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INVESTMENT IN LEASES AND LEASED EQUIPMENT - NET
 12 Months Ended
Mar. 31, 2013
INVESTMENT IN LEASES AND LEASED EQUIPMENT - NET [Abstract]  
INVESTMENT IN LEASES AND LEASED EQUIPMENT - NET
2. INVESTMENTS IN LEASES AND LEASED EQUIPMENT—NET
 
Our investment in leases and leased equipment—net consists of the following (in thousands):

 
 
March 31,
  
March 31,
 
 
 
2013
  
2012
 
Investment in direct financing and sales-type leases—net
 $66,243  $95,460 
Investment in operating lease equipment—net
  24,467   20,514 
 
 $90,710  $115,974 

INVESTMENT IN DIRECT FINANCING AND SALES-TYPE LEASES—NET

Our investment in direct financing and sales-type leases—net consists of the following (in thousands):
 
 
 
March 31,
  
March 31,
 
 
 
2013
  
2012
 
Minimum lease payments
 $64,614  $99,747 
Estimated unguaranteed residual value (1)
  7,557   6,917 
Initial direct costs, net of amortization (2)
  684   797 
Less: Unearned lease income
  (5,767)  (10,665)
Less: Reserve for credit losses (3)
  (845)  (1,336)
Investment in direct financing and sales-type leases—net
 $66,243  $95,460 
 
(1)
Includes estimated unguaranteed residual values of $3,361 thousand and $1,700 thousand as of March 31, 2013 and 2012, respectively, for direct financing leases which have been sold and accounted for as sales under Codification Topic Transfers and Servicing.
(2)
Initial direct costs are shown net of amortization of $479 thousand and $512 thousand as of March 31, 2013 and 2012, respectively.
(3)
For details on reserve for credit losses, refer to Note 4, "Reserves for Credit Losses."

Future scheduled minimum lease payments as of March 31, 2013 are as follows (in thousands):

Year ending March 31, 2014
 $30,877 
2015
  19,653 
2016
  10,905 
2017
  2,781 
2018 and thereafter
  398 
Total
 $64,614 
 
Our net investment in direct financing and sales-type leases for certain lease agreements serves as collateral for non-recourse and recourse equipment notes. See Note 7, "Notes Payable and Credit Facility."

We enter into agreements to sell the financing receivables associated with certain notes receivables and investments in direct financing leases, which are accounted for as sales under Codification Topic, Transfer and Servicing. We recognized a net gain for these sales of $7.1 million, $3.9 million and $2.2 million in financing revenues in the consolidated statement of operations for the years ended March 31, 2013, 2012 and 2011, respectively. Total proceeds from the sale of financing receivables were $142.3 million, $62.4 million and $63.6 million for the years ended March 31, 2013, 2012, and 2011, respectively.
 
INVESTMENT IN OPERATING LEASE EQUIPMENT—NET
 
Investment in operating lease equipment—net primarily represents leases that do not qualify as direct financing leases. The components of the investment in operating lease equipment—net are as follows (in thousands):

 
 
March 31,
  
March 31,
 
 
 
2013
  
2012
 
Cost of equipment under operating leases
 $46,106  $44,487 
Less: Accumulated depreciation and amortization
  (21,639)  (23,973)
Investment in operating lease equipment—net (1)
 $24,467  $20,514 
 
(1)
Includes estimated unguaranteed residual values of $7,763 thousand and $7,802 thousand as of March 31, 2013 and 2012, respectively.

Future scheduled minimum lease rental payments as of March 31, 2013 are as follows (in thousands):

Year ending March 31, 2014
 $10,336 
2015
  6,149 
2016
  1,946 
2017
  149 
2018 and thereafter
  30 
Total
 $18,610