FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For June 17, 2002
AERCO LIMITED
22 Grenville Street
St. Helier
Jersey, JE4 8PX
Channel Islands
------------------------------------------------
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.
Form 20-F [X] Form 40-F [_]
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes [_] No [X]
INDEX TO EXHIBITS
Item
1. AerCo Limited Monthly Report to Noteholders for June 2002, including
additional information excluded form the 6-K, filed June 13, 2002.
Page 2 of 3
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Dated: June 17, 2002
AERCO LIMITED
By: /s/ Patrick J. Dalton
--------------------------
Name: Patrick J. Dalton
Title: Attorney-in-Fact
Page 3 of 3
Item 1
AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
Month June-02
Payment Date 15th of each month
Convention Modified Following Business Day
Current Payment Date 17-Jun-02
Current Calculation Date 11-Jun-02
Previous Payment Date 15-May-02
Previous Calculation Date 9-May-02
- -------------------------------------------------------------------------------
1. Account Activity Summary between Calculation Dates
- -----------------------------------------------------------------------------------------------------------------------------------
Prior Deposits Withdrawals Balance on
Balance Calculation Date
9-May-02 11-Jun-02
- -----------------------------------------------------------------------------------------------------------------------------------
Expense Account 572,519.18 7,094,010.19 (6,210,027.36) 1,456,502.01
Collection Account 95,716,587.75 17,980,925.94 (12,442,935.75) 101,254,577.94
Aircraft Purchase Account - - - -
- Liquidity Reserve cash balance 83,273,652.00 - - 82,055,402.00
- -----------------------------------------------------------------------------------------------------------------------------------
Total 96,289,106.93 29,639,313.78 (36,321,329.35) 102,711,079.95
- -----------------------------------------------------------------------------------------------------------------------------------
2. Analysis of Aircraft Purchase Account Activity
- -----------------------------------------------------------------------------------------------------------------------------------
Opening Balance on Previous Calculation Date -
Interest Income -
Aircraft Purchase Payments -
Economic Swap Payments -
- -----------------------------------------------------------------------------------------------------------------------------------
Balance on Current Calculation Date -
- -----------------------------------------------------------------------------------------------------------------------------------
3. Analysis of Expenses Account Activity
- -----------------------------------------------------------------------------------------------------------------------------------
Opening Balance on Previous Calculation Date 572,519.18
Transfer from Collection Account on previous Payment Date 7,091,921.64
Permitted Aircraft Accrual -
Interim Transfer from Collection Account -
Interest Income 2,088.55
Balance on current Calculation Date
- Payments on previous payment date (4,160,748.53)
- Interim payments (2,049,278.83)
- Other
- -----------------------------------------------------------------------------------------------------------------------------------
Balance on Current Calculation Date 1,456,502.01
- -----------------------------------------------------------------------------------------------------------------------------------
4. Analysis of Collection Account Activity
- -----------------------------------------------------------------------------------------------------------------------------------
Opening Balance on Previous Calculation Date 95,716,587.75
Collections during period 17,980,925.94
Transfer to Expense Account on previous Payment Date
- Required Expense Amount (3,427,480.82)
- Permitted Aircraft Modifications -
Interim Transfer to Expense Account -
Net Swap payments on previous Payment Date (3,664,440.82)
Aggregate Note Payments on previous Payment Date (5,351,014.11)
- -----------------------------------------------------------------------------------------------------------------------------------
Balance on Current Calculation Date 101,254,577.94
- -----------------------------------------------------------------------------------------------------------------------------------
Analysis of Liquidity Reserve Amount
First Collection Account Reserve 30,000,000.00
Second Collection Account Reserve 35,000,000.00
Cash Held
- Security Deposits 17,055,402.00
-----------------
Liquidity Reserve Amount 82,055,402.00
-----------------
A Liquidity Facility of $35 million is also available to AerCo as a primary
eligible credit facility, but remains undrawn.
