | Dec. 31, 2019shares | |
Anti-dilutive securities | |||
Number of classes of common stock | class_of_stock | 2 | ||
Restricted Stock Units (RSUs) | |||
Anti-dilutive securities | |||
Anti-dilutive securities excluded from the computation of diluted earnings per share (in shares) | 1,083,174 | 1,032,305 | 945,565 |
Class B Non‑Voting Common Stock | |||
Anti-dilutive securities | |||
Common stock, outstanding (in shares) | 0 | 0 |
Net Earnings Per Share - Reconc
Net Earnings Per Share - Reconciliation of Basic and Diluted Net Income per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Numerator | |||
Net income | $ 436,632 | $ 516,264 | $ 587,121 |
Preferred stock dividends | (28,473) | (15,375) | (11,958) |
Net income available to common stockholders, basic | $ 408,159 | $ 500,889 | $ 575,163 |
Denominator | |||
Weighted-average common shares outstanding (in shares) | 114,050,578 | 113,684,782 | 111,895,433 |
Basic net income per share (in dollars per share) | $ 3.58 | $ 4.41 | $ 5.14 |
Numerator | |||
Net income | $ 436,632 | $ 516,264 | $ 587,121 |
Preferred stock dividends | (28,473) | (15,375) | (11,958) |
Net income available to common stockholders, diluted | $ 408,159 | $ 500,889 | $ 575,163 |
Denominator | |||
Weighted-average common shares outstanding (in shares) | 114,050,578 | 113,684,782 | 111,895,433 |
Weighted-average effect of dilutive securities (in shares) | 395,515 | 329,239 | 1,190,890 |
Number of shares used in per share computation | 114,446,093 | 114,014,021 | 113,086,323 |
Diluted earnings per share (in dollars per share) | $ 3.57 | $ 4.39 | $ 5.09 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Reported Value Measurement | ||
Fair Value Measurements | ||
Debt financing | $ 17,200 | $ 16,700 |
Fair Value, Inputs, Level 2 | ||
Fair Value Measurements | ||
Debt financing | 17,600 | 17,600 |
Recurring basis | Fair Value, Inputs, Level 2 | Foreign Exchange Contract | ||
Fair Value Measurements | ||
Derivative asset, fair value | $ 14.1 | $ 14.4 |
Stock-based Compensation - Narr
Stock-based Compensation - Narrative (Details) | May 07, 2014shares | Dec. 31, 2021USD ($)type_of_book_value_RSUcriteriashares | Dec. 31, 2020USD ($)shares | Dec. 31, 2019USD ($)shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ | $ 26,500,000 | $ 17,600,000 | $ 20,700,000 | |
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of different vesting criteria | criteria | 4 | |||
Number of shares granted | 1,571,415 | |||
Number of shares other than options granted | 597,728 | |||
Expected to vest in next fiscal year (in shares) | 503,906 | |||
Expected to vest in two years (in shares) | 468,024 | |||
Expected to vest in three years (in shares) | 575,985 | |||
Unrecognized compensation cost | $ | $ 28,800,000 | |||
Weighted-average period of recognition of unrecognized stock-based compensation cost | 1 year 9 months 14 days | |||
Restricted Stock Units (RSUs) | Share-based Payment Arrangement, Tranche One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Restricted Stock Units (RSUs) | Share-based Payment Arrangement, Tranche Two | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Restricted Stock Units (RSUs) | Share-based Payment Arrangement, Tranche Two | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 2 years | |||
Restricted Stock With Book Value Conditions | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of types of book value RSUs | type_of_book_value_RSU | 2 | |||
Restricted Stock With Book Value Conditions | Share-based Payment Arrangement, Tranche One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Restricted Stock With Book Value Conditions | Share-based Payment Arrangement, Tranche Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Restricted Stock With Book Value Conditions | Share-based Payment Arrangement, Tranche Two | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of shares vested | 0.00% | |||
