0001590364-24-000021 | 10-Q | XBRL Viewer

FAIR VALUE MEASUREMENTS

9 Months Ended

Sep. 30, 2024

9. FAIR VALUE MEASUREMENTS

Fair value measurements and disclosures require the use of valuation techniques to measure fair value that maximize the use of observable inputs and minimize use of unobservable inputs. These inputs are prioritized as follows:

•Level 1: Observable inputs such as quoted prices in active markets for identical assets or liabilities.

•Level 2: Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities or market corroborated inputs.

•Level 3: Unobservable inputs for which there is little or no market data and which require us to develop our own assumptions about how market participants price the asset or liability.

The valuation techniques that may be used to measure fair value are as follows:

•Market approach—Uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities.

•Income approach—Uses valuation techniques to convert future amounts to a single present amount based on current market expectations about those future amounts.

•Cost approach—Based on the amount that currently would be required to replace the service capacity of an asset (replacement cost).

Our cash and cash equivalents and restricted cash consist largely of demand deposit accounts with maturities of 90 days or less when purchased that are considered to be highly liquid. These instruments are valued using inputs observable in active markets for identical instruments and are therefore classified as Level 1 within the fair value hierarchy.

Except as discussed below, our financial instruments other than cash and cash equivalents and restricted cash consist principally of accounts receivable, notes receivable, accounts payable and accrued liabilities, loans payable, security deposits, maintenance deposits and management fees payable, whose fair values approximate their carrying values based on an evaluation of pricing data, vendor quotes, and historical trading activity or due to their short maturity profiles.

The fair values of our bonds payable are presented in the table below and classified as Level 2 within the fair value hierarchy:


	September 30, 2024		December 31, 2023
Senior Notes due 2025	$	—	$	649,383
Senior Notes due 2027	133,883		416,432
Senior Notes due 2028	997,080		963,630
Senior Notes due 2030	539,175		521,440
Senior Notes due 2031	736,162		—
Senior Notes due 2032	840,312		—

The Company has contingent obligations under ASC 460, Guarantees, in connection with certain sales of aircraft on lease, which are measured at fair value. The guarantees are valued at $8.1 million and $6.8 million as of September 30, 2024 and December 31, 2023, respectively, and are reflected as a component of Other liabilities. The fair values of the guarantees are determined based on the estimated condition of the engines at the end of each lease term and the estimated cost of replacement and applicable discount rates and are classified as Level 3. During the three and nine months ended September 30, 2024, the Company recorded a $0.3 million and $1.3 million increase related to the change in fair value, which is recorded as Asset sales revenue. During the nine months ended September 30, 2023, the Company recorded a $4.9 million increase in guarantees related to the sale of seven aircrafts and a $1.7 million decrease related to the change in fair value, which is recorded as Asset sales revenue. During the three and nine months ended September 30, 2024 and 2023, there were no significant transfers into or out of Level 3.

We measure the fair value of certain assets on a non-recurring basis when U.S. GAAP requires the application of fair value, including events or changes in circumstances that indicate that the carrying amounts of assets may not be recoverable. Assets subject to these measurements include intangible assets, property, plant and equipment and leasing equipment. We record such assets at fair value when it is determined the carrying value may not be recoverable. Fair value measurements for assets subject to impairment tests are based on an income approach which uses Level 3 inputs, which include our assumptions as to future cash flows from operation of the leasing and eventual sale of assets.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References

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+ Details

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Accounting	Basis of Accounting—The accompanying consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and include the accounts of us and our subsidiaries. These financial statements and related notes should be read in conjunction with the Consolidated Financial Statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023.
Principles of Consolidation	Principles of Consolidation—We consolidate all entities in which we have a controlling financial interest and control over significant operating decisions. All adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The ownership interest of other investors in consolidated subsidiaries is recorded as non-controlling interest. We use the equity method of accounting for investments in entities in which we exercise significant influence but which do not meet the requirements for consolidation. Under the equity method, we record our proportionate share of the underlying net income (loss) of these entities.
Use of Estimates	Use of Estimates—The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Restructuring Charges	Restructuring Charges—The termination of the Management Agreement was a material change in the management structure of the business and is accounted for under ASC 420, Exit or Disposal Cost Obligations. The termination fee payment to the Former Manager under the Internalization Agreement is recorded within Internalization Fee to Affiliate in the Consolidated Statements of Operations.
Reclassifications	Reclassifications—Certain amounts from prior periods in the Company’s consolidated financial statements have been reclassified to align with the presentation in the current period.
Risks and Uncertainties	Risks and Uncertainties—In the normal course of business, we encounter several significant types of economic risk including credit, market, and capital market risks. Credit risk is the risk of the inability or unwillingness of a lessee or customer to make contractually required payments or to fulfill its other contractual obligations. Market risk reflects the risk of a downturn or volatility in the underlying industry segments in which we operate, which could adversely impact the pricing of the services offered by us or a lessee’s or customer’s ability to make payments, increase the risk of unscheduled lease terminations and depress lease rates and the value of our leasing equipment or operating assets. Capital market risk is the risk that we are unable to obtain capital at reasonable rates to fund the growth of our business or to refinance existing debt facilities. We, through our subsidiaries, also conduct operations outside of the United States; such international operations are subject to the same risks as those associated with our United States operations as well as additional risks, including unexpected changes in regulatory requirements, heightened risk of political and economic instability, potentially adverse tax consequences and the burden of complying with foreign laws. We do not have significant exposure to foreign currency risk as all of our leasing arrangements are denominated in U.S. dollars.
Cash and Cash Equivalents	Cash and Cash Equivalents—We consider all highly liquid short-term investments with a maturity of 90 days or less when purchased to be cash equivalents.
Inventory, net	Inventory, net—We hold aircraft engines, engine modules, spare parts and used material inventory for trading, repairs and to support operations. Inventory is carried at the lower of cost or net realizable value.
Revenues	Revenues—We disaggregate our revenue by products and services. Revenues are within the scope of ASC 842, Leases, and ASC 606, Revenue from contracts with customers, unless otherwise noted. We have elected to exclude sales and other similar taxes from revenues. Operating Leases—We lease equipment pursuant to operating leases. Operating leases with fixed rentals and step rentals are recognized on a straight-line basis over the term of the lease, assuming no renewals. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received. Generally, under our aircraft lease and engine agreements, the lessee is required to make periodic maintenance payments calculated based on the lessee’s utilization of the leased asset or at the end of the lease. Typically, under our aircraft lease agreements, the lessee is responsible for maintenance, repairs and other operating expenses throughout the term of the lease. These periodic maintenance payments accumulate over the term of the lease to fund major maintenance events, and we are contractually obligated to return maintenance payments to the lessee up to the cost of maintenance events paid by the lessee. In the event the total cost of maintenance events over the term of a lease is less than the cumulative maintenance payments, we are not required to return any unused or excess maintenance payments to the lessee. Maintenance payments received for which we expect to repay to the lessee are presented as Maintenance deposits. All excess maintenance payments received that we do not expect to repay to the lessee are recorded as Maintenance revenue. Estimates in recognizing revenue include mean time between removal, projected costs for engine maintenance and forecasted utilization of aircraft which are affected by historical usage patterns and overall industry, market and economic conditions. Significant changes to these estimates could have a material effect on the amount of revenue recognized in the period. For purchase and lease back transactions, we account for the transaction as a single arrangement. We allocate the consideration paid based on the relative fair value of the aircraft and lease and other related assets/liabilities acquired. The fair value of the lease may include a lease premium or discount, which is recorded as a favorable or unfavorable lease intangible. Finance Leases—From time to time we enter into finance lease arrangements that include a lessee obligation to purchase the leased equipment at the end of the lease term, a bargain purchase option, or provides for minimum lease payments with a present value that equals or exceeds substantially all of the fair value of the leased equipment at the date of lease inception. Net investment in finance leases represents the minimum lease payments due from lessee, net of unearned income. The lease payments are segregated into principal and interest components similar to a loan. Unearned income is recognized on an effective interest method over the lease term and is recorded as lease income. The principal component of the lease payment is reflected as a reduction to the net investment in finance leases. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received. Asset sales revenue—Asset sales revenue primarily consists of the transaction price related to the sale of aircraft and aircraft engines from our Aviation Leasing segment. From time to time, the Company may also assign the related lease agreements to the customer as part of the sale of these assets. We routinely sell leasing equipment to customers and such transactions are considered recurring and ordinary in nature to our business. As such, these sales are accounted for within the scope of ASC 606. Revenue is recognized when a performance obligation is satisfied by transferring control over an asset to a customer. Revenue is recorded with corresponding costs of sales, presented on a gross basis. Aerospace products revenue—Aerospace products revenue primarily consists of the transaction price related to the sale of CFM56-7B, CFM56-5B and V2500 engines, engine modules, spare parts and used material inventory, and are accounted for within the scope of ASC 606. Revenue is recognized when a performance obligation is satisfied by transferring control over the related asset to a customer. Revenue is recorded with corresponding costs of sales, presented on a gross basis. Aerospace products revenue also consists of engine management service contracts, where the Company has a stand-ready obligation to provide replacement CFM56-7B and CFM56-5B engines to customers as they become unserviceable during the contract term. The Company recognizes revenue over time using a straight-line attribution method and the costs related to fulfilling the performance obligation are expensed as incurred.
Concentration of Credit Risk	Concentration of Credit Risk—We are subject to concentrations of credit risk with respect to amounts due from customers. We attempt to limit our credit risk by performing ongoing credit evaluations. No single customer accounted for greater than 10% of total revenue during the three and nine months ended September 30, 2024 and September 30, 2023. As of September 30, 2024 and December 31, 2023, no single customer accounted for greater than 10% of total accounts receivable, net. We maintain cash and restricted cash balances, which generally exceed federally insured limits, and subject us to credit risk, in high credit quality financial institutions. We monitor the financial condition of these institutions and have not experienced any losses associated with these accounts.
Allowance for Doubtful Accounts and Credit Losses	Allowance for Doubtful Accounts and Credit Losses—For receivables related to operating lease arrangements, we determine the allowance for doubtful accounts based on our assessment of the collectability of our receivables on a customer-by-customer basis.
Comprehensive Income	Comprehensive Income—Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances, excluding those resulting from investments by and distributions to owners. Our comprehensive income represents net income, as presented in the Consolidated Statements of Operations.
Assets Held for Sale	Assets Held for Sale— We classify assets as held for sale when the Company commits to a plan to sell and it is probable that the sale will be completed within one year. These assets are recorded at the lower of their carrying value or fair market value, less costs to sell, starting from the period in which they meet the criteria for this classification.
Dividends	Dividends—Dividends are recorded if and when declared by the Board of Directors.
Cash Flows Presentation	Cash Flow Presentation—Included in net cash (used in) provided by operating activities are inflows from the sale of engine modules and parts that were on engines originally purchased and reported as Leasing equipment, net on the Consolidated Balance Sheet. The purchase of the original engine was reported as an outflow in net cash used in investing activities at the time of purchase through the Acquisition of leasing equipment line item. As part of the Aerospace products business, the Company breaks down generally unserviceable engines with the intent to manufacture modules and parts for creation and sale of new assets. To manufacture the modules and parts and bring them into a salable condition, the Company spends significant costs, often over multiple reporting periods, for new inventory and capitalizable labor (e.g., engineering) that are included in net cash (used in) provided by operating activities as components of the changes in the related working capital accounts. Therefore, when the costs to manufacture the assets are greater than (predominant to) the estimated value transferred from Leasing equipment into inventory, the related cash receipt has been recorded as an inflow in net cash (used in) provided by operating activities. Additionally, the Company buys inventory from third parties with the intent to use the parts in the manufacturing of the items discussed above, which is reported as an outflow in net cash (used in) provided by operating activities. When rebuilding whole engines for resale, for which the cash inflow upon sale is reported as a cash inflow from investing activities, the Company will transfer modules and parts needed (those purchased from third parties as well as parts from engines previously transferred to inventory from leasing equipment and rebuilt as discussed above) in the rebuild from inventory to leasing equipment.
Recent Accounting Pronouncements	Recent Accounting Pronouncements—In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures. This ASU modifies the disclosure and presentation requirements of reportable segments. The new guidance requires the disclosure of significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit and loss. In addition, the new guidance enhances interim disclosure requirements, clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss, provides new segment disclosure requirements for entities with a single reportable segment, and contains other disclosure requirements. This standard is effective retrospectively for all public entities for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. We are currently assessing the impact this guidance will have on our consolidated financial statements and related disclosures. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740) - Improvements to Income Tax Disclosures. This ASU enhances the transparency and decision usefulness of income tax disclosures by expanding the disclosures of an entity’s income tax rate reconciliation and disaggregation of income taxes paid and income tax expense. Under the new guidance, public business entities must annually disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold, if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income (loss) by the applicable statutory income tax rate. This standard is effective prospectively for all public entities for annual periods beginning after December 15, 2024, with early adoption and retrospective application permitted. We are currently assessing the impact this guidance will have on our consolidated financial statements and related disclosures. In March 2024, the FASB issued ASU 2024-02, Codification Improvements - Amendments to Remove References to the Concept Statements. This ASU amends the Codification to remove references to various concepts statements and impacts a variety of topics in the Codification. The amendments apply to all reporting entities within the scope of the affected accounting guidance. Generally, the amendments in ASU 2024-02 are not intended to result in significant accounting changes for most entities. ASU 2024-02 is effective January 1, 2025 and we are currently assessing the impact this guidance will have on our consolidated financial statements and related disclosures.
Fair Value Measurement	Fair value measurements and disclosures require the use of valuation techniques to measure fair value that maximize the use of observable inputs and minimize use of unobservable inputs. These inputs are prioritized as follows: •Level 1: Observable inputs such as quoted prices in active markets for identical assets or liabilities. •Level 2: Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities or market corroborated inputs. •Level 3: Unobservable inputs for which there is little or no market data and which require us to develop our own assumptions about how market participants price the asset or liability. The valuation techniques that may be used to measure fair value are as follows: •Market approach—Uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. •Income approach—Uses valuation techniques to convert future amounts to a single present amount based on current market expectations about those future amounts. •Cost approach—Based on the amount that currently would be required to replace the service capacity of an asset (replacement cost). Our cash and cash equivalents and restricted cash consist largely of demand deposit accounts with maturities of 90 days or less when purchased that are considered to be highly liquid. These instruments are valued using inputs observable in active markets for identical instruments and are therefore classified as Level 1 within the fair value hierarchy. Except as discussed below, our financial instruments other than cash and cash equivalents and restricted cash consist principally of accounts receivable, notes receivable, accounts payable and accrued liabilities, loans payable, security deposits, maintenance deposits and management fees payable, whose fair values approximate their carrying values based on an evaluation of pricing data, vendor quotes, and historical trading activity or due to their short maturity profiles.

INVESTMENTS - Share of Equity of Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Schedule of Equity Method Investments [Line Items]
Income (loss)	$ (438)	$ 46	$ (1,799)	$ (1,669)
Advanced Engine Repair JV
Schedule of Equity Method Investments [Line Items]
Income (loss)	(438)	1,063	(1,592)	1,336
Falcon MSN 177 LLC
Schedule of Equity Method Investments [Line Items]
Income (loss)	0	(108)	(207)	(242)
Quick Turn Engine Center LLC
Schedule of Equity Method Investments [Line Items]
Income (loss)	$ 0	$ (909)	$ 0	$ (2,763)

- Definition

Amount of income (loss) for proportionate share of equity method investee's income (loss).

+ References + Details

DEBT, NET - Narrative (Details) - USD ($) $ in Thousands			3 Months Ended		9 Months Ended
DEBT, NET - Narrative (Details) - USD ($) $ in Thousands	Jun. 18, 2024	Apr. 11, 2024	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Jun. 17, 2024	May 23, 2024
Debt Instrument [Line Items]
Repayments debt					$ 1,367,304	$ 330,000
Loss on extinguishment of debt			$ 0	$ 0	$ 13,920	$ 0
Bonds payable \| Senior Notes due 2031
Debt Instrument [Line Items]
Debt instrument face amount		$ 700,000
Stated percentage		7.00%	7.00%		7.00%
Bonds payable \| Senior Notes Due 2025
Debt Instrument [Line Items]
Stated percentage			6.50%		6.50%
Repurchase of notes		$ 324,600
Repayments debt		325,400
Loss on extinguishment of debt		$ 2,700
Bonds payable \| Senior Notes due 2032
Debt Instrument [Line Items]
Debt instrument face amount							$ 800,000
Stated percentage			7.00%		7.00%		7.00%
Bonds payable \| Senior Notes due 2027
Debt Instrument [Line Items]
Stated percentage			9.75%		9.75%
Repurchase of notes	$ 300,000
Loss on extinguishment of debt	$ 11,200
Revolving Credit Facility \| Loans payable
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity								$ 400,000
Letter of Credit \| Loans payable
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity								$ 25,000

EARNINGS PER SHARE AND EQUITY - Narrative (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings Per Share [Abstract]
Antidilutive shares (in shares)	0	0	859,940	0
Stocks issued during period for services (in shares)	482	0	4,852	18,457

CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net (loss) income	$ (93,766)	$ 125,457
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Equity in losses of unconsolidated entities	1,799	1,669
Gain on sale of assets	(244,353)	(110,511)
Security deposits and maintenance claims included in earnings	(13,437)	(34,458)
Loss on extinguishment of debt	13,920	0
Equity-based compensation	2,578	1,128
Non-cash termination fee to affiliate (issuance of ordinary shares)	150,000	0
Depreciation and amortization	163,386	123,399
Asset impairment	962	1,220
Change in deferred income taxes	(2,470)	5,974
Change in fair value of guarantees	1,340	(1,677)
Amortization of lease intangibles and incentives	30,998	33,685
Amortization of deferred financing costs	7,996	6,429
Provision for credit losses	2,784	6,583
Other	(158)	(995)
Change in:
Accounts receivable	(31,234)	(34,358)
Inventory	(163,900)	(4,845)
Other assets	(16,769)	(3,727)
Accounts payable and accrued liabilities	50,630	321
Management fees payable to affiliate	(3,967)	824
Other liabilities	(2,492)	648
Net cash (used in) provided by operating activities	(146,153)	116,766
Cash flows from investing activities:
Investment in unconsolidated entities	0	(19,500)
Principal collections on finance leases	1,872	3,624
Principal collections on notes receivable	3,874	2,438
Acquisition of business, net of cash acquired	(143,634)	0
Acquisition of leasing equipment	(622,366)	(506,923)
Investments in financing receivables	(63,857)	0
Acquisition of property, plant and equipment	(2,968)	(3,906)
Acquisition of lease intangibles	1,174	(10,474)
Investment in promissory notes	0	(11,500)
Deposits for acquisitions of aircraft and engines	(162,708)	(10,533)
Proceeds from sale of assets	542,938	366,065
Proceeds (refunds) from deposits on sale of aircraft and engines	2,414	(683)
Return of deposits for acquisition of aircraft and engines	530	300
Net cash used in investing activities	(442,731)	(191,092)
Cash flows from financing activities:
Proceeds from debt	2,069,250	430,000
Repayment of debt	(1,367,304)	(330,000)
Payment of deferred financing costs	(10,825)	(1,805)
Receipt of security deposits under operating lease agreements	6,120	7,355
Return of security deposits under operating lease agreements	0	(2,385)
Receipt of maintenance deposits under operating lease agreements	35,583	22,747
Release of maintenance deposits under operating lease agreements	(6,460)	(275)
Capital contributions from non-controlling interests	(534)	10
Proceeds from issuance of preferred shares, net of underwriter's discount and issuance costs	0	61,729
Cash dividends - ordinary shares	(90,809)	(89,776)
Cash dividends - preferred shares	(25,005)	(23,460)
Net cash provided by financing activities	610,016	74,140
Net increase (decrease) in cash and cash equivalents and restricted cash	21,132	(186)
Cash and cash equivalents and restricted cash, beginning of period	90,906	53,065
Cash and cash equivalents and restricted cash, end of period	112,038	52,879
Supplemental disclosure of non-cash investing and financing activities (see Note 2 for additional non-cash information):
Issuance of notes receivable in connection with the sale of aircraft and engines	69,826	27,634
Acquisition of leasing equipment in accrued expenses	(11,772)	(8,825)
Purchase deposits reclassified to leasing equipment from other assets	(19,608)	(6,371)
Security deposits settled with accounts receivable	(4,365)	(2,851)
Maintenance deposits settled with accounts receivable	$ (38,795)	$ (38,754)

COMMITMENTS AND CONTINGENCIES	9 Months Ended
COMMITMENTS AND CONTINGENCIES	Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	15. COMMITMENTS AND CONTINGENCIES In the normal course of business, the Company and its subsidiaries may be involved in various claims, legal proceedings, or may enter into contracts that contain a variety of representations and warranties and which provide general indemnifications. Within our offshore energy business, a lessee did not fulfill its obligation under its charter arrangement, therefore we are pursuing rights afforded to us under the charter and the range of potential losses against the obligation is $0.0 million to $3.3 million. Our maximum exposure under other arrangements is unknown as no additional claims have been made. We believe the risk of loss in connection with such arrangements is remote. The Company has contingent obligations under ASC 460, Guarantees, in connection with certain sales of aircraft on lease. Under the agreements, we provide certain guarantees at the end of the lease term for the condition of the aircraft engines that were sold to the buyer. The guarantees are valued at $8.1 million and $6.8 million as of September 30, 2024 and December 31, 2023, respectively, and are reflected as a component of Other liabilities. Given variability in the condition of the engines at the end of the lease terms, which range from 4 to 8 years, the maximum potential amount of undiscounted future payments that could be required under the guarantees at September 30, 2024 was $37.2 million, which is not reasonably expected. Internalization—During the second quarter of 2024, the Company entered into the Internalization Agreement with the Former Manager and Master GP. Pursuant to the Internalization Agreement, the Management Agreement was terminated effective May 28, 2024, except that certain indemnification and other obligations survive, and the Company was no longer required to pay management fees or incentive distributions with respect to any period thereafter. As a result of the Internalization, the Company ceased to be externally managed and operates as an internally managed company. In connection with the termination of the Management Agreement, the Company (i) agreed to pay the Former Manager (for itself and on behalf of the Master GP, as applicable) the Cash Consideration, the compensation accrued and payable, but not yet paid, under the Management Agreement and the expenses that were reimbursable, but not yet reimbursed, under the Management Agreement; (ii) issued to the Former Manager (for itself and on behalf of the Master GP, as applicable) the Share Consideration; and (iii) purchased from Master GP all of its partnership interests in FTAI Aviation Holdco Ltd., a subsidiary of the Company, in exchange for $30.

