Aircraft Asset Assessment

Market Presence. The total of 278 deliveries for the Fokker 100 represented something of a success for a European manufacturer though the number pales against the deliveries made by U.S. manufacturers and even Embraer and Bombardier. The orders secured from American, and the then USAirways, were considered important successes in the key U.S. market but also increased the likelihood of value deterioration associated with regional and operator concentration. While at one time contemplating adding a U.S. based production line, further substantial orders from other carriers failed to materialize and Fokker was left with a high cost structure and waning order backlog. The severe market conditions of the early 1990s led to a paucity of orders. At that time Fokker sought to market the Fokker 100 on the basis of a quality product built to last. Unfortunately, operators were becoming increasingly focused on efficiency in the short term and saw little value in terms of paying a premium when changing market conditions were unlikely to see use beyond a five to ten-year horizon.