EX-14.1

Exhibit 14.1

ATEL CAPITAL EQUIPMENT FUND XI, LLC
  
CODE OF ETHICS FOR CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL AND
OPERATING OFFICER

A. SCOPE

This Code of Ethics is applicable to ATEL Capital Equipment Fund XI, LLC (“Fund XI”), including the Chief Executive Officer and Chief Financial and Operating Officer of its Manager, ATEL Financial Services, LLC (“AFS”), or persons acting in such capacity (collectively the “Covered Officers”) on behalf of Fund XI, referred to herein as the “Company.”

Accordingly, under the Securities and Exchange Commission’s interpretation of its disclosure rules, the Board of Directors of AFS functions as the de facto audit committee for the Company with respect to all procedural and disclosure requirements applicable to audit committees under Securities and Exchange Commission rules. The Board of Directors shall have oversight responsibility over the activities of the Company for purposes of this Code of Ethics.

B. PURPOSE

The Company is proud of the values with which it conducts business. It has and will continue to uphold the highest levels of business ethics and personal integrity in all types of transactions and interactions. To this end, this Code of Ethics serves to (1) emphasize the Company’s commitment to ethics and compliance with the law; (2) set forth basic standards of ethical and legal behavior; (3) provide reporting mechanisms for known or suspected ethical or legal violations; and (4) help prevent and detect wrongdoing. This Code of Ethics is intended to augment and supplement the standard of ethics and business conduct expected of all Company employees, and its limitation to Covered Officers is not intended to limit the obligation of all Company employees to adhere to the highest standards of business ethics and integrity in all transactions and interactions conducted while in the Company’s employ.

Given the variety and complexity of ethical questions that may arise in the course of business of the Company, this Code of Ethics serves only as a rough guide. Confronted with ethically ambiguous situations, the Covered Officers should remember the Company’s commitment to the highest ethical standards and seek independent advice, where necessary, to ensure that all actions they take on behalf of the Company honor this commitment.

C. ETHICS STANDARDS

1. Honest and Ethical Conduct

The Covered Officers shall behave honestly and ethically at all times and with all people. They shall act in good faith, with due care, and shall engage only in fair and open competition, by treating ethically competitors, suppliers, customers, and colleagues. They shall not misrepresent facts or engage in illegal, unethical, or anti-competitive practices for personal or professional gain.

2. Conflicts of Interest

This fundamental standard of honest and ethical conduct extends to the handling of conflicts of interest. The Covered Officers shall avoid any actual, potential, or apparent conflicts of interest with the Company, and any personal activities, investments, or associations that might give rise to such conflicts. They shall not compete with or use the Company, for personal gain, self-deal, or take advantage of any corporate opportunities. They shall act on behalf of the Company free from improper influence or the appearance of improper influence on their judgment or performance of duties. A Covered Officer shall disclose any material transaction or relationship that reasonably could be expected to give rise to such a conflict to the Company’s General Counsel or a member of the Company’s Board of Directors. No action may be taken with respect to such transaction or party unless and until the Company’s Board of Directors has approved such action.

Notwithstanding the foregoing, it is understood, as fully disclosed in the offering documents for the Company, that AFS as managing member of the Company has certain inherent conflicts of interest. The provisions of the Company’s Operating Agreement have been drafted to address the obligations, restrictions and limitations on the power and authority of AFS to manage the Company’s affairs, including restrictions prohibiting or limiting the terms of any transactions in which conflicts of interest may arise. Furthermore, AFS has a fiduciary duty to the Company as its

manager. It is therefore expressly understood by the Company and the Covered Officers that any and all actions by AFS and its personnel that comply with the provisions of the Company’s Operating Agreement, and which are consistent with AFS’s fiduciary duty to the Company, will not be considered material transactions or relationships which require disclosure or reporting under this Code of Ethics.

3. Timely and Truthful Disclosure

In reports and documents filed with or submitted to the Securities and Exchange Commission and other regulators by the Company and in other public communications made by the Company, the Covered Officers shall make disclosures that are full, fair, accurate, timely, and understandable. The Covered Officers shall provide thorough and accurate financial and accounting data for inclusion in such disclosures. The Covered Officers shall not knowingly conceal or falsify information, misrepresent material facts, or omit material facts necessary to avoid misleading the Company’s independent public auditors or investors.

4. Legal Compliance

In conducting the business of the Company, the Covered Officers shall comply with applicable governmental laws, rules, and regulations at all levels of government in the United States and in any non-U.S. jurisdiction in which the Company does business, as well as applicable rules and regulations of self-regulatory organizations of which the Company is a member. If the Covered Officer is unsure whether a particular action would violate an applicable law, rule, or regulation, he or she should seek the advice of inside counsel (if available), and, where necessary, outside counsel before undertaking it.

D. VIOLATIONS OF ETHICAL STANDARDS

1. Reporting Known or Suspected Violations

The Covered Officers will promptly bring to the attention of the Company’s General Counsel or the Board of Directors any information concerning a material violation of any of the laws, rules or regulations applicable to the Company and the operation of its businesses, by the Company or any agent thereof, or of violation of this Code of Ethics. The Company’s General Counsel will investigate reports of violations and the findings communicated to the Company’s Board of Directors.

2. Accountability for Violations

If the Company’s Board of Directors determines that this Code of Ethics has been violated, either directly, by failure to report a violation, or by withholding information related to a violation, it may discipline the offending Covered Officer for non-compliance with penalties up to and including termination of employment. Violations of this Code of Ethics may also constitute violations of law and may result in criminal penalties and civil liabilities for the offending Covered Officer and the Company.

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO RULE 13a-14(a) OR RULE 15d-14(a)
OF THE SECURITIES EXCHANGE ACT OF 1934
AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Dean L. Cash, certify that:

1. I have reviewed this annual report on Form 10-K of ATEL Capital Equipment Fund XI, LLC;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles,

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: March 14, 2013

/s/ Dean L. Cash Dean L. Cash President and Chief Executive Officer of ATEL Financial Services, LLC (Managing Member)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO RULE 13a-14(a) OR RULE 15d-14(a)
OF THE SECURITIES EXCHANGE ACT OF 1934
AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Paritosh K. Choksi, certify that:

1. I have reviewed this annual report on Form 10-K of ATEL Capital Equipment Fund XI, LLC;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: March 14, 2013

/s/ Paritosh K. Choksi Paritosh K. Choksi Executive Vice President and Chief Financial Officer and Chief Operating Officer of ATEL Financial Services, LLC (Managing Member)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. §1350,
AS ADOPTED PURSUANT TO
§906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of ATEL Capital Equipment Fund XI, LLC (the “Company”) on Form 10-K for the year ended December 31, 2012 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Dean L. Cash, President and Chief Executive Officer of ATEL Financial Services, LLC, Managing Member of the Company, hereby certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: March 14, 2013

/s/ Dean L. Cash Dean L. Cash President and Chief Executive Officer of ATEL Financial Services, LLC (Managing Member)

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. §1350,
AS ADOPTED PURSUANT TO
§906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of ATEL Capital Equipment Fund XI, LLC (the “Company”) on Form 10-K for the year ended December 31, 2012 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Paritosh K. Choksi, Executive Vice President and Chief Financial Officer and Chief Operating Officer of ATEL Financial Services, LLC, Managing Member of the Company, hereby certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: March 14, 2013

/s/ Paritosh K. Choksi Paritosh K. Choksi Executive Vice President and Chief Financial Officer and Chief Operating Officer of ATEL Financial Services, LLC (Managing Member)

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

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Allowance For Credit Losses (Narrative) (Details) (USD $) In Thousands, unless otherwise specified			12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2012 Minimum [Member]	Dec. 31, 2012 Maximum [Member]
Accounts receivable, period of review for impairment				90 days
Accounts receivable, period for non accrual status			90 days
Equipment and lessee period of review for impairment				90 days
Fair value adjustments which reduced the cost basis of impaired loans	$ 10	$ 2

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Members' Capital (Narrative) (Details)	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Other Members Capital Account [Line Items]
Other Members capital account, units issued	5,209,307	5,209,307
Other Members capital account, units outstanding	5,209,307	5,209,307
Other Members capital account, units authorized	15,000,000	15,000,000
Potential repurchase price of Units as percentage of holder's capital account	100.00%
Managing Member [Member]
Other Members Capital Account [Line Items]
Managing members account, units issued	50	50

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Investments In Equipment And Leases, Net (Components Of Investment In Direct Financing Leases) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Investments In Equipment And Leases, Net [Abstract]
Total minimum lease payments receivable	$ 325	$ 261
Estimated residual values of leased equipment (unguaranteed)	60	46
Investment in direct financing leases	385	307
Less unearned income	(85)	(70)
Net investment in direct financing leases	$ 300	$ 237

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Members' Capital (Distributions To Other Members) (Details) (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Members' Capital [Abstract]
Distributions declared	$ 4,819	$ 4,819
Weighted average number of Units outstanding	5,209,307	5,209,307
Weighted average distributions per Unit	$ 0.93	$ 0.93

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Investments In Equipment And Leases, Net (Investment In Leases) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Leases Disclosure [Line Items]
Balance December 31, 2011	$ 16,144
Reclassifications, Additions/ Dispositions	(1,745)
Depreciation/ Amortization Expense or Amortization of Leases	(3,154)
Balance December 31, 2012	11,245
Initial direct costs, accumulated amortization	80	137
Operating Leases [Member]
Leases Disclosure [Line Items]
Balance December 31, 2011	15,578
Reclassifications, Additions/ Dispositions	(2,136)
Depreciation/ Amortization Expense or Amortization of Leases	(2,927)
Balance December 31, 2012	10,515
Direct Financing Leases [Member]
Leases Disclosure [Line Items]
Balance December 31, 2011	237
Reclassifications, Additions/ Dispositions	266
Depreciation/ Amortization Expense or Amortization of Leases	(203)
Balance December 31, 2012	300
Assets Held-for-sale or Lease[Member]
Leases Disclosure [Line Items]
Balance December 31, 2011	287
Reclassifications, Additions/ Dispositions	85
Depreciation/ Amortization Expense or Amortization of Leases	(1)
Balance December 31, 2012	371
Initial Direct Cost [Member]
Leases Disclosure [Line Items]
Balance December 31, 2011	42
Reclassifications, Additions/ Dispositions	40
Depreciation/ Amortization Expense or Amortization of Leases	(23)
Balance December 31, 2012	$ 59

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Summary Of Significant Accounting Policies (Schedule of Differences Between Book Value and Tax Basis of Net Assets) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Summary Of Significant Accounting Policies [Abstract]
Financial statement basis of net assets	$ 9,013	$ 12,585	$ 16,384
Tax basis of net assets (unaudited)	9,574	12,069
Difference	$ (561)	$ 516

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Fair Value Measurements (Fair Value Measurement Of Assets And Liabilities Measured at Fair Value on a Non-Recurring Basis) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired lease and off-lease equipment	$ 405
Impaired notes receivable, net		18
Impaired investment securities	24	15
Level 3 Estimated Fair Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired lease and off-lease equipment	405
Impaired notes receivable, net		18
Impaired investment securities	$ 24	$ 15

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Investments In Equipment And Leases, Net (Tables)

12 Months Ended

Dec. 31, 2012

Investments In Equipment And Leases, Net [Abstract]

Investment in Leases

		Balance December 31, 2011		Reclassifications, Additions/ Dispositions and Impairment Losses		Depreciation/ Amortization Expense or Amortization of Leases		Balance December 31, 2012
Net investment in operating leases	$	15,578	$	(2,136)	$	(2,927)	$	10,515
Net investment in direct financing leases		237		266		(203)		300
Assets held for sale or lease, net		287		85		(1)		371
Initial direct costs, net of accumulated amortization of $80 at December 31, 2012 and  $137 at December 31, 2011		42		40		(23)		59
Total	$	16,144	$	(1,745)	$	(3,154)	$	11,245

Property on Operating Leases

		Balance December 31, 2011		Additions		Reclassifications, Dispositions and Impairment Losses		Balance December 31, 2012
Transportation, rail	$	11,723	$	-	$	(97)	$	11,626
Materials handling		11,374		-		(5,285)		6,089
Transportation, other		9,656		-		(3,570)		6,086
Mining		2,893		-		-		2,893
Aviation		1,658		-		-		1,658
Marine vessels		1,415		-		-		1,415
Manufacturing		953		-		-		953
Construction		2,241		-		(1,343)		898
Logging and lumber		781		-		(781)		-
Other		-		-		4		4
		42,694		-		(11,072)		31,622
Less accumulated depreciation		(27,116)		(2,927)		8,936		(21,107)
Total	$	15,578	$	(2,927)	$	(2,136)	$	10,515

