Debt Financing

9 Months Ended

Sep. 30, 2021

Debt Disclosure [Abstract]

Debt Financing

Debt Financing

The Company’s consolidated debt as of September 30, 2021 and December 31, 2020 is summarized below (in thousands):

	September 30, 2021		December 31, 2020
Unsecured
Senior notes	$	17,490,582	$	15,583,544
Term financings	170,975		811,550
Total unsecured debt financing	17,661,557		16,395,094
Secured
Term financings	129,851		276,032
Export credit financing	19,964		24,955
Total secured debt financing	149,815		300,987
Total debt financing	17,811,372		16,696,081
Less: Debt discounts and issuance costs	(194,492)		(177,743)
Debt financing, net of discounts and issuance costs	$	17,616,880	$	16,518,338

Senior unsecured notes (including Medium-Term Note Program)

As of September 30, 2021, the Company had $17.5 billion in senior unsecured notes outstanding. As of December 31, 2020, the Company had $15.6 billion in senior unsecured notes outstanding.

During the nine months ended September 30, 2021, the Company issued approximately $3.7 billion in aggregate principal amount of Medium-Term Notes comprised of (i) $750.0 million in aggregate principal amount of 0.70% Medium-Term Notes due 2024, (ii) $1.2 billion in aggregate principal amount of 1.875% Medium-Term Notes due 2026, (iii) $600.0 million in aggregate principal amount of Medium-Term Notes due 2022 bearing interest at a floating rate of three-month LIBOR plus 0.35%, (iv) $600.0 million in aggregate principal amount of 0.800% Medium-Term Notes due 2024, and (v) $500.0 million in aggregate principal amount of 2.100% Medium-Term Notes due 2028.

Unsecured revolving credit facilities

The Company has an unsecured revolving credit facility (the “Revolving Credit Facility”). As of September 30, 2021 and December 31, 2020, the Company did not have any amounts outstanding under the Revolving Credit Facility.

Borrowings under the Revolving Credit Facility accrue interest at either (a) LIBOR plus a margin of 1.05% per year or (b) an alternative base rate plus a margin of 0.05% per year, subject, in each case, to increases or decreases based on declines or improvements in the credit ratings for the Company’s debt. The Company is required to pay a facility fee of 0.20% per year (also subject to increases or decreases based on declines or improvements in the credit ratings for the Company’s debt) in respect of total commitments under the Revolving Credit Facility. Borrowings under the Revolving Credit Facility are used to finance the Company’s working capital needs in the ordinary course of business and for other general corporate purposes.

In April 2021, the Company amended and extended its Revolving Credit Facility through an amendment that, among other things, extended the final maturity date from May 5, 2023 to May 5, 2025 and, after giving effect to commitments that matured on May 5, 2021, increased the total revolving commitments to approximately $6.4 billion, representing an increase of 6.7% from December 31, 2020. In September 2021, the Company executed a new lender supplement to the Revolving Credit Facility, which increased the aggregate facility capacity by an additional $50.0 million and increased total revolving commitments to $6.5 billion. As of November 4, 2021, lenders held revolving commitments totaling approximately $5.8 billion that mature on May 5, 2025, commitments totaling $575.0 million that mature on May 5, 2023 and commitments totaling $105.0 million that mature on May 5, 2022. The amended Revolving Credit Facility also added benchmark replacement language with respect to LIBOR largely based on Alternative Reference Rates Committee LIBOR fallback language and amended certain financial maintenance covenants, including removing the maximum consolidated leverage ratio covenant, increasing the required level for minimum consolidated shareholders’ equity and removing the mechanism for suspending the minimum interest coverage ratio if certain debt ratings are met.

In September 2021, the Company entered into an uncommitted unsecured revolving credit facility with a total borrowing capacity of $75.0 million and a maturity date of June 22, 2022, bearing interest at a rate of LIBOR plus 0.90%. As of September 30, 2021, the Company did not have any amounts outstanding under this facility.

Secured debt financing

As of September 30, 2021, the outstanding balance on the Company’s secured debt financings, including its export credit financing, was $149.8 million and it had pledged three aircraft as collateral with a net book value of $224.7 million. As of December 31, 2020, the outstanding balance on the Company’s secured debt financings, including its secured warehouse facility and its export credit financing, was $301.0 million and it had pledged 12 aircraft as collateral with a net book value of $628.7 million. As of September 30, 2021 and December 31, 2020, all of the Company’s secured obligations are recourse in nature.

Maturities

Maturities of debt outstanding as of September 30, 2021 are as follows (in thousands):

Years ending December 31,
2021	$	8,829
2022	2,733,882
2023	2,490,951
2024	2,890,800
2025	2,313,889
Thereafter	7,373,021
Total	$	17,811,372