INVESTMENTS - Narrative (Details) $ in Thousands				1 Months Ended
INVESTMENTS - Narrative (Details) $ in Thousands	May 03, 2024 USD ($)	Dec. 01, 2023 USD ($)	Jan. 04, 2023 USD ($)	Aug. 31, 2019 USD ($)	Sep. 30, 2024 USD ($)	Dec. 31, 2023 USD ($)	Nov. 30, 2021 USD ($)	Dec. 31, 2016 USD ($)
Schedule of Equity Method Investments [Line Items]
Investments					$ 19,448	$ 22,722
Falcon MSN 177 LLC
Schedule of Equity Method Investments [Line Items]
Payments to acquire asset	$ 800
Quick Turn Engine Center LLC
Schedule of Equity Method Investments [Line Items]
Payments to acquire businesses, gross		$ 30,300
Percent interest acquired		100.00%
Advanced Engine Repair JV
Schedule of Equity Method Investments [Line Items]
Investments					$ 19,448	21,040		$ 15,000
Ownership percentage				25.00%	25.00%			25.00%
Equity method investment contribution amount				$ 13,500
Falcon MSN 177 LLC
Schedule of Equity Method Investments [Line Items]
Investments					$ 0	$ 1,682	$ 1,600
Ownership percentage					50.00%		50.00%
Percentage of interest acquired	1
Quick Turn Engine Center LLC
Schedule of Equity Method Investments [Line Items]
Ownership percentage			50.00%
Payments to acquire equity method investments			$ 19,500
Pro rata distribution of income, percentage			45.00%

INCOME TAXES (Tables)

9 Months Ended

Sep. 30, 2024

Income Tax Disclosure [Abstract]

Schedule of Components of Income Tax Expense

The current and deferred components of the income tax provision included in the Consolidated Statements of Operations are as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Current:
Cayman Islands	$	—	$	—	$	—	$	—
Bermuda	—		—		—		—
United States:	—		—		—		—
Federal	(296)		(32)		888		(77)
State and local	(72)		39		217		20
Non-U.S.	446		851		1,235		1,669
Total current provision	78		858		2,340		1,612
Deferred:
Cayman Islands	—		—		—		—
Bermuda	4,738		—		(3,088)		—
United States:	—		—		—		—
Federal	1,422		1,521		2,733		2,344
State and local	317		(430)		584		68
Non-U.S.	776		1,756		(2,699)		3,562
Total deferred provision	7,253		2,847		(2,470)		5,974

Total provision for income taxes	$	7,331	$	3,705	$	(130)	$	7,586

AFFILIATE TRANSACTIONS - Management fees, incentive allocation and capital gains (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Related Party Transaction [Line Items]
Management fees and incentive allocation to affiliate	$ 0	$ 4,577	$ 8,449	$ 13,137
General Partner
Related Party Transaction [Line Items]
Management fees and incentive allocation to affiliate	0	4,577	8,449	13,137
Management fees \| General Partner
Related Party Transaction [Line Items]
Management fees and incentive allocation to affiliate	0	303	993	597
Income incentive allocation \| General Partner
Related Party Transaction [Line Items]
Management fees and incentive allocation to affiliate	$ 0	$ 4,274	$ 7,456	$ 12,540

EQUITY-BASED COMPENSATION - Expenses Related to Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity-based compensation	$ 1,430	$ 510	$ 2,578	$ 1,128
Remaining Expense To Be Recognized, If All Vesting Conditions Are Met	18,017		18,017
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity-based compensation	128	0	170	0
Remaining Expense To Be Recognized, If All Vesting Conditions Are Met	1,905		$ 1,905
Weighted Average Remaining Contractual Term (in years)			3 years 9 months 18 days
Restricted Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity-based compensation	1,302	$ 510	$ 2,408	$ 1,128
Remaining Expense To Be Recognized, If All Vesting Conditions Are Met	$ 16,112		$ 16,112
Weighted Average Remaining Contractual Term (in years)			2 years 10 months 24 days

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

AFFILIATE TRANSACTIONS

9 Months Ended

Sep. 30, 2024

AFFILIATE TRANSACTIONS

12. AFFILIATE TRANSACTIONS

On May 28, 2024, the Company entered into definitive agreements with the Former Manager and Master GP to internalize the Company’s management function. As part of the termination of the Management Agreement, the Company (i) paid the Former Manager (for itself and on behalf of the Master GP, as applicable) the Cash Consideration, the compensation accrued and payable, but not yet paid, under the Management Agreement and the expenses that were reimbursable, but not yet reimbursed, under the Management Agreement; (ii) issued to the Former Manager (for itself and on behalf of the Master GP, as applicable) the Share Consideration; and (iii) purchased from Master GP all of its partnership interests in FTAI Aviation Holdco Ltd., a subsidiary of the Company, in exchange for $30. Following the Internalization, the Company no longer pays management fees or incentive distributions to the Former Manager and Master GP.

In connection with the termination of the Management Agreement, the Company also entered into a Transition Services Agreement with the Former Manager. Under the Transition Services Agreement, the Former Manager was required to continue to provide the Company and its affiliates with all of the Services for a transition period through October 31, 2024, during which the Company procured replacements for the Services. The Services were provided to the Company for a fee equal to the Former Manager’s cost of providing the Services, plus a mark-up of ten percent (10%). In addition, the Former Manager is required to continue to provide the services that are reasonably required by the Company to prepare its quarterly and annual financial statements until May 31, 2025. The Transition Services Agreement may be terminated earlier (x) by mutual agreement of the parties, (y) by either the Former Manager or the Company in the event of a material breach by the non-terminating party that is not cured within thirty (30) days following written notification thereof, or (z) by the Former Manager if the Company fails to pay any undisputed sum overdue and payable for a period of at least thirty (30) days.

Prior to the Internalization, the Former Manager was paid annual fees in exchange for advising us on various aspects of our business, formulating our investment strategies, arranging for the acquisition and disposition of assets, arranging for financing, monitoring performance, and managing our day-to-day operations, inclusive of all costs incidental thereto. In addition, the Former Manager was reimbursed for various expenses incurred by the Former Manager on our behalf, including the costs of legal, accounting and other administrative activities. Additionally, we entered into certain incentive allocation arrangements with Master GP, which owned approximately 0.01% of FTAI Aviation Holdco Ltd. (a wholly owned subsidiary of the Company).

The Former Manager was entitled to a management fee and reimbursement of certain expenses. The management fee was determined by taking the average value of total equity (excluding non-controlling interests) determined on a consolidated basis in accordance with U.S. GAAP at the end of the two most recently completed months multiplied by an annual rate of 1.50%, and was payable monthly in arrears in cash.

Prior to the Internalization and the termination of the Management Agreement on May 28, 2024, Master GP, was entitled to incentive allocations (comprised of income incentive allocation and capital gains incentive allocation, defined below). The income incentive allocation was calculated and distributable quarterly in arrears based on the pre-incentive allocation net income for the immediately preceding calendar quarter (the “Income Incentive Allocation”). For this purpose, pre-incentive allocation net income means, with respect to a calendar quarter, net income attributable to shareholders during such quarter calculated in accordance with U.S. GAAP excluding our pro rata share of (1) realized or unrealized gains and losses, and (2) certain non-cash or one-time items, and (3) any other adjustments as may be approved by our independent directors. Pre-incentive allocation net income did not include any Income Incentive Allocation or Capital Gains Incentive Allocation (described below) paid to Master GP during the relevant quarter.

Prior to the Internalization, one of our subsidiaries allocated and distributed to Master GP an Income Incentive Allocation with respect to its pre-incentive allocation net income in each calendar quarter as follows: (1) no Income Incentive Allocation in any calendar quarter in which pre-incentive allocation net income, expressed as a rate of return on the average value of our net equity capital (excluding non-controlling interests) at the end of the two most recently completed calendar quarters, does not exceed 2% for such quarter (8% annualized); (2) 100% of pre-incentive allocation net income with respect to that portion of such pre-incentive allocation net income, if any, that is equal to or exceeds 2% but does not exceed 2.2223% for such quarter; and (3) 10% of the amount of pre-incentive allocation net income, if any, that exceeds 2.2223% for such quarter. These calculations were prorated for any period of less than three months.

Prior to the Internalization, Capital Gains Incentive Allocation was calculated and distributable in arrears as of the end of each calendar year and was equal to 10% of our pro rata share of cumulative realized gains from the date of the IPO through the end of the applicable calendar year, net of our pro rata share of cumulative realized or unrealized losses, the cumulative non-cash portion of equity-based compensation expenses and all realized gains upon which prior performance-based Capital Gains Incentive Allocation payments were made to Master GP.

The following table summarizes the management fees, income incentive allocation and capital gains incentive allocation prior to the Internalization on May 28, 2024:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Management fees	$	—	$	303	$	993	$	597
Income incentive allocation	—		4,274		7,456		12,540

Total	$	—	$	4,577	$	8,449	$	13,137

We paid all of our operating expenses, except those specifically required to be borne by the Former Manager under the Management Agreement. The expenses required to be paid by us included, but were not limited to, issuance and transaction costs incident to the acquisition, disposition and financing of our assets, legal and auditing fees and expenses, the compensation and expenses of our independent directors, the costs associated with the establishment and maintenance of any credit facilities and other indebtedness of ours (including commitment fees, legal fees, closing costs, etc.), expenses associated with other securities offerings of ours, costs and expenses incurred in contracting with third parties (including affiliates of the Former Manager), the costs of printing and mailing proxies and reports to our shareholders, costs incurred by the Former Manager or its affiliates for travel on our behalf, costs associated with any computer software or hardware that was used by us, costs to obtain liability insurance to indemnify our directors and officers and the compensation and expenses of our transfer agent.

We paid or reimbursed the Former Manager and its affiliates for performing certain legal, accounting, due diligence tasks and other services that outside professionals or outside consultants otherwise would perform, provided that such costs and reimbursements were no greater than those which would be paid to outside professionals or consultants. The Former Manager was responsible for all of its other costs incident to the performance of its duties under the Management Agreement, including compensation of the Former Manager’s employees, rent for facilities and other “overhead” expenses; we did not reimburse the Former Manager for these expenses.

The following table summarizes our reimbursements to the Former Manager:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Classification in the Consolidated Statements of Operations:
General and administrative	$	2,557	$	1,592	$	6,115	$	5,096
Acquisition and transaction expenses	967		172		1,654		381
Total	$	3,524	$	1,764	$	7,769	$	5,477

Upon the successful completion of an offering of our ordinary shares or other equity securities (including securities issued as consideration in an acquisition), we granted the Former Manager options to purchase ordinary shares in an amount equal to 10% of the number of ordinary shares being sold in the offering (or if the issuance relates to equity securities other than our ordinary shares, options to purchase a number of ordinary shares equal to 10% of the gross capital raised in the equity issuance divided by the fair market value of a ordinary share as of the date of issuance), with an exercise price equal to the offering price per share paid by the public or other ultimate purchaser or attributed to such securities in connection with an acquisition (or the fair market value of a ordinary share as of the date of the equity issuance if it relates to equity securities other than our ordinary shares). Any ultimate purchaser of ordinary shares for which such options are granted may have been an affiliate of the Former Manager.

The following table summarizes amounts due to the Former Manager, which are included within accounts payable and accrued liabilities in the Consolidated Balance Sheets:


	September 30, 2024		December 31, 2023
Accrued management fees	$	—	$	224
Other payables	2,500		6,200

As of September 30, 2024 and December 31, 2023, there were no receivables from the Former Manager.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References

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-URI https://asc.fasb.org/1943274/2147483326/850-10-50-6

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483326/850-10-50-1

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483326/850-10-50-1

+ Details

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS - Narrative (Details) ft² in Thousands, $ in Thousands		3 Months Ended		9 Months Ended
	Sep. 09, 2024 USD ($) ft²	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)
Business Acquisition [Line Items]
Acquisition and transaction expenses		$ 9,341	$ 4,261	$ 23,539	$ 10,195
Lockheed Martin Commercial Engine Solutions
Business Acquisition [Line Items]
Payments to acquire businesses, gross	$ 170,000
Size of aircraft engine maintenance repair facility acquired \| ft²	526
Acquisition and transaction expenses		$ 4,800		$ 5,200

INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
United States:
Federal	$ (296)	$ (32)	$ 888	$ (77)
State and local	(72)	39	217	20
Total current provision	78	858	2,340	1,612
United States:
Federal	1,422	1,521	2,733	2,344
State and local	317	(430)	584	68
Total deferred provision	7,253	2,847	(2,470)	5,974
Total provision for income taxes	7,331	3,705	(130)	7,586
Cayman Islands
Current:
Foreign	0	0	0	0
United States:
Non-U.S.	0	0	0	0
Deferred:
Foreign	0	0	0	0
United States:
Non-U.S.	0	0	0	0
Bermuda
Current:
Foreign	0	0	0	0
United States:
Non-U.S.	0	0	0	0
Deferred:
Foreign	4,738	0	(3,088)	0	$ (72,200)
United States:
Non-U.S.	4,738	0	(3,088)	0	$ (72,200)
Non-U.S.
Current:
Foreign	446	851	1,235	1,669
United States:
Non-U.S.	446	851	1,235	1,669
Deferred:
Foreign	776	1,756	(2,699)	3,562
United States:
Non-U.S.	$ 776	$ 1,756	$ (2,699)	$ 3,562

DEBT, NET

9 Months Ended

Sep. 30, 2024

Debt Disclosure [Abstract]

DEBT, NET

8. DEBT, NET

Our debt, net is summarized as follows:


	September 30, 2024				December 31, 2023
	Outstanding Borrowings		Stated Interest Rate	Maturity Date	Outstanding Borrowings
Loans payable
Revolving Credit Facility (1)	$	150,000	(i) Base Rate + 1.75%; or (ii) Adjusted Term SOFR Rate + 2.75%	5/22/27	$	—
Total loans payable	150,000				—
Bonds payable
Senior Notes due 2025 (2)	—		6.50%	10/1/25	652,043
Senior Notes due 2027	130,500		9.75%	8/1/27	400,000
Senior Notes due 2028 (3)	1,001,475		5.50%	5/1/28	1,001,746
Senior Notes due 2030 (4)	496,976		7.88%	12/1/30	496,704
Senior Notes due 2031	700,000		7.00%	5/1/31	—
Senior Notes due 2032	800,000		7.00%	6/15/32	—
Total bonds payable	3,128,951				2,550,493

Debt	3,278,951				2,550,493
Less: Debt issuance costs	(60,608)				(33,150)
Total debt, net	$	3,218,343			$	2,517,343

Total debt due within one year	$	—			$	—

________________________________________________________

(1) Requires a quarterly commitment fee at a rate of 0.50% on the average daily unused portion, as well as customary letter of credit fees and agency fees.

(2) Includes an unamortized discount of $866 at December 31, 2023 and an unamortized premium of $2,908 at December 31, 2023.

(3) Includes an unamortized premium of $1,475 and $1,746 at September 30, 2024 and December 31, 2023, respectively.

(4) Includes unamortized discount of $3,024 and $3,296 at September 30, 2024 and December 31, 2023, respectively.

Revolving Credit Facility—On May 23, 2024, the Company amended and restated its Revolving Credit Facility by executing a Third Amended and Restated Credit Agreement (the “Revolver Amendment”). The Revolver Amendment provides for revolving loans to be made available to the Company in an aggregate principal amount of up to $400.0 million, of which up to $25.0 million may be utilized for the issuance of letters of credit.

Senior Notes due 2031—On April 11, 2024, we issued $700.0 million aggregate principal amount of senior unsecured notes due 2031 (the “Senior Notes due 2031”). The Senior Notes due 2031 bear interest at a rate of 7.00% per annum, payable semi-annually in arrears on May 1 and November 1 of each year, commencing on November 1, 2024. Using a portion of the net proceeds, the Company completed a cash tender offer for $324.6 million aggregate principal amount of 2025 Notes validly tendered on April 11, 2024. Holders whose notes were accepted for purchase received equal consideration per $1,000 principal amount of 2025 Notes, plus accrued and unpaid interest to, but not including, April 11, 2024. The Company used the remaining net proceeds to redeem the remaining $325.4 million aggregate principal amount of Senior Notes due 2025, plus accrued and unpaid interest, and recognized a loss on extinguishment of debt of $2.7 million. The remaining net proceeds were used for general corporate purposes, including the funding of acquisitions and investments.

Senior Notes due 2032—On June 17, 2024, we issued $800.0 million aggregate principal amount of senior unsecured notes due 2032 (the “Senior Notes due 2032”). These notes bear interest at a rate of 7.00% per annum, payable semi-annually in arrears on June 15 and December 15 of each year, commencing on December 15, 2024. The Company utilized the net proceeds from the issuance for several purposes: (i) to fully repay outstanding amounts under our Revolving Credit Facility provided under the Revolver Amendment, without reduction in commitments, (ii) to fund the cash termination fee for the previously announced management Internalization described in Note 12, (iii) to complete a cash tender offer for up to $300.0 million in aggregate principal amount of Senior Notes due 2027 validly tendered on June 18, 2024, plus accrued and unpaid interest, and recognized a loss on extinguishment of debt of $11.2 million, (iv) to cover fees and expenses related to the aforementioned transactions, and (v) for general corporate purposes.

We were in compliance with all debt covenants as of September 30, 2024.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481544/470-10-50-6

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481544/470-10-50-6

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)(3)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 470
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org/470/tableOfContent

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 835
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482925/835-30-45-2

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (i)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1C

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1C

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1C

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1E
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1E

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

+ Details

INVESTMENTS - Ownership Carrying Values (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023	Nov. 30, 2021	Aug. 31, 2019	Dec. 31, 2016
Schedule of Equity Method Investments [Line Items]
Carrying Value	$ 19,448	$ 22,722
Advanced Engine Repair JV
Schedule of Equity Method Investments [Line Items]
Ownership Percentage	25.00%			25.00%	25.00%
Carrying Value	$ 19,448	21,040			$ 15,000
Falcon MSN 177 LLC
Schedule of Equity Method Investments [Line Items]
Ownership Percentage	50.00%		50.00%
Carrying Value	$ 0	$ 1,682	$ 1,600

- Definition

This item represents the carrying amount on the entity's balance sheet of its investment in common stock of an equity method investee. This is not an indicator of the fair value of the investment, rather it is the initial cost adjusted for the entity's share of earnings and losses of the investee, adjusted for any distributions (dividends) and other than temporary impairment (OTTI) losses recognized.

