E U R O P E A N
BUSINESS AIR NEWS ISSUE 209
Stock market placing funds growth for Hangar8 London Oxford-headquartered Hangar 8 plc intends to raise up to £2 million by way of a placing on AIM, the London Stock Exchange’s international market for smaller growing companies. It aims to use the money to expand its 19-strong managed fleet. The company confirms: “The directors intend that the net proceeds of the placing will be used for working capital to fund identified growth, market the business to new aircraft owners and potential charter customers, and to invest in staff and equipment to internalise specialist maintenance of the aircraft managed by the group.” Dustin Dryden, ceo, says: “We have developed a simple, scalable business model with minimal risk – we are a service business with no large capital assets, base costs are typically covered by contracted management fees and revenues are tied to hours flown rather than number of passengers.” He adds: “The very fragmented charter market is growing, with business aircraft traffic forecast to grow by five per cent per annum from 2011. Hangar8 is perfectly positioned to take full advantage of its growing market and to act as a consolidator of smaller operations. We are looking forward to meeting the challenges of our next phase of growth.” The group derives income from both aircraft owners and third party charter clients and its fleet includes the Falcon 2000EX, Challenger 601, Hawker 4000, the Hawker HS125s, Citation XLS, CitationJet and Super King Air. Aircraft managed by the group are configured to carry between five and ten passengers. Hangar8 points out: “As the group does not own any aircraft itself, it does not carry the risk of high capital investment or depreciation. Hangar8’s strategy is to concentrate on certain aircraft types to obtain economies of scale, and to increase the size of the fleet it manages both organically and through the potential acquisition of other private jet charter operators with the intention of being able to provide an aircraft to a charter client at any airport in any EMEA location within three hours of an order being confirmed.” Continued on page 3
AirMed claims EFB first in the UK page 3 French fractional offers Mustang training page 3 Air Hamburg brings BN2A-21 into service page 4 Premium Jet enjoys warm glow North Pole For of details of how to enter, see page 3. For details of how to enter, see page 3. expedition success page 6
NOVEMBER 2010
Teamwork is secret of success for family firm
Family-owned Executive Aviation Services, which is adding two Citation Bravos to its management and AOC business, says its success is down to a tight-knit staff. Pictured, from left, are Capt Peter Turner, operations director Kirstie Turner and principal first officer James Turner. See full story on page 4.
Air Alliance modernises fleet as it prepares for business upturn Germany’s Air Alliance is systematically modernising and expanding its fleet ready for an anticipated upturn in business levels. “We have just added a Citation Sovereign and will probably bring a second one into service soon,” the company’s Carolin Schmidt says. “One of our Learjet 35As, dedicated for ambulance flight missions, has recently received an extensive overhaul including a refurbished interior, conversion to 2C engines with better performance and several technical upgrades. These upgrades include new avionics with second FMS Honeywell GNS-XLS and Jet Call; FreeFlight Selcal and full Raisbeck ZR Lite Performance Kit including Avcon R/X upgrades.” The company now intends to similarly upgrade its whole ambulance fleet. Schmidt add: “Even in these poor market conditions Air Alliance invests continuously in safety and upgrades of its fleet in order to provide the best service possible and to be well prepared for future increasing demand.”
AIr Alliance: ambulance overhaul
Air Alliance currently operates four Learjet 35As, a Learjet 55ER, a Learjet 60 and four Piper Cheyennes. It works in cooperation with the University Hospital of Gießen and Marburg, the ‘Marburg Nursing Team’ and the German Red Cross Emergency Services of Central Hesse. Schmidt adds: “We bring together both aviation and medical expertise. From the moment the patient is collected from anywhere in the world until the handover at the destination hospital, highly qualified teams provide patients with seamless bedto-bed medical care”.
The company takes care of patients ranging from accident victims who require monitoring to critically ill intensive care patients. The medical care on board of an Air Alliance Medflight is provided by an interdisciplinary team consisting of an emergency doctor and an intensive care nurse or paramedic. Special qualifications and several years of experience in critical care transport are a basic requirement. Schmidt says: “We only use emergency doctors who are experienced intensive care specialists from the Centre for Emergency Medicine of the University Hospital of Gießen and Marburg. “The members of these medical teams carry out more than 1,500 transfers of intensive and critical care patients every year and therefore have extensive experience in carrying out all related tasks.” Air Alliance aircraft are equipped with the critical care transfer system of Central Hesse. The equipment, provided in modular containers, can be flexibly extended and adapted. Continued on page 7
Cessna makes first European CJ4 delivery Cessna is celebrating the first European delivery of a Citation CJ4 to a private owner/operator in the UK. It says EASA certification is now pending and Cessna plans to make the first European-registered delivery of the aircraft type into Germany in the second quarter of 2011. The manufacturer says: “The CJ4 is FAA approved for single pilot operations and shares a common pilot type rating with the other CJs. A pilot rated to fly any one of the CJs is therefore rated to fly them all.” The CJ4 has a range of just over 2,000nm a top speed of 453 knots and a takeoff roll of 3,130ft at maximum takeoff weight. Cessna is finalising the release of a maintenance troubleshooting programme for the CJ4. It says: “The expert system programme, run from a disk or from the internet, greatly reduces the time it takes for Citation maintenance technicians to diagnose the cause of an alert from the engine indicating and crew alerting system through a simplified, intuitive process based on the specific EICAS alert.”
Borajet restructures and adds XRS page 7
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EUROPEAN BUSINESS AIR NEWS
NOVEMBER 2010 3
Avon considers helicopter to speed response The UK’s Avon Fire and Rescue may add a helicopter to its fleet to enhance response and efficiency in and around its South Gloucestershire catchment area. The service says: “The helicopter would transport specialist equipment and firefighters to incidents such as road accidents and chemical spills. “Using a helicopter could create quicker response times than the current four rescue tenders used by the service.â€? Rescue tenders were called to 818 road traffic accidents and nearly 800 other incidents last year and the service is conducting a feasibility study to assess the viability of air support. “Presented with a difficult economic climate where our spending is scrutinised more than ever before, the study reflects our need to explore how we can best deliver our services, as cost effectively as possible. “This study goes beyond the toys for boys mentality and could provide us with an innovative, realistic way to move specialist equipment and firefighters quickly to incidents, depending on the nature of the call,â€? the service says. Initial feedback suggests it would costs ÂŁ800,000 a year to run a helicopter 24-7 including piloting, fuel and maintenance. “It could also be shared with other fire and rescue services to cut down costs,â€? the Avon service says.
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European Business Air News, 134 South Street, Bishop’s Stortford, Hertfordshire, CM23 3BQ England. Telephone: +44 1279 714505 Fax: +44 1279 714519 email: david@ebanmagazine.com www.ebanmagazine.com European Business Air News (USPS 009091) is published eleven times each year, monthly except January, by Stansted News Limited, 134 South Street, Bishop’s Stortford, Hertfordshire CM23 3BQ, England. Periodicals postage paid at Rahway, N.J. Postmaster: Send address changes to Stansted News Limited c/o Mercury Airfreight International Ltd., 365 Blair Road, Avenel, New Jersey 07001. Company registered in England no. 2224522. Printed by Stones. ISSN number: 0959-1311. EBAN is available by postal subscription for eleven issues. Simply send your credit card details and authority for UK£40 within Europe (UK£70 outside Europe) to our subscriptions department, or call +44 (0)1279 714505. EBAN is sent without charge to qualifying business aviation professionals. Please call the telephone number above to request an application form. The opinions expressed by authors and contributors to European Business Air News are not necessarily those of the editors or publisher. Articles appearing in European Business Air News may not be reproduced in whole or part without the express permission of the publisher. European Business Air News is not responsible for unsolicited manuscripts, photographs or artwork.
The use of EFBs in AirMed’s Learjet 35As has enhanced safety.
AirMed claims stand-alone EFB is a UK first to add to its portfolio of innovations AirMed, the Oxford-based air ambulance specialist is claiming a UK first after gaining approval for the use of stand-alone electronic flight bags (EFBs). “This is a huge step as we continually strive for greater efficiency within our flight operations,� says Capt Mike Roberson, director of flying. “While we are always looking at new and innovative ways to improve our operations, we’re most interested in ways to improve safety. The use of the EFBs in our Learjet 35As has enhanced safety by reducing pilot workload, ensuring the integrity of revisions, and consolidating the world’s approach plates into one 2lb electronic notebook.� AirMed chose the Jeppesen Jeppview electronic navigation
Director of flying, Capt Mike Roberson (right) with chief pilot, Capt Phil Hebdon showing off the electronic flight bag.
software to install their DT312 EFB units. Roberson says: “After many hours of flight-testing the potential EFB units, AirMed decided that the
French fractional offers Mustang training to attract owner clients Flymyjets reports that its Mustang fractional offering is gaining business because it appeals to aspiring pilots as well as cost-conscious business executives and holiday makers. The French company, launched by captain and flight instructor LouisAntoine HarlĂŠ, points out: “Such light jets are used for business trips but if they are also chartered for the weekends with the family on board, the space in the cabin is then under pressure. By using one of the pilot seats, the owner frees a seat in the cabin and reduces the overall cost per seat.â€?
