Exhibit 99.1

Analysis of Activity in the Collection Account during the Quarter

Aircraft  Finance makes monthly payments on the Notes on the 15th of each month,
or the next business day if the 15th is not a business day (the "Payment Date").
The amount of cash available for payment is determined on the Calculation  Date,
which is defined as being four business days prior to the Payment Date.  For the
purposes  of  this  report,   the  unaudited  "Three  Month  Period"   comprises
information from the three Monthly Reports to Noteholders  through June 17, 2002
and the unaudited  "Cumulative to Date",  comprises  information from all of the
Monthly Reports to Noteholders since the Closing Date, May 5, 1999, through June
17, 2002.  This data has been prepared by management  and was not subject to any
review or examination by the external auditors.

The April 21, 1999 Offering  Memorandum  (the  "Offering  Memorandum")  contains
assumptions in respect of Aircraft Finance's future cash flows and expenses (the
"Assumed  Case").  The following  reports contain an analysis of the actual cash
flows versus the Assumed Case for the Three Month Period and Cumulative to Date.


<PAGE>


Exhibit 99.1

<TABLE>
                                                        Aircraft Finance Trust
                                                   Asset Backed Notes, Series 1999-1
                                                 Actual Cash Flows versus Assumed Case
                                         Three Month Period - March 16, 2002 to June 17, 2002
                                                              (unaudited)

<CAPTION>
                                 Three Month Period ended June 17, 2002                  As % of Assumed Gross Lease Revenue
                                    Actual        Assumed         Variance                   Actual       Assumed      Variance
CASH COLLECTIONS
<S>                                 <C>           <C>              <C>                          <C>          <C>          <C>
Lease rentals                       33,799,912     33,799,912                0                  100.00%      100.00%        0.00%
- Rental resets                    (3,778,395)              0      (3,778,395)                  -11.18%        0.00%      -11.18%
                                 ----------------------------------------------          -----------------------------------------
Contracted lease rentals            30,021,517     33,799,912      (3,778,395)                   88.82%      100.00%      -11.18%

Movement in current arrears
balance                            (1,163,395)              0      (1,163,395)                   -3.44%        0.00%       -3.44%
Less net stress related costs
- Bad debts                            128,225      (338,925)          467,150                    0.38%       -1.00%        1.38%
- AOG                              (3,332,952)    (1,016,775)      (2,316,177)                   -9.86%       -3.01%       -6.86%
- Other leasing income                 139,039              0          139,039                    0.41%        0.00%        0.41%
                                 ----------------------------------------------          -----------------------------------------
Sub-total                          (4,229,083)    (1,355,700)      (2,873,383)                  -12.51%       -4.01%       -8.50%

Net lease revenues                  25,792,434     32,444,212      (6,651,778)                   76.31%       95.99%      -19.67%
                                 ----------------------------------------------          -----------------------------------------

Investment income                      374,826        747,716        (372,890)                    1.11%        2.21%       -1.10%

Maintenance receipts                 3,445,078                       3,445,078                   10.19%                    10.19%
Maintenance disbursements          (5,659,978)                     (5,659,978)                  -16.75%                   -16.75%
                                 ----------------------------------------------          -----------------------------------------
Net maintenance                    (2,214,900)              0      (2,214,900)                   -6.55%        0.00%       -6.55%

                                 ----------------------------------------------          -----------------------------------------
          Total cash collections    23,952,360     33,191,928      (9,239,568)                   70.86%       98.20%      -27.33%
                                 ==============================================          =========================================

CASH EXPENSES
Aircraft operating expenses        (1,626,904)    (1,355,699)        (271,205)                   -4.81%       -4.01%       -0.80%

SG&A expenses
Aircraft servicer fees               (977,603)    (1,110,788)          133,185                   -2.89%       -3.29%        0.39%
Other                              (1,088,767)      (525,000)        (563,767)                   -3.22%       -1.55%       -1.67%
                                 ----------------------------------------------          -----------------------------------------
Sub-total                          (2,066,370)    (1,635,788)        (430,582)                   -6.11%       -4.84%       -1.27%

                                 ----------------------------------------------          -----------------------------------------
          Total cash expenses      (3,693,274)    (2,991,488)        (701,786)                  -10.93%       -8.85%       -2.07%
                                 ==============================================          =========================================

NET CASH COLLECTIONS
Total cash collections              23,952,360     33,191,928      (9,239,568)                   70.87%       98.20%      -27.34%
Total cash expenses                (3,693,274)    (2,991,488)        (701,786)                  -10.93%       -8.85%       -2.08%
Movement in expense account          4,292,294              0        4,292,294                   12.70%        0.00%       12.70%
Interest payments                  (9,576,496)   (16,610,009)        7,033,513                  -28.33%      -49.14%       20.81%
Swap receipts (payments)           (7,624,928)    (1,139,708)      (6,485,220)                  -22.56%       -3.38%      -19.19%

                                 ----------------------------------------------          -----------------------------------------
          Total                      7,349,956     12,450,723      (5,100,767)                   21.74%       36.83%      -15.09%
                                 ==============================================          =========================================

