Aircraft Value News [March 5, 2018] -

Issue: March 5, 2018

A340-300 Lease Rentals Plateau After Significant Falls

The lease rentals of the A340-300ER have experienced considerable changes sing the type was introduced some 25 years ago but for the last decade the trend has inevitably been in only one direction. In the 1990s, three and four engined aircraft were still very much an attractive proposition for operators…

By: Aircraft Value News

March 5, 2018

AVN

Values of A350-1000 Still Uncertain as First Delivery Takes Place

The values of the A350-1000 remain under scrutiny as the market for the type fails to progress even as the first example is delivered to Qatar and enters service. The first delivery of the A350-1000 took place in late February to Qatar, a little later than planned because of issues…

By: Aircraft Value News

March 5, 2018

AVN

High Return on Leasing Will Continue to See Lower Rentals

The net income reported by some of the major lessors for 2017 continues to see not only double digit returns but in some cases, 20 percent which will likely attract new investment to the detriment of some lease rentals. Avolon has reported revenues of US$2.4 billion for 2017, bolstered by…

By: Aircraft Value News

March 5, 2018

AVN

Rentals of New Narrowbodies Under Pressure

The demand for narrwbodies remains strong buoyed by traffic growth around the world and in spite of somes corporate failures such as Airberlin and Monarch. The lease rentals for mid life aircraft therefore remains essentially stable but as lessors seek to add equipment through sale and leasebachs they have willing…

By: Aircraft Value News

March 5, 2018

AVN

Despite Strong Traffic Widebody Values Weaken

As the product line transitions to new types, operators are disposing of their older equipment and the problem is that some of the capacity being released is too large for second tier operators – unless the price is sufficiently low. The fall in widebody values continues to equate to around…

By: Aircraft Value News

March 5, 2018

AVN

Business Jet Deliveries Warrant Modest Optimism for Prices

The last ten years has seen business jet pricing face severe drops, the level of which would have virtually made the financing of commercial aircraft virtually impossible had it been repeated for airliners but while there has been only a slight increase in the number of shipments for 2017, this…

By: Aircraft Value News

March 5, 2018

AVN

Aircraft Asset Assessment - B737-800

Market Presence. In the context of re-engining from both manufacturers, the effect on residual values of the A320 and B737 has been relatively modest in terms of deviation from previous projections. While re-engining offers improvement, it is more incremental than evolutionary. If the difference between the existing model and the…

By: Aircraft Value News

March 5, 2018

AVN

B737-800 Values Weaken Slightly But Still Favored

The B737-800 may have been in service for some 20 years but even the oldest examples are still able to command double digit values. The B737-800 has managed to retain the crown for so many years and still achieves top billing but as the product life cycle extends and newer…

By: Aircraft Value News

March 5, 2018

AVN

Regional Aircraft List Prices Correlate Better With Net Prices

But Average Discount is Still in Excess of 40 Percent While the list prices published by the manufacturers of larger commercial jets continue to present a substantive disconnect with the values of new aircraft, the list prices of regional jet makers have better, if still divergent, correlation. The difference between…

By: Aircraft Value News

March 5, 2018

AVN