Components of Company's Investment in Direct Financing Leases

		2012		2011
Total minimum lease payments receivable	$	325	$	261
Estimated residual values of leased equipment (unguaranteed)		60		46
Investment in direct financing leases		385		307
Less unearned income		(85)		(70)
Net investment in direct financing leases	$	300	$	237

Future Minimum Lease Payments Receivable

		Operating Leases		Direct Financing Leases		Total
Year ending December 31, 2013	$	2,961	$	219	$	3,180
2014		2,073		75		2,148
2015		1,087		31		1,118
2016		415		-		415
2017		415		-		415
Thereafter		79		-		79
	$	7,030	$	325	$	7,355

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Related Party Transactions (Affiliates Earned Commissions And Billed For Reimbursements Pursuant To Operating Agreement (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Disclosure Managing Member And Or Affiliates Earned Commissions And Billed For Reimbursements Pursuant To Operating Agreement [Abstract]
Costs reimbursed to Managing Member and/or affiliates	$ 424	$ 474
Asset management fees to Managing Member and/or affiliates	321	364
Acquisition and initial direct costs paid to Managing Member	92	100
Related Party Transaction, Expenses from Transactions with Related Party, Total	$ 837	$ 938

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Allowance For Credit Losses (Financing Receivables By Credit Quality Indicator And Class) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Financing Receivable, Recorded Investment [Line Items]
Finance Leases	$ 300	$ 237
Notes Receivable	769	1,097
Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Leases	274	188
Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Leases	26	49
Notes Receivable	$ 769	$ 1,097

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Notes Receivable, Net (Minimum Future Payments Receivable) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Financing receivables:
Year ending December 31, 2013	$ 304
2014	221
2015	166
2016	188
Financing receivable, gross	879
Less: portion representing unearned interest income	(110)	(191)
Notes receivable	769	1,097
Less: Reserve for impairment	(10)	(2)
Notes receivable, net	$ 759	$ 1,095

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Non-Recourse Debt (Future Minimum Payments Of Non-Recourse Debt) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012
Principal
Year ending December 31, 2013	$ 1,699
2014	1,313
2015	639
Long-term Debt, Total	3,651
Interest
Year ending December 31, 2013	155
2014	73
2015	17
Long Term Debt Interest, Total	245
Total
Year ending December 31, 2013	1,854
2014	1,386
2015	656
Long Term Debt Principal and Interest, Total	$ 3,896

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Investments In Equipment And Leases, Net (Property On Operating Leases) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Property Subject to or Available for Operating Lease [Line Items]
Balance	$ 10,515	$ 15,578
Additions	(2,927)
Reclassifications, Dispositions and Impairment Losses	(2,136)
Transportation, Rail [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	11,626	11,723
Reclassifications, Dispositions and Impairment Losses	(97)
Materials Handling [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	6,089	11,374
Reclassifications, Dispositions and Impairment Losses	(5,285)
Transportation, Other [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	6,086	9,656
Reclassifications, Dispositions and Impairment Losses	(3,570)
Mining [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	2,893	2,893
Aviation [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	1,658	1,658
Marine Vessels [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	1,415	1,415
Manufacturing [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	953	953
Construction [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	898	2,241
Reclassifications, Dispositions and Impairment Losses	(1,343)
Logging And Lumber [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance		781
Reclassifications, Dispositions and Impairment Losses	(781)
Other Properties [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	4
Reclassifications, Dispositions and Impairment Losses	4
Total Property Subject To Or Available For Operating Lease [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	31,622	42,694
Reclassifications, Dispositions and Impairment Losses	(11,072)
Less Accumulated Depreciation [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance	(21,107)	(27,116)
Additions	(2,927)
Reclassifications, Dispositions and Impairment Losses	$ 8,936

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Summary Of Significant Accounting Policies

12 Months Ended

Dec. 31, 2012

Summary Of Significant Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2.  Summary of significant accounting policies:

Basis of presentation:

The accompanying balance sheets as of December 31, 2012 and 2011, and the related statements of income, changes in members’ capital, and cash flows for the years then ended, have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission. Certain prior year amounts have been reclassified to conform to the current year presentation. These reclassifications had no significant effect on the reported financial position or results of operations.

Footnote and tabular amounts are presented in thousands, except as to Units and per Unit data.

2.  Summary of significant accounting policies (continued):

In preparing the accompanying financial statements, the Company has reviewed, as determined necessary by the Managing Member, events that have occurred after December 31, 2012, up until the issuance of the financial statements. No events were noted which would require disclosure in the footnotes to the financial statements.

Use of estimates:

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Such estimates primarily relate to the determination of residual values at the end of the lease term and expected future cash flows used for impairment analysis purposes and for determination of the allowance for doubtful accounts and reserve for credit losses on notes receivable.

Cash and cash equivalents:

Cash and cash equivalents include cash in banks and cash equivalent investments such as U.S. Treasury instruments with original and/or purchased maturities of ninety days or less.

Accounts receivable:

Accounts receivable represent the amounts billed under operating and direct financing lease contracts, and notes receivable which are currently due to the Company. Allowances for doubtful accounts are established based on historical charge off and collection experience and the collectability of specifically identified lessees and invoiced amounts. Accounts receivable deemed uncollectible are charged off against the allowance on a specific identification basis. Recoveries of amounts that were previously written-off are recorded as other income in the period received.

Credit risk:

Financial instruments that potentially subject the Company to concentrations of credit risk include cash and cash equivalents, operating and direct financing lease receivables, notes receivable and accounts receivable. The Company places the majority of its cash deposits in noninterest-bearing accounts with financial institutions that have no less than $10 billion in assets. Such deposits are insured up to $250 thousand. The remainder of the Funds’ cash is temporarily invested in U.S. Treasury denominated instruments. The concentration of such deposits and temporary cash investments is not deemed to create a significant risk to the Company. Accounts and notes receivable represent amounts due from lessees or borrowers in various industries, related to equipment on operating and direct financing leases or notes receivable.

Equipment on operating leases and related revenue recognition:

Equipment subject to operating leases is stated at cost. Depreciation is being recognized on a straight-line method over the terms of the related leases to the equipment’s estimated residual values. Maintenance costs associated with the Fund’s portfolio of leased assets are expensed as incurred. Major additions and betterments are capitalized.

Operating lease revenue is recognized on a straight-line basis over the term of the underlying leases. The initial lease terms will vary as to the type of equipment subject to the leases, the needs of the lessees and the terms to be negotiated, but initial leases are generally on terms from 36 to 120 months. The difference between rent received and rental revenue recognized is recorded as unearned operating lease income on the balance sheet.

2.  Summary of significant accounting policies (continued):

Operating leases are generally placed in a non-accrual status (i.e., no revenue is recognized) when payments are more than 90 days past due. Additionally, management considers the equipment underlying the lease contracts for impairment and periodically reviews the credit worthiness of all operating lessees with payments outstanding less than 90 days. Based upon management’s judgment, the related operating leases may be placed on non-accrual status. Leases placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid lease payments is probable. Until such time, revenues are recognized on a cash basis.

Direct financing leases and related revenue recognition:

Income from direct financing lease transactions is reported using the financing method of accounting, in which the Company’s investment in the leased property is reported as a receivable from the lessee to be recovered through future rentals. The interest income portion of each rental payment is calculated so as to generate a constant rate of return on the net receivable outstanding.

Allowances for losses on direct financing leases are typically established based on historical charge off and collection experience and the collectability of specifically identified lessees and billed and unbilled receivables. Direct financing leases are charged off to the allowance as they are deemed uncollectible.

Direct financing leases are generally placed in a non-accrual status (i.e., no revenue is recognized) and deemed impaired when payments are more than 90 days past due. Additionally, management periodically reviews the credit worthiness of all direct finance lessees with payments outstanding less than 90 days. Based upon management’s judgment, the related direct financing leases may be placed on non-accrual status. Leases placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid lease payments is probable. Until such time, all payments received are applied only against outstanding principal balances.

Notes receivable, unearned interest income and related revenue recognition:

The Company records all future payments of principal and interest on notes as notes receivable, which is then offset by the amount of any related unearned interest income. For financial statement purposes, the Company reports only the net amount of principal due on the balance sheet. The unearned interest is recognized over the term of the note and the income portion of each note payment is calculated so as to generate a constant rate of return on the net balance outstanding. Any fees or costs related to notes receivable are recorded as part of the net investment in notes receivable and amortized over the term of the loan.

Allowances for losses on notes receivable are typically established based on historical charge off and collection experience and the collectability of specifically identified borrowers and billed and unbilled receivables. Notes are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal and/or interest when due according to the contractual terms of the note agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest when due. If it is determined that a loan is impaired with regard to scheduled payments, the Company will perform an analysis of the note to determine if an impairment valuation reserve is necessary. This analysis considers the estimated cash flows from the note, or the collateral value of the property underlying the note when note repayment is collateral dependent. Any required valuation reserve is charged to earnings when determined; and notes are charged off to the allowance as they are deemed uncollectible.

Notes receivable are generally placed in a non-accrual status (i.e., no revenue is recognized) when payments are more than 90 days past due. Additionally, management periodically reviews the creditworthiness of companies with note payments outstanding less than 90 days. Based upon management’s judgment, notes may be placed in a non-accrual status. Notes placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid receivable is probable. Until such time, all payments received are applied only against outstanding principal balances.

2.  Summary of significant accounting policies (continued):

Initial direct costs:

The Company capitalizes initial direct costs (“IDC”) associated with the origination and funding of lease assets and investments in notes receivable. IDC includes both internal costs (e.g., the costs of employees’ activities in connection with successful lease and loan originations) and external broker fees incurred with such originations. The costs are amortized on a lease by lease (or note by note) basis based on actual contract term using a straight-line method for operating leases and the effective interest rate method for direct financing leases and notes receivable. Upon disposal of the underlying lease or loan assets, both the initial direct costs and the associated accumulated amortization are relieved. Costs related to leases or notes receivable that are not consummated are not eligible for capitalization as initial direct costs and are expensed as acquisition expense.

Acquisition expense:

Acquisition expense represents costs which include, but are not limited to, legal fees and expenses, travel and communication expenses, cost of appraisals, accounting fees and expenses and miscellaneous expenses related to the selection and acquisition of equipment which are reimbursable to the Managing Member under the terms of the Operating Agreement. As the costs are not eligible for capitalization as initial direct costs, such amounts are expensed as incurred.

Asset valuation:

Recorded values of the Company’s leased asset portfolio are periodically reviewed for impairment. An impairment loss is measured and recognized only if the estimated undiscounted future cash flows of the asset are less than their net book value. The estimated undiscounted future cash flows are the sum of the estimated residual value of the asset at the end of the asset’s expected holding period and estimates of undiscounted future rents. The residual value assumes, among other things, that the asset is utilized normally in an open, unrestricted and stable market. Short-term fluctuations in the market place are disregarded and it is assumed that there is no necessity either to dispose of a significant number of the assets, if held in quantity, simultaneously or to dispose of the asset quickly. Impairment is measured as the difference between the fair value (as determined by a valuation method using discounted estimated future cash flows, third party appraisals or comparable sales of similar assets as applicable based on asset type) of the asset and its carrying value on the measurement date.

Segment reporting:

The Company is not organized by multiple operating segments for the purpose of making operating decisions or assessing performance. Accordingly, the Company operates in one reportable operating segment in the United States.

The Company’s principal decision makers are the Managing Member’s Chief Executive Officer and its Chief Financial Officer and Chief Operating Officer. The Company believes that its equipment leasing business operates as one reportable segment because: a) the Company measures profit and loss at the equipment portfolio level as a whole; b) the principal decision makers do not review information based on any operating segment other than the equipment leasing transaction portfolio; c) the Company does not maintain discrete financial information on any specific segment other than its equipment financing operations; d) the Company has not chosen to organize its business around different products and services other than equipment lease financing; and e) the Company has not chosen to organize its business around geographic areas.

The primary geographic regions in which the Company seeks leasing and financing opportunities are North America and Europe.

2.  Summary of significant accounting policies (continued):

The table below summarizes geographic information relating to the sources, by nation, of the Company’s total revenues for the years ended December 31, 2012 and 2011 and long-lived assets as of December 31, 2012 and 2011 (dollars in thousands):

		For the Year Ended December 31,
		2012	% of Total				2011		% of Total
Revenue
United States	$	6,069	94%		$		7,069		93%
United Kingdom		368	6%				558		7%
Total International		368	6%				558		7%
Total	$	6,437	100%		$		7,627		100%
		As of December 31,
		2012		% of Total				2011	% of Total
Long-lived assets
United States	$	11,090		99%		$		15,782	98%
United Kingdom		155		1%				362	2%
Total International		155		1%				362	2%
Total	$	11,245		100%		$		16,144	100%

Investment in securities:

From time to time, the Company may purchase securities of its borrowers or receive warrants to purchase securities in connection with its lending arrangements.