+ References + Details

INTANGIBLE ASSETS AND LIABILITIES, NET (Tables)

9 Months Ended

Sep. 30, 2024

Intangible Assets and Liabilities Disclosure [Abstract]

Schedule of Finite-Lived Intangible Assets and Liabilities

Intangible assets and liabilities, net are summarized as follows:


	September 30, 2024		December 31, 2023
Intangible assets
Acquired favorable lease intangibles	$	66,535	$	68,041
Less: Accumulated amortization	(30,123)		(19,347)
Acquired favorable lease intangibles, net	36,412		48,694
Acquired customer relationships	1,907		1,907
Less: Accumulated amortization	(318)		(11)
Acquired customer relationships, net	1,589		1,896
Total intangible assets, net	$	38,001	$	50,590

Intangible liabilities
Acquired unfavorable lease intangibles	$	3,085	$	3,151
Less: Accumulated amortization	(1,040)		(1,389)
Acquired unfavorable lease intangibles, net	$	2,045	$	1,762

Schedule of Intangible Assets and Liabilities

Amortization of intangible assets and liabilities is recorded as follows:


	Classification in Consolidated Statements of Operations	Three Months Ended September 30,				Nine Months Ended September 30,
		2024		2023		2024		2023
Lease intangibles	Lease income	$	3,720	$	3,726	$	11,482	$	11,325
Customer relationships	Depreciation and amortization	95		—		307		—
Total		$	3,815	3,726		$	11,789	11,325

Schedule of Net Annual Amortization of Intangibles

As of September 30, 2024, estimated net annual amortization of intangibles is as follows:


Remainder of 2024	$	3,849
2025	12,652
2026	9,356
2027	4,348
2028	3,759
Thereafter	1,992
Total	$	35,956

ACQUISITION OF QUICKTURN (Tables)

9 Months Ended

Sep. 30, 2024

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table summarizes the preliminary allocation of the net assets acquired:


	September 9, 2024
Fair value of assets acquired:
Accounts receivable	$	12,273
Property, plant, and equipment	71,376
Leasing equipment	5,675
Inventory	47,445
Other assets (1)	12,804
Total assets	149,573
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	9,847
Other liabilities	22,996
Total liabilities	32,843
Goodwill (2)	26,904
Net assets acquired (3)	$	143,634

________________________________________________________

(1) Acquired Other assets include a favorable off-market lease component with an estimated fair value of $2,340.

(2) Goodwill is primarily attributable to the assembled workforce of FTAIC and the synergies expected to be achieved. This goodwill is assigned to the Aerospace Products segment and is deductible for income tax purposes.

(3) Total consideration is calculated as cash paid, adjusted for the settlement of pre-existing relationships. Cash consideration is also preliminary, as it is subject to net working capital adjustments.

The following table summarizes the preliminary allocation of the net assets acquired:


	December 1, 2023
Fair value of assets acquired:
Cash and cash equivalents	$	518
Restricted cash	150
Accounts receivable	5,133
Property, plant, and equipment	30,559
Intangible assets	2,377
Inventory	9,332
Other assets	4,301
Total assets	52,370
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	3,994
Other liabilities	2,410
Total liabilities	6,404
Goodwill (1)	4,630
Net assets acquired	$	50,596

________________________________________________________

(1) Goodwill is primarily attributable to the assembled workforce of QuickTurn and the synergies expected to be achieved. This goodwill is assigned to the Aerospace Products segment and is deductible for income tax purposes.

Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination

The following table presents the identifiable intangible assets and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Above market leases	4	$	470
Customer relationships	5	$	1,907
Total		$	2,377

Schedule of Property Plant And Equipment Acquired as Part of Business Combination

The following table presents preliminary fair values of the components of property, plant and equipment acquired and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Buildings and improvements	25	$	40,602
Machinery and equipment	2 - 21	29,973
Other	N/A	801
Total		$	71,376

The following table presents the property, plant and equipment and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Land	N/A	$	2,840
Buildings and improvements	25	13,790
Machinery and equipment	6 - 23	13,631
Other	5 - 7	298
Total		$	30,559

Business Acquisition, Pro Forma Information

Cost savings are also not reflected in the pro-forma amounts presented below.


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Total revenue	$	479,277	$	315,666	$	1,283,520	$	929,297
Net income (loss) attributable to shareholders	$	83,727	$	34,753	$	(122,542)	$	89,716

The following pro forma financial information is presented for informational purposes only and is not indicative of the results of operations that would have been achieved if the acquisition had taken place as of January 1, 2023.


	Three Months Ended		Nine Months Ended
	September 30, 2023		September 30, 2023
Total revenue	$	296,480	$	875,066
Net income attributable to shareholders	$	31,350	$	97,633

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS

9 Months Ended

Sep. 30, 2024

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS

3. ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS

On September 9, 2024, the Company, through its subsidiary FTAIC Aviation Inc. (“FTAIC”) created on April 25, 2024, acquired certain assets and assumed certain liabilities of Lockheed Martin Commercial Engine Solutions (“LMCES”) from Lockheed Martin Canada for a total cash consideration of $170.0 million. LMCES is a 526,000-square-foot aircraft engine maintenance repair facility located in Montréal, Quebec. We acquired LMCES to further enhance our Maintenance, Repair, and Exchange business and establish permanent engine and module manufacturing capabilities in Canada. The facility operates within our Aerospace Products segment, providing extensive engine and piece-part repair capabilities for the CFM56 engines. See Note 13 for additional information. The results of operations at LMCES have been included in the Consolidated Statements of Operations as of the effective date of the acquisition. In connection with the acquisition, we recorded $4.8 million and $5.2 million of acquisition and transaction expense during the three and nine months ended September 30, 2024, respectively.

The acquisition of LMCES was accounted for as a business combination and, as such, the following fair values were assigned to assets acquired and liabilities assumed based on management’s estimates and assumptions and are preliminary. The significant assumptions used to estimate the fair values of the property, plant, and equipment and inventory included replacement cost estimates and market data for similar assets where available. The final valuation and related allocation of the purchase price is subject to change as additional information is received and will be completed no later than 12 months after the closing date. The final acquisition accounting adjustments may be materially different and may include (i) changes in fair values of property, plant and equipment and associated salvage values; (ii) changes in fair values of inventory; (iii) changes in allocations to intangible assets, including goodwill; (iv) changes due to net working capital adjustments; (v) changes due to deferred taxes and (vi) changes to other assets and other liabilities.

The following table summarizes the preliminary allocation of the net assets acquired:


	September 9, 2024
Fair value of assets acquired:
Accounts receivable	$	12,273
Property, plant, and equipment	71,376
Leasing equipment	5,675
Inventory	47,445
Other assets (1)	12,804
Total assets	149,573
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	9,847
Other liabilities	22,996
Total liabilities	32,843
Goodwill (2)	26,904
Net assets acquired (3)	$	143,634

________________________________________________________

(1) Acquired Other assets include a favorable off-market lease component with an estimated fair value of $2,340.

The following table presents preliminary fair values of the components of property, plant and equipment acquired and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Buildings and improvements	25	$	40,602
Machinery and equipment	2 - 21	29,973
Other	N/A	801
Total		$	71,376

The results of operations for the acquired business are included in the accompanying Consolidated Statements of Operations from the acquisition date.

The following table presents supplemental pro-forma information as if the acquisitions had occurred at the beginning of fiscal year 2023. The pro-forma information does not necessarily reflect the results of operations that would have occurred had the acquisitions had taken place as of January 1, 2023. Cost savings are also not reflected in the pro-forma amounts presented below.


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Total revenue	$	479,277	$	315,666	$	1,283,520	$	929,297
Net income (loss) attributable to shareholders	$	83,727	$	34,753	$	(122,542)	$	89,716

4. ACQUISITION OF QUICKTURN

On December 1, 2023, we completed the acquisition of the remaining equity interest of Quick Turn Engine Center LLC (“QuickTurn”) from Unical Aviation Inc. (“Unical”) for total cash consideration of $30.3 million to obtain full ownership.

We acquired QuickTurn to better position the Company to have tighter integration over the development and delivery of aerospace products. QuickTurn is a hospital maintenance and testing facility dedicated to the CFM56 engine located in Miami, Florida that operates within our Aerospace Products segment. The results of operations at QuickTurn have been included in the Consolidated Statements of Operations beginning on the acquisition date.

The acquisition of QuickTurn was accounted for as a business combination and, as such, the following fair values were assigned to assets acquired and liabilities assumed based on management’s estimates and assumptions and are preliminary. The significant assumptions used to estimate the fair value of the property, plant, and equipment included replacement cost estimates and market data for similar assets where available. The significant assumptions used to estimate the value of the customer relationship intangible assets included the discount rate and future revenues and operating expenses. The final valuation and related allocation of the purchase price is subject to change as additional information is received and will be completed no later than 12 months after the closing date. The final acquisition accounting adjustment may be materially different and may include changes in fair values of Inventory.

The following table summarizes the preliminary allocation of the net assets acquired:


	December 1, 2023
Fair value of assets acquired:
Cash and cash equivalents	$	518
Restricted cash	150
Accounts receivable	5,133
Property, plant, and equipment	30,559
Intangible assets	2,377
Inventory	9,332
Other assets	4,301
Total assets	52,370
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	3,994
Other liabilities	2,410
Total liabilities	6,404
Goodwill (1)	4,630
Net assets acquired	$	50,596

________________________________________________________

The following table presents the identifiable intangible assets and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Above market leases	4	$	470
Customer relationships	5	$	1,907
Total		$	2,377

The following table presents the property, plant and equipment and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Land	N/A	$	2,840
Buildings and improvements	25	13,790
Machinery and equipment	6 - 23	13,631
Other	5 - 7	298
Total		$	30,559

The financial information in the table below summarizes the combined results of operations of FTAI and QuickTurn on a pro forma basis. These pro forma results were based on estimates and assumptions which we believe are reasonable. The pro forma adjustments are primarily comprised of the following:

•The allocation of the purchase price and related adjustments, including adjustments to depreciation and amortization expense related to the fair value of property, plant and equipment and intangible assets acquired;

•Associated tax-related impacts of adjustments.


	Three Months Ended		Nine Months Ended
	September 30, 2023		September 30, 2023
Total revenue	$	296,480	$	875,066
Net income attributable to shareholders	$	31,350	$	97,633

RESTRUCTURING CHARGES (Details) - USD ($) $ in Thousands		3 Months Ended	9 Months Ended
RESTRUCTURING CHARGES (Details) - USD ($) $ in Thousands	May 28, 2024	Sep. 30, 2023	Sep. 30, 2023
Restructuring and Related Activities [Abstract]
Total payment due to Former Manager	$ 300,000
Internalization agreement, share consideration (in shares)	1,866,949
Internalization agreement, share consideration, value	$ 150,000
Restructuring charges		$ 0	$ 0

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS - Pro Forma Information (Details) - Lockheed Martin Commercial Engine Solutions - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Business Acquisition [Line Items]
Total revenue	$ 479,277	$ 315,666	$ 1,283,520	$ 929,297
Net income attributable to shareholders	$ 83,727	$ 34,753	$ (122,542)	$ 89,716

FAIR VALUE MEASUREMENTS - Fair Value by Balance Sheet Grouping (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Senior Notes due 2025
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Notes payable, fair value disclosure	$ 0	$ 649,383
Senior Notes due 2027
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Notes payable, fair value disclosure	133,883	416,432
Senior Notes due 2028
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Notes payable, fair value disclosure	997,080	963,630
Senior Notes due 2030
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Notes payable, fair value disclosure	539,175	521,440
Senior Notes due 2031
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Notes payable, fair value disclosure	736,162	0
Senior Notes due 2032
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Notes payable, fair value disclosure	$ 840,312	$ 0

AFFILIATE TRANSACTIONS (Tables)

9 Months Ended

Sep. 30, 2024

Schedule of Related Party Transactions

The following table summarizes the management fees, income incentive allocation and capital gains incentive allocation prior to the Internalization on May 28, 2024:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Management fees	$	—	$	303	$	993	$	597
Income incentive allocation	—		4,274		7,456		12,540

Total	$	—	$	4,577	$	8,449	$	13,137

The following table summarizes our reimbursements to the Former Manager:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Classification in the Consolidated Statements of Operations:
General and administrative	$	2,557	$	1,592	$	6,115	$	5,096
Acquisition and transaction expenses	967		172		1,654		381
Total	$	3,524	$	1,764	$	7,769	$	5,477

The following table summarizes amounts due to the Former Manager, which are included within accounts payable and accrued liabilities in the Consolidated Balance Sheets:


	September 30, 2024		December 31, 2023
Accrued management fees	$	—	$	224
Other payables	2,500		6,200

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Sep. 09, 2024	Dec. 31, 2023
Fair value of liabilities assumed:
Goodwill	$ 31,533		$ 4,630
Favorable off-market lease component		$ 2,340
Lockheed Martin Commercial Engine Solutions
Fair value of assets acquired:
Accounts receivable		12,273
Property, plant, and equipment		71,376
Leasing equipment		5,675
Inventory		47,445
Other assets		12,804
Total assets		149,573
Fair value of liabilities assumed:
Accounts payable and accrued liabilities		9,847
Other liabilities		22,996
Total liabilities		32,843
Goodwill		26,904
Net assets acquired		$ 143,634

LEASING EQUIPMENT, NET (Tables)

9 Months Ended

Sep. 30, 2024

Leases [Abstract]

Schedule of Lessor, Operating Leases

Leasing equipment, net is summarized as follows:




	September 30, 2024		December 31, 2023
Leasing equipment	$	2,621,016	$	2,574,394
Less: Accumulated depreciation	(554,679)		(541,981)
Leasing equipment, net	$	2,066,337	$	2,032,413

Operating Lease, Lease Income

Depreciation expense for leasing equipment is summarized as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024	2023
Depreciation expense for leasing equipment	$	55,376	$	43,765	159,936	122,867

INVESTMENTS

9 Months Ended

Sep. 30, 2024

Equity Method Investments and Joint Ventures [Abstract]

INVESTMENTS

6. INVESTMENTS

The following table presents the ownership interests and carrying values of our investments:


			Carrying Value
	Investment	Ownership Percentage	September 30, 2024		December 31, 2023
Advanced Engine Repair JV	Equity method	25%	$	19,448	$	21,040
Falcon MSN 177 LLC	Equity method	50%	—		1,682

			$	19,448	$	22,722

We did not recognize any other-than-temporary impairments for the three and nine months ended September 30, 2024 and 2023.

The following table presents our proportionate share of equity in (losses) income:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Advanced Engine Repair JV	$	(438)	$	1,063	$	(1,592)	$	1,336
Falcon MSN 177 LLC	—		(108)		(207)		(242)
Quick Turn Engine Center LLC	—		(909)		—		(2,763)
Total	$	(438)	$	46	$	(1,799)	$	(1,669)

Equity Method Investments

Advanced Engine Repair JV

In December 2016, we invested $15 million for a 25% interest in an advanced engine repair joint venture. This joint venture is focused on developing new cost savings programs for engine repairs.

In August 2019, we expanded the scope of our joint venture and invested an additional $13.5 million and maintained a 25% interest. We exercise significant influence over this investment and account for this investment as an equity method investment.

Falcon MSN 177 LLC

In November 2021, we invested $1.6 million for a 50% interest in Falcon MSN 177 LLC (“Falcon”), an entity that consists of one Dassault Falcon 2000 aircraft. Falcon leases the aircraft to charter operators on aircraft, crew maintenance, and insurance contracts. We account for our investment in Falcon as an equity method investment as we have significant influence through our interest.

On May 3, 2024, we purchased the remaining interest from S7 Aerospace for total cash consideration of $0.8 million and obtained full ownership of the aircraft with a 100% equity interest. On the acquisition date, the Company accounted for the Falcon investment on a consolidated basis and derecognized it as an equity method investment.

Quick Turn Engine Center LLC

On January 4, 2023, we invested $19.5 million for a 50% interest (45% pro rata distribution of income until return of the JV partner’s initial investment) in Quick Turn Engine Center LLC (previously iAero Thrust LLC), a hospital maintenance and testing facility dedicated to the CFM56 engine. We account for our investment in QuickTurn as an equity method investment as we have significant influence through our interest.

On December 1, 2023, we purchased the remaining interest in QuickTurn from the joint venture partner for total cash consideration of $30.3 million to obtain full ownership with a 100% equity interest. On the acquisition date, the Company accounted for QuickTurn on a consolidated basis and derecognized it as an equity method investment. See Note 4 for additional information.

DEBT, NET (Tables)

9 Months Ended

Sep. 30, 2024

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

Our debt, net is summarized as follows:


	September 30, 2024				December 31, 2023
	Outstanding Borrowings		Stated Interest Rate	Maturity Date	Outstanding Borrowings
Loans payable
Revolving Credit Facility (1)	$	150,000	(i) Base Rate + 1.75%; or (ii) Adjusted Term SOFR Rate + 2.75%	5/22/27	$	—
Total loans payable	150,000				—
Bonds payable
Senior Notes due 2025 (2)	—		6.50%	10/1/25	652,043
Senior Notes due 2027	130,500		9.75%	8/1/27	400,000
Senior Notes due 2028 (3)	1,001,475		5.50%	5/1/28	1,001,746
Senior Notes due 2030 (4)	496,976		7.88%	12/1/30	496,704
Senior Notes due 2031	700,000		7.00%	5/1/31	—
Senior Notes due 2032	800,000		7.00%	6/15/32	—
Total bonds payable	3,128,951				2,550,493

Debt	3,278,951				2,550,493
Less: Debt issuance costs	(60,608)				(33,150)
Total debt, net	$	3,218,343			$	2,517,343

Total debt due within one year	$	—			$	—

________________________________________________________

(1) Requires a quarterly commitment fee at a rate of 0.50% on the average daily unused portion, as well as customary letter of credit fees and agency fees.

(2) Includes an unamortized discount of $866 at December 31, 2023 and an unamortized premium of $2,908 at December 31, 2023.

(3) Includes an unamortized premium of $1,475 and $1,746 at September 30, 2024 and December 31, 2023, respectively.

(4) Includes unamortized discount of $3,024 and $3,296 at September 30, 2024 and December 31, 2023, respectively.

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(22))
-SubTopic 10
-Topic 210
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 69B
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481568/470-20-55-69B

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 69E
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481568/470-20-55-69E

Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.12-04(a))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-3

Reference 5: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 835
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482925/835-30-45-2

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481112/505-10-50-3

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477734/942-470-50-3

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481112/505-10-50-8

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481112/505-10-50-6

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 7
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481112/505-10-50-7

+ Details

ACQUISITION OF QUICKTURN - Property, Plant, and Equipment Acquired (Details) - Quick Turn Engine Center LLC $ in Thousands	Dec. 01, 2023 USD ($)
Business Acquisition [Line Items]
Estimated Fair value	$ 30,559
Land
Business Acquisition [Line Items]
Estimated Fair value	$ 2,840
Buildings and improvements
Business Acquisition [Line Items]
Estimated useful life in years	25 years
Estimated Fair value	$ 13,790
Machinery and equipment
Business Acquisition [Line Items]
Estimated Fair value	$ 13,631
Machinery and equipment \| Minimum
Business Acquisition [Line Items]
Estimated useful life in years	6 years
Machinery and equipment \| Maximum
Business Acquisition [Line Items]
Estimated useful life in years	23 years
Other
Business Acquisition [Line Items]
Estimated Fair value	$ 298
Other \| Minimum
Business Acquisition [Line Items]
Estimated useful life in years	5 years
Other \| Maximum
Business Acquisition [Line Items]
Estimated useful life in years	7 years

DEBT, NET - Schedule of Debt (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Jun. 17, 2024	Apr. 11, 2024	Dec. 31, 2023
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 3,278,951			$ 2,550,493
Less: Debt issuance costs	(60,608)			(33,150)
Total debt, net	3,218,343			2,517,343
Total debt due within one year	0			0
Loans payable
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	150,000			0
Bonds payable
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	3,128,951			2,550,493
Bonds payable \| Senior Notes Due 2025
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 0			652,043
Stated percentage	6.50%
Unamortized discount				866
Unamortized premium				2,908
Bonds payable \| Senior Notes due 2027
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 130,500			400,000
Stated percentage	9.75%
Bonds payable \| Senior Notes due 2028
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 1,001,475			1,001,746
Stated percentage	5.50%
Unamortized premium	$ 1,475			1,746
Bonds payable \| Senior Notes due 2030
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 496,976			496,704
Stated percentage	7.88%
Unamortized discount	$ 3,024			3,296
Bonds payable \| Senior Notes due 2031
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 700,000			0
Stated percentage	7.00%		7.00%
Bonds payable \| Senior Notes due 2032
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 800,000			0
Stated percentage	7.00%	7.00%
Revolving Credit Facility \| Loans payable
Debt Instrument [Line Items]
Debt, gross of debt issuance costs	$ 150,000			$ 0
Quarterly commitment fee rate	0.50%
Base Rate \| Revolving Credit Facility \| Loans payable
Debt Instrument [Line Items]
Basis spread	1.75%
Adjusted Term SOFR Rate \| Revolving Credit Facility \| Loans payable
Debt Instrument [Line Items]
Basis spread	2.75%

RESTRUCTURING CHARGES	9 Months Ended
RESTRUCTURING CHARGES	Sep. 30, 2024
Restructuring and Related Activities [Abstract]
RESTRUCTURING CHARGES	16. RESTRUCTURING CHARGES In connection with the Internalization and termination of the Management Agreement, the Company agreed to pay a total of $300.0 million to its Former Manager (for itself and on behalf of the Master GP, as applicable). At closing, the Company issued 1,866,949 ordinary shares valued at $150.0 million. The remaining balance was paid in cash on June 17, 2024. The restructuring charge paid in connection with the Internalization and termination of the Management Agreement is reflected in Internalization Fee to Affiliate expense in the Consolidated Statements of Operations for the three and nine months ended September 30, 2024. See Note 12 for additional discussion. There were no restructuring charges recorded for the three and nine months ended September 30, 2023.

CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	2,000,000,000	2,000,000,000
Common stock, shares issued (in shares)	102,549,679	100,245,905
Common stock, shares outstanding (in shares)	102,549,679	100,245,905
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	200,000,000	200,000,000
Preferred stock, shares issued (in shares)	15,920,000	15,920,000
Preferred stock, shares outstanding (in shares)	15,920,000	15,920,000

LEASING EQUIPMENT, NET - Additional Details (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Leases [Abstract]
Asset impairment	$ 0	$ 0	$ 962	$ 1,220

CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenues
Total revenues	$ 465,794	$ 291,096	$ 1,236,082	$ 858,159
Expenses
Cost of sales	219,496	116,707	568,157	366,909
Operating expenses	26,858	33,887	81,274	81,218
General and administrative	4,045	3,015	10,697	10,270
Acquisition and transaction expenses	9,341	4,261	23,539	10,195
Management fees and incentive allocation to affiliate	0	4,577	8,449	13,137
Internalization fee to affiliate	0	0	300,000	0
Depreciation and amortization	56,775	43,959	163,386	123,399
Asset impairment	0	0	962	1,220
Total expenses	316,515	206,406	1,156,464	606,348
Other (expense) income
Equity in (losses) earnings of unconsolidated entities	(438)	46	(1,799)	(1,669)
Interest expense	(57,937)	(40,185)	(160,840)	(117,976)
Loss on extinguishment of debt	0	0	(13,920)	0
Other income	2,909	461	3,045	877
Total other income (expense)	(55,466)	(39,678)	(173,514)	(118,768)
Income (loss) before income taxes	93,813	45,012	(93,896)	133,043
Provision for (benefit from) income taxes	7,331	3,705	(130)	7,586
Net income (loss)	86,482	41,307	(93,766)	125,457
Less: Dividends on preferred shares	8,335	8,334	25,005	23,460
Net income (loss) attributable to shareholders	$ 78,147	$ 32,973	$ (118,771)	$ 101,997
Earnings (loss) per share:
Basic (in dollars per share)	$ 0.76	$ 0.33	$ (1.17)	$ 1.02
Diluted (in dollars per share)	$ 0.76	$ 0.33	$ (1.17)	$ 1.02
Weighted average shares outstanding:
Basic (in shares)	102,380,659	99,927,594	101,199,356	99,796,736
Diluted (in shares)	103,395,348	100,482,309	101,199,356	100,269,203
Lease income
Revenues
Total revenues	$ 65,450	$ 45,622	$ 189,365	$ 161,141
Maintenance revenue
Revenues
Total revenues	59,917	63,925	156,894	141,131
Other (expense) income
Net income (loss) attributable to shareholders			(118,771)
Asset sales revenue
Revenues
Total revenues	34,953	61,400	145,993	246,927
Aerospace products revenue
Revenues
Total revenues	303,469	118,675	737,726	296,513
Other revenue
Revenues
Total revenues	$ 2,005	$ 1,474	$ 6,104	$ 12,447

ACQUISITION OF QUICKTURN - Intangible Assets Acquired (Details) - Quick Turn Engine Center LLC $ in Thousands	Dec. 01, 2023 USD ($)
Business Acquisition [Line Items]
Estimated Fair value	$ 2,377
Above market leases
Business Acquisition [Line Items]
Estimated useful life in years	4 years
Estimated Fair value	$ 470
Acquired customer relationships
Business Acquisition [Line Items]
Estimated useful life in years	5 years
Estimated Fair value	$ 1,907

FAIR VALUE MEASUREMENTS (Tables)

9 Months Ended

Sep. 30, 2024

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping

The fair values of our bonds payable are presented in the table below and classified as Level 2 within the fair value hierarchy:


	September 30, 2024		December 31, 2023
Senior Notes due 2025	$	—	$	649,383
Senior Notes due 2027	133,883		416,432
Senior Notes due 2028	997,080		963,630
Senior Notes due 2030	539,175		521,440
Senior Notes due 2031	736,162		—
Senior Notes due 2032	840,312		—

EQUITY-BASED COMPENSATION (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions	1 Months Ended		9 Months Ended
	Sep. 30, 2024	May 31, 2024	Sep. 30, 2024
Subsidiary Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted (in shares)			60,000
Exercise price (in dollars per share)			$ 79.13
Grant date fair value of share issued			$ 2.1
Stock Options \| Subsidiary Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk free interest rate			4.52%
Dividend yield			1.50%
Expected volatility			43.00%
Expected term			6 years 9 months 18 days
Restricted Shares \| Subsidiary Employees
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grant date fair value of restricted shares issued	$ 0.8	$ 5.7
Vesting period	3 years	4 years
Restricted Shares \| Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Grant date fair value of restricted shares issued		$ 5.5
Vesting period		3 years
Former Manager
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options transferred (in shares)			37,343
Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized (in shares)	29,800,000		29,800,000

EARNINGS PER SHARE AND EQUITY (Tables)

9 Months Ended

Sep. 30, 2024

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The calculation of basic and diluted EPS is presented below:


	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands, except share and per share data)	2024		2023		2024		2023
Net income (loss)	$	86,482	$	41,307	$	(93,766)	$	125,457
Less: Dividends on preferred shares	8,335		8,334		25,005		23,460
Net income (loss) attributable to shareholders	$	78,147	$	32,973	$	(118,771)	$	101,997
Weighted Average Ordinary Shares Outstanding - Basic	102,380,659		99,927,594		101,199,356		99,796,736
Weighted Average Ordinary Shares Outstanding - Diluted	103,395,348		100,482,309		101,199,356		100,269,203

Earnings (loss) per share:
Basic	$	0.76	$	0.33	$	(1.17)	$	1.02
Diluted	$	0.76	$	0.33	$	(1.17)	$	1.02

AFFILIATE TRANSACTIONS - Amounts due to Manager (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Related Party Transaction [Line Items]
Accounts payable and accrued liabilities	$ 196,660	$ 112,907
Accrued management fees \| Former Manager
Related Party Transaction [Line Items]
Accounts payable and accrued liabilities	0	224
Other payables \| Former Manager
Related Party Transaction [Line Items]
Accounts payable and accrued liabilities	$ 2,500	$ 6,200

SEGMENT INFORMATION - Summary of Geographic Sources of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Segment Reporting Information [Line Items]
Revenues	$ 465,794	$ 291,096	$ 1,236,082	$ 858,159
Corporate and Other
Segment Reporting Information [Line Items]
Revenues	10,059	11,033	26,343	33,837
Africa
Segment Reporting Information [Line Items]
Revenues	1,266	154	11,660	1,029
Africa \| Corporate and Other
Segment Reporting Information [Line Items]
Revenues	0	0	0	0
Asia
Segment Reporting Information [Line Items]
Revenues	122,232	60,252	254,307	117,859
Asia \| Corporate and Other
Segment Reporting Information [Line Items]
Revenues	10,059	11,033	26,343	33,837
Europe
Segment Reporting Information [Line Items]
Revenues	140,886	91,640	492,119	273,045
Europe \| Corporate and Other
Segment Reporting Information [Line Items]
Revenues	0	0	0	0
North America
Segment Reporting Information [Line Items]
Revenues	184,230	121,582	418,381	424,128
North America \| Corporate and Other
Segment Reporting Information [Line Items]
Revenues	0	0	0	0
South America
Segment Reporting Information [Line Items]
Revenues	17,180	17,468	59,615	42,098
South America \| Corporate and Other
Segment Reporting Information [Line Items]
Revenues	$ 0	$ 0	$ 0	$ 0
United States \| Revenue Benchmark \| Geographic Concentration Risk
Segment Reporting Information [Line Items]
Concentration risk, percentage	35.00%	35.00%	32.00%	46.00%
Ireland \| Revenue Benchmark \| Geographic Concentration Risk
Segment Reporting Information [Line Items]
Concentration risk, percentage	15.00%	10.00%	18.00%
Aviation Leasing \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	$ 152,266	$ 161,388	$ 472,013	$ 527,809
Aviation Leasing \| Africa \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	1,266	154	3,389	154
Aviation Leasing \| Asia \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	46,459	48,267	105,220	81,285
Aviation Leasing \| Europe \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	56,750	56,679	235,367	188,498
Aviation Leasing \| North America \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	34,700	44,369	81,709	225,769
Aviation Leasing \| South America \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	13,091	11,919	46,328	32,103
Aerospace Products \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	303,469	118,675	737,726	296,513
Aerospace Products \| Africa \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	0	0	8,271	875
Aerospace Products \| Asia \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	65,714	952	122,744	2,737
Aerospace Products \| Europe \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	84,136	34,961	256,752	84,547
Aerospace Products \| North America \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	149,530	77,213	336,672	198,359
Aerospace Products \| South America \| Operating Segments
Segment Reporting Information [Line Items]
Revenues	$ 4,089	$ 5,549	$ 13,287	$ 9,995

LEASING EQUIPMENT, NET - Schedule of Lessor, Operating Leases (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Leases [Line Items]
Leasing equipment, net	$ 2,066,337	$ 2,032,413
Leasing Equipment
Leases [Line Items]
Leasing equipment	2,621,016	2,574,394
Less: Accumulated depreciation	(554,679)	(541,981)
Leasing equipment, net	$ 2,066,337	$ 2,032,413

Cover page - shares	9 Months Ended
Cover page - shares	Sep. 30, 2024	Nov. 10, 2024
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-37386
Entity Registrant Name	FTAI AVIATION LTD.
Entity Incorporation, State or Country Code	E9
Entity Tax Identification Number	98-1420784
Entity Address, Address Line One	415 West 13th Street, 7th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10014
City Area Code	332
Local Phone Number	239-7600
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		102,549,679
Entity Central Index Key	0001590364
Document Fiscal Year Focus	2024
Amendment Flag	false
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Ordinary shares, $0.01 par value per share
Entity Information [Line Items]
Title of 12(b) Security	Ordinary shares, $0.01 par value per share
Trading Symbol	FTAI
Security Exchange Name	NASDAQ
8.25% Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares
Entity Information [Line Items]
Title of 12(b) Security	8.25% Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares
Trading Symbol	FTAIP
Security Exchange Name	NASDAQ
8.00% Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares
Entity Information [Line Items]
Title of 12(b) Security	8.00% Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares
Trading Symbol	FTAIO
Security Exchange Name	NASDAQ
8.25% Fixed-Rate Reset Series C Cumulative Perpetual Redeemable Preferred Shares
Entity Information [Line Items]
Title of 12(b) Security	8.25% Fixed-Rate Reset Series C Cumulative Perpetual Redeemable Preferred Shares
Trading Symbol	FTAIN
Security Exchange Name	NASDAQ
9.50% Fixed-Rate Reset Series D Cumulative Perpetual Redeemable Preferred Shares
Entity Information [Line Items]
Title of 12(b) Security	9.50% Fixed-Rate Reset Series D Cumulative Perpetual Redeemable Preferred Shares
Trading Symbol	FTAIM
Security Exchange Name	NASDAQ

EARNINGS PER SHARE AND EQUITY

9 Months Ended

Sep. 30, 2024

Earnings Per Share [Abstract]

EARNINGS PER SHARE AND EQUITY

14. EARNINGS PER SHARE AND EQUITY

Basic earnings per ordinary share (“EPS”) is calculated by dividing net income attributable to shareholders by the weighted average number of ordinary shares outstanding, plus any participating securities. Diluted EPS is calculated by dividing net income attributable to shareholders by the weighted average number of ordinary shares outstanding, plus any participating securities and potentially dilutive securities. Potentially dilutive securities are calculated using the treasury stock method.

The calculation of basic and diluted EPS is presented below:


	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands, except share and per share data)	2024		2023		2024		2023
Net income (loss)	$	86,482	$	41,307	$	(93,766)	$	125,457
Less: Dividends on preferred shares	8,335		8,334		25,005		23,460
Net income (loss) attributable to shareholders	$	78,147	$	32,973	$	(118,771)	$	101,997
Weighted Average Ordinary Shares Outstanding - Basic	102,380,659		99,927,594		101,199,356		99,796,736
Weighted Average Ordinary Shares Outstanding - Diluted	103,395,348		100,482,309		101,199,356		100,269,203

Earnings (loss) per share:
Basic	$	0.76	$	0.33	$	(1.17)	$	1.02
Diluted	$	0.76	$	0.33	$	(1.17)	$	1.02

For both the three months ended September 30, 2024 and 2023, 0 shares, and for the nine months ended September 30, 2024 and 2023, 859,940 and 0 shares, respectively, were excluded from the calculation of diluted EPS due to an anti-dilutive impact.

During the three months ended September 30, 2024 and 2023, 482 and 0 ordinary shares, respectively, and for the nine months ended September 30, 2024 and 2023, 4,852 and 18,457 ordinary shares, respectively, were issued to certain directors as compensation.

SEGMENT INFORMATION - Narrative (Details)	9 Months Ended
SEGMENT INFORMATION - Narrative (Details)	Sep. 30, 2024 segment
Segment Reporting [Abstract]
Number of reportable segments	2

EQUITY-BASED COMPENSATION

9 Months Ended

Sep. 30, 2024

Share-Based Payment Arrangement [Abstract]

EQUITY-BASED COMPENSATION

10. EQUITY-BASED COMPENSATION

We have a Nonqualified Stock Option and Incentive Award Plan (“Incentive Plan”) which provides for the ability to award equity compensation awards in the form of stock options to eligible employees, consultants, directors, and other individuals who provide services to us, each as determined by the Compensation Committee of the Board of Directors.

As of September 30, 2024, the Incentive Plan provides for the issuance of up to 29.8 million shares. Equity-based compensation expense is reported within operating expenses and general and administrative.

The Consolidated Statements of Operations includes the following expense related to our stock-based compensation arrangements:


	Three Months Ended September 30,				Nine Months Ended September 30,			Remaining Expense To Be Recognized, If All Vesting Conditions Are Met		Weighted Average Remaining Contractual Term (in years)
	2024		2023			2024					2023
Stock Options	$	128	$	—		$	170	$	—		$	1,905	3.8 years
Restricted Shares	1,302		510			2,408		1,128			16,112		2.9 years

Total	$	1,430	$	510		$	2,578	$	1,128		$	18,017

Options

During the nine months ended September 30, 2024, the Former Manager transferred 37,343 of its options to certain of the Former Manager’s employees. All of these options were issued prior to the Internalization.

Additionally, the Company granted options to select employees of FTAI Aviation LLC (a wholly owned subsidiary of the Company) related to 60,000 ordinary shares at an exercise price of $79.13, which had a grant date fair value of $2.1 million. The assumptions used in valuing the options were: a 4.52% risk-free rate, a 1.50% dividend yield, a 43.00% volatility and a 6.8 year term.

Restricted Shares

During the nine months ended September 30, 2024, we issued the following restricted shares of the Company to select employees and officers of FTAI Aviation LLC:

In May 2024, we issued restricted shares to (i) select officers with a grant date fair value of $5.5 million, vesting over 3.0 years and (ii) select employees with a grant date fair value of $5.7 million, vesting over 4.0 years.

In September 2024, we issued restricted shares to select employees with a grant date fair value of $0.8 million, vesting over 3.0 years.

All awards are subject to continued employment, with compensation expense recognized ratably over the vesting periods. The fair value was based on the closing price of FTAI Aviation Ltd.’s ordinary shares on the respective grant dates.

SUBSEQUENT EVENTS	9 Months Ended
SUBSEQUENT EVENTS	Sep. 30, 2024
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	17. SUBSEQUENT EVENTS Senior Notes due 2033 On October 9, 2024, we issued $500.0 million aggregate principal amount of senior unsecured notes due 2033 (the “Senior Notes due 2033”). The Senior Notes due 2033 bear interest at a rate of 5.875% per annum, payable semi-annually in arrears on April 15 and October 15 of each year, commencing on April 15, 2025. Using a portion of the net proceeds, the Company redeemed the remaining $130.5 million aggregate principal amount of Senior Notes due 2027, plus accrued and unpaid interest. The Company used the remaining net proceeds to pay down in full the Company’s Revolving Credit Facility, with any excess proceeds intended for general corporate purposes, including funding acquisitions and investments. Series A Shares On October 29, 2024, the Company redeemed in full the outstanding 4,180,000 8.25% Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares at a redemption price equal to $25.00 per share in cash, plus $1.6 million of accumulated and unpaid distributions thereon to, but not including, the redemption date of October 29, 2024. Dividends On October 30, 2024, our Board of Directors declared a cash dividend on our ordinary shares and eligible participating securities of $0.30 per share for the quarter ended September 30, 2024, payable on November 25, 2024 to the holders of record on November 14, 2024. Additionally, on October 30, 2024, our Board of Directors also declared cash dividends on the Series B Preferred Shares, Series C Preferred Shares and Series D Preferred Shares of $0.50, $0.52 and $0.59 per share, respectively, payable on December 16, 2024 to the holders of record on December 2, 2024.

EARNINGS PER SHARE AND EQUITY - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings Per Share [Abstract]
Net income (loss)	$ 86,482	$ 41,307	$ (180,248)	$ 84,150	$ (93,766)	$ 125,457
Less: Dividends on preferred shares	8,335	8,334			25,005	23,460
Net income (loss) attributable to shareholders	$ 78,147	$ 32,973			$ (118,771)	$ 101,997
Weighted Average Common Shares Outstanding - Basic (in shares)	102,380,659	99,927,594			101,199,356	99,796,736
Weighted Average Common Shares Outstanding - Diluted (in shares)	103,395,348	100,482,309			101,199,356	100,269,203
Earnings (loss) per share:
Basic (in dollars per share)	$ 0.76	$ 0.33			$ (1.17)	$ 1.02
Diluted (in dollars per share)	$ 0.76	$ 0.33			$ (1.17)	$ 1.02

- Definition

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

+ References

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- Definition

The amount of net income (loss) for the period available to each share of common stock or common unit outstanding during the reporting period and to each share or unit that would have been outstanding assuming the issuance of common shares or units for all dilutive potential common shares or units outstanding during the reporting period.

+ References

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Amount, after deduction of tax, noncontrolling interests, dividends on preferred stock and participating securities; of income (loss) available to common shareholders.

