Each presenter was very engaging, its hard to even pick a favorite session! 2023 Winter Leadership Institute Join together with other professionals from Head Start, Early Head Start, parents, Tribal, Migrant, Even-start, child care, Birth-to-Three, home visiting, higher education, ECE students, state partners, CCR&R, health care partners, social services, mentors . . As it stands right now, we expect approximately $1.3 billion of aircraft deliveries for the second quarter of this year. Summaries of official meetings and events at UN Headquarters and overseas conferences. I am honored and humbled to be a recipient of the Region 9 Head Start Associations Legacy Scholarship. We also maintain a firm stance and requiring airline customers to provide significant security deposits to pay maintenance reserves which further insulate us from downside risk. (You can unsubscribe anytime), 2023 HSC Head Start California \ Privacy Policy, Conference Registration Launch Delayed Amid Coronavirus Concerns, Early Childhood Learning & Knowledge Center (ECLKC), Head Start Program Performance Standards (HSPPS), California Head Start State Collaboration Office, Compensation and Benefit Study (Free Download), California Community Schools Partnership Program, Family Wellness Toolkit & Workplace Wellness Toolkit. And we have commitments now from all of the engine manufacturers, GE, CFM, Pratt & Whitney, Rolls-Royce to make specific improvements to all of their engines on these new technology aircraft. The Leadership Education and Development Summit (LEADS) has much to offer to enhance our community's innovative best practices and skills. I am willing to support this bold idea on all levels and wish you a great success! Welcome to Air Lease Corporation's first quarter 2023 earnings call. Registration will open in Decemberbe on the lookout for more information soon in your inbox and check our website for updates! 4700 Emperor Blvd, I-40 at Exit 282 (Page Road) Durham, NC 27703. And then just one follow-on. Well, right now, about 90% plus of our leases that have their normal contractual lease expirations are being extended by airlines. I guess following up with Helane's question, I want to ask on the risk management side. . Assurance, tax and consulting services are offered through Wipfli LLP. So as you kind of alluded to in the prepared remarks, it's going to take some time for today's strong lease rates to make more marked impact on your financials as those aircraft deliver over the coming years, your current fleet gets remarketed, can you just give us a sense of how much upside there is to the deals you're striking today versus your current portfolio yields? Occasionally, they are to the airlines that operate the airlines themselves, the aircraft themselves. June 12, 2023; 8:00am - 5:00pm America/Phoenix; view all events. Member, World BEYOND War board of directors. We also delivered 13 new Boeing 737-8 and -9 aircraft to customers such as Alaska, Aeromexico and several others. The 2023 Annual Conference will be an exciting opportunity for professional development. Your next question comes from the line of Hillary Cacanando with Deutsche Bank. General Conference: February 21-24, 2023 Member ($485) Non-Member ($560) Corporate Sponsorship ABOUT THE EVENT One Mission, One Voice Head Start (HS) and Early Head Start (EHS) share a mission to promote the school readiness of children from low-income families, prenatal to age five, by enhancing their cognitive, social and emotional development. Click on the link above to open a new window to see the sessions scheduled for the conference. Your email address will not be published. More info here., Yes, I would like to receive emails from Head Start California. Any questions about the vendor tables or trade show space? On the widebody side, we delivered two A330-900s to Virgin Atlantic, along with an A350-900 to Starlux in Asia. I would invite Greg to make any other comments. And therefore, that's all the airlines can order and that's all that we can -- that anyone can give. So I would say of the delays as much as maybe 70%, 75% is engine related and the rest are either self-induced problems at the manufacturers not having enough staffing, not having enough resources, not having enough infrastructure suppliers that cannot keep pace with these increased delivery targets. At this time, I would like to welcome everyone to the Air Lease Corporation Fourth [ph] Quarter Earnings Conference Call. Following is UN Secretary-General Antnio Guterres message for the Day of Vesak, observed on 5May: The following statement was issued today by the Spokesman for UN Secretary-General Antnio Guterres: Following is UN Deputy Secretary-General Amina Mohammeds message to the Mo Ibrahim Foundation Leadership Ceremony, in Nairobi today: United Nations Secretary-General Antnio Guterres, accompanied by his wife, Catarina Vaz Pinto, arrived in Washington, D.C., from New York on Wednesday morning, 26 April. But I think I'm kind of reading between the lines of your question, we feel no gun to our head whatsoever to order additional aircraft today. First quarter revenue was another record for ALC, primarily driven by the strong growth of our fleet this quarter. General Conference June 12-15, 2023 Member ($485) | Non-Member ($560) . Training