E U R O P E A N
BUSINESS AIR NEWS ISSUE 212
Multi-base K-Air ponders addition of seventh P180 Italy’s K-Air, which operates six Piaggio P180 Avantis, is evaluating the option of acquiring a new P180 Avanti II. The company says that its business model focuses on air taxi services with 90 per cent of the demand coming from corporate clients and the rest leisure flights. “We expect to improve our levels of business by further developing the main stream of corporate client services,” the company adds. “We regard current prospects as much more promising than two years ago.” The fleet currently consists of two P180 Avantis and P180 Avanti IIs. “The P180 was chosen both for the stand-up cabin and because of the lower impact of operating costs with excellent performances in terms of speed and range.” The Villanova d’Albenga based company says flying activity in 2010 showed a slight recovery compared to the last quarter of 2008 and the full year of 2009. “Our main key performance indicator is represented by flying hours that in 2010 were almost in line with 2007 results.” It says it is happy with its policy to focus operations on the Piaggio P180 utilising a multi base network spanning Milano, Roma, Bologna, Genova and Albenga. “We expect to increase our business by leveraging our multibase network which enables us to provide a high quality service without repositioning costs.” Despite more buoyant business conditions K-Air says that it is not expanding its staff at present. The company says: “Recruiting is generally performed within our own network. Our pilots are Italian and French. However at the moment we do not have any vacancies to highlight.”
Silver Cloud welcomes second Sovereign
Germany’s Silver Cloud Air has brought a second C680 into service, augmenting its Cessna fleet of a CJ 525 and 525A and XLS. Pictured with the new aircraft are ceo Udo Maeyer, director flight operations Boris Falke, sales manager Yukinori Maeda, technical director Dietmar Metz and quality manager Ralf Wörner (see full story page 4).
Patriot highlights an increase in aircraft advertising scams
Patriot Aviation warns that there has been an increase in fraudulent aircraft sellers and online advertisements, particularly with regard to rotary aircraft. Mark Souster, Patriot Aviation md, says: “These false adverts often feature aircraft advertised elsewhere by reputable dealers. The false adverts often show the owner’s or broker’s address but with a false email and phone number. “The fraudsters normally advertise the aircraft at a much lower price than the official seller to encourage unwary buyers – and ExecuJet merges actual aircraft details vary as well Middle East charter as the aircraft hours and location. sales teams page 2 The phone numbers are premium rate and when contacted they Bulgaria boosts will advise the buyer to transfer a border patrol page 2 sizable deposit to remove the aircraft GFS lines-up fivefrom the market prior to a prestrong launch fleet page 3 purchase inspection.” Souster adds: “We advise buyers Comlux plans more fleet additions page 4 searching online for an aircraft to ensure they research the seller prior Rizon Jet adds ACJ to to committing to any purchase and managed fleet page 5 where possible make use of the service offered by professional GlobeAir claims global Wyvern first page 5 brokers and dealers.” Patriot Aviation is the UK’s For details of how to enter, see ForSPECIAL details FOCUSES of how to enter, see
Perspectives: The aircraft salesman Charter broker news
Private jets: sales involve high stress and good earnings potential.
exclusive sales representative for the Cessna Caravan in the UK and Northern Ireland. The warning comes as EBAN focuses on the critical role of bona fide aircraft salesmen featuring interviews from a wide range of industry figures ranging from Cessna Aircraft Company’s vp Trevor Esling, to Avinco’s helicopter expert Peter Dahm (see Perspectives, page 6). The daily routine can begin with an early morning telephone call and a flight of hundreds of miles to see a client who, at the last minute some weeks later, decides there is a better deal elsewhere. The comments from those interviewed confirm that aircraft sales executives face stress and long
working hours but can make good money and enjoy a lifestyle where they meet interesting people. Bryan Johnston, president and ceo of Aviation World Services – AWS Lease Finance, points out: “Every part of the world operates differently, and out of 100 enquiries, you may do one or two, as the majority of people do not have a clue what is entailed in selling, financing or leasing an aircraft. They don't know what the costs are at all.” The sales executive has to cope with clients backing out and heavy maintenance problems being discovered during the pre-buy inspection. “A good sales rep earns lots of money as the commissions are very good, but as you are not on a salary, the stress is there. One good sale can keep you going for a few years.”
Business aviation through the eyes of the aircraft salesman pages 6-13
PERSPECTIVES
ABS Jets puts faith in green electricity ABS Jets, one of the first companies to use electric cars at its Prague and Bratislava facilities, is to install wind turbines at its Ruzyne facility. Vladimir Petak, ceo, says: “The installation and launch of these two WT 6500 wind turbines will help confirm ABS Jets as one of the world’s greenest business jet operators. Electric car charging stations will be an integral part of the new ABS Jets centre.” He says ABS Jets has signed a contract with Windtronics East to use a system that begins to produce energy at wind speed. He adds: “An innovative ‘blade tip power system’ means that the WT 6500 has no gearing system, making it free from any vibration and practically noiseless – less than 35 dB – even in high winds.” Petak says the turbines measure only 1.8 metres wide and weigh 83 kg so they are easy to install on poles, communication towers, commercial, industrial and residential roofs. “Each can produce up to 2.2 kw of electricity at maximum capacity. We are taking the lead in using such ‘green’ energy.”
page 6 page 12
Denmark Regional For details of how to enter, see Review page 13 Industry news
MARCH 2011
page 14
Join the World movement… For fuel, ground services and trip arrangements around the globe, contact us at: fuel24@wfscorp.com or dispatch@avcard.com
EUROPEAN BUSINESS AIR NEWS
2 MARCH 2011
ExecuJet merges charter sales teams to optimise its services to the Middle East region ExecuJet Middle East and ExecuJet Europe are merging charter sales teams as the company continues to expand its global fleet. Paul van der Blom, aircraft and business management development director ExecuJet Middle East, reports that the regional market is picking up and that expansion of services from Qatar is proceeding smoothly. He adds: “The sales teams are being merged in a drive to create further coordination and higher optimisation of the charter services offered through a dedicated team of more than 10 charter professionals. Both regions will be working on a common IT platform to further harmonise their services which will enable the team to sell flights for the entire fleet to all charter clients.” ExecuJet Middle East has signed a partnership agreement with Al Faisal Holding bringing into being a new business aviation company in Doha named ExecuJet Qatar. The new company has been established to secure an AOC and provide aircraft management and charter services to clients in Qatar.
Hadi Al Abbas and Mike Berry celebrate progress.
Van der Blom says: “Going forward staff numbers are expected to grow proportionately to the number of aircraft under the management of the company.” ExecuJet Middle East md Mike Berry says: “ExecuJet’s business in the region has been growing steadily for many years, what we have seen is further potential with the region and have always expressed our plans to
expand our geographic footprint further within the Middle East. The opportunity for this partnership has come at the ideal time and we look forward to our future in Qatar.” Sheikh Faisal Bin Qassim Al Thani confirms: “Top quality aviation services are in high demand in Qatar in particular and in the Gulf Cooperation Council countries as a whole.”
Antonio Martini, vp Embraer (left), with ExecuJet Middle East maintenance director Nick Weber.
ExecuJet Middle East has been operating in Dubai for over 11 years providing charter, aircraft management, maintenance, aircraft sales and FBO services. “With land at Dubai World Central already secured and the recent addition of a new hangar at the ExecuJet Dubai facility, the new entity in Qatar is the perfect complement to the company network,” Berry says. See also page 3.
Cessna Citation Authorised Sales Representative
2001 Citation Excel Serial No: 560-5215 Registration: M-CEXL
2006 Citation Sovereign Serial No: 680-0094 Registration: G-SVSB
Bulgarian border police have taken delivery of two AW109 Powers and an AW139. Pictured are Ugo Rossini (left) of AgustaWestland handing over the aircraft documents to minister of the interior Tsvetan Tsvetanov.
www.timleacockaircraft.com +44 (0)1258 818181
Nomad Aviation AG reports that its Legacy 600 is proving a valuable addition to the fleet. “The aircraft provides Nomad Aviation’s customers with more availability, choice, flexibility and long haul scope,” says co-principal Rainer Schnurr. Demand, says co-principal Claude Neumeyer, is worldwide although much business is being generated by the tourist winter season in Berne, Switzerland, where the Legacy 600 is based. “It is strategically well located to serve clients in both western and eastern Europe.” Neumeyer adds: “It is a valuable addition to Nomad’s existing fleet of Challengers 604s, offering a complementary choice of 13 vip seats in day configuration or three single beds, two double beds and a king-size bed in night configuration.” Schnurr says: “Big pluses include the extensive cargo compartment which ensures there is sufficient space for plenty of luggage and the long-range capability that exceeds 3,000 nm. Our clients like the highstandard, luxurious stand-up cabin.” Nomad presently offers three Challenger 604s and a Legacy 600 worldwide with a CJ1+ focused on Europe with further diversification planned through the Gulfstream 200.
Grossmann Jet Service prefers bigger CJ2+ to Mustang
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2008 Citation CJ3 Serial No: 525B-0231 Registration: G-TSJF
Nomad pleased with impact of Legacy 600
Bulgaria boosts border patrol with three new helicopters Bulgarian border police have taken delivery of two additional AW109 Power light twins and an AW139 medium twin to provide air surveillance capability on the outer EU borders. A border police official said: “Bulgaria is expected to be a Schengen Zone member shortly. This means it must have reliable border air surveillance. The AW109 Power is equipped with an impressive range of avionics and mission-dedicated equipment including a NVGcompatible cockpit, moving map display, weather radar, searchlight, external loudspeaker, HD FLIR, digital video downlink, video recorder, mission console and an integrated radio suite for tactical communications and airborne command and control functions.”
Bulgaria’s new aircraft in flight.
The official added that the AW139 would provide a greatly enhanced aerial policing service as well as a comprehensive SAR capability over the sea and mountainous areas. “It features an advanced range of mission equipment including an Enhanced Ground Proximity Warning System and TCAS.” The new helicopters join an AW109 Power delivered in 2010 and enlarge the Bulgarian border police helicopter fleet to four.
Czech operator Grossmann Jet Service has added a CJ2+ to its fleet replacing the smaller Mustang. “As the market picks up after the crisis period, demand for an aircraft such as this has been growing,” marketing manager Sona Stejskalova reports. The CJ2+ joins a Legacy 600 and a Hawker 900XP operated out of Prague Ruzyne airport. Stejskalova says: “The CJ2+ is often called an owner-friendly aircraft, with its excellent landing and take-off capability, a comfortable cabin environment for up to eight passengers and range of 2,987 km.” Dagmar Grossmann, ceo, adds: “We have found a good market with travel agencies and therefore we decided to go for the CJ2+, instead of keeping the Mustang, the smallest aircraft we had. “Apart from the fact that the CJ2+ has better range than the Mustang, the CJ2+ also has more capacity and a lavatory. The CJ2+ will definitely better serve our clients’ needs.” She adds: “Without refuelling you can go from Prague to Amman or from Paris to St Petersburg. The aircraft also has a very good fuel economy. The CJ2+ is single pilot capable, however to maximise passengers’ safety, there will always be two pilots.” Grossman says two baggage compartments enable clients to take skis, golf bags and other oversized sports equipment. “This light jet is a cost-effective alternative to business flights. We are very optimistic about the potential of the CJ2+ for our company, as its performance and its price makes the aircraft extremely competitive on the charter flights market.”
