Trump announces 100% chip tariff as Apple ups U.S. investment
LOS ANGELES, CA – Air Lease Corporation (NYSE:AL), a $5.2 billion market cap aircraft leasing company with impressive gross profit margins of 58%, has received $328.5 million in insurance settlements related to aircraft detained in Russia, the company disclosed in an SEC filing today. This amount will be recorded as an insurance recovery in the first quarter of 2025.
The settlement is part of ongoing litigation against certain contingent and possessed insurance policy (C&P Policy) insurers, collectively known as the C&P Insurers. While the California Litigation continues against most of the C&P Insurers, the recent agreements have led to the release of the company’s insurance claims against the settling insurers and the dismissal of these insurers from both the California Litigation and related London Litigation.
Including the recent settlement, Air Lease has recovered a total of $424.3 million against the initial $791.0 million write-off for its interests in owned aircraft detained in Russia during the first quarter of 2022. The company is engaging in discussions with other C&P Insurers for potential settlements, although the outcomes and possible settlement amounts remain uncertain.
This legal development follows the company’s efforts to recuperate losses after the detainment of its aircraft in Russia. Air Lease Corporation, based in Los Angeles, operates within the equipment rental and leasing industry, specializing in aircraft leasing. While the company maintains strong EBITDA of $2.5 billion, InvestingPro analysis reveals it’s currently burning through cash quickly, with a concerning current ratio of 0.44. Get access to 12 additional exclusive ProTips and comprehensive financial analysis through InvestingPro’s detailed research reports.
The company’s statement also contains forward-looking remarks, cautioning that actual results may differ from current expectations due to various factors, including those outlined in the company’s 2024 Annual Report and other SEC filings.
The information in this article is based on a press release statement.
In other recent news, Air Lease Corporation reported its fourth-quarter earnings, significantly exceeding analyst expectations. The company announced an adjusted earnings per share of $1.34, surpassing the consensus forecast of $0.78. Revenue for the quarter reached $712.9 million, slightly above the anticipated $706.76 million, though it marked a 0.5% year-over-year decline. This decline was attributed to lower end-of-lease revenue due to fewer aircraft returns. For the full year 2024, Air Lease’s revenue increased by 1.8% to $2.73 billion, while net income attributable to common stockholders dropped by 35% to $372.1 million. The company expanded its owned fleet to 489 aircraft by the end of the fourth quarter, up from 463 the previous year. Air Lease’s total committed minimum future rental payments were reported at $29.5 billion as of December 31, 2024. CEO John L. Plueger expressed optimism about future industry trends, noting expectations for rising lease rates and aircraft valuations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.