Training is part of the Flymyjets appeal.
Capt HarlĂŠ says: “Many clients, even frequent travellers, have had the dream of piloting since childhood. They may be attracted to business aviation because they are tired of public transport constraints but many
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would rather be in the cockpit than in the cabin. The Flymyjets philosophy is to enables them to travel in the cabin or to fly the jet right from the first flight.â€? He adds: “Training is in the heart of the Flymyjets appeal. Each owner can opt for a personalised training programme that is tailored to his or her schedules, commitments and aeronautical experience. The student pilot can pursue training up to the type rating certificate to fly solo or opt to continue to fly with the instructor.â€? Only owners have access to the aircraft based at Toussus-le-Noble, he says, in order to protect the aircraft interior. “An exchange system between co-owners gives access to all the fleet and offers a maximum availability.â€? Capt HarlĂŠ says the Mustang was chosen because of its performance and reasonable acquisition and low operating costs. “The Mustang does not disappoint our clients in any respect whether they are seeking a business tool or recreational vehicle.â€? One owner, who had to abandon his ambition to be an airline pilot, says Flymyjets taught him IFR and help him gain his multi-engine rating and Mustang type rating.
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Sumo DT312 unit was the most userfriendly as well as the most durable. Camtech Systems Ltd based in Cambridge has provided all of the hardware and is also providing the ongoing technical support required for what is now an essential part of the operations of AirMed. “Throughout the entire approval process Jeppesen has given invaluable support as we progress the evaluation process for approval on its single crew aircraft.� Jane Topliss, bdm, says: “AirMed has managed to attain many firsts during recent years of its operations. Not only is it the only operator of Learjet 35As in the UK, but it is also the only AOC holder to operate Piper Cheyenne II XLs and Piper Cheyenne
IIIAs. All of these aircraft are used for intensive care air ambulance flights as well as passenger and cargo charter work. The latest member of our ninestrong fleet is a Learjet 35A which started operating out of the London Oxford base in April 2010. This was a great way to start the 25th anniversary celebrations that AirMed have been engaged in throughout the year.� Steven Morgan, Jeppesen’s AirMed account manager, says: “This has been a new and exciting project for Jeppesen to be involved in. We have always seen the potential benefits of the electronic software and it is fantastic to see it being integrated into commercial AOC operations, especially in an operation as specialised as AirMed.�
Stock market placing funds growth for Hangar8 Continued from page 1
Dryden adds: “By increasing the size of the fleet managed by the group and locating the aircraft at strategic airports, the directors intend to reduce the time needed to provide an aircraft to charter customers and owners around the world and leverage efficiency benefits through spreading certain costs, such as crew, over a larger number of operating bases.� The group’s AOC permits it to provide charter flights worldwide with certain exceptions such as northern Canada, northern Russia and Australia. “At any one time, the group’s fleet of aircraft is typically spread across airports in the UK, Europe, the former Soviet Union countries and the Middle East,� Dryden says. “In addition, the group has a US visa waiver agreement with the US Department of Justice which enables the group’s customers to fly to the US at short notice without having to obtain a visa.�
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EUROPEAN BUSINESS AIR NEWS
4 NOVEMBER 2010
Titan Airways boosts corporate charter capability London Stansted-based Titan Airways is bringing a Legacy 650 into service as it fine tunes a new brand to emphasise a growing focus on the corporate aviation market. “We expect to benefit in the marketplace from being the first operator in the UK to accept delivery of this large cabin, transatlanticcapable twinjet,” says ceo Gene Willson. “Titan will manage crew and operate third party charter flights on behalf of its private owner.” Willson says the Legacy 650 will be based at Stansted at the Inflite FBO. It will complement Titan’s King Air 350 and its 44-seat vip Boeing 737-300 which will operate under the new Titan Airways Executive brand. Willson says the 650 was chosen because it offers sophisticated Honeywell avionics and a new Primus Elite flight deck. He adds: “It boasts a range of 3,900nm with four passengers, or 3,800nm with eight passengers.” Commercial director Alastair Kiernan says: “This aircraft is going to be a star in our fleet for corporate and leisure groups alike. Like our other aircraft it will be available for short notice, rapid response charter.”
Air Hamburg fashions rising international business levels as it brings BN2A-21 into service Air Hamburg, whose international air charter profile has been raised by fashion and music events, has brought a BN2A-21 into service. The German operator also operates two XLS+, two Citation Bravos, two CJ1s and a King Air 200 and is bringing a CJ3 on stream (order reported in EBAN September 2010). Capt Alexander Lipsky, md, says: “The company has enjoyed a number of high profile events and charters but we take great satisfaction from the underlying trend of increasing business from new and established clients.” The American band Metallica used Air Hamburg for its 2010 tour. Lipsky and first officer Daniel Buron picked up the band leader James Hetfield at his summer residence on Crete. Together with the flight attendant Manuela Witt, they flew the lead singer to his band colleagues for a tour that encompassed Bucharest, Sofia and Athens. “The tour was a huge success,” Lipsky says. Air Hamburg also co-sponsored a fashion show at the city’s airport that included model Heidi Klum and 1,000 guests who enjoyed a visit to the runway. The Marc Anthony
Brad Pitt flew with Air Hamburg.
The Phönikks Foundation fund-raising event.
fashion show featured models from the Germany’s Next Top Model show and Air Hamburg trolleys provided refreshments to guests. Lipsky says of the BN2A-21
acquisition: “We already had one BN Islander for observation flights with biologists flying over the North Sea and Baltic Sea. These experts are checking the numbers of birds and
whales to analyse the effects of the offshore wind fields. We need this type of aircraft due to the STOL characteristics for our flights to Helgoland which has extremely short runways. Since this summer our flights, demand was such that we needed to double capacity with a second Islander.” Air Hamburg raised €18,500 for the Phönikks Foundation which helps children and families suffering from cancer with a charity fund-raising drive at Café Himmelsschreiber adjacent to Hamburg’s GAT.
Teamwork is secret of success for family firm Family-owned and run Executive Aviation Services (see photo page 1) has added a further two Citation Bravos to its management and AOC business bringing its fleet to 12. Chairman and head of training, Captain Peter Turner says: “The success of EAS is greatly assisted by the tight-knit staff. They have all been with us for many years and work well as a team. That’s a very essential ingredient for a 24-7 operation such as ours.” The day-to-day management of the operation is controlled by daughter Kirstie Turner. Son James is the company’s senior co-pilot and wife Linda a director and the company secretary. Capt Ken Wilson is the chief pilot who runs the administration of the flying. Other key personnel are deputy chief pilot and training administrator Peter Hamlet, deputy operations manager Lavina Holmes and bdm Kyle Millar. Capt Turner says: “The majority of our fleet are under our direct management with the remainder being managed by Dragonfly Air Charter at Cardiff and Catreus in the London area. However all operations
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Peter and James Turner are part of a tight-knit team.
are overseen and strictly controlled by our staff at our head office at Gloucestershire airport.” In addition to the charter and management aspect, EAS operates as a consultant and is a JAA approved TRTO for the Cessna 500/550/560 series. Cap Turner senior, as head of training, is a type rating instructor and examiner and conducts the majority of tests. EAS was formed in 1986 operating an HS125 series 1B and Cessna Citation I out of Staverton – now renamed Gloucestershire airport. The fleet slowly expanded over the years and now stands at an XLS, an XL, four Bravos, a Beech King Air 350, two Beech King Air 200s and a Britten-
Norman Islander on private duties. “Other additions to the fleet are being considered,” says Capt Turner. “The company has just had its busiest quarter ever and I see bright future business prospects.” Capt Turner took up flying almost 50 years ago when he was 14 and will continue to fly the line until his 65th birthday in less than 15 months. “The change will take some getting used to,” he says. He first started gliding with the air cadets. At this point he was awarded an RAF flying scholarship and so completed his PPL. Capt Turner later helped to set up the Achilles School of Flying at Weston-Super-Mare, gained his flying instructors rating, becoming manager and chief flying instructor of the school at the age of 21. After gaining his CPL he flew Navajos and Aztecs single crew around Europe for Bristol Air Taxis. The Colt Car Company (now Mitsubishi Motors) asked him to set up their executive flying operation which quickly grew to a charter and maintenance operation called Colt Aviation and Capt Turner was promoted to aviation director.