Page 1 of 7
AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
Current Payment Date 17-Jun-02
Current Calculation Date 11-Jun-02
Previous Payment Date 15-May-02
Previous Calculation Date 9-May-02
- -------------------------------------------------------------------------------
Balance in Collection and Expense Account 102,711,079.95
Liquidity Reserve Amount (82,055,402.00)
------------------
Available Collections 20,655,677.95
==================
4. Analysis of Collection Account Activity (Continued)
- ----------------------------------------------------------------------------------------------------------------
Analysis of Current Payment Date Distributions
(I) Total Required Expense Amount 6,000,000.00
(II) a) Class A Interest but excluding Step-up 1,785,749.11
b) Swap Payments other than subordinated swap payments 3,995,454.47
(iii) First Collection Account top-up (Minimum liquidity reserve $30 m) 30,000,000.00
(iv) Class A Minimum principal payment -
(v) Class B Interest 331,480.91
(vi) Class B Minimum principal payment 100,273.98
(vii) Class C Interest 516,070.89
(viii) Class C Minimum principal payment -
(ix) Class D Interest 708,333.33
(x) Class D Minimum principal payment -
(xi) Second collection account top-up 52,055,402.00
(xii) Class A Scheduled principal -
(xiii) Class B Scheduled principal 543,549.58
(xiv) Class C Scheduled principal 393,975.03
(xv) Class D Scheduled principal -
(xvi) Permitted accruals for Modifications -
(xvii) Step-up interest -
(xviii) Class A Supplemental principal 6,280,790.65
(xix) Class E Primary Interest -
(xx) Class B Supplemental principal -
(xxi) Class A Outstanding Principal -
(xxii) Class B Outstanding Principal -
(xxiii) Class C Outstanding Principal -
(xxiv) Class D Outstanding Principal -
(xxv) Subordinated Swap payments -
------------------
Total Payments with respect to Payment Date 102,711,079.95
less collection Account Top Ups (iii) (b) and (xi) (b) above 82,055,402.00
------------------
20,655,677.95
==================
- ----------------------------------------------------------------------------------------------------------------
Page 2 of 7
AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
Current Payment Date 17-Jun-02
Current Calculation Date 11-Jun-02
Previous Payment Date 15-May-02
Previous Calculation Date 9-May-02
- -------------------------------------------------------------------------------
5. Payments on the Notes by Subclass
- ------------------------------------------------------------------------------------------------------------
Subclass Subclass Subclass Total
Floating Rate Notes A-2 A-3 A-4 Class A
- ------------------------------------------------------------------------------------------------------------
Applicable LIBOR 1.84000% 1.84000% 1.84000%
Applicable Margin 0.3200% 0.4600% 0.5200%
Applicable Interest Rate 2.16000% 2.30000% 2.36000%
Day Count Act/360 Act/360 Act/360
Actual Number of Days 33 33 33
Interest Amount Payable 267,274.58 1,191,208.33 327,266.20
Step-up Interest Amount Payable NA NA NA
- ------------------------------------------------------------------------------------------------------------
Total Interest Paid 267,274.58 1,191,208.33 327,266.20 1,785,749.11
- ------------------------------------------------------------------------------------------------------------
Expected Final Payment Date 15-Dec-05 15-Jun-02 15-May-11
Excess Amortisation Date 17-Aug-98 15-Feb-06 15-Aug-00
- ------------------------------------------------------------------------------------------------------------
Original Balance 290,000,000.00 565,000,000.00 235,000,000.00
Opening Outstanding Principal Balance 134,987,161.48 565,000,000.00 151,278,674.04 851,265,835.52
- ------------------------------------------------------------------------------------------------------------
Extended Pool Factors 60.72% 100.00% 86.33%
Pool Factors 49.49% 100.00% 75.23%
- ------------------------------------------------------------------------------------------------------------
Minimum Principal Payment - - - -
Scheduled Principal Payment - - - -
Supplemental Principal Payment 2,961,674.07 - 3,319,116.58 6,280,790.65
- ------------------------------------------------------------------------------------------------------------
Total Principal Distribution Amount 2,961,674.07 - 3,319,116.58 6,280,790.65