Purchased securities

Purchased securities are generally not registered for public sale and are carried at cost. Such securities are adjusted to fair value if the fair value is less than the carrying value and such impairment is deemed by the Managing Member to be other than temporary. Factors considered by the Managing Member in determining fair value include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations and indications of the issuer’s subsequent ability to raise capital. During 2012, the Company recorded fair value adjustments totaling $40thousand to reduce the cost basis of certain investments deemed impaired. Such fair value adjustments totaled $57 thousand during 2011.

Warrants

Warrants owned by the Company are not registered for public sale, but are considered derivatives and are carried at an estimated fair value on the balance sheet at the end of the period, as determined by the Managing Member. At December 31, 2012 and 2011, the Managing Member estimated the fair value of the warrants to be nominal in amount. During 2012, the Company recorded $59 thousand of unrealized gains relative to the conversion of warrants associated with shares of certain venture companies. There were no unrealized gains recorded during 2011.Gains recognized on the net exercise of certain warrants totaled $5 thousand and $52 thousand for the years ended December 31, 2012 and 2011, respectively.

Foreign currency transactions:

Foreign currency transaction gains and losses are reported in the results of operations as “other income” or “other loss” in the period in which they occur. Currently, the Company does not use derivative instruments to hedge its economic exposure with respect to assets, liabilities and firm commitments as the foreign currency transactions risks to date have not been significant. During 2012, the Company recorded other loss, net totaling $20 thousand relative to net losses from foreign currency transactions. By comparison, the Company did not record other income or loss on a net basis during 2011 as its currency gains of $155 thousand were fully offset by foreign currency losses of the same amount.

2.  Summary of significant accounting policies (continued):

Unearned operating lease income:

The Company records prepayments on operating leases as a liability under the caption of unearned operating lease income. The liability is recorded when prepayments are received and recognized as operating lease revenue over the period to which the prepayments relate using a straight-line method.

Income taxes:

The Company is treated as a partnership for federal income tax purposes. Pursuant to the provisions of Section 701 of the Internal Review Code, a partnership is not subject to federal income taxes. Accordingly, the Company has provided current income taxes for only those states, which levy income taxes on partnerships. For the years ended December 31, 2012 and 2011, the current provision for state income taxes was approximately $45 thousand and $37 thousand, respectively. The Company does not have any entity level uncertain tax positions. The Company files income tax returns in the U.S. federal jurisdiction and various state jurisdictions and is generally subject to examination by U.S. federal (or state and local) income tax authorities for three years from the filing of a tax return.

The tax bases of the Company’s net assets and liabilities vary from the amounts presented in these financial statements at December 31, 2012 and 2011 as follows (in thousands):

		2012		2011
Financial statement basis of net assets	$	9,013	$	12,585
Tax basis of net assets (unaudited)		9,574		12,069
Difference	$	(561)	$	516

The primary differences between the tax bases of net assets and the amounts recorded in the financial statements are the result of differences in accounting for syndication costs and differences between the depreciation methods used in the financial statements and the Company’s tax returns.

The following reconciles the net income reported in these financial statements to the income reported on the Company’s federal tax returns (unaudited) for the years ended December 31, 2012 and 2011, respectively (in thousands):

		2012		2011
Net income per financial statements	$	1,638	$	1,411
Tax adjustments (unaudited):
Adjustment to depreciation expense		(595)		(549)
Provision for doubtful accounts		(53)		35
Adjustments to revenues		477		95
Adjustments to gain on sales of assets		831		603
Other		416		(51)
Income per federal tax return (unaudited)	$	2,714	$	1,544

Other loss, net:

During the year ended December 31, 2012, other loss, net totaled $20 thousand and was comprised of net losses on foreign currency transactions. During 2011, foreign currency gains were fully offset by like amounts of foreign currency transaction losses.

Per unit data:

Net income and distributions per Unit are based upon the weighted average number of Other Members Units outstanding during the year.

2.  Summary of significant accounting policies (continued):

Recent accounting pronouncements:

Recentaccounting standards updates as issued by the Financial Accounting Standards Board (FASB) were evaluated and determined to be not applicable to the Company.

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Allowance For Credit Losses (Schedule of Impaired Loans) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Allowance For Credit Losses [Abstract]
Notes receivable, With an allowance recorded, Recorded investment		$ 18
Recorded investment, Total		18
Notes receivable, With an allowance recorded, Unpaid Principal Balance	10	20
Unpaid Principal Balance, Total	10	20
Note Receivable, With an allowance recorded, Related Allowance	10	2
Notes receivable, Related Allowance	10	2
Notes receivable, With an allowance recorded, Average Recorded Investment	4	21
Impaired Financing Receivable, Average Recorded Investment, Total	4	21
Notes receivable, With an allowance recorded, Interest Income Recognized	4
Interest Income Recognized, Total	$ 4

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Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2012

Fair Value Measurements [Abstract]

Fair Value Measurement Of Assets And Liabilities Measured at Fair Value on a Non-Recurring Basis

		December 31, 2012		Level 1 Estimated Fair Value		Level 2 Estimated Fair Value		Level 3 Estimated Fair Value
Assets measured at fair value on a non-recurring basis
Impaired lease and off-lease equipment	$	405	$	-	$	-	$	405
Impaired investment securities		24		-		-		24
		December 31, 2011		Level 1 Estimated Fair Value		Level 2 Estimated Fair Value		Level 3 Estimated Fair Value
Assets measured at fair value on a non-recurring basis
Impaired notes receivable, net	$	18	$	-	$	-	$	18
Impaired investment securities		15		-		-		15

Estimated Fair Values of Financial Instruments

		Fair Value Measurements at December 31, 2012
		Carrying Value		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	1,502	$	1,502	$	-	$	-	$	1,502
Notes receivable, net		759		-		-		759		759
Investment in securities		219		-		-		219		219
Financial liabilities:
Non-recourse debt		3,651		-		-		3,807		3,807

		December 31, 2011
		Carrying Amount		Estimated Fair Value
Financial assets:
Cash and cash equivalents	$	1,416	$	1,416
Notes receivable, net		1,095		1,095
Investment in securities		200		200
Financial liabilities:
Non-recourse debt		5,542		5,825

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Members' Capital (Tables)

12 Months Ended

Dec. 31, 2012

Members' Capital [Abstract]

Distributions To Other Members

		2012		2011
Distributions	$	4,819	$	4,819
Weighted average number of Units outstanding		5,209,307		5,209,307
Weighted average distributions per Unit	$	0.93	$	0.93

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Fair Value Measurements (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	1 Months Ended		12 Months Ended
	Jun. 30, 2011	Mar. 31, 2011	Dec. 31, 2012	Dec. 31, 2011
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Impairment losses on equipment			$ 429	$ 37
Percentage of fair value adjustments			(66.00%)
Impairment losses on investment securities		8	40	57
Fair Value, Measurements, Nonrecurring [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Percentage of fair value adjustments	(25.00%)	(87.00%)
Impairment losses on investment securities	2	55	32
Financing Receivable Impairment Charges			8	2
Fair value adjustment on lease equipment (assets)			$ 8	$ 2

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Allowance For Credit Losses (Net Investment in Financing Receivables by Age) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Financing Receivable Recorded Investment Past Due [Line Items]
30-59 Days Past Due		$ 12
60-89 Days Past Due	33	6
Greater Than 90 Days		41
Total Past Due	33	59
Current	1,036	1,275
Total financing receivable	1,069	1,334
Recorded Investment > 90 Days and Accruing		41
Notes Receivable [Member]
Financing Receivable Recorded Investment Past Due [Line Items]
Current	769	1,097
Total financing receivable	769	1,097
Finance Leases [Member]
Financing Receivable Recorded Investment Past Due [Line Items]
30-59 Days Past Due		12
60-89 Days Past Due	33	6
Greater Than 90 Days		41
Total Past Due	33	59
Current	267	178
Total financing receivable	300	237
Recorded Investment > 90 Days and Accruing		$ 41

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Organization And Limited Liability Company Matters (Narrative) (Details) (USD $)	0 Months Ended		1 Months Ended		80 Months Ended
	Jul. 13, 2005	Apr. 11, 2005	Jun. 30, 2010	May 31, 2005	Dec. 31, 2012	Dec. 31, 2011
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items]
Public offering of Limited Liability Company Units		15,000,000
Public offering of Limited Liability Company Units, price per unit		$ 10
Sale of Limited Liability Company Units, number of units	958,274			120,000
Proceeds from sale of Limited Liability Company Units	$ 9,600,000			$ 1,200,000
Contribution of rescissions			52,200,000
Gross contributions from Other Members			52,800,000
Repurchase of units, value			636,000
Units issued					5,209,307	5,209,307
Units outstanding					5,209,307	5,209,307
Reinvestment period					6 years
Minimum [Member]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items]
Amount of aggregate subscriptions for Pennsylvania subscriptions to be released to the Fund	$ 7,500,000

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Summary Of Significant Accounting Policies (Narrative) (Details) (USD $)	1 Months Ended	12 Months Ended
	Mar. 31, 2011	Dec. 31, 2012 segment	Dec. 31, 2011
Summary Of Significant Accounting Policies [Line Items]
Number of operating segments		1
Number of reportable segments		1
Impairment losses on investment securities	$ 8,000	$ 40,000	$ 57,000
Unrealized gain relative to the conversion of warrants		59,000
Gain on exercise of warrants		5,000	52,000
Foreign currency gain (loss)		20,000	155,000
Provision for state income taxes		45,000	37,000
Period subject to income tax examination		3 years
Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Required assets value of financial institutions for cash deposits		10,000,000,000
Operating leases, initial terms		36 months
Notes receivable, period for non accrual status		90 days
Operating leases, period for non accrual status		90 days
Direct financing leases, period for non accrual status		90 days
Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
U.S. Treaasury instruments maturity period		90 days
Cash deposits, insured amount		$ 250,000
Operating leases, initial terms		120 months
Accounts receivable, period of review for impairment		90 days

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Organization And Limited Liability Company Matters

12 Months Ended

Dec. 31, 2012

Organization And Limited Liability Company Matters [Abstract]

Organization and Limited Liability Company Matters

1. Organization and Limited Liability Company matters:

ATEL Capital Equipment Fund XI, LLC (the “Company” or the “Fund”) was formed under the laws of the State of California on June 25, 2004. The Company was formed for the purpose of acquiring equipment to engage in equipment leasing, lending and sales activities. Also, from time to time, the Company may purchase securities of its borrowers or receive warrants to purchase securities in connection with its lending arrangements. The Managing Member of the Company is ATEL Financial Services, LLC (“AFS”), a California limited liability company. The Company may continue until December 31, 2025. Each Member’s personal liability for obligations of the Company generally will be limited to the amount of their respective contributions and rights to undistributed profits and assets of the Company.

The Company conducted a public offering of 15,000,000 Limited Liability Company Units (“Units”), at a price of $10 per Unit. On May 31, 2005, subscriptions for the minimum number of Units (120,000, representing $1.2 million) had been received and AFS requested that the subscriptions be released to the Company. On that date, the Company commenced operations in its primary business (acquiring equipment to engage in equipment leasing, lending and sales activities). As of July 13, 2005, the Company had received subscriptions for 958,274 Units ($9.6 million), thus exceeding the $7.5 million minimum requirement for Pennsylvania, and AFS requested that the remaining funds in escrow (from Pennsylvania investors) be released to the Company. The Company terminated sales of Units effective April 30, 2006. Life-to-date net contributions through December 31, 2012 totaled $52.2 million, consisting of approximately $52.8 million in gross contributions from Other Members purchasing Units under the public offering less rescissions and repurchases (net of distributions paid and allocated syndication costs, as applicable) of $636 thousand. As of December 31, 2012, 5,209,307 Units were issued and outstanding.  

The Company’s principal objectives are to invest in a diversified portfolio of equipment that (i) preserves, protects and returns the Company’s invested capital; (ii) generates regular distributions to the Members of cash from operations and cash from sales or refinancing, with any balance remaining after certain minimum distributions to be used to purchase additional equipment during the reinvestment period (“Reinvestment Period”) (defined as six full years following the year the offering was terminated), which ended December 31, 2012, and (iii) provides additional distributions following the Reinvestment Period and until all equipment has been sold. The Company is governed by its Limited Liability Company Operating Agreement (“Operating Agreement”), as amended.

The Company, or AFS on behalf of the Company, has incurred costs in connection with the organization, registration and issuance of the Limited Liability Company Units (see Note 7 to the financial statements). The amount of such costs to be borne by the Company is limited by certain provisions of the Company’s Operating Agreement. The Company will pay AFS and affiliates of AFS substantial fees which may result in a conflict of interest. The Company will pay substantial fees to AFS and its affiliates before distributions are paid to investors even if the Company does not produce profits. Therefore, the financial position of the Company could change significantly.

