Capital Lease Aviation: HALF YEAR RESULTS TO 31 DECEMBER 2014 and Interim Management Report

Capital Lease Aviation Plc (LSE: CLA), the aircraft leasing company, today announces unaudited financial statements for the Company and its subsidiaries for the six month period ended 31 December 2014.

Highlights:
• CLA Group total assets of US$94,136,241;
• Revenue of US$5,946,667;
• Group Net post-tax profits of US$1,047,113;
• Net assets of US$47,713,273;
• EPS (fully diluted) of 1.08 cents.

Jeff Chatfield, Executive Chairman, said, “The Company has continued to grow net assets and restructure debt facilities. These achievements provide both short and long term financial support for the company strategy and increased shareholder value.”

Notes: For the convenience of international shareholders, an additional column is included to show an equivalent value in Pounds Sterling “GBP”.

1. In this announcement, the applicable exchange rate between US$ and GBP was taken to be the average exchange rate of 1: 0.6151 for Income Statement items and 1: 0.6437 for Statement of Financial Position items.

Directors’ Review of Operations and Strategy and Interim Management Report

Strategy, Background and Outcome
The strategic targets for management over the past six months were to strengthen our financial position, confirm the long term sustainable business model, remain profitable, actively assess aircraft and pursue new aircraft acquisitions.

Profit was in excess of US$1.0m generating earnings per share of 1.08 cents. The financial position of the group remains strong and it has been able to maintain a strong current asset position at the end of the period.

Key achievements in the period included:
- Refinancing of two A321-200s with a major European Bank;
- Lowering the cost of debt for the two aircraft from 6.23% to 4.22%
- Repayment of US$ 4.5m of junior debt on 31 December;
- Restructuring of the senior and junior loans has reduced the average cost of debt from
6.42% to 4.59%

Outlook and Risks
The outlook for CLA is positive with future periods expected to benefit from the recently reduced cost of capital. The Board remains optimistic and will continue to evaluate opportunities to grow the company.

CLA remains subject to the typical risks of the aircraft leasing industry along with the risks associated with obtaining finance, residual value risk and impairment in aircraft assets.

I would like to take this opportunity to thank all the shareholders for their continued support.

Jeff Chatfield
Executive Chairman
18 Feb 2015