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EUROPEAN BUSINESS AIR NEWS
6 NOVEMBER 2010
JetNetherlands pilot targets new championship performances – in the air and on the ground Steven ten Bruggenkate is working to achieve two ambitions – to earn captain status and regain the Dutch clay pigeon shooting championship title. The JetNetherlands first officer and three times national shooting champion became interested in aviation as a child. “Our neighbour owned several small aircraft,” he explains, “and we were often invited to fly with him from Holland’s Lelystad airport.” He adds: “My ambition is to become a captain as soon as possible and maybe fly a larger aircraft such as the Falcon.” Ten Bruggenkate’s father is a member of the shooting club in The Hague. “As a child I always used to join him at the shooting range. Because of the big recoil, I had to wait until I was a bit older before I could handle the shotgun. I was allowed to shoot my first clay pigeons at 13 and that was the moment I became hooked on this fantastic sport.” He says: “Private aviation is a demanding career but JetNetherlands supports me as
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Ten Bruggenkate: on target.
much as possible to find the free time to train and enter competitions. However work comes first and it is the nature of the business that many flights come in at the very last moment. This makes it very difficult to find the time for training and the shooting competitions. Because of this, I am unfortunately no longer a member of the Dutch national shooting team but I am still trying to compete as an amateur competitor in the professional shooting world.” At the age of 14 he was introduced to the Dutch National shooting coach Nella Heemskerk and started training with her at the shooting range in Amsterdam. A year later he entered the Dutch National
team as a junior. In that same year, aged 15, he became the Dutch National Champion for the first time. “It was a great time,” ten Bruggenkate recalls. “I shot in a great many international competitions including world cups, world championships and European championships. I achieved my highest ranking in the top 10 of Europe.” Ten Bruggenkate, who speaks Dutch, English and German, became a junior first officer at JetNetherlands approaching five years ago after he successfully completed training at Martinair Flight Academy. “I started on the C525 and after about two years I made the step up to the Citation XLS. The work experience has been fantastic. I have been to the most remote airfields you can think of and I really like the combination of flying and providing customer service.” In June 2006 he became senior first officer on the C560 XLS and has logged more than 1,200 with 245 hours as pilot in command.
Premium Jet: Working on the ground.
Premium Jet enjoys the warm glow of North Pole expedition success Management and staff at Zurich-headquartered Premium Jet, which was chosen to support a camera crew working its way to the North Pole, is looking forward to seeing the resulting television series. The broadcast with the title Im Tiefflug zum Nordpol – Europas eiskalter Norden (low-level flight to the North Pole – Europe’s ice-cold north) will be shown in four episodes from 27 December on MDR TV in Germany. “We dispatched the Cessna Caravan for the expedition,” says ceo Peter Hartmann. “This unusual task demonstrates Premium Jet’s ability to operate in areas which can have the harshest weather conditions, be it for a top end business jet or just such an expedition aircraft.”
Views from the air.
The tour started in September at Leipzig, Germany and took in Greenland with Aasiat, Upernavik, Danmarkshavn and Station Nord among places filmed. Other parts of the planned itinerary include Ny Alesund, Longyearbyen, Nordkyn, Kautokeino, Lofoten, Tromsoe and Jan Mayen in Norway, Hvammstangi in Island and Vágar on the Faroe Islands, returning to Germany in November.
Premium Jet, launched more than seven years ago manages a fleet of 15 aircraft including Gulfstreams, Falcons, Challengers, Learjets and Citations. “Our diverse fleet of light, medium and heavy jets is based in Europe, the CIS, the Middle East, Far East and Africa,” says Hartmann. Sales director, Marcel Wepfer says that demand for aircraft management packages is rising with negotiations to add new aircraft for charter and private use. “The secret is to offer a broad range of customised bespoke packages to meet the individual requirements of each client. These packages range from specific services to a complete asset management arrangement.”
EUROPEAN BUSINESS AIR NEWS
NOVEMBER 2010 7
Borajet restructures and brings XRS into service Borajet has moved into its new hangar at Atatürk International and restructured with new and experienced staff as it brings a Global Express XRS into service. Kadir Peker, gm, says: “The XRS addresses the shortage of extended long range aircraft in Turkey and neighbouring countries. Borajet is making extensive investment in its fleet and the XRS brings a new dimension to our established fleet of four ATR 72-500s.” Peker says a prime aim is to perform low-cost regional operations and to reach all income groups. “We will provide a well-planned flight network which covers routes not previously serviced while offering reasonable and affordable fares,” he pledges. Borajet, he says, will raise its profile as a feeder airline for large operators. “The XRS will have a long distance focus.”
continued from page 1 “This equipment, which can be installed within the shortest of time frames, is standard in groundbased professional critical care transfer. It ranges from defibrillators and high-quality ventilators to transport incubators for the smallest of air passengers. If necessary, new equipment can be added,” Schmidt adds. The company, launched more than 10 years ago, which also has its own in-house maintenance operation, annually carries out more than 1,500 transfers of intensive and critical care patients.
Seawings readies online bookings Borajet: Long haul ambitions.
Peker continues: “Separately, we will reinforce our appeal as a regional airline but we also aim to help eliminate the difficulties posed by the extremely long road trips
due to the peculiar geographical conditions of our country and its neighbours.” “This will involve adding to the fleet and interconnecting all cities
and towns that are suitable for air transport. We have recruited top level management and staff to ensure adherence to the highest safety standards.”
Retiring Learjet captain heads to Spain Capt Tim Watts, manager of Gama Aviation’s Learjet fleet, is swapping the flight deck for retirement after 21 years’ service with the Farnboroughbased business aviation company. He made his last flight on a Lear 45 from Geneva to be greeted with congratulations from Farnborough airport air traffic controllers, water cannons on arrival, and a surprise champagne reception at Gama’s offices. “I was just thinking, I wonder if the boss knows it’s my last flight,” says Watts. “I was completely overwhelmed.” Watts, who previously ran his own double glazing company, caught the aviation bug late. He learned to fly at Fairoaks airport in Chobham where Gama has its roots and acquired his own aircraft, a Piper Cherokee. After becoming a flight instructor he joined Gama to fly the Super King Air in 1989. He has only ever flown commercially for Gama and quickly became an integral part of the team. “It’s the end of an era,” says Paul Cremer, Gama’s commercial manager. “It’s always sad to say goodbye to an individual who has been so dedicated to the company, but we all wish him well in his retirement.”
Watts: retiring to sunny Spain.
Watts is looking forward to spending time with his wife at his new home in Murcia, Spain, and enjoying lots of swimming. “I really loved flying with Gama. Every day was varied and I flew some very interesting clients but the highlight was the annual flight for the aviation charity fly2Help and seeing those delighted children’s faces. I was made to feel very much part of the Gama family and I have huge admiration for Gama Aviation, the team and terrific company they have created.” Gama, founded in 1983 in the UK by two commercial pilots, Marwan Khalek and Stephen Wright, employs over 300 staff at bases in Europe, North America and the Middle East and operates more than 75 business jet aircraft.
Air Alliance modernises fleet as it prepares for business upturn
®
Seawings, the only seaplane tour operator in the UAE, is launching a new website with online booking for aerial excursions over famous landmarks such as the Burj Al Arab, Burj Khalifa, Palm Jumeirah, World Islands and the Dubai Creek.
EUROPEAN BUSINESS AIR NEWS
8 NOVEMBER 2010
SPECIAL FOCUS – SELLING YOUR AIRCRAFT WITH EASE
It’s a tough market, but well prepared aircraft and owners can still find a buyer Honesty is the best policy when selling pre-owned aircraft in the business aviation sector, according to brokers. Sellers should provide full information up front in the knowledge that serious potential buyers will almost invariably conduct a rigorous selection procedure. The aircraft should be in good condition with a sale contract, complete documentation and excellent pictures because it saves time and money for all parties involved when the seller discloses all relevant facts instead of just highlighting the positive aspects. Charter operators and management companies, brokers, experienced owners and service providers all confirm that the seller must be realistic about the value of their aircraft. The price must be based on up-to-date, accurate and quality research of the marketplace. Tax efficiency is also becoming an increasingly important factor in buying and selling aircraft and EBAN, in its December issue, will examine the issues involved in registering aircraft with offshore authorities. WHAT AIRCRAFT MANAGEMENT COMPANIES REPORT
Pre-owned offerings must compare favourably with new aircraft prices Caly Roberts of the Private Jet Company based in the Isle of Man
More modern aircraft have always been easier to sell. For example, the average time-on-the-market of the sixty Phenoms currently for sale (according to Jetnet statistics) is just 269 days. This example is being offered by Business Air International.
points out that sellers of pre-owned aircraft must compete with what’s available new. Serious buyers will almost invariably compare what is available in both markets. She says: “There are some great deals to be found in the pre-owned aircraft market but it is imperative that the client has a representative who understands the complexity of requirements. These include the correct aircraft equipment, warranty
programmes, maintenance records, full service history and ‘no damage’ reports. This list is very long and laborious and needs the input of a specialist aircraft buyer.” Sellers have to put themselves in the shoes of the potential buyer. Roberts says: “The purchaser may quite often have a type of aircraft in mind or have been recommended an aircraft because it is a ‘good deal.’ However, what seems to be a bargain
at first glance may turn out to be a much less cost-effective asset in the future as the buyers examines what is on offer. “Serious purchasers recognise it is extremely important to identify the correct aircraft for their usual missions and payloads. Good advisers implement a thorough factfinding exercise and come up with the best aircraft. This fact-find would analyse a whole host of items.”