- ------------------------------------------------------------------------------------------------------------
Redemption Amount
- - amount allocable to principal -
- - amount allocable to premium
- ------------------------------------------------------------------------------------------------------------
Closing Outstanding Principal Balance 132,025,487.41 565,000,000.00 147,959,557.46 844,985,044.87
- ------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------
Subclass Subclass Total
Floating Rate Notes B-1 B-2 Class B
- -----------------------------------------------------------------------------------------
Applicable LIBOR 1.84000% 1.84000%
Applicable Margin 0.6000% 1.0500%
Applicable Interest Rate 2.44000% 2.89000%
Day Count Act/360 Act/360
Actual Number of Days 33 33
Interest Amount Payable 146,254.42 185,226.48
Step-up Interest Amount Payable NA NA
- -----------------------------------------------------------------------------------------
Total Interest Paid 146,254.42 185,226.48 331,480.91
- -----------------------------------------------------------------------------------------
Expected Final Payment Date 15-Jul-13 15-Jun-08
Excess Amortisation Date 17-Aug-98 15-Aug-00
- ------------------------------------------------------------------------------------------
Original Balance 85,000,000.00 80,000,000.00
Opening Outstanding Principal Balance 65,389,459.19 69,918,773.51 135,308,232.70
- -----------------------------------------------------------------------------------------
Extended Pool Factors 85.90% 99.56%
Pool Factors 79.51% 98.25%
- -----------------------------------------------------------------------------------------
Minimum Principal Payment 48,458.70 51,815.28 100,273.98
Scheduled Principal Payment 262,677.39 280,872.19 543,549.58
Supplemental Principal Payment - - -
- -----------------------------------------------------------------------------------------
Total Principal Distribution Amount 311,136.09 332,687.47 643,823.56
- -----------------------------------------------------------------------------------------
Redemption Amount
- - amount allocable to principal
- - amount allocable to premium
- ------------------------------------------------------------------------------------------
Closing Outstanding Principal Balance 65,078,323.10 69,586,086.04 134,664,409.14
- -----------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------
Subclass Subclass Total
Floating Rate Notes C-1 C-2 Class C
- ----------------------------------------------------------------------------------------
Applicable LIBOR 1.84000% 1.84000%
Applicable Margin 1.3500% 2.0500%
Applicable Interest Rate 3.19000% 3.89000%
Day Count Act/360 Act/360
Actual Number of Days 33 33
Interest Amount Payable 237,840.24 278,230.65
Step-up Interest Amount Payable NA NA
- ----------------------------------------------------------------------------------------
Total Interest Paid 237,840.24 278,230.65 516,070.89
- ----------------------------------------------------------------------------------------
Expected Final Payment Date 15-Jul-13 15-Jun-08
Excess Amortisation Date 17-Aug-98 15-Aug-00
- ----------------------------------------------------------------------------------------
Original Balance 85,000,000.00 80,000,000.00
Opening Outstanding Principal Balance 81,336,074.56 78,026,824.59 159,362,899.15
- ----------------------------------------------------------------------------------------
Extended Pool Factors 99.10% 99.30%
Pool Factors 95.38% 97.22%
- ----------------------------------------------------------------------------------------
Minimum Principal Payment - - -
Scheduled Principal Payment 204,456.13 189,518.90 393,975.03
Supplemental Principal Payment - - -
- ----------------------------------------------------------------------------------------
Total Principal Distribution Amount 204,456.13 189,518.90 393,975.03
- ----------------------------------------------------------------------------------------
Redemption Amount - -
- - amount allocable to principal - -
- - amount allocable to premium - -
- ----------------------------------------------------------------------------------------
Closing Outstanding Principal Balance 81,131,618.43 77,837,305.69 158,968,924.12
- ----------------------------------------------------------------------------------------
- ---------------------------------------------------------
Fixed Rate Notes D-2
