Contents of the Financial Statements

for the Period Ended 31 December 2019

Directors' report period ended 31 December 2019

The directors present their report with the financial statements of the company for the period ended 31 December 2019

Directors

The directors shown below have held office during the whole of the period from
1 January 2019 to 31 December 2019

The director shown below has held office during the period of
1 January 2019 to 18 September 2019

The director shown below has held office during the period of
18 September 2019 to 31 December 2019

The above report has been prepared in accordance with the special provisions in part 15 of the Companies Act 2006

This report was approved by the board of directors on
29 October 2020

And signed on behalf of the board by:
Name: Mr. Daniel Roberts
Status: Secretary

Profit And Loss Account

for the Period Ended 31 December 2019

Balance sheet

As at 31 December 2019

The notes form part of these financial statements

Balance sheet statements

For the year ending 31 December 2019 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The notes form part of these financial statements

Notes to the Financial Statements

for the Period Ended 31 December 2019

• 1. Accounting policies

  Basis of measurement and preparation

  These financial statements have been prepared in accordance with the provisions of Financial Reporting Standard 101

  Turnover policy

  The Company, as a lessor, leases aircraft under operating leases and records rental income ona straight line basis over the life of the lease as it is earned. The Company accounts for leaserental income under lease agreements on a straight line basis over the lease term. The Companyaccounts for contingent rental income under lease agreements as it is earned. For past-duerentals on all leases, an impairment provision may be established on the basis of management’sassessment of collectability and to the extent such past due rentals exceed related securitydeposits held. Impairment charges are expensed and presented in the statement ofcomprehensive income.In certain contracts, the lessee is required to re-deliver the aircraft in a similar maintenancecondition (normal wear and tear excepted) as when accepted under the lease. To the extent thatmajor life components are re-delivered in a different condition than at acceptance, there isnormally an end-of-lease compensation adjustment for the difference at re-delivery. Amountsreceived as part of these re-delivery adjustments are recorded as lease rental income at leasetermination.

  Other accounting policies

  AuditAn unqualified independent auditor's report was provided to the members of Lobo Leasing UK Limited.The audit report was signed by Brian O'Callaghan FCA (Senior Statutory Auditor) for and on behalf of Deloitte Ireland LLPBasis of preparationThe financial statements have been prepared in accordance with IFRS as adopted by the EU. They have been prepared on a going concern basis under the historical cost convention and maybe modified by the valuation of certain financial assets and liabilities at fair value through the statement of comprehensive income.Functional and presentation currencyThe financial statements of the Company are presented in USD, which is the functional currency of the Company. All financial information presented in USD has been rounded to the nearestthousand. The directors of the Company believe that USD most faithfully represents the economic effects of the underlying transactions, events and conditions.Estimates and judgementsThe preparation of the financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that affect the application of policies andreported amounts of assets and liabilities, income and expenses.The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if therevision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. Information about significant areas of estimation uncertainty and critical judgements in applyingaccounting policies that have the most significant effect on the amount recognised in the financial statements are described in the following notes:TaxationThe taxation charge recognises amounts due to tax authorities in the various jurisdictions in which the Company operates. It includes estimates based on a judgement regarding theapplication of tax law and practice and the availability of future profits in order to determine the quantification of current liabilities. In arriving at such estimates, management assesses therelative merits and risks of tax treatments assumed, taking into account statutory, judicial and regulatory guidance and, where appropriate, external advice.Foreign currency transactionsTransactions in foreign currencies are translated to USD at exchange rates at the dates of the transactions. Assets and liabilities denominated in foreign currencies are translated into USD at the exchange rate ruling at the reporting date, with differences arising recognised as profit orloss in the statement of comprehensive income.Financial instrumentsA financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability of another entity. Financial instruments may be further analysed between currentand non-current depending on whether these will fall due within 12 months after the balance sheet date or beyond.Financial assets: This classification depends on the business model and the contractual terms of the cash flows. Financial assets that are held to collect contractual cash flows where thosecash flows represent solely payments of principal or interest are measured at amortised cost.Financial assets measured at amortised cost are principally trade receivables. At initial recognition the Company measures the financial assets at fair value plus (except for those at fairvalue through profit or loss) transaction costs. On initial recognition the Company classifies its financial assets in the following measurement categories:-Those to be measured subsequently at fair value (either through other comprehensive income or through profit or loss)- Those to be measured subsequently at amortised costThe Company’s financial assets comprise trade and other receivables, cash and cashequivalents and loans receivable and derivative instruments. The Company derecognises a financial asset when the contractual rights to the cash flows from the financial asset expire or ittransfers the rights to receive the contractual cash flows in a transaction in which substantially all of the risks and rewards of ownership of the financial asset are transferred or in which theCompany neither transfers nor retains substantially all of the risks and rewards of ownership and it does not retain control of the financial asset. On derecognition of a financial asset, thedifference between the carrying amount of the asset and the sum of (i) the consideration received(including any new asset obtained less any new liability assumed) and (ii) any cumulative gainor loss that had been recognised in other comprehensive income is recognised in profit or loss.Relevant costs incurred with the disposal of a financial asset are deducted in computing the gain or loss on disposal.Financial liabilities: These are initially recognised at the fair value of the considerations received less directly attributable transaction costs. Subsequent to initial recognition, financial liabilities are recognised at amortised cost. The difference between the recognition value and the redemption value is recognised in the income statement over the contractual terms using the effective interest rate method. This category includes trade and other payables and borrowings.Financial liabilities are derecognised in full when the Company is discharged from its obligation, they expire, or they are replaced by a new liability with substantially modified terms.Effective interest method: The Company uses the effective interest method of calculating theamortised cost of a debt instrument and of allocating interest income and expense over therelevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts or payments (including all fees and points paid or received that form an integral part ofthe effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial asset or liability, or, where appropriate, a shorter period, to thegross carrying amount of a financial asset or the amortised cost of a financial liability.Impairment of financial assets: The Company recognises a loss allowance for expected credit losses on debt instruments, trade receivables and other financial assets. The amount of ECL isupdated at each reporting date to reflect changes in credit risk since initial recognition of the respective financial instrument. IFRS 9 allows entities to apply a ‘simplified approach’ for tradereceivables, contract assets and lease receivables. The simplified approach must be used for trade receivables with no significant financing approach and the Company has chosen to applythis to all trade receivables as only some minor receivables have a financing component. The simplified approach allows the recognition of lifetime ECL on all these assets without the needto identify significant increases in credit risk. Lifetime ECL represents the ECL that will result from all possible default events over the expected life of a financial instrument.Lease expenseThe Company, as a lessee, leases aircraft under operating leases and records rental expense on a straight line basis over the life of the lease as it is incurred. The Company accounts forlease rental expense under lease agreements on a straight line basis over the lease term.Income taxIncome tax expense comprises of current and deferred tax. Income tax expense is recognised in profit or loss except to the extent that it relates to items recognised in other comprehensiveincome or directly in equity, in which case the related tax is also recognised in other comprehensive income or equity respectively.

Notes to the Financial Statements

for the Period Ended 31 December 2019

• 2. Employees

  	2019	2018
  Average number of employees during the period	2	3