UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                               ------------------

                                    FORM 10-Q

                               ------------------




            X  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
           ---           SECURITIES EXCHANGE ACT OF 1934

                For the quarterly period ended September 30, 1999

                                       OR

              TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
          ---            SECURITIES EXCHANGE ACT OF 1934

                     For the transition period from ___ to ___


                                -----------------

                           Commission File No. 2-91762

                                -----------------




                         POLARIS AIRCRAFT INCOME FUND I

                        State of Organization: California
                   IRS Employer Identification No. 94-2938977
                201 High Ridge Road, Stamford, Connecticut 06927
                           Telephone - (203) 357-3776



Indicate  by check  mark  whether  the  registrant:  (1) has filed  all  reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934 during the  preceding  12 months,  and (2) has been  subject to such filing
requirements for the past 90 days.



                              Yes  X          No
                                  ---            ---





                       This document consists of 13 pages.

<PAGE>


                         POLARIS AIRCRAFT INCOME FUND I

          FORM 10-Q - For the Quarterly Period Ended September 30, 1999




                                      INDEX



Part I.       Financial Information                                         Page

         Item 1.      Financial Statements

              a)  Balance Sheets - September 30, 1999 and
                  December 31, 1998...........................................3

              b)  Statements of Operations - Three and Nine Months
                  Ended September 30, 1999 and 1998...........................4

              c)  Statements of Changes in Partners' Capital -
                  Year Ended December 31, 1998
                  and Nine Months Ended September 30, 1999....................5

              d)  Statements of Cash Flows - Nine Months
                  Ended September 30, 1999 and 1998...........................6

              e)  Notes to Financial Statements...............................7

         Item 2.      Management's Discussion and Analysis of
                      Financial Condition and Results of Operations...........9



Part II.      Other Information

         Item 1.      Legal Proceedings......................................12

         Item 6.      Exhibits and Reports on Form 8-K.......................12

         Signature    .......................................................13


                                       2
<PAGE>



                          Part 1. Financial Information
                          -----------------------------

Item 1.       Financial Statements

                         POLARIS AIRCRAFT INCOME FUND I

                                 BALANCE SHEETS
                                   (Unaudited)

                                                      September 30, December 31,
                                                          1999          1998
                                                          ----          ----
ASSETS:

CASH AND CASH EQUIVALENTS                               $3,910,171  $6,418,582

RENT AND OTHER RECEIVABLES, net of
   allowance for credit losses of  $30,365 in 1999
   and 1998                                                196,858      58,154

AIRCRAFT ENGINES, net of accumulated depreciation
    of $86,250 in 1999 and $75,000 in 1998                 873,750     885,000
                                                        ----------  ----------

                                                        $4,980,779  $7,361,736
                                                        ==========  ==========


LIABILITIES AND PARTNERS' CAPITAL :

PAYABLE TO AFFILIATES                                   $   10,121  $   10,538

ACCOUNTS PAYABLE AND ACCRUED
   LIABILITIES                                             355,161     371,742

LESSEE SECURITY DEPOSITS                                    45,000      45,000

DEFERRED INCOME                                             60,000        --

MAINTENANCE RESERVES                                     1,656,836   1,814,393
                                                        ----------  ----------

        Total Liabilities                                2,127,118   2,241,673
                                                        ----------  ----------

PARTNERS' CAPITAL :
   General Partner                                         221,883     493,422
   Limited Partners, 168,729 units
      issued and outstanding                             2,631,778   4,626,641
                                                        ----------  ----------

        Total Partners' Capital                          2,853,661   5,120,063
                                                        ----------  ----------

                                                        $4,980,779  $7,361,736
                                                        ==========  ==========

        The accompanying notes are an integral part of these statements.


                                       3
<PAGE>

                         POLARIS AIRCRAFT INCOME FUND I

                            STATEMENTS OF OPERATIONS
                                   (Unaudited)


                                       Three Months Ended   Nine Months Ended
                                          September 30,       September 30,
                                          -------------       -------------
                                         1999      1998      1999      1998
                                         ----      ----      ----      ----
REVENUES:
   Rent from operating leases          $ 90,000  $ 90,000  $270,000  $270,000
   Gain on sale of aircraft inventory      --      98,145   196,858   162,454
   Interest and other                    47,935    78,682   144,145   455,191
                                       --------  --------  --------  --------

           Total Revenues               137,935   266,827   611,003   887,645
                                       --------  --------  --------  --------