On January 1, 2013, the Company commenced liquidation phase activities pursuant to the guidelines of the Operating Agreement. Prior thereto, the Company was in its acquisition phase and was making distributions on a monthly and quarterly basis. Periodic distributions commenced in June 2005.

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Summary Of Significant Accounting Policies (Summary of Geographic Information Relating to Sources, by Nation, of Partnership's Total Revenue and Long-Lived Assets) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	$ 6,437	$ 7,627
Percentage of total revenue	100.00%	100.00%
Long-lived assets	11,245	16,144
Percentage of long lived assets	100.00%	100.00%
United States [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	6,069	7,069
Percentage of total revenue	94.00%	93.00%
Long-lived assets	11,090	15,782
Percentage of long lived assets	99.00%	98.00%
United Kingdom [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	368	558
Percentage of total revenue	6.00%	7.00%
Long-lived assets	155	362
Percentage of long lived assets	1.00%	2.00%
Total International [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	368	558
Percentage of total revenue	6.00%	7.00%
Long-lived assets	$ 155	$ 362
Percentage of long lived assets	1.00%	2.00%

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Allowance For Credit Losses (Activity in Allowance for Doubtful Accounts) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance	$ 60	$ 24
(Reversal of) provision for doubtful accounts	(44)	36
Ending Balance	16	60
Allowance For Doubtful Accounts [Member] | Notes Receivable [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance		6
(Reversal of) provision for doubtful accounts		(6)
Allowance For Doubtful Accounts [Member] | Operating Leases [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance	58	18
(Reversal of) provision for doubtful accounts	(52)	40
Ending Balance	6	58
Valuation Adjustments on Financing Receivables [Member] | Notes Receivable [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance	2
(Reversal of) provision for doubtful accounts	8	2
Ending Balance	$ 10	$ 2

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Borrowing Facilities (Narrative) (Details) (USD $)	Dec. 31, 2012
Line of Credit Facility [Line Items]
Maximum amount of credit facility	$ 60,000,000
Warehouse Agreement Borrowings [Member]
Line of Credit Facility [Line Items]
Outstanding borrowings under facility	5,600,000
Maximum [Member] | Warehouse Agreement Borrowings [Member]
Line of Credit Facility [Line Items]
Contingent obligations	$ 590,000

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Balance Sheets (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
ASSETS
Cash and cash equivalents	$ 1,502	$ 1,416
Accounts receivable, net of allowance for doubtful accounts of $6 as of December 31, 2012 and $58 as of December 31, 2011	179	411
Notes receivable, net of unearned interest income of $110 and allowance for credit losses of $10 at December 31, 2012 and net of unearned interest income of $191 and allowance for credit losses of $2 at December 31, 2011	759	1,095
Investment in securities	219	200
Investments in equipment and leases, net of accumulated depreciation of $22,758 as of December 31, 2012 and $27,956 as of December 31, 2011	11,245	16,144
Prepaid expenses and other assets	32	10
Total assets	13,936	19,276
Accounts payable and accrued liabilities:
Managing Member	155	111
Accrued distributions to Other Members	551	551
Other	404	321
Non-recourse debt	3,651	5,542
Unearned operating lease income	162	166
Total liabilities	4,923	6,691
Commitments and contingencies
Members' capital:
Managing Members
Other Members	9,013	12,585
Total Members' capital	9,013	12,585
Total liabilities and Members' capital	$ 13,936	$ 19,276

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Investments In Equipment And Leases, Net (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Investments In Equipment And Leases, Net [Abstract]
Impairment losses on equipment	$ 429	$ 37
Depreciation of operating lease assets	$ 2,928	$ 4,415
Average estimated residual value of assets on operating leases	21.00%

XML

Statements Of Changes In Members' Capital (Parenthetical) (USD $)	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Statements Of Changes In Members' Capitall [Abstract]
Distributions to Other Members, per unit	$ 0.93	$ 0.93

XML

Concentration Of Credit Risk And Major Customers (Schedule Of Leasing And Lending Revenues) (Details) (Imported)	12 Months Ended
	Dec. 31, 2012		Dec. 31, 2011
Manufacturing [Member] | Equipment Cost [Member]
Leases Disclosure [Line Items]
Percentage of concentration Risk	36.00%		44.00%
Transportation, Rail [Member] | Equipment Cost [Member]
Leases Disclosure [Line Items]
Percentage of concentration Risk	36.00%		26.00%
Transportation Services [Member] | Equipment Cost [Member]
Leases Disclosure [Line Items]
Percentage of concentration Risk	10.00%		13.00%
Union Pacific [Member] | Transportation Services [Member] | Leasing and Lending Revenues [Member]
Leases Disclosure [Line Items]
Percentage of concentration Risk	25.00%		20.00%
Nomac Drilling, LLC [Member] | Mining [Member] | Leasing and Lending Revenues [Member]
Leases Disclosure [Line Items]
Percentage of concentration Risk	11.00%			[1]
New NGC, Inc. [Member] | Materials Handling [Member] | Leasing and Lending Revenues [Member]
Leases Disclosure [Line Items]
Percentage of concentration Risk		[1]	13.00%

[1] Less than 10%

XML

Summary Of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2012

Summary Of Significant Accounting Policies [Abstract]

Summary of Geographic Information Relating to Sources, by Nation, of Partnership's Total Revenue and Long-Lived Assets) (Details

		For the Year Ended December 31,
		2012	% of Total				2011		% of Total
Revenue
United States	$	6,069	94%		$		7,069		93%
United Kingdom		368	6%				558		7%
Total International		368	6%				558		7%
Total	$	6,437	100%		$		7,627		100%
		As of December 31,
		2012		% of Total				2011	% of Total
Long-lived assets
United States	$	11,090		99%		$		15,782	98%
United Kingdom		155		1%				362	2%
Total International		155		1%				362	2%
Total	$	11,245		100%		$		16,144	100%

Schedule of Differences Between Book Value and Tax Basis of Net Assets

		2012		2011
Financial statement basis of net assets	$	9,013	$	12,585
Tax basis of net assets (unaudited)		9,574		12,069
Difference	$	(561)	$	516

Reconciliation of Net Income Loss Reported in Financial Statements and Federal Tax Return

		2012		2011
Net income per financial statements	$	1,638	$	1,411
Tax adjustments (unaudited):
Adjustment to depreciation expense		(595)		(549)
Provision for doubtful accounts		(53)		35
Adjustments to revenues		477		95
Adjustments to gain on sales of assets		831		603
Other		416		(51)
Income per federal tax return (unaudited)	$	2,714	$	1,544

XML

Notes Receivable, Net (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Financing Receivable, Recorded Investment, Past Due [Line Items]
Terms of the notes receivable	120 months
Notes receivable, allowance for credit losses	$ 10	$ 2
Fair value adjustments which reduced the cost basis of impaired loans	$ 10	$ 2
Minimum [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Notes receivable, interest rate	8.42%
Notes maturity period	2013
Maximum [Member]
Financing Receivable, Recorded Investment, Past Due [Line Items]
Notes receivable, interest rate	11.58%
Notes maturity period	2016

XML

Allowance For Credit Losses (Tables)

12 Months Ended

Dec. 31, 2012

Allowance For Credit Losses [Abstract]

Activity in Allowance for Doubtful Accounts

		Accounts Receivable Allowance for Doubtful Accounts						Valuation Adjustments on Financing Receivables				Total Allowance for Credit Losses
		Notes Receivable		Finance Leases		Operating Leases		Notes Receivable		Finance Leases
Balance December 31, 2010	$	6	$	-	$	18	$	-	$	-	$	24
(Reversal of provision) provision for credit losses		(6)		-		40		2		-		36
Balance December 31, 2011		-		-		58		2		-		60
(Reversal of provision) provision for credit losses		-		-		(52)		8		-		(44)
Balance December 31, 2012	$	-	$	-	$	6	$	10	$	-	$	16

Recorded Investment in Financing Receivables

December 31, 2012		Notes Receivable		Finance Leases		Total
Allowance for credit losses:
Ending balance	$	10	$	-	$	10
Ending balance: individually evaluated for impairment	$	10	$	-	$	10
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-
Financing receivables:
Ending balance	$	769	$	300	$	1,069
Ending balance: individually evaluated for impairment	$	769	$	300	$	1,069
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-

5.  Allowance for credit losses (continued):

December 31, 2011		Notes Receivable		Finance Leases		Total
Allowance for credit losses:
Ending balance	$	2	$	-	$	2
Ending balance: individually evaluated for impairment	$	2	$	-	$	2
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-
Financing receivables:
Ending balance	$	1,097	$	237	$	1,334
Ending balance: individually evaluated for impairment	$	1,097	$	237	$	1,334
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-

Financing Receivables by Credit Quality Indicator and by Class

		Notes Receivable				Finance Leases
		2012		2011		2012		2011
Pass	$	-	$	-	$	274	$	188
Special mention		769		1,097		26		49
Substandard		-		-		-		-
Doubtful		-		-		-		-
Total	$	769	$	1,097	$	300	$	237

Schedule of Impaired Loans

			Impaired Loans
December 31, 2012			Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
	Notes receivable	$	-	$	-	$	-	$	-	$	-
With an allowance recorded
	Notes receivable		-		10		10		4		4
Total		$	-	$	10	$	10	$	4	$	4

			Impaired Loans
December 31, 2011			Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
	Notes receivable	$	-	$	-	$	-	$	-	$	-
With an allowance recorded
	Notes receivable		18		20		2		21		-
Total		$	18	$	20	$	2	$	21	$	-

Net Investment in Financing Receivables by Age

December 31, 2012		30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment > 90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	769	$	769	$	-
Finance leases		-		33		-		33		267		300		-
Total	$	-	$	33	$	-	$	33	$	1,036	$	1,069	$	-

5.  Allowance for credit losses (continued):

December 31, 2011		30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment>90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	1,097	$	1,097	$	-
Finance leases		12		6		41		59		178		237		41
Total	$	12	$	6	$	41	$	59	$	1,275	$	1,334	$	41

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Statements Of Cash Flows (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Operating activities:
Net loss	$ 1,638	$ 1,411
Adjustment to reconcile net income to cash provided by operating activities:
Gain on sales of lease assets and early termination of notes	(343)	(56)
Unrealized gain on securities	(59)
Gain on sales or disposition of securities	(5)	(52)
Depreciation of operating lease assets	2,928	4,415
Amortization of initial direct costs	23	43
(Reversal of) provision for credit losses	(44)	36
Impairment losses on equipment	429	37
Provision for losses on investment in securities	40	57
Changes in operating assets and liabilities:
Accounts receivable	284	(94)
Prepaid expenses and other assets	(22)	10
Accounts payable, Managing Member	44	(87)
Accounts payable, other	83	93
Unearned operating lease income	(4)	(211)
Net cash provided by operating activities	4,992	5,602
Investing activities:
Purchases and improvements to operating leases		(1,224)
Proceeds from sales of lease assets and early termination of notes	1,699	1,077
Proceeds from sale of or dispositions of securities	5	93
Payments of initial direct costs	(40)	(2)
Principal payments received on direct financing leases	203	182
Principal payments received on notes receivable	328	397
Net cash provided by investing activities	2,195	523
Financing activities:
Repayments under non-recourse debt	(1,891)	(2,491)
Net cash used in financing activities	(7,101)	(7,701)
Net increase in cash and cash equivalents	86	(1,576)
Cash and cash equivalents at beginning of year	1,416	2,992
Cash and cash equivalents at end of year	1,502	1,416
Supplemental disclosures of cash flow information:
Cash paid during the year for interest	246	415
Cash paid during the year for taxes	52	31
Other Members [Member]
Financing activities:
Distributions to Members	(4,819)	(4,819)
Schedule of non-cash transactions:
Distributions payable at year-end	551	551
Managing Member [Member]
Financing activities:
Distributions to Members	(391)	(391)
Schedule of non-cash transactions:
Distributions payable at year-end	$ 45	$ 45

XML

Balance Sheets (Parenthetical) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Balance Sheets [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 6	$ 58
Notes receivable, unearned interest income	110	191
Notes receivable, allowance for credit losses	10	2
Investments in equipment and leases, accumulated depreciation	$ 22,758	$ 27,956

XML

Commitments

12 Months Ended

Dec. 31, 2012

Commitments [Abstract]

Commitments

10. Commitments:

At December 31, 2012, the Company had no commitments to purchase lease assets or fund investments in notes receivable.

