FTAI Aviation Ltd.FTAI
FTAI Aviation Ltd. Debt Disclosure
8. DEBT, NET
The Company’s debt, net is summarized as follows:
| December 31, 2025 | December 31, 2024 | ||||||||||||||||||||||
| Outstanding Borrowings | Stated Interest Rate | Maturity Date | Outstanding Borrowings | ||||||||||||||||||||
| Loans payable | |||||||||||||||||||||||
Revolving Credit Facility (1) | $ | — | (i) Base Rate + 1.75%; or (ii) Adjusted Term SOFR Rate + 2.75% | 5/22/27 | $ | — | |||||||||||||||||
| Total loans payable | — | — | |||||||||||||||||||||
| Bonds payable | |||||||||||||||||||||||
Senior Notes due 2028 (2) | 1,000,995 | 5.50% | 5/1/28 | 1,001,382 | |||||||||||||||||||
Senior Notes due 2030 (3) | 497,470 | 7.88% | 12/1/30 | 497,071 | |||||||||||||||||||
| Senior Notes due 2031 | 700,000 | 7.00% | 5/1/31 | 700,000 | |||||||||||||||||||
| Senior Notes due 2032 | 800,000 | 7.00% | 6/15/32 | 800,000 | |||||||||||||||||||
Senior Notes due 2033 (4) | 497,784 | 5.88% | 4/15/33 | 497,551 | |||||||||||||||||||
| Total bonds payable | 3,496,249 | 3,496,004 | |||||||||||||||||||||
| Debt | 3,496,249 | 3,496,004 | |||||||||||||||||||||
| Less: Debt issuance costs | (47,358) | (55,526) | |||||||||||||||||||||
| Total debt, net | $ | 3,448,891 | $ | 3,440,478 | |||||||||||||||||||
| Total debt due within one year | $ | — | $ | — | |||||||||||||||||||
(1) Requires a quarterly commitment fee at a rate of 0.50% on the average daily unused portion, as well as customary letter of credit fees and agency fees.
(2) Includes an unamortized premium of $995 and $1,382 at December 31, 2025 and December 31, 2024, respectively.
(3) Includes an unamortized discount of $2,530 and $2,929 at December 31, 2025 and December 31, 2024, respectively.
(4) Includes an unamortized discount of $2,216 and $2,449 at December 31, 2025 and December 31, 2024, respectively.
Revolving Credit Facility—On May 23, 2024, the Company amended and restated its Revolving Credit Facility by executing a Third Amended and Restated Credit Agreement (the “Revolver Amendment”). The Revolver Amendment provides for revolving loans to be made available to the Company in an aggregate principal amount of up to $400.0 million, of which up to $25.0 million may be utilized for the issuance of letters of credit.
Senior Notes due 2031—On April 11, 2024, the Company issued $700.0 million aggregate principal amount of senior unsecured notes due 2031 (the “Senior Notes due 2031”). The Senior Notes due 2031 bear interest at a rate of 7.00% per annum, payable semi-annually in arrears on May 1 and November 1 of each year, commencing on November 1, 2024. Using a portion of the net proceeds, the Company completed a cash tender offer for $324.6 million aggregate principal amount of 2025 Notes validly tendered on April 11, 2024. Holders whose notes were accepted for purchase received equal consideration per $1,000 principal amount of 2025 Notes, plus accrued and unpaid interest to, but not including, April 11, 2024. The Company used the remaining net proceeds to redeem the remaining $325.4 million aggregate principal amount of Senior Notes due 2025, plus accrued and unpaid interest, and recognized a loss on extinguishment of debt of $2.7 million. The remaining net proceeds were used for general corporate purposes, including the funding of acquisitions and investments.
Senior Notes due 2032—On June 17, 2024, the Company issued $800.0 million aggregate principal amount of senior unsecured notes due 2032 (the “Senior Notes due 2032”). These notes bear interest at a rate of 7.00% per annum, payable semi-annually in arrears on June 15 and December 15 of each year, commencing on December 15, 2024. The Company utilized the net proceeds from the issuance for several purposes: (i) to fully repay outstanding amounts under the Company’s Revolving Credit Facility provided under the Revolver Amendment, without reduction in commitments, (ii) to fund the cash termination fee for the previously announced management Internalization described in Note 12, (iii) to complete a cash tender offer for up to $300.0 million in aggregate principal amount of Senior Notes due 2027 validly tendered on June 18, 2024, plus accrued and unpaid interest, and recognized a loss on extinguishment of debt of $11.2 million, (iv) to cover fees and expenses related to the aforementioned transactions, and (v) for general corporate purposes.
Senior Notes due 2033—On October 9, 2024, the Company issued $500.0 million aggregate principal amount of senior unsecured notes due 2033 (the “Senior Notes due 2033”). The Senior Notes due 2033 bear interest at a rate of 5.875% per annum, payable semi-annually in arrears on April 15 and October 15 of each year, commencing on April 15, 2025. Using a portion of the net proceeds, the Company redeemed the remaining $130.5 million aggregate principal amount of Senior Notes due 2027, plus accrued and unpaid interest, and recognized a loss on extinguishment of debt of $3.2 million. The Company used the remaining net proceeds to pay down in full the Company’s Revolving Credit Facility, with any excess proceeds intended for general corporate purposes, including funding acquisitions and investments.
The Company was in compliance with all debt covenants as of December 31, 2025.
As of December 31, 2025, scheduled principal repayments under the Company’s debt agreements for the next five years and thereafter are summarized as follows:
2026 | 2027 | 2028 | 2029 | 2030 | Thereafter | Total | |||||||||||||||||||||||||||||||||||
| Revolving Credit Facility | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Senior Notes due 2028 | — | — | 1,000,000 | — | — | — | 1,000,000 | ||||||||||||||||||||||||||||||||||
| Senior Notes due 2030 | — | — | — | — | 500,000 | — | 500,000 | ||||||||||||||||||||||||||||||||||
| Senior Notes due 2031 | — | — | — | — | — | 700,000 | 700,000 | ||||||||||||||||||||||||||||||||||
| Senior Notes due 2032 | — | — | — | — | — | 800,000 | 800,000 | ||||||||||||||||||||||||||||||||||
| Senior Notes due 2033 | — | — | — | — | — | 500,000 | 500,000 | ||||||||||||||||||||||||||||||||||
| Total principal payments on loans and bonds payable | $ | — | $ | — | $ | 1,000,000 | $ | — | $ | 500,000 | $ | 2,000,000 | $ | 3,500,000 | |||||||||||||||||||||||||||
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Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 27, 2026 | Showing above |
| 2024 | Mar 3, 2025 | |
| 2023 | Feb 26, 2024 | |
| 2022 | Feb 27, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Feb 26, 2021 | |
| 2019 | Feb 28, 2020 | |
| 2018 | Feb 28, 2019 | |
| 2017 | Mar 1, 2018 | |
| 2016 | Feb 24, 2017 | |
| 2015 | Mar 10, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.