Net Investment in Leases, Net (Tables)

12 Months Ended

Feb. 29, 2024

The components of our net investment in leases at February 29, 2024 and February 28, 2023 were as follows:


	February 29,		February 28,
	2024		2023
Lease receivable	$	142,983	$	31,674
Unguaranteed residual value of flight equipment	147,170		37,287
Net investment in leases	290,153		68,961
Allowance for credit losses	(7,714)		(1,267)
Net investment in leases, net	$	282,439	$	67,694

Sales-type and Direct Financing Leases, Lease Receivable, Maturity

During the year ended February 29, 2024, 12 aircraft were reclassified from operating leases to sales-type leases and we recognized a provision for credit losses totaling $7.0 million for these aircraft.

Collectability of the lease payments for 10 of these 12 aircraft, which was not deemed probable at the effective date of the related lease modifications, became probable during the year ended February 29, 2024. Accordingly, we derecognized the carrying amounts of the underlying aircraft and lease payments recorded by us as deposit liabilities and recognized net investments in leases. A selling profit totaling $32.7 million for these 10 aircraft was recognized as a component of gain on sale or disposition of flight equipment for the year ended February 29, 2024.

We also sold 1 aircraft that was subject to a sales-type lease during the year ended February 29, 2024.

As of February 29, 2024, future lease payments on net investment in leases were as follows:


Year Ending February 28/29,	Amount
2025	$	28,151
2026	17,262
2027	26,160
2028	27,163
2029	26,716
Thereafter	65,194
Total lease payments to be received	190,646
Present value of lease payments - lease receivable	(142,983)
Difference between undiscounted lease payments and lease receivable	$	47,663