EUROPEAN BUSINESS AIR NEWS
MARCH 2011 3
The vital importance of appropriate rules for business aviation We in EBAA have been very active on a number of fronts in the last few weeks, including: launching a campaign against illegal charters in Europe; holding a highly successful regional forum in Vienna aimed at linking East and West; and of course lobbying in respect of EASA rulemaking where matters are coming to a head on Flight Crew Licensing, which is now nearly through the “opinion” phase, and on EASA Ops and Special Approvals for which the Comment/Response (CRD) processes have just closed. There is no doubt that illegal charter is becoming an increasing problem for us all in these tough financial times, both by those that do not have an AOC, and therefore expose their customers to significant risk should everything not go according to plan, and those AOC holders outside EU 27, who are just chancing their arm by operating flights for which they have no permit, either intentionally of
unintentionally. This is not good for any of us and readers may have seen details of our PR campaign, which is supported by both electronic and hard copy brochures. Clearly our members feel as strongly as we do on this topic as they have requested over 4,000 copies of the hard copy brochures, which clarify the rules and highlight the dangers of illegal operations, aimed at informing business aviation customers of the implications for them if they use such illegal operators. We shall continue to be active here throughout 2011. Naturally this topic was also high on the agenda at the successful forum we held in Vienna last month. Over 100 delegates attended this event, where we decided to get away from “death by PowerPoint" and, instead, use short presentations by specialists to set the scene and then engage all participants in the debate. This format proved an out-
standing success, with 98% of attendees liking the idea of a twoday, intense working session and over 90 per cent in favour of the “no PowerPoints – just issues and your input concept.” As a result of the very lively forum, we have agreed a number of action points, including the definition of private flights, operations into Eastern Europe, and performance rules for business aviation. We will develop these within specialist focus groups, to take them forward into clear EBAA action points. In short, we had a wonderfully productive few days in Vienna, using a concept that works and which we shall certainly be repeating. Turning next to EASA, we thought we had reached a satisfactory agreement to allow simulator training by non-EU organisations, with suitable approvals from the appropriate national authorities. Certainly, in lobbying with our colleague airline and national
business aviation associations, we were pleased at the result we thought we had achieved. However, I have just been advised, as I write, that while the FCL Opinion now reflects the result of our joint lobbying, the Authority Requirements (AR) do not and, if nothing is changed, then instruction and examination outside the EU will effectively have to cease after April 2012, with disastrous consequences for the safety of operations in our sector. There are just two weeks to get an amendment into AR and OR before the Opinion on this is finalised and goes to the Commission, so we shall continue to work with colleagues, especially those in the BBGA who have been doing a truly wonderful job, to see that the rules being developed are both workable and appropriate for our sector. On Ops rules we have a little more time, but the CRD period has now closed and we look forward to
Private aviation demand remains strong in the Middle East The first delivery of a Bell 429 to a Middle East client, Strong Aviation headquartered in Kuwait City, is further confirmation that manufacturers are enjoying a welcome upturn in demand in the region for both rotary and fixedwing aircraft. “The Bell 429’s outstanding hotand-high performance along with its expansive cabin were key features for us,” said Capt Salem Safar, aviation manager of Strong Aviation. “The 429 is quite simply the newest generation of helicopters. It is so advanced it does the pilot’s work for him. And when it came to customer care, Bell Helicopter surpassed our expectations.” Falcon Aviation of Abu Dhabi has formally accepted a new Lineage 1000 and its home base airport, Al Bateen Executive, has officially received its Cat 1 ILS certificate, allowing business jets and helicopters to land accurately and safely in low visibility conditions. “This will dramatically increase the airport’s capability,” says gm Stephen Jones. Al Jaber Aviation (AJA) has announced expected delivery of two further Airbus aircraft in 2011 adding to the existing fleet of four A318 Elites and two A319s bringing the total fleet size to eight. “We’re championing the UAE as a business aviation centre and have maintenance approval for the region for Airbus,” says Mark Pierotti, of
ExecuJet Middle East and Qatar’s Al Faisal Holdings are developing a partnership. The discussions included Trevor Bailey, Mike Berry, Tarek El Sayed, Helle Brodsgaard, Sheikh Faisal Bin Qassim Al Thani and Hadi Mouawad Sari Sawaya. See also page 2.
AJA’s expansion plans. “We plan to have a fleet of 13 heavy jets within the next four years.” Meanwhile, ExecuJet Middle East is partnering with Qatar’s Al Faisal Holdings to create a new facility. “Top quality aviation services are in demand in Qatar and the Arab Gulf Cooperation Council states,” says Al Faisal’s owner HH Sheikh Faisal
Bin Qassim Al Thani. The Middle East business aircraft fleet has grown to around 450 aircraft and Dave Edwards, md of Gama Aviation ZFC, which has added a privately owned Global XRS to its Middle Eastern fleet, says the company is among those planning further expansion. “The biggest challenge for the
UAE’s GCCAA is to keep up with the demand for certification of operators as aircraft and their operators arrive,” he says. Larry Flynn, svp, marketing and sales Gulfstream, is also upbeat. “Gulfstream has more than 100 aeroplanes in the Middle East, a number that has more than doubled in the last decade.”
the next phase of specialist meetings, where we shall be working with EASA to consolidate the comments and continue to develop the rules into the “opinion” phase. Our big concern here is that, while we have been pleased at the high quality of the work delivered by our experts in the drafting groups, we have received virtually no comments from members during the CRD phase. So I have an important message for all readers: If you have not yet read the hundreds of pages of the EASA CAT and SPA drafts, please allow yourself half a day to scan through the headings and identify the sections that most concern you. Then, please review these and let us have your comments. While it is still not too late, it soon will be. April 2012 is not that far away! Brian Humphries (president and ceo of the European Business Aviation Association)
GFS lines up five-strong fleet for spring operations launch Global Flight Solutions is bringing another Hawker 800 into service expanding its fleet to five aircraft. Paul Forster, ceo, says: “Since moving to the UK’s Biggin Hill we have attracted a lot of interest from potential clients wishing to charter from us. “In anticipation of our AOC issue, which we hope will be soon, we have been actively looking for the right aircraft to commence operations with. We will start with a Lear 45XR and two Hawker 800 and have the opportunity to add a couple of King Airs once our AOC is up and running. We are also in negotiations with clients to manage their larger Challenger and Gulfstream aircraft, so this year has started very well for us.” GFS purchased the ex-Formula One hangar (Diamond House) at Biggin Hill in July 2010 and following extensive refurbishment now offer a complete range of aviation services. “We are pleased with the renovations and Biggin Hill is proving to be a great move for us,” says Forster. “We now offer fixed wing and rotary sales, hangarage, management, operations and CAMO.”
Paul Forster at Biggin Hill with the new Hawker 800 addition.
E U R O P E A N
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THE BUSINESS CHOICE FOR LONDON The New Terminal Hangar opens in June 2011
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London Biggin Hill Airport CLOSE TO THE HEART OF LONDON
EUROPEAN BUSINESS AIR NEWS
4 MARCH 2011
Comlux plans more fleet additions as it diversifies large cabin aircraft management and aims for optimum overheads Comlux, which is expanding its own fleet and diversifying its aircraft management, has appointed a new ceo of Fly Comlux to take forward its vip aircraft operations. Andrea Zanetto, formerly coo of Meridiana Fly in Italy, joins as Comlux confirms a Global 5000, a Falcon 900LX and an Airbus ACJ will enter in service with Fly Comlux this year. Zanetto says: “The arrival of the Global 5000 increases the Comlux Bombardier Global fleet to eight aircraft, making Fly Comlux one of the largest Bombardier Global vip charter operators in Europe.” The A320 will take Comlux’s ACJ fleet to six by the end of 2011 and Comlux says that, having operated Dassault Falcon aircraft for many years, it is well prepared for the integration of a new Falcon 900LX into its fleet. Zanetto says: “The aircraft will be available for charter, offering to Comlux passengers a new product for their travel needs.” Richard Gaona, group president, says: “I am very pleased with the development of our aircraft management business within the Comlux group. In the medium term, we want to reach a fleet size that bring benefits to our clients and allows us to optimise our overhead costs. I strongly believe that our high class quality services reputation will attract more owners of the largest cabin jets wishing to have their aircraft professionally and personally managed.” Fly Comlux already operates 17 aircraft, offering vip charter and aircraft management services from three operational centres in Switzerland, Malta and Kazakhstan and four commercial offices in Zurich, Bahrain, Almaty and Moscow. Zanetto says: “Comlux is expanding quickly and I will put all my efforts into making it even more successful.” Gaona says: “Our vip fleet is constantly growing. In less than a year, five additional aircraft will join the fleet and we have an Airbus ACJ and two Global Express XRS joining in
Comlux and MedAire are combining to provide onboard medical treatment.
2012 and 2013. We need to increase our workforce.” Comlux vip passengers and crew, he says, have round-the-clock access to specialised medical care – both in flight and on the ground – thanks to a new agreement with MedAire. The fleet-wide arrangements include 24-7 access to emergency care doctors, onboard medical kits and aviation medical training for 125 pilots and flight attendants. Daniel Staub, Comlux’s head of in-flight product and services, says: “MedAire’s regulatory compliant crew medical training and onboard medical equipment will help Comlux leverage best practices for medical safety and meet the company’s SMS requirements. Every
Rega pilots get simulator help for Da Vinci transition Swiss SAR and EMS provider Rega has ordered an advanced simulator to meet training requirements for its new fleet of Da Vinci and GrandNew light twins. It says the simulator, designed and produced by AgustaWestland in Sesto Calende, Italy, will become operational in 2012. “The planned location is adjacent to Zurich airport,” it adds. “This will help Rega maximise operational capabilities and contribute to safety and excellence.” Rega introduced the Da Vinci to succeed its fleet of A109K2s and ten out of 11 of the ordered helicopters have been delivered. The company says: “The last aircraft is scheduled to be a GrandNew helicopter featuring Rega-dedicated mission kits, which will add to the ten Da Vinci single
pilot cockpit-equipped aircraft. “The Da Vinci, a highly customised variant of the GrandNew, was specifically developed to meet Rega’s requirements and will enable the operator to meet its mountain rescue requirements well into the 21st century.” It adds: “The simulator will help familiarise pilots with the latest technology found in the GrandNew cockpit.”
Latest technology from Rega.
Comlux: expanding services.
year our Comlux crew will be taught by professionals with in-flight medical experience through the management of in-flight illness and injury programme.”
Bob Horner and Richard Gaona sign an agreement at MEBA.
Grant Jeffery, MedAire ceo, says Comlux crews will gain the confidence, knowledge and resources to prepare for and manage unexpected medical situations.
“During such situations, crew will have 24-7 access to emergency care doctors. MedLink doctors will remotely assess the health of the passenger or crew member and make medical recommendations using medications and supplies from the onboard first aid or emergency medical kits. On the ground, Comlux crew and vip travellers who are at their destination will also have access to MedAire’s 24-7 medical and travel advice and assistance via a co-branded Comlux/MedAire membership card.” Staub adds: “As Comlux continues to add aircraft to its fleet, passengers and crew will automatically be covered by the MedAire medical programme.”
Silver Cloud’s new Sovereign makes successful debut flight to Cape Town Silver Cloud Air, whose policy is to always order new aircraft, has invested in a second Sovereign C680 to service good business levels it expects to continue to rise in 2011. Udo Maeyer, ceo, says: “Routings of the Sovereign will be mainly Europe, Middle East, and Africa although worldwide operation is also possible. We focus on the business sector but there is also demand from private clients.” He adds: “The Sovereign was chosen because it has good range and very good performance but also because of the positive experience we have enjoyed with our other Cessna aircraft which we have operated for years.” The company, founded in July 1994, has grown continuously since launching with one aircraft. The new Sovereign joins another C680, a CJ C525 and C525A and an XLS C560XL. Maeyer says the business is developing rapidly and Silver Cloud Air is recruiting experienced personnel for its sales department. “The year 2009 was not easy for the business aviation sector in general but the development of our business in
Sliver Cloud Air: fleet expansion takes off.
2010 was very good. We expect the year 2011 to follow this upward trend.” Maeyer says Silver Cloud Air always orders new aircraft and has built its reputation on reliability and safety. He adds: “One of the measures we employ is to train our pilots regularly on appropriate simulators. That, added to excellent and exclusive service and the flexibility, makes a key difference to our offering. We expect our business to continue to grow.” The new Sovereign (see front cover photo) was flown from Wichita to Bremen Paderborn via Goose Bay, Labrador. Maeyer says: “We had to stop not only for refuelling but also to wait some time so as not to land too early in Bremen where the airport opens at 0600 local time. We used the time to have a wonderful pizza in Goose Bay.
“The night flight to Bremen over the North Atlantic was very smooth. We had nearly no wind across the North Atlantic but we had beautiful northern lights and millions of bright shining stars in the sky. In Bremen we had to do the customs for the new aircraft and then we departed for Paderborn. There it was taken under the wings of our maintenance company Atlas Air Service as it waited for official approval for commercial operations.” The first commercial flight was to South Africa via Palma de Mallorca, Spain and Libreville, Gabon, from Cape Town returning via Lagos, Nigeria, Marrakech, Morocco to Karlsruhe, Germany. “The new aircraft proved very reliable in service,” Maeyer reports. “It is now in normal commercial operation.”
EUROPEAN BUSINESS AIR NEWS
MARCH 2011 5
VLJ operator GlobeAir claims global Wyvern Standard first
Gainjet celebrates anniversary with Heathrow move
Austria’s GlobeAir, which operates a fleet of six Mustangs, claims to be the first VLJ operator in the world to achieve the Wyvern Standard. Bernhard Fragner, ceo, says: “It is remarkable that GlobeAir has achieved this recognition in just two years.” The Wyvern Standard, he says, is an audit standard developed in cooperation with the most sophisticated and demanding corporate flight departments in the world that far exceeds the regulatory requirements for air charter flight operations and maintenance. GlobeAir’s Georg Bernhofer spearheaded the company’s application which involved an onsite safety audit, also known as a safety evaluation. He says: “Part 135 charter operators are measured against the Wyvern Operating Standards, which far exceed government regulatory oversight. The Wyvern Operating Standards are an enhanced set of safety measurement criterion, which were developed over the years in cooperation with The Wyvern Customer Advisory Board. CAB’s panel consists of representatives from the most sophisticated and demanding corporate flight departments in the world.” Bernhofer says the Wyvern Standard makes a real difference in safety as it recognises the absolute necessity for experienced and welltrained pilots and staff. “Of all the 2,034 FAR Part 135 fatalities from January 1991 to August 2010, none involved a Wyvernrecommended aircraft or air crew. Of all the 1,719 Part 135 accidents from the same period, only two of those non-fatal accidents were attributable to Wyvern recommended operator aircraft. Looking at just Part 135 turbine accidents from August 2005 to August 2010, jets flying charter flights incurred five fatal accidents and 22 fatalities – but not one of these jet fatalities occurred on a Wyvern-compliant flight.”
Athens-based GainJet Aviation, which is celebrating its fifth anniversary, says it is raising its profile in the UK and moving its UK sales office to Heathrow airport. Previously, the GainJet UK presence was at Manston Airport in Kent. However, ceo Capt James McBride explains: “Even though Kent is a beautiful location, Manston Airport is a long drive from the capital, which is the centre of the UK business aviation world. So we decided it was time to move closer to London and for us there is no better place than Heathrow. We often use Heathrow for our VIP B757 and B737 movements – so it makes a lot of sense”. He adds: “We just acquired a Global Express XRS (EBAN February) which we’ve based in London Luton with Ocean Sky, and have increased our UK activities”.
Falcon 50 joins French ambulance fleet Rizon Jet celebrates becoming a new Airbus operator. Pictured from left are vp Airbus executive & private aviation Francois Chazelle, president, Airbus Middle East & corporate jets Habib Fekih and Patrick Enz, ceo Rizon Jet.
Rizon Jet adds ACJ to managed fleet Rizon Jet is to manage and operate an Airbus ACJ on behalf of a new Arab Gulf client. Patrick Enz, ceo, says: “Delivery of the ‘green’ aircraft is planned for next year with the outfitted ACJ being handed over to the customer in 2012. The interior will reflect the latest standards of luxury in business aviation.” He adds: “Our client wants a comfortable and spacious environment for his family and friends during his travels. The new ACJ ticks all the boxes and moving into the management and operation of an ACJ was both a natural and desirable step for us.” Rizon Jet is offering client consulting services in the design and completion process. Enz says ACJ clients benefit from good value retention, the latest in
Rizon: new catering arrangements.
satellite phone technology, modern navigation aids such as GPS, and worldwide support that includes features tailored to corporate jets. The current managed Rizon Jet
fleet comprises one Global Express XRS, one Hawker 900XP and two Challenger 605s, all operating on the Qatari Air Operating Permit. Oryx Jet, Rizon Jet’s UK affiliate, is managing another Hawker 900XP and one Premier 1A. Rizon Jet has also appointed Private Flight Global as preferred in flight catering partner. Enz says: “The company’s technology enables orders to be placed instantly from virtually anywhere via a secure online platform, even via iPhone or iPad, and that was the driver in selecting Private Flight.” Shamir Samdjee, Private Flight director of Europe and Middle East, says: “We are expanding our business and moving into new territories such as Russia and Asia.”
VistaJet commissions Harvey Nichols for enhanced nibbles
DRF Luftrettung: sonography training.
DRF trains emergency physicians in life-saving sonography work DRF Luftrettung, which operates 50 helicopters for emergency rescue and intensive care transport between hospitals, reports a successful first sonography course for Luxembourg’s emergency physicians. Dr. Philippe Welter, vp of the Luxembourg anaesthetics association Cercle des Médecins Anesthésistes et Réanimateurs du Grand-Duché de Luxembourg (CMARL), says: “Mobile ultrasound can simplify the diagnosis of seriously injured patients at the scene of the accident and can be crucial when it comes to the selection of the destination clinic. Our emergency physicians were able to profit from the long-term experience
of DRF Luftrettung training the P-Fast (pre-hospital focused abdominal sonography in trauma) method.” Welter says the result was that around 80 per cent of the emergency physicians working in Luxembourg were trained on the use of the mobile sonography device Primedic HandyScan. In total 38 emergency physicians participated in both one-day prehospital ultrasound courses at the clinic in Kirchberg. Welter explains: “With the aid of this portable unit, emergency physicians at, for example, a serious accident, can ascertain on the spot if a patient has internal bleeding.”
VistaJet has commissioned Harvey Nichols to supply all on-board standard catering snacks across its fleet as part of revamped cabin services. Nina Flohr, daughter of VistaJet chairman and founder Thomas Flohr who spearheaded the project, says: “The deal will see all of VistaJet’s Bombardier aircraft carry products from one of the world’s most exclusive brands in fashion, beauty and food, including ranges of savoury snacks, chocolate and confectionery.” She adds: “The partnership is the latest component of VistaJet’s revitalised cabin offering which will
see the company unveil a chic new collection of pilot and flight attendant uniforms, as well as adding new ranges of tableware, silverware and soft furnishings.” Other new cabin suppliers recently announced by VistaJet include French manufacturer Christofle, which is providing all onboard silverware and china. An Italian manufactured cashmere range of soft furnishings and sleep-clothing have also been added. VistaJet operates more than 30 Bombardier aircraft ranging from the Learjet and Challenger through to the Global Express XRS.
France’s Medic’Air International, through its new aircraft company Air Albatros, is operating a second dedicated air ambulance Falcon 50. The company’s Dr H Raffin says: “This complements the existing AA Beech 1900C. The target for Medic’Air’s medical crews is to be ready within a couple of hours from our Paris base, day and night, to carry out any urgent evacuation. Our sphere of operations is mainly focused on the region around Africa and eastern Europe.”
Cooking up a storm for air ambulances.
EAAA benefits from family fundraisers Three generations of the Blackiston family have helped raise funds for the UK’s East Anglian Air Ambulance (EAAA). Harry Blackiston and fellow pupils at Gresham School marketed and sold soups, his father, Norfolk chef Galton Blackiston, has been heavily involved with the launch of EAAA’s recently launched dessert cookbook, Pie in the Sky, and his 82year-old father Bill has undertaken two skydives to raise funds. The EAAA, which operates a 365 day life-saving service across Bedfordshire, Norfolk, Cambridgeshire and Suffolk, says it costs £3.5 million per year to keep its two air ambulances flying.
EUROPEAN BUSINESS AIR NEWS
6 MARCH 2011
Bookajet Falcon set for long haul business Bookajet reports that the addition of a new 2010-registered Falcon 7X is bringing in additional quality business for its fleet which now totals 35 aircraft. Christian Rooney, director, says: “The 7X has been described as the flagship of the Dassault range and it certainly promotes the latest advances in flight technology, combining Dassault’s fighter jet prowess for performance and safety, with uncompromising cabin comfort, reliability and versatility.” Bookajet is basing the 7X, configured for 12 passengers, in Milan Linate. “Its range of over 11 hours means it competes in both endurance and cost, with our traditional Global Express non-stop ‘London – Los Angeles’ routings.”
Air ambulance pilot set to climb Kilimanjaro Air ambulance pilot Capt Dan Martin will be swapping his flight suit and helicopter for walking boots and a tent as he climbs Kilimanjaro this July to support a cause close to his heart. He has flown for the UK’s Warwickshire & Northamptonshire Air Ambulance (WNAA) for three years and will scale Kilimanjaro to raise funds for the service. TV presenter Linda Barker and her husband Chris will join Capt Martin, alongside air ambulance patients, staff and crew, as they scale the African mountain. The 25 trekkers, who aim to climb all 19,341ft of Mount Kilimanjaro, will also raise funds for the WNAA sister service Derbyshire, Leicestershire & Rutland Air Ambulance. Captain Martin began his flying career with a scholarship from the Royal Air Force and went on to fly RAF Chinook Helicopters in Iraq and Afghanistan. He has mountain climbing experience and has taken part in two mountain marathons.
The right aircraft for a Middle East base: Gama Aviation’s Dave Edwards, Oliver Hewson and Wassim Saheb are pictured with a managed Challenger 850, acquired by a private individual, which has proved its suitability for charter.
P E R S P E C T I V E S – Business aviation through the eyes of the aircraft salesman
Even the bad times can be good for the men and women in the frontline This issue, EBAN begins a series of features looking at the issues facing a particular group of business aviation professionals. ‘Perspectives’ will sound out decision makers on their working life, how they overcome problems and their hopes for the future. The aircraft salesman has to learn how to cope with the stress of working with extremely demanding clients across multiple time zones that can be as much as 17 hours apart in order to cope with a lifestyle that is less glamorous than it appears to the outsider.
Essential reading wherever you are
Buyers in Europe and the Middle East have access to a competitive global marketplace and the salesman’s approach is governed by the knowledge that some deals will be quick, others will be slow and many will fall through – often at the last minute. Gabriella Somerville, md ConnectJets Limited, says: “Selling is
An EBAN survey confirms that: ■
The ‘glamorous’ lifestyle is only enjoyable for those who can handle the stress
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Aircraft salesmen get to know hotel rooms and airports better than locations
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Buyers are well educated and commercially astute and want a good deal
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Clients can demand demo flights but may have to be persuaded to pay the cost
Handbook of Business Aviation in Europe
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Mutual trust is the bedrock of the relationship between client and salesman
The reference book for fixed wing and rotary business aircraft owners and operators in Europe and the Middle East.