Restricted Stock With Book Value Conditions | Share-based Payment Arrangement, Tranche Two | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of shares vested | 200.00% | |||
Restricted Stock With Total Shareholder Return Conditions | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Percentage of shares vested | 100.00% | |||
Number of shares granted | 376,517 | |||
Number of shares other than options granted | 116,599 | |||
Restricted Stock With Total Shareholder Return Conditions | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of shares vested | 0.00% | |||
Restricted Stock With Total Shareholder Return Conditions | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of shares vested | 200.00% | |||
Share-based Payment Arrangement, Option | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares granted | 0 | 0 | 0 | |
Vesting period | 3 years | |||
Term of award | 10 years | |||
Stock-based compensation expense | $ | $ 0 | $ 0 | $ 0 | |
Unrecognized compensation cost | $ | $ 0 | |||
Equity Incentive Plan 2010 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares granted | 0 | |||
Equity Incentive Plan 2014 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 4,495,097 |
Stock-based Compensation - Unve
Stock-based Compensation - Unvested Restricted Stock Units Activity (Details) - Restricted Stock Units (RSUs) | 12 Months Ended |
Dec. 31, 2021$ / sharesshares | |
Number of Shares | |
Unvested at the beginning of the period (in shares) | shares | 1,466,060 |
Granted (in shares) | shares | 597,728 |
Vested (in shares) | shares | (423,402) |
Forfeited/canceled (in shares) | shares | (68,971) |
Unvested at the end of the period (in shares) | shares | 1,571,415 |
Expected to vest after the end of the period (in shares) | shares | 1,547,915 |
Weighted‑ Average Grant‑Date Fair Value | |
Unvested at the beginning of the period (in dollars per share) | $ / shares | $ 42.03 |
Granted (in dollars per share) | $ / shares | 47.64 |
Vested (in dollars per share) | $ / shares | 41.91 |
Forfeited/canceled (in dollars per share) | $ / shares | 49.21 |
Unvested at the end of the period (in dollars per share) | $ / shares | 43.88 |
Expected to vest after the end of the period (in dollars per share) | $ / shares | $ 44.45 |
Stock-based Compensation - Stoc
Stock-based Compensation - Stock Options Activity (Details) - Share-based Payment Arrangement, Option - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Shares | ||||
Balance at the beginning of the period (in shares) | 50,000 | 364,153 | 2,620,295 | |
Granted (in shares) | 0 | 0 | 0 | |
Exercised (in shares) | (50,000) | (314,153) | (2,256,142) | |
Forfeited/canceled (in shares) | 0 | 0 | 0 | |
Balance at the end of the period (in shares) | 0 | 50,000 | 364,153 | 2,620,295 |
Exercise Price | ||||
Balance at the beginning of the period (in dollars per share) | $ 28.80 | $ 22.90 | $ 20.40 | |
Granted (in dollars per share) | 0 | 0 | 0 | |
Exercised (in dollars per share) | 28.80 | 21.96 | 20 | |
Forfeited/canceled (in dollars per share) | 0 | 0 | 0 | |
Balance at the end of the period (in dollars per share) | $ 0 | $ 28.80 | $ 22.90 | $ 20.40 |
Remaining Contractual Term (in years) | ||||
Remaining Contractual Term (in years) | 0 years | 3 months 25 days | 9 months | 1 year 5 months 26 days |
Aggregate Intrinsic Value (in thousands) | ||||
Balance at the beginning of the period | $ 781 | $ 8,965 | $ 25,697 | |
Exercised | 993 | 3,972 | 46,358 | |
Balance at the end of the period | $ 0 | $ 781 | $ 8,965 | $ 25,697 |
Aircraft Under Management (Deta
Aircraft Under Management (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2021USD ($)aircraftaircraft_management_platformentityjoint_venture | Dec. 31, 2020USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||
Number of aircraft management platforms | aircraft_management_platform | 3 | |
Percentage of non-controlling interest ownership, number of entities | entity | 2 | |
Blackbird I and Blackbird II | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of aircraft | 36 | |