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-Topic 230
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482740/230-10-45-2

Reference 36: http://www.xbrl.org/2003/role/disclosureRef
-Topic 810
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1A
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481203/810-10-50-1A

Reference 37: http://www.xbrl.org/2003/role/disclosureRef
-Topic 810
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1A
-Subparagraph (c)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481203/810-10-50-1A

+ Details

INTANGIBLE ASSETS AND LIABILITIES, NET - Summarized Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Intangible assets:
Total	$ 35,956
Total intangible assets, net	38,001	$ 50,590
Intangible liabilities
Acquired unfavorable lease intangibles	3,085	3,151
Less: Accumulated amortization	(1,040)	(1,389)
Acquired unfavorable lease intangibles, net	2,045	1,762
Acquired favorable lease intangibles
Intangible assets:
Acquired intangible assets	66,535	68,041
Less: Accumulated amortization	(30,123)	(19,347)
Total intangible assets, net	36,412	48,694
Acquired customer relationships
Intangible assets:
Acquired intangible assets	1,907	1,907
Less: Accumulated amortization	(318)	(11)
Total	$ 1,589	$ 1,896

INCOME TAXES - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
INCOME TAXES - Narrative (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Bermuda
Income Tax Contingency [Line Items]
Deferred tax asset (liability)	$ (4,738)	$ 0	$ 3,088	$ 0	$ 72,200

ORGANIZATION	9 Months Ended
ORGANIZATION	Sep. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION	1. ORGANIZATION FTAI Aviation Ltd. (“we”, “us”, “our” or the “Company” and formerly “Fortress Transportation and Infrastructure Investors LLC”) is a Cayman Islands exempted company which through its subsidiaries owns, leases, and sells aviation equipment and also develops and manufactures, through a joint venture, and repairs and sells, through our maintenance facilities and exclusivity arrangements, aftermarket components for aircraft engines. Additionally, we own and lease offshore energy equipment. We have two reportable segments, (i) Aviation Leasing and (ii) Aerospace Products (see Note 13). Prior to May 28, 2024, FTAI Aviation Ltd. operated under a management agreement (the “Management Agreement”) with FIG LLC (the “Former Manager”), and Fortress Worldwide Transportation and Infrastructure Master GP LLC (the “Master GP”), each an affiliate of Fortress Investment Group LLC (“Fortress”). For their services, the Former Manager was entitled to management fees and the Master GP was entitled to certain incentive allocations, both defined in, and in accordance with the terms of, the Management Agreement. On May 28, 2024, the Company entered into an Internalization Agreement with the Former Manager and the Master GP (the “Internalization Agreement”), pursuant to which the Management Agreement was terminated effective May 28, 2024 (the “Effective Date”), except that certain indemnification and other obligations survive, and the Company internalized its management functions (such transactions, the “Internalization”). As a result of the Internalization, the Company ceased to be externally managed and operates as an internally managed company. In connection with the termination of the Management Agreement, the Company (i) agreed to pay the Former Manager (for itself and on behalf of the Master GP, as applicable) $150.0 million (the “Cash Consideration”), the compensation accrued and payable, but not yet paid, under the Management Agreement, and the expenses that were reimbursable, but not yet reimbursed, under the Management Agreement; (ii) issued to the Former Manager (for itself and on behalf of the Master GP, as applicable) 1,866,949 ordinary shares of the Company (the “Share Consideration”); and (iii) purchased from Master GP all of its partnership interests in FTAI Aviation Holdco Ltd., a subsidiary of the Company, in exchange for $30. In addition, the Former Manager repaid to the Company certain annual bonus payments due to certain employees of the Former Manager or its affiliates who provide services to the Company with respect to the 2024 calendar year on a pro rata basis. The Company financed the cash payments through one or more debt financings, along with cash on hand. On May 28, 2024, the Company also entered into a Transition Services Agreement (the “Transition Services Agreement”) with the Former Manager. Under the Transition Services Agreement, the Former Manager was required to continue to provide the Company and its affiliates with all of the services provided by the Former Manager to the Company and its affiliates immediately prior to May 28, 2024 (the “Services”) for a transition period until October 31, 2024, during which the Company procured replacements for the Services. The Services were provided to the Company for a fee equal to the Former Manager’s cost of providing the Services, plus a mark-up of ten percent (10%). In addition, the Former Manager is required to continue to provide the services that are reasonably required by the Company to prepare its quarterly and annual financial statements until May 31, 2025. The Transition Services Agreement may be terminated earlier (x) by mutual agreement of the parties, (y) by either the Former Manager or the Company in the event of a material breach by the non-terminating party that is not cured within thirty (30) days following written notification thereof, or (z) by the Former Manager if the Company fails to pay any undisputed sum overdue and payable for a period of at least thirty (30) days.

SEGMENT INFORMATION - Location of Long-Lived Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Segment Reporting Information [Line Items]
Property, plant and equipment and leasing equipment, net	$ 2,169,942	$ 2,077,588
Africa
Segment Reporting Information [Line Items]
Property, plant and equipment and leasing equipment, net	35,419	18,380
Asia
Segment Reporting Information [Line Items]
Property, plant and equipment and leasing equipment, net	446,744	478,120
Europe
Segment Reporting Information [Line Items]
Property, plant and equipment and leasing equipment, net	939,380	934,817
North America
Segment Reporting Information [Line Items]
Property, plant and equipment and leasing equipment, net	559,433	416,811
South America
Segment Reporting Information [Line Items]
Property, plant and equipment and leasing equipment, net	$ 188,966	$ 229,460

ACQUISITION OF QUICKTURN - Pro Forma Information (Details) - Quick Turn Engine Center LLC - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2023
Business Acquisition [Line Items]
Total revenue	$ 296,480	$ 875,066
Net income attributable to shareholders	$ 31,350	$ 97,633

INTANGIBLE ASSETS AND LIABILITIES, NET - Intangible Liabilities Amortization (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Finite-Lived Intangible Assets [Line Items]
Total	$ 3,815	$ 3,726	$ 11,789	$ 11,325
Lease income \| Lease intangibles
Finite-Lived Intangible Assets [Line Items]
Lease income	3,720	3,726	11,482	11,325
Depreciation and amortization \| Acquired customer relationships
Finite-Lived Intangible Assets [Line Items]
Customer relationships	$ 95	$ 0	$ 307	$ 0

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References + Details

ACQUISITION OF QUICKTURN - Narrative (Details) $ in Millions	Dec. 01, 2023 USD ($)
Quick Turn Engine Center LLC
Business Acquisition [Line Items]
Payments to acquire businesses, gross	$ 30.3

SEGMENT INFORMATION (Tables)

9 Months Ended

Sep. 30, 2024

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

The following tables set forth certain information for each reportable segment:

I. For the Three Months Ended September 30, 2024


	Three Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	57,322	$	—	$	8,128	$	65,450
Maintenance revenue	59,917		—		—		59,917
Asset sales revenue	34,953		—		—		34,953
Aerospace products revenue	—		303,469		—		303,469
Other revenue	74		—		1,931		2,005
Total revenues	$	152,266	$	303,469	$	10,059	$	465,794

Expenses
Cost of sales	20,684		198,812		—		219,496
Operating expenses	9,995		2,617		14,246		26,858
General and administrative	—		—		4,045		4,045
Acquisition and transaction expenses	2,620		2,100		4,621		9,341


Depreciation and amortization	52,455		1,306		3,014		56,775

Total expenses	85,754		204,835		25,926		316,515

Other income (expense)
Equity in losses of unconsolidated entities	—		(438)		—		(438)


Interest expense	—		—		(57,937)		(57,937)
Other income	1,982		—		927		2,909
Total other income (expense)	1,982		(438)		(57,010)		(55,466)
Income (loss) before income taxes	68,494		98,196		(72,877)		93,813
Provision for (benefit from) income taxes	8,898		4,408		(5,975)		7,331
Net income (loss)	59,596		93,788		(66,902)		86,482
Less: Dividends on preferred shares	—		—		8,335		8,335
Net income (loss) attributable to shareholders	$	59,596	$	93,788	$	(75,237)	$	78,147

II. For the Nine Months Ended September 30, 2024


	Nine Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	168,927	$	—	$	20,438	$	189,365
Maintenance revenue	156,894		—		—		156,894
Asset sales revenue	145,993		—		—		145,993
Aerospace products revenue	—		737,726		—		737,726
Other revenue	199		—		5,905		6,104
Total revenues	$	472,013	$	737,726	$	26,343	$	1,236,082

Expenses
Cost of sales	111,542		456,615		—		568,157
Operating expenses	26,984		16,510		37,780		81,274
General and administrative	—		—		10,697		10,697
Acquisition and transaction expenses	7,350		2,871		13,318		23,539
Management fees and incentive allocation to affiliate	—		—		8,449		8,449
Internalization fee to affiliate	—		—		300,000		300,000
Depreciation and amortization	151,211		3,177		8,998		163,386
Asset impairment	962		—		—		962
Total expenses	298,049		479,173		379,242		1,156,464

Other income (expense)
Equity in losses of unconsolidated entities	(207)		(1,592)		—		(1,799)

Interest expense	—		—		(160,840)		(160,840)
Loss on extinguishment of debt	—		—		(13,920)		(13,920)
Other income	1,440		—		1,605		3,045
Total other income (expense)	1,233		(1,592)		(173,155)		(173,514)
Income (loss) before income taxes	175,197		256,961		(526,054)		(93,896)
Provision for (benefit from) income taxes	20,224		11,865		(32,219)		(130)
Net income (loss)	154,973		245,096		(493,835)		(93,766)
Less: Dividends on preferred shares	—		—		25,005		25,005
Net income (loss) attributable to shareholders	$	154,973	$	245,096	$	(518,840)	$	(118,771)

III. For the Three Months Ended September 30, 2023


	Three Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	35,981	$	—	$	9,641	$	45,622
Maintenance revenue	63,925		—		—		63,925
Asset sales revenue	61,400		—		—		61,400
Aerospace products revenue	—		118,675		—		118,675
Other revenue	82		—		1,392		1,474
Total revenues	$	161,388	$	118,675	$	11,033	$	291,096

Expenses
Cost of sales	46,511		70,196		—		116,707
Operating expenses	13,944		5,947		13,996		33,887
General and administrative	—		—		3,015		3,015
Acquisition and transaction expenses	2,329		110		1,822		4,261
Management fees and incentive allocation to affiliate	—		—		4,577		4,577
Depreciation and amortization	41,141		115		2,703		43,959
Total expenses	103,925		76,368		26,113		206,406

Other income (expense)
Equity in (losses) earnings of unconsolidated entities	(108)		154		—		46
Interest expense	—		—		(40,185)		(40,185)
Other income	444		—		17		461
Total other income (expense)	336		154		(40,168)		(39,678)
Income (loss) before income taxes	57,799		42,461		(55,248)		45,012
Provision for income taxes	2,332		1,131		242		3,705
Net income (loss)	55,467		41,330		(55,490)		41,307

Less: Dividends on preferred shares	—		—		8,334		8,334
Net income (loss) attributable to shareholders	$	55,467	$	41,330	$	(63,824)	$	32,973

III. For the Nine Months Ended September 30, 2023


	Nine Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	132,978	$	—	$	28,163	$	161,141
Maintenance revenue	141,131		—		—		141,131
Asset sales revenue	246,927		—		—		246,927
Aerospace products revenue	—		296,513		—		296,513
Other revenue	6,773		—		5,674		12,447
Total revenues	$	527,809	$	296,513	$	33,837	$	858,159

Expenses
Cost of sales	188,343		178,566		—		366,909
Operating expenses	28,610		12,838		39,770		81,218
General and administrative	—		—		10,270		10,270
Acquisition and transaction expenses	4,960		1,137		4,098		10,195
Management fees and incentive allocation to affiliate	—		—		13,137		13,137
Depreciation and amortization	114,994		298		8,107		123,399
Asset impairment	1,220		—		—		1,220
Total expenses	338,127		192,839		75,382		606,348

Other income (expense)
Equity in losses of unconsolidated entities	(242)		(1,427)		—		(1,669)
Interest expense	—		—		(117,976)		(117,976)
Other income	860		—		17		877
Total other income (expense)	618		(1,427)		(117,959)		(118,768)
Income (loss) before income taxes	190,300		102,247		(159,504)		133,043
Provision for income taxes	4,414		2,631		541		7,586
Net income (loss)	185,886		99,616		(160,045)		125,457

Less: Dividends on preferred shares	—		—		23,460		23,460
Net income (loss) attributable to shareholders	$	185,886	$	99,616	$	(183,505)	$	101,997

Reconciliation of Operating Profit (Loss) from Segments to Consolidated

The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders:


	Three Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	136,423	$	101,814	$	(6,207)	$	232,030
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in losses of unconsolidated entities							(438)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							382

Less: Interest expense and dividends on preferred shares							(66,272)
Less: Depreciation and amortization expense							(69,453)
Less: Incentive allocations							—
Less: Asset impairment charges							—
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							—
Less: Acquisition and transaction expenses							(9,341)
Less: Equity-based compensation expense							(1,430)
Less: Provision for income taxes							(7,331)
Net income attributable to shareholders							$	78,147

The following table sets forth a reconciliation of Adjusted EBITDA to net loss attributable to shareholders:


	Nine Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	366,211	$	263,331	$	(19,507)	$	610,035
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in losses of unconsolidated entities							(1,799)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							1,547
Less: Internalization fee to affiliate							(300,000)
Less: Interest expense and dividends on preferred shares							(185,845)
Less: Depreciation and amortization expense							(194,384)
Less: Incentive allocations							(7,456)
Less: Asset impairment charges							(962)
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							(13,920)
Less: Acquisition and transaction expenses							(23,539)
Less: Equity-based compensation expense							(2,578)
Less: Benefit from income taxes							130
Net loss attributable to shareholders							$	(118,771)

The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders:


	Three Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	116,858	$	43,289	$	(5,929)	$	154,218
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in earnings of unconsolidated entities							46
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							(642)
Less: Interest expense and dividends on preferred shares							(48,519)
Less: Depreciation and amortization expense							(59,380)
Less: Incentive allocations							(4,274)
Less: Asset impairment charges							—
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							—
Less: Acquisition and transaction expenses							(4,261)
Less: Equity-based compensation expense							(510)
Less: Provision for income taxes							(3,705)
Net income attributable to shareholders							$	32,973

The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders:


	Nine Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	345,580	$	105,413	$	(16,042)	$	434,951
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in losses of unconsolidated entities							(1,669)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							(96)
Less: Interest expense and dividends on preferred shares							(141,436)
Less: Depreciation and amortization expense							(157,084)
Less: Incentive allocations							(12,540)
Less: Asset impairment charges							(1,220)
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							—
Less: Acquisition and transaction expenses							(10,195)
Less: Equity-based compensation expense							(1,128)
Less: Provision for income taxes							(7,586)
Net income attributable to shareholders							$	101,997

Revenue from External Customers by Geographic Areas

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Three Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	1,266	$	—	$	—	$	1,266
Asia	46,459		65,714		10,059		$	122,232
Europe	56,750		84,136		—		$	140,886
North America	34,700		149,530		—		$	184,230
South America	13,091		4,089		—		$	17,180
Total revenues (1)	$	152,266	$	303,469	$	10,059	$	465,794

_______________________________________________________

(1) The United States, included in North America, and Ireland, included in Europe, represent 35% and 15% of total revenues, respectively, based on the location of our customers and lessees. No other country represents more than 10% of total revenues.

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Nine Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	3,389	$	8,271	$	—	$	11,660
Asia	105,220		122,744		26,343		$	254,307
Europe	235,367		256,752		—		$	492,119
North America	81,709		336,672		—		$	418,381
South America	46,328		13,287		—		$	59,615
Total revenues (1)	$	472,013	$	737,726	$	26,343	$	1,236,082

________________________________________________________

(1) The United States, included in North America, and Ireland, included in Europe, represent 32% and 18% of total revenues, respectively, based on the location of our customers and lessees. No other country represents more than 10% of total revenues.

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Three Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	154	$	—	$	—	$	154
Asia	48,267		952		11,033		60,252
Europe	56,679		34,961		—		91,640
North America	44,369		77,213		—		121,582
South America	11,919		5,549		—		17,468
Total revenues (1)	$	161,388	$	118,675	$	11,033	$	291,096

________________________________________________________

(1) The United States, included in North America, and Ireland, included in Europe, represent 35% and 10% of total revenues, respectively, based on the location of our customers and lessees. No other country represents more than 10% of total revenues.

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Nine Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	154	$	875	$	—	$	1,029
Asia	81,285		2,737		33,837		117,859
Europe	188,498		84,547		—		273,045
North America	225,769		198,359		—		424,128
South America	32,103		9,995		—		42,098
Total revenues (1)	$	527,809	$	296,513	$	33,837	$	858,159

________________________________________________________

(1) The United States, included in North America, represents 46% of total revenues based on the location of our customers and lessees. No other country represents more than 10% of total revenues.

Summary of Contracted Minimum Future Annual Revenues

Presented below are the contracted minimum future annual revenues to be received under existing operating leases as of September 30, 2024:


	Operating Leases
Remainder of 2024	$	73,112
2025	203,217
2026	148,127
2027	111,158
2028	101,250
Thereafter	108,318
Total	$	745,182

Long-lived Assets by Geographic Areas

The following tables sets forth the geographic location of property, plant and equipment and leasing equipment, net:


	September 30, 2024		December 31, 2023
Property, plant and equipment and leasing equipment, net
Africa	$	35,419	$	18,380
Asia	446,744		478,120
Europe	939,380		934,817
North America	559,433		416,811
South America	188,966		229,460
Total property, plant and equipment and leasing equipment, net (1)	$	2,169,942	$	2,077,588

________________________________________________________

(1) The United States, included in North America, and Italy, included in Europe, represent 21% and 14% of property, plant and equipment and leasing equipment, net as of September 30, 2024, and 17% as of December 31, 2023, respectively. No other country represents more than 10% of property, plant and equipment and leasing equipment, net.

EQUITY-BASED COMPENSATION (Tables)

9 Months Ended

Sep. 30, 2024

Share-Based Payment Arrangement [Abstract]

Schedule of Stock-based Compensation Arrangements

The Consolidated Statements of Operations includes the following expense related to our stock-based compensation arrangements:


	Three Months Ended September 30,				Nine Months Ended September 30,			Remaining Expense To Be Recognized, If All Vesting Conditions Are Met		Weighted Average Remaining Contractual Term (in years)
	2024		2023			2024					2023
Stock Options	$	128	$	—		$	170	$	—		$	1,905	3.8 years
Restricted Shares	1,302		510			2,408		1,128			16,112		2.9 years

Total	$	1,430	$	510		$	2,578	$	1,128		$	18,017

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Assets
Cash and cash equivalents	$ 111,888	$ 90,756
Restricted cash	150	150
Accounts receivable, net	166,338	115,156
Leasing equipment, net	2,066,337	2,032,413
Property, plant, and equipment, net	103,605	45,175
Investments	19,448	22,722
Intangible assets, net	38,001	50,590
Assets held for sale	119,012	0
Goodwill	31,533	4,630
Inventory, net	490,997	316,637
Other assets	591,601	286,456
Total assets	3,738,910	2,964,685
Liabilities
Accounts payable and accrued liabilities	196,660	112,907
Debt, net	3,218,343	2,517,343
Maintenance deposits	75,606	65,387
Security deposits	42,863	41,065
Other liabilities	86,906	52,100
Total liabilities	3,620,378	2,788,802
Commitments and contingencies
Equity
Ordinary shares ($0.01 par value per share; 2,000,000,000 shares authorized; 102,549,679 and 100,245,905 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively)	1,025	1,002
Preferred shares ($0.01 par value per share; 200,000,000 shares authorized; 15,920,000 and 15,920,000 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively)	159	159
Additional paid in capital	292,899	255,973
Accumulated deficit	(175,551)	(81,785)
Shareholders' equity	118,532	175,349
Non-controlling interest in equity of consolidated subsidiaries	0	534
Total equity	118,532	175,883
Total liabilities and equity	$ 3,738,910	$ 2,964,685

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS - Schedule of Property Plant And Equipment Acquired as Part of Business Combination (Details) - Lockheed Martin Commercial Engine Solutions $ in Thousands	Sep. 09, 2024 USD ($)
Business Acquisition [Line Items]
Property, plant, and equipment	$ 71,376
Buildings and improvements
Business Acquisition [Line Items]
Estimated useful life in years	25 years
Property, plant, and equipment	$ 40,602
Machinery and equipment
Business Acquisition [Line Items]
Property, plant, and equipment	$ 29,973
Machinery and equipment \| Minimum
Business Acquisition [Line Items]
Estimated useful life in years	2 years
Machinery and equipment \| Maximum
Business Acquisition [Line Items]
Estimated useful life in years	21 years
Other
Business Acquisition [Line Items]
Property, plant, and equipment	$ 801

ORGANIZATION (Details) $ in Thousands		9 Months Ended
ORGANIZATION (Details) $ in Thousands	May 28, 2024 USD ($) shares	Sep. 30, 2024 segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of reportable segments \| segment		2
Internalization agreement, cash consideration	$ 150,000
Internalization agreement, share consideration (in shares) \| shares	1,866,949
Payment to purchase partnership interest	$ 30
Service fee markup percent	10.00%
Maximum number of dates of material breach without a cure	30 days
Maximum number of days of outstanding payment	30 days

