Aircraft Value News [November 14, 2016] -

Issue: November 14, 2016

Widebody Rentals Vulnerable But Steady

The airfreight market continues to experience low load factors and fragile yields but traffic for September showed some promise. While the airfreight market continues to remain fragile, there are at least indications of a modest improvement in recent months which has gone some way to alleviating the downward pressure on…

By: Aircraft Value News

November 14, 2016

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Widebody Market Continues to Suffer

The market for some widebodies continues to contract and there exists a sense that there is something of an oversupply. Widebodies being delivered continues apace but at the expense of falling yields. Airlines are having to cut ticket prices to stimulate demand. The transition to new models continues and this…

By: Aircraft Value News

November 14, 2016

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No Respite for B737-500 Values

With some 50 percent of the fleet either in storage or having been scrapped, values of the -500 have continued to decline at a rapid rate. The oldest B737-500 is only 26 years of age with a fleet average of around 20 years. Yet of the 389 that have been…

By: Aircraft Value News

November 14, 2016

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Aircraft Asset Assessment

The B737-500 Market Presence. The -500 has a limited market presence though there are over a 100 operators of the type with many operating less than five units. With dozens in storage and scrapped, the market for the type is limited. In contrast to the B737-300 and -400 there is…

By: Aircraft Value News

November 14, 2016

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First Flight of Bombardier Global 7000 Raises Issue of Value Retention

Bombardier made the first flight of the Global 7000 in early November and this has raised the issue of both the initial selling price and the residual value retention. The Global 7000 is the latest offering from Bombardier. Based on the Global 6000, the 7000 offers much more interior space…

By: Aircraft Value News

November 14, 2016

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B747-8F Order Fails to Prevent Further Value Decline

But Order Will Sustain Production Until At Least 2019 The order for 14 B747-8Fs represents a reprieve for the B747 program but values of the type continue to suffer. The firm order for 14 B747-8Fs, with an option for a further 14, will have come at a price, a low…

By: Aircraft Value News

November 14, 2016

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Scrap Values Come to Fore Particularly for Widebodies

While the overall market – and market sentiment – remains reasonably optimistic, there exists sufficient concern as to prompt ever greater interest in seeking to establish the scrap value both now and in the future. There are two parting out values. The first parting out value is the price that…

By: Aircraft Value News

November 14, 2016

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70 Seat Regional Jet Values Suffer as Market Turns to Larger Offerings

The values of both new and used 70 seat regional jets continues to decline as a consequence of changing demand patterns and the arrival of new types. The CRJ700 and E170 have both in production for over a decade and in the last few years delivery rates have fallen to…

By: Aircraft Value News

November 14, 2016

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A320neo Residual Values Set to Achieve Parity With B737MAX8

Despite the hiatus of deliveries, values of the A320neo are nudging ever closer to those of the B737MAX8. The values of the A320 have historically lagged behind those of the B737-800. The difference in value between the A320ceo and the B737-800 is approximately $4 million with the former being $44.5…

By: Aircraft Value News

November 14, 2016

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