She points out: “The seller should be aware that there are currently some fantastic deals out there for new purchase aircraft. We have very strong relationships with the manufacturers – in most cases we can provide enormous financial incentives for the clients acquiring aircraft. Our ideal scenario would be to buy a new aircraft to operate for two years (under full warranty) then sell it on, starting the process again. This has meant that, even in the current economic climate, all our aircraft are doing well financially.” Sellers of pre-owned aircraft, therefore, must compete with the financial incentives buyers can command when acquiring new. Roberts says: “Both new and used aircraft must be test flown and delivered. Once the purchase is complete some aircraft require importation and registration.” She says it is important for buyers and sellers to appreciate tax efficiency. Some of the benefits for buying and selling aircraft offshore in jurisdictions such as the Isle of Man include a favourable taxation regime designed to encourage business, neutral nationality registration prefix, absence of insurance premium tax and secure mortgage register. Other issues include having a relevant time zone and a jurisdiction offering Standard & Poor’s and Moody’s AAA rating. Roberts says: “Aircraft acquisitions can be complex and multi-faceted.
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EUROPEAN BUSINESS AIR NEWS
NOVEMBER 2010 9
The main priority for the seller is to ensure that all the intricacies are taken care of so the buyer stays with the process.”
Imperatives that can help to clinch that purchase
The aircraft is only worth what a buyer will pay Sellers need to appreciate that the aircraft is only worth what a buyer is prepared to pay in the light of a saturated and fast-changing global marketplace. George Galanopoulos, md of London Executive Aviation (LEA), points out: “The market for preowned business aircraft is flooded right now. Two or three years ago, any used business jet would sell easily and the owner only needed to make minimal effort to secure a sale. Now, however, if you want to sell your aircraft, you need to prioritise basic concerns like smart presentation. Good-looking aircraft will undoubtedly sell more easily than poorly-presented ones, but we wouldn’t advise owners to undertake interior refurbishments to try to raise the price of the aircraft. After all, the chances that an owner’s taste in interiors will be the same as the buyer’s taste are very slim.” Galanopoulos highlights the importance of ensuring that aircraft maintenance records are complete. “If there has been an incident, be honest about any damage that may have occurred. The pre-purchase inspection will certainly expose any attempts you make to hide previous damage, and your chances of selling that particular jet to that particular buyer will clearly then become nil. Your reputation might also be harmed by word-of-mouth.” For an understanding of current market prices, Galanopoulos advises owners to look at ‘Aircraft BlueBook’ or ‘Vref’ industry guides used by finance companies, but warns that pre-owned aircraft valuation is
1. Be governed by the market rate on price
12. Eliminate time wasters and ‘window shoppers’
2. Provide full information up front
13. Target the aircraft at buyers with the relevant payload and operational requirements
3. Persuade potential buyers to inspect the aircraft at your home base
This is one of over 60 Hawker 800XPs currently for sale, from a world fleet of 425, and is offered by JetFlight Ltd. It now resides on the Isle of Man register having transferred from the Bermudan. Look out for our feature on ‘offshore’ registries in the December issue of EBAN.
Oliver Stone: education and expectations
nonetheless an imprecise science. “You can look at the past sales history of an aircraft type as an indication of market prices but, in the end, an aircraft is worth what someone is prepared to pay. You need to be realistic that prices in a flooded market will be low. Ultimately, the price you choose to set, and accept, may simply depend on how eager you are to sell.” In such a complex and fluctuating arena as aircraft sales and valuations, Galanopoulos notes: “To achieve the best possible price, you should take the advice of a broker who
QUALITY AND EXPERIENCE
understands the increasingly global nature of the aircraft marketplace. As little as five years ago, 80 per cent of aircraft sales transactions were completed in the US. That dominance no longer exists. “If you want to find the best price for your aircraft you need to work with a broker who follows the emerging markets, including Russia, the Middle East and the Asia-Pacific region, that are now competing with the US and Europe for used aircraft sales.” But he notes: “Of course, if you are looking to sell in Europe, an aircraft that is already registered in Europe will be easier to sell, at a higher price, than a US-registered aircraft.” Galanopoulos points out that rules for UK value added tax (VAT) on aircraft sales are changing on 1 January 2011. From that date, the zero-rating will only apply to “aircraft operated for reward primarily on international routes.” He notes: “Owners will realise it is a lot more financially viable to add aircraft to an AOC rather than trying to operate the jet privately themselves.”
3. Ensure comprehensive advertising
14. Prices of pre-owned aircraft must be competitive with what's being offered new by manufacturers
4. Reply to all bids with at least a counter offer
15. Peruse and absorb information in industry guides
5. Work out what is an acceptable offer
16. If the aircraft is not enrolled in a maintenance programme obtain ‘buy in’ quotes
6. Put emotion to one side and focus on offering a good practical deal 7. Give way on minor points 8. Keep up-to-date on inventories and prices for similar aircraft 9. Treat the buyer with respect 10. Make the purchase as easy as possible 11. Take advice on tax efficiency Sellers, therefore, have to take into account whether the aircraft is a desirable addition to a charter fleet.
Simple steps can ease the process, but avoid adding personal touches Ocean Sky’s aircraft management md Andrew Hughes strongly recommends an organised, streamlined sales strategy. “Resist the temptation to work with multiple brokers or agents,” he advises. “Doing so can cause confusion and frustration in the market, as potential buyers see the same aircraft being pushed from different angles. Having chosen a sales organisation, make sure you agree the terms and
17. Be aware of marketing drives by manufacturers that might tempt buyers to opt for new rather than pre-owned aircraft 18. Evaluate whether the aircraft-forsale will be perceived as a desirable addition to a charter fleet 19.The seller must offer a deal – and appreciate that the best deal wins conditions in advance.” Certain simple steps, says Hughes, can really help potential buyers make an initial assessment of the aircraft. “Prepare a detailed specification sheet and provide professional photographs, showing the aircraft to its best advantage.” Presentation matters but Hughes warns that personal touches can be a mistake. “Make sure the interior is clean and tidy but don’t be tempted to spend money on refurbishment. Buyers will see more appeal in modifying aircraft to their own tastes and specifications. Similarly, the exterior should be clean, of course, but think twice before making any Continued on following page
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EUROPEAN BUSINESS AIR NEWS
10 NOVEMBER 2010
Continued from preceding page
modifications to the appearance. If the aircraft needs new paint, for example, then simply reflect this fact in the price – leave the buyer with the option to paint the aircraft in the scheme of their choosing.” He adds: “One final point on maintenance: if the aircraft is not enrolled in any maintenance programmes, it may be worth obtaining buy-in quotes from several providers. That information will help the buyer understand all the long-term cost factors when considering your jet against other aircraft on the market.” Hughes confirms that owners seeking to sell need to be realistic about the value of their aircraft and keep up-to-date with the current marketplace conditions. “Work out the parameters. What is a reasonable asking price? What’s an acceptable offer?,” he adds. Ocean Sky also underlines the point made by The Private Jet Company that sellers of pre-owned aircraft are competing with the attractions of buying new and manufacturer marketing strategies. The Lineage 1000 was showcased at the Ocean Sky Jet Centre at London Luton for two days in late September. The aircraft was shown to a series of potential customers, in a busy schedule that included both on-theground demonstrations and demonstration flights. The sales drive harnessed Jet Centre’s FBO services. The stop was part the demonstrator aircraft’s global tour. Sellers of pre-owned aircraft have to compete not only with
T R A INING
P L A NNING
rise in interest coupled with reduced inventory reflects this movement,” he reports. “While conditions are still tough, improvement is expected over the next 12 months with Europe seeing more movement across the range of jets than the US.” Barber warns: “We have seen a return of buyers to the market but most are looking for a bargain and will hold out for a purchase. Deals continue to fall through because of unnecessary haggling, sometimes over the most minor issues. Inventory remains high as buyers are unwilling or unable to take on extra debt and risk so it remains a challenging and exciting time.”