- ---------------------------------------------------------
Applicable Interest Rate 8.50000%
Day count 30 / 360
Number of Days 30
Interest Amount Payable 708,333.33
- ---------------------------------------------------------
Total Interest Paid 708,333.33
- ---------------------------------------------------------
Expected Final Payment Date 15-Mar-14
Excess Amortisation Date 15-Jul-10
- ---------------------------------------------------------
Original Balance 100,000,000.00
Opening Outstanding Principal Balance 100,000,000.00
- ---------------------------------------------------------
Extended Pool Factors 100.00%
Expected Pool Factors 100.00%
- ---------------------------------------------------------
Extended Amount -
Expected Pool Factor Amount -
Surplus Amortisation
- ---------------------------------------------------------
Total Principal Distribution Amount -
- ---------------------------------------------------------
Redemption Amount -
- - amount allocable to principal -
----------------
- - amount allocable to premium -
- ---------------------------------------------------------
Closing Outstanding Principal Balance 100,000,000.00
- ---------------------------------------------------------
Page 3 of 7
AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
Current Payment Date 17-Jun-02
Current Calculation Date 11-Jun-02
Previous Payment Date 15-May-02
Previous Calculation Date 9-May-02
- -------------------------------------------------------------------------------
6. Floating Rate Note information for next Interest Accrual Period
Start of Interest Accrual Period 15-May-02
End of Interest Accrual Period 17-Jun-02
Reference Date 14-Jun-02
- ------------------------------------------------------------------------------------------------------------------------------------
A-2 A-3 A-4 B-1 B-2 C-1 C-2
- ------------------------------------------------------------------------------------------------------------------------------------
Applicable LIBOR 1.84000% 1.84000% 1.84000% 1.84000% 1.84000% 1.84000% 1.84000%
Applicable Margin 0.3200% 0.4600% 0.5200% 0.6000% 1.0500% 1.3500% 2.0500%
Applicable Interest Rate 2.1600% 2.3000% 2.3600% 2.4400% 2.8900% 3.1900% 3.8900%
- ------------------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------
Fixed Rate Notes D-1
- --------------------------------------------------------
Actual Pool Factor 100.00%
- --------------------------------------------------------
- --------------------------------------------------------------------------------
7. Payments per $ 1,000 Inital Outstanding Principal Balance of Notes
- ------------------------------------------------------------------------------------------------------------------------------------
(a) Floating Rate Notes A-2 A-3 A-4 B-1 B-2 C-1 C-2
- ------------------------------------------------------------------------------------------------------------------------------------
Opening Outstanding Principal Balance 134,987.16 565,000.00 151,278.67 65,389.46 69,918.77 81,336.07 78,026.82
Total Principal Payments 2,961.67 - 3,319.12 311.14 332.69 204.46 189.52
Closing Outstanding Principal Balance 132,025.49 565,000.00 147,959.56 65,078.32 69,586.09 81,131.62 77,837.31
Total Interest 267.27 1,191.21 327.27 146.25 185.23 237.84 278.23
Total Premium 0.0000% 0.0000% 0.0000% 0.0000% 0.0000% 0.0000% 0.0000%
- ------------------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------
(b) Fixed Rate Notes D-2
- --------------------------------------------------------
Opening Outstanding Principal Balance 100,000.00
Total Principal Payments -
Closing Outstanding Principal Balance 100,000.00
Total Interest 708.33
Total Premium -
- --------------------------------------------------------
Page 4 of 7
AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
- ------------------------------------------------------------------------------------------------------------------------------------
July 2000 to Oct-Dec Jan-Mar Apr May June
Sept 2001 2001 2002 2002 2002 2002
- ------------------------------------------------------------------------------------------------------------------------------------
CASH COLLECTIONS
[1] Lease Rentals 217.6 45.4 45.4 16.7 13.9 15.4
[2] - Renegotiated Leases (3.0) (2.8) (2.1) (1.3) (0.9) (0.8)
[3] - Rental Resets (1.3) (3.2) (4.1) (1.2) (1.2) (0.8)