COMMITMENTS AND CONTINGENCIES - Additional Information (Details) - USD ($) $ in Thousands		6 Months Ended
	May 28, 2024	Jun. 30, 2024	Sep. 30, 2024	Dec. 31, 2023
Loss Contingencies [Line Items]
Guarantees			$ 8,100	$ 6,800
Undiscounted future payments, potential pay out		$ 37,200
Payment to purchase partnership interest	$ 30
Minimum
Loss Contingencies [Line Items]
Loss contingency, estimate of possible loss			0
Guarantor obligations, term		4 years
Maximum
Loss Contingencies [Line Items]
Loss contingency, estimate of possible loss			$ 3,300
Guarantor obligations, term		8 years

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References + Details

AFFILIATE TRANSACTIONS (Details) - USD ($) $ in Thousands		1 Months Ended	9 Months Ended
AFFILIATE TRANSACTIONS (Details) - USD ($) $ in Thousands	May 28, 2024	May 31, 2015	Sep. 30, 2024	Dec. 31, 2023
Related Party Transaction [Line Items]
Payment to purchase partnership interest	$ 30
Service fee markup percent	10.00%
Maximum number of dates of material breach without a cure	30 days
Maximum number of days of outstanding payment	30 days
Threshold 1 \| Income incentive allocation
Related Party Transaction [Line Items]
Percent of pre-incentive allocation net income		0.00%
Quarterly percent of pre-incentive allocation net income		2.00%
Annual percent of pre-incentive allocation net income		8.00%
Threshold 2 \| Income incentive allocation
Related Party Transaction [Line Items]
Percent of pre-incentive allocation net income		100.00%
Threshold 2 \| Minimum \| Income incentive allocation
Related Party Transaction [Line Items]
Quarterly percent of pre-incentive allocation net income		2.00%
Threshold 2 \| Maximum \| Income incentive allocation
Related Party Transaction [Line Items]
Quarterly percent of pre-incentive allocation net income		2.2223%
Threshold 3 \| Income incentive allocation
Related Party Transaction [Line Items]
Percent of pre-incentive allocation net income		10.00%
Quarterly percent of pre-incentive allocation net income		2.2223%
General Partner
Related Party Transaction [Line Items]
Ownership percentage by manager		0.01%
Incentive distribution percentage		10.00%
Former Manager
Related Party Transaction [Line Items]
Management fee percentage rate		1.50%
Incentive distribution percentage			10.00%
Cumulative preferred return			10.00%
Notes receivable			$ 0	$ 0

ACQUISITION OF QUICKTURN - Schedule of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023	Dec. 01, 2023
Fair value of liabilities assumed:
Goodwill	$ 31,533	$ 4,630
Quick Turn Engine Center LLC
Fair value of assets acquired:
Cash and cash equivalents			$ 518
Restricted cash			150
Accounts receivable			5,133
Property, plant, and equipment			30,559
Intangible assets			2,377
Inventory			9,332
Other assets			4,301
Total assets			52,370
Fair value of liabilities assumed:
Accounts payable and accrued liabilities			3,994
Other liabilities			2,410
Total liabilities			6,404
Goodwill			4,630
Net assets acquired			$ 50,596

INTANGIBLE ASSETS AND LIABILITIES, NET

9 Months Ended

Sep. 30, 2024

Intangible Assets and Liabilities Disclosure [Abstract]

INTANGIBLE ASSETS AND LIABILITIES, NET

7. INTANGIBLE ASSETS AND LIABILITIES, NET

Intangible assets and liabilities, net are summarized as follows:


	September 30, 2024		December 31, 2023
Intangible assets
Acquired favorable lease intangibles	$	66,535	$	68,041
Less: Accumulated amortization	(30,123)		(19,347)
Acquired favorable lease intangibles, net	36,412		48,694
Acquired customer relationships	1,907		1,907
Less: Accumulated amortization	(318)		(11)
Acquired customer relationships, net	1,589		1,896
Total intangible assets, net	$	38,001	$	50,590

Intangible liabilities
Acquired unfavorable lease intangibles	$	3,085	$	3,151
Less: Accumulated amortization	(1,040)		(1,389)
Acquired unfavorable lease intangibles, net	$	2,045	$	1,762

Intangible liabilities relate to unfavorable lease intangibles and are included as a component of Other liabilities.

Amortization of intangible assets and liabilities is recorded as follows:


	Classification in Consolidated Statements of Operations	Three Months Ended September 30,				Nine Months Ended September 30,
		2024		2023		2024		2023
Lease intangibles	Lease income	$	3,720	$	3,726	$	11,482	$	11,325
Customer relationships	Depreciation and amortization	95		—		307		—
Total		$	3,815	3,726		$	11,789	11,325

As of September 30, 2024, estimated net annual amortization of intangibles is as follows:


Remainder of 2024	$	3,849
2025	12,652
2026	9,356
2027	4,348
2028	3,759
Thereafter	1,992
Total	$	35,956

LEASING EQUIPMENT, NET - Operating Lease, Lease Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Leasing Equipment
Property, Plant, and Equipment, Lessor Asset under Operating Lease [Line Items]
Depreciation expense for leasing equipment	$ 55,376	$ 43,765	$ 159,936	$ 122,867

INTANGIBLE ASSETS AND LIABILITIES, NET - Schedule of Future Amortization Expense (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
Remainder of 2024	$ 3,849
2025	12,652
2026	9,356
2027	4,348
2028	3,759
Thereafter	1,992
Total	$ 35,956

ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS (Tables)

9 Months Ended

Sep. 30, 2024

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table summarizes the preliminary allocation of the net assets acquired:


	September 9, 2024
Fair value of assets acquired:
Accounts receivable	$	12,273
Property, plant, and equipment	71,376
Leasing equipment	5,675
Inventory	47,445
Other assets (1)	12,804
Total assets	149,573
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	9,847
Other liabilities	22,996
Total liabilities	32,843
Goodwill (2)	26,904
Net assets acquired (3)	$	143,634

________________________________________________________

(1) Acquired Other assets include a favorable off-market lease component with an estimated fair value of $2,340.

The following table summarizes the preliminary allocation of the net assets acquired:


	December 1, 2023
Fair value of assets acquired:
Cash and cash equivalents	$	518
Restricted cash	150
Accounts receivable	5,133
Property, plant, and equipment	30,559
Intangible assets	2,377
Inventory	9,332
Other assets	4,301
Total assets	52,370
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	3,994
Other liabilities	2,410
Total liabilities	6,404
Goodwill (1)	4,630
Net assets acquired	$	50,596

________________________________________________________

Schedule of Property Plant And Equipment Acquired as Part of Business Combination

The following table presents preliminary fair values of the components of property, plant and equipment acquired and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Buildings and improvements	25	$	40,602
Machinery and equipment	2 - 21	29,973
Other	N/A	801
Total		$	71,376

The following table presents the property, plant and equipment and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Land	N/A	$	2,840
Buildings and improvements	25	13,790
Machinery and equipment	6 - 23	13,631
Other	5 - 7	298
Total		$	30,559

Business Acquisition, Pro Forma Information

Cost savings are also not reflected in the pro-forma amounts presented below.


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Total revenue	$	479,277	$	315,666	$	1,283,520	$	929,297
Net income (loss) attributable to shareholders	$	83,727	$	34,753	$	(122,542)	$	89,716


	Three Months Ended		Nine Months Ended
	September 30, 2023		September 30, 2023
Total revenue	$	296,480	$	875,066
Net income attributable to shareholders	$	31,350	$	97,633

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Sep. 30, 2024 USD ($) vessel	Sep. 30, 2024 USD ($) $ / shares	Sep. 30, 2023 USD ($) $ / shares	Sep. 30, 2024 USD ($) $ / shares	Sep. 30, 2023 USD ($) $ / shares	Dec. 31, 2023 USD ($)
Accounting Policies [Line Items]
Provision for doubtful accounts	$ 74,900	$ 74,900		$ 74,900		$ 72,200
Bad debt expense		2,700	$ 5,600	2,700	$ 6,600
Operating lease, right-of-use asset	12,200	12,200		12,200		3,400
Finance leases, net	900	900		900		3,000
Financing receivable	63,900	63,900		63,900		0
Prepaid expense	$ 132,500	132,500		132,500		7,800
Number of vessels \| vessel	2
Assets held for sale	$ 119,012	$ 119,012		$ 119,012		0
Common stock dividends declared (in dollars per share) \| $ / shares		$ 0.30	$ 0.90	$ 0.30	$ 0.90
Series B Preferred Stock
Accounting Policies [Line Items]
Preferred stock dividends declared (in dollars per share) \| $ / shares		0.50
Series C Preferred Stock
Accounting Policies [Line Items]
Preferred stock dividends declared (in dollars per share) \| $ / shares		0.52
Series D Preferred Stock
Accounting Policies [Line Items]
Preferred stock dividends declared (in dollars per share) \| $ / shares		$ 0.59
Other Assets
Accounting Policies [Line Items]
Lease incentives	58,300	$ 58,300		$ 58,300		43,500
Purchase deposits	46,500	46,500		46,500		23,900
Notes receivable	152,200	152,200		152,200		102,300
Maintenance right assets	$ 21,500	$ 21,500		$ 21,500		$ 16,300

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Summary of Cash and Noncash Related Activities (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Accounting Policies [Abstract]
Cost of modules and parts sold sourced from engines originally within leasing equipment	$ 33,663	$ 30,045
Transfers of engines from leasing equipment to inventory for manufacturing and sale	143,678	147,285
Transfers of inventory to leasing equipment for rebuilding and sale of engines	(159,876)	(53,533)
Total outflows related to manufacturing modules and parts - included in net cash (used in) provided by operating activities	(270,679)	(81,109)
Cash received for assets sold sourced from Leasing equipment - inflow included in cash (used in) provided by operating activities	$ 56,670	$ 59,115

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2024

Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Accounting—The accompanying consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and include the accounts of us and our subsidiaries. These financial statements and related notes should be read in conjunction with the Consolidated Financial Statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023.

Principles of Consolidation—We consolidate all entities in which we have a controlling financial interest and control over significant operating decisions. All adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The ownership interest of other investors in consolidated subsidiaries is recorded as non-controlling interest.

We use the equity method of accounting for investments in entities in which we exercise significant influence but which do not meet the requirements for consolidation. Under the equity method, we record our proportionate share of the underlying net income (loss) of these entities.

Use of Estimates—The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Restructuring Charges—The termination of the Management Agreement was a material change in the management structure of the business and is accounted for under ASC 420, Exit or Disposal Cost Obligations. The termination fee payment to the Former Manager under the Internalization Agreement is recorded within Internalization Fee to Affiliate in the Consolidated Statements of Operations. See Note 16 for additional discussion of the restructuring charges related to the Internalization.

Reclassifications—Certain amounts from prior periods in the Company’s consolidated financial statements have been reclassified to align with the presentation in the current period.

Risks and Uncertainties—In the normal course of business, we encounter several significant types of economic risk including credit, market, and capital market risks. Credit risk is the risk of the inability or unwillingness of a lessee or customer to make contractually required payments or to fulfill its other contractual obligations. Market risk reflects the risk of a downturn or volatility in the underlying industry segments in which we operate, which could adversely impact the pricing of the services offered by us or a lessee’s or customer’s ability to make payments, increase the risk of unscheduled lease terminations and depress lease rates and the value of our leasing equipment or operating assets. Capital market risk is the risk that we are unable to obtain capital at reasonable rates to fund the growth of our business or to refinance existing debt facilities. We, through our subsidiaries, also conduct operations outside of the United States; such international operations are subject to the same risks as those associated with our United States operations as well as additional risks, including unexpected changes in regulatory requirements, heightened risk of political and economic instability, potentially adverse tax consequences and the burden of complying with foreign laws. We do not have significant exposure to foreign currency risk as all of our leasing arrangements are denominated in U.S. dollars.

Cash and Cash Equivalents—We consider all highly liquid short-term investments with a maturity of 90 days or less when purchased to be cash equivalents.

Inventory, net—We hold aircraft engines, engine modules, spare parts and used material inventory for trading, repairs and to support operations. Inventory is carried at the lower of cost or net realizable value.

Revenues—We disaggregate our revenue by products and services. Revenues are within the scope of ASC 842, Leases, and ASC 606, Revenue from contracts with customers, unless otherwise noted. We have elected to exclude sales and other similar taxes from revenues.

Operating Leases—We lease equipment pursuant to operating leases. Operating leases with fixed rentals and step rentals are recognized on a straight-line basis over the term of the lease, assuming no renewals. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received.

Generally, under our aircraft lease and engine agreements, the lessee is required to make periodic maintenance payments calculated based on the lessee’s utilization of the leased asset or at the end of the lease. Typically, under our aircraft lease agreements, the lessee is responsible for maintenance, repairs and other operating expenses throughout the term of the lease. These periodic maintenance payments accumulate over the term of the lease to fund major maintenance events, and we are contractually obligated to return maintenance payments to the lessee up to the cost of maintenance events paid by the lessee. In the event the total cost of maintenance events over the term of a lease is less than the cumulative maintenance payments, we are not required to return any unused or excess maintenance payments to the lessee.

Maintenance payments received for which we expect to repay to the lessee are presented as Maintenance deposits. All excess maintenance payments received that we do not expect to repay to the lessee are recorded as Maintenance revenue. Estimates in recognizing revenue include mean time between removal, projected costs for engine maintenance and forecasted utilization of aircraft which are affected by historical usage patterns and overall industry, market and economic conditions. Significant changes to these estimates could have a material effect on the amount of revenue recognized in the period.

For purchase and lease back transactions, we account for the transaction as a single arrangement. We allocate the consideration paid based on the relative fair value of the aircraft and lease and other related assets/liabilities acquired. The fair value of the lease may include a lease premium or discount, which is recorded as a favorable or unfavorable lease intangible.

Finance Leases—From time to time we enter into finance lease arrangements that include a lessee obligation to purchase the leased equipment at the end of the lease term, a bargain purchase option, or provides for minimum lease payments with a present value that equals or exceeds substantially all of the fair value of the leased equipment at the date of lease inception. Net investment in finance leases represents the minimum lease payments due from lessee, net of unearned income. The lease payments are segregated into principal and interest components similar to a loan. Unearned income is recognized on an effective interest method over the lease term and is recorded as lease income. The principal component of the lease payment is reflected as a reduction to the net investment in finance leases. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received.

Asset sales revenue—Asset sales revenue primarily consists of the transaction price related to the sale of aircraft and aircraft engines from our Aviation Leasing segment. From time to time, the Company may also assign the related lease agreements to the customer as part of the sale of these assets. We routinely sell leasing equipment to customers and such transactions are considered recurring and ordinary in nature to our business. As such, these sales are accounted for within the scope of ASC 606. Revenue is recognized when a performance obligation is satisfied by transferring control over an asset to a customer. Revenue is recorded with corresponding costs of sales, presented on a gross basis.

Aerospace products revenue—Aerospace products revenue primarily consists of the transaction price related to the sale of CFM56-7B, CFM56-5B and V2500 engines, engine modules, spare parts and used material inventory, and are accounted for within the scope of ASC 606. Revenue is recognized when a performance obligation is satisfied by transferring control over the related asset to a customer. Revenue is recorded with corresponding costs of sales, presented on a gross basis. Aerospace products revenue also consists of engine management service contracts, where the Company has a stand-ready obligation to provide replacement CFM56-7B and CFM56-5B engines to customers as they become unserviceable during the contract term. The Company recognizes revenue over time using a straight-line attribution method and the costs related to fulfilling the performance obligation are expensed as incurred.

Concentration of Credit Risk—We are subject to concentrations of credit risk with respect to amounts due from customers. We attempt to limit our credit risk by performing ongoing credit evaluations. No single customer accounted for greater than 10% of total revenue during the three and nine months ended September 30, 2024 and September 30, 2023.

As of September 30, 2024 and December 31, 2023, no single customer accounted for greater than 10% of total accounts receivable, net.

We maintain cash and restricted cash balances, which generally exceed federally insured limits, and subject us to credit risk, in high credit quality financial institutions. We monitor the financial condition of these institutions and have not experienced any losses associated with these accounts.

Allowance for Doubtful Accounts and Credit Losses—For receivables related to operating lease arrangements, we determine the allowance for doubtful accounts based on our assessment of the collectability of our receivables on a customer-by-customer basis. The allowance for doubtful accounts was $74.9 million and $72.2 million as of September 30, 2024 and December 31, 2023, respectively. We determine the credit loss reserve for note receivables, receivables related to finance leases and inventory sales. There was provision for credit losses of $2.7 million for the three and nine months ended September 30, 2024. There was provision for credit losses of $5.6 million and $6.6 million for the three and nine months ended September 30, 2023.

Comprehensive Income—Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances, excluding those resulting from investments by and distributions to owners. Our comprehensive income represents net income, as presented in the Consolidated Statements of Operations.

Other Assets—Other assets is primarily comprised of lease incentives of $58.3 million and $43.5 million, purchase deposits of $46.5 million and $23.9 million, notes receivable for sales and exchanges of $152.2 million and $102.3 million, operating lease right-of-use assets, net of $12.2 million and $3.4 million, finance leases, net of $0.9 million and $3.0 million, maintenance right assets of $21.5 million and $16.3 million, financing receivable resulting from failed sale-leaseback transactions of $63.9 million and $0.0 million, and prepaid expenses including prepayments for maintenance that has not yet been incurred of $132.5 million and $7.8 million as of September 30, 2024 and December 31, 2023, respectively.

Assets Held for Sale— We classify assets as held for sale when the Company commits to a plan to sell and it is probable that the sale will be completed within one year. These assets are recorded at the lower of their carrying value or fair market value, less costs to sell, starting from the period in which they meet the criteria for this classification.

In September 2024, the Company committed to a formal plan to sell two vessels within Corporate and Other, which includes offshore energy related assets. Consequently, these vessels met the criteria to be classified as assets held for sale and have been presented separately. Any subsequent changes in our estimate of the fair value of these assets or costs to sell before their sale will be recorded as a gain or loss, with a corresponding adjustment to their carrying values. The disposal is expected to occur in the fourth quarter of 2024.

As of September 30, 2024 the vessels had a net book value of $119.0 million.

Dividends—Dividends are recorded if and when declared by the Board of Directors. For the three and nine months ended September 30, 2024 and 2023, the Board of Directors declared cash dividends of $0.30 and $0.90 per ordinary share, respectively.

Additionally, for the quarter ended September 30, 2024, the Board of Directors declared cash dividends on the Series B Preferred Shares, Series C Preferred Shares and Series D Preferred Shares of $0.50, $0.52 and $0.59 per share, respectively.

Cash Flow Presentation—Included in net cash (used in) provided by operating activities are inflows from the sale of engine modules and parts that were on engines originally purchased and reported as Leasing equipment, net on the Consolidated Balance Sheet. The purchase of the original engine was reported as an outflow in net cash used in investing activities at the time of purchase through the Acquisition of leasing equipment line item. As part of the Aerospace products business, the Company breaks down generally unserviceable engines with the intent to manufacture modules and parts for creation and sale of new assets. To manufacture the modules and parts and bring them into a salable condition, the Company spends significant costs, often over multiple reporting periods, for new inventory and capitalizable labor (e.g., engineering) that are included in net cash (used in) provided by operating activities as components of the changes in the related working capital accounts.

Therefore, when the costs to manufacture the assets are greater than (predominant to) the estimated value transferred from Leasing equipment into inventory, the related cash receipt has been recorded as an inflow in net cash (used in) provided by operating activities.

Additionally, the Company buys inventory from third parties with the intent to use the parts in the manufacturing of the items discussed above, which is reported as an outflow in net cash (used in) provided by operating activities. When rebuilding whole engines for resale, for which the cash inflow upon sale is reported as a cash inflow from investing activities, the Company will transfer modules and parts needed (those purchased from third parties as well as parts from engines previously transferred to inventory from leasing equipment and rebuilt as discussed above) in the rebuild from inventory to leasing equipment.