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The client’s cultural background can dictate the type and pace of negotiations
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Aircraft sales require a commitment to work short-, medium- and long-term
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Some sellers will cause difficulties by insisting on pricing their aircraft too high
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Honesty is the best policy and will bring repeat business as trust builds
www.handbook.aero
Handbook of Business Aviation in Asia Pacific The reference book for fixed wing and rotary business aircraft owners and operators in the Asia Pacific region. www.handbook.aero
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Global Business Jet Yearbook The reference book for long range business jet owners and operators worldwide. www.gbjyearbook.com
The sales process can be severely hampered by lawyers inexperienced in aviation
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Lack of finance and bad news on inspection can scupper sales at a late stage
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It is a ‘people’ business based on relationships
Some aircraft sell themselves: AirGeo has found the Grand Caravan an ideal aircraft for operations in its large Russian catchment area. AirGeo says: “Caravans are reliable, versatile and economical – a proven success for rigorous missions across the world.”
similar to childbirth. Some deliveries are long, painful and drawn out, others are over in the blink of an eye. The engagement period is normally about nine months, but if finance is not required then the timeline can be reduced.” Somerville adds: “Intuition plays a huge part in sales. From the moment of engagement, the broker should have a pretty clear idea of where their client is in the process. Normally the shortest deals are transacted when the timing is absolutely ripe, the groundwork has been done and the buyer is positioned and ready to purchase. There are some clients who merely dance with the idea of acquisition and engage multiple brokers which can be a waste of valuable time. Then there are those who require a long-term approach but are nonetheless serious buyers who go on to transact eight to 15 months down the road.” Companies which carry out private charter and source aircraft for clients say the clients benefit from their operational experience. Edward Queffelec, sales manager of Genevabased Masterjet Aircraft Trading, says: “I believe it is important for an
Gabriella Somerville says that, like childbirth, some aircraft deliveries are painful and some are straightforward.
aircraft salesman to be working together with an aircraft operator to get the operational feedback with the benefit that the technical department will assist on the most complex aspects. We at Masterjet commercially operate Cessna, Learjet, Bombardier, Dassault and
EUROPEAN BUSINESS AIR NEWS
Airbus aircraft which gives me a real-life analysis of the aircraft’s performances and reliability, technical assistance to locate the potential flaws of an aircraft, the charter potential of an aircraft type, or even to provide the buyer with a management budget so he can really have all the information before launching the project. Furthermore, having some charter customers on an aircraft type gives us some potential customers when we have such aircraft for sale.” The choice of aircraft is so fundamental that potential buyers turn to a wide variety of contacts for advice ranging from pilots to charter operators. Philippe Fragnière, for instance, points out that Exklusiv Aviation is not a broker. “Among its other functions, it acts as an exclusive charter sales agent working closely with a few selected charter operators.” However: “We work together with aviation professionals to select the aircraft according to the wishes of our clients. We often work directly with the aircraft manufacturer in case the client wishes to purchase a brand new aircraft. We prefer otherwise to work with each manufacturers’ second hand aircraft department to provide a pre-owned aircraft.” Harduin Putrich of the JetAlliance Group confirms that the culture and business mentality of a country greatly affects negotiations. “In southern Eastern Europe one has to expect long negotiations, many meetings and many evening events – the personal contact in these countries is indispensable and lots of patience is required when you want to conclude a contract here. On the other hand in eastern countries such as Poland or the Czech Republic the entire process, although personalised, can be described as more formal.” Andrew Hughes, Ocean Sky’s managing director aircraft management, says high end sales require passion, commitment and time. “You are dealing with very high net worth individuals with exacting standards, not to mention the high value luxury products that they are looking to buy. That is a 24-7 world where you may be in Frankfurt when the client is in Hong Kong or you may be in Washington and the client in Dubai so there simply are no offduty hours. If you’re on the end of a $50m deal then you don’t tell the client to leave an answerphone message and if they want to see you in person, you go to wherever it is. “On the plus side there is great travel, you socialise and network and visit the client’s business or the aircraft manufacturers and so, yes, there is what would be seen as the ‘glamour’ part of the job as well.”
MARCH 2011 7
The right aircraft for an Italian base: TopJet finds Hawker aircraft ideal for its operational needs. “We now operate three identical aeroplanes and this give a lot of flexibility for crews and maintenance,” says Dino Rasero, TopJet president and Hawker captain.
“You are dealing with very high net worth individuals with exacting standards” Huxley Cowen of PC Aviation says aircraft sales are arguably the least regulated and most difficult part of aviation as a whole. “To do it properly requires a large amount of knowledge, an ability to negotiate with the most hard-nosed of people, a mass of experience, the patience of Job and a good sense of humour. Unfortunately, because there are no exams to pass or qualifications to collect, it is open to any Tom, Dick or Mary with a good line in patter, who may care to chance their arm. In addition, because the commissions can be large, it tends to attract the less desirable ‘sales people’ who wrongly see it as an easy way to make large amounts of money.” But Cowen reports that the global economic crisis has had positive effects. “Fortunately due to the downturn in the aviation sales market many of these ‘sales people’ are no longer interested as the sales are few and you have to really work at them to get through to completion.” Rob Seaman, founder and president of The Aviation Advantage Inc (AvAd Inc), says the economic recession created new levels of desperation, stress and tension. “Buyers sometimes made ridiculous offers to see how desperate sellers were. Fortunately that is not nearly as common now as it was a few months ago as the market has sorted itself, the deals are not as plentiful and the buyers and sellers are less panicked.
All that said, the question we still get first from most sellers is “does the buyer have their money?” “Cash is king and many sellers simply will not tie up their asset while a prospective buyer looks for their funds after finding the right aircraft. The best advice remains: if you are serious about buying, do the bank process first – it will give
your offer more substance when the seller looks at it.” The job generates moments of boredom mixed with others of sheer panic and stress. “For those who thrive on such, the rewards are there. When the times are good and sales are happening it is a great way to work. When times are tough, you better have good back-up – either money in the bank or other income streams besides just selling aircraft.” Stress is directly related to market conditions. Daniel Jennings, ceo The Private Jet Company, says the market has returned to 2007/2008
Confidence When you are buying When you are buying an aircraft, an aircraft, you need to have confidence in you need to have confidence in the the ability of that aircraft to meet your misability of that aircraft to meet your sion requirements. mission requirements.
TheThe same applies to your advertising - you same applies to your advertising need– to have confidence that your media you need to have confidence that your partner will deliver the message accurately media partner will deliver the messageto youraccurately target audience. to your target audience. to achieve to advertise OneOne wayway to achieve this this is toisadvertise in in publications whose circulation is publications whose circulation is audited – and European Business Airsuch and audited European Business Air News is one publication. News is one such publication.
London Executive Aviation (LEA) activities include aircraft acquisition and sales, management and charter operations. George Galanopoulos, md, says: “Undoubtedly, customers from different countries look at aircraft acquisition with different expectations.”
EBAN’s circulation is audited to reach EBAN’s circulation is audited to reach ownowners and operators of every business
levels of interest regarding calls and real buyers, but prices and transactions are still significantly below 2007 highs.” He says: “I have a few thoughts as a fixed wing corporate jet broker. The career as an aircraft broker has evolved to include market forecaster, distress loan adviser, psychiatrist and financial adviser. What I mean is, I hear from my clients and they are telling me the good, bad and ugly of their business and looking for options of how to either get out of the aircraft they are currently in with the least amount of pain or looking to take advantage of the distressed market to make the best deal possible. “Buyers until the fourth quarter of 2010 were in the most part unrealistic with regards to pricing as, no matter where the aircraft was priced, they would offer 35 per cent below and sellers outright rejected such bids. At this time many of the higher value late model repo and distress aircraft are gone and what comes to market is priced to sell, with less negotiation room as markets begin to tighten.” Jennings may well hold some sort of record for both the shortest and longest sales period. “The longest process was a buyer I spoke to for three years and finally completed a transaction and the shortest was a BBJ $60m purchase that was started on a Friday and closed the following Thursday all cash. We negotiated and worked with attorneys in three countries and two US states through five times zones almost 24-7 for six days to meet the closing schedule.” Feature continues on next page
ers and operators of every business aircraft in aircraftand in Europe and the Middle East. Europe the Middle East. We are the only publication to have such an audit. Ask the question – ‘Can you prove that you reach all of those people you claim Ask the question - ‘Can you prove that you to?’ We at EBAN are proud to say ‘Yes reach all of those people you claim to?’ We at we can.’ EBAN are proud to say ‘Yes we can’ Please ask to see our latest circulation Please ask to see our latest circulation statestatement. ment. Contact Mark Ranger on:
+44 (0)1279 714509 mark@ebanmagazine.com
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EUROPEAN BUSINESS AIR NEWS
8 MARCH 2011
Perspectives: the aircraft salesman
Different cultures provide wide ranging sales challenges Edward Queffelec, Tim Barber, Andrew Pearce, Peter Dahm, Mike Hamlin, Rene Cardona, Gabriella Somerville, John Hopkinson, Jay Mesinger, Larry McElyea and Jolie Howard have a lot in common. They are among aircraft sales specialists who have built up techniques over the years to ensure they take different cultures as well as individual needs properly into account. Peter Dahm worked from January 2005 to build up the helicopter team of Avinco Ltd, a company created in 2004 with the focus on trading with commercial aircraft and helicopters. Dahm says: “This involved both buying and trading in and reselling as well as remarketing, brokering, consulting, organising and managing major retrofits. On the helicopter side Avinco has a formal and very close cooperation relationship with the Eurocopter group, although there is no link on the shareholder side.” He says: “Of course there are different spirits and cultures depending on the location of a client which can vary from being a commercial operator in Europe to an oil and gas operator in Malaysia. We, for example, have a team of young people who have worked in various parts of the world for several years.” Potential upsets range from unexpected technical problems
MD of JetBrokers Europe Tim Barber (right), pictured with Mandy Pantall, says that linguistic skills can be key in alleviating the concerns of buyers and making them long-term clients.
