World Aircraft Sales Magazine February 2014 by AvBuyer Ltd.

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WORLD

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The global marketplace for business aviation

February 2014

See pages 28 - 29 for further details

Business Aviation & The Boardroom: pages 16 - 65

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AC Index Feb14 23/01/2014 13:01 Page 1

Aircraft For Sale • AIRCRAFT • HELICOPTERS • PRODUCT & SERVICE PROVIDERS AIRCRAFT

PAGE

AIRBUS A318 . . . . . . . . . . 46, A318 Elite. . . . . . 73, A319 . . . . . . . . . . 99, A320 VIP . . . . . . 30, 148,

BOEING/MCDONNELL DOUGLAS BBJ . . . . . . . . . . . 19, 46, 47, 79, BBJ II . . . . . . . . . 19, Super727 VIP . . 79, MD-DC-8 VIP. . . 79,

BOMBARDIER Global 5000 . . . . 7, 10, 23, 30, 43, 49, . . . . . . . . . . . . . . . 51, 85, 148, Global 6000 . . . . 7, 148, Global Express . 10, 31, 46, 79, 134, . . . . . . . . . . . . . . . 140, 148, Global Express XRS..10, 20, 31, 63, . . . . . . . . . . . . . . . 148,

Challenger CRJ 200LR . . . . . 148, 300 . . . . . . . . . . . 11, 30, 58, 132, . . . . . . . . . . . . . . . 137, 148, 601-1A . . . . . . . . 53, 601-3A . . . . . . . . 46, 601-3R . . . . . . . . 148, 604 . . . . . . . . . . . 7, 12, 30, 57, 58, 75, . . . . . . . . . . . . . . . 145, 148, 605 . . . . . . . . . . . 7, 20, 30, 99, 148, 650 . . . . . . . . . . . 66, 850ER . . . . . . . . 148,

Learjet 31A . . . . . . . . . . . 51, 57, 35A . . . . . . . . . . . 55, 71, 89, 40 . . . . . . . . . . . . 58, 99, 40XR . . . . . . . . . . 129, 45 . . . . . . . . . . . . 13, 21, 53, 45BR . . . . . . . . . . 71, 45XR . . . . . . . . . . 31, 49, 57, 79, 127, 60 . . . . . . . . . . . . 13, 28, 45, 46, 47, . . . . . . . . . . . . . . . 49, 57, 71, 148, 60SE . . . . . . . . . . 13, 51, 60XR . . . . . . . . . . 31, 57, 58, 148,

CESSNA Citation ISP . . . . . . . . . . . 55, II. . . . . . . . . . . . . . 5, 43, 50, 54, 145, IISP . . . . . . . . . . . 50, III . . . . . . . . . . . . . 50, 54, V. . . . . . . . . . . . . . 12, V Ultra. . . . . . . . . 12, 13, X . . . . . . . . . . . . . 12, 57, 139, XLS . . . . . . . . . . . 54, 85, XLS+ . . . . . . . . . . 45, CJ1+ . . . . . . . . . . 30, 45, 85, 148, CJ2. . . . . . . . . . . . 12, 50, 66, 79, CJ2+ . . . . . . . . . . 12, 53,

AIRCRAFT

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CJ3. . . . . . . . . . . . 12, 28, 53, 54, 67, 99, . . . . . . . . . . . . . . . 140, CJ525 . . . . . . . . . 87, M2 12, Bravo . . . . . . . . . 28, 37, 50, 71, 128, Encore . . . . . . . . 37, 50, 99, Excel . . . . . . . . . . 85, 145, Mustang . . . . . . . 12, 50, 99, Sovereign. . . . . . 12, 28, 49, 53, 85, . . . . . . . . . . . . . . . 135, T206H StationAir .5, Ultra . . . . . . . . . . 5, 101,

Conquest I . . . . . . . . . . . . . . 5, II. . . . . . . . . . . . . . 55,

Grand Caravan 208 Amphibian . 143, 208B Grand . . . . 142,

EMBRAER EMB-135LR . . . . 79, Legacy 500 . . . . 43, 148, Legacy 600 . . . . 47, 140, Lineage 1000. . . 47, Phenom 100 . . . 71, Phenom 300 . . . 58,

FAIRCHILD DORNIER 328 . . . . . . . . . . . 5,

FALCON JET 7X . . . . . . . . . . . . 49, 99, 140, 145, . . . . . . . . . . . . . . . 146, 10 . . . . . . . . . . . . 51, 20F . . . . . . . . . . . 145, 50 . . . . . . . . . . . . 11, 25, 49, 54, 99, . . . . . . . . . . . . . . . 145, 146, 50-4. . . . . . . . . . . 146, 50EX . . . . . . . . . . 11, 54, 146, 900B . . . . . . . . . . 3, 11, 43, 45, 57, 79, . . . . . . . . . . . . . . . 99, 146, 147, 900C . . . . . . . . . . 34, 54, 146, 147, 900DX . . . . . . . . . 30, 900EX . . . . . . . . . 3, 20, 23, 30, 146, . . . . . . . . . . . . . . . 147, 900EX EASy . . . 3, 146, 147, 900LX . . . . . . . . . 3, 11, 58, 2000 . . . . . . . . . . 3, 11, 20, 35, 49, 50, 2000LX . . . . . . . 23, 2000EX. . . . . . . . 133, 2000EXEASy . . 53, 148,

GULFSTREAM IISP . . . . . . . . . . . 145, IV . . . . . . . . . . . . . 1, 11, 25, 28, 47, IVSP . . . . . . . . . . 10, 24, 31, 38, 47, . . . . . . . . . . . . . . . 57, 79, 130, 138,148, V. . . . . . . . . . . . . . 10, 39, 57, 59, 147, 100 . . . . . . . . . . . 85, 150 . . . . . . . . . . . 38, 63, 85, 89,

AIRCRAFT

PAGE

200 . . . . . . . . . . . 7, 24, 38, 71, 147, . . . . . . . . . . . . . . . 148, 450 . . . . . . . . . . . 10, 21, 39, 43, 79, . . . . . . . . . . . . . . . 85, 148, 500 . . . . . . . . . . . 39, 550 . . . . . . . . . . . 7, 39, 45, 57, 79, 85, . . . . . . . . . . . . . . . 99,

HAWKER BEECHCRAFT Beechcraft 400 . . . . . . . . . . . 50, 400A . . . . . . . . . . 13, 37, 50, Premier 1 . . . . . . 37, 57, Premier 1A. . . . . 71,

King Air 300 . . . . . . . . . . . 143, 350 . . . . . . . . . . . 24, 51, 63, 85, 99, B200 . . . . . . . . . . 28, 37, 55, 57, 63, 85, . . . . . . . . . . . . . . . 140, C90 . . . . . . . . . . . 50, 58, 85, 99, C90B . . . . . . . . . . 37, 45, F90 . . . . . . . . . . . 73,

Hawker 400XP . . . . . . . . . 57, 85, 131, 4000 . . . . . . . . . . 13, 57, 71, 800A . . . . . . . . . . 13, 37, 51, 54, 63, . . . . . . . . . . . . . . . 141, 800XP . . . . . . . . . 7, 13, 28, 50, 57, 58, . . . . . . . . . . . . . . . 85, 141, 143, 145, 850XP . . . . . . . . . 85, 900XP . . . . . . . . . 71, 85, 1000B . . . . . . . . . 148,

IAI Astra 1125 . . . . . 27, Astra SPX. . . . . . 53,

02.14 AIRCRAFT

PAGE

SOCATA TBM 700A . . . . . 87, TBM 700B . . . . . 51, TBM 850. . . . . . . 87,

HELICOPTERS AGUSTAWESTLAND A109 A II Power 14, A109 E Power . . 13, 14, 45, A109S. . . . . . . . . 21, A109S Grand. . . 14, 25, Koala. . . . . . . . . . 85, A119 KE . . . . . . . 99,

BELL 206L4 . . . . . . . . . 141, 212 . . . . . . . . . . . 141, 230 . . . . . . . . . . . 99, 407 . . . . . . . . . . . 14, 57, 412EMS . . . . . . . 141, 429 . . . . . . . . . . . 14, 46, 430 . . . . . . . . . . . 14,

EUROCOPTER AS 350 B3 . . . . . 99, AS 355 N . . . . . . 99, AS 365 N3 . . . . . 14, 148, BK 117C1. . . . . . 99, EC120B . . . . . . . 143, EC 130 B4 . . . . . 45, EC 135 P1 . . . . . 14, EC 135 P2+ . . . . 85, EC 135 T2 . . . . . 14,

MCDONNELL DOUGLAS NEXTANT

MD 600N . . . . . . 85, 142,

400XT . . . . . . . . . 58,

SIKORSKY

PIAGGIO Avanti . . . . . . . . . 95, Avanti II . . . . . . . 71,

S76C+. . . . . . . . . 25, 135, S-76C++ . . . . . . 21, S-92 . . . . . . . . . . 14,

PILATUS PC12-45 . . . . . . . 55, PC12-47E . . . . . . 27,

PIPER Cheyenne II . . . . 99, Cheyenne IIXL . 50, 87, 136, Meridian . . . . . . . 55,

PZL M28 Skytruck . . 87,

CORPORATE AVIATION PRODUCTS & SERVICES PROVIDERS Aircraft Engine /Support . 41, 60, 61, . . . . . . . . . . . . . . . . . . . . . . . . 82, Aircraft Perf & Specs . . . . . 114, 115, . . . . . . . . . . . . . . . . . . . . . . . . 122, Aircraft Title/Registry . . . . 91, 109, Ground Handling . . . . . . . . 144, Photography . . . . . . . . . . . . 144,

QUEST Kodiak . . . . . . . . 87,

SABRELINER 65 . . . . . . . . . . . . 50, 51,

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Eagle February 22/01/2014 10:10 Page 1

Eagle Aviation, Inc. 2861 Aviation Way, West Columbia, SC 29170 Phone: (800) 849-3245 International: (803) 822-5520 Email: sales@eagle-aviation.com or visit www.eagle-aviation.com

Citation Specialist Do you want your Citation Sold too? If so, call the experts at Eagle!

1999 EXECUTIVE 328 JET, S/N 3121

Since 1967 Aircraft Sales, Brokerage, & Acquisitions

Want Your Aircraft Sold? Put It Here. Call Today! 1996 CITATION ULTRA, S/N 560-0351

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After hours contact • Jet Sales: Dennis Dabbs +1 803 822-5533 • Lee Thomas +1 803 822-5526 Matt Fullerton +1 316 722-4375 • Ralph Lacomba +1 803 822-5578

Aircraft Sales, Maintenance, Avionics, Paint & Interior, Executive Charter, 24/7 Line Service

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The global marketplace for business aviation News - Aircraft listings - Editorial WORLD AIRCRAFT SALES MAGAZINE IS A MEMBER OF THE FOLLOWING ORGANISATIONS: Aircraft Electronics Association (AEA) - British Business and General Aviation Association (BBGA) British Helicopter Association (BHA) - European Business Aviation Association (EBAA) Helicopter Association International (HAI) - National Aircraft Finance Association (NAFA) National Aircraft Resale Association (NARA) - National Business Aviation Association (NBAA)

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Contents

Volume 18, Issue 2 – February 2014

Featured Articles Business Aviation and the Boardroom 16

Transportation Trends: When reviewing company policies related to air travel, Directors should be aware of recent trends impacting the productivity of employees.