EXPENSES:
   Depreciation                           3,750     3,750    11,250    11,250
   Management fees to general
     partner                              4,500     4,500    13,500    13,500
   Operating                               --        --        --       3,514
   Administration and other              26,989    26,833    87,374   114,999
                                       --------  --------  --------  --------

           Total Expenses                35,239    35,083   112,124   143,263
                                       --------  --------  --------  --------

NET INCOME                             $102,696  $231,744  $498,879  $744,382
                                       ========  ========  ========  ========

NET INCOME ALLOCATED
   TO THE GENERAL PARTNER              $  1,027  $  2,318  $  4,989  $  7,444
                                       ========  ========  ========  ========

NET INCOME ALLOCATED
   TO LIMITED PARTNERS                 $101,669  $229,426  $493,890  $736,938
                                       ========  ========  ========  ========

NET INCOME PER LIMITED
   PARTNERSHIP UNIT                    $   0.60  $   1.36  $   2.93  $   4.37
                                       ========  ========  ========  ========

        The accompanying notes are an integral part of these statements.

                                       4
<PAGE>

                         POLARIS AIRCRAFT INCOME FUND I

                   STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
                                   (Unaudited)


                                            Year Ended December 31, 1998 and
                                          Nine Months Ended September 30, 1999
                                          ------------------------------------
                                          General       Limited
                                          Partner       Partners        Total
                                          -------       --------        -----

Balance, December 31, 1997              $   392,302   $ 4,923,414   $ 5,315,716

   Net income                               251,101     1,053,059     1,304,160

   Cash distributions to partners          (149,981)   (1,349,832)   (1,499,813)
                                        -----------   -----------   -----------

Balance, December 31, 1998                  493,422     4,626,641     5,120,063

   Net income                                 4,989       493,890       498,879

   Cash distributions to partners          (276,528)   (2,488,753)   (2,765,281)
                                        -----------   -----------   -----------

Balance, September 30, 1999             $   221,883   $ 2,631,778   $ 2,853,661
                                        ===========   ===========   ===========

        The accompanying notes are an integral part of these statements.

                                       5
<PAGE>

                         POLARIS AIRCRAFT INCOME FUND I

                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)


                                                 Nine Months Ended September 30,
                                                 -------------------------------
                                                        1999          1998
                                                        ----          ----
OPERATING ACTIVITIES:
   Net income                                       $   498,879   $   744,382
   Adjustments to reconcile net income to
      net cash provided by operating activities:
      Depreciation                                       11,250        11,250
      Gain on sale of aircraft inventory               (196,858)     (162,454)
      Changes in operating assets and liabilities:
        (Decrease) increase in rent and other
          receivables                                    58,154        (1,224)
        Decrease in payable to affiliates                  (417)      (12,221)
        Increase in deferred income                      60,000          --
        Decrease in accounts payable and
           accrued liabilities                          (16,581)       (9,148)
        (Decrease) increase in maintenance
          reserves                                     (157,557)      260,335
        Decrease in security deposits                      --         (50,000)
                                                    -----------   -----------

           Net cash provided by operating
             activities                                 256,870       780,920
                                                    -----------   -----------

INVESTING ACTIVITIES:
   Net proceeds from sale of aircraft inventory            --         162,454
                                                    -----------   -----------

           Net cash provided by investing
             activities                                    --         162,454
                                                    -----------   -----------

FINANCING ACTIVITIES:
   Cash distributions to partners                    (2,765,281)   (1,499,813)
                                                    -----------   -----------

           Net cash used in financing
             activities                              (2,765,281)   (1,499,813)
                                                    -----------   -----------

CHANGES IN CASH AND CASH
   EQUIVALENTS                                       (2,508,411)     (556,439)

CASH AND CASH EQUIVALENTS AT
   BEGINNING OF PERIOD                                6,418,582     6,466,511
                                                    -----------   -----------

CASH AND CASH EQUIVALENTS AT
   END OF PERIOD                                    $ 3,910,171   $ 5,910,072
                                                    ===========   ===========

        The accompanying notes are an integral part of these statements.

