AeroCentury, an independent aircraft leasing company, has reported a second-quarter 2020 net loss of US$13.5 million, compared to a net loss of US$0.1 million for the second quarter of 2019.
In the first six months of 2020, the company reported a net loss of US$23.7 million, compared to a net loss of US$1.4 million in the first six months of 2019.
Results for the quarter ended June 30, 2020 included impairment losses totaling US$9.7 million. Those losses arise from appraised values for three regional jet aircraft that are held for sale; estimated sales proceeds for an older turboprop aircraft that is held for sale and which the company expects to sell during the fourth quarter of 2020, and estimated fair value of two regional jet aircraft that are held for lease.
Results for the second quarter of 2020 also included US$2.0 million of charges arising from the conversion of the company’s revolving credit facility to a term loan in May of 2020, including a US$1.5 million write-off of a portion of the company’s unamortized debt issuance costs included in interest expense and US$0.5 million of costs that is included in professional fees and other.
