1 EXHIBIT 10.4 ILFC INTERNATIONAL LEASE FINANCE CORPORATION November 6, 1996 Mr. Rick Hammond Chief Financial Officer INTERNATIONAL AIRCRAFT INVESTORS 3655 Torrance Blvd., Suite 410 Torrance, CA 90503 Re: Asset Value Guarantees Dear Rick: In connection with the aircraft lease transactions from International Lease Finance Corporation ("ILFC") by International Aircraft Investors ("IAI"), ILFC has provided Asset Value Guarantees ("AVG's") in various amounts to facilitate financing for IAI acquisitions. As has been our practice with IAI purchases from ILFC, each AVG remains with the aircraft while owned by IAI, including any subsequent release or refinance period. This is to confirm our agreement to continue the existing AVG's for up to 10 years following IAI's purchase from ILFC. Any continuation beyond 10 years would be subject to negotiation. Very truly yours, /s/ Alan H. Lund Alan H. Lund Executive Vice President and Chief Financial Officer