Note 8 – Concentrations

A significant portion of our portfolio is concentrated among a few customers and in distinct geographic regions, particularly in the United States. Our portfolio is also concentrated by varying degrees across aircraft product types and vintages. Our concentration risk is mitigated in part by intercompany guarantees from Boeing with respect to certain portfolio assets, which primarily relate to 717 aircraft.

Portfolio carrying values for our five largest customers were as follows:


	September 30, 2012
	Carrying Value		% of Total Portfolio
AirTran/Southwest	$	1,221		30.1	%
Hawaiian		393		9.7
Continental		392		9.7
American		278		6.9
Volotea		172		4.2
	$	2,456		60.6	%


	December 31, 2011
	Carrying Value		% of Total Portfolio
AirTran/Southwest	$	1,261		29.2	%
Continental		415		9.6
Hawaiian		374		8.7
American		350		8.1
Korean		159		3.7
	$	2,559		59.3	%

For the nine months ended September 30, 2012 and 2011, AirTran Holdings, LLC, a wholly owned subsidiary of Southwest Airlines Co. (Southwest), accounted for 18% and 22% of our revenue. On July 8, 2012, BCC, Boeing, Southwest and Delta Air Lines, Inc. (Delta) reached agreement whereby the 717 aircraft on lease to AirTran Airways, Inc. (AirTran) will be subleased from AirTran to Delta on a phased-in basis beginning in 2013, with the sublease scheduled for the duration of the lease term between BCC and AirTran. Delta has committed to lease these 717 aircraft from us for an additional seven-year period following the expiration of the sublease.

Portfolio carrying values were represented in the following regions:


	September 30, 2012					December 31, 2011
	Carrying Value		% of Total Portfolio			Carrying Value		% of Total Portfolio
United States⁽¹⁾	$	2,841		70.1	%	$	3,186		73.8	%
Europe		751		18.6			693		16.1
Asia/Australia		245		6.0			241		5.6
Latin America		73		1.8			79		1.8
Other		140		3.5			116		2.7
	$	4,050		100.0	%	$	4,315		100.0	%

⁽¹⁾

United States includes assets held for sale or re-lease that may be physically located in another region.

Portfolio carrying values were represented by the following product types:


	September 30, 2012		December 31, 2011
717	$	1,930	$	2,001
757		538		631
737		353		408
MD-11		313		311
767		256		316
747		207		225
MD-80		164		171
777		145		134
Other⁽¹⁾		144		118
	$	4,050	$	4,315

⁽¹⁾

Other includes aircraft, equipment, notes and stock. Some of these aircraft are out of production, but are supported by the manufacturer or other third-party parts and service providers.

Our aircraft portfolio by vintage, based on carrying value (excluding investments, engines, and pooled assets), are categorized as follows:


	September 30, 2012			December 31, 2011
2007 and newer		3.5	%		3.5	%
2002 – 2006		45.9			45.3
1997 – 2001		39.7			38.8
1996 and older		10.9			12.4
		100.0	%		100.0	%