Accessing an Ordinary Travel Option: Neither Internet nor cell phone has replaced the need to conduct business face-to-face. How do you best facilitate this?

Passenger Safety: Make no mistake that safety starts with the CEO. When it comes to passenger safety on the company aircraft, that rule still applies...

Establishing Worth: What are the metrics that a Board can use to effectively assess the ongoing value of the company’s Flight Department?

‘Yes’ Is The New ‘No’: Comparing classic market indicators today with the metrics of the past five years suggests now may be the time to replace ‘No’ with ‘Yes’ with regard to a buying decision.

Business Aircraft Depreciation Primer (1 of 2): The first of a two-part article reviewing the basics for depreciating a business aircraft.

Hull Insurance Revisited: Establishing the proper insured (hull) value to carry on your aircraft continues to elude many insureds. Find out why…

Medium Jet Value: A look at the benefits of Medium jets, and a listing of values for the models built over the last 20 years.

Main Features 68

Flight Dept. Management Skills – Employee Fulfilment: A discussion of Maslow’s Theory of Motivation in relation to Flight Department management.

Flight Dept. Management Skills – All Ears: Jodie Brown outlines the necessity

104

of fine-tuning your listening skills when managing a Flight Department.

Aircraft Comparative Analysis – Robinson R66: How does the performance of the Robinson R66 stand up against the Enstrom 480B and Eurocopter EC-120B?

Beechcraft Sale Reflection: Former Beechcraft employee Mike Potts considers the implications and possible outcomes of Textron’s recent big purchase.

Global Markets - Russia: An update on activity in a long dormant market indi-

100 104

Business Jets – New For 2014: We profile some of the new business jets expected to positively impact the market during 2014.

110

Regular Features

cates infrastructure shoots emerging in other areas than the traditional Moscow hubs. 15 80 Safety Matters – Runway Choices: Dave Higdon highlights how unusual circum84 stances or relatively normal conditions can thwart plans to land on an intended 94 runway – so a planned alternate is always wise. 112 Data Comm Preparation: Ken Elliott outlines how operators can anticipate and 117 prepare for the way ahead with regards to Data Communications. 123

Charter & Tax Considerations: Don’t sign a charter lease without some careful consideration first. Rex Reese explains some key factors relating to charter and tax.

Advertising Enquiries see Page 8

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Viewpoint Aircraft Performance & Specifications Wichita Insider Aviation Leadership Roundtable JETNET >>KNOW MORE Market Indicators BizAv Round-Up

Next Month’s Issue Business Aviation and the Boardroom Aircraft Comparative Analysis (Citation Sovereign) Plane Sense on Engines WORLD AIRCRAFT SALES MAGAZINE – February 2014

Avpro February 21/01/2014 09:37 Page 1

GLOBAL EXPRESS XRS SERIAL NUMBER 9320

GLOBAL EXPRESS SERIAL NUMBER 9100

GLOBAL 5000 SERIAL NUMBER 9255

GULFSTREAM V SERIAL NUMBERS 525 & 584

GULFSTREAM G450 SERIAL NUMBER 4288

GULFSTREAM G450 SERIAL NUMBER 4024

GULFSTREAM G450 SERIAL NUMBER 4007

GULFSTREAM IV-SP SERIAL NUMBER 1363

GULFSTREAM IV-SP SERIAL NUMBER 1318

GULFSTREAM IV-SP SERIAL NUMBER 1209

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Avpro February 21/01/2014 09:37 Page 2

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GULFSTREAM GULFSTR EAM IV SERIAL NUMBER 1141

FALCON F ALCON 2000 SERIAL NUMBER 105

FALCON 900LX F ALCON 900 LX SERIAL NUMBER 190

FALCON 900B F ALCON 900 B SERIAL NUMBER 94

FALCON 50EX F ALCON 50E X SERIAL NUMBER 320

FALCON 50EX F ALCON 50E X SERIAL NUMBER 275

FALCON F ALCON 50 SERIAL NUMBER 161

FALCON F ALCON 50 SERIAL NUMBER 158

CHALL CHALLENGER ENGER 300 SERIAL NUMBER 20043

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CHALL ENGER 300 CHALLENGER SERIAL NUMBER 20261

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Avpro February 21/01/2014 09:38 Page 3

CHALLENGER CHALL ENGER 604 SERIAL NUMBER 5373

CHALLENGER CHALL ENGER 604 SERIAL NUMBER 5510

CITATION C ITATION M M22 D DELIVERY ELIVERY POSITION POSITION 3RD QUART UARTER ER 2014

CITATION C ITATION SOVEREIGN SOVEREIGN SERIAL NUMBER 255

CITATION C ITATION X SERIAL NUMBER 37

CITATION C ITATION MUSTANG MUSTANG SERIAL NUMBER 39

CITATION C ITATION CJ3 SERIAL NUMBER 86

CITATION C ITATION CJ2+ SERIAL NUMBER 332

CITATION C ITATION CJ2 SERIAL NUMBER 15

CITATION V ULTRA CITATION ULTRA SERIAL NUMBER 485

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Avpro February 21/01/2014 09:38 Page 4

CITATION ULTRA SERIAL NUMBER 439

CITATION V ULTRA SERIAL NUMBER 264

HAWKER 4000 SERIAL NUMBER RC-8

HAWKER 800XP SERIAL NUMBER 258303

HAWKER 800A SERIAL NUMBER 258142

BEECHJET 400A SERIAL NUMBER RK-164

LEARJET 60SE SERIAL NUMBER 293

LEARJET 60 SERIAL NUMBER 90

LEARJET 45 SERIAL NUMBER 105

AGUSTA A109E POWER SERIAL NUMBER 11129

INFO@AVPROJETS.COM

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Avpro February 21/01/2014 09:39 Page 5

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109E POWER POWER AGUSTA A AGUSTA A109E SERIAL NUMBER 11831

AG USTA A 109S GRAN D AGUSTA A109S GRAND SERIAL NUMBER 22077

POWER AGUSTA AG USTA A A109 109 A II POWER SERIAL NUMBER 7436

BE LL 407 BELL SERIAL NUMBER 53127

BE LL 430 BELL SERIAL NUMBER 49028

BE LL 429 BELL SERIAL NUMBER 57056

EURO COPTER EC135 P1 P1 EUROCOPTER SERIAL NUMBER 0070

EURO COPTER AS 365 N EUROCOPTER AS365 N33 SERIAL NUMBER 6650

EURO EUROCOPTER COPTER EC135 T2 T2 SERIAL NUMBER 0454

SI SIKORSKY KORSKY S S-92 -92 SERIAL NUMBER 920094

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Gil WolinFeb14_Gil WolinNov06 22/01/2014 11:04 Page 1

VIEWPOINT

Santa Monica Boulevard by Gil Wolin ll told, 1948 was a heck of a year. It saw the births of Prince Charles, Gerry Adams and Robert Plant; and the deaths of Gandhi, Babe Ruth and Orville Wright. It was also the year that, after having leased the property in 1944, the US Federal government returned the newly-expanded and modernized airport leasehold formerly known as Clover Field to the local city government: Santa Monica, California. This was a year before Mines Field, a scant six miles away, was renamed Los Angeles International Airport. There was, however, one condition: the leasehold had to remain a civil airport, in return for development grants awarded to the city by the Federal Government, or return the airport to Federal control. The Santa Monica Airport (SMO) has a storied history. As Clover Field it had served the city as an airport since 1917. As home to Douglas Aircraft, it saw the birth and manufacture of the classic DC-3 commercial airliner. During World War II, Douglas employed as many as 44,000 people, working three shifts a day, seven days a week in its SMO plants. That meant the non-stop sound of riveting and engines running, and the continual sounds of test flying new production aircraft over the entire Los Angeles Basin. Anyone living within a few miles of the airport doubtless was subject to the relentless whine of watercooled piston engines, both on the ground and in the air. And I doubt anyone living in Santa Monica would have said much about the noise, even if they were so inclined. Those living proximate to the airport likely worked there, and had both an economic and patriotic interest in SMO. Few from that era still live in Santa Monica, which means that nearly all who currently live there purchased or rented houses, condos, or apartments in the intervening years, knowing full-well that there was an airport nearby with more than 100,000 movements annually... and who, according to the city fathers, continue to complain about the airport noise ruining their quality of life. Memo to the current residents of the Santa Monica area: that storied field; site of Bill

Advertising Enquiries see Page 8

...that storied field; site of Bill Lear’s Collier Award-winning autopilot manufacturing facility, has been home to an airport for almost a century. Lear’s Collier Award-winning autopilot manufacturing facility, has been home to an airport for almost a century. It was there when you moved in – didn’t you notice? It’s certainly gotten enough publicity over the past fifty-plus years. In the early-1960s and again in the mid-1970s, the city tried to close the airport by overturning the FAA’s 1948 transfer agreement. In both instances the city and state attorneys nixed the attempts, saying it was not possible without the approval of the Federal government. But they keep trying. Last October Santa Monica filed a suit seeking to void the conditions of both the 1944 federal grant and subsequent lease transfer, saying that the city didn’t really relinquish title to the land when it leased the property to the Federal government for use as a military airfield and manufacturing facility. And that, according to Santa Monica, voids any subsequent agreements with the FAA requiring the city to maintain the land as an airport. I never knew you could void a contract simply by declaring “INOP” on any terms and conditions contained in the original agreement that don’t suit you (or your Johnnycome-lately constituents) today. And I guess it isn’t enough that the city, in response to the resident complaints, has enacted a variety of operating restrictions to reduce noise, including a 24/7 maximum noise level of 95.0 dBs per event, and prohibiting takeoffs and engine starts between 11pm and 7am Monday through Friday; and until after 8am on weekends. Thankfully, the FAA is fighting the city’s www.AvBuyer.com

latest attempt to seize the airport. It filed a motion on January 10 stating that the Quiet Title Act requires such lawsuits be filed within twelve years after a claimant learns that the Federal government has an interest in the property. That interest was clearly established in 1944 as the government realized that the aviation manufacturing capability at Clover Field would be critical to the country’s efforts to end World War II. Fortunately there are several, far more recent exhibitions of Federal interest in SMO as an airport, in the FAA’s response to previous attempts to seize the airport in 1962, 1975 and 1984. In all cases both the city and state found that the FAA indeed maintained its interest in keeping SMO as an airport. So why, given this history, does the city keep trying? Why do newcomers keep complaining? My guess is, based on more recent experiences with city politics in my own little town, that someone is whispering sweet nothings into the ears of prospective home buyers or renters. “Don’t worry about that nasty, noisy old airport. It won’t be there very much longer. Do you realize what that prime real estate in Southern California would be worth, if we could develop it? Lease revenue, tax revenue to the city…” We’ve had too many political commitments violated in recent years. Enough! ❯ Gil Wolin draws on more than forty years of aviation marketing and management experience as a consultant to the corporate aviation industry. His aviation career incorporates aircraft management, charter and FBO management experience (with TAG Aviation among others), and he is a frequent speaker at aviation, travel and service seminars. ❯ Gil is a past director of the RMBTA and NATA, and currently serves on the Advisory Board for Corporate Angel Network and GE Capital Solutions-Corporate Aviation. He can be contacted at gil@wolinaviation.com or www.wolinaviation.com WORLD AIRCRAFT SALES MAGAZINE – February 2014

