Steven Udvar-Hazy has been succeeded as chairman of International Lease Finance Corp., a move that analysts said eliminates a potential conflict of interest in his bid to buy back a portion of the aircraft leasing business that he co-founded and grew into one of the world’s largest.

Udvar-Hazy, who retains the title of chief executive, was quietly succeeded last month as chairman by Douglas Steenland, former president and chief executive of Northwest Airlines. Steenland is on AIG’s board of directors

ILFC did not announce the change when it took place, but its eventual release has fueled speculation, reported in Sunday in the Wall Street Journal, that Udvar-Hazy would soon leave the Century City company he co-founded in 1973, and start a rival business.

He sold ILFC to insurance giant American International Group Inc. in 1990 but stayed on to manage it.

• Read the full Los Angeles Times story.

• Read the initial Wall Street Journal story.