- ------------------------------------------------------------------------------------------------------------------------------------
[4] Sum [1]...[3] Contracted Lease Rentals 213.3 39.4 39.2 14.2 11.8 13.8
[5] Movement in Current Arrears Balance (0.8) (2.4) 1.4 0.3 (0.9) (0.3)
less Net Stress-related Costs
[6] - Bad Debts - - - - - -
[7] - Security Deposits Drawn Down 0.5 - - - - -
[8] - Restructured Arrears 0.7 0.1 (1.3) (0.3) (0.1) -
[9] - AOG (4.3) (1.5) (0.4) -
[10] - Other Leasing Income - - - - - -
[11] - Repossession Costs (0.3) - - - - -
--------------------------------------------------------------------------
[12] Sum [6]...[11] sub-total (3.4) (1.4) (1.7) (0.3) (0.1) -
[13] [4]+[5]+[12] Net Lease Rentals 209.1 35.6 38.9 14.2 10.8 13.5
[14] Interest Earned 5.8 0.8 0.4 0.2 0.1 0.1
[15] Drawings from Expense Account
Maintenance Receipts 22.6 4.5 3.6 1.1 1.4 3.6
Maintenance Payments (11.8) (1.8) (3.9) (6.9) (3.2) -
--------------------------------------------------------------------------
[15] Net Maintenance 10.8 2.7 (0.3) (5.8) (1.8) 3.6
[16] Sum [13]...[15] Total Cash Collections 225.7 39.1 39.0 8.6 9.1 17.2
- ------------------------------------------------------------------------------------------------------------------------------------
CASH EXPENSES
Aircraft Operating Expenses
[17] - Insurance (0.1) - - (0.3) - -
[18] - Re-leasing and other overheads (7.5) (0.7) (0.4) (0.3) (0.1) (1.0)
--------------------------------------------------------------------------
[19] [17]+[18] subtotal (7.6) (0.7) (0.4) (0.6) (0.1) (1.0)
SG&A Expenses
[20] Aircraft Servicer Fees
- Retainer Fee (1.6) (0.4) (0.3) (0.2) (0.3) (0.2)
- Rent Collected Fee (1.9) (0.4) (0.4) (0.1) (0.3) (0.3)
- Previous Servicer Fees (1.8)
--------------------------------------------------------------------------
[21] sub-total (5.3) (0.8) (0.7) (0.3) (0.5) (0.5)
[22] Other Servicer Fees (13.1) (0.4) (1.2) (0.3) (0.4) (0.2)
--------------------------------------------------------------------------
[23] [21]+[22] subtotal (18.4) (1.2) (1.9) (0.6) (1.0) (0.7)
[24] [20]+[23] Total Cash Expenses (26.0) (1.9) (2.3) (1.2) (1.1) (1.7)
- ------------------------------------------------------------------------------------------------------------------------------------
NET CASH COLLECTIONS
[25] [17] Total Cash Collections 225.7 39.1 39.0 8.6 9.1 17.2
[26] [24] Total Cash Expenses (26.0) (1.9) (2.3) (1.2) (1.1) (1.7)
[27] Movement in Expense Account6.0 6.0 1.2 0.3 1.7 1.0 (1.5)
[28] Interest Payments (111.6) (12.0) (9.3) (3.3) (3.1) (3.1)
[29] Swap Payments (12.1) (9.3) (10.7) (3.3) (3.7) (3.5)
[30] Proceeds from sale of aircraft 50.5 - - - -
--------------------------------------------------------------------------
[31] Sum [25]...[30] TOTAL 132.5 17.1 17.0 2.5 2.2 7.4
==========================================================================
- ------------------------------------------------------------------------------------------------------------------------------------
[32] PRINCIPAL PAYMENTS
subclass A 115.6 14.4 14.4 1.5 1.2 6.4
subclass B 14.8 1.8 1.7 0.6 0.6 0.6
subclass C 2.1 0.9 0.9 0.4 0.4 0.4
subclass D - - - - - -
--------------------------------------------------------------------------
Total 132.5 17.1 17.0 2.5 2.2 7.4
==========================================================================
- ------------------------------------------------------------------------------------------------------------------------------------
Debt Balances
subclass A 882.8 868.4 854.0 852.5 851.3 844.9
subclass B 140.0 138.2 136.5 135.9 135.3 134.7
subclass C 162.0 161.1 160.2 159.8 159.3 158.9
subclass D 100.0 100.0 100.0 100.0 100.0 100.0
--------------------------------------------------------------------------
TOTAL 1,284.8 1,267.7 1,250.7 1,248.2 1,245.9 1,238.5
==========================================================================
-------------------------------------------------------------------------------------------------------------------------------
Dollar amounts
All amounts in millions of US Dollars expressed as a percentage
unless otherwise stated 2000 Base Case Lease Rentals
- -------------------------------------------------------------------------------------------- -------------------------------------
Cumulative to Date Cumulative to Date
*Adjusted *Adjusted
Actual base case Variance Actual base case Variance
