FTAI Aviation Ltd - FXDFR PRF PERPETUAL USD 25 - Ser B

Strong Q1 momentum in Aerospace Products driving accelerating growth - Aerospace Products revenue grew +104% YoY and +32% QoQ. - Adjusted EBITDA: $223m in Q1, +70% YoY and +14% QoQ (vs $195m in Q4’25). - EBITDA margin: ~30%, attributed to deal mix (more large airline customers) and more full-performance restoration shop visits. - Management’s 2026 strategic push: accelerate market share as production/MRE adoption “inflects” and execution capabilities mature; focus on capturing share faster than traditional engine MRO shops.

Production scaling + capacity actions (key to meeting forecasts) - Refurbished 270 CFM56 modules in Q1 across 4 facilities (+96% vs Q1’25). - Company reaffirmed 2026 production goal: 1,050 CFM56 modules. - Execution themes: adding capacity early, adding qualified people (incl. “trading academy”), and improved scaling aided by parts supply arrangements and facility ramps (Rome/Lisbon still ramping). - Notable operational strategic gap: no major maintenance facilities east of Rome (Italy) today—management expects this to look different by next year’s Q1 (implies expansion risk/opportunity as they scale).

Strategic Capital (aviation leasing / SPVs) shifting into “harvest,” plus next vehicle launch - 2025 SPV: deployment largely complete—165 aircraft closed by end of Q1; remaining aircraft expected after processing a few LOIs; by end of Q2, the vehicle will be fully invested and move to harvest mode. - Harvest value creation levers: active management of maintenance events (airframes + engines) and lease extensions. - Financing scaling: warehouse debt upsized by $1B at end of March to $3.5B, across 10 lenders. - 2026 SPV: planned first close by end of Q2, acquisitions starting Q3; deployment period 12–15 months and size consistent with 2025.