Jay Mesinger says sales professionals must learn and understand how to work within the cultural differences.
popping up during a client’s inspection to financing being delayed or collapsing. Dahm adds: “With the need to support and ‘get it
redone,’ stress is certainly part of a real salesman’s life.” Andrew Pearce, regional director of the Innotech-Execaire Aviation Group, confirms: “Of course you are dealing with different individuals from different nations who have varying cultural views and methods of doing business. The contrast between the requirements of say a Russian and an Arab is marked. Beyond that each transaction has a seller or buyer with different expectations and needs. These differences will drive the nature of the negotiation and this is where the skill of the aircraft broker comes in. “Problems can vary enormously from a sudden family bereavement or unexpected exchange rate fluctuations to over-sensitive lawyers. However, the most common event or ‘gremlin’ can be a finding in the pre-purchase inspection which is of
an airworthy nature. Even the smallest item that is easily repairable or fixable can often un-nerve the buyer who will then go and look at an alternative aircraft.” Pearce says: “Personally I enjoy the variety of dealing with different individuals, different cultures, different aircraft types, time zones
“Your days can be a rollercoaster ride of emotions” and locations. It is what makes the job very interesting. Depending on the nature of the deal and your clients’ needs and expectations, it can indeed be very stressful. Your days going through a deal can be a rollercoaster ride of emotions. There are great highs when things are going well and deep lows when it seems
a deal is struggling. However, you have to be philosophical and find a solution to ensure a successful conclusion is reached.” Rene Cardona, an aircraft sales representative for Duncan Aviation, Inc, says: “There are lots of intricacies present in the pre-owned aircraft market and you need to be able to understand those and work hard for your clients. If you can do that, you can be successful in this business. In addition to English, I am able to speak Spanish and Portuguese. This multilingual ability has been instrumental in numerous international transactions. And aviation has certainly grown internationally over the last several years, not just in Europe but in South and Latin America as well.” Cardona adds: “The bottom line is that selling aircraft is a relationship business. If I know my client well, know what they want with and in an aircraft and understand their preferences, I can develop a longterm working relationship with them. That means that when they are ready to upgrade to a different aircraft or add another aircraft to their flight department, they are familiar with me and my work ethic and I am their first call.” Customers in different countries do have different expectations and negotiate in different ways. Cardona says: “One of the primary differences is in the buyer’s or seller’s relationship with their acquisition or sales agent. The buyer out of Europe, Asia or South America is more predisposed to do the transactions themselves without the assistance of an agent. This leaves them in a weaker position as they may not know the ins and outs of aircraft transaction process.” Cardona concludes: “The successful aircraft salesmen live a relatively good lifestyle, although it is
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MARCH 2011 9
How leasing can provide a cost-effective solution Niki Rokni and Guy Burden, partners in the London-based Axon Aviation Group, point out that aircraft sales has changed significantly in the last three years. Rokni says: “Whereas pre-2007 we were struggling to locate suitable aircraft for clients and trying to reduce the premiums being asked for aircraft available immediately, in some cases as much as $15 to $25 million, the aircraft salesperson today is involved in a juggling act. This involves finding an aircraft that is best value for money, making sure the client is transparent and high profile enough to be able to secure finance and not only serious about going through with the sale but is also prepared to put up far higher deposits and guarantees than before.” Burden adds: “All this adds to the timescale, amount of work and stress for the salesperson. The successful salesperson has become a lot more creative, seeking intelligent solutions to solve the problem – for example, is leasing appropriate? Axon Aviation has a strong database of clients, some of whom are prepared to lease their aircraft out for one/two/three years and this can provide a very effective solution for both parties.” Rokni adds: “For the aircraft owner who may have less use for the aircraft because of a downturn in business (or lack of desire to sell in a weak market or having been caught in a negative equity situation) leasing is the perfect solution until better times return. For the new potential owner who may be waiting for his own aircraft to be manufactured, is uncertain of further price falls, has no desire to put down a large deposit or make all his financial affairs transparent, such an arrangement can also be attractive.” a somewhat stressful career. The ones that have been doing it for a long time can more than likely be deemed successful. Therefore they have been able to balance how they deal with their clients, and have learned to come to terms with the industry’s ups and downs.” Gabriella Somerville says: “Cultural awareness plays a major role within the aircraft sales arena. The art of negotiation is to understand your clients’ DNA: that includes their emotional,
behavioural, cultural beliefs and patterns. Successful communication is key to securing the relationship between the client and broker, the broker can then position their approach and tailor their strategy – making the seamless transition and conversion. “Multiple chains create hurdles which slow down the whole process. The deal can be lost in the brokers negotiating room when everyone is positioning their cut – before you know it the buyer has disengaged. We
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need to be less greedy, learn to negotiate quickly on terms of engagement and unify to create a seamless transition for the client.” Somerville advises: “As a broker we have to remain sensitive to the client: he or she will give clear indicators throughout the course of the engagement, allowing the broker to understand when to put the pressure on or ease off. Timing is everything in sales. The lifestyle can be excellent dependent on how good you are – and the stress levels can be reduced if
you take your foot off the accelerator and enjoy the journey.” Jay Mesinger says: “As we all explore and work to gain the awareness of many of the emerging markets, we as sales professionals must also learn and understand how to work within the cultural differences. I am in the people business. It is incumbent on the sales professional to keep emotions at bay and keep both buyer and seller and all of their representatives focused on the successful outcome.”
John Hopkinson of John Hopkinson & Associates Ltd confirms clients in different countries do have different expectations, especially on the future maintenance status. He says: “We frequently run into pilots looking for commissions under the pretence of being a broker, when in fact they don’t have the broker experience, background, or source of support necessary. The second most common gremlin, which is becoming a deal breaker in the United States and in Europe, is the extensive authority given to lawyers in preparing aircraft agreements and making decisions on these. A good purchase agreement is necessary for an aircraft acquisition or sale, and in fact a requirement by many corporations. However, lawyers now after properly and purposely creating these documents wish to be involved in the closing, to a point where they interfere frequently with a transaction, and create excessive fees. This is not a problem with established aviation attorneys who have a loyal, successful following.” Michael Hamlin, md of Hamlin Jet, says: “In northerly latitudes a deal is viewed as being a compromise that both parties agree with. In these circumstances an email or verbal agreement almost certainly means the sale will go ahead. However in more southerly latitudes this is not always the case. Here a sale negotiation is regarded as more of a machismo contest that must be won – and this can lead to goalposts being moved at the last moment. A different approach is needed depending on the cultural background of the buyer. “My biggest problem has always been with a buyer using a property or commodity lawyer to deal with the contract rather than an aviation lawyer.” Continued on next page
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Hamlin adds: “In a good year life is great and in a bad year it is like trying to fish in a dried up river bed. Sometimes it only takes one good deal to make a year – and the salesman lives a life of stressful neurosis worrying that he might miss that ‘one important call this year’.”
“Speaking in their language can help reduce some of the anxiety” Jolie Howard, a director of business development with TAG Aviation, says that different cultures hugely affect the sales process but lack of flexibility is often the greatest barrier to completing a deal. Larry McElyea of World Aircraft Trading confirms that knowing what to expect from each country is essential in dealing successfully in a variety of different countries. “The deals are actually very similar but if
Nobody ever wants to pay the asking price Gordon Potter of PremiAir Global says: “Every customer is an individual – they are each different, regardless of their country of origin. Each requires a tailored interpersonal approach to understand, communicate and evaluate them. One thing all customers have in common is that the initial price of the aircraft is never the one they want to pay – this is where the fine art of negotiating comes into play. “But it is two-sided and both seller and buyer have to understand this and be willing to compromise. This is where an accurate market value is essential.” PremiAir Global, part of the UK aviation services business, focuses on fixed wing pre-owned business aircraft in addition to its well-established executive helicopter marketing services. The shortest time between first enquiry and delivery of the aircraft, Potter says, was five working days on a rotary aircraft. “The buyer already had their deposit in escrow as they had just been let down on another you are not prepared for the subtle nuances which make a huge difference, they could destroy the deal,” he warns. “Mexico is vastly different
aircraft. Everything was in place and the seller had just completed an annual inspection on the aircraft. It was a very smooth transaction, with just the paperwork and formalities to take care of. However, the longest time frame was seven months from enquiry. This was primarily because the buyer’s bank was, understandably, extremely cautious, which led to delays with lots of paperwork and reprints of documents being requested. “The deposit had already been paid directly to the seller and eventually, through constant contact and communication, both parties reached agreement and the deal was completed. The buyer even brought a bottle of champagne to open at the seller’s house on delivery. This particular sale highlights the importance of talking and keeping the lines of communication open, especially when a deal goes a bit wobbly.” Potter says that once the letter of intent is in place, a genuine buyer is usually happy to pay for a demo flight. “It’s all a matter of trust and commitment,” he adds.
from South Africa and neither is like negotiating with Europe.” McElyea points out: “Getting aircraft out of different countries can
add one to three months to a closing. Getting aircraft into countries can be lengthy and can add over a year. The longest process for me has been 18
E RV CE SE PA RE S UR OW YO N
months with a CRJ. The shortest was four days on a Citation CJ1.” McElyea says that if either the buyer or seller is suspected of not being honest, this will end a deal quickly. “If I suspect this and confront the party with as much tact as possible and it isn’t corrected, it is best to walk away before anyone invests large amounts of money in the deal. Life is too short to spend time in court rooms as it keeps you from making a living selling aircraft.” He adds: “If the seller has been honest, yet corrosion or damage history pops up in the pre-purchase inspection, then it can bring everything to a halt. If this is dealt with early on in the sales process, then it will not be a surprise and the deal will continue.” McElyea says that the sensible approach is to balance health and income. “When I first started my own business, I worked 16 hours a day and made good money. “I noticed this was affecting my health. My blood pressure started going up, heart rate increasing and fear about the future was eating at me. I decided my approach would make a nice sum of money that someone else was going to spend. I made changes and while I might not get as many deals done, I am much happier and healthier.”
Edward Queffelec says MasterJet sees less and less difference in buyers’ profile and behaviour around the world.
BGAD11 – the UK Business & General Aviation Day, Tuesday September 20th, Cambridge Airport. The UK’s only dedicated business aircraft – helicopters, props and aviation event – BGAD11 – will jets – and be able to take part in take place again this year. quality, free to attend seminars. Presented jointly by Mar shall Business Aviation and European BGAD has become a must Business Air News, BGAD is an attend event for business aviators in the UK – we look forward to effective day of networking. You’ll see around 40 exhibitors, seeing you there. Register online an excellent line up of business at www.bgad.aero
For further information, visit the BGAD web site or contact Mark Ranger on +44 (0) 1279 714509, email: mark@bgad.aero E U R O P E A N
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McElyea says most clients do expect a test flight just prior to the pre-purchase inspection. “I usually try to get the buyer’s pilot to ride on the flight to the pre-purchase site, and this will usually satisfy the requirement. If the owner needs to have a demo flight, and some simply will not buy an aircraft without one, then this is carried out just before the pre-purchase inspection as well.” He advises: “Being open and honest with your clients will bring repeat business. About 85 per cent of my business comes from repeat customers. It’s been working for the past 20 years and I suspect it will continue to work for the next 20 years.” Language skills can be crucial in helping to establish rapport with an international client base, according to Tim Barber, md JetBrokers Europe. “Each nationality has its own way of conducting business so it smoothes the process if we can demonstrate that we’re willing to try and adapt to the national culture,” he says. “Speaking to them in their own language can help reduce some of the anxiety that may be associated with a significant sale or purchase like an aircraft.” The company supports operating in different countries by offering a multi-lingual website which provides information in English, French, German, Italian and Spanish and has a team that can support deals in each language.