BG 1 Jan14_FinanceSept 20/01/2014 16:22 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Transportation Trends Do Your Travel Policies Ensure a Productive Journey? Possibly the world’s most recognized expert on the value of Business Aviation, Jack Olcott is a former Editor and Publisher of Business & Commercial Aviation magazine and Vice President within McGraw-Hill’s Aviation Week Group. He was President of the National Business Aviation Association from 1992 through 2003, and today Jack’s network and personal knowledge of Business Aviation uniquely qualifies him to oversee Business Aviation and the Boardroom. More information from www.generalaerocompany.com

When reviewing their company’s directives and policies related to air transportation, Directors should be aware of recent trends that impact the productivity of employees, urges Jack Olcott.

usiness travel via the Airlines often is a hassle. Schedules have been curtailed between many city pairs; Airline terminals are crowded; flights usually are full (if not oversold); the specter of delayed or canceled flights is ever-present; and once onboard passengers find space is limited. Recent changes by the Federal Aviation Administration and the scheduled Airlines may add to such travel frustration.

REST PERIOD CHANGES At the beginning of 2014, the Federal Aviation Administration announced stricter rules related to the amount of rest hours Airline pilots must have between flights. Cockpit crews flying passengers for the scheduled Airlines now are required to receive 30 uninterrupted hours off duty per week, which is a 25 percent increase from previous regulations. In addition, they must have 10 hours of rest, including eight hours of

“...changes by the Federal Aviation Administration and the scheduled Airlines may add to such travel frustration.”

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Aircraft Index see Page 4

BG 1 Jan14_FinanceSept 21/01/2014 09:31 Page 2

What the Boardroom needs to know about Business Aviation uninterrupted sleep, prior to launching on the first leg of their schedule. These new regulations are designed to reduce the potential for pilot fatigue and were prompted by the events that preceded the fatal crash of Colgan Air 3407 (see Business Aviation and the Boardroom, January 2014, Page 20). While the regulations appear to be warranted, and eventually crew scheduling for the scheduled air carriers will adjust to the transition, the new rules may have a short-term impact of aircraft availability. One major Airline canceled its entire system-wide schedule immediately following the rule’s effective date because of its need to rearrange the carrier’s duty rigs. Even after pilot schedules have been adjusted, the requirement to have eight hours of sleep during the required 10 hours before flights may have a noticeable impact on crews that commute long distances from their home to their point of departure. If air carriers find the need to hire additional crews, it may be some time before passengers can expect a high degree of predictable, on-time departures. With Airlines consolidating as well as practicing “Capacity Discipline”, they are able to profit in spite of delays and cancelled flights. All aviators, regardless of the nature of their activities, should be rested and alert. Fatigue does not discriminate according to the certification basis of the air transportation. Companies with corporate flight departments are able to benefit from the nature of Business Aviation, however, without affecting their level of service to company employees. Boards are more likely to

succeed in establishing staffing policies than the scheduled Airlines, which must deal with unions when establishing rules affecting pilots. Most Boards will agree that an aviator cannot commute from anywhere in the world and be ready for duty immediately. Complying with the new rest requirements seems most prudent. However, beware of the company that allows the rules (or lack thereof) to determine what is suitable for the crew that transports your employees.

NEW SEATS Price, not customer service, is the hallmark of scheduled air carriers these days. Thus it may be understandable that seats in economy class are being placed closer together, thereby enabling a carrier to add another row of passengers. Since the 1990s, the space between the seats (called pitch) has been reduced from an average of about 34 inches to about 28 inches. Also, they are using a new generation of seats that employ lighter materials, have less padding, and position the magazine pocket above the tray table. Recline capability has been reduced, and in some cases eliminated. One US Airline uses seats with a fixed backrest on some flights—no adjustment possible. By doing so, it can seat 178 ticket holders in a singleaisle Airliner that typically accommodates 150 passengers. Since the air carriers have taken older aircraft out of service and reduced available flights accordingly, passenger capacity throughout the entire domestic Airline system has been reduced by about 12 percent. The reduction of flights combined with less competition (due to Airline consolidation) leave travelers with little choice but to accept a diminished level of service. Yes, the Airlines provide safe transportation and attractive fares, but business people also need to use their travel time productively. Squeezing passengers together significantly reduces the likelihood that travel time can be used for much more than reading generalized material. The option to fly business or first class is not always available, particularly when last-minute travel must be arranged. Even with the added space in premium class, Airline service and crowded terminals combine to produce business burnout. Boards should address the need for alternate forms of air transportation, ranging from chartering a business aircraft to some level of ownership. Relying solely on the Airlines is not a viable travel strategy.

“Companies with corporate flight departments are able to benefit from the nature of Business Aviation, however, without affecting their level of service to company employees.”

Do you have any questions or opinions on the above topic? Get them answered/published in World Aircraft Sales Magazine. Email feedback to: Jack@avbuyer.com Business Aviation and the Boardroom continues on Page 18

SPOT THE DIFFERENCE... WHICH OPTION OFFERS MORE TRAVEL PRODUCTIVITY ?

Advertising Enquiries see Page 8

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

BG 2 FEB14_FinanceSept 21/01/2014 16:42 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Travel Wise Accessing an Ordinary Travel Option ”...Business Aviation has steadily gained acceptance as an ordinary travel option, uniquely suited to serve travel needs of many companies and individuals.”

Companies throughout the world realize that neither the Internet nor cell phones have replaced the requirement to conduct business face-to-face, asserts Jack Olcott.

lobally there are about 20,000 companies and entrepreneurs operating nearly 35,000 turbine-powered business airplanes. Furthermore, those entities purchase airline tickets worth billions of dollars annually. Such is the magnitude of their need for fast, efficient and safe transportation. Some travel can be satisfied best using scheduled air carriers. Other trips call for the unique capabilities of business aircraft. Business Aviation is, in effect, a partner with the scheduled Airlines in meeting the ever-present transportation requirements of business men and women throughout the world. While slowed from time to time by disruptions in the global economy, the growth of Business Aviation has been steady over several decades. As plotted in the accompanying charts (below) as exponential lines through the last 25 years of data (i.e., from 1989 through 2013), the number of business aircraft and flight departments has grown consistently. Since the introduction of business jets and turboprops in the late 1950s and early 1960s, Business Aviation has steadily gained acceptance as an ordinary travel option, uniquely suited to serve travel needs of many companies and individuals. Never a threat to the growth of scheduled air carriers (which transport many more passengers

TURBINE BUSINESS A/C - WORLDWIDE

25000

35000

Flight Departments

Turbine Business Aircraft

FLIGHT DEPARTMENTS - WORLDWIDE

40000

30000 25000 20000 15000 10000

20000 15000 10000 5000

5000 0

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Years from 1989

SOURCE: JETNET

today than in past decades), Business Aviation connects more city pairs than do the Airlines. Even where Airline service exists, the ability of a business aircraft to be available on-demand is often a necessity as the pace of business quickens each year. The need for travel is steadily trending upward, yet the number of major air carriers is shrinking as consolidations continue. For example, not long ago Continental became part of United, and American and USAir are about to become one. Furthermore, the number of available seats on airliners has shrunk by about 12 percent over the last five years as existing carriers reduce schedules in their quest for higher load factors and profits. By including the use of Business Aviation in their company’s transportation policy, Boards are wise to follow the lead of the 20,000 or so global companies that operate their own airplanes. Many means are available for chartering, sharing or owning a business aircraft. Be prepared. Develop a Business Aviation addition to existing travel policy. Identify and vet potential providers. Include Business Aviation as one of your firm’s accepted travel options.

WORLD AIRCRAFT SALES MAGAZINE – February 2014

1 2 3 4 5 6 7 8 9 10 11121314 15 161718 19 20 21222324 25 Years from 1989

SOURCE: JETNET

www.AvBuyer.com

Aircraft Index see Page 4

FREESTREAM AIRCRAFT LIMITED SALES & ACQUISITIONS 2013 Boeing BBJ II S/N: 39899. Reg: VP-BBW • Total Time: 19:45 hours / Landings: 13 • Exclusive Marc Newson Designed Interior • 19 Passenger • Aft VIP section featuring private bedroom/master lavatory

Boeing BBJ/28579

Boeing BBJ/29273

• Airshow/Network-Fax/Satcom/SBB • Wi Fi/Live TV/Landscape Camera • PATS 6-Tank Auxiliary Fuel System

Boeing BBJ S/N: 36714. Reg: VP-BFT • Make Offer • 18 Passenger - Andrew Winch Interior Design • Full Factory Warranties

Boeing BBJ/36714

• Very lowBoeing hours BBJ/30076 • Pats 6 tank Configuration (5 aft 1 fwd) • Aft state room with private lavatory and shower • Airshow Network • Five external cameras

Boeing BBJ S/N: 34303. Reg: VQ-BBS • US$25,950,000

Global XRS/9195

Gulfstream G550/5025 • Total Time: 34,534 / Landings: 3680 • 44 Passenger • 1 Forward & 2 Aft Lavatories • Range: 5200nm • PATS 7-Tank Auxiliary Fuel System • Recent C Check complied with June 2013 • Interior refurbishment in progress at AMAC Basel

1998Gulfstream BoeingG450 BBJ2Q 2012

Gulfstream GV/512

S/N: 29273. Reg: VP-BBJ • Asking Price: US$31,950,000 • Into Service: 1999 • Total Time: 3702 hours / Landings: 897 • One Owner Since New • One of the Lowest Time BBJ's on the Market • One of Two Longest Range BBJ's Flying • Pats 9 Tank Configuration • SFR88 Modification • 18 Passenger Interior

