Fly Leasing — Investor Presentation (February 2011)
20 slides from Fly Leasing's investor presentation, Feb 10, 2011
Slide 1: FLY Leasing Limited Overview February 2011
FLY Leasing Limited Overview February 2011
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 Leasing is Leading Global Lessor of Modern Aircraft
FLY Leasing is Leading Global Lessor of Modern Aircraft Note: Portfolio data is as of 12/31/2010. Footnotes: Each includes one freighter. One A330-200, one B747-400, one B767-300ER and one B777-200ER. Based upon percent of the book value of aircraft and geographic location of lessees.; includes four
Slide 4: Summary Financials for the Nine Months Ending September 30, 2010
Summary Financials for the Nine Months Ending September 30, 2010 ($ in millions, except per share amounts) ($ in millions, except per share amounts) ($ in millions, except per share amounts) Total Revenues $ 193.7 Total Assets Total Assets $ 2,006.4 Net Income $ 42.0 Total Liabilities Total Liabilit
Slide 5: FLY's Investment in BBAM
FLY's Investment in BBAM FLY acquired 15% of BBAM in April 2010 BBAM is a privately-held company formed by its senior executives BBAM is the world's third largest lease manager with ~400 aircraft BBAM's management, acting through Summit Aviation Partners, acquired one million FLY shares Summit Aviat
Slide 6: BBAM - Global, Full Service Platform
BBAM - Global, Full Service Platform ~90 employees in 9 offices with coverage of all regions Dedicated in-house professional staff providing a comprehensive platform Origination & Re-Marketing Technical Services Finance, Contracts & Investor Reporting Corporate Finance & Capital Markets Tokyo London
Slide 7: Representative Global Reach
Representative Global Reach Representative Global Reach Representative Global Reach Representative Global Reach Americas Asia-Pacific Africa / Middle East Europe Ability to Place Aircraft Globally Current and Historical Lessee Relationships in All Regions Current and Historical BBAM Relationships
Slide 8: FLY Leasing's Strategy for the Future
FLY Leasing's Strategy for the Future
Slide 9: Recent Portfolio Activity
Recent Portfolio Activity FLY has taken advantage of improving industry and financing conditions to make strategic aircraft dispositions and acquisitions
Slide 10: Impressive Shareholder Value Enhancement Track Record
Impressive Shareholder Value Enhancement Track Record Impressive Shareholder Value Enhancement Track Record
Slide 11: Current Financing Overview
Current Financing Overview Facility Key Covenants $826m SecuritizationReduced to $656m through repurchasesMinimal amortization until August 2012Low margin, hedged interest ratesNo refinancing obligation Non-recourseNo appraised value testsDebt Service Coverage Ratio of 1.8 : 1; failure triggers amor
Slide 12: Return of Strong Industry Fundamentals
Return of Strong Industry Fundamentals 2010 Airline Profits $15.1 billion 2011 Forecasted Airline Profits $9.1 billion 2010 Traffic Growth 11.6% 2011 Forecasted Traffic Growth 5.3% IATA Financial Forecast 2009 to 2029 Worldwide Annual Growth Rates (CHART) Sources: Boeing Current Market Outlook, 2010
Slide 13: Aircraft Leasing is a Critical Element in the Global Aviation Value Chain
The fleet under lessor management has grown from under 100 aircraft in the 1970s to 7,000+ today Over 56% of airlines (~400 carriers) have aircraft on operating lease in their fleets Aircraft Leasing is a Critical Element in the Global Aviation Value Chain Why Airlines Lease Why Airlines Lease Fleet
Slide 14: Investment Highlights
Investment Highlights |+ Growing developing markets + Refleetng needs in developed markets Attractive Market ARBeaaesenUerapuaeiin + Aircraft manufacturer production lines sold out + BBAMis the world's third largest lease manager Strong + Serviced by world class management team with global footprint
Slide 15: Investment Highlights (continued)
Investment Highlights (continued)
Slide 16: Appendix
a Appendix Fy Leasing
Slide 17: FLY - Q3 2010 Financial Results
FLY - Q3 2010 Financial Results Annualized lease revenues of $195m SG&A largely fixed and scalable Servicing fees predictable - - largely based on a fixed percentage of lease revenues Interest rates hedged, margins fixed ($ in thousands, except per share data) Nine Months ended Sept. 30, 2010 Nine M
Slide 18: FLY - Selected Balance Sheet Information
FLY - Selected Balance Sheet Information Unrestricted cash increased by 19% in nine months of 2010 Total dividends paid of $17.1m in nine months of 2010 ($ in thousands, except per share data) September 30, 2010 (Unaudited) December 31, 2009 (Audited) Cash and cash equivalents $113,786 $95,972 Restr
Slide 19: FLY - Available Cash Flow (a Non-GAAP Financial Measure)
FLY - Available Cash Flow ( a Non-GAAP Financial Measure) FLY defines Available Cash Flow ("ACF") as net income plus depreciation, amortization of lease incentives and debt issue costs, non-cash share- based compensation, and deferred income taxes. In addition, non-cash gains on purchases of notes p
Slide 20: FLY Leasing Investor Relations Contact
FLY Leasing (NYSE: FLY) Investor Relations Contact: Matt Dallas +1 203-769-5916 Matt.Dallas@bbam.com