EUROPEAN BUSINESS AIR NEWS
“The greatest skill of the salesman is to form that bond with a potential customer” “There’s no real reason why a deal can’t complete in days rather than weeks but this rarely happens,” Barber reports that in the current economic climate the marketing process can take months and buyers sometimes hear of another deal even after they have made a commitment to your aircraft, which means the whole process can take much longer than is necessary. “We’ve begun talks with some buyers who then find another deal, yet come back to us six or nine months later as they still haven’t found what they’ve been seeking,” he says. “Other reasons for deals to stall include issues discovered during the pre-purchase inspection, and in recent years the inability to finance a deal has been more prevalent, although we’re beginning to see a few small changes in that area.” Brendan Lodge, JetBrokers Europe bdm, says: “There are still many people in the market who believe that every vendor is a distressed seller and consequently they take a lot of a salesperson’s hours without any serious commitment to purchase. Rarely do they complete a deal and this can be frustrating and stressful for all concerned.” Lodge adds: “When we have a customer who is interested in an aircraft that’s just not suitable for them, we work hard to guide them in the right direction by taking them through a questionnaire that enables us to establish what their mission profile is and thereafter recommend the most suitable aircraft based on science rather than emotion.” But there are sellers that just won’t see the reality of the market and want to price their aircraft too high. It then sits on the market for a lengthy period and distorts market statistics by increasing average length of time on the market and inflating sales inventory. Edward Queffelec believes globalisation has had an effect on the buyers of jets. “We see less and less difference in buyers’ profile and behaviour around the world. We still see some minor cultural specificity but nothing significant: Russian customers are always looking for very recent aircraft which is usually not an issue for Middle East customers.” He adds: “Europeans care more about landing and take-off performances as they take into consideration demanding airports such as London City, St Tropez La Mole and Lugano.” Queffelec says the arbitrary setting of a price that may be disconnected from reality can prevent a sale. “I have seen a deal not happening because the seller and the buyer could not resolve a US$50,000 price difference on a US$20 million aircraft.” He adds: “The shortest process I have ever seen was six weeks between when our customer told us ‘I would like to buy a Global Express’ to when he experienced the aircraft. However, I remember another customer who really took his time and three years passed between his first enquiry and his first flight. He was simply not sure of what he needed. Finally he now has an aircraft he loves to fly with, that perfectly matches his needs, and that he obtained at great pricing conditions.” Queffelec says that the internet has helped clients strengthen their knowledge of private aviation. “We have much better informed
MARCH 2011 11
Travelling man with a million air miles Buyers in different countries range from those who leave major negotiations to the last minute to others who leave nothing to chance and finalise every detail before contracts are drawn up. Andrew Hoy, md of ExecuJet Aircraft Trading, adds: “I have delivered an aircraft including registration change within six weeks of first seeing it (GIVSP last year) and had a Challenger 604 take four months in pre-buy before delivery. It is a considerable battle with buyer and seller at that point!” Hoy adds: “In the ‘good old days’ once an LOI was signed, the deal was done! Nowadays, it’s the opposite, and signing an LOI means the trouble starts and as a broker you play ‘Kofi Annan’ between buyer and seller, keeping all on track. PPI differences need to be thrashed out early, location, who pays for what part, depth of inspection. After that’s agreed, little goes wrong as all airworthiness items get fixed by seller and therefore aircraft can be in delivery condition to satisfy terms of APA. Otherwise, issues such as who pays delivery, export C of A to destination country all get in the way.” customers. The aircraft salesman’s task is not just to locate an aircraft but find the best deal which involves bringing strong technical skills to the deal. Sometimes this involves explaining why we did not pick up this ‘great looking aircraft’ on the website, as the client might not realise that a heavy maintenance is due shortly, that the aircraft has a damage record, or even that, due to some STCs, the aircraft can never be registered in the desired country.” Queffelec adds: “Around 90 per cent of our activity covers pre-owned aircraft even if we sometimes negotiate on behalf of our customers in front of the manufacturers for new aircrafts. Clients seem to appreciate not being alone in front of the factory and want to have technical and commercial assistance by their side for the duration of the process. However, I have to say that, considering the pre-owned market we have seen in the past years, it has been much easier to be a specialist in that sector. “The level of activity, even if the prices have been really low, has always been surprisingly quite intense all through the economic crisis.” Aircraft selling involves many facets, but it is firstly a people business where an understanding of cultures and requirements can make the difference between success and failure.
Consultants that can make or break the business aircraft buyer EBAN has, for many years, reported on the requirements and decisions of private jet and helicopter owners and operators in Europe and the Middle East. Their comfort and financial well-being may depend to a large extent on acquiring the right aircraft. That in turn may depend on obtaining the right advice from the right person. That is where the aircraft salesman or broker comes in. This section details how such professionals operate.
Hoy says: “I used to have a lot more hair. Last year I had 60 days at home. I am permanently jet lagged but have over a million air miles. Work never stops and asking for holiday is just like asking for permission to work in shorts. It cannot switch off. It is stressful but when you’re on top of the game, extremely rewarding. I deliver all the aircraft to my clients and seeing them smile when we turn up is the best part of the job.” Hoy says: “You have to listen to what the client needs, how many passengers, range requirements, expected maintenance costs, charter revenue possibilities, and then advise in the best way. If they are set on a specific aircraft, it is our job to suggest there could be better alternatives out there, but if they want it, we make it the best we can. It is very rare that a buyer does not listen to specialist advice so, fortunately, this doesn’t happen often.” Buyers pay for demo flights but, if the sale progresses, the costs come from the sale price. Hoy says: “Assessing seriousness comes from a mix of 70 per cent gut feeling, 20 per cent research into the principal and 10 per cent luck.”
The best consultants thrive on the lifestyle – Trevor Esling
Trevor Esling, Cessna’s vp international sales, says most aircraft sales representatives thrive on the lifestyle. “That said, while the job might be seen as very glamorous, with international travel and top hotels, you need to know how to deal with extremely demanding customers, who are used to getting exactly what they want.” Esling adds: “You need to offer the right level of respect and service, while retaining a sense of proportion. The work can be hectic, but the best and most experienced sales representatives learn to cope with stress.” The best aircraft brokers or sales representatives are consulting experts for clients in many ways, making their points and recommendations about aircraft choice clearly. Esling, who is responsible for nonUS Citation sales, warns: “Telling the customer that they are making a big mistake – if they choose a different manufacturer from your company, for example – is rarely a good idea. Preserving the quality of the relationship is vital. If the customer ignores your advice and makes a bad decision on an aircraft acquisition, he’ll come back to you a year later. He may not admit he made a mistake, but he will come back to you. If a really good relationship exists between the customer and the salesperson, the customer will often transfer manufacturer allegiance if the salesperson changes companies.” Esling joined Cessna in 1995 as a division sales director for Citations and was promoted to vice president in 2005. He says: “People will do business with people they like. The greatest skill of the salesman is to form that bond with a potential customer and, from there, form a friendship that leads to repeat business. Sales are mostly about strong relationships. That’s what you need.” When assessing the credibility of the potential buyer, Esling says: “Any good aircraft salesman knows the best buyer is someone who already owns a business jet. But sometimes you need to trust your judgement and
take a long-term view on a potential customer with no ownership background. It’s not unknown to meet somebody new to discuss a purchase, effectively hear nothing after that meeting and then have that person come back to you five years later, ready to buy.” He adds: “Anyone buying a business jet will be well-educated and commercially sharp, but there are undoubtedly cultural differences in the expectations and negotiating techniques of customers. Customers from the Middle East, for example, might well negotiate by stating their final position straight away, whereas Chinese customers will tend toward discussing smaller, incremental movements on the price.” Esling acknowledges that, wherever you are in the world, the aircraft sales process is not always quick. “I remember a government tender for a business jet to be used for flight inspection missions. The first enquiry took place in 1994. We delivered the aircraft in 2007. “On the other hand, we signed an agreement on a Citation CJ1 in 1998 within five minutes of meeting the customer. “I’d say 80% of the time the customer will ask for a test flight before making the purchase. Nonetheless, sometimes the customer will simply buy from the brochure because, after a good longterm relationship, he completely trusts the sales representative.” Esling says: “Specific desires to personalise the jet, while rarely
collapsing the deal, can often bring delays. Finding French Renaissancestyle chairs for a customer was certainly a challenge. Interior refurbishment can be quite an emotional matter for the customer, and you need to ensure the buyer’s wife, as well as the buyer, likes the aircraft too.”
International buyers have great business acumen – Gordon Wishart
International buyers are very savvy and have great business acumen, according to Gordon Wishart, TWC Aviation, director of aircraft sales and acquisitions. “If they feel that they are being taken advantage of they will just move on. It all boils down to trust.” Wishart, who has been involved in numerous aircraft transactions in Europe, the Middle and the Far East, points out that working within multiple time zones that can be as much as 17 hours apart can be a business challenge. “Language barriers are seldom an issue with clients outside the United States. What I find is that they want to establish a relationship that is built on mutual trust and knowledge on our side when they make an inquiry on the aircraft and on the purchase process. It can be a somewhat more Continued on next page
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‘Intermediary East’ differs from ‘hands-on’ West Andrew Hughes, Ocean Sky’s managing director, aircraft management, says there is a particularly marked cultural difference between eastern and western Europe. “With clients in east Europe the transaction is almost always managed through the use of intermediaries in a very hands-off relationship where the actual buyer only comes in at a very late stage. In that situation, it’s firstly a matter of divining where the authority actually lies and also safeguarding your own position against liabilities if there turns out to be a problem. Professionally it is a challenge because rather than giving direct advice on a purchase you are having to rely on an intermediary’s interpretation of what you are saying and must guard against miscommunication.” Hughes adds: “In western Europe the actual owners are much more involved because culturally when you are parting with $20m to $50m you want to physically take command of the situation and you take the money very personally. There are always advisers on hand, either corporate or independent financial advisers mostly, but you know that the hand you shake is the one that will be signing the cheques.” He reports processes ranging from 21 days to 30 months. Hughes recalls: “The latter was a very charming client who we knew well enough to be confident that he would be making the purchase – but for one reason or another it kept getting postponed. We got through a new letter of intent every couple of months and everyone kept their fingers crossed and we got there in the end. The fastest was less than three weeks when a delivery slot on a new aircraft came available at the right price. Effectively the original purchaser was unable to complete and go ahead with delivery so he needed to sell fast – fortunately I had a buyer for that specific type, which was at a great price and no financing was involved to complete.”
Aid arrives in Sri Lanka co-ordinated by CF in the Middle East. Photo courtesy of USAID Sri Lanka.
CF’s UAE operations pivotal in helping flood victims Chapman Freeborn’s operations in the Middle East proved pivotal in delivering urgent aid to help Sri Lanka flood victims. It carried out a high-profile movement from the Jebel Ali Free Zone in the UAE, to Colombo, Sri Lanka, on behalf of the United States Agency for International Development. According to a government spokesman, more than 325,000 people have been displaced by the floods. Over 30 people have died and more than one million have been affected by the natural disaster. The priority since the rains abated has been to deliver humanitarian aid to thousands of people who now face risk of disease and famine. CF’s Dubai team collaborated with the company’s UK head office to plan and operate the humanitarian relief effort.
Air Partner celebrates first anniversary of Turkish office Air Partner is celebrating the first anniversary of its operations in Turkey. The company, which marks its 50th year of trading this year, expanded its market reach with the opening of a new base in Istanbul at the beginning of 2010 as part of its on-going strategy to expand into key geographic markets. Currently, the Air Partner Group has 20 offices spanning Europe, the US, the Middle East and Far East. Country manager Serkan Topcu, charter sales manager Emir Ozdabak, broker analyst Cag Caglar and commercial manager Gunnes Nomaler have worked hard to provide a vital link between Air Partner’s established operations in Europe and emerging markets in the Middle East, Air Partner adds. Topcu says: “New commercial jet airliner charter business has been generated from key growth
sectors, including the inclusive tour industry for the movement of passenger groups using Boeing 737s and Airbus A300, A310 and A320s. Aircraft leasing has also been a successful area of business.” Kevin Ducksbury, director of Middle East and Asia, says Air Partner Turkey will now apply greater significance to promoting the company’s private jets products and services, including the ad hoc charter of executive aircraft and the JetCard membership scheme.
Charter firms come to the aid of executives in Egypt Chapman Freeborn and Private Jet Charter have flown hundreds of stranded individuals and corporate executives out of Egypt as unrest in Middle East countries, including Libya, continues. CF’s group passenger director Darren Banham confirms: “We’ve organised multiple repatriation flights from Cairo on executive jets and large aircraft.” Private Jet Charter also flew people out of Cairo to various destinations around the world following the public uprising in Egypt. Hugh Courtenay, ceo, points out:“In times of emergencies and crises, demand for private jet charter services shoots up.” Elie Abdo, md Middle East, adds: “We have been receiving hundreds of queries and requests every day.”
PrivateFly appoints new chairman PrivateFly has appointed Richard Carrick as chairman. Carrick has previously held general management and marketing roles at MyTravel, Saga Holidays and Forte Hotels and was recently ceo of Hoseasons. He replaces previous PrivateFly chairman David Scowsill, who was appointed president and ceo of World Travel & Tourism Council last year. Scowsill remains as an adviser to PrivateFly’s board, which includes former UK md of lastminute.com John Bevan as non-executive director.
