Aircraft Value News [April 12, 2010] -

Issue: April 12, 2010

Peak in Values Expected in 2013

Improvement in Values Will Be Muted While values have still yet to bottom out, there is a growing need to determine when the next peak will occur as owners consider the most advantageous point for disposal. Cycles, in terms of aircraft values, are not consistent in terms of form or…

By: Aircraft Value News

April 12, 2010

AVN

IATA Traffic Levels Continues To Provide Basis for Lease Rental Recovery

The recovery in traffic levels continues to provide an important foundation for the recovery of lease rentals. February traffic, in terms of RPKs (Revenue Passenger Kilometers) grew by a significant 9.5 percent compared to the same month in 2009 when traffic slumped by more than ten percent, a figure that…

By: Aircraft Value News

April 12, 2010

AVN

Availability Levels Belie Real Surplus

The levels of availability continue to show relatively modest levels which can distort the perceived strength – or weakness - of the market. The number of aircraft actively being marketed today would seem to be at lower levels than during the depths of the market in 2002-2003. With a current…

By: Aircraft Value News

April 12, 2010

AVN

Post Production A330-200 Freighter Conversion Provides Comfort for Residuals

While the A330-200 is still considered a premier widebody, and likely to remain so through to at least the arrival of the A350, there has to be an appreciation that the type has already been in production for 12 years and that a secondary market will have to be found…

By: Aircraft Value News

April 12, 2010

AVN

Widebody Lease Rates Achieve Stagnation

Usually the term of stagnation confers negative connotations on an aircraft type. However, in the context of the torrid market conditions stagnation is positive, potentially signaling the start of an improvement in fortunes. The market for newer widebodies is improving although yet again there continues to be concern over the…

By: Aircraft Value News

April 12, 2010

AVN

Regional Jets Seek to Escape Doldrums

The wider economy may be starting to enjoy the benefits of stronger conditions but the regional jet market has yet to register notable orders. Delivery rates have suffered as operators have sought to preserve cash and perhaps even acquire turboprops as a means of achieving better economies of scale. However,…

By: Aircraft Value News

April 12, 2010

AVN

B717 Values Achieve Measure of Stability

Values of the B717 have achieved a measure of stability which is perhaps more the result of values having fallen so far in recent years. The type continues to suffer from marginalization as a consequence of a limiter production run and an operator base that falls short of the minimum…

By: Aircraft Value News

April 12, 2010

AVN

Aircraft Asset Assessment: B717

Market Presence. The lack of success for the B717 has little to do with its performance and capability. The ruggedness of the design has made it ideal for short haul operations. In-service experience has also proven that efficiency was better than forecast. Such is the capability of the aircraft that…

By: Aircraft Value News

April 12, 2010

AVN

Aircraft Ratings Focus on A319 & B737-700 As Backlogs Fall

The backlog for the 120 seat products of Airbus and Boeing are trailing behind those of the 150 seaters by a considerable margin such that there needs to be increased emphasis on future trends and expected residual values. The focus on the larger aircraft is evident when the backlog is…

By: Aircraft Value News

April 12, 2010

AVN