JetNet August12_PAMA interview November06 23/07/2012 17:01 Page 1
JETNET >>KNOW MORE
THE CALLENGER 300, WHICH FORMED A LARGE PORTION OF NETJETS’ RECENT RECORD ORDER
The Recovery Continues The lazy, hazy days of Summer 2012 for Business Aviation. by Michael Chase & Marj Rose s record high temperatures were being set around the United States and London prepares to open the summer Olympics, it appears that we have made it half way through 2012. And yes, as we stand at the midway point, we are seeing signs of industry recovery; ever such slow recovery, but positive signs nonetheless. The biggest sign came from NetJets who recently placed the largest business aircraft order on record, tallying 425 mid-range and long-range aircraft orders and options. This was a boost in confidence for Bombardier and Cessna, with the order’s total value exceeding $9.5 billion. In addition, recent optimistic forecasts from the Teal Group, JETNET iQ, and Bombardier indicate that we should be seeing more aircraft orders and improved signs of recovery in the months ahead. But along with the heat and humidity in the US, the summer’s reality sets in when looking at the limited financing options that seem to be a sticking point for the $1m-10m aircraft loans, according to Corporate Jet Investor editor, Alasdair Whyte. In this month’s JETNET >>KNOW MORE, we will take a look at where we are so far in 2012, and investigate just how warm the Business Aviation market is getting while it makes its slow and steady recovery.
A
124
WORLD AIRCRAFT SALES MAGAZINE – August 2012
CHART A - PRE-OWNED BUSINESS JET FOR SALE VS. PERCENTAGE FOR SALE Months of June 2005 to June 2012
4 yr. avg. 2,640
4 yr. avg. 1,725
Source: JETNET; Analysis & Presentation Chase & Associates
BUSINESS JETS ‘FOR SALE’ The number of business jets for sale has averaged just over 2,500 from January to June 2012. The current percentage for sale is at 13.5% for June 2012. In a comparison of the www.AvBuyer.com
number of business jets for sale, the years 2009 to 2012 (4 year average of 2,640) show an average of 915 more than from the years 2005 to 2008 (1,725), as shown in Chart A ❯ (above). Aircraft Index see Page 4