JNM

Aircastle Remains On Course

Both the revolver and warehouse mature in 12/08. The revolver is flat, but the warehouse has $255M drawn. It's backed by 11 aircraft. AYR is in active talks to sell the 11th plane and wrap the balance of 10 in a term facility spanning 5Ys totaling ~$215M. The other financing hurdle is raising capital for the pre-delivery payments (PDP) on the A330 order of 12 aircraft. They owe $17M this year and another $153M in '09. Management expects to have both items cleared up by YE08.