Aircraft deprectiation rose by 3.600%

Hi,

I had a “little” problem with my balance last week: The depreciation of my aircraft rose from about 136.000 $ to about 5.000.000$ per week. I ordered two new 737-900s which were payed to 95% by foreign capital (bank). I didn’t know that depreciation has to do anything with the way the aicraft are payed, or by who. I don’t have a degree in economics so can someone please clarify that?

thank you very much

Andi

Depreciation is the rate at which your assets are losing value. As owned aircraft get older, they lose value (older planes are worth less than newer ones). Do not worry, it is not an actual cash expenditure.