Hawker 850XP/258812

FREESTREAM AIRCRAFT LIMITED

FREESTREAM AIRCRAFT USA LTD

FREESTREAM AIRCRAFT (BERMUDA) LIMITED

London +44 207.584.3800 sales@freestream.com

New York 201.365.6080 aircraftsales@freestream.com

Hamilton, Bermuda +441.505.1062 sales@freestreambermuda.bm

www.freestream.com

FREESTREAM AIRCRAFT LIMITED SALES & ACQUISITIONS Global XRS S/N: 9195. Reg: N4T • US$26,950,000 • Total Time: 3213 hrs / Landings: 1052 • On CAMP • Engines on Condition • Second GPS (Honeywell GPS550) • Bombardier Enhanced Vision System (BEVS) / HUD Boeing BBJ/29273 • FDR Upgrade •13 Passenger

Boeing BBJ/28579

Challenger 605 S/N: 5704. Reg: M-FBVZ • US$15,950,000 • Total Time: 1616 Hours • Total Cycles: 993

Boeing BBJ/30076

• Proline 21

Boeing BBJ/36714

• Collins SRT 2100 Inmarsat SATCOM • Airshow 410 • 10 passenger

Falcon 900EX S/N: 87. Reg: OE-IMI Global XRS/9195

• Make Offer

Gulfstream G550/5025 • Total Time: 4113 hours / Landings 2371 • Will deliver with Engines & APU on MSP • Avionics on Honeywell Advanced Protection Plan • Honeywell SSFDR & SSCVR • Satcom Collins SRT-2000 • Airshow 400/Genesis • 14 passenger w/forward crew and aft lavatories

Gulfstream 2012 Falcon 2000G450 S/N: 2Q 1. Reg: G-YUMN

Gulfstream GV/512

• US$4,950,000 • Total Time: 6289.27 hrs / Landings: 5614 • Engines and APU on Honeywell MSP Gold • B-RNAV/RVSM/RNP10/RNP5 Compliant • Honeywell Mark V EGPWS • Collins TTR 920 TCAS II • New Paint April 2007 • Elegant 10 Passenger Fireblocked Interior

Hawker 850XP/258812

FREESTREAM AIRCRAFT LIMITED

FREESTREAM AIRCRAFT USA LTD

FREESTREAM AIRCRAFT (BERMUDA) LIMITED

London +44 207.584.3800 sales@freestream.com

New York 201.365.6080 aircraftsales@freestream.com

Hamilton, Bermuda +441.505.1062 sales@freestreambermuda.bm

www.freestream.com

FREESTREAM AIRCRAFT LIMITED SALES & ACQUISITIONS 2007 Gulfstream 450 • Make Offer • TTAF: 2480 / Landings: 881 • On JSSI Tip to Tail Maintenance Program • Airshow 4000 System • Honeywell AIS-2000 Direct TV

Boeing BBJ/28579

Boeing BBJ/29273 • Honeywell High-speed data system • Securaplane 500 Aircraft security system • 14 Passenger Interior with Forward Galley

Lear 45 S/N: 167. Reg: G-GMAA • Make Offer • Total Time: 5905 hours / Landings 4801 • Engines on MSP Gold / APU on MSP

Boeing BBJ/36714

Boeing • Smart Parts PlusBBJ/30076 • Honeywell Primus 1000 • TCAS II with Change 7 • EGPWS

• 300/600/1200 hr & 96 Mth MLG c/w Dec 2012

Sikorsky S-76C++ Global XRS/9195

S/N: 760757. Reg: B-7336 Gulfstream G550/5025 • Make Offer • Low Time • Single Pilot IFR Equipped • EGPWS • CVR • Pop-out Float

2Q 2012 2006Gulfstream AgustaG450 A109S

Gulfstream GV/512

S/N: 22023. Reg: A6-FLK • Price Reduced US$3.33M or Best Offer • Low Time: 1,530 Hours TTAF • New Luxury VIP Interior • Dual Controls • Air Conditioning • 213 USG Fuel Tanks • Emergency Float Provisions

Hawker 850XP/258812

FREESTREAM AIRCRAFT LIMITED

FREESTREAM AIRCRAFT USA LTD

FREESTREAM AIRCRAFT (BERMUDA) LIMITED

London +44 207.584.3800 sales@freestream.com

New York 201.365.6080 aircraftsales@freestream.com

Hamilton, Bermuda +441.505.1062 sales@freestreambermuda.bm

www.freestream.com

BG 3 Feb14_FinanceSept 20/01/2014 16:37 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Passenger Safety What They See is What You Get Peter Agur Jr. is managing director and founder of The VanAllen Group, a business aviation consutancy with expertise in safety, aircraft acquisitions, and leader selection and development. A member of the Flight Safety Foundation’s Corporate Advisory Committee and the NBAA’s Corporate Aviation Managers Committee (emeritus), he is an NBAA Certified Aviation Manager. Contact him via www.VanAllen.com.

“ As a Board Member, it is your responsibility to assure the safety bar continues to move higher.”

Safety starts with the CEO. When it comes to passenger safety, that rule still applies, notes Pete Agur. usiness Aviation has become the safest mode of air travel. Flight departments operating professionally flown turbinepowered business aircraft are measurably safer than the major Airlines. And on the rare occasion when an untoward event does happen, 80% of the time there are no fatalities. With that kind of success, complacency is a very real threat. As a Board Member, it is your responsibility to assure the safety bar continues to move higher. This is especially important considering how critical your key passengers are to the future of the company. Yet key passengers often send an abundance of mixed messages about safety. Some of the messages are verbal, but most are behavioral. It is the old “Do as I say, not as I do” approach to leadership that results in lowered safety standards, because your aviation professionals may find it difficult to ignore the requests of important passengers. That situation is an unacceptable and unnecessary risk to the business… and that is why there

should be no gap between what you say and what you do when it comes to aviation safety. Here is a simple three-step process for assuring that Passenger Safety is at Best Practices level, or higher.

1. CABIN SAFETY TRAINING & BRIEFINGS Most passengers have never received comprehensive Cabin Safety training, regardless of how often they fly on the company aircraft. Even if you have a Cabin Safety Attendant (i.e., flight attendant) on board, it is critical that your passengers be thoroughly knowledgeable on a variety of equipment, systems and procedures. For instance, one CEO accidently started a fire in the back of the company jet. Another major company lost two executives because they had rejected instruction on emergency exit procedures. A few hours of training is a small price to pay to mitigate such risks. Implementation of training starts at the top. The chairman of one Fortune 500 company has a policy U continued on page 26

RAISE THE BAR ON YOUR CORPORATION’S AVIATION SAFETY POLICY

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

Guardian Jet 3 page February 20/01/2014 16:16 Page 1

AIRCRAFT FOR SALE FOR MORE INFO VISIT WWW.GUARDIANJET.COM OR CALL 203-453-0800

2009 Global 5000 SN 9222 Airframe TT - 1787 $26,900,000* APU enrolled on Honeywell MSP * Engines enrolled on Rolls Royce Corporate Care Program * Honeywell Primus 2000 XP integrated Avionics System * Triple Honeywell Laseref III HG-2001GD03 IRUs * Additional Refuel/Defuel Panel in cabin * Securaplane Security System Photos by FGL & Associates

2008 Falcon 2000LX SN 135 Airframe TT - 2125.7 $20,900,000 * Excellent Pedigree. One Fortune Owner Since New * Engines on ESP Gold, APU on MSP Gold * Aircell ATG-4000 (GoGo Biz) High Speed Internet with WiFi * Dry Bay Wing Modification Accomplished * Airshow Network, XM Radio (2-Channel), DVD & iPOD Dock

Photos by FGL & Associates

2002 Global Express SN 9075 Airframe TT - 5,772.6 $18,500,000 * Batch 3 Avionics * APU Enrolled on Honeywell MSP * Honeywell SATCOM * Honeywell Primus 880 Color Radar * Honeywell Primus 2000 XP Avionics Suite

Photos by FGL & Associates

2002 Falcon 900EX SN 104 Airframe TT - 5514 $15,995,000 * Engines and APU Enrolled on MSP * Cabin SATCOM * Honeywell Primus 2000 * BF Goodrich WX-1000E * Securaplane 450 Aircraft Security System * Magnastar C-2000 Flight Phone with 4 Handsets Photos by FGL & Associates

2002 Falcon 900EX SN 110 Airframe TT - 6274.7 $11,750,000 * Honeywell Primus 2000 * Pilot & Co-Pilot EVAS Systems * Aircell ATG4000 High Speed Internet Broadband System * New carpet installed July 2012 * One Fortune Owner Since New

Photos by FGL & Associates

Tel: 203-453-0800

Fax: 203-453-4527

Email: Guardian@guardianjet.com

www.guardianjet.com

Guardian Jet 3 page February 20/01/2014 16:50 Page 2

AIRCRAFT FOR SALE FOR MORE INFO VISIT WWW.GUARDIANJET.COM OR CALL 203-453-0800

2006 Gulfstream G200 SN 151 Airframe TT - 2003 $8,995,000 * Engines enrolled in P&W ESP * APU enrolled in Honeywellâ&#x20AC;&#x2122;s MSP * Collins Pro Line IV, Version 6.1 Avionics System * Auto Power Auto Throttle System * Airshow 410 * XM Satellite Radio System

Photos by FGL & Associates

1996 Gulfstream GIVSP SN 1283 Airframe TT - 9809.3 $7,695,000 * MSG-3 192 Month Inspection Accomplished September 2012 * Forward Crew Lav * Collins SAT-906 SATCOM * 88 Parameter FDR * EVAS * Honeywell SPZ-8400 Six Tube EFIS Avionics System

Photos by FGL & Associates

1993 Gulfstream GIVSP SN 1223 Airframe TT - 8150.1 $6,395,000 * Honeywell SPZ-8000 Six Tube EFIS * Honeywell Avionics Enrolled in HAPP Avionics Maintenance Program * Securaplane Security System * Honeywell Primus 870 Color Radar * Iridium Satellite Phone System * Delivered with fresh Gear Overhaul

Photos by FGL & Associates

2011 King Air 350i SN FL-778 Airframe TT - 488.4 $5,595,000 * 3.5 years remaining on warranty * Part 135 equipped and capable * Jeppesen Electronic charts * Collins Pro Line 21 System * Maintenance Tracking by CAMP * Aircell Axxess ST4200 Dual Channel Iridium Satellite Phone System

Photos by FGL & Associates

Tel: 203-453-0800

Fax: 203-453-4527

Email: Guardian@guardianjet.com

www.guardianjet.com

Guardian Jet 3 page February 20/01/2014 16:18 Page 3

AIRCRAFT FOR SALE FOR MORE INFO VISIT WWW.GUARDIANJET.COM OR CALL 203-453-0800

1988 Gulfstream G-IV SN 1067 Airframe TT - 8,553 $5,995,000 * Honeywell Avionics Enrolled in HAPP Avionics Maintenance Program * Securaplane Security System * Honeywell Primus 870 Color Radar * Painted 2011 * Aircell Iridium Satellite Phone System

