Related Party Transactions

6 Months Ended

Jun. 30, 2015

Related Party Transactions [Abstract]

Related Party Transactions

8.Related Party Transactions

Since the Company has no employees, the Company's portfolio of aircraft and engines is managed and administered under the terms of a management agreement with JetFleet Management Corp. ("JMC"), which is an integrated aircraft management, marketing and financing business and a subsidiary of JetFleet Holding Corp. ("JHC").  Certain officers of the Company are also officers of JHC and JMC and hold significant ownership positions in both JHC and the Company, and JHC is a principal shareholder of the Company's common stock.

Under the management agreement, JMC receives a monthly management fee based on the net asset value of the assets under management. JMC also receives an acquisition fee for locating assets for the Company.  Acquisition fees are included in the cost basis of the asset purchased.  JMC may receive a remarketing fee in connection with the re-lease or sale of the Company's assets.  Remarketing fees are amortized over the applicable lease term and are included in professional fees, general and administrative and other or included in the gain or loss on sale.  Fees paid by the Company to JMC are used by JMC for all employee salaries and benefits, worldwide travel related to the management of the Company's aircraft portfolio, office rent, outside technical experts and other overhead expenses.

Fees incurred during the three months and six months ended June 30, 2015 and 2014 were as follows:

	For the Six Months Ended June 30,				For the Three Months Ended June 30,
	2015		2014		2015		2014
Management fees	$	2,849,700	$	2,659,900	$	1,416,400	$	1,332,600
Acquisition fees		-		980,000		-		980,000
Remarketing fees		424,200		64,000		225,200		64,000