                                       6
<PAGE>

                         POLARIS AIRCRAFT INCOME FUND I

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)


1.    Accounting Principles and Policies

In the opinion of management,  the financial statements presented herein include
all  adjustments,  consisting  only of  normal  recurring  items,  necessary  to
summarize fairly Polaris Aircraft Income Fund I's (the Partnership's)  financial
position and results of operations.  The financial statements have been prepared
in accordance with the  instructions  of the Quarterly  Report to the Securities
and  Exchange  Commission  (SEC)  Form  10-Q  and  do  not  include  all  of the
information  and note  disclosures  required by  generally  accepted  accounting
principles  (GAAP).  These  statements  should be read in  conjunction  with the
financial  statements  and notes thereto for the years ended  December 31, 1998,
1997,  and 1996 included in the  Partnership's  1998 Annual Report to the SEC on
Form 10-K.


2.    Related Parties

Under the Limited Partnership  Agreement,  the Partnership paid or agreed to pay
the following  amounts for the current quarter to the general  partner,  Polaris
Investment  Management  Corporation,  in connection  with  services  rendered or
payments made on behalf of the Partnership:

                                             Payments for
                                          Three Months Ended      Payable at
                                          September 30, 1999  September 30, 1999
                                          ------------------  ------------------

Aircraft Management Fees                        $ 6,000             $ 3,018

Out-of-Pocket Administrative Expense
    Reimbursement                                57,869               7,103
                                                -------             -------

                                                $63,869             $10,121
                                                =======             =======


3.       Partners' Capital

The Partnership  Agreement (the Agreement) stipulates different methods by which
revenue,  income  and  loss  from  operations  and  gain or loss on the  sale of
aircraft are to be allocated  to the general  partner and the limited  partners.
Such  allocations are made using income or loss  calculated  under GAAP for book
purposes, which varies from income or loss calculated for tax purposes.

Cash  available  for  distributions,  including  the  proceeds  from the sale of
aircraft,  is  distributed  10% to the  general  partner  and 90% to the limited
partners.

The different methods of allocating items of income, loss and cash available for
distribution  combined with the calculation of items of income and loss for book
and  tax  purposes  result  in  book  basis  capital   accounts  that  may  vary
significantly  from tax basis capital  accounts.  The ultimate  liquidation  and
distribution  of remaining cash will be based on the tax basis capital  accounts
following liquidation, in accordance with the Agreement.

                                       7
<PAGE>

4.       Sale of Aircraft Inventory to Soundair, Inc.

The Partnership  recognized  income of $196,858 during the first quarter of 1999
from the sale of aircraft inventory to Soundair, Inc.


                                       8
<PAGE>

Item 2.  Management's Discussion and Analysis of Financial Condition and Results
         of Operations

At September 30, 1999,  Polaris Aircraft Income Fund I (the  Partnership)  owned
three JT8D-9A engines and certain inventoried aircraft parts, which includes one
engine,  out of its original  portfolio of eleven  aircraft.  The three  JT8D-9A
engines  are  leased  to Royal  Aviation  Inc.  and  Royal  Cargo,  Inc.  (Royal
Aviation).


Partnership Operations

The  Partnership  recorded  net  income  of  $102,696,   or  $0.60  per  limited
partnership  unit for the three months ended  September 30, 1999 compared to net
income of $231,744,  or $1.36 per limited partnership unit, for the three months
ended  September  30, 1998.  The decline in operating  results  during the three
months ended  September  30, 1999,  as compared to the same period in 1998,  was
primarily  the result of the sale of the remaining  inventory of aircraft  parts
from the  dissembled  aircraft to Soundair in 1998.  There were no such sales in
the three months ended September 30, 1999. The  Partnership  recorded net income
of  $498,879,  or $2.93 per limited  partnership  unit for the nine months ended
September  30, 1999,  compared to net income of  $744,382,  or $4.37 per limited
partnership  unit, for the nine months ended September 30, 1998. The decrease in
operating  results during the nine months ended  September 30, 1999, as compared
to the same periods in 1998, is primarily  the result of income from  bankruptcy
settlements  in  the  1998  periods,  related  to  Braniff  and  Jetfleet.  Also
contributing  to the  decrease in  operating  results  during the three and nine
months ended  September  30, 1999 was a decrease in interest  revenue  partially
offset by a decrease in certain administrative expenses.

Interest income  decreased  during the three and nine months ended September 30,
1999, as compared to the same period in 1998, primarily due to a decrease in the
cash reserves due to distributions over the same period.

Administration  and  other  expenses  decreased  during  the nine  months  ended
September  30, 1999,  as compared to the same period in 1998,  primarily  due to
decreases in consulting fees and printing and postage costs.

