Air Lease Corporation Announces Second Quarter 2013 Results

Los Angeles, California, August 8, 2013 — Air Lease Corporation (ALC) (NYSE: AL) announced today the results of its operations for the three and six months ended June 30, 2013.

Highlights
Air Lease Corporation reports another consecutive quarter of fleet, revenue, profitability and financing growth:
• Diluted EPS increased by 46.4% to $0.41 per share for the three months ended June 30, 2013 from $0.28 per share for the three months ended June 30, 2012
• Revenues increased 31.4% to $207.9 million for the three months ended June 30, 2013 compared to $158.2 million for the three months ended June 30, 2012
• Income before taxes increased 51.1% to $66.3 million with a pretax margin of 31.9% for the three months ended June 30, 2013 compared to income before taxes of $43.9 million with a pretax margin of 27.7% for the three months ended June 30, 2012
• ALC became a launch customer for Boeing’s 787-10 Dreamliner at the Le Bourget airshow in June 2013, signing a non-binding memorandum of understanding for 30 787-10 aircraft and three additional 787-9 aircraft
• Acquired twelve aircraft (including ten aircraft from our order book and two incremental aircraft), growing our fleet to 174 aircraft spread across a broad customer base of 78 airlines in 44 countries
• We amended our 2010 Warehouse Facility, reducing the facility size by $250.0 million to $1.0 billion, reducing the interest rate to LIBOR plus 2.25% per annum from LIBOR plus 2.50% per annum on drawn balances, reducing the interest rate to 0.50% per annum from 0.75% per annum on undrawn balances and extending the availability period to June 2015 from June 2013 with a subsequent four year term out option
• Our Board of Directors declared ALC’s third quarterly cash dividend of $0.025 per share on our outstanding common stock

“Our strong results continued during the second quarter as we increased our fully diluted EPS by 46% compared to Q2 of 2012. With an eye towards our customers’ future requirements, and ALC’s long term growth, we placed a launch order for the Boeing 787-10 at the Le Bourget Airshow, which will begin delivering in 2019. The growth in overall global passenger traffic remains at or above our expectations and we continue to see steady demand for our aircraft,” said Steven F. Udvar- Házy, Chairman and Chief Executive Officer of Air Lease Corporation.

“ALC’s fleet continues to perform well with no significant change in overall portfolio lease rate factor. Our performance remains consistent and forward placements overall are tracking with our expectations. Having closed a large upsizing of our bank facility, we were able to drive our composite cost of funds below 4% for the quarter,” said John L. Plueger, President and Chief Operating Officer of Air Lease Corporation.

Fleet Growth
Building on our base of 162 aircraft at March 31, 2013, we increased our fleet by twelve aircraft during the second quarter of 2013 and ended the second quarter with 174 aircraft spread across a broad customer base of 78 airlines across 44 countries.

Debt Financing Activities
During the second quarter of 2013 and through August 8, 2013, the Company expanded our banking group to 41 institutions and entered into additional debt facilities aggregating $747.7 million, which included a $607.0 million addition to our Syndicated Unsecured Revolving Credit Facility and additional facilities aggregating $140.7 million. We ended the second quarter of 2013 with total unsecured debt outstanding of $3.6 billion. The Company’s unsecured debt as a percentage of total debt increased to 68.8% as of June 30, 2013 from 60.2% as of December 31, 2012, while maintaining a composite cost of funds of 3.74%. We ended the third quarter of 2013 with a conservative balance sheet with a low residual value risk profile and ample liquidity of $1.3 billion.

Our financing plan remains focused on raising unsecured debt in the global bank and capital markets, reinvesting cash flow from operations, and to a limited extent export credit financing. In May 2013, the Company received a corporate credit rating of A- from Kroll Bond Ratings which further broadens our access to attractively priced capital.

Dividend
On August 8, 2013, our board of directors approved our third consecutive quarterly cash dividend of $0.025 per share on our outstanding common stock. The dividend will be paid on October 7, 2013 to holders of record of our common stock as of September 17, 2013.