XML

Document And Entity Information (USD $)	12 Months Ended
	Dec. 31, 2012	Feb. 28, 2013	Jun. 30, 2012
Document And Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2012
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	FY
Entity Registrant Name	ATEL CAPITAL EQUIPMENT FUND XI, LLC
Entity Central Index Key	0001297667
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Well-known Seasoned Issuer	No
Entity Public Float			$ 0
Entity Units Outstanding		5,209,307

XML

Guarantees

12 Months Ended

Dec. 31, 2012

Guarantees [Abstract]

Guarantees

11. Guarantees:

The Company enters into contracts that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, the Company has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

The Managing Member knows of no facts or circumstances that would make the Company’s contractual commitments outside standard mutual covenants applicable to commercial transactions between businesses. Accordingly, the Company believes that these indemnification obligations are made in the ordinary course of business as part of standard commercial and industry practice, and that any potential liability under the Company’s similar commitments is remote. Should any such indemnification obligation become payable, the Company would separately record and/or disclose such liability in accordance with GAAP.

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Statements Of Operations (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Leasing and lending activities:
Operating lease income	$ 5,719	$ 7,273
Direct financing leases	116	102
Interest on notes receivable	80	108
Gain on sales of lease assets and early termination of notes	343	56
Gain on sale of disposition of securities	5	52
Unrealized gain on securities	59
Other	115	36
Total revenues	6,437	7,627
Expenses:
Depreciation of operating lease assets	2,928	4,415
Asset management fees to Managing Member and/or affiliates	321	364
Acquisition expense	92	97
Cost reimbursements to Managing Member and/or affiliates	424	474
(Reversal of) provision for credit losses	(44)	36
Impairment losses on equipment	429	37
Provision for losses on investment in securities	40	57
Amortization of initial direct costs	23	43
Interest expense	238	351
Professional fees	100	106
Outside services	55	36
Other	173	200
Total operating expenses	4,779	6,216
Other expense, net	(20)
Net income	1,638	1,411
Net income (loss):
Managing Member	391	391
Other Members	1,247	1,020
Net income	$ 1,638	$ 1,411
Net loss per Limited Liability Company Unit (Other Members)	$ 0.24	$ 0.20
Weighted average number of Units outstanding	5,209,307	5,209,307

XML

Allowance For Credit Losses

12 Months Ended

Dec. 31, 2012

Allowance For Credit Losses [Abstract]

Allowance for Credit Losses

5.  Allowance for credit losses:

The Company’s allowance for credit losses are as follows (in thousands):

		Accounts Receivable Allowance for Doubtful Accounts						Valuation Adjustments on Financing Receivables				Total Allowance for Credit Losses
		Notes Receivable		Finance Leases		Operating Leases		Notes Receivable		Finance Leases
Balance December 31, 2010	$	6	$	-	$	18	$	-	$	-	$	24
(Reversal of provision) provision for credit losses		(6)		-		40		2		-		36
Balance December 31, 2011		-		-		58		2		-		60
(Reversal of provision) provision for credit losses		-		-		(52)		8		-		(44)
Balance December 31, 2012	$	-	$	-	$	6	$	10	$	-	$	16

Accounts receivable represent the amounts billed under operating and direct financing lease contracts, and notes receivable which are currently due to the Company.

Allowances for doubtful accounts are typically established based upon their aging and historical charge off and collection experience and the creditworthiness of specifically identified lessees and borrowers, and invoiced amounts. Accounts receivable deemed uncollectible are generally charged off against the allowance on a specific identification basis. Recoveries of amounts that were previously written-off are recorded as other income in the period received. Accounts receivable are generally placed in a non-accrual status (i.e., no revenue is recognized) when payments are more than 90 days past due. Additionally, management periodically reviews the creditworthiness of companies with lease or note payments outstanding less than 90 days. Based upon management’s judgment, such leases or notes may be placed in non-accrual status. Leases or notes placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid receivable is probable. Until such time,

5.  Allowance for credit losses (continued):

revenues on operating leases are recognized on a cash basis. All payments received on amounts billed under direct financing leases contracts and notes receivable are applied only against outstanding principal balances.

Financing Receivables

In addition to the allowance established for delinquent accounts receivable, the total allowance related solely to financing receivables also includes anticipated impairment charges on notes receivable and direct financing leases.

Notes are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal and/or interest when due according to the contractual terms of the note agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest when due. If it is determined that a loan is impaired with regard to scheduled payments, the Company will perform an analysis of the note to determine if an impairment valuation reserve is necessary. This analysis considers the estimated cash flows from the note, or the collateral value of the property underlying the note when note repayment is collateral dependent. Any required valuation reserve is charged to earnings when determined; and notes are charged off to the allowance as they are deemed uncollectible.

The asset underlying a direct financing lease contract is considered impaired if the estimated undiscounted future cash flows of the asset are less than its net book value. The estimated undiscounted future cash flows are the sum of the estimated residual value of the asset at the end of the asset’s expected holding period and estimates of undiscounted future rents. The residual value assumes, among other things, that the asset is utilized normally in an open, unrestricted and stable market. Short-term fluctuations in the market place are disregarded and it is assumed that there is no necessity either to dispose of a significant number of the assets, if held in quantity, simultaneously or to dispose of the asset quickly.

Impairment is measured as the difference between the fair value (as determined by a valuation method using discounted estimated future cash flows, third party appraisals or comparable sales of similar assets as applicable based on asset type) of the asset and its carrying value on the measurement date.

As of December 31, 2012 and 2011, the Company’s allowance for credit losses (related solely to financing receivables) and its recorded investment in financing receivables were as follows (in thousands):

December 31, 2012		Notes Receivable		Finance Leases		Total
Allowance for credit losses:
Ending balance	$	10	$	-	$	10
Ending balance: individually evaluated for impairment	$	10	$	-	$	10
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-
Financing receivables:
Ending balance	$	769	$	300	$	1,069
Ending balance: individually evaluated for impairment	$	769	$	300	$	1,069
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-

5.  Allowance for credit losses (continued):

December 31, 2011		Notes Receivable		Finance Leases		Total
Allowance for credit losses:
Ending balance	$	2	$	-	$	2
Ending balance: individually evaluated for impairment	$	2	$	-	$	2
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-
Financing receivables:
Ending balance	$	1,097	$	237	$	1,334
Ending balance: individually evaluated for impairment	$	1,097	$	237	$	1,334
Ending balance: collectively evaluated for impairment	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-	$	-

The Company evaluates the credit quality of its financing receivables on a scale equivalent to the following quality indicators related to corporate risk profiles:

Pass – Any account whose lessee/debtor, co-lessee/debtor or any guarantor has a credit rating on publicly traded or privately placed debt issues as rated by Moody’s or S&P for either Senior Unsecured debt, Long Term Issuer rating or Issuer rating that are in the tiers of ratings generally recognized by the investment community as constituting an Investment Grade credit rating; or, has been determined by the Manager to be an Investment Grade Equivalent or High Quality Corporate Credit per its Credit Policy or has a Not Rated internal rating by the Manager and the account is not considered by the Chief Credit Officer of the manager to fall into one of the three risk profiles below.

Special Mention – Any traditional corporate type account with potential weaknesses (e.g. large net losses or major industry downturns) or, any growth capital account that has less than three months of cash as of the end of the calendar quarter to fund their continuing operations. These accounts deserve management’s close attention. If left uncorrected, those potential weaknesses may result in deterioration of the Fund’s receivable at some future date.

Substandard – Any account that is inadequately protected by the current worth and paying capacity of the borrower or of the collateral pledged, if any. Accounts that are so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Fund will sustain some loss as the likelihood of fully collecting all receivables may be questionable if the deficiencies are not corrected. Such accounts are on the Manager’s Credit Watch List.

Doubtful – Any account where the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Accordingly, an account that is so classified is on the Manager’s Credit Watch List, and has been declared in default and the Manager has repossessed, or is attempting to repossess, the equipment it financed. This category includes impaired notes and leases as applicable.

5.  Allowance for credit losses (continued):

At December 31, 2012 and 2011, the Company’s financing receivables by credit quality indicator and by class of financing receivables are as follows (excludes initial direct costs) (in thousands):

		Notes Receivable				Finance Leases
		2012		2011		2012		2011
Pass	$	-	$	-	$	274	$	188
Special mention		769		1,097		26		49
Substandard		-		-		-		-
Doubtful		-		-		-		-
Total	$	769	$	1,097	$	300	$	237

As of December 31, 2012 and 2011, the Company’s impaired loans were as follows (in thousands):

			Impaired Loans
December 31, 2012			Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
	Notes receivable	$	-	$	-	$	-	$	-	$	-
With an allowance recorded
	Notes receivable		-		10		10		4		4
Total		$	-	$	10	$	10	$	4	$	4

			Impaired Loans
December 31, 2011			Recorded Investment		Unpaid Principal Balance		Related Allowance		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
	Notes receivable	$	-	$	-	$	-	$	-	$	-
With an allowance recorded
	Notes receivable		18		20		2		21		-
Total		$	18	$	20	$	2	$	21	$	-

At December 31, 2012 and 2011, investment in financing receivables is aged as follows (in thousands):

December 31, 2012		30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment > 90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	769	$	769	$	-
Finance leases		-		33		-		33		267		300		-
Total	$	-	$	33	$	-	$	33	$	1,036	$	1,069	$	-

5.  Allowance for credit losses (continued):

December 31, 2011		30-59 Days Past Due		60-89 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment>90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	1,097	$	1,097	$	-
Finance leases		12		6		41		59		178		237		41
Total	$	12	$	6	$	41	$	59	$	1,275	$	1,334	$	41

As discussed in Note 4, the Company had no notes in non-accrual status as of December 31, 2012. By comparison, one of the Company’s note receivable was in non-accrual status at December 31, 2011 and was considered impaired relative to its payment terms. Just prior to the end of the third quarter, past due amounts were received bringing the note current at September 30, 2012. Accordingly, the note was returned to accrual status effective October 1, 2012. The Company had previously accumulated $10 thousand of adjustments to reflect the fair value of such notes.

As of December 31, 2012, there were no accounts receivable related to net investments in financing receivables placed in non-accrual status. At December 31, 2011, certain investments in financing receivables, with related accounts receivable past due more than 90 days,were still on an accrual basis based upon management’s assessment of the collectability of such receivables. However, the related accounts receivable were fully reserved and included in the allowance for doubtful accounts presented above.

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Notes Receivable, Net

12 Months Ended

Dec. 31, 2012

Financing receivables:

Notes Receivable, Net

4.  Notes receivable, net:

The Company has various notes receivable from borrowers who have financed the purchase of equipment through the Company. The terms of the notes receivable are generally up to 120 months and bear interest at rates ranging from 8.42% to 11.58%. The notes are secured by the equipment financed. The notes mature from 2013 through 2016.  

As of December 31, 2012, the Company had no notes in non-accrual status. By comparison, the Company had a note in non-accrual status at December 31, 2011. The note was originally placed in non-accrual status in 2010, at which time, its term was modified to defer the repayment of principal until April 2012 while maintaining interest-only payments at the original rate of 11.58%. From April 1, 2012 well into the third quarter, the interest only payment arrangement was continued pending a final resolution of the terms of repayment. Just prior to the end of the third quarter, past due amounts were received bringing the note current at September 30, 2012. Accordingly, the note was returned to accrual status effective October 1, 2012. As of December 31, 2012, the aforementioned note reflects a principal balance outstanding of $10 thousand. Through December 31, 2012, the Company had previously accumulated $10 thousand of fair value adjustments to reduce the fair value of the impaired notes.  

4.  Notes receivable, net (continued):

The minimum future payments receivable as of December 31, 2012 are as follows (in thousands):

Year ending December 31, 2013	$	304
2014		221
2015		166
2016		188
		879
Less: portion representing unearned interest income		(110)
		769
Less: Reserve for impairment		(10)
Notes receivable, net	$	759

IDC amortization expense related to notes receivable and the Company’s operating and direct financing leases for the years ended December 31, 2012 and 2011 are as follows (in thousands):

		For the Year Ended December 31,
		2012		2011
IDC amortization - notes receivable	$	-	$	1
IDC amortization - lease assets		23		42
Total	$	23	$	43

XML

Concentration Of Credit Risk And Major Customers (Tables)

12 Months Ended

Dec. 31, 2012

Concentration Of Credit Risk And Major Customers [Abstract]

Schedule Of Equipment Leased, Credit Risk Concentration

	2012	2011
Manufacturing	36%	44%
Transportation, rail	36%	26%
Transportation services	10%	13%

Schedule Of Major Customers Credit Risk Concentration

		Percentage of Total Leasing and Lending Revenues
Lessee	Type of Equipment	2012	2011
Union Pacific	Transportation	25%	20%
Nomac Drilling, LLC	Mining	11%	*
New NGC, Inc.	Materials handling	*	13%
*  Less than 10%

XML

Members' Capital

12 Months Ended

Dec. 31, 2012

Members' Capital [Abstract]

Members' Capital

12. Members’ capital:

Units issued and outstanding were 5,209,307 at both December 31, 2012 and 2011, respectively. The Company was authorized to issue up to 15,000,000 Units in addition to the Units issued to the initial members (50 Units). The Company terminated sales of Units effective April 30, 2006.