Photos by FGL & Associates

2007 Agusta 109S Grand SN 22054 Airframe TT - 969 $3,495,000 * Delivered with 1,000 Hour Items Completed * Dual Garmin GNS 550 GPS (coupled) * Mast Vibration Absorber * Increased 213 US Gallon Fuel Capacity * Impeccable Maintenance and Records

Photos by FGL & Associates

1982 Dassault Falcon 50 SN 127 Airframe TT - 9957.4 $3,250,000 * ProLine 21 Avionics System w/4-Tube EFIS * IFIS: Dual File Servers * XM Weather Radar * Aircell ST-3100 SatCom * Maintenance Tracking by AVTRAK * Aircraft is operated under OCIP

Photos by FGL & Associates

1999 Sikorsky S76C+ SN 760499 Airframe TT - 2986 $2,995,000 * Honeywell SPZ 7600 System * Aircell ST3100 Iridium SATCOM * Enrolled in CALM Maintenance Tracking * Moving Map â&#x20AC;&#x201C; ARGUS 7000/CE * Single Honeywell Primus 800 Weather Radar

Photos by FGL & Associates

Tel: 203-453-0800

Fax: 203-453-4527

Email: Guardian@guardianjet.com

www.guardianjet.com

BG 3 Feb14_FinanceSept 20/01/2014 16:38 Page 2

What the Boardroom needs to know about Business Aviation

that any newly authorized passenger has 60 days in which to go through a two-hour passenger safety program conducted by knowledgeable professionals. After sixty days, executives must ride on the Airlines until the cabin safety session is completed. Instead of begrudging the effort, young executives describe the experience as a special achievement, which is true. They are now prepared to help themselves and others in the case of an emergency. For recurrent training on cabin safety, require your flight crews to conduct periodic (possibly monthly) in-person pre-departure briefings that also serve as refresher sessions for cabin safety systems and equipment.

2. CABIN SAFETY DISCIPLINE The Airlines’ cabin discipline (seatbacks upright, tables, briefcases and computers stowed, etc.) is driven by FAA regulations. Business Aviation has far fewer FAA directives. Yet, the cabin discipline in your business aircraft needs to follow common sense practices and the collective risk tolerance of your company, crews and passengers. You, as Board Members, set the standard with a “Statement of Safety Vision.” For instance, I often hear corporate leaders declare their aviation services should be at least as safe as the major US Airlines. That guidance is sufficient for your aviation services staff to implement specific standards and practices to achieve that desired outcome. Without regulatory guidance, many business aircraft passengers assume the Airline rules need not apply. But most of those rules are in place for excellent reasons. For instance, having all gear, computers and briefcases securely stowed during the taxi, takeoff and arrival phases of flight is crucial. The highest risk period, start to finish, is during taxi, takeoff and arrival. Computers and briefcases can become deadly missiles in the back of an aircraft

WORLD AIRCRAFT SALES MAGAZINE – February 2014

during an off-runway excursion that otherwise would be survivable. Additionally, every year a number of flight attendants and passengers are seriously injured when they are tossed about by sudden encounters with severe turbulence. A snug seatbelt at all times is an easy precaution against a bad bang on the head, or worse.

3. CABIN AUTHORITY Who enforces cabin standards and practices? It is true that the FAA anoints the Captain with ultimate responsibility and authority. But the FAA does not sign the flight crew’s check. Even so, it is rare for a top executive to challenge the authority of a flight crew member. However, it is far more common for a young executive to have an inappropriate sense of self-worth and authority that can lead to tense faceoffs when it comes to enforcing cabin discipline. Do not put your flight crews in the awkward position of trying to correct passengers, unless you have fully empowered them to do so. Most Business Aviation use policies include a statement of crew authority. The best policies, however, take it to the next level by also making it clear that any challenge of a crew member’s instructions will be rewarded with Airline tickets (i.e., loss of access to the company aircraft). In the end, you, The Board, must establish deliberate policies and practices, backed by your authority. In doing so, you have stated clearly and unequivocally that, when it comes to passenger safety, there is no gap between your mouth and movement. Leading by example is always effective, especially when riding on the company aircraft.

“Who enforces cabin standards and practices? It is true that the FAA anoints the Captain with ultimate responsibility and authority. But the FAA does not sign the flight crew’s check.”

www.AvBuyer.com

Aircraft Index see Page 4

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O'Gara February 21/01/2014 09:52 Page 2

“

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dis distance tance

between be tween someone who

acheives ac heives their goals

consistently consist ently and those who spend

“

their liv lives es and career careerss merely following? following? The

extra extra mile. mile

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At At OGARAJETS, OGARAJETS, our goal is never never to to meet your your needs, needs, but to to exceed exceed them at at ev every er y ttouchpoint. ouchpoint. TThere here is mor more e tto o a tr transaction ansaction than merely merely getting the job done. done. We We know know “good “good enough” enough” is nev never er truly enough, and your your satisfaction satisfaction will be found found on the extra extra mile mile..

FOSTERING CONFIDENCE IN AIRCRAFT TRANSACTIONS

Project1_Layout 1 28/01/2014 15:03 Page 1

Project1_Layout 1 28/01/2014 15:04 Page 1

BG 4 Feb14_FinanceSept 20/01/2014 16:47 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Measuring Worth Establishing Metrics for the Aviation Business Unit. David Wyndham is co-owner and President of Conklin & de Decker where the focus of his activities is on aircraft cost and performance analyses, fleet planning, and life cycle costing for clients. Mr. Wyndham can be contacted at david@conklindd.com

Last month David Wyndham discussed the reasons for having the Business Aviation function run like any other corporate business unit. This article addresses what reports effectively communicate the department’s air transportation mission.

“The Business Aviation unit needs appropriate metrics in order to be managed at the executive level as well as at the department level.”

f the business unit is a profit center, is producing something, or delivers a service for which the corporation derives revenue, reporting metrics are clearly defined and universally accepted. What is the deliverable cost per unit to produce, and what is the revenue per unit? Such metrics demonstrate whether the business unit is actually returning a profit. Functions such as Legal, Human Resources or IT (which are cost centers rather than revenue generators) have been around long enough that within each of those corporate functions there are clearly measurable goals; the cost to deliver the end-product can be measured and reported. For many corporations, however, aviation is an outlier in this regard. The general mission may be something like "The safe and efficient transportation of persons in support of the corporate goals”. The aviation unit does have a budget, thus the cost to deliver the end product is known and is typically high. The goal

associated with the high cost of service, however, often is not clearly identified or easily measured. The lack of definitive metrics presents issues. How does the business aircraft create value for the corporation? The Business Aviation unit needs appropriate metrics in order to be managed at the executive level as well as at the department level.

CLASSIC FLIGHT DEPARTMENT METRICS Typically the aviation department employs two measures: hours flown and total cost per year. The aviation manager reports, for example,

that the company aircraft flew 350 hours in 2012 and 400 hours in 2013, resulting in a total cost of $1.6 million in 2012 and $1.5 million in 2013. From those two meager measures, the Board might observe that in 2013 the aviation unit flew more hours for less cost that it did in 2012. Should the unit receive kudos for doing more with less? If hours flown and annual costs are the only two metrics reported to management, then perhaps they should, but those two important metrics do not give you enough information to show how well or how efficiently the aviation business U unit performed. continued on page 36

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

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2001 Falcon 900C SN 191 3000 hours with fresh major inspections. This 900C factors nicely in your value equation. If youâ&#x20AC;&#x2122;re looking for the newest, lowest time Falcon 900 that also meets your capital budget, the right answer may very well be the Falcon 900C. Pairing the international range and large cabin size of a 900B with the 900EX Primus 2000 cockpit, the Falcon 900C presents a true value opportunity. 2001 SN 191 delivers this value without compromise. It is an exceptional aircraft with one corporate owner and just 3000 hours. Plus, SN 191 will be delivered with a fresh 2C (6 year) inspection and landing gear overhaul! It has no damage history and is covered under MSP engine as well as avionics maintenance programs. This aircraft offers a spacious, open cabin with seating for 12 passengers, including 4 club seats forward and aft, with a 4-place conference group in the middle. SN 191 is well appointed and is in exceptional condition. To learn how Falcon 900C SN 191 can factor into your value equation, call Jim Donath at Donath Aircraft Services.

Donath Aircraft Services 773.935.9871 jimdonath@donathaircraft.com Visit DonathAircraft.com

2003 Falcon 2000 SN 192 Very Low Time and Exceptional Pedigree. Redefining “super” in a super-midsized aircraft. The Falcon 2000 has been the long-standing leader in the “super-mid” category. With a spacious, quiet cabin, transcontinental range and a miserly fuel burn, the Falcon 2000 delivers outstanding value. 2003 Serial Number 192 offers even more. This low-time aircraft briefly served as a Falcon demonstrator, and has since been flown Part 91 by a single corporate owner, one who has operated Falcons continuously for over 45 years. This aircraft has been cared for and maintained to the highest standard. The roomy cabin is tastefully finished in neutral earth tones and is ideally configured for 8 passengers, including a 4-place club arrangement and a 4-place conference group. Perfect for working, dining or just relaxing! Additional comfort comes from knowing your maintenance costs can be controlled through SN 192’s enrollment in Honeywell’s MSP engine and APU programs, as well as HAPP and CASP avionics programs. Redefine your flying experience with the truly distinctive Falcon 2000 SN 192. To learn more, call Jim Donath at Donath Aircraft Services.

Donath Aircraft Services 773.935.9871 jimdonath@donathaircraft.com Visit DonathAircraft.com

$700K Price Reduction – Now $9,295,000!

BG 4 Feb14_FinanceSept 20/01/2014 16:48 Page 2

What the Boardroom needs to know about Business Aviation

Back to our hypothetical aviation business unit: How did flying increase? For what reasons did the flying increase? Costs went down in 2013 as compared to 2012, but why? How well did any of that flying support the company goals?

AIRCRAFT MOVE PEOPLE, NOT HOURS If the mission of the business aircraft is to fly people, then people flown should be a major metric. Corporate policy may direct aircraft usage to the most senior leadership, but how much are they on the aircraft? Were flights available where mid-level management or technical support personnel could have been flown efficiently to serve corporate objectives? For every flight, the aviation unit knows who is on board the aircraft and how many seats are filled. Tracking those metrics over time and adding up how many passengers are carried per month and per year is easy, and informative. Along with persons carried, metrics should include the number of trips flown and the length of each trip in miles as well as hours. If the distance from A to B is 800 miles, then the required mission is carrying people 800 miles. Depending on the aircraft speed it may take two hours or three hours. Doing one trip in two hours versus three is indicative of the efficiency of the particular aircraft in reducing travel time. Since we know who, how far and how often, we can develop a very fair and telling metric: passengermiles. Flying one passenger one mile is a passenger

WORLD AIRCRAFT SALES MAGAZINE – February 2014

mile. Flying 10 passengers 800 miles is 8,000 passenger-miles. As the aircraft is used to fly passengers over a number of miles, passenger-miles flown is a far better measure of aircraft use than is hours flown. Combining passenger miles with hours flown is a telling marker of business aircraft efficiency and productivity.