would include the basic and advanced methods of unarmed protection, cultural awareness, radiation safety, monitoring techniques, and much else. Becoming a corporate sponsor shows a vested interest in NCHSA and our member programs. John Reuwer, MD And there's no sort of rehashing of lease rates during the course of the lease term. ..limited quantities. My name is Regina and I will be your conference operator today. We will have the first training online on December 13. The only other alternatives are for the engine manufacturers themselves to upgrade and slightly modify these engines to get them to the on-wing reliability that needs to be there. But our order book now is a little under 400 aircraft which means we can be more picky, we can be more selective on which airlines we lease to and also maximize lease rate revenue inflows for the next 10 or 12 years. The week before last, I completed a week-long trip in Europe, visiting a diverse group of airlines, including Virgin Atlantic, TUI UK, Lufthansa, Swiss, TAP, Portugal and Norwegian, most of whom are current lessees of ours. Full Conference Registration Fee Includes: There are many options to attend and pay for the conference. Despite higher prevailing interest rates relative to prior years, we continue to benefit from 88% of our debt being at fixed rates. Browse Videos and Webinars > Upcoming Events . We're not offering any commentary on that at this time. The peacekeeping initiative in Ukraine known as the Zaporizhzhya Protection Proposal initiated by World BEYOND War Board Member John Reuwer and described below has been gaining momentum over the last 2 months.Efforts like this are absolutely critical to ridding the world of war.If nonviolent unarmed actions become better organized and reported, it will . And we certainly have some aviation suppliers that are not able to keep up with demand and therefore, can't deliver the goods to Boeing and Airbus. As John mentioned, deliveries in the first quarter were modestly better than we expected, albeit still well below the OEM's contractual obligations to us. I am interested in volunteering to be a part of the civilian peace force. This is a worthy endeavor. And in many cases, we have multiple airline customers buying for the same delivery slot or the same used aircraft which only further supports momentum for lease rates over time. So maybe part A and part B. For Air Lease, with our young fleet, we have only 20 lease maturities in 2023, relative to our fleet of 437 aircraft. If nonviolent unarmed actions become better organized and reported, it will become far easier to persuade the more representative governments of the world to invest in systemic preparations for civil resistance, and consequently to abandon military preparations as superfluous. Part A is how are you thinking about that going forward, given the fact that the delivery delays cause so many aircraft to get pushed to the right? This includes, without limitation, statements regarding the state of the airline industry, including the impact of rising interest rates and inflation, the impact of sanctions imposed on Russia and aircraft delivery delays, our future operations and performance, revenues, operating expenses, stock-based compensation expense and other income and expense items. Before we begin, please note that certain statements in this conference call, including certain answers to your questions, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act. [Operator Instructions]. I would like to note that at either end of the range, that still does offer us meaningful fleet growth on our existing fleet of $26 billion of commercial aircraft, just not at the contracted deliveries as scheduled or as we ordered. April 29, 2023 10:50 PM EDT. Professional Development. Richard Cohen: Early Childhood Professionals The Heroes of Our Time. Unlike banks that build reserves for losses out of their own pockets getting into low profitability, we require these cash deposits and reserves to be paid upfront by our airline customers. This concludes management's commentary and remarks. This past quarter, our deliveries included six A321neos, primarily A321 LR, long-range aircraft with three going to Vistara Airlines in India, along with several other customers. The North Carolina Head Start Association (NCHSA) represents 59 federally funded Head Start Grantees across North Carolina. We thank our recurring donors on our website. We believe these levels could potentially be exceeded this summer which only adds to further pressure on airlines to expand capacity. So I think it's a very favorable environment right now. And the fourth and final point raised by many of the airlines is a continued focus on sustainability, operating the most fuel-efficient aircraft with a stepped-up focus on sustainable aviation fuel, SAF, as we now call it. We fully expect delays to persist for several years as indeed one OEM has advised us to expect delays compared to originally contracted delivery dates through 2028, as our delivery schedules are being revised according to their actual ability to achieve production rate increases. For more information, please visit: www.bloomburton.com/conference. I am a USMC Viet Vet and Veteran For Peace. And in fact, our average customer exposure is