- -------------------------------------------------------------------------------------------- -------------------------------------
CASH COLLECTIONS
[1] Lease Rentals 354.4 354.1 0.3 100.0% 100.0% 0.0%
[2] - Renegotiated Leases (10.9) - (10.9) (2.8%) 0.0% (2.8%)
[3] - Rental Resets (11.8) - (11.8) (3.0%) 0.0% (3.0%)
- -------------------------------------------------------------------------------------------- -------------------------------------
[4] Sum [1]...[3] Contracted Lease Rentals 331.7 354.1 (22.4) 94.2% 100.0% (5.8%)
[5] Movement in Current Arrears Balance (2.7) - (2.7) (0.5%) 0.0% (0.5%)
less Net Stress-related Costs
[6] - Bad Debts - (3.6) 3.6 0.0% (1.0%) 1.0%
[7] - Security Deposits Drawn Down 0.5 - 0.5 0.2% 0.0% 0.2%
[8] - Restructured Arrears (0.9) 2.8 (3.7) (0.2%) 0.8% (1.0%)
[9] - AOG (6.2) (15.0) 8.8 (1.9%) (4.2%) 2.3%
[10] - Other Leasing Income - - - 0.0% 0.0% 0.0%
[11] - Repossession Costs (0.3) (2.9) 2.6 (0.1%) (0.8%) 0.7%
----------------------------------- -------------------------------------
[12] Sum [6]...[11] sub-total (6.9) (18.6) 11.7 (2.1%) (5.3%) 3.2%
[13] [4]+[5]+[12] Net Lease Rentals 322.1 335.5 (13.4) 91.6% 94.7% (3.1%)
[14] Interest Earned 7.4 7.0 0.4 2.2% 2.0% 0.2%
[15] Drawings from Expense Account - - - 0.0% 0.0% 0.0%
Maintenance Receipts 36.8 - 36.8 9.8% 0.0% 9.8%
Maintenance Payments (27.6) - (27.6) (7.5%) 0.0% (7.5%)
----------------------------------- -------------------------------------
[15] Net Maintenance 9.2 - 9.2 2.3% 0.0% 2.3%
[16] Sum [13]...[15] Total Cash Collections 338.7 342.5 (3.8) 96.1% 96.7% (0.6%)
- -------------------------------------------------------------------------------------------- -------------------------------------
CASH EXPENSES
Aircraft Operating Expenses
[17] - Insurance (0.4) - (0.4) (0.1%) 0.0% (0.1%)
[18] - Re-leasing and other overheads (10.0) (10.7) 0.7 (2.7%) (3.0%) 0.3%
----------------------------------- -------------------------------------
[19] [17]+[18] subtotal (10.4) (10.7) 0.3 (2.9%) (3.0%) 0.2%
SG&A Expenses
[20] Aircraft Servicer Fees
- Retainer Fee (3.0) (3.0) 0.0 (0.8%) (0.8%) 0.1%
- Rent Collected Fee (3.4) (3.4) (0.0) (0.9%) (1.0%) 0.1%
- Previous Servicer Fees (1.8) - (1.8) (0.6%) 0.0% (0.6%)
----------------------------------- -------------------------------------
[21] sub-total (8.1) (6.4) (1.8) (2.2%) (1.8%) (0.4%)
[22] Other Servicer Fees (15.6) (8.2) (7.4) (4.6%) (2.3%) (2.3%)
----------------------------------- -------------------------------------
[23] [21]+[22] subtotal (23.8) (14.5) (9.2) (6.8%) (4.1%) (2.7%)
[24] [20]+[23] Total Cash Expenses (34.2) (25.2) (8.9) (9.7%) (7.1%) (2.5%)
- -------------------------------------------------------------------------------------------- -------------------------------------
NET CASH COLLECTIONS
[25] [17] Total Cash Collections 338.7 342.5 (3.8) 96.1% 96.7% (0.6%)
[26] [24] Total Cash Expenses (34.2) (25.2) (8.9) (9.7%) (7.1%) (2.5%)
[27] Movement in Expense Account6.0 - 8.7 2.8% 0.0% 2.8%
[28] Interest Payments (142.3) (189.4) 47.1 (41.9%) (53.6%) 11.7%
[29] Swap Payments (42.6) 3.9 (46.5) (10.9%) 1.1% (12.0%)
[30] Proceeds from sale of aircraft 50.5 51.1 (0.6) 15.5% 15.7% (0.2%)
----------------------------------- -------------------------------------
[31] Sum [25]...[30] TOTAL 178.8 182.9 (4.1) 52.0% 52.8% (0.8%)
=================================== =====================================
- -------------------------------------------------------------------------------------------- -------------------------------------
[32] PRINCIPAL PAYMENTS
subclass A 153.5 157.4 (3.9) 44.9% 45.6% (0.8%)
subclass B 20.1 20.3 (0.2) 5.8% 5.9% (0.1%)
subclass C 5.2 5.2 (0.0) 1.3% 1.3% 0.0%
subclass D - - - 0.0% 0.0% 0.0%
----------------------------------- -------------------------------------
Total 178.8 182.9 (4.1) 52.0% 52.8% (0.8%)
=================================== =====================================
- -------------------------------------------------------------------------------------------- -------------------------------------
Debt Balances
subclass A 844.9 841.0 3.9
subclass B 134.7 134.5 0.2
subclass C 158.9 158.9 -
subclass D 100.0 100.0 -
-----------------------------------
TOTAL 1,238.5 1,234.4 4.1
===================================
---------------------------------------------------------------------------------------
* Adjusted Base Case are July 2000 Prospectus Base Case cashflows adjusted for
aircraft sales.
