US-OWNED aircraft leasing firm, General Electric Commercial Aviation Services Ltd (Gecas) last year recorded pretax profits of $28 million (€22.4 million), writes GORDON DEEGAN.

US-OWNED aircraft leasing firm, General Electric Commercial Aviation Services Ltd (Gecas) last year recorded pretax profits of $28 million (€22.4 million).

According to accounts lodged with the Companies Office, the Shannon-based firm - formerly GPA - increased turnover by 21 per cent in 2007 to $188 million, from $155 million the previous year.

A subsidiary of US giant General Electric, Gecas Ltd is one of a cluster of companies in the Shannon Free Zone engaged in aircraft leasing.

The company has a fleet of 1,475 aircraft it leases to more than 230 airlines in 70 countries. It manages just under 300 aircraft for others.

The accounts show that Gecas Ltd's operating profit in 2007 increased by 89 per cent to $24.5 million from $12.9 million in 2006. However, pre-tax profit fell 18 per cent to $28.2 million from $34.6 million a year earlier, when Gecas made an exceptional profit of $21 million.

Operating expenses increased by 5 per cent to $163 million, from $155 million. Wages jumped 44 per cent to $37 million in 2007, with the number of people employed rising to 175 from 166 in 2006.

The wage bill includes payments to executive directors. Remuneration for the company's 12 directors - six of whom are Irish - was $4.5 million. This included salary payments of $1.3 million and share-based payments of $602,000.

The accounts show that the directors also enjoyed bonus payments totalling $1.7 million last year compared with $1.89 million in 2006. No dividend was paid last year. The company has reserves of $395 million, according to the accounts.

Gecas Ltd has shareholder funds of more than $2.4 billion, and this arises mainly from a capital contribution from a related company of more than $2 billion.

In their report, directors said that "both the level of business and the year-end financial position were satisfactory, and the directors expect that the present level of activity will be sustained for the foreseeable future".

The accounts also show that the company has entered share option agreements with 16 employees in relation to a total of 472,870 shares.