A REVEALING INSIGHT Back to our company: Let us look at the details of the department’s operation. The aircraft flew 350 hours in 2012 and 400 hours in 2013. And it produced 700,000 passenger-miles in 2012 and 600,000 passenger-miles in 2013. The total cost of the aviation unit was $1.6 million in 2012 and $1.5 million in 2013. Thus, the total cost per passenger mile is $2.29 in 2012 and $2.50 in 2013. With cost per passenger mile, we see that 2013 was more costly than 2012. We then can add a metric for average passenger load (five in 2013 versus four in 2013) to discover that fewer people flew in 2013 even though the hours flown increased. Adding in how often the airplane flew without passengers (deadhead trips) may round out the picture. In addition to being measurable, metrics must be useful in determining how effectively the business aircraft is performing its assigned mission.

“Since we know who, how far and how often, we can develop a very fair and telling metric: passengermiles.”

www.AvBuyer.com

Aircraft Index see Page 4

Elliott Aviation February_Layout 1 20/01/2014 15:17 Page 1

Project1_Layout 1 28/01/2014 15:04 Page 1

Project1_Layout 1 28/01/2014 15:05 Page 1

BG5 Feb14_FinanceSept 20/01/2014 16:54 Page 1

BUSINESS AVIATION AND THE BOARDROOM

‘Yes’ Is the New ‘No’ Opportunity May Be Knocking Jay Mesinger is the CEO and Founder of Mesinger Jet Sales. Jay serves on the Jet Aviation Customer and Airbus Corporate Jets Business Aviation Advisory Boards and is a member of EBAA and the Colorado Airport Business Association. Contact him via Jay@jetsales.com.

Comparing classic market indicators today with the metrics of the past five-or-so years suggests that now may be the time to replace the ‘No’ word with ‘Yes’, observes Jay Mesinger. ithout sounding too lofty, or ignoring what might be considered by many as sound business principles, I want to add to the data points that guide good governance regarding aircraft acquisition, retention or divestiture. I have seen several prognosticators claim that 2014 will be the turnaround year. Using general domestic and global economic conditions as a backdrop, they point to the fewer number of some models for sale as well as the reduced number of days on the market in general for pre-owned aircraft as data supporting their optimism. Provided they are part of an ongoing trend rather than an anomaly, some of these data points correctly denote recovery. Differentiating between a blip and a meaningful change in direction, however, is never easy when you are attempting to stay ahead of the market. The challenge is deciding when to buy and when to be cautious and prudent - even if the market is still trending down. Building on last month’s article, which focused on the value of strategic planning in the process of buying, this month we look at the mind-set of buying when the market is still in some flux and pricing continues its downward trend (albeit at a slower pace). As you can imagine, I spend my days talking to industry leaders not just dealers and brokers but also aviation attorneys and tax specialists, lenders and consultants. They all feel that the market will recover, but not just yet.

W “The challenge is deciding when to buy and when to be cautious and prudent - even if the market is still trending down.”

IS NOW THE TIME TO DIVE INTO THE MARKET ?

BUYING OPPORTUNITY They are also of the mindset that buying opportunities have never been better. No one knows with certainty when prices will stop going down, or when the time will be ideal for buying. The key message of this article is that NOW is a “safe” time—perhaps even a “smart” time – to buy. When asked if now is a good time to purchase U continued on page 44

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

Rolls Royce November_Layout 1 22/10/2013 10:27 Page 1

www.rolls-royce.com

A clear reflection of value with CorporateCare®

Delivering the highest quality engine care and service is our business, and has made CorporateCare® the world leader of business jet engine maintenance programs. A fact recognised in more than just words. Aircraft enrolled in CorporateCare have higher asset values, so while you are enjoying peace of mind today, you are also investing in tomorrow. For more on CorporateCare, contact Steve Friedrich, Vice President – Sales & Marketing, at +1 (703) 834-1700, corporate.care@rolls-royce.com. Visit Rolls-Royce at the 2013 NBAA Booth # C8134 – Central Hall

Trusted to deliver excellence

Simple. Simple choice. Simply successful.

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FILE PHOTO

2007 Global 5000

1993 Citation II

Serial Number: 9158

Serial Number: 721

Delivery Position - Available Q4 2014

Now Asking: $24,500,000

Asking Price: $850,000

Hours: 1,533 TTAF

Hours: 6,045 TTAF

• ADSB-OUT • RNP AR 0.3 • Dual HF Plus Selcal • 9 passenger interior with RH 3 place divan • Aircell High Speed Data • XM Satellite Radio

2014 Embraer Legacy 500

Landings: 622

Landings: 5,679

• Batch 3 w/ WAAS/LPV and FANS 1/A+/CPDLC c/w • Triple FMS/EVS Display/HUD • High Speed Data • Satellite TV • Extended Range SB c/w

• Phase 1-5 Inspections c/w April, 2013 • Increased Gross Weights (14,100 lb. Maximum Takeoff Weight) • Belted Lavatory Seat

1988 Falcon 900B

2007 Gulfstream G450

Serial Number: 25

Serial Number: 4098

Serial Number: 4107

Asking Price: $5,995,000

Asking Price: $23,500,000

Asking Price: $22,000,000

Hours: 10,032 TTAF

Hours: 1,777 TTAF

Hours: 2,726 TTAF

Landings: 5,171

Landings: 800

Landings: 1,679

Engine Program: MSP Gold

• Excellent 1 U.S. Corporate Owner Pedigree • Certification Foxtrot Enhanced • Synthetic Vision • TCAS w/ Change 7.1 • Gulfstream Broadband Multi-Link (BBML)

• Excellent 1 U.S. Corporate Owner Pedigree • Currently Operated Part 135 • 14 passenger “Universal” interior • Aft galley

• Currently Operated Part 135 • 1C 2C 4C & Gear Restoration c/w 2012 • Dry Bay Mod SB c/w • Dual FMZ-2000 FMS Systems with 6.1 Software & WAAS/LPV

Please call for more information

RECENT AIRCRAFT TRANSACTIONS 2001 Global Express-Sold

2000 Challenger 604-Bought

1993 Citation VII-Sold

2001 Falcon 900EX-Bought

2010 Gulfstream G550-Bought

2007 Gulfstream G450-Sold

2008 Gulfstream G450

2005 Citation Encore-Bought

1994 Gulfstream GIV-SP-Sold

Serial Number: 4118

2006 900EX EASy-Bought

2009 Pilatus PC-12 NG-Bought

Asking Price: $24,500,000

1998 Falcon 900B-Sold

2005 Hawker 400XP-Bought

1996 Beechjet 400A-Sold

2005 Gulfstream G200-Sold

Hours: 2,043 TTAF Landings: 635 • Excellent 1 U.S. Owner Pedigree • Currently Operated Part 135 • Gulfstream Maintained • Certification Foxtrot • Gulfstream Broadband Multi-Link (BBML)

2003 Hawker 800XP-Sold

Read our industry blog at jetsales.com/blog • Follow us on twitter @jmesinger Watch airplane videos at jetsales.com/inventory

+1 303 444 6766 • Fax: + 1 303 444 6866 jetsales.com

BG5 Feb14_FinanceSept 21/01/2014 09:33 Page 2

What the Boardroom needs to know about Business Aviation

a business aircraft, my response is “Yes, buy now if the company is best served by having an aircraft to grow the business”. The enhanced value to the bottom line and shareholder equity resulting from greater productivity derived from Business Aviation will more than compensate for a few percentage points in pricing. If the “buy now” question were asked three years ago when our market was in free fall, my answer would have been completely different. Then, industry leaders were taking collective gasps as daily we saw dramatic drops in value. Lenders were making cash calls to borrowers. Aircraft were being put up for sale as good companies struggled. Today there is a very different attitude among lenders, sellers and buyers.

PLANNING A company is wise to aggressively address transportation tools that can grow the company, introduce new products to larger markets, and offer better customer service. Establish a buying budget and estimate next year’s residual value loss at a slightly higher percentage to account for pricing uncertainty. But expect the overall five-year view to easily justify this year’s decision to buy and not

put off an acquisition. My good friend Zig Ziglar often said, “If you waited for all the lights to turn green before you left your house and headed toward town, you would never leave your house”. The same philosophy applies here. Waiting to buy until you are absolutely sure the market is at the bottom will leave you with fewer choices and potentially a poor purchase. Given what has been a fifty to seventy percent drop in prices since 2008—truly unprecedented in the history of our community — now is the time to buy. When the market has clearly turned and recovery is obvious, the best equipped aircraft with the lowest time and best cosmetics quickly sell. Once those gems have been sold, you might still pay a lower price but you will not have access to the best equipment. Consequently, you will really be paying more for less, which is not a great place to be. That is why I say “Yes is the new No”. It is time to say “Yes”, and set about the buying process.

“Waiting to buy until you are absolutely sure the market is at the bottom will leave you with fewer choices and potentially a poor purchase.”

Compare aircraft performance using our

Aircraft Performance Guide at www.AvBuyer.com And select from the World’s finest Business Jets, Turboprops and Turbine Helicopters for sale

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

Charlie Bravo February_Layout 1 20/01/2014 15:24 Page 1

Your Partner for Worldwide Sales and Acquisitions.

2009 Gulfstream G550

SN 5253, 1403 TT, Forward Galley, 19 PAX

1995 Falcon 900B

SN 149, 4745TT, 2355 Landings, 2008 P&I Duncan, 15 pax (16 pax Part 91). Forward and Aft Lav, IFE

2010 Citation XLS+

SN 560-6065, 1200 TT, On All Programs, PowerAdv+/ProParts

2005 King Air C90B

SN LJ-1753, 1600TT, Proline II Avionics, Garmin GPS-400, King KMH-820, TCAS-TAWS, MFD.

2005 Eurocopter EC-130 B4

2005 Citation CJ1+

725TT, 425 Landings, 6 pax Executive Conﬁguration

2005 Agusta A109E Power

1995 Learjet 60

SN 053 Low Time, Engine Program, Refurbished Paint and Interior.

SN 3893 2500 TT, Corpoprate Conﬁguration. 2002 Sister Ship also available.

