ILFC reported first quarter operating income of $117 million, compared to an operating loss of $56 million in the first quarter of 2010.

ILFC said it had asset impairment and operating lease related charges of $113 million related primarily to sales and potential sales of 10 aircraft compared to asset impairment and operating lease related charges of $431 million on aircraft agreed to be sold in the first quarter of 2010. ILFC also incurred increased interest expense driven by higher composite borrowing rates.

During the first quarter of 2011, ILFC recorded rental revenues of $1.1 billion and depreciation expense of $453 million compared to rental revenues of $1.2 billion and depreciation expense of $494 million in the first quarter of 2010, due to a smaller fleet this year.