The Company has the right, exercisable in the Manager’s discretion, but not the obligation, to repurchase Units of a Unitholder who ceases to be a U.S. Citizen, for a price equal to 100% of the holder’s capital account. The Company is otherwise permitted, but not required, to repurchase Units upon a holder’s request. The repurchase of Fund Units is made in accordance with Section 13 of the Amended and Restated Limited Liability Company Operating Agreement. The repurchase would be at the discretion of the Manager on terms it determines to be appropriate under given circumstances, in the event that the Manager deems such repurchase to be in the best interest of the Company; provided,the Company is never required to repurchase any Units. Upon the repurchase of any Units by the Fund, the tendered Units are cancelled.  Units repurchased in prior periods were repurchased at amounts representing the original investment less cumulative distributions made to the Unitholder with respect to the Units. All Units repurchased during a quarter are deemed to be repurchased effective the last day of the preceding quarter, and are not deemed to be outstanding during, or entitled to allocations of net income, net loss or distributions for the quarter in which such repurchase occurs.

There were no Units repurchased during 2012 and 2011.

During the years ended December 31, 2012 and 2011, distributions to the Other Members were as follows (in thousands, except as to Units and per Unit data):

		2012		2011
Distributions	$	4,819	$	4,819
Weighted average number of Units outstanding		5,209,307		5,209,307
Weighted average distributions per Unit	$	0.93	$	0.93

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Non-Recourse Debt

12 Months Ended

Dec. 31, 2012

Non-Recourse Debt [Abstract]

Non-Recourse Debt

8.  Non-recourse debt:

At December 31, 2012 and 2011, non-recourse debt consists of notes payable to financial institutions. The notes are due in monthly installments. Interest on the notes is at fixed rates ranging from 4.33% to 5.95%. The notes are secured by assignments of lease payments and pledges of assets. At December 31, 2012, gross lease rentals totaled approximately $3.9 million over the remaining lease terms; and the carrying value of the pledged assets is approximately $6.2 million. The notes mature from 2013 through 2015.

The non-recourse debt does not contain any material financial covenants. The debt is secured by a specific lien granted by the Company to the non-recourse lenders on (and only on) the discounted lease transactions. The lenders have recourse only to the following collateral: the leased equipment; the related lease chattel paper; the lease receivables; and proceeds of the foregoing items. The non-recourse obligation is payable solely out of the respective specific security and the Company does not guarantee (nor is the Company otherwise contractually responsible for) the payment of the non-recourse debt as a general obligation or liability of the Company. Although the Company does not have any direct or general liability in connection with the non-recourse debt apart from the security granted, the Company is directly and generally liable and responsible for certain representations, warranties, and covenants made to the lenders, such as warranties as to genuineness of the transaction parties' signatures, as to the genuineness of the respective lease chattel paper or the transaction as a whole, or as to the Company's good title to or perfected interest in the secured collateral, as well as similar representations, warranties and covenants typically provided by non-recourse borrowers and customary in the equipment finance industry,

8.  Non-recourse debt (continued):

and are viewed by such industry as being consistent with non-recourse discount financing obligations. Accordingly, as there are no financial covenants or ratios imposed on the Company in connection with the non-recourse debt, the Company has determined that there are no material covenants with respect to the non-recourse debt that warrant footnote disclosure.

Future minimum payments of non-recourse debt are as follows (in thousands):

		Principal		Interest		Total
Year ending December 31, 2013	$	1,699	$	155	$	1,854
2014		1,313		73		1,386
2015		639		17		656
	$	3,651	$	245	$	3,896

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Investments In Equipment And Leases, Net

12 Months Ended

Dec. 31, 2012

Investments In Equipment And Leases, Net [Abstract]

Investments in Equipment and Leases, Net

6.  Investments in equipment and leases, net:

The Company’s investment in leases consists of the following (in thousands):

		Balance December 31, 2011		Reclassifications, Additions/ Dispositions and Impairment Losses		Depreciation/ Amortization Expense or Amortization of Leases		Balance December 31, 2012
Net investment in operating leases	$	15,578	$	(2,136)	$	(2,927)	$	10,515
Net investment in direct financing leases		237		266		(203)		300
Assets held for sale or lease, net		287		85		(1)		371
Initial direct costs, net of accumulated amortization of $80 at December 31, 2012 and  $137 at December 31, 2011		42		40		(23)		59
Total	$	16,144	$	(1,745)	$	(3,154)	$	11,245

Impairment of investments in leases and assets held for sale or lease:

Management periodically reviews the carrying values of its assets on leases and assets held for lease or sale. Impairment losses are recorded as an adjustment to the net investment in operating leases. During 2012 and 2011, the Company deemed certain off-lease assets to be impaired, and accordingly, recorded fair value adjustments of $429 thousand and $37 thousand, respectively, which reduced the cost basis of such assets.

The Company utilizes a straight line depreciation method for equipment in all of the categories currently in its portfolio of operating lease transactions. Depreciation expense on the Company’s equipment was approximately $2.9 million and $4.4 million for the respective years ended December 31, 2012 and 2011.

All of the leased property was acquired during the years 2005 through 2011.

6.  Investments in equipment and leases, net (continued):

Operating leases:

Property on operating leases consists of the following (in thousands):

		Balance December 31, 2011		Additions		Reclassifications, Dispositions and Impairment Losses		Balance December 31, 2012
Transportation, rail	$	11,723	$	-	$	(97)	$	11,626
Materials handling		11,374		-		(5,285)		6,089
Transportation, other		9,656		-		(3,570)		6,086
Mining		2,893		-		-		2,893
Aviation		1,658		-		-		1,658
Marine vessels		1,415		-		-		1,415
Manufacturing		953		-		-		953
Construction		2,241		-		(1,343)		898
Logging and lumber		781		-		(781)		-
Other		-		-		4		4
		42,694		-		(11,072)		31,622
Less accumulated depreciation		(27,116)		(2,927)		8,936		(21,107)
Total	$	15,578	$	(2,927)	$	(2,136)	$	10,515

The average estimated residual value for assets on operating leases was 21% of the assets’ original cost at both December 31, 2012 and 2011. There were no operating lease contracts placed in non-accrual status at December 31, 2012 and 2011.

Direct financing leases:

As of December 31, 2012 and 2011, investment in direct financing leases primarily consists of materials handling, furniture and fixtures, and research equipment. The following lists the components of the Company’s investment in direct financing leases as of December 31, 2012 and 2011 (in thousands):

		2012		2011
Total minimum lease payments receivable	$	325	$	261
Estimated residual values of leased equipment (unguaranteed)		60		46
Investment in direct financing leases		385		307
Less unearned income		(85)		(70)
Net investment in direct financing leases	$	300	$	237

There were no investment in direct financing lease assets in non-accrual status at December 31, 2012 and 2011.

At December 31, 2012, the aggregate amounts of future minimum lease payments receivable are as follows (in thousands):

		Operating Leases		Direct Financing Leases		Total
Year ending December 31, 2013	$	2,961	$	219	$	3,180
2014		2,073		75		2,148
2015		1,087		31		1,118
2016		415		-		415
2017		415		-		415
Thereafter		79		-		79
	$	7,030	$	325	$	7,355

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Related Party Transactions

12 Months Ended

Dec. 31, 2012

Related Party Transactions [Abstract]

Related Party Transactions

7.  Related party transactions:

The terms of the Operating Agreement provide that AFS and/or affiliates are entitled to receive certain fees for equipment management and resale, and for management of the Company.

The Operating Agreement allows for the reimbursement of costs incurred by AFS in providing administrative services to the Company. Administrative services provided include Company accounting, finance/treasury, investor relations, legal counsel and lease and equipment documentation. AFS is not reimbursed for services whereby it is entitled to receive a separate fee as compensation for such services, such as management of equipment.

Each of ATEL Leasing Corporation (“ALC”) and AFS is a wholly-owned subsidiary of ATEL Capital Group and performs services for the Company. Acquisition services, equipment management, lease administration and asset disposition services are performed by ALC; and investor relations, communications services and general administrative services are performed by AFS.

Cost reimbursements to the Managing Member are based on its costs incurred in performing administrative services for the Company. These costs are allocated to each managed entity based on certain criteria such as total assets, number of investors or contributed capital based upon the type of cost incurred.

The Operating Agreement places an annual limit and a cumulative limit for cost reimbursements to AFS and/or affiliates. Any reimbursable costs incurred by AFS and/or affiliates during the year exceeding the annual and/or cumulative limits cannot be reimbursed in the current year, though such costs may be reimbursable in future years to the extent of the cumulative limit. As of December 31, 2012, the Company has not exceeded the annual and/or cumulative limitations discussed above.

AFS and/or affiliates earned fees, commissions and reimbursements, pursuant to the Operating Agreement as follows during each of the years ended December 31, 2012 and 2011 (in thousands):

		2012		2011
Costs reimbursed to Managing Member and/or affiliates	$	424	$	474
Asset management fees to Managing Member and/or affiliates		321		364
Acquisition and initial direct costs paid to Managing Member		92		100
	$	837	$	938

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Borrowing Facilities

12 Months Ended

Dec. 31, 2012

Borrowing Facilities [Abstract]

Borrowing Facilities

9.  Borrowing facilities:

Effective as of December 31, 2012, the Company’s participation in a revolving credit facility (the “Credit Facility”) with AFS and certain of its affiliates was terminated. The Company had no related balances outstanding at the time.

Prior to December 31, 2012, the Company participated with AFS and certain of its affiliates in the Credit Facilitycomprised of a working capital facility to AFS, an acquisition facility (the “Acquisition Facility”) and a warehouse facility (the “Warehouse Facility”) to AFS, the Company and affiliates, and a venture facility available to an affiliate, with a syndicate of financial institutions as lenders. The Credit Facility was for an amount up to $60 million and included certain financial covenants. The interest rate on the Credit Facility was based on either the LIBOR/Eurocurrency rate of 1-, 2-, 3- or 6-month maturity plus a lender designated spread, or the bank’s Prime rate, which re-priced daily. Principal amounts of loans made under the Credit Facility that were prepaid may be re-borrowed on the terms and subject to the conditions set forth under the Credit Facility.

The Company had no borrowings under the Acquisition Facility during 2012 and 2011. Likewise, there were no borrowings under the Warehouse Facility at December 31, 2012. As of December 31, 2011, borrowings of $5.6 million were outstanding under such facility of which the Company’s maximum obligation approximated $590 thousand. The Company’s maximum obligation at December 31, 2011 represented the Company’s “pro-rata share” of the outstanding warehouse borrowings calculated as a ratio of the net worth of each entity over the aggregate net worth of all entities benefiting from the Warehousing Trust estate.

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Summary Of Significant Accounting Policies (Reconciliation of Net Income Loss Reported in Financial Statements and Federal Tax Return) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Summary Of Significant Accounting Policies [Abstract]
Net income per financial statements	$ 1,638	$ 1,411
Adjustment to depreciation expense	(595)	(549)
Provision for doubtful accounts	(53)	35
Adjustments to revenues	477	95
Adjustments to gain on sales of assets	831	603
Other	416	(51)
Income per Federal tax return (unaudited)	$ 2,714	$ 1,544

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Non-Recourse Debt (Narrative) (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2012
Gross operating lease rentals and future payments on direct financing leases	3.9
Carrying value of pledged assets	6.2
Maximum [Member]
Fixed Interest rate on note	5.95%
Note maturity year	2015
Minimum [Member]
Fixed Interest rate on note	4.33%
Note maturity year	2013

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Summary Of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2012

Summary Of Significant Accounting Policies [Abstract]

Basis of Presentation

Basis of presentation:

The accompanying balance sheets as of December 31, 2012 and 2011, and the related statements of income, changes in members’ capital, and cash flows for the years then ended, have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission. Certain prior year amounts have been reclassified to conform to the current year presentation. These reclassifications had no significant effect on the reported financial position or results of operations.

Footnote and tabular amounts are presented in thousands, except as to Units and per Unit data.

2.  Summary of significant accounting policies (continued):

In preparing the accompanying financial statements, the Company has reviewed, as determined necessary by the Managing Member, events that have occurred after December 31, 2012, up until the issuance of the financial statements. No events were noted which would require disclosure in the footnotes to the financial statements.

Use of Estimates

Use of estimates:

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Such estimates primarily relate to the determination of residual values at the end of the lease term and expected future cash flows used for impairment analysis purposes and for determination of the allowance for doubtful accounts and reserve for credit losses on notes receivable.

Cash and Cash Equivalents

Cash and cash equivalents:

Cash and cash equivalents include cash in banks and cash equivalent investments such as U.S. Treasury instruments with original and/or purchased maturities of ninety days or less.