Piaggio Avanti D-IXIE is currently being offered for sale by broker Plane Sayling Aviation. Only around one in seven Avantis are currently on the market, and so they tend to sell more quickly than the average turboprop.
what is available new but the sophisticated marketing campaigns of manufacturers. WHAT THE AIRCRAFT BROKERS ADVISE
Disclose all the facts and save time and money The aircraft should be in good condition with a sale contract, complete documentation and excellent pictures, according to aircraft broker Klaus Kuehl, owner of K-aircraft Jets & Props. “It saves time and money for all parties involved when the seller discloses all relevant facts instead of just highlighting the positive aspects.” He advises: “Don’t show only the
well-preserved rear seats when you take pictures – also take photos of the interior and panel in such high resolution that the potential buyer can read the inscription on the panel.” K-aircraft provides 360° panorama pictures. The seller needs to check the Aircraft BlueBook and investigate the prices of similar aircraft for sale. “Contracts are invariably attuned to prevailing aircraft prices,” Kuehl says. “The owner can minimise liability by selling the aircraft as seen rechecking all the information available about the place of jurisdiction.” Payment usually takes place in advance into an escrow account. Another tip is to persuade potential buyers to inspect the aircraft on the
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Tim Barber advises comprehensive advertising
seller’s home base. “Otherwise it can happen that you fly thousands of miles and you still have not sold your aircraft,” Kuehl warns. More than 80 per cent of preowned aircraft sold in the business aviation sector involve a broker. Much of the secret of success in preparing an aircraft for sale involves choosing the right one and providing all the information required. Comprehensive marketing is critical. Tim Barber, md of JetBrokers Europe, says: “Make sure that the aircraft will be constantly advertised on the principal listing websites and services, as well as print media. Social media increasingly has a role to play in aircraft sales and the chosen broker should be active in this area. The broker should have a good network, a strong team and transatlantic representation to maximise sales coverage.” The company’s president John Merry adds: “Be realistic on the price – this is the most important point. If your expectation is 25 per cent above what your broker is suggesting make an agreement based on the understanding that if there is no interest at your desired price you will move downwards fairly swiftly. There are still far too many aircraft advertised at prices that are out of sync with the market.” Barber says that sellers have to market to individuals looking for the best aircraft at competitive prices and corporate jet operators maximising the opportunity to expand their fleets with pre-owned business aircraft prices lower than they have been in years. He reports an increase in activity since the beginning of 2010 and is cautiously optimistic about the business aviation market for preowned aircraft as the sector recovers from the global economic downturn. “Pre-owned aircraft remain a sensible proposition for those looking for a deal, just as white tails offer good deals for those with buying power,” Barber says. The weaker Euro has resulted in a general increase in prices for sellers as aircraft are generally traded in US dollars. “There is a gradual improvement and increased market interest in Europe. Clients interested in the mid to heavy jets are on the increase and a
The pricing game that often obscures the actual value of the aircraft Tim Blockley, md PremiAir Global, points out that one of the major challenges owners and brokers have faced in the last two years has been how to price aircraft in what has been a very weak market. “So many aircraft are tagged at ‘make offer’ it proves very difficult to know where the market price lies for certain aircraft. BlueBook offers a guide but often we’ve seen real world selling prices to be very different and often not in the direction the owner would like. At the other end of the spectrum we see aircraft advertised at totally unrealistic prices and they just languish on the market, not attracting any significant interest. Stimulating interest in an aircraft and then being realistic with negotiations is essential to making a sale in a market which remains full of choice for the comparatively small number of buyers out there.” Blockley says sellers and their professional advisers must take a detailed and pro-active approach to selling an aircraft utilising client networks, industry partnerships and databases to specifically target potential buyers. All leads need to be followed up, prospective buyers checked out, and viewings and inspections arranged. “The processing of contractual details through to closing needs to be meticulous,” Blockley adds.
Do not allow emotional attachments to cloud your judgement Oliver Stone, executive director of Business Air International (BAI), says the two single greatest influences on a speedy and successful sale are education and expectations. He says: “These are far more important than other ingredients, whether they are photos, advertising, or connections – knowing comparable sales prices as opposed to asking price. Sellers need to keep a firm hold on the understanding that they are selling an asset with volatile price movement rather than a beloved part of one’s life.” Enter into the process with detailed, exact knowledge of what has traded, and at what levels, Stone advises. “Comparable sales are the only true way to figure out what pricing the market will bear. Always ask yourself and your team to update the comparables as much as possible. Keep abreast of the number of transactions occurring each month and readjust accordingly. Try as much as possible to forget that this is your aircraft with all the memories associated with it. The buyers out there do not share your fondness.” BAI advises sellers to keep a keen eye on the inventory levels of similar types of aircraft as well as the specific make that is for sale. “Aircraft markets are very pure supply and demand curves, and small increases in supply can have great impacts upon pricing,” it warns. “An increase in supply in a similar size, but different type,
EUROPEAN BUSINESS AIR NEWS
aircraft will affect the pricing on that market and may drive buyers to that type rather than yours.â€? Sellers cannot expect buyers to take into consideration the price paid for the aircraft. Stone says: “The marketplace does not care about the money you will make or lose when selling your aircraft. Prices are well known and largely commoditised. If you are not priced at the market’s level, you will not sell. Think of aircraft markets like a much smaller and unregulated stock market. If shares of a company are trading for â‚Ź30 no one will buy your shares for â‚Ź45 because that is what you paid. At the same time, if you price your share at â‚Ź15 you will attract a good number of buyers and sell quickly.â€? Stone warns: “The effort required to push deals through is twice what it used to be. It takes a huge amount of time and focus to not only find someone interested in buying an aircraft but an equally large amount of effort to keep them focused on your transaction to see it through. Deals are becoming more and more complex, sometimes with large numbers of different parties involved.â€? These include lawyers, tax accountants, engineers, maintenance facilities, customs agents, aviation authorities and flight crew. “All of these have to be of the same mindset and same agenda as the buyer and seller in order to close. Only one has to dissent in order for the transaction to fail.â€? BAI warns that many online listings may not be aircraft that are legitimately for sale. “For a number of reasons, people post very high prices, leave aircraft advertised that have long since been sold or are no longer available, or were never for sale, online,â€? Stone says. “These postings do not matter. The only true indicator of value is the actual selling price, a number that is often materially different than the asking price posted online.â€? Maintenance keeps an aircraft airworthy but only the rarest of cases such as engine overhauls add value. “Extensive maintenance will help the aircraft sell faster but having an airworthy aircraft is an implied part of the sale,â€? Stone points out. Similarly, the latest avionics or a new interior will aid a faster sale and may recoup the money invested but any increase in selling price may be modest. Stone says: “We see a trend of the majority of buyers purchasing the easiest deal. People are buying an aircraft as it is supposed to make their life more convenient, more enjoyable, and to save time. They will do what they can to avoid the headache that projects often entail. It is therefore incumbent upon the seller to offer an easy deal and
NOVEMBER 2010 11
Trevor Whetter of Chameleon Products believes the seller must deliver a good product.
incorporate into the offering a way to remove the headache.� The seller needs to treat the buyer with respect. Stone points out: “It pays to remember that, as a current aircraft owner, you fit the mould of the prospects you are selling to. They are as successful, hard negotiating and as intelligent as you are. Approach this as if you are selling a deal and in the knowledge that the best deal wins.� The final tip is to make a response to every offer received, even those regarded as derisory. BAI points out: “Real buyers are sparse these days; do not dismiss one when the cost of a counter offer is effectively zero. A low offer may not signal a lack of intent, but more a fear of leaving money on the table. It is not a personal insult but an offer to buy an aircraft: treat it accordingly.�
swapping of documentation and monies between buyer and seller. Specifically the buyer pays a deposit to hold the aircraft and the balance of
the purchase price is paid on closing. At the same time the seller provides documents of title to the aircraft and signs the bill of sale transferring title to the buyer.� Gates says: “With the development of the Asian market’s purchasing power, business aviation has seen growth in purchases from the East. The amounts involved can be of significant value, and often involve cash in a variety of currencies being transferred.� Traditionally, US escrow companies have been the main resource for those seeking assurance in these circumstances but the UK based Securus Escrow is now among
those in Europe to offer the European and Asian markets an option to work within more sympathetic time zones. It works with Gates and Partners and points out the advantages of buyers and sellers carrying out their aircraft purchases and sales within European and Asian banking hours. Gates says: “A deal might have parties based in the US, UK and Switzerland and a requirement to operate within UK business hours with individual client accounts held with a triple A rated bank. The parties involved need to be sure that their money is safe while lawyers complete the transaction. The process also Continued on following page
WHAT THE EXPERTS AND SERVICE PROVIDERS REPORT
The safety and security of the transaction can make or break a sale In the current market deals can collapse for the simplest of reasons which may leave finances and documentation vulnerable, hence the increased usage of escrow services, according to Geoff Gates, md, Gates and Partners. He points out: �One of the key elements in the sale or purchase of any aircraft is the
Making repossessions more saleable Mach Aviation Services Ltd says it has become heavily involved in the past year with the bank and finance community in Ireland, following aircraft repossessions involving makes ranging from the Bell 407 to the Hawker 800XP. “There are specific actions that should be taken in terms of maintenance, efficient storage and making an aircraft attractive to potential buyers through target pricing and comprehensive marketing,� says the company’s Robbie Merrigan.