Principal payments
A1                                           0              0                0                    0.00%        0.00%        0.00%
A2                                 (1,710,884)    (6,677,886)        4,967,002                   -5.06%      -19.76%       14.70%
B                                            0      (133,765)          133,765                    0.00%       -0.40%        0.40%
C                                  (5,497,530)    (5,497,530)                0                  -16.26%      -16.26%        0.00%
D                                    (141,542)      (141,542)                0                   -0.42%       -0.42%        0.00%
                                 ----------------------------------------------          -----------------------------------------
          Total                    (7,349,956)   (12,450,723)        5,100,767                  -21.75%      -36.84%       15.09%
                                 ==============================================          =========================================
</TABLE>

<PAGE>

Exhibit 99.1

<TABLE>
                                                      Aircraft Finance Trust
                                                   Asset Backed Notes, Series 1999-1
                                                 Actual Cash Flows versus Assumed Case
                                           Cumulative to Date - May 5, 1999 to June 17, 2002
                                                              (unaudited)

<CAPTION>
                                           Cumulative to Date                        As % of Assumed Gross Lease Revenue
                                   Actual         Assumed         Variance           Actual        Assumed      Variance
CASH COLLECTIONS
<S>                              <C>             <C>              <C>                   <C>           <C>           <C>
Lease rentals                     419,831,722     419,831,722                0          100.00%       100.00%        0.00%
- Rental resets                  (19,889,140)               0     (19,889,140)           -4.74%         0.00%       -4.74%
- Excess rents at closing           5,924,523               0        5,924,523            1.41%         0.00%        1.41%
                               ------------------------------------------------   -----------------------------------------
Contracted lease rentals          405,867,105     419,831,722     (13,964,617)           96.67%       100.00%       -3.33%

Movement in current arrears
balance                           (2,693,809)               0      (2,693,809)           -0.64%         0.00%       -0.64%
Less net stress related costs
- Bad debts                       (3,064,949)     (4,209,816)        1,144,868           -0.73%        -1.00%        0.27%
- AOG                             (9,061,346)    (12,629,448)        3,568,102           -2.16%        -3.01%        0.85%
- Other leasing income                848,606               0          848,606            0.20%         0.00%        0.20%
                               ------------------------------------------------   -----------------------------------------
Sub-total                        (13,971,498)    (16,839,264)        2,867,766           -3.32%        -4.01%        0.68%

Net lease revenues                391,895,607     402,992,458     (11,096,851)           93.35%        95.99%       -2.64%
                               ------------------------------------------------   -----------------------------------------

Investment income                  12,216,514       9,246,575        2,969,939            2.91%         2.20%        0.71%

Maintenance receipts               56,272,562                       56,272,562           13.40%                     13.40%
Maintenance disbursements        (27,492,950)                     (27,492,950)           -6.55%                     -6.55%
                               ------------------------------------------------   -----------------------------------------
Net maintenance                    28,779,612               0       28,779,612            6.86%         0.00%        6.86%

                               ------------------------------------------------   -----------------------------------------
          Total cash collections  432,891,733     412,239,033       20,652,700          103.11%        98.19%        4.91%
                               ================================================   =========================================

CASH EXPENSES
Aircraft operating expenses      (11,564,889)    (16,839,264)        5,274,375           -2.75%        -4.01%        1.25%

SG&A expenses
Aircraft servicer fees           (13,433,432)    (13,757,710)          324,278           -3.19%        -3.28%        0.08%
Other                             (5,622,629)     (6,475,000)          852,371           -1.34%        -1.54%        0.20%
                               ------------------------------------------------   -----------------------------------------
Sub-total                        (19,056,061)    (20,232,710)        1,176,649           -4.53%        -4.82%        0.28%

                               ------------------------------------------------   -----------------------------------------
          Total cash expenses    (30,620,950)    (37,071,974)        6,451,024           -7.30%        -8.83%        1.53%
                               ================================================   =========================================

NET CASH COLLECTIONS
Total cash collections            432,891,733     412,239,033       20,652,700          103.11%        98.19%        4.92%
Total cash expenses              (30,620,950)    (37,071,974)        6,451,024           -7.29%        -8.83%        1.54%
Movement in expense account      (19,109,206)               0     (19,109,206)           -4.55%         0.00%       -4.55%
Interest payments               (212,504,521)   (217,218,602)        4,714,081          -50.62%       -51.74%        1.13%
Swap receipts (payments)         (21,527,974)    (15,944,259)      (5,583,715)           -5.13%        -3.80%       -1.33%

                               ------------------------------------------------   -----------------------------------------
          Total                   149,129,083     142,004,198        7,124,885           35.52%        33.82%        1.70%
                               ================================================   =========================================

Principal payments
A1                                          0               0                0            0.00%         0.00%        0.00%
A2                              (136,085,948)   (128,886,858)      (7,199,090)          -32.41%       -30.70%       -1.71%
B                                 (7,404,062)     (7,478,268)           74,206           -1.76%        -1.78%        0.02%
C                                 (5,497,530)     (5,497,530)                0           -1.31%        -1.31%        0.00%
D                                   (141,542)       (141,542)                0           -0.03%        -0.03%        0.00%
                               ------------------------------------------------   -----------------------------------------
          Total                 (149,129,083)   (142,004,198)      (7,124,885)          -35.52%       -33.82%       -1.70%
                               ================================================   =========================================
</TABLE>

<PAGE>


Notes to unaudited actual cash flows versus assumed case:

The line item  descriptions  below should be read in conjunction with the Actual
Cash Flows versus Assumed Case reports provided above.

