Aircraft Lease Agreements |
12 Months Ended | |||||||||
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Dec. 31, 2025 | ||||||||||
| Revenue from Contract with Customer [Abstract] | ||||||||||
| Aircraft Lease Agreements | 4. Aircraft Lease Agreements
The Company entered into aircraft lease and management agreements with
Paradigm Jet Management (“Paradigm”), pursuant to which the Company provided aircraft access and related services. General Description
Under the terms of the agreements, the Company made aircraft available toParadigm for charter operations. The Company retained operational control of the aircraft and was responsible for providing flight services, maintenance coordination, and related support. The agreements included provisions for minimum guaranteed usage as well as variable usage based on actual flight hours.
Payment Terms
The agreements generally provided for:
The Customer was obligated to pay for the minimum guaranteed usage regardless of actual flight activity.
Revenue Recognition
Revenue under these agreements is recognized in accordance with ASC 842. Fixed minimum payments are recognized on a straight-line basis over the lease term, reflecting the Company’s right to consideration as the lessee uses the underlying asset. Variable payments based on usage, such as flight hours, are recognized as lease revenue in the period in which the underlying usage occurs.
Accounts Receivable and Contractual Amounts
As of December 31, 2025, the Company has recognized amounts due under these agreements, including amounts associated with minimum guaranteed usage that had not yet been invoiced. Certain amounts remain outstanding and are subject to ongoing collection efforts, including potential legal proceedings.
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