SN 11648, 1674 TT, VIP Interior, IFR Avionics Package, A/C, Aux Fuel Tank

Avjet multi February_Layout 1 21/01/2014 17:51 Page 1

EXCLUSIVELY OFFERED BY AVJET CORPORATION

AIRCRAFT FOR SALE

2009 Airbus A318 S/N 3985

2012 Bell 429 S/N 57101

1999 BBJ S/N 29149

1989 Challenger 601-3A S/N 5045

2000 Global Express S/N 9010

1999 Learjet 60 S/N 172

+1 (410) 626-6162 | sales@avjet.com | avjet.com

Avjet multi February_Layout 1 21/01/2014 17:53 Page 2

EXCLUSIVELY OFFERED BY AVJET CORPORATION

AIRCRAFT FOR SALE

2001 BBJ S/N 32774

2008 Lineage 1000 S/N 19000140

2001 Gulfstream GIVSP S/N 1462

1987 Gulfstream GIV S/N 1029

2009 Legacy 600 S/N 1451089

2002 Learjet 60 S/N 245

+1 (410) 626-6162 | sales@avjet.com | avjet.com

BG 6 Feb14_FinanceSept 20/01/2014 16:59 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Business Aircraft Depreciation Primer Troy A. Rolf, a business aviation and tax attorney, manages the Minnesota office of GKG Law, P.C. Contact him via email at trolf@gkglaw.com.

Getting to Grips With The Basics (Part 1 of 2). Troy Rolf reviews the basics of depreciating a business aircraft in this first of a two-part treatment of a significantly important tax issue. lanning the acquisition of an aircraft should include an analysis of all the state and federal tax issues affecting the acquisition and operations. This month, we provide an overview of tax depreciation as well as a discussion of qualified business uses of business aircraft and the effect of personal, non-business uses on depreciation. Next month we will discuss the effects on depreciation of using a single aircraft for multiple purposes, such as Part 91 business use, Part 135 commercial charter use, and entertainment, recreation and amusement purposes.

“Some aircraft are depreciable for income tax purposes, but do not qualify for accelerated depreciation and must be depreciated under the Alternative Depreciation System (ADS)...”

OVERVIEW OF TAX DEPRECIATION Many aircraft owned and operated by businesses today are depreciable for income tax purposes under the Modified Accelerated Cost Recovery System (MACRS) of Section 168(b) of the Internal

Revenue Code. Section 168(b) permits taxpayers to accelerate the depreciation by allowing a greater percentage of the asset’s value to be taken during the first few years of the applicable recovery period than would result using a straight-line depreciation method. Of course, the tradeoff is that less depreciation will be available to offset income in later years. Some aircraft are depreciable for income tax purposes, but do not qualify for accelerated depreciation and must be depreciated under the Alternative Depreciation System (ADS) of Section 168(g) of the Tax Code. Depreciation under ADS is based on a straight-line method and thus results in equal depreciation deductions each year during the applicable recovery period. Recovery periods under the ADS system also tend to be longer than recovery periods under MACRS for the same property. U

continued on page 52

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

General Aviation February_Layout 1 20/01/2014 16:15 Page 1

JetBrokers February 20/01/2014 15:42 Page 1

2008 Citation Encore+, S/N 560-0798, 511 TT, Power Adv Plus, Pro Parts, XM Wx, Collins FMS-3000 w/ WAAS, Single Pt. Refueling, Like New!, Asking $5,750,000.00

2005 Hawker 400XP, S/N RK-411, 731 TT, Garmin GMX-200 MFD, XM Weather, Sat Phone, Like New, Airshow, Freon, One Owner, Asking $2,495,000.00

2000 Citation Bravo, S/N 550B-0935, 4548 TT, On Power Adv, Pro Parts, TCAS II, Mk-VII EGPWS, EU-Ops, Phase 1-5 c/w 11/12, Price Reduced to $1,950,000.00

2011 Citation Mustang, S/N 510-0391, 362 TT, Chartview, Sat Phone, Current 135 – Available for Long-Term Lease!

1999 Citation Bravo, S/N 550B-0871, 1890 TT, Garmin GTN750/650, TCAS 2, New Paint & Interior, Current 135, Wifi, Available for Long-Term Lease!

1987 Citation III, S/N 650-0132, 7857 TT, MSP Gold, Dual UNS-1D+, Universal MFD, PATS APU, Exc. Paint & Interior, Asking $1,390,000.00

1981 Citation II, S/N 550-0295, 8505 TT, 1956/2210 SMOH, 162/425 SHSI, TR’s, Freon, Aft Bag, Garmin 530/430, Phase 5 c/w 12/12, Asking $575,000.00

1991 Beechjet 400A, S/N RK-7, 5920 TT, 2210/2210 SMOH, New Paint and Interior, TCAS 2, Mk-V EGPWS, AMS-5000, Asking $995,000.00

Also Available Beechjet 400A, S/N RK-84 Beechjet 400, S/N RJ-47 Citation CJ2, S/N 525A-0016 Citation II/SP, S/N 551-0039

Citation II, S/N 550-0326 Citation II, S/N 550-0216 Falcon 2000, S/N 8

Sabreliner 65, S/N 465-45 Cheyenne IIXL, S/N 31T-8166017 King Air C90, S/N LJ-869

JetBrokers February 20/01/2014 15:43 Page 2

2006 Bombardier Global 5000 S/N 9190, 1603 TT, Corp Care, Smart Parts, 5200nm Range, SATCOM, High Speed Data w/ WIFI, Asking $29,250,000.00

2010 King Air 350i, S/N FL-689, 646 TT, ESIS, Collins Venue, AirCell Axxess Satcom, TCAS 2, Nine Passenger, Price Reduced to $4,995,000.00

2005 Learjet 60SE, S/N 289, 2203 TT, ESP Gold, 8.33/FM Immunity, UNS-1E, Enh Mode S, On CAMP, Asking $3,995,000.00

1995 Hawker 800A, S/N 258254, 9121.1 TT, MSP Gold, TCAS II, Dual NZ-2000’s, Landing Gear O/H c/w 12/13, G Insp c/w 5/12, Asking $1,495,000.00

1993 Learjet 31A, S/N 65, 6967 TT, Engines on JSSI Plus, TCAS 2, UNS-1C, TRs, Big Door, Single Point Refueling, 12 Yr due 5/17, Asking $1,195,000.00

1980 Sabreliner 65, S/N 465-36, 10644TT, 1261/915 TSC, 566/915 SMPI, On JSSI,, Great History & Maintenance, Dual Garmin 430’s, Freon Air, RVSM, Price Reduced to $295,000.00

1999 Socata TBM700B, S/N 151, 2422 TT, 626 TSHS, 43 SPOH, Skywatch, Garmin GMX-200 MFD, Dual Garmin GNS-530W, Asking $1,225,000.00

1975 Falcon 10, S/N 54, 8556 TT, 1634/1535 TSC, 189/189 TSMPI, On JSSI, TR’s, UNS-1L, MFD, TCAS I, 3C c/w 11/10, Asking $575,000.00

ST. LOUIS +1-636-532-6900 Phone

CHICAGO

DETROIT

DENVER

FARNBOROUGH

+1-630-377-6900 Phone

+1-248-666-9800 Phone

+1-303-494-6900 Phone

+44 (0)1252 52 62 72 Phone

Email: jetbroker@jetbrokers.com

Web: www.jetbrokers.com

BG 6 Feb14_FinanceSept 20/01/2014 17:01 Page 2

What the Boardroom needs to know about Business Aviation Whether or not a taxpayer may depreciate an aircraft, and if so, the appropriate depreciation method and recovery period to be used, depends on several factors. Chief among these are the category of aircraft (e.g., airplane or helicopter), and the type of use to which the aircraft is put (personal, business, or commercial charter). Aircraft, other than helicopters, used in commercial or contract carrying of passengers and freight (typically Part 135 operations) may be depreciated under MACRS over a recovery period of seven years, or under ADS over a recovery period of twelve years. Aircraft used for qualified business purposes or for the production of income (typically industrial-aid use, per Part 91), and helicopters used in commercial or contract carrying of passengers and freight may be depreciated under MACRS over a recovery period of five years, or under ADS over a recovery period of six years.

NON-BUSINESS USE & DEPRECIATION If an aircraft is used during a taxable year part of the time for a qualified business and/or commercial purpose or for the production of income (collectively “Business Uses”), and part of the time for personal, non-business purposes (collectively “Personal Uses”), the depreciation deduction allowable for the taxable year will be limited to a fraction of the depreciation deduction that would have been allowed had the aircraft been used solely for Business Uses. (As a general rule, a qualified business purpose is any use in a trade or business for which a deduction would be allowed under Section 162 of the Code). The depreciable basis of the aircraft will nevertheless be reduced by the entire amount of depreciation that would have been allowed had all the use of the aircraft during the year constituted Business Use. In addition, whether the depreciable portion of the aircraft may be depreciated under MACRS, or will be required to be depreciated under ADS, will depend on whether the Business Use or the Personal Use of the aircraft predominates. If more than 50% of the use of the aircraft during each taxable year constitutes Business Use, the depreciable portion of the cost basis of the aircraft generally may be depreciated under MACRS. However, if 50% or less of the use of the aircraft during each taxable year constitutes Business Use, ADS will apply. The predominant business use test must be met during every taxable year that the aircraft is in service. If the test is failed during any taxable year that the aircraft is in service, the aircraft must be depreciated under the ADS system during such taxable year and all subsequent taxable years. In addition, if the aircraft had been depreciated under MACRS during any prior taxable year, the taxpayer must recapture prior depreciation to the extent that depreciation deductions taken during prior years exceed the deductions that would have been allowed under the ADS system. We conclude our MACRS overview (Part 1) outlining that the use of a business aircraft falling

WORLD AIRCRAFT SALES MAGAZINE – February 2014

within any one of the following three categories will not be treated as a qualified Business Use for depreciation purposes unless all other qualified Business Uses (excluding any use falling within one of the three categories) comprise at least 25% of the total utilization of the aircraft during the applicable taxable year: 1. The leasing of the aircraft by a company to any person who owns 5% or more of the company, or to any person who is related (within the meaning of Section 267(b) of the Internal Revenue Code) to a person who owns 5% or more of the company. 2. Use of the aircraft to provide compensation (i.e., to provide personal, non-business-use flights without reimbursement at fair market rates) to any person who owns 5% or more of the company, or to any person who is related to a person who owns 5% or more of the company. 3. Use of the aircraft to provide compensation to any other person unless an amount is included in the gross income of such person with respect to such use of the aircraft, and any required income tax was withheld (e.g., income is imputed under the Standard Industry Fare Level (SIFL) formula). Note: This article should not be construed as legal advice or legal opinion on any specific facts or circumstances. The reader is urged to consult legal counsel or other advisors concerning his/her own situation and specific legal questions.

“If the test is failed during any taxable year that the aircraft is in service, the aircraft must be depreciated under the ADS system during such taxable year and all subsequent taxable years.”

www.AvBuyer.com

Aircraft Index see Page 4

A I R C R A F T SA L E S & ACQ U I S I T I O N S Duncan Aviation has been assisting companies around the world with the sales and acquisition of aircraft for over 50 years.

2005 Falcon 2000EX EASy

s/n 058

2,428 Total Time. ESP Gold Lite. Ten Passenger Interior. Dual Independent Aircell ST-3100 Sat Phones.

