XML 36 R11.htm IDEA: XBRL DOCUMENT v3.22.4
Debt Financing
 12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract]  
Debt Financing Debt Financing
The Company’s consolidated debt as of December 31, 2022 and 2021 is summarized below:

December 31, 2022December 31, 2021
(in thousands)
Unsecured
Senior notes $17,095,116 $16,892,058 
Revolving credit facility1,020,000 — 
Term financings 582,950 167,000 
Total unsecured debt financing18,698,066 17,059,058 
Secured
Term financings 113,717 126,660 
Export credit financing 11,646 18,301 
Total secured debt financing125,363 144,961 
Total debt financing18,823,429 17,204,019 
Less: Debt discounts and issuance costs(182,366)(181,539)
Debt financing, net of discounts and issuance costs$18,641,063 $17,022,480 

At December 31, 2022, management of the Company believes it is in compliance in all material respects with the covenants in its debt agreements, including minimum consolidated shareholders’ equity, minimum consolidated unencumbered assets, and an interest coverage ratio test.

All of the Company’s secured obligations as of December 31, 2022 and 2021 are recourse in nature. As of December 31, 2022, and 2021, the Company had pledged three aircraft as collateral with a net book value of $212.1 million and $222.2 million, respectively.

Senior unsecured notes (including Medium-Term Note Program)

As of December 31, 2022, the Company had $17.1 billion in aggregate principal amount of senior unsecured notes outstanding with remaining terms ranging from less than one month to 9.04 years and bearing interest at fixed rates ranging from 0.70% to 5.850%. As of December 31, 2021, the Company had $16.9 billion in aggregate principal amount of senior unsecured notes
outstanding bearing interest at fixed rates ranging from 0.70% to 4.625%, with two notes bearing interest at a floating rate of three-month LIBOR plus 0.35% and a floating rate of LIBOR plus 1.125%.

During the year ended December 31, 2022, the Company issued $2.2 billion in aggregate principal amount of Medium-Term Notes comprised of (i) $750.0 million in aggregate principal amount of 2.20% Medium-Term Notes due 2027, (ii) $750.0 million in aggregate principal amount of 2.875% Medium-Term Notes due 2032, and (iii) 700.0 million in aggregate principal amount of 5.850% Medium-Term Notes due 2027.

In January 2023, the Company issued $700.0 million in aggregate principal amount of Medium-Term Notes due 2028 bearing interest at a fixed rate of 5.30%.

Unsecured revolving credit facility

As of December 31, 2022, the Company had $1.0 billion outstanding under its unsecured revolving credit facility (the “Revolving Credit Facility”). As of December 31, 2021, the Company did not have any amounts outstanding under its 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 2022, the Company amended and extended its Revolving Credit Facility through an amendment that, among other things, extended the final maturity date from May 5, 2025 to May 5, 2026, increased the total revolving commitments to approximately $7.0 billion as of May 5, 2022 and replaced LIBOR with Term SOFR as the benchmark interest rate and made certain conforming changes related thereto. As of December 31, 2022, borrowings under the Revolving Credit Facility accrued interest at Adjusted Term SOFR (as defined in the Revolving Credit Facility) plus a margin of 1.05% per year. The Company is required to pay a facility fee of 0.20% per year in respect of total commitments under the Revolving Credit Facility. Interest rate and facility fees are subject to increases or decreases based on declines or improvements in the credit ratings for the Company’s debt.

In June 2022, the Company increased the aggregate facility capacity by an additional $122.5 million and also extended the maturity of $125.0 million in commitments to May 5, 2026. As of December 31, 2022, the Company had total revolving commitments of approximately $7.1 billion. Lenders held revolving commitments totaling approximately $6.7 billion that mature on May 5, 2026, commitments totaling $32.5 million that mature on May 5, 2025 and commitments totaling $375.0 million that mature on May 5, 2023.

In January 2023, the Company entered into a new lender supplement which increased the aggregate facility capacity by $250.0 million to approximately $7.4 billion. The additional $250.0 million in commitments is set to mature on May 5, 2026.

Other debt financings

From time to time, the Company enters into other debt financings such as unsecured term financings and secured term financings, including export credit.

In 2022, the Company entered into three additional unsecured term facilities, with commitments totaling $500.0 million with terms of five years and with one facility bearing interest at a fixed rate of 2.72% per annum and two facilities bearing interest at a floating rate of SOFR plus 1.40% to SOFR plus 1.45%.

As of December 31, 2022, the outstanding balance on other debt financings was $708.3 million and the Company had pledged three aircraft as collateral with a net book value of $212.1 million. As of December 31, 2021, the outstanding balance on other debt financings was $312.0 million and the Company had pledged three aircraft as collateral with a net book value of $222.2 million.
Maturities

Maturities of debt outstanding as of December 31, 2022 are as follows:

(in thousands)
Years ending December 31,
2023$2,623,262 
20242,919,654 
20252,377,168 
20264,505,386 
20272,737,328 
Thereafter 3,660,631 
Total$18,823,429