|
|
 | | | |
- close
- close
- close
- close
These excerpts taken from the AYR 10-K filed Mar 2, 2009. European
Concentration
Thirty-four lessees based in Europe accounted for 46% of our
lease rental revenues for the year ended December 31, 2008.
Commercial airlines in Europe face, and can be expected to
continue to face, increased competitive pressures, in part as a
result of the deregulation of the airline industry by the
European Union, the resultant development of low-cost carriers
and due to pressures from stronger airlines that are
consolidating.
Table of Contents
European countries generally have relatively strict
environmental regulations and traffic constraints that can
restrict operational flexibility and decrease aircraft
productivity, which could significantly increase aircraft
operating costs of all aircraft, including our aircraft, thereby
adversely affecting lessees. The airline industry in European
countries, as in the rest of the world generally, is highly
sensitive to general economic conditions. A recession or other
worsening of economic conditions or a terrorist attack in one or
more of these countries, particularly if combined with high and
volatile fuel prices and a weakening Euro or other local
currency, may have a material adverse effect on the ability of
European lessees to meet their financial and other obligations
under our leases.
The global financial crisis has brought the financial systems of
certain countries to near collapse, including Iceland. The
crisis has resulted in the nationalization of several Icelandic
banks, large fluctuations in the value of the Icelandic Kroner,
and limited ability to transfer funds out of Iceland. The
government has been granted International Monetary Fund, or IMF,
assistance in the amount of $2.1 billion, as well as loans
from other countries to stabilize the situation. However the
restrictions currently placed on the banking system have
impacted the ability of certain Icelandic companies (as well as
those connected with certain Icelandic companies) to operate
their businesses. A prolonged restriction on the banking system
in Iceland, as well as an inability by Iceland to secure
external financing may have a material adverse effect on the
ability of certain lessees to meet their financial obligations
and other obligations under our leases.
European Concentration Thirty-four lessees based in Europe accounted for 46% of our lease rental revenues for the year ended December 31, 2008. Commercial airlines in Europe face, and can be expected to continue to face, increased competitive pressures, in part as a result of the deregulation of the airline industry by the European Union, the resultant development of low-cost carriers and due to pressures from stronger airlines that are consolidating.
Table of ContentsEuropean countries generally have relatively strict environmental regulations and traffic constraints that can restrict operational flexibility and decrease aircraft productivity, which could significantly increase aircraft operating costs of all aircraft, including our aircraft, thereby adversely affecting lessees. The airline industry in European countries, as in the rest of the world generally, is highly sensitive to general economic conditions. A recession or other worsening of economic conditions or a terrorist attack in one or more of these countries, particularly if combined with high and volatile fuel prices and a weakening Euro or other local currency, may have a material adverse effect on the ability of European lessees to meet their financial and other obligations under our leases. The global financial crisis has brought the financial systems of certain countries to near collapse, including Iceland. The crisis has resulted in the nationalization of several Icelandic banks, large fluctuations in the value of the Icelandic Kroner, and limited ability to transfer funds out of Iceland. The government has been granted International Monetary Fund, or IMF, assistance in the amount of $2.1 billion, as well as loans from other countries to stabilize the situation. However the restrictions currently placed on the banking system have impacted the ability of certain Icelandic companies (as well as those connected with certain Icelandic companies) to operate their businesses. A prolonged restriction on the banking system in Iceland, as well as an inability by Iceland to secure external financing may have a material adverse effect on the ability of certain lessees to meet their financial obligations and other obligations under our leases. This excerpt taken from the AYR 10-Q filed Nov 17, 2008. European
Concentration
Lease rental revenues from 32 lessees based in Europe accounted
for 45% of our total revenues for the quarter ended
September 30, 2008. Commercial airlines in Europe face, and
can be expected to continue to face, increased competitive
pressures, in part as a result of the deregulation of the
airline industry by the European Union and the resultant
development of low-cost carriers.
European countries generally have relatively strict
environmental regulations and traffic constraints that can
restrict operational flexibility and decrease aircraft
productivity, which could significantly increase aircraft
operating costs of all aircraft, including our aircraft, thereby
adversely affecting lessees. The airline industry in European
countries, as in the rest of the world generally, is highly
sensitive to general economic conditions. A recession or other
worsening of economic conditions or a terrorist attack in one or
more of these countries, particularly if combined with high and
volatile fuel prices and a weakening Euro or other local
currency, may have a material adverse effect on the ability of
European lessees to meet their financial and other obligations
under our leases.
The global financial crisis has brought the financial systems of
certain countries to near collapse, including Iceland. The
crisis has resulted in the nationalization of several Icelandic
banks, large fluctuations in the value of the Icelandic Kroner,
and an inability to transfer funds out of Iceland. The
government is seeking an IMF loan as well as loans from other
countries to stabilize the situation, however the restrictions
currently placed on the banking system have impacted the ability
of certain Icelandic companies (as well as those connected with
certain Icelandic companies) to operate its business. A
prolonged restriction on the banking system in Iceland, as well
as an inability by Iceland to
Table of Contents
secure external financing may have a material adverse effect on
the ability of certain lessees to meet their financial
obligations and other obligations under our leases.
| EXCERPTS ON THIS PAGE:
|
| |||||||
