Aircraft Value News [April 17, 2017] -

Issue: April 17, 2017

Aircraft Asset Assessment The B767-300

Market Presence. The B767-300 has an extremely limited market presence. The absence of orders and deliveries within the last two decades has increased the expectation of difficult trading conditions. With only twelve operators, of which two possess than 50 percent of the fleet, future demand for used units in a…

By: Aircraft Value News

April 18, 2017

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Values of A340s Face Ever Tighter “Value Convergence”

Even with a more reasonable price of fuel there is speculation that values of the youngest A340-600s may be worth less than $25 million despite costing more than $120 million when delivered less than a decade ago. The concept of Value Convergence – coined by The Aircraft Value Analysis Company…

By: Aircraft Value News

April 17, 2017

AVN

Rentals Generally Hold Steady

The market for most widebodies continues to remain relatively stable but the lease rentals for some types have fallen over the last quarter. The problems being experienced by THY have seen a number of aircraft entering the market and lease rentals will likely be impacted. The move towards newer aircraft…

By: Aircraft Value News

April 17, 2017

AVN

Used Prices Continue to Fall

The business jet market is entering something of a new market environment in view of the extending age profile of the existing fleet and the need to contemplate upgrades in the coming years. This will mean that a significant number of aircraft are over 20 years of age. To date,…

By: Aircraft Value News

April 17, 2017

AVN

B767-300 Values Fall into Abyss

The values of the B767-300 have fallen into the abyss from which there is no return and even selling the limited life remaining on the engines will not yield much when parted out. The problems facing the B767-300 program are indicated by the order status. Only seven units were ordered…

By: Aircraft Value News

April 17, 2017

AVN

Business Jet Market Sees Modest Improvement But Past Still Haunts Future

The aircraft manufacturers delivered 661 in 2016, 654 business jets in 2015, 722 in 2014 versus 678 in 2013. To date though there has been no notable improvement in terms of new orders. The modest increase reflects the introduction of new models and Honda. With delivery rates still being nearly…

By: Aircraft Value News

April 17, 2017

AVN

Boeing List Prices See “2.2%” Rise

Increase Compensates for Last Years Lack of Change Boeing has released its latest – earlier than usual - list prices for 2017 which show a marked increase of 2.2 percent across all types. Boeing usually publishes its list prices later in the year with Airbus publishing theirs January of each…

By: Aircraft Value News

April 17, 2017

AVN

Master Appraisers Consider Inflationary Pressures on Used Values

The introduction of a 2.2 percent rise in Boeing’s list prices may seem to be something of an irrelevance due to the seemingly abstract nature of list prices when compared to market values but the rate at which net prices being paid for new aircraft play an important role in…

By: Aircraft Value News

April 17, 2017

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Attributing Half Life “Value” to Ageing Aircraft Fails to Reflect Reality

The far greater use of half to full life monetary adjustments has increased served to obscure the reality that affects ageing aircraft – that in the last quarter of the life of an aircraft, the concept of half-life loses its relevance. Understandably appraisers, ever since Mort Beyer and Jordan Greene…

By: Aircraft Value News

April 17, 2017

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Parked Aircraft Continue to Below 8% of the Fleet

The number of aircraft in storage or parked has lost much of its relevance over the last ten years whereas at one time, it was a crucial component in determining values. According to Jet Information Services (ww.jetinventory.com) of the 27,800 commercial jet aircraft in service as of the end of…

By: Aircraft Value News

April 17, 2017

AVN