Page 5 of 7
AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
- ------------------------------------------------------------------------------------------------------------------------------------
Note: Report Line Name Description
- ------------------------------------------------------------------------------------------------------------------------------------
CASH COLLECTIONS
[1] Lease Rentals Assumptions per the July 2000 Prospectus adjusted for aircraft sales
[2] - Renegotiated Leases Change in contracted rental cash flow caused by a renegotiated lease
[3] - Rental Resets Re-leasing events where new lease rate deviated from the 2000 Base Case
[4] S [1]...[3] Contracted Lease Rentals Current Contracted Lease Rentals due as at the latest Calculation Date
[5] Movement in Current Arrears Balance Current contracted lease rentals not received as at the latest
Calculation Date, excluding Bad debts
less Net Stress related Costs
[6] - Bad debts Arrears owed by former lessees and deemed irrecoverable.
[7] - Security deposits drawn down Security deposits received following a lesse default
[8] - Restructured arrears
[9] - AOG Lost of rental due to an aircraft being off-lease and non-revenue earning
[10] - Other Leasing Income Includes lease termination payments, rental guarantees and late payments
charges
[11] - Repossession Legal and technical costs incurred in repossessing aircraft.
[12] S [6]...[11] sub-total
[13] [4]+[5]+[12] Net Lease Rentals Contracted Lease Rentals less Movement in Current Arrears Balance and Net
Stress related costs
[14] Interest Earned Interest earned on monthly cash balances
[15] Net Maintenance Maintenance Revenue Reserve received less and reimbursements to lessees.
[16] S [13]...[15] Total Cash Collections Net Lease Rentals + Interest Earned + Net Maintenance
- ------------------------------------------------------------------------------------------------------------------------------------
CASH EXPENSES
Aircraft Operating Expenses All operational costs related to the leasing of aircraft.
[17] - Insurance Premium for contingent insurance policies
[18] - Re-leasing and other Costs associated transferring an aircraft from one lessee to another
[19] [17]+[18] subtotal
SG&A Expenses
[20] Aircraft Servicer Fees Monthly and annual fees paid to Aircraft Servicer
- Base Fee Fixed amount per month per aircraft
- Rent Contracted Fee 1.00% of rental contracted for the month
- Rent Collected Fee 1.25% of rental received for the month
- Previous Servicer Fees Fees paid to the previous Servicer of AerCo
[21] [20] subtotal
[22] Other Servicer Fees Administrative Agent, trustee and professional fees paid to other service
providers.
