AIRCRAFT LEASE SECURITISATION: Annual Aircraft Appraisals 2013

AIRCRAFT LEASE SECURITISATION LIMITED
22 Grenville Street, St. Helier, Jersey, JE4 8PX Channel Islands

Under the terms of the amended and restated trust indenture dated as of May 8, 2007 (the “Trust Indenture”) governing the Class G-3 Floating Rate Asset Backed Notes issued by Aircraft Lease Securitisation Limited (“ALS” and, together with its subsidiaries “ALS Group”), ALS is required annually to commission an appraisal of the “base value” of the ALS Group aircraft portfolio from three independent aircraft value appraisers.

ALS has obtained desktop appraisals of the “base value” of each of ALS Group’s 48 aircraft at September 30, 2013 from three independent appraisers: Ascend (formerly Airclaims) (“Ascend”), Aircraft Information Services, Inc. (“AISI”) and BK Associates, Inc. (“BK”). On the basis of these three appraisals (Ascend: $835 million; AISI: $844 million; BK: $997 million), the average appraised base value of ALS Group’s portfolio of aircraft as of September 30, 2013 was approximately $892 million (the “2013 Appraised Value”). The average appraised base value for the 50 aircraft in the portfolio at September 30, 2012 was $986 million. Following the disposal of two aircraft by way of consignment, the comparable value at September 30, 2012 for the 48 aircraft currently in the portfolio was $973 million. The decline in the average appraised value of the portfolio of 48 aircraft at September 30, 2013 compared with the average appraised value of such aircraft at September 30, 2012 of $81 million is approximately $43 million greater than the decline in value assumed by the principal payment tables included in the Trust Indenture.

The appraisals have no impact on the distribution of cash as determined by the Trust Indenture as ALS now has only one class of senior notes outstanding.