just roughly 1% of our total fleet. He has delivered the keynote address and sessions at over 400 international, national, regional, state and local early childhood conferences around the globe, laughing, learning, crying, singing and dancing along with his audiences. Save the date for our upcoming 2023 Annual Conference, which will be held virtually on February 6-8. Despite heightened tensions, the Agreement on the path to normalisation between Kosovo and Serbia, reached in Ohrid, North Macedonia in March, marks a historic milestone, the Security Council heard today, as senior representatives from With Haiti descending into a catastrophic spiral of violence, the head of the United Nations office there warned the Security Council in her briefing today that the countrys people need help now. We remain excited to return to more steady sales activity given our sales program has been effectively on pause even prior to the pandemic as a product of the MAX grounding. She is the bestselling author of the acclaimed 10-lecture series Finding Your Purpose, an Audible Original Great Courses program. This has totally changed my perspective and encouraged me to propel forward in developing my skills. Now, I'd like to turn the call over to Steve Hazy, who will offer more commentary on the performance of the airline industry and success in our business. I'll take that. I took part in The disproportionate impact of COVID 19, and how to provide real support for black/brown children and families and I just want to say this was an amazing webinar. So the bottom line is we don't accept supply chain as a delivery excuse. the Chicago Bulls in the 9-10 game of the Eastern Conference play-in . 2023 IHSA Conference and Membership Meeting in Boise, Idaho. With a service area Alex Elliott This has led to a global shortage of spare engines, increasing lead times and repair times for engine shop visits and rapid cost escalation for all engine overhauls and repairs. Has that changed at all just given the macro backdrop? Up until now, the UN International Atomic Energy Agencys inspectors have led the way by assuming, unarmed, the risks of protectingcivilians from a disaster at the plant. That again is due to the quality of the leases as well as the supply-demand imbalance for the airplanes themselves. I would also like to note that we incurred approximately $6 million in expenses in the quarter associated with airline bankruptcies which were covered by the end of lease income that I just discussed. May 2, 2023: Webinar: Beyond Vietnam: A Public Reading, May 2, 2023: Roundtable Discussions: Militarism is grand theft from poor people and people of color, May 15, 2023: MPI 2023 Annual Peacebuilding Training, May 16, 2023: Roundtable Discussions: Militarism is grand theft from poor people and people of color, May 17, 2023: IPRA 2023 Trinidad & Tobago, June 6, 2023: Roundtable Discussions: Conscientious Objection to War, June 10, 2023: Webinar: International Summit for Peace in Ukraine, June 15, 2023: Antimilitarist Roots - WRI 2023 Conference, June 26, 2023: Conference: EDUCATIONAL JUSTICE AND SUSTAINABLE PEACE, July 8, 2023: 24 Hour Peace Wave: No to Militarization Yes to Cooperation, July 11, 2023: Conference: Peace education in an era of crisis: Academic conference on peace education, September 27, 2023: Course: Curriculum Development For SDG 4.7: Human Rights, Global Citizenship & ESD, European Bureau for Conscientious Objection Denounces Ukraine's Suspension of Human Right to Conscientiously Object, Volunteer for training and deployment in Ukraine. This was due to an increase in our average debt balances which follows the growth of our fleet as well as an uptick in our composite cost of funds from 3.7% at the end of last year to 3.42% at quarter end. The fundamental demand backdrop is robust and the limited supply and elevated demand seen for new commercial aircraft is highly weighted in our favor. "Wipfli" refers to Wipfli LLP, a Wisconsin limited liability partnership, and its subsidiaries. She earned a masters and doctorate from the University of Oxford and has held teaching positions at the University of Pittsburgh, the University of Iowa and Princeton University. And once the aircraft delivered, the lease rates are fixed. Now, I'll turn over the call to CFO, Greg Willis, to comment further on our recent financial performance. Good afternoon and thank you all for joining us today. Thanks. The peacekeeping initiative in Ukraine known as the Zaporizhzhya Protection Proposal initiated by World BEYOND War Board Member John Reuwer and described below has been gaining momentum over the last 2 months. Yes. Our conferences provide the perfect opportunity to connect with colleagues and gain insight from noted speakers and knowledgeable presenters addressing key issues, quality initiatives, and best practices. With more engines in the shop and more aircraft rounded awaiting engine replacements, this further adds to the need at a number of airlines to have additional aircraft coverage in their fleets, illustrating yet another aspect underpinning the aircraft demand picture that bodes well for ALC. When the Covid-19 pandemic hit, The California Department of Education (CDE) Early Head Start-Child Care Partnership (EHS-CCP) Director Donna Elmore and staff