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EUROPEAN BUSINESS AIR NEWS
12 NOVEMBER 2010
Continued from preceding page
needs to ensure independent checks on the buyers and sellers to make sure they are who they say they are. The extra level of security for all involved helps ensure that sales do not break down or cause problems at the last moment.”
PremiAir Global: realistic negotiations.
All parties should sign agreed terms. Gates says: “There have been instances where a buyer from the US was selling to a European company without any agreed terms relating to the transaction of funds. If there are no instructions to abide by then parties can end up in legal dispute, often without defined jurisdiction, which costs everybody time, money and a lot of stress. Use of escrow companies removes this kind of risk.” Andy Hoy, md of ExecuJet Aviation Group, says: “In the current economic climate utilising an escrow service can certainly avoid many pitfalls and provide the parties involved with a more secure way to transact.”
Factors governing the choice of a blanket or target approach Trevor Whetter, ceo of Chameleon Products, says sellers need to decide which marketing approach to adopt. He says ways of selling include: • The full marketing approach involving placing the aircraft
on to web sites etc. • A low key ‘under the radar’ initiative which involves using strategic partners with good contacts; • Word of mouth Whetter says: “Whichever approach is chosen, the seller needs to deliver a good product, be professional and make sure the customer is happy as he will tell his friends who hopefully may also wish to buy.” He advises: “Be straightforward, simple to deal with and most of all very patient. Customers are always right (sometimes incorrect, confused or misguided) but never wrong. “The art is to avoid wasting time with people who have neither the resources nor the inclination to buy an aircraft. You can waste time and money on ‘window shoppers’ so substantiating the credibility of the buyer quickly is paramount.” He says that sellers should never try to sell an aircraft in isolation to its needs. “Always try to provide them a complete back up package of support for their new purchase. Don’t get confused between marketing and selling – they are very different and never forget no deal is done until the money is in the bank.” The company’s own marketing strategy involves adding appeal by naming each aircraft after its interior. Whetter says: “We are working on five B737-500s and we have our oyster aircraft (oyster colour interior); blackbird (black leather seats); polar (polar-coloured leather); moulin rouge (red interior and silver). For sellers, the sales and marketing strategies that count are the ones that work for them. An aircraft is never sold until the cash is paid over and the aircraft is delivered and that will only happen if there is a buyer prepared to pay the seller’s price.
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Hesnes finds that a wide but bespoke range of offerings are key to its success.
Operators develops exportable expertise in tough home market Norwegian operators such as Airlift, Hesnes Air, BlueWay AS, Blom and Benair have built a reputation for getting difficult jobs done on time. Resourcefulness continues to bring them both new and repeat business in harsh operating conditions, despite difficulties exacerbated by economic recession. Norway depends on helicopter expertise to install and maintain infrastructure and run essential services but its operators also bring in valuable business from abroad. Airlift, whose helicopter fleet performs diverse missions in one of Europe’s most difficult climates, has been awarded a recent contract as helicopter operator for the Norwegian Polar Institute. Benair, in cooperation with a French partner, is certifying a Caravan equipped for aerial surveillance and reports promising feedback from potential clients while Blom and BlueWay continue to win contracts abroad. Airlift confirms: “Our helicopter service will be utilised for scientific expeditions in the Svalbard archipelago.” The company, which is also the Norwegian government’s SAR contractor, adds: “Svalbard has 23 nature reserves and is a breeding ground for many seabirds as well as being a habitat for polar bears and reindeer. The conditions are challenging as some 60 per cent of the archipelago is glacier and the islands feature many mountains and fjords.”
Heavy lifting
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A
Airlift, established in 1986 and headquartered at Foerde in Sogn og Fjordane, maintains a fleet of around 17 helicopters. It operates the AS332C twin with the ability to carry 17 passengers and heavy lift capability for loads up to 4,000kg, both VFR and IFR. This is complemented by the AS350 B2 which Air Lift points out is well suited to carrying five passengers and good loads and has a cruising speed of 120 knots. Airlift operates the AS350 and a bespoke version of the AS332 L1. “This is specially equipped for all-weather SAR in northern regions,” the company says. It has IFR/VFR, autohover, de-icing, night vision goggles, infra-red camera, radar, electronic
Real-time technology
Benair: interest from TV services.
charts with position display, winch, HIFR and Iridium satellite telephone. The fleet is rounded off by the twin engine SA365 N2. The company’s main area of operations spans southern Norway and the Arctic region and targets the domestic market in northern Europe, rescue operations and heavy lifting. Airlift says: “Cabin construction is one of the most interesting sectors. The helicopter is the most efficient, environmentally friendly and often cheapest method for transporting cabin building materials. They can carry any cargo and place it directly at the required location. With good planning, the need to transport additional material later can be reduced to a minimum. Turf can be placed directly on roofs, sections and roof frames can be assembled in place.” The company says the most frequently used helicopters, equipped with webbing nets and bags, carry loads of between 800kg and 1,000kg. Despite the global economic recession, Airlift reports a good demand for tourist flights and passenger transport for groups between five and 17. “Many people want to enjoy a helicopter flight over the beautiful countryside of western Norway which provides a birds-eye view of the mountains, glaciers and fjords,” Airlift says. “We obtain the required landing permission from municipal authorities and we are an environmentally-conscious company that takes care to minimise disturbance to wildlife.” Airlift caters to hunting and fishing enthusiasts. It points out: “A short flight of a few minutes can be a welcome alternative to many hours carrying a heavy load without the assistance of motorised vehicles.”
Benair has refocused its business and reports a good level of interest in its new services. The company says: “In cooperation with a French partner we have started the certification process of a 208B Grand Caravan equipped for aerial surveillance. This platform includes real-time, highreliability and high-definition transmissions technologies.” The move has brought interest from TV broadcasting services, companies responsible for sea pollution monitoring, road and fishing zone surveillance, forest fire monitoring and mapping and SAR. The company adds: “With HD optical, thermal infrared and distance measuring capabilities, this will be a very versatile platform and an interesting new market segment for Benair.” Benair has operated the 208B in difficult Norwegian seasonal conditions for many years attracting business through its 1,350kg carrying capability, 9.6cu. m. space and large access door. “Its size and strength consistently brought us good niche business,” the company says. “For instance, for many years we supported the Norwegian Armed Forces on their parachute training. Then, in 2006 Cessna developed an annual winter operation training programme for the Caravan which pilots need to complete before every winter season. This has become a vital addition to the winter ops training with Caravan specific considerations.” The 208B is operated on a multicrew basis and its versatility has proved vital to Benair’s business reorganisation and future. The company explains: “During 2009 two of our large customers, a major Norwegian newspaper and the Norwegian postal service, reorganised their transport structure and no longer needed the Caravan. This resulted in the closure of our bases on the west coast and in the north of Norway. The aircraft and crew were then repositioned to our main base at Oslo Gardermoen. We operate the parachute configured aircraft from this base along with other activities such as daily flights for DHL.”
EUROPEAN BUSINESS AIR NEWS
NOVEMBER 2010 13
Safety records
NORWAY REGIONAL REVIEW
Hesnes Air says that its success is down to offering a wide but bespoke range of services spanning aerial works, passenger, photography and film, sightseeing and leisure, air ambulance and medevac, cargo and freight. Pia Harneshaug, accountable manager, says: “We operate a modern fleet offering the Citation Encore and a King Air B200 both with club seating which can carry seven or eight passengers in addition to two pilots. The aircraft offer excellent safety records and good cruising speeds.” Magne Solberg, B200 captain, says: “Our King Air 200 is equipped with a cargo door which is ideal for freight and cargo and allows for easy on-offload with forklift, but it is also good for our air ambulance service. It enables easy and comfortable access for patients. The B200 is also approved for steep approach and short field landings, which allows it to operate at airports with 750m to 1,200m short runways. This gives us an excellent benefit, bringing our passengers even closer to their final destination.” The company works with Global Medical Support often supplying flights at very short notice around Scandinavia. Hesnes Air also operates the AS350 B3 and MD500N which has a lifting capability of 500-1,300kg, and can take 3-5 passengers. Nils Helge Silbodal, chief pilot, says: “Both types have unique manoeuvring capabilities and can take off and land in out-of-the-way places. They have the very latest instrumentation as well as a low number of flying hours.” Sissel Kirkvaag, marketing
C H A R T E R
The latest intrumentation equips Hesnes Air’s helicopters.
manager, adds: “We are licensed to provide full aircraft management for turboprops, jets and helicopters, and have a useful hangar capacity at Sandefjord airport, Torp.” BlueWay, which has provided helicopter services since 1986 and today operates a 26-strong fleet, provides services within the oil and gas, infrastructure, environment and SAR sectors. DanCopter, a wholly owned subsidiary of BlueWay, provides passenger transport services to oil and gas companies in the North Sea from bases in Denmark, Holland, Ireland and Norway. BlueWay has operating units in Norway, Sweden, Denmark, Finland, Iceland, Greenland, the Netherlands, the UK and Ireland. Additionally, its subsidiary Vertech Offshore provides worldwide offshore services with projects in Brazil, the Gulf of Mexico, Canada and the Philippines. BlueWay says it chose the AW139 for its technology, performance, low
B R O K E R
performance, HUMS, advanced navigation systems and the availability of a Level D flight and mission simulator.