There  were no  operating  expenses  during  the  three  and nine  months  ended
September  30, 1999,  as compared to the same  periods in 1998.  During the nine
months ended  September 30, 1998, the Partnership  recognized  legal expenses of
$3,514 related to the Braniff bankruptcy.


Liquidity and Cash Distributions

Liquidity - The Partnership  receives  maintenance  reserve  payments from Royal
Aviation that may be reimbursed to the lessee or applied  against  certain costs
incurred by the Partnership for maintenance work performed on the  Partnership's
aircraft or engines,  as specified in the leases.  Maintenance  reserve balances
remaining  at  the  termination  of the  lease,  if  any,  may  be  used  by the
Partnership to offset future maintenance  expenses or recognized as revenue. The
net maintenance reserves balances aggregate $1,656,836 as of September 30, 1999.
One engine  underwent a maintenance  event which resulted in a reimbursement  to
the lessee of  $414,844  during the second  quarter of 1999,  and an  additional
$26,577 during the third quarter of 1999.

Polaris Investment Management  Corporation,  the general partner, has determined
that cash  reserves  be  maintained  as a  prudent  measure  to insure  that the
Partnership has available funds in the event that the engines presently on lease
to Royal Aviation require remarketing,  and for other  contingencies,  including

                                       9
<PAGE>

expenses of the Partnership.  The Partnership's  cash reserves will be monitored
and may be revised from time to time as further information becomes available in
the future.

Cash  Distributions  - Cash  distributions  to limited  partners during the nine
months  ended  September  30,  1999  were  $2,488,753,  or  $14.75  per  limited
partnership unit, compared to $1,349,832,  or $8.00 per limited partnership unit
for the nine months ended  September  30, 1998.  The timing and amount of future
cash  distributions  to  partners  are not yet  known and will  depend  upon the
Partnership's future cash requirements, including the receipt of rental payments
from Royal Aviation.


Impact of the Year 2000 Issue

The inability of business  processes to continue to function correctly after the
beginning of the Year 2000 could have serious  adverse  effects on companies and
entities throughout the world. As discussed in prior filings with the Securities
and Exchange  Commission,  the General  Partner has engaged GE Capital  Aviation
Services,   Inc.  ("GECAS")  to  provide  certain  management  services  to  the
Partnership.  Both the General Partner and GECAS are  wholly-owned  subsidiaries
(either direct or indirect) of General  Electric Capital  Corporation  ("GECC").
All of the Partnership's operational functions are handled either by the General
Partner  and  GECAS  or  by  third   parties  (as  discussed  in  the  following
paragraphs), and the Partnership has no information systems of its own.

As discussed in the Partnership's Annual Report on Form 10-K, GECC and GECAS are
applying a Six Sigma quality  approach to identify and mitigate Year 2000 issues
in their information systems, products and services, facilities and suppliers as
well as to  assess  the  extent to which  Year 2000  issues  will  affect  their
customers.  Each business has a Year 2000 leader who oversees a multi-functional
remediation  project team responsible for remediation and contingency  planning,
applying a Six Sigma  quality  approach in four phases:  (1)  define/measure  --
identify and  inventory  possible  sources of Year 2000  issues;  (2) analyze --
determine the nature and extent of Year 2000 issues and develop project plans to
address  those  issues;  (3)  improve --  execute  project  plans and  perform a
majority  of  the  testing;  and  (4)  control  --  complete  testing,  continue
monitoring readiness and complete necessary  contingency plans. As of the end of
June 1999, virtually all significant information systems, products and services,
facilities  and  suppliers  were in the  control  phase.  As a final step in the
control  phase,  GECC  has  developed,  tested  and  is  prepared  to  implement
contingency plans to minimize disruption of critical business processes.

As noted elsewhere,  the Partnership has sold all of its aircraft-related assets
other than three aircraft engines on lease and the spare parts inventory,  which
includes  one  engine.  Three of the  remaining  engines are on lease with Royal
Aviation,  Inc. and Royal Cargo,  Inc.,  and under the terms of the leases,  the
lessees have the  obligation to repair and maintain the engines.  Royal Aviation
has advised  GECAS that it has adopted  procedures  to identify and address Year
2000 issues and that it has  developed a plan to fix any  problems by the end of
this year.  To the extent,  however,  that Royal  Aviation  suffers any material
disruption of its business and  operations due to Year 2000 failure of equipment
or information  systems,  such disruption  would likely have a material  adverse
effect on the Partnership's operations and financial condition.