[23] [21]+[22] subtotal
[24] [19]+[23] Total Cash Expenses Aircraft Operating Expenses + SG&A Expenses
- ------------------------------------------------------------------------------------------------------------------------------------
NET CASH COLLECTIONS
[25] [16] Total Cash Collections line 16 above
[26] [24] Total Cash Expenses line 24 above
[27] Movement in Expense Account Movement in Expense Account
[28] Interest Payments Interest paid on all outstanding debt
[29] Swap payments Net swap payments (paid) /received
[30] Proceeds from Aircraft Sales Proceeds, net of fees and expenses, from the sale of aircraft
[31] S [25]...[30] Exceptional Items Includes adjustment for aircraft included in the Basecase but not
acquired by AerCo
TOTAL
- ------------------------------------------------------------------------------------------------------------------------------------
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AERCO LIMITED
Report to Noteholders
All amounts in US Dollars unless otherwise stated
- ------------------------------------------------------------------------------------------------------------------------------------
Coverage Ratios
--------------- 2000
Closing Actual *Adjusted Base Case
- ------------------------------------------------------------------------------------------------------------------------------------
Net Cash Collections 178.8 182.9
Add Back Interest 142.3 189.4
--------
Add Back Swap Payments 42.6 (3.9)
----------------------
a Net Cash Collections 363.7 368.4
b Swaps 42.6 (3.9)
c Class A Interest 81.2 123.7
d Class A Minimum 30.5 37.9
e Class B Interest 14.4 20.5
f Class B Minimum 8.6 8.5
g Class C Interest 18.6 25.9
h Class C Minimum - -
i Class D Interest 16.3 16.3
j Class D Minimum - -
k Class A Scheduled - -
l Class B Scheduled 11.1 11.8
m Class C Scheduled 5.2 5.2
n Class D Scheduled - -
o Permited Aircraft Modifications
p Class A Supplemental 123.0 119.5
---------------------------------------------
Total 351.4 365.4
---------------------------------------------
[1] Interest Coverage Ratio
Class A 2.94 3.08 = a / (b+c)
Class B 2.16 2.07 = a / (b+c+d+e)
Class C 1.86 1.73 = a / (b+c+d+e+f+g)
Class D 1.71 1.61 = a / (b+c+d+e+f+g+h+i)
[2] Debt Coverage Ratio
Class A 1.71 1.61 = a / (b+c+d+e+f+g+h+i+ j+k)
Class B 1.63 1.53 = a / (b+c+d+e+f+g+h+i+j+k+l)
Class C 1.59 1.50 = a / (b+c+d+e+f+g+h+i+j+k+l+m)
Class D 1.59 1.50 = a / (b+c+d+e+f+g+h+i+j+k+l+m+n)
Loan-to-Value Ratios
-------------------------------------------------------------------
2000 Base Case Actual 2000 *Ajusted Base Case
17-Jul-00 15-Jun-02 15-Jun-02
-------------------------------------------------------------------
[3] Assumed Portfolio Value 1,566.7 1,358.9 1,358.9
Adjusted Portfolio Value (105%) 1,345.0
Liquidity Reserve Amount
Cash 65.0 65.0 65.0
- Accrued Expenses 5.0 6.0 5.0
- Security Deposits 22.4 17.1 22.4
------------ ------------ ------------
subtotal cash 92.4 88.1 92.4
Letters of Credit - - -
------------ ------------ ------------
Total Liquidity Reserve 92.4 88.1 92.4
[4] Total Asset Value 1,659.1 1,446.9 1,463.5
Note Balance
Class A 998.4 60.2% 844.9 58.4% 841.0 57.5%
Class B 154.8 69.5% 134.7 67.7% 134.5 66.7%
Class C 164.1 79.4% 158.9 78.7% 158.9 77.5%
Class D 100.0 85.4% 100.0 85.6% 100.0 84.3%
------------ ------------ ------------
Total 1,417.3 1,238.5 1,234.4
- ------------------------------------------------------------------------------------------------------------------------------------
* Adjusted Base Case are July 2000 Prospectus Base Case cashflows adjusted
for aircraft sales.
[1] Interest Coverage Ratio is equal to Net Cash Collections, before Interest
and swap payments, expressed as a ratio of the swap costs and interest payable
on each subclass of Notes plus the interest and minimum principal payments
payable on each subclass of Notes that rank senior in priority of payment to
the relevant subclass of Notes.
[2] Debt Service Ratio is equal to Net Cash Collections before interest and
swap payments, expressed as a ratio of the interest and minimum and scheduled
principal payments payable on each subclass of Notes plus the interest and
minimum and scheduled principal payments payable on each subclass of Notes that
ranks equally with or senior to the relevant subclass of Notes in the priority
of payments.
[3] Assumed Portfolio Value represents the Inital Appraised Value of each
aircraft in the Portfolio multipled by the Depreciation Factor at Calculation
date divided by the Depreciation Factor at Closing date.
[4] Total Asset Value is equal to Total Portfolio Value plus Liquidity
Reserve Amount
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