International focus
Blom: international focus.
operating costs and safety standards. It adds: “With its power reserve, the AW139 delivers Class 1 performance from a helipad, elevated or at ground level, at maximum take-off weight with an unmatched one engine inoperative capability.” The standard configuration provides seating for 12 or 15 passengers in an 8 cu. m. cabin. Operational and safety requirements the helicopter meets include that specified by Shell Aircraft International for worldwide use by Shell companies which complies with JAR/FAR29 and offering Class 1
Another operation with an international focus is the panEuropean company Blom, with head office located in Norway. Blom has built up a diversified business serviced by a large helicopter and fixed wing fleet. “Aerial photography is the traditional basis for many of Blom’s products and services,” the company explains. “Large format cameras are mounted in twin-engine aircraft and images positioned using GPS with inertial measurement units and where available, active networks, providing camera positioning and image orientation data, improving quality and reducing costs.” Blom aircraft have pressurised cabins enabling projects to be undertaken from both high and low altitude. “Conventional photography
Corporate America targets offshore business in Europe and the Middle East
ConnectJets donated the auction prize for the annual Jason Leonard charity dinner in London which supports the Haven House children's hospice. Haven House provides specialist care for children and young people who have life-limiting conditions and who are unlikely to reach adulthood. Events included a darts challenge featuring England rugby stars Jerry Guscott, Lawrence Dallaglio, Simon Shaw, Phil Vickery, Joe Worsley and Nick Easter. The auction prize raised over £10,000. Four guests were flown in a Hawker 800XP to Loch Lomond Golf Course in Scotland to play in an event hosted by Leonard and former footballer Ally McCoist.
Corporate America Aviation, a specialised 21-year-old air charter brokerage practice, has unveiled a new foreign charter attaché service to support flight departments and charter operators worldwide with Europe and the Middle East prime regional targets. Founder Daniel Darwish says: “For the past several years, the majority of Corporate America Aviation’s business has come from arranging aircraft charters entirely outside the Americas. Flight departments and charter companies do a fine job of flying their own aircraft to global destinations, but when asked by an owner or client to make arrangements completely offshore without using their own company assets, they are often unsure where to begin or how to proceed. This is where our skill set comes in and we can offer a complete turnkey service.”
Air Partner has won the contract to be the sole provider of all passenger and freight air charter services for the UK government’s department for international development (DFID) for the next four years. Mark Briffa, ceo, says: “DFID is responsible for almost all humanitarian airlifts on behalf of the UK and for addressing the UK’s global relief efforts. The contract was won following a six month competitive tendering process. Responsibilities will include organising emergency flights for any civilian deployments of response teams and the evacuation of British nationals.” Graham Davey, government and military business manager, says: “We have formed a dedicated team of highly qualified staff to directly support DFID’s operations and to ensure success of their global objectives.”
Continued on following page
N E W S . . .
ConnectJets sponsorship helps raise £10,000 for charity
Air Partner wins government global relief contract
activities use a number of aircraft based throughout Europe including a Learjet, enabling the company to mobilise at short notice to any location in Europe in a minimum time,” the company says. The fixed-wing aircraft carry updated survey equipment that facilitates the production of 3D maps. “Aircraft are equipped with survey cameras, laser scanners (LiDAR) and hyper-spectoral scanners, providing the ability to acquire imagery in both the visible and non-visible parts of the light spectrum.” The company says it has developed a unique geographic server, BlomUrbex, which can provide the company’s oblique aerial images and 3D models through online streaming. Blom’s database of detailed oblique images covers more than 4,000 cities in Europe. In addition, Blom has created 3D city models covering several hundred European cities. The company says: “Blom has been adding new 3D city models from all over Europe for some time. In Norway, 3D models cover Trondheim, Oslo, Ski, Stavanger, Bergen, Kristiansand, Fredrikstad, Sarpsborg, Ås, Drammen, Lier and Haugesund.” Blom’s international partners and clients include Microsoft, TomTom (Tele Atlas), EADS and Infoterra. The company explains: “The Blom group focuses its expertise in the acquisition, processing and delivery of geographic information from land
Jason Leonard with Gabriella Somerville (left) and Vanessa Dale of ConnectJets.
Partners at Vertis Aviation are Jeffrey Emmenis, Erica Da Veiga and Luca Madone.
Vertis targets long haul luxury sector with combined charter and broker services Vertis Aviation has launched in Switzerland as a boutique private jet broker. The company, which will offer a combination of private charter and brokering services, has been created by Glaronia Aviation, which offers
aircraft for charter along with sales and acquisition services, and 28 East Group based in Zug, Switzerland, and founded by Jeffrey Emmenis and Luca Madone. Emmenis explains: “We sell and market a managed fleet of aircraft while offering our direct clients the ability to book sub-charters should our marketed not be available. The name 28 East comes from the line of longitude which splits the continent of Europe from Asia, and reflects our vision of creating one aviation company which equally serves the East and West.” Vertis Aviation will have sales agreements with various aircraft owners and operators and market those aircraft directly through brokers and direct to the marketplace. “We look forward to bringing on board more operators of large jets,” says Emmenis. ‘The primary role of Vertis is going to be charter.”
Film festival provides ‘Cannes of the north’ business Air Partner’s commercial jets division flew 100 passengers to northwest France for the 21st British Film Festival in Dinard. An Embraer 170 regional jet carried sponsors, judges, film celebrities, organisers and guests direct from London with a return flight after the closing ceremony. Romain Papy, Air Partner’s country manager for France, says: “Dinard, with its reputation as the ‘Cannes of the north’, came alive as the glitterati of the film industry showcased the best of English language film and competed for the Hitchcock d’Or, the festival’s coveted
prize.” Joint winners were Made in Dagenham, which follows the story of female factory workers fighting for equal pay in the 1960s and Treacle Jr, about a man who leaves his family to live on the streets.
ACS expands in Germany as charter demand rises Air Charter Service (ACS) is expanding in Germany in response to rising charter demand and says it has big plans for its Frankfurt office. Tony Bauckham, md (pictured above), says: “We have a significant presence here and a large German client base already. We feel that now is the right time to expand our business reach in the country, and plan to invest in personnel and infrastructure in the Frankfurt office in order to drive forwards in the coming months. This will, in turn, create new clients for us.” He adds: “We have expanded a great deal already this year in our other European offices, and we are confident that the Frankfurt office will follow suit and thrive as well – in both the passenger and cargo sectors.” Alex Hertle, who first started with ACS in 2006, will head up the Frankfurt office.
EUROPEAN BUSINESS AIR NEWS
14 NOVEMBER 2010
NORWAY REGIONAL REVIEW Continued from preceding page
and sea in five main business areas – aerial photography, LiDAR (laser scanning), mapping and modelling and database development.” Applications for laser scanning include electrical transmission and distribution lines, embankment condition monitoring, engineering design, floodplains, forestry inventory and condition management, topographic mapping and urban modelling and planning. Last year Blom was awarded a framework agreement by Lantmäteriverket in Sweden which is responsible for production and maintenance of geographic and real estate information in Sweden. The contract, which spans more than four years, includes airborne data collection and production of laser data from a height of 2,000 metres for a new national height model for Sweden that covers an area of approximately 450,000 square kilometres. Blom says: “The dataset can also be used for a wide range of purposes such as urban planning, road and infrastructure planning, defence and safety, analysis and risk assessment related to climate and environment and for forest inventory.” It adds: “This is currently our main contract within the Nordic countries and is occupying up to four aircraft until it comes to completion during 2013.” Other projects during 2010 have included the bathymetric survey of Bulgaria’s Black Sea coastline to identify archaeological sites and enhance maritime cultural resource preservation and protection. Blom has expanded to operate about 30 fixed wing and rotary aircraft equipped with 12 high tech lasers and scanners, 25 digital photogrammetric cameras, software applications and data storage capabilities and scalable databases. It has also invested in its headquarters and hangar facilities. The new main base for Blom’s aerial resources for the Nordic countries is now located at Rakkestad airport in Norway about a 90 minute drive south-east of Blom’s main office in Oslo.