Aside  from  maintenance  and  other  matters  relating  to  the   Partnership's
aircraft-related  assets discussed above, the principal  third-party  vendors to
the  Partnership  are those  providing  the  Partnership  with  services such as
accounting,  auditing, banking and investor services. GECAS has applied the same
standards  in  determining  the  Year  2000  capabilities  of the  Partnership's
third-party  vendors,  as GECAS has applied with respect to its outside  vendors
pursuant to its internal Year 2000 program.

The  scope  of the  global  Year  2000  effort  encompasses  many  thousands  of
applications  and computer  programs,  products  and  services,  facilities  and
facilities-related equipment suppliers, and customers. The Partnership, like all
business   operations,   is  also  dependent  on  the  Year  2000  readiness  of

                                       10
<PAGE>

infrastructure   suppliers   in   areas   such   as   utility,   communications,
transportation  and other services.  In this  environment,  there will likely be
instances of failure that could cause disruptions in business  processes or that
could affect  customers'  ability to repay  amounts owed to the  Partnership  or
vendors' ability to provide services  without  interruption.  The likelihood and
effects of failures in infrastructure systems, over which the Partnership has no
control,  cannot  be  estimated.  However,  aside  from the  impact  of any such
possible  failures or the possibility of a disruption of Royal's business caused
by Year 2000 failures,  the General Partner does not believe that occurrences of
Year  2000  failures  will  have a  material  adverse  effect  on the  financial
position, results of operations or liquidity of the Partnership.

To date, the Partnership has not incurred any Year 2000 expenditures nor does it
expect  to incur any  material  costs in the  future.  However,  the  activities
involved in the Year 2000 effort  necessarily  involve estimates and projections
of activities and resources that will be required in the future. These estimates
and projections could change as work progresses.



                                       11
<PAGE>

                           Part II. Other Information
                           --------------------------

Item 1.  Legal Proceedings

As  discussed  in Item 3 of Part I of  Polaris  Aircraft  Income  Fund  I's (the
Partnership) 1998 Annual Report to the Securities and Exchange  Commission (SEC)
on Form 10-K (Form 10-K) and in Item 1 of Part II of the Partnership's Quarterly
Reports to the SEC on Form 10-Q (Form 10-Q) for the periods ended March 31, 1999
and June  30,1999,  there are  several  pending  legal  actions  or  proceedings
involving  the  Partnership.  Except  as  described  below,  there  have been no
material developments with respect to any such actions or proceedings during the
period covered by this report.

Kepford,  et al. v.  Prudential  Securities,  et al. - On September 6, 1999, the
Court entered an order  granting a stay of this action pending the submission of
the remaining plaintiffs' claims to arbitration.

Other Proceedings - Item 10 in Part III of the Partnership's  1998 Form 10-K and
Item 1 in Part II of the Partnership's Form 10-Q for the periods ended March 31,
1999 and June 30, 1999 discuss  certain  actions  which have been filed  against
Polaris Investment Management Corporation and others in connection with the sale
of interests in the  Partnership  and the  management  of the  Partnership.  The
Partnership  is not a party  to  these  actions.  There  have  been no  material
developments  with respect to any of the actions  described  therein  during the
period covered by this report.


Item 6.  Exhibits and Reports on Form 8-K

a)    Exhibits (numbered in accordance with Item 601 of Regulation S-K)

           27. Financial Data Schedule (in electronic format only).

b)    Reports on Form 8-K

      No reports on Form 8-K were filed by the Registrant during the quarter for
      which this report is filed.


                                       12
<PAGE>
                                    SIGNATURE



Pursuant to the  requirements of section 13 or 15(d) of the Securities  Exchange
Act of 1934,  the  Registrant  has duly  caused  this report to be signed on its
behalf by the undersigned thereunto duly authorized.

                                          POLARIS AIRCRAFT INCOME FUND I
                                          (Registrant)
                                          By:   Polaris Investment
                                                Management Corporation,
                                                General Partner




          November 12, 1999                   By: /S/Marc A. Meiches
----------------------------------            ---------------------------------
                                              Marc A. Meiches
                                              Chief Financial Officer
                                              (principal financial officer and
                                              principal accounting officer of
                                              Polaris Investment Management
                                              Corporation, General Partner of
                                              the Registrant)


                                       13