Lease rentals. Lease rentals refers to gross revenue based on the assumptions in
the offering memorandum dated April 21, 1999.

Rental resets. Rental resets are a measure of the gain or loss in rental revenue
when new lease  rates are  different  from those  assumed in the  Assumed  Case,
including lease rate  adjustments for changes in interest rates on floating rate
leases,  seasonal  adjustments in the monthly rental amount,  lease  extensions,
renewals with current lessees at the end of the lease term,  timing  differences
between the Assumed Case and the actual rent payment due dates.

Excess  rents at  closing.  Excess  rents at Closing  refer to the excess of the
actual  rental  revenue over the  anticipated  rental  revenue under the Assumed
Case.  Aircraft Finance received rents from April 29, 1999 forward and pro-rated
rental  payment  from the  seller,  for rents  earned by Aircraft  Finance,  but
received by the seller(s) prior to the close of Aircraft Finance.

Contracted  lease  rentals.  Contracted  lease  rentals  represent  the  current
contracted  lease rental rollout which equates to the Assumed Case lease rentals
less  adjustments  for  renegotiated  leases,  rental  resets and excess rent at
closing.

Movement in current arrears balance.  Movement in current arrears balance is the
total contracted lease rentals  outstanding from current lessees at a given date
and excludes any amounts classified as bad debts.

Net stress-related  costs. Net stress-related  costs is a combination of all the
factors  which  can cause  actual  lease  rentals  received  to differ  from the
contracted lease rentals.  The Assumed Case estimated net  stress-related  costs
based on a  percentage  of the sum of the  Assumed  Case lease  rentals  and the
interest on the lease rentals.

Bad debts.  Bad debts are total  contracted  lease  rentals in  arrears,  net of
security  deposits drawn down,  owed by lessees who have defaulted and which are
deemed   irrecoverable.   Rental  arrears  from   non-accrual   lessees  may  be
reclassified to Bad Debts when the aircraft is redelivered  from the lessee,  or
such lessee files for bankruptcy protection.

Aircraft on ground ("AOG"). AOG is defined as the Assumed Case lease rental lost
when an aircraft is off-lease and non-revenue earning.

Other leasing  income.  Other leasing income  consists of  miscellaneous  income
received in connection with a lease other than contracted  rentals,  maintenance
receipts and security  deposits,  such as early termination  payments or default
interest.

Net lease  rentals.  Net lease  rentals is  contracted  lease  rentals  less any
movement in current arrears balance and net stress-related costs.

Interest  earned.  Interest  earned mainly relates to interest  received on cash
balances held in the  collection,  expense and certain  lessee funded  accounts.
Cash held in the  collection  account  consists  of the cash  liquidity  reserve
amount of $52 million,  in addition to the intra-month cash balances for all the
rentals and  maintenance  payments  collected prior to the monthly payment date.
The  expense  account  contains  cash set  aside to pay for  expenses  which are
expected to be payable over the next five months. Lessee funded accounts consist

<PAGE>

of cash security  deposits.  In most instances,  interest earned from the lessee
funded accounts, accrues in favor of Aircraft Finance.

Net maintenance.  Net maintenance refers to maintenance reserve revenue received
less any  maintenance  reimbursements  paid. The Assumed Case assumes that, over
time,  maintenance revenue will equal maintenance  expenditures.  However, it is
unlikely that in any particular  Note payment period,  maintenance  revenue will
exactly equal maintenance expenses.

Aircraft   operating   expenses.   Aircraft   operating  expenses  includes  all
operational  costs  related to the  leasing of an  aircraft  including  costs of
re-leasing, repossession and other overhead costs.

Aircraft servicer fees.  Aircraft servicer fees are amounts paid to the aircraft
servicer, GE Capital Aviation Services Ltd., in accordance with the terms of the
servicing agreement.

Other.  Other  relates  to fees  and  expenses  paid to and  for  other  service
providers including the administrative agent, financial advisor, legal advisors,
auditors,  rating  agencies,  the  trustees,  and  other  selling,  general  and
administrative expenses.

Movement in expense account. Movement in expense account relates to increases or
decreases in the accrued  expense  amounts  transferred in or out of the expense
account.

Interest  payments.  Interest payments  represent the amount of interest paid on
Aircraft Finance's outstanding classes of Notes issued on May 5, 1999.

Swap  receipts  (payments).  According  to the terms of the  interest  rate swap
agreements,  Aircraft  Finance  pays a fixed rate of  interest  on the  notional
amount  of the  swaps  to the  counterparty  and in turn the  counterparty  pays
Aircraft  Finance a rate of interest on the notional  amount based on the 30 day
LIBOR rate,  which will results in monthly net swap  payments  paid or received.