Accounts Receivable

Accounts receivable:

Accounts receivable represent the amounts billed under operating and direct financing lease contracts, and notes receivable which are currently due to the Company. Allowances for doubtful accounts are established based on historical charge off and collection experience and the collectability of specifically identified lessees and invoiced amounts. Accounts receivable deemed uncollectible are charged off against the allowance on a specific identification basis. Recoveries of amounts that were previously written-off are recorded as other income in the period received.

Credit Risk

Credit risk:

Financial instruments that potentially subject the Company to concentrations of credit risk include cash and cash equivalents, operating and direct financing lease receivables, notes receivable and accounts receivable. The Company places the majority of its cash deposits in noninterest-bearing accounts with financial institutions that have no less than $10 billion in assets. Such deposits are insured up to $250 thousand. The remainder of the Funds’ cash is temporarily invested in U.S. Treasury denominated instruments. The concentration of such deposits and temporary cash investments is not deemed to create a significant risk to the Company. Accounts and notes receivable represent amounts due from lessees or borrowers in various industries, related to equipment on operating and direct financing leases or notes receivable.

Equipment on Operating Leases and Related Revenue Recognition

Equipment on operating leases and related revenue recognition:

Equipment subject to operating leases is stated at cost. Depreciation is being recognized on a straight-line method over the terms of the related leases to the equipment’s estimated residual values. Maintenance costs associated with the Fund’s portfolio of leased assets are expensed as incurred. Major additions and betterments are capitalized.

Operating lease revenue is recognized on a straight-line basis over the term of the underlying leases. The initial lease terms will vary as to the type of equipment subject to the leases, the needs of the lessees and the terms to be negotiated, but initial leases are generally on terms from 36 to 120 months. The difference between rent received and rental revenue recognized is recorded as unearned operating lease income on the balance sheet.

2.  Summary of significant accounting policies (continued):

Operating leases are generally placed in a non-accrual status (i.e., no revenue is recognized) when payments are more than 90 days past due. Additionally, management considers the equipment underlying the lease contracts for impairment and periodically reviews the credit worthiness of all operating lessees with payments outstanding less than 90 days. Based upon management’s judgment, the related operating leases may be placed on non-accrual status. Leases placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid lease payments is probable. Until such time, revenues are recognized on a cash basis.

Direct Financing Leases and Related Revenue Recognition

Direct financing leases and related revenue recognition:

Income from direct financing lease transactions is reported using the financing method of accounting, in which the Company’s investment in the leased property is reported as a receivable from the lessee to be recovered through future rentals. The interest income portion of each rental payment is calculated so as to generate a constant rate of return on the net receivable outstanding.

Allowances for losses on direct financing leases are typically established based on historical charge off and collection experience and the collectability of specifically identified lessees and billed and unbilled receivables. Direct financing leases are charged off to the allowance as they are deemed uncollectible.

Direct financing leases are generally placed in a non-accrual status (i.e., no revenue is recognized) and deemed impaired when payments are more than 90 days past due. Additionally, management periodically reviews the credit worthiness of all direct finance lessees with payments outstanding less than 90 days. Based upon management’s judgment, the related direct financing leases may be placed on non-accrual status. Leases placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid lease payments is probable. Until such time, all payments received are applied only against outstanding principal balances.

Notes Receivable, Unearned Interest Income and Related Revenue Recognition

Notes receivable, unearned interest income and related revenue recognition:

The Company records all future payments of principal and interest on notes as notes receivable, which is then offset by the amount of any related unearned interest income. For financial statement purposes, the Company reports only the net amount of principal due on the balance sheet. The unearned interest is recognized over the term of the note and the income portion of each note payment is calculated so as to generate a constant rate of return on the net balance outstanding. Any fees or costs related to notes receivable are recorded as part of the net investment in notes receivable and amortized over the term of the loan.

Allowances for losses on notes receivable are typically established based on historical charge off and collection experience and the collectability of specifically identified borrowers and billed and unbilled receivables. Notes are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal and/or interest when due according to the contractual terms of the note agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest when due. If it is determined that a loan is impaired with regard to scheduled payments, the Company will perform an analysis of the note to determine if an impairment valuation reserve is necessary. This analysis considers the estimated cash flows from the note, or the collateral value of the property underlying the note when note repayment is collateral dependent. Any required valuation reserve is charged to earnings when determined; and notes are charged off to the allowance as they are deemed uncollectible.

Notes receivable are generally placed in a non-accrual status (i.e., no revenue is recognized) when payments are more than 90 days past due. Additionally, management periodically reviews the creditworthiness of companies with note payments outstanding less than 90 days. Based upon management’s judgment, notes may be placed in a non-accrual status. Notes placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid receivable is probable. Until such time, all payments received are applied only against outstanding principal balances.

Initial Direct Costs

Initial direct costs:

The Company capitalizes initial direct costs (“IDC”) associated with the origination and funding of lease assets and investments in notes receivable. IDC includes both internal costs (e.g., the costs of employees’ activities in connection with successful lease and loan originations) and external broker fees incurred with such originations. The costs are amortized on a lease by lease (or note by note) basis based on actual contract term using a straight-line method for operating leases and the effective interest rate method for direct financing leases and notes receivable. Upon disposal of the underlying lease or loan assets, both the initial direct costs and the associated accumulated amortization are relieved. Costs related to leases or notes receivable that are not consummated are not eligible for capitalization as initial direct costs and are expensed as acquisition expense.

Acquisition Expense

Acquisition expense:

Acquisition expense represents costs which include, but are not limited to, legal fees and expenses, travel and communication expenses, cost of appraisals, accounting fees and expenses and miscellaneous expenses related to the selection and acquisition of equipment which are reimbursable to the Managing Member under the terms of the Operating Agreement. As the costs are not eligible for capitalization as initial direct costs, such amounts are expensed as incurred.

Asset Valuation

Asset valuation:

Recorded values of the Company’s leased asset portfolio are periodically reviewed for impairment. An impairment loss is measured and recognized only if the estimated undiscounted future cash flows of the asset are less than their net book value. The estimated undiscounted future cash flows are the sum of the estimated residual value of the asset at the end of the asset’s expected holding period and estimates of undiscounted future rents. The residual value assumes, among other things, that the asset is utilized normally in an open, unrestricted and stable market. Short-term fluctuations in the market place are disregarded and it is assumed that there is no necessity either to dispose of a significant number of the assets, if held in quantity, simultaneously or to dispose of the asset quickly. Impairment is measured as the difference between the fair value (as determined by a valuation method using discounted estimated future cash flows, third party appraisals or comparable sales of similar assets as applicable based on asset type) of the asset and its carrying value on the measurement date.

Segment Reporting

Segment reporting:

The Company is not organized by multiple operating segments for the purpose of making operating decisions or assessing performance. Accordingly, the Company operates in one reportable operating segment in the United States.

The Company’s principal decision makers are the Managing Member’s Chief Executive Officer and its Chief Financial Officer and Chief Operating Officer. The Company believes that its equipment leasing business operates as one reportable segment because: a) the Company measures profit and loss at the equipment portfolio level as a whole; b) the principal decision makers do not review information based on any operating segment other than the equipment leasing transaction portfolio; c) the Company does not maintain discrete financial information on any specific segment other than its equipment financing operations; d) the Company has not chosen to organize its business around different products and services other than equipment lease financing; and e) the Company has not chosen to organize its business around geographic areas.

The primary geographic regions in which the Company seeks leasing and financing opportunities are North America and Europe.

2.  Summary of significant accounting policies (continued):

The table below summarizes geographic information relating to the sources, by nation, of the Company’s total revenues for the years ended December 31, 2012 and 2011 and long-lived assets as of December 31, 2012 and 2011 (dollars in thousands):

		For the Year Ended December 31,
		2012	% of Total				2011		% of Total
Revenue
United States	$	6,069	94%		$		7,069		93%
United Kingdom		368	6%				558		7%
Total International		368	6%				558		7%
Total	$	6,437	100%		$		7,627		100%
		As of December 31,
		2012		% of Total				2011	% of Total
Long-lived assets
United States	$	11,090		99%		$		15,782	98%
United Kingdom		155		1%				362	2%
Total International		155		1%				362	2%
Total	$	11,245		100%		$		16,144	100%

Investment in Securities

Investment in securities:

From time to time, the Company may purchase securities of its borrowers or receive warrants to purchase securities in connection with its lending arrangements.

Purchased securities

Purchased securities are generally not registered for public sale and are carried at cost. Such securities are adjusted to fair value if the fair value is less than the carrying value and such impairment is deemed by the Managing Member to be other than temporary. Factors considered by the Managing Member in determining fair value include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations and indications of the issuer’s subsequent ability to raise capital. During 2012, the Company recorded fair value adjustments totaling $40thousand to reduce the cost basis of certain investments deemed impaired. Such fair value adjustments totaled $57 thousand during 2011.

Warrants

Warrants owned by the Company are not registered for public sale, but are considered derivatives and are carried at an estimated fair value on the balance sheet at the end of the period, as determined by the Managing Member. At December 31, 2012 and 2011, the Managing Member estimated the fair value of the warrants to be nominal in amount. During 2012, the Company recorded $59 thousand of unrealized gains relative to the conversion of warrants associated with shares of certain venture companies. There were no unrealized gains recorded during 2011.Gains recognized on the net exercise of certain warrants totaled $5 thousand and $52 thousand for the years ended December 31, 2012 and 2011, respectively.

Foreign currency transactions

Foreign currency transactions:

Foreign currency transaction gains and losses are reported in the results of operations as “other income” or “other loss” in the period in which they occur. Currently, the Company does not use derivative instruments to hedge its economic exposure with respect to assets, liabilities and firm commitments as the foreign currency transactions risks to date have not been significant. During 2012, the Company recorded other loss, net totaling $20 thousand relative to net losses from foreign currency transactions. By comparison, the Company did not record other income or loss on a net basis during 2011 as its currency gains of $155 thousand were fully offset by foreign currency losses of the same amount.

Unearned Operating Lease Income

Unearned operating lease income:

The Company records prepayments on operating leases as a liability under the caption of unearned operating lease income. The liability is recorded when prepayments are received and recognized as operating lease revenue over the period to which the prepayments relate using a straight-line method.

Income Taxes

Income taxes:

The Company is treated as a partnership for federal income tax purposes. Pursuant to the provisions of Section 701 of the Internal Review Code, a partnership is not subject to federal income taxes. Accordingly, the Company has provided current income taxes for only those states, which levy income taxes on partnerships. For the years ended December 31, 2012 and 2011, the current provision for state income taxes was approximately $45 thousand and $37 thousand, respectively. The Company does not have any entity level uncertain tax positions. The Company files income tax returns in the U.S. federal jurisdiction and various state jurisdictions and is generally subject to examination by U.S. federal (or state and local) income tax authorities for three years from the filing of a tax return.

The tax bases of the Company’s net assets and liabilities vary from the amounts presented in these financial statements at December 31, 2012 and 2011 as follows (in thousands):

		2012		2011
Financial statement basis of net assets	$	9,013	$	12,585
Tax basis of net assets (unaudited)		9,574		12,069
Difference	$	(561)	$	516

The primary differences between the tax bases of net assets and the amounts recorded in the financial statements are the result of differences in accounting for syndication costs and differences between the depreciation methods used in the financial statements and the Company’s tax returns.

The following reconciles the net income reported in these financial statements to the income reported on the Company’s federal tax returns (unaudited) for the years ended December 31, 2012 and 2011, respectively (in thousands):

		2012		2011
Net income per financial statements	$	1,638	$	1,411
Tax adjustments (unaudited):
Adjustment to depreciation expense		(595)		(549)
Provision for doubtful accounts		(53)		35
Adjustments to revenues		477		95
Adjustments to gain on sales of assets		831		603
Other		416		(51)
Income per federal tax return (unaudited)	$	2,714	$	1,544

Other loss, net

Other loss, net:

During the year ended December 31, 2012, other loss, net totaled $20 thousand and was comprised of net losses on foreign currency transactions. During 2011, foreign currency gains were fully offset by like amounts of foreign currency transaction losses.

Per Unit Data

Per unit data:

Net income and distributions per Unit are based upon the weighted average number of Other Members Units outstanding during the year.

Recent Accounting Pronouncements

Recent accounting pronouncements:

Recentaccounting standards updates as issued by the Financial Accounting Standards Board (FASB) were evaluated and determined to be not applicable to the Company.