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difficult process for the international client due to logistical distance and making the initial contact but once established it goes very well. The sales representative or broker needs to provide accurate information to the interested party, answering the questions that are put forth such as providing aircraft specifications, maintenance status pricing and comparables.” There are different methods in the way negotiations take place in different countries and some are related to mannerisms and customs. Wishart says: “I personally find this varied clientele very polite and extremely patient but it all comes down to wanting to get the best value on the purchase.” The time span from enquiry to flight has varied from 40 days to two years. “Sometimes the client does not respond quickly and the aircraft is purchased by another party. This becomes very frustrating because that opportunity might not come around again but you have set up the expectations,” Wishart says. “Other challenges include discovering the aircraft was not being represented as the specifications indicate, such as avionics equipment, the interior not being fire blocked, aircraft books are missing, or there is damage found that could have an impact on the value of the aircraft.” He advises performing a visual inspection and teaming up with a knowledgeable technician to review the aircraft log books. “That saves so much time and money. However, some issues can’t be identified until the aircraft is opened up for the required inspections such as finding corrosion. Neither the seller nor the buyer wants to discover that.” Wishart says. “There are some individuals that have become very successful financially, but they reinvest that income right back into their business. This is why they are successful and deserve those accolades. For the past three years the majority in our field have found it very stressful. Very few people have been purchasing aircraft. That is stressful, and I see that quite
often right now. This occupation is not always as glamorous as many people think. A lot of ground work is put in every day and there is a team of individuals behind every successful sale. “One may ask why we all stay in the business. Once it gets into you’re blood you just cannot get it out of the system. I have made friends for life in this business that have become like family. I know many of my associates would say the same.” Wishart regards a test flight as essential. “In every contract we originate, we insist that the customer needs to fly the aircraft to check out if all the systems are working in accordance with their requirements. It is important to fly from destination A to destination B in order to see if it is the right aircraft that meets the company’s travel requirements. “It is essential to fly after the aircraft comes out of the prepurchase inspection in order to confirm that all systems that have been worked on, installed or upgraded are performing correctly.”
Inexperienced lawyers may scupper aircraft deals – Robert Dolby
super highway has bypassed some of the worst, but you relax your vigilance at your peril.” He adds: “The biggest change is the amount and availability of information – 20 years ago we used to buy directories to locate aircraft and owners. Pricing levels were obscure. There were opportunities for obscene mark ups.” Dolby says: “English is a universal language in aviation, which probably is one of the major reasons pilots in non-English speaking countries are more involved in the acquisition process than in the US. I find more British, German and US executives have some degree of competence in aviation than in other countries, particularly in Asia. Russians are tough and are a separate world of aviation in their own territory.” He recalls: “My longest sale took over two years to put together an acceptable trade deal for a retired airline pilot.”
Style is key in converting clients to refurbished aircraft – Chris Sedgwick
One thing that is almost sure to scupper any aircraft transaction is a lawyer who has limited experience in aviation buying and selling, according to Robert Dolby of Aviation Advisors International Inc. He adds: “Everyone has lost deals to this impediment. Aviation sales is hard work with a lot of pitfalls. Like most professions it has significant rewards for the top performers, but the bulk of the participants put in long and arduous days for a middle class lifestyle. The prevailing fantasy is that it is easy money. While it is true that one or two transactions can support a ‘bedroom broker’ for a year, it is also true that one deal with the wrong person can wipe out a year’s income.” Dolby warns: “There is dishonesty and sharp dealing in every arena of the business including buyers and sellers. Fortunately, the information
Variety is the spice of life for Chris Sedgwick, technical sales executive for BAE Systems Asset Management, who has been specialising in the Avro business jet for the past two years from a technical perspective and is now the version’s “product champion.” He says: “Because we don’t sell aircraft with a set of modular interiors, this makes the selling process more interesting as it means we have to take into account different customers’ tastes in terms of furnishings, fabrics and aircraft functions. It is obvious of course but our experience is that customers in the Middle East generally prefer a quite different style to those from North America or Europe. That is why we have commissioned Design Q to provide a series of concepts for interiors that can reflect the
EUROPEAN BUSINESS AIR NEWS
Philippe Fragnière says Exklusiv Aviation often works directly with the aircraft manufacturer for pre-owned aircraft in order to help provide proven quality.
different tastes and lifestyles of clients around the world.” Sedgwick confirms that national traits do tend to reflect in the way negotiations are conducted. “Some customers prefer to do business over dinner; others haggle over the smallest details. That is partly why we employ salesmen who are located in countries overseas and who are well versed in the local cultures and can steer us on the correct way to approach the negotiation. We make every effort to get to know the person and his or her lifestyle and from that we can develop ideas with design consultants for possible interior designs.” The ‘average’ norm from start to contract signature, but not including refurbishment or aircraft customisation, is about six months but the longest sales process has taken 18 months to two years. “The shortest I personally can recall was in the days of the BAe 125 business jet, where I am aware that, at a Paris Air Show, a buyer not previously known to the sales team came to the chalet and negotiated the purchase of an aircraft there and then and paid a deposit on the spot. This must be very rare.” Sedgwick points out that the sales process should help to eliminate the chances of failure in the corporate and vip market but each buyer is different and difficulties can range from the lack of money being available at the right to conflicts of interests between consultants. He adds: “All of our salesmen state that the belief that they enjoy a wonderful lifestyle with the travel to exotic locations is somewhat far from the truth ... most of the time when abroad on a campaign all they see is airport terminals and hotels and that is far from glamorous. On the plus side they do get to meet some fantastically interesting people, especially in the vip market, who are real characters.” Sedgwick agrees that closing a deal can be stressful but also exhilarating. “If the deal doesn’t come off in the end, the emotion is more of disappointment rather than stress. One area that sometimes crops up with the ABJ is that it is possible the customer might be specifying a long range aircraft when 99 per cent of the flights he makes are, for instance, intra-European. “We always try to specify an aircraft that we feel is best suited to a customer’s requirements, especially in terms of performance. If we feel a client is making the wrong choice we do try to understand why he has set his heart on another product and try to work around that.” Buyers, Sedgwick says, know about the aircraft beforehand. “Test flights are, of course, a costly exercise and we do not have demonstrator
MARCH 2011 13
aircraft as such. However, if the customer requirement includes the ability to operate from a difficult airfield for example, it is possible that a customer might request a demonstration. In that instance we would probably suggest that a cheaper way to achieve this – though still quite expensive – would be to arrange time on a simulator and in that case we ask them to pay for the simulator time and factor that cost into the aircraft price. We never offer to pay for the simulator exercise ourselves and this, in turn, is a test of customer seriousness.” Sedgwick says buyers are shrewd and looking for value-for-money and that specialist business aviation exhibitions help them visualise the end product. “Certainly in our recent experience, customers getting on board a refurbished aircraft rarely realise that it is an older aircraft that has been converted.”
DENMARK REGIONAL REVIEW
Clients invariably want to pay less than the market value – Adrian Twibill
Clients, says Adrian Twibill, founder of the London-based Emtjets Global, are fully aware of the market value and are always looking below that level. “They didn’t get to where they are and to be able to afford a jet without knowing how to negotiate first,” he points out. Twibill adds: “The main gremlin we encounter would be finance. The second would be a breakdown of communications in a chain between representatives and the end buyer. We tend to prefer liaising with the owner and buyer directly for reasons of efficiency and accuracy.” “I would say it was a fulfilling job, but can be stressful at times. It may be a good lifestyle selling the Bentleys and Ferraris of the skies, but we are acting on behalf of the client and focusing on their needs. This takes full dedication and understanding of what is required of us and we are on call 24-7. It is a personalised service and we try to prevent further stress to the client by taking it onboard ourselves.” He adds: “We advise the client on what is and what is not a good investment. Whether we agree with their decision or not, we can only present the best aircraft options on the market and take our clients instructions. In all of the sales we have facilitated over the years, the buyer will expect a test flight. We will always qualify the buyer prior to any introduction. This ensures the buyer is serious and protects the owner.”
The famous statue of the 'Little Mermaid' sits on a rock in Copenhagen harbour. iStockphoto®, ©Dan Kite, photographer.
Air Alsie adds four Falcon 7Xs to enhance worldwide operations Business aviation in Denmark by the numbers 25 business aviation airports Major business aviation airports* 1. Copenhagen 2. Copenhagen 3. Esbjerg 4. Billund 5. Aalborg
Roskilde Kastrup Esbjerg Billund Aalborg
EKRK EKCH EKEB EKBI EKYT
RKE CPH EBJ BLL AAL
* ranked by the number of handler, charter, maintenance, sales and training organisations based at each.
21 business charter operators Leading fixed-wing charter operators** 1. Air Alsie 2. JoinJet 3. North Flying 4. BenAir 5. Cowi A/S
Leading helicopter charter operators**
Russian clients may change their minds mid-transaction – Daniel Jennings
Daniel Jennings, ceo of The Private Jet Company, says Russian clients often will change their mind in midtransaction and look for another aircraft, rather than solely focus on the deal in hand. “When deals are closing and business is wonderful the lifestyle, although always stressful, can be wonderfully rewarding in the financial rewards as well as personal accomplishments. I find the most enjoyable part is the interesting and successful personalities that you meet and come to know. I try to build relationships with my clients and have long-lasting friendships beyond the transaction. There are opportunities to travel worldwide and have unique access to a lifestyle few ever see including yachts, private aircraft and spectacular wealth and power.” ■
1. DanCopter 2. Uni-Fly 3. BenAir 4. Bel Air Aviation A/S ** ranked by number of aircraft for charter
aircraft 19 business maintenance organisations Leading maintenance companies*** 1. Airalpha 2. BenAir A/S 3. Sun-Air of Scandinavia 4. Air Service Vamdrup 5. CAM Aviation
Leading TRTO training companies*** 1. Copenhagen Air Taxi – College of Airline Pilot Education 2. Billund Air Center 3. BenAir 4. Sun-Air of Scandinavia *** ranked by number of aircraft types covered
business aircraft on OY 233 the Danish register Data extracted from the Handbook of Business Aviation in Europe, and the EBAN reader roster
Airalpha’s Gunnar Strand reports renewed investment.
Air Alsie is a high profile example of a Danish operator that thrives on international business. Henrik Therkelsen, Air Alsie ceo, says: “Based in Sonderborg Airport on the southern most part of Denmark, the company has 19 business jet aircraft that are directed all over the world to meet client demands. Air Alsie prides itself on being the preferred supplier to governments, royalty, corporations and vips.” The company’s managed fleet, which is being significantly expanded, operates mainly in the corporate sector but also serves organisations, governments and private individuals with a mix of owner use and charter. Air Alsie, established in 1988, built a fleet based on the Citation CJ1, CJ2 and XLS, the Hawker 800, an XP, the Challenger 300 and nine Falcon 2000s spanning the EX, EASy and LX. Therkelsen says: “New arrivals will include four Falcon 7Xs – one in March 2011, two in 2012 and one in 2014, plus two Falcon 2000 LXs, one in May and one in September this year. These will all be new aircraft – none pre-owned.” He adds: “Our operation is worldwide with regular Atlantic crossings and Far East flights each week, but of course we also operate within Europe. While we do not dedicate aircraft to any particular route, the small jets tend to operate within Europe. The client base is widely spread across the world as
well, with a concentration in Europe and Scandinavia.” Air Alsie holds a Danish DCAA AOC and Part 145 maintenance approval together with the FAA FAR 129 approval and the American DOT and visa waiver approval, and employs 110 people, mainly Scandinavians, recruited largely through personal recommendation. Air Alsie last year flew a Falcon 2000EX aircraft to Dalian Zhoushuizi in the Chinese province of Liaoning. This marked the 1,000th airport visited by Air Alsie in ten years. Bel Air, which specialises in offshore and onshore helicopter services, also plans to expand its facilities and offering in 2011. “The fleet and facilities are doing well in 2011 and we believe business will increase,” says co-owner Bjarne Lastein. Vojens Air Transport operates the Cessna C421 from Skrydstrup which is the Danish Air Force base for F-16 fighters. Hans Jensen, ceo, says: “Handling is open 24 hours a day, year round, which means that we can move in a very short time after the order is entered.”
