Fly Leasing — Investor Presentation (February 2012)
15 slides from Fly Leasing's investor presentation, Feb 7, 2012
Slide 1: FLY Leasing Limited February 2012
FLY Leasing Limited February 2012
Slide 2: Caution Concerning Forward-looking Statements
Caution Concerning Forward-looking Statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as "expects," "anticipates," "intends," "plans," "believes," "s
Slide 3: FLY — Investment Highlights
FLY — Investment Highlights Significant Growth Since NYSE IPO in 2007 * Portfolio has increased from 47 aircraft to 109 aircraft (+132%) + No new equity capital has been requited or raised Strong Record of Shareholder Value Enhancements * Paid 16 consecutive dividends since listing on the NYSE in 20
Slide 4: 2011 - A Landmark Year
2011 - A Landmark Year Increased aircraft portfolio to 109 aircraft Acquired 52 aircraft for ~$1.5 billion All aircraft purchased with FLY's free cash and new or assumed debt Increased lessees to 53 airlines Added 20 new lessees Further diversified global footprint of lessees Lessees include many of
Slide 5: FLY Leasing - Leading Global Lessor of Modern Aircraft
FLY Leasing - Leading Global Lessor of Modern Aircraft Note: Portfolio data is as of 12/31/2011. Footnotes: Weighted average. Each includes one freighter. One A330-200, one A340-300, two A340-600s, one B747-400 and one B767-300ER. Based upon percent of the book value of aircraft. Modern Fleet - 8.5
Slide 6: Strong Credits and Diversified Exposure
Strong Credits and Diversified Exposure 53 lessees in 29 countries Remaining average lease term: 3.6 years (1) FLY's lease exposure includes some of the top credits in the industry: The average remaining lease term is weighted by net book value of aircraft as of 12/31/11. The portfolio acquired was
Slide 7: FLY's Aircraft Debt Facilities
FLY's Aircraft Debt Facilities The effective interest rate includes contractual interest rates under each loan facility as of December 31, 2011 and associated amounts due under interest rate swap contracts. Beginning in August 2012, all excess cash flow will be used to repay principal. Balance is re
Slide 8: BBAM Services FLY's Aircraft - Scale and Aligned Interests
BBAM Services FLY's Aircraft - Scale and Aligned Interests FLY's portfolio is serviced by BBAM, the world's third largest lease manager BBAM is 85% owned by its senior management and 15% by FLY FLY's 15% interest in BBAM has diversified earnings and been consistently profitable (CHART) Fleet Value (
Slide 9: Proven Track Record of Enhancing Shareholder Value
Proven Track Record of Enhancing Shareholder Value
Slide 10: FLY has Capitalized on the Aviation & Financial Cycles
Proven Track Record of Enhancing Shareholder Value FLY has Capitalized on the Aviation & Financial Cycles (1) The gains on the most recent two sales will be reported with Q4 results in March.
Slide 11: Strategy for Continually Increasing Shareholder Value
Strategy for Continually Increasing Shareholder Value FLY will Continue to Capitalize on Cycles
Slide 12: Industry Update
> Industry Update Fy Leasing
Slide 13: Airline Performance Snapshot
Airline Performance Snapshot Traffic Continuing to rebound from 2008 global recession and credit crisis although rate of growth slowing from 2010 Capacity Capacity growing slightly faster than traffic demand resulting in decreased loads compared to 2010 but still relatively high Yields Generally goo
Slide 14: World Air Traffic Growth Drives Aircraft Leasing
Source: ATA Demand for aircraft is mainly a function of global air travel growth (measured by RPKs) Air travel is highly correlated to GDP Historically RPKs have grown at 1-2% above global GDP Air travel growth has historically been resilient over the medium and long-term Average annual growth of ~6
Slide 15: Aircraft Leasing - Increasingly Important for Airlines
The lessor fleet has grown from under 100 aircraft in the 1970s to 7,000+ today Over 56% of world's airlines (~400) have aircraft on operating lease Why Airlines Lease Why Airlines Lease Fleet Flexibility Ability to quickly address constantly changing equipment needs Financial Flexibility Less cash