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Debt Financing
 9 Months Ended
Sep. 30, 2023
Debt Disclosure [Abstract]  
Debt Financing Debt Financing
The Company’s consolidated debt as of September 30, 2023 and December 31, 2022 is summarized below:

September 30, 2023December 31, 2022
(in thousands)
Unsecured
Senior unsecured securities$15,944,616 $17,095,116 
Revolving credit facility1,778,000 1,020,000 
Term financings 798,350 582,950 
        Total unsecured debt financing18,520,966 18,698,066 
Secured
Export credit financing 208,514 11,646 
Term financings 103,812 113,717 
        Total secured debt financing312,326 125,363 
Total debt financing 18,833,292 18,823,429 
Less: Debt discounts and issuance costs(187,449)(182,366)
Debt financing, net of discounts and issuance costs$18,645,843 $18,641,063 

As of September 30, 2023, 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 interest coverage ratio.

All of the Company’s secured obligations as of September 30, 2023 and December 31, 2022 are recourse in nature.

Senior unsecured securities (including Medium-Term Note Program)

As of September 30, 2023, the Company had $15.9 billion in senior unsecured securities outstanding. As of December 31, 2022, the Company had $17.1 billion in senior unsecured securities outstanding.

Public unsecured bonds. During the nine months ended September 30, 2023, the Company issued $700.0 million in aggregate principal amount of 5.30% Medium-Term Notes due 2028.

Private placement securities. During the nine months ended September 30, 2023, the Company, through a trust, issued $600.0 million in aggregate principal amount of 5.85% trust certificates due 2028 in a Sukuk financing. If the Company fails to meet its obligations under the Sukuk financing, the sole rights of each of the holders of the trust certificates will be against the Company to perform its obligations under the arrangements to which it is a party.

Syndicated unsecured revolving credit facility

As of September 30, 2023 and December 31, 2022, the Company had $1.8 billion and $1.0 billion, respectively, outstanding under its syndicated unsecured revolving credit facility (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 2023, the Company amended and extended its Revolving Credit Facility through an amendment that, among other things, extended the final maturity date from May 5, 2026 to May 5, 2027 and amended the total revolving commitments thereunder to approximately $7.2 billion as of May 5, 2023. The amended Revolving Credit Facility also decreased the SOFR credit spread adjustment applicable to borrowings for all interest periods. As of September 30, 2023, borrowings under the Revolving Credit Facility accrue 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 changes in the Company’s credit ratings.

As of November 6, 2023, lenders held revolving commitments totaling approximately $6.8 billion that mature on May 5, 2027, commitments totaling $320.0 million that mature on May 5, 2026, and commitments totaling $32.5 million that mature on May 5, 2025. In October 2023, the Company increased the aggregate facility capacity by an additional $25.0 million.

Unsecured term financings

In May 2023, the Company entered into a $650.0 million term loan. In July 2023 and October 2023, the Company entered into new lender supplements to increase the aggregate term loan capacity by an additional $100.0 million. Under the terms of the loan agreement, the Company had the ability to set the funding date of the loan, subject to an outside funding date of November 1, 2023. As of November 6, 2023, the Company had $750.0 million in borrowings outstanding under the term loan. The term loan bears interest at a floating rate of Term SOFR plus a credit spread adjustment of 0.10% plus 1.4% and has a final maturity on November 24, 2026. The term loan contains customary covenants and events of default consistent with the Company’s Revolving Credit Facility.

In addition, during the three months ended September 30, 2023, the Company entered into a $150.0 million unsecured term financing with a one-year maturity bearing interest at a floating rate of one-month SOFR plus a credit spread adjustment of 0.10% plus 1.25%.

As of September 30, 2023 and December 31, 2022, the outstanding balance on the Company’s unsecured term financings was $798.4 million and $583.0 million, respectively.

Secured debt financings

In June 2023 and August 2023, the Company issued $112.2 million in secured notes due 2034 and $101.7 million in secured notes due 2035, respectively, both of which are amortized over the term of the notes and are guaranteed by United Kingdom Export Finance (“UKEF”), the UK government’s export credit agency. Each tranche of the notes bears interest at a floating rate of three-month SOFR plus 0.42%. The Company pledged two aircraft as collateral in connection with these transactions.

As of September 30, 2023, the Company had an outstanding balance of $312.3 million in secured debt financings and pledged four aircraft as collateral with a net book value of $450.5 million. As of December 31, 2022, the Company had an outstanding balance of $125.4 million in secured debt financings and pledged three aircraft as collateral with a net book value of $212.1 million.

Maturities

Maturities of debt outstanding as of September 30, 2023 are as follows (in thousands):
Years ending December 31,
2023$26,820 
20243,102,525 
20252,424,455 
20263,708,533 
20274,467,478 
Thereafter 5,103,481 
Total$18,833,292