The cash and noncash related activities described above during the nine months ended September 30, 2024 and 2023 are detailed below:


	Nine Months Ended September 30,
(in thousands)	2024		2023

Cost of modules and parts sold sourced from engines originally within leasing equipment	$	33,663	$	30,045

Transfers of engines from leasing equipment to inventory for manufacturing and sale	143,678		147,285
Transfers of inventory to leasing equipment for rebuilding and sale of engines	(159,876)		(53,533)
Total outflows related to manufacturing modules and parts - included in net cash (used in) provided by operating activities	(270,679)		(81,109)
Cash received for assets sold sourced from Leasing equipment - inflow included in cash (used in) provided by operating activities	56,670		59,115

Recent Accounting Pronouncements—In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280) - Improvements to Reportable Segment Disclosures. This ASU modifies the disclosure and presentation requirements of reportable segments. The new guidance requires the disclosure of significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit and loss. In addition, the new guidance enhances interim disclosure requirements, clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss, provides new segment disclosure requirements for entities with a single reportable segment, and contains other disclosure requirements. This standard is effective retrospectively for all public entities for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. We are currently assessing the impact this guidance will have on our consolidated financial statements and related disclosures.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740) - Improvements to Income Tax Disclosures. This ASU enhances the transparency and decision usefulness of income tax disclosures by expanding the disclosures of an entity’s income tax rate reconciliation and disaggregation of income taxes paid and income tax expense. Under the new guidance, public business entities must annually disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold, if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income (loss) by the applicable statutory income tax rate. This standard is effective prospectively for all public entities for annual periods beginning after December 15, 2024, with early adoption and retrospective application permitted. We are currently assessing the impact this guidance will have on our consolidated financial statements and related disclosures.

In March 2024, the FASB issued ASU 2024-02, Codification Improvements - Amendments to Remove References to the Concept Statements. This ASU amends the Codification to remove references to various concepts statements and impacts a variety of topics in the Codification. The amendments apply to all reporting entities within the scope of the affected accounting guidance. Generally, the amendments in ASU 2024-02 are not intended to result in significant accounting changes for most entities. ASU 2024-02 is effective January 1, 2025 and we are currently assessing the impact this guidance will have on our consolidated financial statements and related disclosures.

SEGMENT INFORMATION - Statement of Income by Segment (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenues
Total revenues	$ 465,794	$ 291,096			$ 1,236,082	$ 858,159
Expenses
Cost of sales	219,496	116,707			568,157	366,909
Operating expenses	26,858	33,887			81,274	81,218
General and administrative	4,045	3,015			10,697	10,270
Acquisition and transaction expenses	9,341	4,261			23,539	10,195
Management fees and incentive allocation to affiliate	0	4,577			8,449	13,137
Internalization fee to affiliate	0	0			300,000	0
Depreciation and amortization	56,775	43,959			163,386	123,399
Asset impairment	0	0			962	1,220
Total expenses	316,515	206,406			1,156,464	606,348
Other income (expense)
Equity in (losses) earnings of unconsolidated entities	(438)	46			(1,799)	(1,669)
Interest expense	(57,937)	(40,185)			(160,840)	(117,976)
Loss on extinguishment of debt	0	0			(13,920)	0
Other income	2,909	461			3,045	877
Total other income (expense)	(55,466)	(39,678)			(173,514)	(118,768)
Income (loss) before income taxes	93,813	45,012			(93,896)	133,043
Provision (benefit) from income taxes	7,331	3,705			(130)	7,586
Net income (loss)	86,482	41,307	$ (180,248)	$ 84,150	(93,766)	125,457
Less: Dividends on preferred shares	8,335	8,334			25,005	23,460
Net income (loss) attributable to shareholders	78,147	32,973			(118,771)	101,997
Lease income
Revenues
Total revenues	65,450	45,622			189,365	161,141
Other income (expense)
Less: Dividends on preferred shares					25,005
Maintenance revenue
Revenues
Total revenues	59,917	63,925			156,894	141,131
Other income (expense)
Net income (loss) attributable to shareholders					(118,771)
Asset sales revenue
Revenues
Total revenues	34,953	61,400			145,993	246,927
Aerospace products revenue
Revenues
Total revenues	303,469	118,675			737,726	296,513
Other revenue
Revenues
Total revenues	2,005	1,474			6,104	12,447
Operating Segments
Other income (expense)
Other income
Income (loss) before income taxes
Corporate and Other
Revenues
Total revenues	10,059	11,033			26,343	33,837
Expenses
Cost of sales	0	0			0	0
Operating expenses	14,246	13,996			37,780	39,770
General and administrative	4,045	3,015			10,697	10,270
Acquisition and transaction expenses	4,621	1,822			13,318	4,098
Management fees and incentive allocation to affiliate		4,577			8,449	13,137
Internalization fee to affiliate					300,000
Depreciation and amortization	3,014	2,703			8,998	8,107
Asset impairment					0	0
Total expenses	25,926	26,113			379,242	75,382
Other income (expense)
Equity in (losses) earnings of unconsolidated entities	0	0			0	0
Interest expense	(57,937)	(40,185)			(160,840)	(117,976)
Loss on extinguishment of debt					(13,920)
Other income	927	17			1,605	17
Total other income (expense)	(57,010)	(40,168)			(173,155)	(117,959)
Income (loss) before income taxes	(72,877)	(55,248)			(526,054)	(159,504)
Provision (benefit) from income taxes	(5,975)	242				541
Net income (loss)	(66,902)	(55,490)			(493,835)	(160,045)
Less: Dividends on preferred shares	8,335	8,334				23,460
Net income (loss) attributable to shareholders	(75,237)	(63,824)				(183,505)
Corporate and Other \| Lease income
Revenues
Total revenues	8,128	9,641			20,438	28,163
Other income (expense)
Less: Dividends on preferred shares					25,005
Corporate and Other \| Maintenance revenue
Revenues
Total revenues	0	0			0	0
Other income (expense)
Net income (loss) attributable to shareholders					(518,840)
Corporate and Other \| Asset sales revenue
Revenues
Total revenues	0	0			0	0
Corporate and Other \| Aerospace products revenue
Revenues
Total revenues	0	0			0	0
Corporate and Other \| Other revenue
Revenues
Total revenues	1,931	1,392			5,905	5,674
Aviation Leasing \| Operating Segments
Revenues
Total revenues	152,266	161,388			472,013	527,809
Expenses
Cost of sales	20,684	46,511			111,542	188,343
Operating expenses	9,995	13,944			26,984	28,610
General and administrative	0	0			0	0
Acquisition and transaction expenses	2,620	2,329			7,350	4,960
Management fees and incentive allocation to affiliate		0			0	0
Internalization fee to affiliate					0
Depreciation and amortization	52,455	41,141			151,211	114,994
Asset impairment					962	1,220
Total expenses	85,754	103,925			298,049	338,127
Other income (expense)
Equity in (losses) earnings of unconsolidated entities	0	(108)			(207)	(242)
Interest expense	0	0			0	0
Loss on extinguishment of debt					0
Other income	1,982	444			1,440	860
Total other income (expense)	1,982	336			1,233	618
Income (loss) before income taxes	68,494	57,799			175,197	190,300
Provision (benefit) from income taxes	8,898	2,332			20,224	4,414
Net income (loss)	59,596	55,467			154,973	185,886
Less: Dividends on preferred shares	0	0			0	0
Net income (loss) attributable to shareholders	59,596	55,467				185,886
Aviation Leasing \| Operating Segments \| Lease income
Revenues
Total revenues	57,322	35,981			168,927	132,978
Other income (expense)
Provision (benefit) from income taxes					(32,219)
Aviation Leasing \| Operating Segments \| Maintenance revenue
Revenues
Total revenues	59,917	63,925			156,894	141,131
Other income (expense)
Net income (loss) attributable to shareholders					154,973
Aviation Leasing \| Operating Segments \| Asset sales revenue
Revenues
Total revenues	34,953	61,400			145,993	246,927
Aviation Leasing \| Operating Segments \| Aerospace products revenue
Revenues
Total revenues	0	0			0	0
Aviation Leasing \| Operating Segments \| Other revenue
Revenues
Total revenues	74	82			199	6,773
Aerospace Products \| Operating Segments
Revenues
Total revenues	303,469	118,675			737,726	296,513
Expenses
Cost of sales	198,812	70,196			456,615	178,566
Operating expenses	2,617	5,947			16,510	12,838
General and administrative	0	0			0	0
Acquisition and transaction expenses	2,100	110			2,871	1,137
Management fees and incentive allocation to affiliate		0			0	0
Internalization fee to affiliate					0
Depreciation and amortization	1,306	115			3,177	298
Asset impairment					0	0
Total expenses	204,835	76,368			479,173	192,839
Other income (expense)
Equity in (losses) earnings of unconsolidated entities	(438)	154			(1,592)	(1,427)
Interest expense	0	0			0	0
Loss on extinguishment of debt					0
Other income	0	0			0	0
Total other income (expense)	(438)	154			(1,592)	(1,427)
Income (loss) before income taxes	98,196	42,461			256,961	102,247
Provision (benefit) from income taxes	4,408	1,131			11,865	2,631
Net income (loss)	93,788	41,330			245,096	99,616
Less: Dividends on preferred shares	0	0			0	0
Net income (loss) attributable to shareholders	93,788	41,330				99,616
Aerospace Products \| Operating Segments \| Lease income
Revenues
Total revenues	0	0			0	0
Aerospace Products \| Operating Segments \| Maintenance revenue
Revenues
Total revenues	0	0			0	0
Other income (expense)
Net income (loss) attributable to shareholders					245,096
Aerospace Products \| Operating Segments \| Asset sales revenue
Revenues
Total revenues	0	0			0	0
Aerospace Products \| Operating Segments \| Aerospace products revenue
Revenues
Total revenues	303,469	118,675			737,726	296,513
Aerospace Products \| Operating Segments \| Other revenue
Revenues
Total revenues	$ 0	$ 0			$ 0	$ 0

FAIR VALUE MEASUREMENTS - Additional Information (Details) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2024 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($) aircraft	Dec. 31, 2023 USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Guarantees	$ 8.1	$ 8.1		$ 6.8
Number of aircrafts sold \| aircraft			7
Guarantees
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Increase (decrease) related to the change in fair value	$ 0.3	$ 1.3	$ (1.7)
Increase in guarantees			$ 4.9

SEGMENT INFORMATION - Summary of Contracted Minimum Future Annual Revenues (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Segment Reporting [Abstract]
Remainder of 2024	$ 73,112
2025	203,217
2026	148,127
2027	111,158
2028	101,250
Thereafter	108,318
Total	$ 745,182

AFFILIATE TRANSACTIONS - Reimbursement to Manager (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Related Party Transaction [Line Items]
General and administrative	$ 4,045	$ 3,015	$ 10,697	$ 10,270
Acquisition and transaction expenses	9,341	4,261	23,539	10,195
Total expenses	316,515	206,406	1,156,464	606,348
Former Manager
Related Party Transaction [Line Items]
General and administrative	2,557	1,592	6,115	5,096
Acquisition and transaction expenses	967	172	1,654	381
Total expenses	$ 3,524	$ 1,764	$ 7,769	$ 5,477

SUBSEQUENT EVENTS (Details) - USD ($) $ / shares in Units, $ in Thousands			3 Months Ended		9 Months Ended
	Oct. 30, 2024	Oct. 09, 2024	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Oct. 29, 2024	Dec. 31, 2023
Subsequent Event [Line Items]
Repayments debt					$ 1,367,304	$ 330,000
Common stock dividends declared (in dollars per share)			$ 0.30	$ 0.90	$ 0.30	$ 0.90
Preferred stock, shares outstanding (in shares)			15,920,000		15,920,000			15,920,000
Senior Notes due 2027 \| Bonds payable
Subsequent Event [Line Items]
Stated percentage			9.75%		9.75%
Series B Preferred Stock
Subsequent Event [Line Items]
Preferred stock dividends declared (in dollars per share)			$ 0.50
Series C Preferred Stock
Subsequent Event [Line Items]
Preferred stock dividends declared (in dollars per share)			0.52
Series D Preferred Stock
Subsequent Event [Line Items]
Preferred stock dividends declared (in dollars per share)			$ 0.59
Subsequent Event
Subsequent Event [Line Items]
Common stock dividends declared (in dollars per share)	$ 0.3
Subsequent Event \| Senior Notes Due 2033 \| Bonds payable
Subsequent Event [Line Items]
Debt instrument face amount		$ 500,000
Stated percentage		5.875%
Subsequent Event \| Senior Notes due 2027 \| Bonds payable
Subsequent Event [Line Items]
Repayments debt		$ 130,500
Subsequent Event \| 8.25% Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares
Subsequent Event [Line Items]
Preferred shares redeemed (in shares)		4,180,000
Preferred stock, dividend rate percentage		8.25%
Redemption price per share (in dollars per share)							$ 25.00
Accumulated and unpaid distributions							$ 1,600
Subsequent Event \| Series B Preferred Stock
Subsequent Event [Line Items]
Preferred stock dividends declared (in dollars per share)	0.50
Subsequent Event \| Series C Preferred Stock
Subsequent Event [Line Items]
Preferred stock dividends declared (in dollars per share)	0.52
Subsequent Event \| Series D Preferred Stock
Subsequent Event [Line Items]
Preferred stock dividends declared (in dollars per share)	$ 0.59

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2024

Accounting Policies [Abstract]

Summary of Cash and Noncash Related Activities

The cash and noncash related activities described above during the nine months ended September 30, 2024 and 2023 are detailed below:


	Nine Months Ended September 30,
(in thousands)	2024		2023

Cost of modules and parts sold sourced from engines originally within leasing equipment	$	33,663	$	30,045

Transfers of engines from leasing equipment to inventory for manufacturing and sale	143,678		147,285
Transfers of inventory to leasing equipment for rebuilding and sale of engines	(159,876)		(53,533)
Total outflows related to manufacturing modules and parts - included in net cash (used in) provided by operating activities	(270,679)		(81,109)
Cash received for assets sold sourced from Leasing equipment - inflow included in cash (used in) provided by operating activities	56,670		59,115

SEGMENT INFORMATION - Reconciliation of Adjusted Net Income to Net Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Segment Reporting Information [Line Items]
Adjusted EBITDA	$ 232,030	$ 154,218	$ 610,035	$ 434,951
Add: Non-controlling share of Adjusted EBITDA	0	0	0	0
Equity in (losses) earnings of unconsolidated entities	(438)	46	(1,799)	(1,669)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities	382	(642)	1,547	(96)
Less: Internalization fee to affiliate	0	0	(300,000)	0
Less: Interest expense and dividends on preferred shares	(66,272)	(48,519)	(185,845)	(141,436)
Less: Depreciation and amortization expense	(69,453)	(59,380)	(194,384)	(157,084)
Less: Incentive allocations	0	(4,274)	(7,456)	(12,540)
Less: Asset impairment charges	0	0	(962)	(1,220)
Less: Changes in fair value of non-hedge derivative instruments	0	0	0	0
Less: Losses on the modification or extinguishment of debt and capital lease obligations	0	0	(13,920)	0
Less: Acquisition and transaction expenses	(9,341)	(4,261)	(23,539)	(10,195)
Less: Equity-based compensation expense	(1,430)	(510)	(2,578)	(1,128)
Provision (benefit) from income taxes	(7,331)	(3,705)	130	(7,586)
Net income (loss) attributable to shareholders	78,147	32,973	(118,771)	101,997
Corporate and Other
Segment Reporting Information [Line Items]
Adjusted EBITDA	(6,207)	(5,929)	(19,507)	(16,042)
Equity in (losses) earnings of unconsolidated entities	0	0	0	0
Less: Internalization fee to affiliate			(300,000)
Less: Asset impairment charges			0	0
Less: Acquisition and transaction expenses	(4,621)	(1,822)	(13,318)	(4,098)
Provision (benefit) from income taxes	5,975	(242)		(541)
Net income (loss) attributable to shareholders	(75,237)	(63,824)		(183,505)
Aviation Leasing \| Operating Segments
Segment Reporting Information [Line Items]
Adjusted EBITDA	136,423	116,858	366,211	345,580
Equity in (losses) earnings of unconsolidated entities	0	(108)	(207)	(242)
Less: Internalization fee to affiliate			0
Less: Asset impairment charges			(962)	(1,220)
Less: Acquisition and transaction expenses	(2,620)	(2,329)	(7,350)	(4,960)
Provision (benefit) from income taxes	(8,898)	(2,332)	(20,224)	(4,414)
Net income (loss) attributable to shareholders	59,596	55,467		185,886
Aerospace Products \| Operating Segments
Segment Reporting Information [Line Items]
Adjusted EBITDA	101,814	43,289	263,331	105,413
Equity in (losses) earnings of unconsolidated entities	(438)	154	(1,592)	(1,427)
Less: Internalization fee to affiliate			0
Less: Asset impairment charges			0	0
Less: Acquisition and transaction expenses	(2,100)	(110)	(2,871)	(1,137)
Provision (benefit) from income taxes	(4,408)	(1,131)	$ (11,865)	(2,631)
Net income (loss) attributable to shareholders	$ 93,788	$ 41,330		$ 99,616

SEGMENT INFORMATION - Summary of Concentration Risk, Long-Lived Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Concentration Risk [Line Items]
Property, plant and equipment and leasing equipment, net	$ 2,169,942	$ 2,077,588
United States \| Property, plant and equipment and leasing equipment, net \| Geographic Concentration Risk
Concentration Risk [Line Items]
Concentration risk, percentage	21.00%	17.00%
Italy \| Property, plant and equipment and leasing equipment, net \| Geographic Concentration Risk
Concentration Risk [Line Items]
Concentration risk, percentage	14.00%	17.00%

SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2024

Segment Reporting [Abstract]

SEGMENT INFORMATION

13. SEGMENT INFORMATION

The key factors used to identify the reportable segments are the organization and alignment of our internal operations and the nature of our products and services. Our two reportable segments are (i) Aviation Leasing and (ii) Aerospace Products. The Aviation Leasing segment owns and manages aviation assets, including aircraft and aircraft engines, which it leases and sells to customers. The Aerospace Products segment, through our maintenance facilities, equity method investment and exclusivity arrangements, develops and manufactures, repairs/refurbishes and sells aircraft engines and aftermarket components primarily for the CFM56-7B, CFM56-5B and V2500 commercial aircraft engines. During the fourth quarter of 2023, the Company changed the composition of its operating segments to include V2500 engines within the Aerospace Products segment. Prior periods have been restated to reflect the change in accordance with the requirements ASC 280, Segment Reporting. See Note 2 for additional information.

Corporate and Other primarily consists of debt, unallocated corporate general and administrative expenses, shared services costs, internalization fee and management fees and incentive compensation pursuant to the Management Agreement prior to the Internalization effective May 28, 2024. Additionally, Corporate and Other also includes offshore energy related assets, which consist of vessels and equipment that support offshore oil and gas activities and production which are typically subject to operating leases.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies; however, financial information presented by segment includes the impact of intercompany eliminations. Our Chief Executive Officer is our Chief Operating Decision Maker (“CODM”). Segment information is presented in the same manner that our CODM reviews the operating results in assessing performance and allocating resources. The CODM evaluates performance for each reportable segment primarily based on Adjusted EBITDA. Historically, the CODM’s assessment of segment performance included asset information. The CODM determined that segment asset information is not a key factor in measuring performance or allocating resources. Therefore, segment asset information is not included in the tables below as it is not provided to or reviewed by our CODM.

Adjusted EBITDA is defined as net income (loss) attributable to shareholders, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, dividends on preferred shares and interest expense, internalization fee to affiliate, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA.