were faced with the problem of how to connect with children and families in their program. [Operator Instructions] Your first question comes from the line of Catherine O'Brien with Goldman Sachs. We provide Region 9s Head Start programs with the education, training, tools, and resources they need to improve the lives of vulnerable children and their families. With that, I'll turn the call back over to Jason for the question-and-answer section of the call. you can head to c-span.org to live stream the . And it may come as no surprise that many of the U.S. domestic market load factors, for example, were at 20-year plus high levels last summer and continue to be very robust. And we're happy to see it and we're happy to supply it. branding by manonmarketing.com, The work that Region 9 does is inspiring and motivates me, Region9 created a platform through Zoom where we can, The EHS-CCP Partner Conference has been phenomenal. Total Asia Pacific international traffic continues to expand dramatically, rising close to 380% year-over-year. Our largely fixed rate balance sheet and strong investment-grade ratings continue to position us favorably for interest rate movements over the intermediate term. I'd like to add that while the comparisons to pre-pandemic 2019 traffic made sense previously, we think these are now beginning to feel somewhat less relevant given that 2019 is now 4 years in the past, we should not be anchoring our industry views to the past but instead looking to the significant industry growth potential we foresee in the future. Air Lease Corporation assumes no obligation to update any forward-looking statements or information in light of new information or future events. This includes a Tribal (Cherokee) and Migrant programs, as well as community action, private non-profit, county government, board of education and single purpose agencies. We're placing airplanes in the 2024, '25 time frame right now. Steve? While clearly frustrating for ourselves and our customers to have delayed deliveries, from a scarcity aspect, this does serve to benefit the value of our existing fleet and the deliveries we are receiving. Each of these aircraft are among the most fuel-efficient, new technology aircraft available with outstanding capacity, performance and range characteristics relative to all prior generations of commercial aircraft. We expect to be compensated for our late deliveries and we're working through our airframe OEMs just to get that and to continue to get that. But in terms of the resolution to the engine situation, what -- how fast is that clearing up? Our debt-to-equity ratio at the end of the first quarter was 2.88x on a GAAP basis which net of cash on the balance sheet is approximately 2.78x. And that model will be something that can be spread from nation to nation, with a great deal of determined work by those who find the vision, the courage, and the relentlessness worthy of the cause. So the very types of aircraft that we have in our portfolio are the ones that are experiencing the highest demand from the airlines and the best progress in terms of future lease rates. Additional Information. In addition, domestic China traffic has improved meaningfully following the on again, off again travel restrictions in place in that country in 2021 and 2022. Following is UN Secretary-General Antnio Guterres message for World Press Freedom Day, observed on 3May: The 2023 edition of the online Africa Dialogue Series begins today. This year's in-person event will be held at the Riverside Hotel on the banks of the Boise River just a short drive from downtown Boise and the Idaho Statehouse . This is John. But at the same time, the existing fleet that's out there and flying is requiring more spare engines because the longevity of these new technology engines has not been what we all expected. Kalahari Resort & Convention Center Assistant Director at Bussey Center for Early Childhood Ed / Southfield public schools, Educator at Safety Awareness Thinking Kap Kalendar, Home Based Coordinator at Sunbeam Family Services, Administration Coordinator at Prime Time Head Start, Program Manager at Hillsborough County BOCC HS/EHS, Office messanger at International medical link, Director of Early Childhood at Roosevelt Elementary School District, Columbus, Discover the rate that best fits your or your groups needs. Turning briefly to the cash flow statement. The largest national conference devoted to all things Head Start, NHSA's annual conference brings our community together for a week of sharing, networking, learning, and celebrating. With Haiti descending into a catastrophic spiral of violence, the head of the United Nations office there warned the Security Council in her briefing today that the country's people need help now. Well, there's really not been that much of a change there. We've got engine delivery delays. This is James [ph] on for Jamie and Mark. Yes, I think historically, it's been between 8% and 10%. Depreciation continues to track the growth of our fleet, while SG&A rose as business activities have increased over the course of the past year, along with an uptick in certain other operating expenses, including the increase in insurance premiums, as we've highlighted in the past as well as aircraft transition-related costs.