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Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2012

Related Party Transactions [Abstract]

Affiliates Earned Commissions And Billed For Reimbursements Pursuant To Operating Agreement

		2012		2011
Costs reimbursed to Managing Member and/or affiliates	$	424	$	474
Asset management fees to Managing Member and/or affiliates		321		364
Acquisition and initial direct costs paid to Managing Member		92		100
	$	837	$	938

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Investments In Equipment And Leases, Net (Future Minimum Lease Payments Receivable) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012
Operating Leases
Year ending December 31, 2013	$ 2,961
2014	2,073
2015	1,087
2016	415
2017	415
Thereafter	79
Operating Leases, Future Minimum Payments Receivable, Total	7,030
Direct Financing Leases
Year ending December 31, 2013	219
2014	75
2015	31
Capital Leases, Future Minimum Payments Receivable, Total	325
Total
Year ending December 31, 2013	3,180
2014	2,148
2015	1,118
2016	415
2017	415
Thereafter	79
Operating and Capital Leases, Future Minimum Payments, Receivable, Total	$ 7,355

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Allowance For Credit Losses (Recorded Investment in Financing Receivables) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Allowances for credit losses:
Ending balance	$ 10	$ 2
Ending balance: individually evaluated for impairment	10	2
Financing receivables:
Ending balance	1,069	1,334
Ending balance: individually evaluated for impairment	1,069	1,334
Notes Receivable [Member]
Allowances for credit losses:
Ending balance	10	2
Ending balance: individually evaluated for impairment	10	2
Financing receivables:
Ending balance	769	1,097
Ending balance: individually evaluated for impairment	769	1,097
Finance Leases [Member]
Financing receivables:
Ending balance	300	237
Ending balance: individually evaluated for impairment	$ 300	$ 237

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Statements Of Changes In Members' Capital (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Beginning Balance	$ 12,585	$ 16,384
Distributions to Other Members ($0.93 per Unit)	(4,819)	(4,819)
Distributions to Managing Member	(391)	(391)
Net loss	1,638	1,411
Ending Balance	9,013	12,585
Other Members [Member]
Beginning Balance (in units)	5,209,307	5,209,307
Beginning Balance	12,585	16,384
Distributions to Other Members ($0.93 per Unit)	(4,819)	(4,819)
Net loss	1,247	1,020
Ending Balance (in units)	5,209,307	5,209,307
Ending Balance	9,013	12,585
Managing Member [Member]
Distributions to Managing Member	(391)	(391)
Net loss	$ 391	$ 391

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Concentration Of Credit Risk And Major Customers

12 Months Ended

Dec. 31, 2012

Concentration Of Credit Risk And Major Customers [Abstract]

Concentration Of Credit Risk And Major Customers

3.  Concentration of credit risk and major customers:

The Company leases equipment to lessees and provides debt financing to borrowers in diversified industries. Leases and notes receivable are subject to AFS’s credit committee review. The leases and notes receivable provide for the return of the equipment to the Company upon default.

As of December 31, 2012 and 2011, there were concentrations (greater than 10% as a percentage of total equipment cost) of equipment leased to lessees and/or financial borrowers in certain industries as follows:

	2012	2011
Manufacturing	36%	44%
Transportation, rail	36%	26%
Transportation services	10%	13%

During 2012 and 2011, certain lessees generated significant portions (defined as 10% or more) of the Company’s total leasing and lending revenues as follows:

		Percentage of Total Leasing and Lending Revenues
Lessee	Type of Equipment	2012	2011
Union Pacific	Transportation	25%	20%
Nomac Drilling, LLC	Mining	11%	*
New NGC, Inc.	Materials handling	*	13%
*  Less than 10%

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Fair Value Measurements (Estimated Fair Values Of Financial Instruments) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Dec. 31, 2011
Financial assets:
Cash and cash equivalents	$ 1,502
Notes receivable, net	759
Investment in securities	219
Financial liabilities:
Non-recourse debt	3,807
Level 1 Estimated Fair Value [Member]
Financial assets:
Cash and cash equivalents	1,502
Level 3 Estimated Fair Value [Member]
Financial assets:
Notes receivable, net	759
Investment in securities	219
Financial liabilities:
Non-recourse debt	3,807
Carrying Amount [Member]
Financial assets:
Cash and cash equivalents	1,502	1,416
Notes receivable, net	759	1,095
Investment in securities	219	200
Financial liabilities:
Non-recourse debt	3,651	5,542
Estimated Fair Value [Member]
Financial assets:
Cash and cash equivalents		1,416
Notes receivable, net		1,095
Investment in securities		200
Financial liabilities:
Non-recourse debt		$ 5,825

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Non-Recourse Debt (Tables)

12 Months Ended

Dec. 31, 2012

Non-Recourse Debt [Abstract]

Future Minimum Payments Of Non-Recourse Debt

		Principal		Interest		Total
Year ending December 31, 2013	$	1,699	$	155	$	1,854
2014		1,313		73		1,386
2015		639		17		656
	$	3,651	$	245	$	3,896

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Notes Receivable, Net (Initial Direct Costs, Amortization Expense Related to Notes Receivable and Company's Operating and Direct Finance Leases) (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Initial Direct Costs Notes Receivable And Lease Assets [Line Items]
Amortization of initial direct costs	$ 23	$ 43
Notes Receivable [Member]
Initial Direct Costs Notes Receivable And Lease Assets [Line Items]
Amortization of initial direct costs		1
Lease Assets [Member]
Initial Direct Costs Notes Receivable And Lease Assets [Line Items]
Amortization of initial direct costs	$ 23	$ 42

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Fair Value Measurements

12 Months Ended

Dec. 31, 2012

Fair Value Measurements [Abstract]

Fair Value Measurements

13. Fair value measurements:

Fair value measurements and disclosures are based on a fair value hierarchy as determined by significant inputs used to measure fair value. The three levels of inputs within the fair value hierarchy are defined as follows:

Level 1 – Quoted prices in active markets for identical assets or liabilities. An active market for the asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis, generally on a national exchange.

Level 2 – Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuations in which all significant inputs are observable in the market.

Level 3 – Valuation is modeled using significant inputs that are unobservable in the market. These unobservable inputs reflect the Company's own estimates of assumptions that market participants would use in pricing the asset or liability.

At December 31, 2012 and 2011, the Company had no assets or liabilities that require measurement at fair value on a recurring basis. During 2012 and 2011, the Company recorded non-recurring adjustments to reflect the fair value of impaired lease and off-lease assets, notes receivable and investment securities. Amounts at December 31, 2012 and 2011 reflect the fair value of the then existing impaired assets.

The Company’s valuation policy is determined by members of the Asset Management, Credit and Accounting departments. Whenever possible, the policy is to obtain quoted market prices in active markets to estimate fair values for recognition and disclosure purposes. Where quoted market prices in active markets are not available, fair values are estimated using discounted cash flow analyses, broker quotes, information from third party remarketing agents, third party appraisals of collateral and/or other valuation techniques. These techniques are significantly affected by certain of the Company’s

13. Fair value measurements (continued):

assumptions, including discount rates and estimates of future cash flows. Potential taxes and other transaction costs are not considered in estimating fair values. As the Company is responsible for determining fair value, an analysis is performed on prices obtained from third parties. Such analysis is performed by asset management and credit department personnel who are familiar with the Company’s investments in equipment, notes receivable and equity securities of venture companies. The analysis may include a periodic review of price fluctuations and validation of numbers obtained from a specific third party by reference to multiple representative sources.

Such fair value adjustments utilized the following methodology:

Impaired operating lease and off-lease equipment

During 2012, the Company deemed certain lease equipment (assets) to be impaired and recorded fair value adjustments of $429 thousand to reduce the cost basis of the equipment. The adjustments were non-recurring. Under the Fair Value Measurements Topic of the FASB Accounting Standards Codification, the fair value of the impaired lease assets were classified within Level 3 of the valuation hierarchy as the data sources utilized for the valuation of such assets reflect significant inputs that are unobservable in the market. Such valuation utilizes a market approach technique and uses inputs that reflect the sales price of similar assets sold by affiliates and/or information from third party remarketing agents not readily available in the market. During 2011, non-recurring fair value adjustments relative to impaired off-lease assets totaled $37 thousand. The fair values of the impaired equipment were classified within Level 3 of the valuation hierarchy.

Impaired notes receivable

The fair value of the Company’s notes receivable is estimated using either third party appraisals of collateral or discounted cash flow analyses based upon current market rates for similar types of lending arrangements, with adjustments for impaired loans as deemed necessary. During 2012, the Company recorded $8 thousand of adjustments to reflect the fair value of an impaired note. Such adjustments totaled $2 thousand during 2011. The adjustments were based upon an independent appraisal of the underlying collateral. Under the Fair Value Measurements Topic of the FASB Accounting Standards Codification, the fair value of the impaired notes receivable was classified within Level 3 of the valuation hierarchy. Such valuation utilized a market approach technique and used inputs from third party appraisers that utilize current market transactions as adjusted for certain factors specific to the underlying collateral.

Impaired investment securities

The Company’s investment securities are not registered for public sale and are carried at cost. The investment securities are adjusted for impairment, if any, based upon factors which include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations and indications of the issuer’s subsequent ability to raise capital. During 2012, the Company recorded $40 thousand of non-recurring fair value adjustment which reduced the cost basis of two investment securities. Of the total adjustment, $32 thousand was based on an approximate 66% reduction in the valuation of one of the securities. Such reduction considered the investee’s current liquidity, rate of cash burn and potential for additional capital infusion. The remaining $8 thousand represents an additional adjustment to an investment which was originally deemed impaired in March 2011.

During 2011, the Company had recorded fair value adjustments of $2 thousand and $55 thousand which reduced the cost basis of investments deemed impaired at June 30, 2011 and March 31, 2011, respectively. The non-recurring fair value adjustment at June 30, 2011 reflects an approximate 25% reduction in valuation based on the expected value of shares of the venture company as contemplated in its merger agreement terms. Subsequent to the merger, no additional impairment has been defined. The non-recurring fair value adjustment at March 31, 2011 was based on an approximate 87% reduction in valuation as determined by the investee’s current liquidity, rate of cash burn and potential for additional capital infusion. 

13. Fair value measurements (continued):

The following tables present the fair value measurements of impaired assets measured at fair value on a non-recurring basis during 2012 and 2011, and the level within the hierarchy in which the fair value measurements fall at December 31, 2012 and 2011 (in thousands):

		December 31, 2012		Level 1 Estimated Fair Value		Level 2 Estimated Fair Value		Level 3 Estimated Fair Value
Assets measured at fair value on a non-recurring basis
Impaired lease and off-lease equipment	$	405	$	-	$	-	$	405
Impaired investment securities		24		-		-		24
		December 31, 2011		Level 1 Estimated Fair Value		Level 2 Estimated Fair Value		Level 3 Estimated Fair Value
Assets measured at fair value on a non-recurring basis
Impaired notes receivable, net	$	18	$	-	$	-	$	18
Impaired investment securities		15		-		-		15

The following disclosure of the estimated fair value of financial instruments is made in accordance with the guidance provided by the Financial Instruments Topic of the FASB Accounting Standards Codification. Fair value estimates, methods and assumptions, set forth below for the Company’s financial instruments, are made solely to comply with the requirements of the Financial Instruments Topic and should be read in conjunction with the Company’s financial statements and related notes.

The Company has determined the estimated fair value amounts by using market information and valuation methodologies that it considers appropriate and consistent with the fair value accounting guidance. Considerable judgment is required to interpret market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

Cash and cash equivalents

The recorded amounts of the Company’s cash and cash equivalents approximate fair value because of the liquidity and short-term maturity of these instruments.

Notes receivable

The fair value of the Company’s notes receivable is estimated using discounted cash flow analyses, based upon current market rates for similar types of lending arrangements, with adjustments for non-accrual loans as deemed necessary.

Investment in securities

The Company’s investment securities are not registered for public sale and are carried at cost which management believes approximates fair value, as appropriately adjusted for impairment.

Non-recourse debt

The fair value of the Company’s non-recourse debt is estimated using discounted cash flow analyses, based upon the current market borrowing rates for similar types of borrowing arrangements.

13. Fair value measurements (continued):

Commitments and Contingencies

Management has determined that no recognition for the fair value of the Company’s loan commitments is necessary because their terms are made on a market rate basis and require borrowers to be in compliance with the Company’s credit requirements at the time of funding.

The fair value of contingent liabilities (or guarantees) is not considered material because management believes there has been no event that has occurred wherein a guarantee liability has been incurred or will likely be incurred.

The following table presents estimated fair values of the Company’s financial instruments at December 31, 2012 and 2011 (in thousands):

		Fair Value Measurements at December 31, 2012
		Carrying Value		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	1,502	$	1,502	$	-	$	-	$	1,502
Notes receivable, net		759		-		-		759		759
Investment in securities		219		-		-		219		219
Financial liabilities:
Non-recourse debt		3,651		-		-		3,807		3,807

		December 31, 2011
		Carrying Amount		Estimated Fair Value
Financial assets:
Cash and cash equivalents	$	1,416	$	1,416
Notes receivable, net		1,095		1,095
Investment in securities		200		200
Financial liabilities:
Non-recourse debt		5,542		5,825