We believe that net income (loss) attributable to shareholders, as defined by U.S. GAAP, is the most appropriate earnings measurement with which to reconcile Adjusted EBITDA. Adjusted EBITDA should not be considered as an alternative to net income (loss) attributable to shareholders as determined in accordance with U.S. GAAP. The following tables set forth certain information for each reportable segment:

I. For the Three Months Ended September 30, 2024


	Three Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	57,322	$	—	$	8,128	$	65,450
Maintenance revenue	59,917		—		—		59,917
Asset sales revenue	34,953		—		—		34,953
Aerospace products revenue	—		303,469		—		303,469
Other revenue	74		—		1,931		2,005
Total revenues	$	152,266	$	303,469	$	10,059	$	465,794

Expenses
Cost of sales	20,684		198,812		—		219,496
Operating expenses	9,995		2,617		14,246		26,858
General and administrative	—		—		4,045		4,045
Acquisition and transaction expenses	2,620		2,100		4,621		9,341


Depreciation and amortization	52,455		1,306		3,014		56,775

Total expenses	85,754		204,835		25,926		316,515

Other income (expense)
Equity in losses of unconsolidated entities	—		(438)		—		(438)


Interest expense	—		—		(57,937)		(57,937)
Other income	1,982		—		927		2,909
Total other income (expense)	1,982		(438)		(57,010)		(55,466)
Income (loss) before income taxes	68,494		98,196		(72,877)		93,813
Provision for (benefit from) income taxes	8,898		4,408		(5,975)		7,331
Net income (loss)	59,596		93,788		(66,902)		86,482
Less: Dividends on preferred shares	—		—		8,335		8,335
Net income (loss) attributable to shareholders	$	59,596	$	93,788	$	(75,237)	$	78,147

The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders:


	Three Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	136,423	$	101,814	$	(6,207)	$	232,030
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in losses of unconsolidated entities							(438)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							382

Less: Interest expense and dividends on preferred shares							(66,272)
Less: Depreciation and amortization expense							(69,453)
Less: Incentive allocations							—
Less: Asset impairment charges							—
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							—
Less: Acquisition and transaction expenses							(9,341)
Less: Equity-based compensation expense							(1,430)
Less: Provision for income taxes							(7,331)
Net income attributable to shareholders							$	78,147

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Three Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	1,266	$	—	$	—	$	1,266
Asia	46,459		65,714		10,059		$	122,232
Europe	56,750		84,136		—		$	140,886
North America	34,700		149,530		—		$	184,230
South America	13,091		4,089		—		$	17,180
Total revenues (1)	$	152,266	$	303,469	$	10,059	$	465,794

_______________________________________________________

II. For the Nine Months Ended September 30, 2024


	Nine Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	168,927	$	—	$	20,438	$	189,365
Maintenance revenue	156,894		—		—		156,894
Asset sales revenue	145,993		—		—		145,993
Aerospace products revenue	—		737,726		—		737,726
Other revenue	199		—		5,905		6,104
Total revenues	$	472,013	$	737,726	$	26,343	$	1,236,082

Expenses
Cost of sales	111,542		456,615		—		568,157
Operating expenses	26,984		16,510		37,780		81,274
General and administrative	—		—		10,697		10,697
Acquisition and transaction expenses	7,350		2,871		13,318		23,539
Management fees and incentive allocation to affiliate	—		—		8,449		8,449
Internalization fee to affiliate	—		—		300,000		300,000
Depreciation and amortization	151,211		3,177		8,998		163,386
Asset impairment	962		—		—		962
Total expenses	298,049		479,173		379,242		1,156,464

Other income (expense)
Equity in losses of unconsolidated entities	(207)		(1,592)		—		(1,799)

Interest expense	—		—		(160,840)		(160,840)
Loss on extinguishment of debt	—		—		(13,920)		(13,920)
Other income	1,440		—		1,605		3,045
Total other income (expense)	1,233		(1,592)		(173,155)		(173,514)
Income (loss) before income taxes	175,197		256,961		(526,054)		(93,896)
Provision for (benefit from) income taxes	20,224		11,865		(32,219)		(130)
Net income (loss)	154,973		245,096		(493,835)		(93,766)
Less: Dividends on preferred shares	—		—		25,005		25,005
Net income (loss) attributable to shareholders	$	154,973	$	245,096	$	(518,840)	$	(118,771)

The following table sets forth a reconciliation of Adjusted EBITDA to net loss attributable to shareholders:


	Nine Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	366,211	$	263,331	$	(19,507)	$	610,035
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in losses of unconsolidated entities							(1,799)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							1,547
Less: Internalization fee to affiliate							(300,000)
Less: Interest expense and dividends on preferred shares							(185,845)
Less: Depreciation and amortization expense							(194,384)
Less: Incentive allocations							(7,456)
Less: Asset impairment charges							(962)
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							(13,920)
Less: Acquisition and transaction expenses							(23,539)
Less: Equity-based compensation expense							(2,578)
Less: Benefit from income taxes							130
Net loss attributable to shareholders							$	(118,771)

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Nine Months Ended September 30, 2024
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	3,389	$	8,271	$	—	$	11,660
Asia	105,220		122,744		26,343		$	254,307
Europe	235,367		256,752		—		$	492,119
North America	81,709		336,672		—		$	418,381
South America	46,328		13,287		—		$	59,615
Total revenues (1)	$	472,013	$	737,726	$	26,343	$	1,236,082

________________________________________________________

Presented below are the contracted minimum future annual revenues to be received under existing operating leases as of September 30, 2024:


	Operating Leases
Remainder of 2024	$	73,112
2025	203,217
2026	148,127
2027	111,158
2028	101,250
Thereafter	108,318
Total	$	745,182

III. For the Three Months Ended September 30, 2023


	Three Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	35,981	$	—	$	9,641	$	45,622
Maintenance revenue	63,925		—		—		63,925
Asset sales revenue	61,400		—		—		61,400
Aerospace products revenue	—		118,675		—		118,675
Other revenue	82		—		1,392		1,474
Total revenues	$	161,388	$	118,675	$	11,033	$	291,096

Expenses
Cost of sales	46,511		70,196		—		116,707
Operating expenses	13,944		5,947		13,996		33,887
General and administrative	—		—		3,015		3,015
Acquisition and transaction expenses	2,329		110		1,822		4,261
Management fees and incentive allocation to affiliate	—		—		4,577		4,577
Depreciation and amortization	41,141		115		2,703		43,959
Total expenses	103,925		76,368		26,113		206,406

Other income (expense)
Equity in (losses) earnings of unconsolidated entities	(108)		154		—		46
Interest expense	—		—		(40,185)		(40,185)
Other income	444		—		17		461
Total other income (expense)	336		154		(40,168)		(39,678)
Income (loss) before income taxes	57,799		42,461		(55,248)		45,012
Provision for income taxes	2,332		1,131		242		3,705
Net income (loss)	55,467		41,330		(55,490)		41,307

Less: Dividends on preferred shares	—		—		8,334		8,334
Net income (loss) attributable to shareholders	$	55,467	$	41,330	$	(63,824)	$	32,973

The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders:


	Three Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	116,858	$	43,289	$	(5,929)	$	154,218
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in earnings of unconsolidated entities							46
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							(642)
Less: Interest expense and dividends on preferred shares							(48,519)
Less: Depreciation and amortization expense							(59,380)
Less: Incentive allocations							(4,274)
Less: Asset impairment charges							—
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							—
Less: Acquisition and transaction expenses							(4,261)
Less: Equity-based compensation expense							(510)
Less: Provision for income taxes							(3,705)
Net income attributable to shareholders							$	32,973

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Three Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	154	$	—	$	—	$	154
Asia	48,267		952		11,033		60,252
Europe	56,679		34,961		—		91,640
North America	44,369		77,213		—		121,582
South America	11,919		5,549		—		17,468
Total revenues (1)	$	161,388	$	118,675	$	11,033	$	291,096

________________________________________________________

III. For the Nine Months Ended September 30, 2023


	Nine Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Lease income	$	132,978	$	—	$	28,163	$	161,141
Maintenance revenue	141,131		—		—		141,131
Asset sales revenue	246,927		—		—		246,927
Aerospace products revenue	—		296,513		—		296,513
Other revenue	6,773		—		5,674		12,447
Total revenues	$	527,809	$	296,513	$	33,837	$	858,159

Expenses
Cost of sales	188,343		178,566		—		366,909
Operating expenses	28,610		12,838		39,770		81,218
General and administrative	—		—		10,270		10,270
Acquisition and transaction expenses	4,960		1,137		4,098		10,195
Management fees and incentive allocation to affiliate	—		—		13,137		13,137
Depreciation and amortization	114,994		298		8,107		123,399
Asset impairment	1,220		—		—		1,220
Total expenses	338,127		192,839		75,382		606,348

Other income (expense)
Equity in losses of unconsolidated entities	(242)		(1,427)		—		(1,669)
Interest expense	—		—		(117,976)		(117,976)
Other income	860		—		17		877
Total other income (expense)	618		(1,427)		(117,959)		(118,768)
Income (loss) before income taxes	190,300		102,247		(159,504)		133,043
Provision for income taxes	4,414		2,631		541		7,586
Net income (loss)	185,886		99,616		(160,045)		125,457

Less: Dividends on preferred shares	—		—		23,460		23,460
Net income (loss) attributable to shareholders	$	185,886	$	99,616	$	(183,505)	$	101,997

The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders:


	Nine Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Adjusted EBITDA	$	345,580	$	105,413	$	(16,042)	$	434,951
Add: Non-controlling share of Adjusted EBITDA							—
Add: Equity in losses of unconsolidated entities							(1,669)
Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities							(96)
Less: Interest expense and dividends on preferred shares							(141,436)
Less: Depreciation and amortization expense							(157,084)
Less: Incentive allocations							(12,540)
Less: Asset impairment charges							(1,220)
Less: Changes in fair value of non-hedge derivative instruments							—
Less: Losses on the modification or extinguishment of debt and capital lease obligations							—
Less: Acquisition and transaction expenses							(10,195)
Less: Equity-based compensation expense							(1,128)
Less: Provision for income taxes							(7,586)
Net income attributable to shareholders							$	101,997

Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows:


	Nine Months Ended September 30, 2023
	Aviation Leasing		Aerospace Products		Corporate and Other		Total
Revenues
Africa	$	154	$	875	$	—	$	1,029
Asia	81,285		2,737		33,837		117,859
Europe	188,498		84,547		—		273,045
North America	225,769		198,359		—		424,128
South America	32,103		9,995		—		42,098
Total revenues (1)	$	527,809	$	296,513	$	33,837	$	858,159

________________________________________________________

(1) The United States, included in North America, represents 46% of total revenues based on the location of our customers and lessees. No other country represents more than 10% of total revenues.

V. Location of Long-Lived Assets

The following tables sets forth the geographic location of property, plant and equipment and leasing equipment, net:


	September 30, 2024		December 31, 2023
Property, plant and equipment and leasing equipment, net
Africa	$	35,419	$	18,380
Asia	446,744		478,120
Europe	939,380		934,817
North America	559,433		416,811
South America	188,966		229,460
Total property, plant and equipment and leasing equipment, net (1)	$	2,169,942	$	2,077,588

________________________________________________________

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

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+ Details

INVESTMENTS (Tables)

9 Months Ended

Sep. 30, 2024

Equity Method Investments and Joint Ventures [Abstract]

Equity Method Investments

The following table presents the ownership interests and carrying values of our investments:


			Carrying Value
	Investment	Ownership Percentage	September 30, 2024		December 31, 2023
Advanced Engine Repair JV	Equity method	25%	$	19,448	$	21,040
Falcon MSN 177 LLC	Equity method	50%	—		1,682

			$	19,448	$	22,722

The following table presents our proportionate share of equity in (losses) income:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Advanced Engine Repair JV	$	(438)	$	1,063	$	(1,592)	$	1,336
Falcon MSN 177 LLC	—		(108)		(207)		(242)
Quick Turn Engine Center LLC	—		(909)		—		(2,763)
Total	$	(438)	$	46	$	(1,799)	$	(1,669)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Ordinary Shares	Preferred Shares	Ordinary Shares	Preferred Shares	Additional Paid In Capital	Additional Paid In Capital Ordinary Shares	Additional Paid In Capital Preferred Shares	Accumulated Deficit	Non-Controlling Interest in Equity of Consolidated Subsidiaries
Beginning balance at Dec. 31, 2022	$ 19,402			$ 997	$ 133	$ 343,350			$ (325,602)	$ 524
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	84,150								84,150
Total comprehensive income (loss)	84,150								84,150
Dividends declared - ordinary and preferred shares		$ (59,854)	$ (15,126)				$ (59,854)	$ (15,126)
Issuance of ordinary shares	389					389
Equity-based compensation	618					618
Contributions from non-controlling interest	10									10
Issuance of preferred shares	61,729				26	61,703
Ending balance at Jun. 30, 2023	91,318			997	159	331,080			(241,452)	534
Beginning balance at Dec. 31, 2022	19,402			997	133	343,350			(325,602)	524
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	125,457
Ending balance at Sep. 30, 2023	95,062			1,002	159	293,512			(200,145)	534
Beginning balance at Jun. 30, 2023	91,318			997	159	331,080			(241,452)	534
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	41,307								41,307
Total comprehensive income (loss)	41,307								41,307
Dividends declared - ordinary and preferred shares		(29,922)	(8,334)				(29,922)	(8,334)
Issuance of ordinary shares	183			5		178
Equity-based compensation	510					510
Ending balance at Sep. 30, 2023	95,062			1,002	159	293,512			(200,145)	534
Beginning balance at Dec. 31, 2023	175,883			1,002	159	255,973			(81,785)	534
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(180,248)								(180,248)
Total comprehensive income (loss)	(180,248)								(180,248)
Purchase of non-controlling interest	(534)									(534)
Dividends declared - ordinary and preferred shares		(60,148)	(16,670)				(60,148)	(16,670)
Issuance of ordinary shares	150,136			20		150,116
Equity-based compensation	1,148					1,148
Ending balance at Jun. 30, 2024	69,567			1,022	159	330,419			(262,033)	0
Beginning balance at Dec. 31, 2023	175,883			1,002	159	255,973			(81,785)	534
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(93,766)
Ending balance at Sep. 30, 2024	118,532			1,025	159	292,899			(175,551)	0
Beginning balance at Jun. 30, 2024	69,567			1,022	159	330,419			(262,033)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	86,482								86,482
Total comprehensive income (loss)	86,482								86,482
Dividends declared - ordinary and preferred shares		$ (30,661)	$ (8,335)				$ (30,661)	$ (8,335)
Issuance of ordinary shares	49			3		46
Equity-based compensation	1,430					1,430
Ending balance at Sep. 30, 2024	$ 118,532			$ 1,025	$ 159	$ 292,899			$ (175,551)	$ 0

ACQUISITION OF QUICKTURN

9 Months Ended

Sep. 30, 2024

Business Combinations [Abstract]

Acquisition of QuickTurn

3. ACQUISITION OF LOCKHEED MARTIN COMMERCIAL ENGINE SOLUTIONS

The following table summarizes the preliminary allocation of the net assets acquired:


	September 9, 2024
Fair value of assets acquired:
Accounts receivable	$	12,273
Property, plant, and equipment	71,376
Leasing equipment	5,675
Inventory	47,445
Other assets (1)	12,804
Total assets	149,573
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	9,847
Other liabilities	22,996
Total liabilities	32,843
Goodwill (2)	26,904
Net assets acquired (3)	$	143,634

________________________________________________________

(1) Acquired Other assets include a favorable off-market lease component with an estimated fair value of $2,340.

The following table presents preliminary fair values of the components of property, plant and equipment acquired and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Buildings and improvements	25	$	40,602
Machinery and equipment	2 - 21	29,973
Other	N/A	801
Total		$	71,376

The results of operations for the acquired business are included in the accompanying Consolidated Statements of Operations from the acquisition date.


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Total revenue	$	479,277	$	315,666	$	1,283,520	$	929,297
Net income (loss) attributable to shareholders	$	83,727	$	34,753	$	(122,542)	$	89,716

4. ACQUISITION OF QUICKTURN

The following table summarizes the preliminary allocation of the net assets acquired:


	December 1, 2023
Fair value of assets acquired:
Cash and cash equivalents	$	518
Restricted cash	150
Accounts receivable	5,133
Property, plant, and equipment	30,559
Intangible assets	2,377
Inventory	9,332
Other assets	4,301
Total assets	52,370
Fair value of liabilities assumed:
Accounts payable and accrued liabilities	3,994
Other liabilities	2,410
Total liabilities	6,404
Goodwill (1)	4,630
Net assets acquired	$	50,596

________________________________________________________

The following table presents the identifiable intangible assets and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Above market leases	4	$	470
Customer relationships	5	$	1,907
Total		$	2,377

The following table presents the property, plant and equipment and their estimated useful lives:


	Estimated useful life in years	Estimated Fair value
Land	N/A	$	2,840
Buildings and improvements	25	13,790
Machinery and equipment	6 - 23	13,631
Other	5 - 7	298
Total		$	30,559

•Associated tax-related impacts of adjustments.


	Three Months Ended		Nine Months Ended
	September 30, 2023		September 30, 2023
Total revenue	$	296,480	$	875,066
Net income attributable to shareholders	$	31,350	$	97,633

INCOME TAXES

9 Months Ended

Sep. 30, 2024

Income Tax Disclosure [Abstract]

INCOME TAXES

11. INCOME TAXES

The current and deferred components of the income tax provision included in the Consolidated Statements of Operations are as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Current:
Cayman Islands	$	—	$	—	$	—	$	—
Bermuda	—		—		—		—
United States:	—		—		—		—
Federal	(296)		(32)		888		(77)
State and local	(72)		39		217		20
Non-U.S.	446		851		1,235		1,669
Total current provision	78		858		2,340		1,612
Deferred:
Cayman Islands	—		—		—		—
Bermuda	4,738		—		(3,088)		—
United States:	—		—		—		—
Federal	1,422		1,521		2,733		2,344
State and local	317		(430)		584		68
Non-U.S.	776		1,756		(2,699)		3,562
Total deferred provision	7,253		2,847		(2,470)		5,974

Total provision for income taxes	$	7,331	$	3,705	$	(130)	$	7,586

The Company is an exempted entity domiciled in the Cayman Islands where income taxes are not imposed. The Company is considered a Passive Foreign Investment Company for U.S. income tax purposes and certain income taxes are imposed on our owners. Taxable income or loss generated by our corporate subsidiaries is subject to corporate income tax in locations where they conduct business.

Historically, the Company’s Bermuda operations have not been subject to Bermuda income tax. However, on December 27, 2023, the Government of Bermuda enacted a 15 percent corporate income tax regime (the “Bermuda CIT”) that applies to Bermuda businesses that are part of multinational enterprise groups with annual revenue of €750 million or more and is effective for tax years beginning on or after January 1, 2025. As a result of the Bermuda CIT, the exemption of certain of the Company’s Bermuda subsidiaries from Bermuda corporate income taxes will cease in 2025. For the year ended December 31, 2023, we recorded a deferred tax asset of $72.2 million in connection with the Bermuda law change. As of September 30, 2024, we project the Bermuda subsidiaries to generate a net operating loss for the year ended December 31, 2024. As such, the Company recorded a tax benefit of $3.1 million to increase its Bermuda deferred tax asset.

Our effective tax rate differs from the U.S. federal tax rate of 21% primarily due to a significant portion of our income not being subject to U.S. corporate tax rates, or being deemed to be foreign sourced and thus either not taxable or taxable at effectively lower tax rates.

As of and for the nine months ended September 30, 2024, we had not established a liability for uncertain tax positions as no such positions existed. In general, our tax returns and the tax returns of our corporate subsidiaries are subject to U.S. federal, state, local and foreign income tax examinations by tax authorities. Generally, we are not subject to examination by taxing authorities for tax years prior to 2020. We do not believe that it is reasonably possible that the total amount of unrecognized tax benefits will significantly change within 12 months of the reporting date.

- Definition

The entire disclosure for income tax.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482685/740-10-50-12

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 231
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482663/740-10-55-231

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12C
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482685/740-10-50-12C

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12B
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482685/740-10-50-12B

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 270
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-Section 50
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-URI https://asc.fasb.org/1943274/2147477891/740-270-50-1

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479360/740-10-S99-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
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-Publisher FASB
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
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-SubTopic 10
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-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
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Reference 10: http://www.xbrl.org/2003/role/disclosureRef
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-Section 50
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Reference 11: http://www.xbrl.org/2003/role/disclosureRef
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Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482685/740-10-50-17

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
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-Paragraph 2
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-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479360/740-10-S99-2

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482603/740-30-50-2

+ Details

LEASING EQUIPMENT, NET

9 Months Ended

Sep. 30, 2024

Leases [Abstract]

LEASING EQUIPMENT, NET

5. LEASING EQUIPMENT, NET

Leasing equipment, net is summarized as follows:




	September 30, 2024		December 31, 2023
Leasing equipment	$	2,621,016	$	2,574,394
Less: Accumulated depreciation	(554,679)		(541,981)
Leasing equipment, net	$	2,066,337	$	2,032,413

Due to specific transactions, we identified certain assets in our leasing equipment portfolio with indicators of impairment. As a result, we adjusted the carrying value of these assets to fair value and recognized transactional impairment charges of $1.0 million and $1.2 million, net of redelivery compensation, for the nine months ended September 30, 2024 and 2023, respectively. For the three months ended September 30, 2024 and 2023, no transactional impairment charges were recorded.

Depreciation expense for leasing equipment is summarized as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024	2023
Depreciation expense for leasing equipment	$	55,376	$	43,765	159,936	122,867