Training company invests in helicopter simulator The European Helicopter Centre has acquired an Elite Evolution S723 FNPTII simulator. This is the first simulator that the company has bought outright after previously leasing equipment. Formed in 1993, EHC now operates a fleet of 13 helicopters from its base at Sandefjord Lufthaven and can call on six freelancers as well as its 15 full time instructors. The training reflects the rugged
geographical demand of Norway – sling load work, aerial work including photography, line inspection and air taxi. The Elite S723 simulator has a three channel Cave visual system with a 270° x 65° field of view, 3D rendered graphics of the airports at Sandefjord, Skien and Rygge including 60cm satellite imagery of the surrounding ground features, and 100km x 100km scenery that allows EHC to train pilots to fly up to 30 minutes cross country entirely on visual cues. The whole system has been certified by the Norwegian CAA to FNPTII. EHC’s head of training, Øyvind Juel Bache, says: “We tried several manufacturers but decided on Elite’s helisim through a combination of customer response time, system performance, price, delivery time and support. We use the FNPT for basic instrument training during the PPL(H), CPL(H) and FI(H) courses as well as for the 40 hours in the IR(H) course – and we are already looking to upgrade it to represent the AS355 with MCC.” Tore Moskvil, md of Nova Consult, which specialises in insurance for helicopter, business jet owners and AOC operations with aircraft that cater for up to 50 passengers, says the market is very competitive and it is imperative to use only the best underwriters. “Our target is to be number one in the Nordic area but to stay in general aviation. Therefore we will broaden our cover and scope of services in the sector.” Skien Lufthavn, Geiteryggen, is among airports seeking to attract business from owners and operators of private aircraft. It currently handles 50 business aircraft fixed wing movements and 400 helicopter movements annually.
I N D U S T R Y
N E W S . . .
Bombardier launches Global 7000 and Global 8000
JetEx supports UNICEF work with deprived children
Bombardier has introduced two new jets, the Global 7000 and 8000, alongside the current models Global 5000 and Global Express XRS. The 7000 will feature the largest cabin, at 2,637cu ft, arranged in four zones. It will have a range of 7,300nm and entry into service is scheduled for 2016. The 8000 will fly farther than any other business jet at 7,900nm. It will carry eight passengers in a threezone 2,236cu ft cabin. Entry into service is scheduled for 2017. Both include enlarged windows, that provide approximately 80 per cent more surface per window than on current Global aircraft; a generous baggage suite accessible during flight and a crew rest area with berthable seating.
JetEx Flight Support has agreed to grant UNICEF one percent of the revenue generated by the provision of overflight and landing permits worldwide between 15 October 2010 and 15 April 2011. UNICEF works with its stakeholders in reducing infant, underfive, and maternal mortality rates, improving the quality and relevance of basic education, promoting investments in water, sanitation and hygiene and strengthening child protection systems.
SwiftBroadband certified for European Challengers Aircell’s SwiftBroadband system has been certificated for Challengers in Europe. A 604 aircraft owned by A J Walter Aviation was used as the certification platform, and now supports BlackBerrys, laptops and iPads anywhere in the cabin over a Wi-Fi link.
Gulfstream reveals new G250 interior Gulfstream has unveiled a new interior for the G250, incorporating a cabin management system, highdefinition cabin entertainment system, low cabin sound levels, a low cabin altitude, 100 percent fresh air, a best-in-class galley, integrated storage, 19 windows and a modern lavatory.
The 2010/11 EBAN Handbook of Business Aviation in Europe is out now, and gives details of many more Norwegian charter operators. It also lists business aviation facilities and services including airports, FBOs and maintenance centres. The details can be accessed online through a search of aircraft operated or the airport bases. For more information please visit www.handbook.aero
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Dassault Falcon has appointed Jeddah-based Saudia Private Aviation Engineering and Maintenance as a Line Service Center, offering capabilities including a corrosion prevention and control programme, ageing aircraft inspections, landing gear repair and replacement, and paint services. There are 50 Falcons in the region already, and an expected increase of 50% over the next three years.
Daher-Socata has announced that long-term TBM owner/operator Mr John Merry will establish a new company to take on the distributorship of the TBM850 family in the UK and Ireland. Effective January 2011, the new organisation will also be responsible for maintenance, technical support and spare parts provision from a soon to be announced airport base. John Merry has owned three TBM and four TB 20 aircraft since 2002.
EASA has granted certification for the Legacy 650 executive jet. This large extended-range aircraft is a derivative of the successful Legacy 600 super midsize, which has nearly 200 units delivered to customers worldwide. Deliveries will begin as planned in 2010.
Cessna announces larger, advanced Citation Ten
Honda has begun ground testing its first conforming flight test HondaJet in preparation for first flight. The proof of concept aircraft has now accumulated more than 500 flight hours, and a US production facility is due for completion in 2011.
Cessna has launched the Citation Ten (pictured above), a larger and more advanced version of the Citation X. It marks the debut of the Garmin G5000 avionics suite and a Cessna-exclusive advanced cabin management system, and features more powerful Rolls-Royce engines. First flight will be in late 2011, with certification and first delivery in 2013. The Citation Ten has a 15-inch longer fuselage, winglets, a new electrical system, dual lithium-ion batteries, new avionics, autothrottle, and a redesigned cabin with new interior seats.
Hawker 200 is unveiled
G450 capability boosted
Hawker Beechcraft has launched the Hawker 200, evolved from the Premier II. It features winglets, new engines, a gross weight increase and a higher ceiling, a MultiScan Weather Radar, ADS-B Out capability, and high reliability with a 400-hour inspection interval and 10year airframe warranty. Following the first prototype flight in March 2010, the Hawker 200 has accumulated more than 100 hours in flight test and is scheduled for certification in the third quarter of 2012, with first deliveries planned for the fourth quarter of that year.
Gulfstream has improved the payload-carrying capability and performance of its G450, enabling it to carry 12 passengers with a maximum fuel load. The modification will feature in production aircraft beginning in the first quarter of 2011.
HondaJet progress continues
TBM850 distributor named
Legacy 650 lands European certification
Dassault Falcon expands Middle Eastern service
Comprehensive Norwegian data online free-of-charge
is expected to cost an average of 25 percent less to operate per hour than comparable production VLJs. The baseline proof of concept PiperJet has flown more than 375 flight test hours and more than 350 landings. The first of four conforming PiperJet Altaire flight test aircraft will begin flying in 2012. Certification and first customer deliveries are planned for 2014, slightly after the previously scheduled date.
Corporate Aircraft orders five C90GTx Hawker Beechcraft has received an order from Corporate Aircraft, which has offices in Milan, Paris and Geneva, for five King Air C90GTx for deliveries beginning in 2011. Said Sean McGeough, HBC president, Europe, Middle East and Africa: “The ability to carry more fuel with higher payloads, coupled with the increased range of the C90GTx makes it ideally suited for the European marketplace.” Key enhancements to the King Air C90GTx include an increase in maximum gross weight and the addition of composite winglets.
Bombardier launches customer delivery teams Bombardier Aerospace has introduced customer delivery teams designed to provide support to new aircraft owners at no extra cost. The teams will consist of avionics technicians and cabin interior experts, as well as third party maintenance specialists.
PiperJet becomes Altaire
Avfuel announces in-house flight planning company
Piper Aircraft’s single-engine very light business jet is to feature a larger, round fuselage design. The single-pilot PiperJet Altaire, as it is now named, will have a typically equipped priced of $2.6 million and
Avfuel Corporation has added a dedicated flight and trip-planning subsidiary called Avplan. Avplan innovations include several proprietary software planning tools.
EUROPEAN BUSINESS AIR NEWS
NOVEMBER 2010 19
EMBRAER
Collins Proline 21 w/IFIS 5000 upgrade with electronic charts and map overlays, 7 pax corporate interior, fresh C check. Contact Mike Lacey, PlaneSayling Aviation Limited. Web: www.PlaneSaylingAviation.com. Email: mike@planesaylingaviation.com
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Aircraft for sale Special packages are available for advertising aircraft for sale in EBAN and on our web site (www.ebanmagazine.com). Picture adverts (40 words of text plus colour picture) cost £75 each. You can also choose our new display advertising option for larger inventories. BOMBARDIER
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2001 delivery, 1120 TSN, European aircraft since new, JAR-OPS 1, RVSM qualified, Collins ProLine 21, gravel kit, single point refuelling, 7 pax corporate interior. Contact Mike Lacey, PlaneSayling Aviation Limited. Web: www.PlaneSaylingAviation.com. Email: mike@planesaylingaviation.com
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Essential reading wherever you are Handbook of Business Aviation in Europe
Handbook of Business Aviation in Asia Pacific
The reference book for fixed wing and rotary business aircraft owners and operators in Europe and the Middle East.
The reference book for fixed wing and rotary business aircraft owners and operators in the Asia Pacific region.
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