Financial Analysis

Debt Obligations Debt obligations consisted of the following: September 30, 2025 December 31, 2024 (in thousands) Credit facility at a floating rate of interest of one-month term Secured Overnight Financing Rate (SOFR) plus 2.35% at September 30, 2025, secured by engines, airframes, and loan assets. The credit facility has a committed amount of $1.0 billion at September 30, 2025, which revolves until the maturity date of October 2029. $ 497,000 $ 693,000 WEST VIII Series A 2025 term notes payable at a fixed rate of interest of 5.58%, maturing in June 2050, secured by engines, airframes, and loan assets 519,492 WEST VIII Series B 2025 term note payable at a fixed rate of interest of 6.07%, maturing in June 2050, secured by engines, airframes, and loan assets 71,381 WEST VII Series A 2023 term notes payable at a fixed rate of interest of 8.00%, maturing in October 2048, secured by engines, airframes, and loan assets 237,500 356,355 WEST VI Series A 2021 term notes payable at a fixed rate of interest of 3.10%, maturing in May 2046, secured by engines, airframes, and loan assets 229,343 241,065 WEST VI Series B 2021 term notes payable at a fixed rate of interest of 5.44%, maturing in May 2046, secured by engines, airframes, and loan assets 31,839 33,486 WEST VI Series C 2021 term notes payable at a fixed rate of interest of 7.39%, maturing in May 2046, secured by engines, airframes, and loan assets 8,039 9,926 WEST V Series A 2020 term notes payable at a fixed rate of interest of …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

Stock-Based Compensation Plans The components of stock-based compensation expense were as follows: Three months ended September 30, Nine months ended September 30, 2025 2024 2025 2024 (in thousands) 2023 Incentive Stock Plan $ 11,253 $ 10,341 $ 34,821 $ 18,279 Employee Stock Purchase Plan 28 48 118 72 Total Stock Compensation Expense $ 11,281 $ 10,389 $ 34,939 $ 18,351 Under the 2023 Incentive Stock Plan (the 2023 Plan), stock-based compensation is in the form of restricted stock awards (RSAs). The RSAs are subject to either service-based vesting, which is typically between one and four years, in which a specific period of continued employment must pass before an award vests, or performance-based vesting, which is typically between one and three years. The expense associated with these awards is recognized on a straight-line basis over the respective vesting period, with forfeitures accounted for as they occur. As it relates to performance-based awards, accrual of compensation expense is based on the probable outcome of the performance condition. For any vesting tranche of an award, the cumulative amount of compensation cost recognized is equal to the portion of the grant-date fair value of the award tranche that is actually vested at that date. As of September 30, 2025, the Company had granted 2,658,196 RSAs under the 2023 Plan and had 991,264 shares available for future issuance. The fair value of the RSAs equaled the stock price at the grant date. The following table summa …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Fair Value Measurements The fair value of a financial instrument represents the amount at which the instrument could be exchanged in a current transaction between willing parties in contrast to a forced sale or liquidation. Fair value estimates are made at a specific point in time, based on relevant market information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of judgment, and therefore cannot be determined with precision. Accounting standards define fair value as the price that would be received from selling an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Accounting standards establish a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value and also establishes the following three levels of inputs that may be used to measure fair value: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Unobservab …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing