ILFC Announces Partial Prepayment and Amendment of Secured Term Loan

Fri Apr 5, 2013 12:27pm EDT

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Action Reduces Interest Rate And Provides Significant Savings
LOS ANGELES--(Business Wire)--
International Lease Finance Corporation (ILFC), a wholly owned subsidiary of
American International Group, Inc. (NYSE: AIG), announced today the partial
prepayment and amendment of its secured term loan entered into on February 23,
2012. This prepayment reduces the outstanding principal amount to $750 million,
from the original loan amount of $900 million. The amendment reduces the
interest rate to LIBOR plus 2.75% with a LIBOR floor of .75%, down from LIBOR
plus 4.0% with a LIBOR floor of 1.0%. The maturity date remains June 30, 2017. 

"This amendment furthers our goal to reduce our funding costs across our debt
portfolio. An interest rate reduction of 150 basis points provides meaningful
savings," said ILFC Chief Executive Officer Henri Courpron. "Looking ahead, our
key priority remains strengthening our liquidity and capital position by
diversifying funding sources and reducing funding costs." 

This loan is entered into by an indirect, wholly owned subsidiary of ILFC, as
the borrower, guaranteed on an unsecured basis by ILFC, and on a secured basis
by certain wholly owned special purpose subsidiaries of the subsidiary borrower.
Certain collateral that served as security for the secured term loan has been
released in connection with the prepayment. The special purpose subsidiaries now
collectively own 54 aircraft and related equipment and leases, with an average
appraised base value as of December 31, 2012 resulting in an initial
loan-to-value ratio of approximately 55%. The maximum loan-to-value ratio
remains 63%. 

About ILFC

International Lease Finance Corporation (ILFC) is a global market leader in the
leasing and remarketing of commercial aircraft. With approximately 1,000 owned
and managed aircraft and commitments to purchase 244 new high-demand,
fuel-efficient aircraft and rights to purchase an additional 50 A320neo family
aircraft, ILFC is the world's largest independent aircraft lessor. ILFC leases
aircraft to approximately 200 airlines in more than 80 countries and provides
part-out and engine leasing services through its subsidiary, AeroTurbine. ILFC
operates from offices in Los Angeles, Amsterdam, Beijing, Dublin, Miami,
Seattle, and Singapore. ILFC is a wholly owned subsidiary of American
International Group, Inc. (AIG). | Twitter: @ILFCGlobal 

About AIG

AIG is the world`s largest insurance organization, serving more than 88 million
customers in more than 130 countries and jurisdictions around the world. AIG
businesses are market leaders in property casualty insurance, life insurance and
retirement services, mortgage insurance, and aircraft leasing. Additional
information about AIG can be found at | YouTube:
| Twitter: @AIG_LatestNews | LinkedIn:

International Lease Finance Corporation
Paul Thibeau, +1-310-788-1999

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