Number of joint ventures participated in | joint_venture | 2 | |
Percentage of equity ownership | 9.50% | |
Equity method investment | $ | $ 73.2 | $ 52.6 |
Equity capital commitments | $ | 363.1 | |
Total unfunded commitment | $ | $ 10.3 | |
Thunderbolt, Blackbird, And Financial Institution | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of aircraft | 92 | |
Thunderbolt Platform | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of aircraft | 51 | |
Investment in aircraft sold | $ | $ 9.3 | $ 9.3 |
Thunderbolt II And Thunderbolt III | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of non-controlling interest ownership | 5.00% | |
Aircraft Held For Sale | Thunderbolt Platform | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of aircraft | 51 | |
Number of entities which aircraft is managed | entity | 3 | |
Financial Institutions Borrower | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of aircraft | 5 |
Net Investment in Sales-type _3
Net Investment in Sales-type Lease - Narrative (Details) | 12 Months Ended |
Dec. 31, 2021aircraft | |
Leases [Abstract] | |
Sales-type lease, number of aircrafts | 10 |
Sales-type lease, number of aircrafts delivered | 1 |
Sales-type lease, remaining lease term | 10 years 2 months 12 days |
Net Investment in Sales-type _4
Net Investment in Sales-type Lease - Components of Investment in Sales-Type Leases, Net (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Leases [Abstract] | |
Future minimum lease payments to be received | $ 24,805 |
Estimated residual values of leased flight equipment | 9,169 |
Less: Unearned income | (5,545) |
Sales-Type Lease, Net Investment in Lease, before Allowance for Credit Loss | $ 28,429 |
Net Investment in Sales-type _5
Net Investment in Sales-type Lease - Future Minimum Lease Payments to be Received on Sales-type Lease (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Leases [Abstract] | |
2022 | $ 2,255 |
2023 | 2,460 |
2024 | 2,460 |
2025 | 2,460 |
2026 | 2,460 |
Thereafter | 12,710 |
Total | $ 24,805 |
Update on COVID-19 Pandemic I_2
Update on COVID-19 Pandemic Impact (Details) - COVID 19 - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Unusual or Infrequent Item, or Both [Line Items] | ||
Accommodation arrangement percentage of lessees | 66.00% | |
Outstanding deferred rentals | $ 203.2 | $ 144.3 |
Deferred rentals period | 2 years | |
Decrease in revenue due to lease restructurings | $ 132.5 | |
Unrecognized rental revenue | $ 72.7 |
Subsequent Events - Dividends D
Subsequent Events - Dividends Declared (Details) - $ / shares | Feb. 15, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Subsequent Events | ||||
Cash dividends declared per share of common stock (in dollars per share) | $ 0.67 | $ 0.61 | $ 0.54 | |
Class A Common Stock | Subsequent Event | ||||
Subsequent Events | ||||
Cash dividends declared per share of common stock (in dollars per share) | $ 0.185 | |||
Series A Preferred Stock | Subsequent Event | ||||
Subsequent Events | ||||
Cash dividends declared per share (in dollars per share) | 0.384375 | |||
Series B Preferred Stock | Subsequent Event | ||||
Subsequent Events | ||||
Cash dividends declared per share (in dollars per share) | 11.625 | |||
Series C Preferred Stock | Subsequent Event | ||||
Subsequent Events | ||||
Cash dividends declared per share (in dollars per share) | $ 10.3125 |
Subsequent Events - Narrative (
Subsequent Events - Narrative (Details) - Subsequent Event $ in Millions | 1 Months Ended | |
Feb. 17, 2022aircraft | Feb. 15, 2022USD ($) | |
Subsequent Events | ||
Stock repurchase program, authorized amount | $ | $ 150 | |
B-737-Max | ||
Subsequent Events | ||
Purchase commitment, number of aircraft | 50 | |
B-737-Max Incremental | ||
Subsequent Events | ||
Purchase commitment, number of aircraft | 32 | |
B-737-Max as a Result of Conversion of B-787 | ||
Subsequent Events | ||
Purchase commitment, number of aircraft | 18 | |
B-787-9 | ||
Subsequent Events | ||
Purchase commitment, number of aircraft converted | 3 |