Thrane: equipment in demand.
Support services Denmark is fast enhancing its international reputation as a country which provides a range of skilled support and services for the private aviation sector. Airalpha continues to build its reputation as a one-stop-shop, according to accountable manager Ellen Hangaard. Major business offerings include design and certification of modifications, changes and repairs related to Continued on next page
EUROPEAN BUSINESS AIR NEWS
14 MARCH 2011
I N D U S T R Y Ciampino FBO is refurbished Sky Services has refurbished its facility at Rome Ciampino to include a new and modern vip lounge with satellite TV, free internet point and coffee area.
Orphanou takes the helm at Oxford Oxford Airport has appointed Chris Orphanou as managing director. Until January 2009 Orphanou was ceo at Coventry Airport and most recently ran his own aviation and consultancy business.
Gestair in Valencia GAT Gestair has improved its facilities in Valencia, and reports that it has become the only FBO with passenger and crew lounges located in the general aviation terminal itself.
Matousek takes chair at CEPA CEPA, the Prague-based Central European Private Aviation organisation, has appointed Jirí Matousek as chairman with immediate effect. He replaces CEPA founder Dagmar Grossman who has held the position since the organisation’s inception in November 2009. Matousek has been working together with Grossman on a variety of CEPArelated projects for the last six months.
G250 begins icing tests The Gulfstream G250 flight-test aircraft have completed several ice-test certification points in anticipation of the aircraft’s certification later this year. The aircraft have now flown with simulated ice shapes applied to the non-heated areas of the aircraft, including the nose, tail, winglets and engine pylon. These tests were used to evaluate the aircraft’s handling, stability and control characteristics in icing conditions. The G250 uses an anti-ice system similar to Gulfstream’s large-cabin aircraft. Heated bleed air from the engines is routed to the leading edges to prevent ice formation.
TV all-round in Phenom 300 Embraer has received certification for the Phenom 300 premium inflight cabin entertainment system. This version enhances the current option by adding seven inch individual seat monitors and an exclusively designed Cabin Management System installed in the VIP seat.
Avalon enhances Biggin Hill maintenance Just over 18 months ago, Avalon Aero took possession of hangar 526 at Biggin Hill and, after an extensive refurbishment, have just relaunched it. Included in the new
N E W S . . . facility are base and line maintenance on corporate jets together with a full Continuing Airworthiness and secure hangarage. From February 1 the new reception lounge will be offering its visitors complimentary refreshments, along with Wi-Fi and printing facilities.
DENMARK REGIONAL REVIEW
Assistair hands Valencia over to ExecuJet ExecuJet Europe has opened its fourth European station following an agreement with Assistair to buy the assets of the FBO in Valencia and retain the services and staff at the facility. It will now be run under the management of Nicole Gut, ExecuJet European FBO director.
Sikorsky discusses Saudi link Sikorsky has agreed with Alpha Star Aviation Services to consider forming a joint venture to provide comprehensive aviation support and maintenance services in the Kingdom of Saudi Arabia. Alpha Star is based in Riyadh.
Signature opens Middle East sales office Signature Flight Support has opened a Middle East sales office and appointed Karl Bowles as sales manager, Middle East. Most recently Karl was the director of business development, Middle East, for Jet Support Services Inc.
International sales boost Piper Piper Aircraft Inc increased its new aircraft market share, billings and deliveries during 2010 and, for the first time in recent Piper history, international exports accounted for more than half of the company’s volume by deliveries and dollars. Piper delivered 160 new aircraft, up more than 75 percent from 90 aircraft in 2009.
Longer runway at Oxford London Oxford Airport has received approval by the UK Civil Aviation Authority to allow a 21% (896 ft/273 m) increase in the declared take-off distance from its runway.
RAS plans HondaJet base at Munich Rheinland Air Service has invested close to €500,000 enhancing its FBO at Munich Executive Airport (Oberpfaffenhofen), adding a crew briefing room, two new crew recreation and relaxation rooms and a sundeck. As one of only three Honda Aircraft dealers in Europe and with a territory covering central Europe, RAS now has plans to establish a HondaJet sales and service centre alongside.
Airalpha: one-stop-shop. Continued from preceding page
electrical, mechanical and avionics installations, appliances and structures. This is offered alongside maintenance and installation, interior design and refurbishment, aircraft painting and continued airworthiness management. Hangaard says: “We have maintenance bases in Denmark, Norway and Ghana, and we are always on the look out for other possibilities. Our aim is to keep our flying and happy – no customers A matter where the customer might be.
We recently opened our base in Sola, Norway, where we are offering maintenance to both helicopters and fixed wing.” The company’s Gunnar Strand adds: “We find that more and more people are getting back on their feet after the world economic crisis. They are starting investing in the aviation business again in aspects such as aircraft interiors.” Scandinavian Avionics started out as a small avionics workshop at Billund airport. Today, Billund is the headquarters
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The RAS facilities at Munich Executive.
For contact details and full news releases, consult www.handbook.aero
of the SA Group – a grouping of joint ventures and fully owned Scandinavian Avionics divisions. “Currently, we have facilities in Sweden, Norway, the Czech Republic, Greece, Bahrain, Malaysia and India,” says marketing manager Thony Bruun Jensen. “The Indian joint venture became a reality in 2010 and is the latest addition to the SA Group, but we are constantly on the lookout for new markets and partners in order to maintain our position as market leader outside the US.” Jensen says Scandinavian Avionics feels that it has managed to get through the global economic crisis without any decrease in capability or capacity. Scandinavian Avionics has extended its capability to include support of aircraft galley equipment, from its SA Greece division, such as ovens, coffee makers, water boilers and beverage makers. Jensen confirms that the primary client base of Scandinavian Avionics is business aircraft and helicopter operations. “Based on our EASA Part 21 design approval, we provide certification for any avionics and interior solution for any type of aircraft and have developed more than 300 STCs and a total of more than 2000 EASA certifications over the years.”
A
Vojens offers 24-7 handling.
The company also focuses on the installation of all types of avionics and electrical equipment, from traditional upgrades to complex fully integrated systems like EFIS as well as special mission applications. Recent projects include EFIS upgrade in a Citation II, avionics retrofit in EC120B including EFIS and autopilot, glass cockpit upgrade in ATP aircraft, avionics upgrade including EFIS in a Cessna 414, and EFIS and radio upgrade in Beechcraft 1900 a for French business aircraft operator. Danish satellite communications equipment manufacturer Thrane & Thrane offers a SwiftBroadband portfolio which includes its compact and lightweight Aviator 200 system, the Aviator 300 and 350 intermediate
EUROPEAN BUSINESS AIR NEWS
MARCH 2011 15
DENMARK REGIONAL REVIEW
Marketplace Contact Mark Ranger on: +44 (0)1279 714509 mark@ebanmagazine.com
and high gain antenna options and the Aviator 700 complete cockpit and cabin communications system. It recently introduced a new Aviator wireless handset which can be used by anyone onboard the aircraft to make and receive in-flight calls. “In an age where people rely upon being able to stay connected at any time and in any place, the introduction of Inmarsat’s SwiftBroadband service has become an important development for aircraft operators,” the company says. Charter operators, it points out, can offer a host of affordable satellite communications services including voice, email and web browsing. “The introduction of SwiftBroadband has also been well received in the cockpit as pilots have access to real-time information at their fingertips,” it adds. Bent Iversen, md, Air Service Vamdrup, which maintains both fixed-wing and rotary aircraft, says business is growing through recommendations made by the existing client base and the company’s skill in evaluating new service opportunities.
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.
P&W 306B engines on ESP Gold, ERTanks, max. range 2,000 nm, APU Honeywell, Avionics Honeywell Primus 2000, 5 CRT, one owner since new, always hangared, n.d.h., LG OH done 03/2010, all maintenance current, call Jörn Deistler, Tel: +49 4881 936693 Germania Executive Aviation. www.germaniaexecutive.com . eurojets@germaniaexecutive.com
and wardrobe aft, direct access door to large baggage compartment, P&W 306B engines on ESP Gold, ER-Tanks, max. range 2,000 nm, APU Honeywell on MSP, Avionics Honeywell Primus 2000, 5 CRT, two owners since new, always hangared, n.d.h., Call Jörn Deistler, Tel: +49 4881 936693 Germania Executive Aviation. www.germania-executive.com. eurojets@germania-executive.com
Phenom 100 Multiple Phenom 100s. Pre-owned with only 100-500 t/t. Plus 2011 delivery positions. Prices include all options and escalators. EASA, JAR OPS. Aircraft enrolled on ESP Gold Engine and Embraer Executive Care Enhanced programs. Immediate deliveries. Contact: Oliver Stone, Tel: +44 793 856 3771 Business Air International. www.businessairinternational.com. oliver@businessairinternational.com
EMBRAER CESSNA
CitationJet 525 1999, S/N 525-0358; 2,959 TT; 5 passenger executive interior; on ProParts and Williams International TAP Elite. Make Offer. Contact: John Keeble Tel: + 44 (0) 1582 733615 Twinjet Aircraft Sales (UK) Ltd. www.twinjet.co.uk. jk@twinjetsales.com
328JET 1999, MSN 3114, blt. 1999, TSN 6648, CSN 5117, EASA, JAR OPS 1, QC Interior 31/29/26/19 Pax, P&W 306B engines on ESP Gold, APU Honeywell, Avionics Honeywell Primus 2000, 5 CRT, one owner since new, always hangared, n.d.h., LG OH done 09/2009, all maintenance current, call Jörn Deistler, Tel: +49 4881 936693 Germania Executive Aviation. www.germania-executive.com. eurojets@germania-executive.com
DORNIER
“Envoy 3” ER 1999, MSN 3121, blt. 1999, TSN 5273, CSN 4042, EASA, JAR OPS 1, Interior 9 VIP w/credenza or 14 pax “Executive”. Large galley fwd, lav and wardrobe aft, Airshow,
328JET “Envoy 3” ER 2001, HB-AEU, Price reduction. MSN 3199, blt. 12/2001. TSN 2,021, CSN 1,608, EASA, JAR-OPS 1, 8 VIP Seats in double club configuration, 6 airline seats, all beige leather, Airshow 400, DVD player, Sat-Phone, Selcal, large galley fwd, lav
Legacy 650 Immediate delivery. Less than 250 hours t/t. EASA, JAR OPS. 7,223 km range. 13 passengers. Fwd and Aft Lavs. Full onboard conveniences include Internet and e-mail access, large file transfers and videoconferences using a wirelesscapable laptop. Contact: Oliver Stone, Tel: +44 793 856 3771 Business Air International. www.businessairinternational.com. oliver@businessair international.com
OUR NEXT ISSUE: APRIL 2011 BOOKING DATE: MARCH 28th
WE HELP AVIATION SALES PROFESSIONALS GENERATE DEALS
For the latest job opportunities, see: Denmark: charter demand is increasing.
Some Danish airports are reporting rising levels of business. Lars Holm Madsen, manager operations, maintenance and construction at Aarhus Airport, says it handles around 2,000 business aircraft movements annually as well as 150 helicopter movements. “We are planning to expand facilities and offer more services for private and corporate flights,” he adds. ■
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