1984 Lear 55

s/n 097

7,800 Total Time. MSP. P1/1A Mods. UNS-1C FMS. BAS ICT 12 Year. Paint. Interior in 2008. NDH.

2011 Citation CJ3

s/n 371

425 Total Time. Collins ProLine 21 EFIS. TCAS 4000. XM Weather. Seven Passenger Interior. One Owner.

1999 Astra SPX

s/n 106

5,900 Total Time. 3,750 Landings. MSP Gold. Equipped with an APU.

1984 Challenger 601-1A

s/n 3024

Universal EHFI 640 Five Display EFIS, Dual UNS 1 FMS, 100% JSSI, Gear Overhaul July 2012.

2005 Citation Sovereign

s/n 18

4,120 Total Time. Primus EPIC EFIS. Dual FMS. Nine Passenger Interior. One Fortune 500 Owner Since New.

2006 Citation CJ2+

s/n 525A-0316

1,831 Total Time. Aircraft on U.S. Registry. Excellent Cosmetics. HF-900.

2001 Astra SPX

s/n 135

4,356 Total Time. TFE731-40R-200G Engines on MSP. Collins FCC 4000 Dual Flight Director, 4 Display EFIS.

+1 402.475.2611 路 www.DuncanAviation.aero/aircraftsales 路 800.228.4277 World Aircraft Sales Ad 1_15_14.indd 1

1/15/2014 10:39:52 AM

South Carolina (CAE) • 803.822.4114 Colorado (GJT) • 970.243.9192 Texas • 214.904.9800 Aircraft Sales & Acquisitions

2003 Falcon 900C

1982 Falcon 50

•

197

AIRCRAFT@BELLAVIATION.COM

2001 Falcon 50EX

1984 Hawker 800A

1985 Citation III

•

650-0077

2006 Citation XLS

1980 Citation II

•

550-0116

2007 Citation CJ3

•

308

258008

560-5631

525B-0147

South Carolina (CAE) • 803.822.4114 Colorado (GJT) • 970.243.9192 Texas • 214.904.9800 Aircraft Sales & Acquisitions

1981 Citation ISP

•

1981 King Air B200

501-0260

1984 Learjet 35A

•

35A-600

BB-894

1985 Conquest II

•

441-0339

•

1995 Pilatus PC-12/45

2006 Piper Meridian

AIRCRAFT@BELLAVIATION.COM

•

103

4697253

2006 Piper Meridian

•

4697284

2006 Piper Meridian

•

4697225

BG 7 Feb14_FinanceSept 20/01/2014 17:09 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Hull Insurance Revisited Stuart Hope is a co-owner of Hope Aviation Insurance. His career as an aviation insurance broker began in 1979, and today he is a frequent speaker/author on insurance & risk management topics. He also serves on the NBAA Tax, Insurance and Risk Management Committee. Mr. Hope can be contacted at shope@hopeaviation.com

Establishing the proper insured (hull) value to carry on your aircraft continues to elude many insureds even though the defense against being badly bitten is just one phone call away, warns Stuart Hope.

hat will the insurance company pay if my aircraft is involved in a total loss? That’s a question I continue to receive even though it has been addressed in numerous articles over the years. Is it possible my clients prefer to read something other than insurance articles? Maybe it’s confusing because they assume insurance on their aircraft is like insurance on their car. Thus I wish to emphasize that aircraft insurance is unique. While car insurance is written on an actual cash value basis which tracks the market for the auto as it ages, aircraft coverage is written on a stated or agreed value basis. You and the insurance company agree at the beginning of the policy term to the value

W “At each policy anniversary, adjust the insured value of the aircraft to the current market value.”

of your aircraft. In the event of a total loss (or constructive total loss – more on that later), the insurance company is obligated to pay the agreed or stated value shown on the policy.

DETERMINING INSURED (HULL) VALUE Many aircraft owners purchase an aircraft, insure it the first year for the amount they paid for it, and then make the crucial mistake of leaving the value the same at each policy anniversary. Such a procedure is not the correct way to insure your aircraft. At each policy anniversary, adjust the insured value of the aircraft to the current market value. What is the current market value? Simply put, if you were to offer your aircraft for sale at that U

continued on page 60

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

Jeteffect Inventory February 20/01/2014 15:46 Page 1

EXCLUSIVELY OFFERED

LOS ANGELES 562.989.8800

DALLAS 214.451.6953

ATLANTA 334.502.0500

PALM BEACH 561.747.2223

BOSTON 617.820.5268

Year

Model

Serial No.

1999

Challenger 604

5421

1997

Citation X

750-0016

1999

Citation X

750-0101

2008

Citation X

750-0283

1988

Falcon 900B

2000

Gulfstream GIV/SP

1433

1998

Gulfstream GV

545

2003

Gulfstream G550

5029

2003

Hawker 400XP

RK-358

2005

Hawker 400XP

RK-407

2002

Hawker 800XP

258562

2010

Hawker 4000

RC-55

2008

King Air B200GT

BY-39

1998

Learjet 31A

165

2008

Learjet 45XR

383

1999

Learjet 60

168

2007

Learjet 60XR

320

2002

Premier I

RB-50

1997

Bell 407

53121

Project1_Layout 1 28/01/2014 15:06 Page 1

Project1_Layout 1 28/01/2014 15:07 Page 1

BG 7 Feb14_FinanceSept 22/01/2014 10:13 Page 2

ALL THE VALUE THE OEM MAINTENANCE PROGRAMS PROVIDE

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jetsupport.com 4 communication@jetsupport.com +1 312 644 8810 4 +44 1252 52 6588

moment, what would a reasonable buyer pay for it? You can get a good idea of the current market value by consulting your aviation insurance broker who will give you the most recent Bluebook or Vref value. Your best source, however, is an aircraft salesperson who specializes in selling your type aircraft. Keep in mind that if you have an outstanding loan on the aircraft you would have to insure it for the current market value or outstanding loan amount – whichever is greater.

PERILS OF OVER- OR UNDER-INSURING The best way to explain why over- or under-insuring an aircraft is a bad idea is by example. Say that your aircraft, which you purchased four years ago for $11m, has a current market value of $7m but you never changed the insured value. Now imagine that a storm collapses the hangar on top of your aircraft causing significant damage. The repair estimate is $3m. Subsequently, the insurance company receives a salvage bid of $4m for the aircraft as is, leaving the insurance company two options. •

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Option 1 – Declare the aircraft a constructive total loss, paying you the agreed value ($11m), Aircraft Index see Page 4

BG 7 Feb14_FinanceSept 22/01/2014 10:14 Page 3

TRANSFERABILITY

SINGLE POINT OF CONTACT

MRO FLEXIBILITY

THE JSSI TRUST

OVER 325 MAKES & MODELS

BUY-IN OPTIONS

PLUS ALL THE ADDED VALUE THEY DON’T

THE JSSI TRUST Only JSSI holds your maintenance reserves separately from corporate funds in an Irrevocable Trust. Other hourly programs co-mingle monies to fund their working capital requirements, so your money is only as secure as the company that has sold you the maintenance program.

What the Boardroom needs to know about Business Aviation then selling the salvage ($4m), putting their net loss at $7m. •

Option 2 – Repair the aircraft for $3m (even though you probably don’t want it back) reducing their net loss to $3m.

Guess which option the insurance company will choose. They will be forced to repair it! The usual result of over-insurance is that the insurer is forced to repair the aircraft in almost all instances except when the aircraft is totally destroyed, which is an uncommon event. Keep in mind that over-insuring also results in a higher hull premium. (No te : In so m e case s, aircraft o w ne rs find the m se lve s “up sid e d o w n” in an aircraft and are fo rce d to o ve r-insure the aircraft b e cause the y o w e m o re than it is w o rth. Se e k the ad vice o f yo ur aviatio n insurance b ro k e r fo r d iffe re nt strate gie s o n d e aling w ith this situatio n.) Conversely, under-insuring an aircraft has the reverse effect. To illustrate, substitute an insured value in the example above that is significantly lower than the market value. Obviously the insurance company will pay the loss rather than incur Advertising Enquiries see Page 8

the higher cost of repairing the aircraft. Keep in mind that you can inadvertently create an underinsurance situation if you add a new avionics package, new or overhauled engines, or any other value-enhancing aspect to your aircraft and you fail to increase the insured value of the aircraft once the upgrade is complete. Insurance carriers don’t like to be put in the position of being the “bad guy” in a claims situation. Don’t set them up by your own failure to give proper attention to the details of your aviation insurance program. Aircraft aren’t cars. Relative to asset value, you’ve got a LOT more to lose with an aircraft, and your hull coverage is just one component of many you must get right. Furthermore, answers to your questions regarding the proper insured value of your aircraft are no further away than a call to your insurance broker.

“Relative to asset value, you’ve got a LOT more to lose with an aircraft...”

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

BG 8 Feb14_FinanceSept 20/01/2014 17:13 Page 1

BUSINESS AVIATION AND THE BOARDROOM

Medium Jet Value Medium Jets Can Be Just The Right Fit For Many Operators. Of all the business jet categories, none does more to balance capability with utility than the Medium Jet segment; and no segment provides more options… rom Entry Level Jets, through Light Jets and on to the heady realm of the VIP-configured airliners, an airplane exists that will accommodate your requirement for speed, range and capacity. Medium Jets – loosely defined here as aircraft with a Maximum Take-Off Weight (MTOW) between 20,001-40,000 lbs – fall between the Light Jet and Large-Cabin Jet segments in numerous ways, while leaning closer to the Large-Cabin segment in several specific areas. Simply put, they’re not too big, not too small, and not likely to be too expensive. A smaller Medium Jet can only improve incrementally on the cabin space of the largest Light Jet, while the largest Medium Jet could dwarf the volume of that same Light Jet model. Medium Jets also tend to cruise at the upper-end of the private jet speed range - between Mach 0.78 and Mach 0.85. If there’s a contest to identify a give-back value element to the Medium Jet segment, most would vote for the runway flexibility. Runway requirements for Medium Jets are generally longer than the average length needed by a Light Jet. But Medium Jets typically can use a significant percentage of the secondary airports serving most of the 150 largest metropolitan areas in the U.S. In general the average Medium Jet can reach most of the US non-stop from almost anywhere else in the US, thanks to their range capability and typically can fly from several hundred miles to more than 1,000 miles further than the Light Jet average. That range capability also gives the crew the flexibility to string together a sequence of stops that total the same distance – making it possible for a Medium Jet to cover multiple stops and get home at the days’ end, without buying fuel along the way.

“Medium Jets deliver plenty of added space and comfort over the typical Light Jet, but at costs still significantly below those of the Large Cabin segment.”

CONSIDER A MEDIUM JET IF… The capability to avoid refueling on a multi-leg trip is called “tankering”, and it makes the Medium Jet a more-suitable solution than a Light Jet for the operator who regularly needs to fly 2,000 nautical miles

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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or more on a leg – or who may cover that much in a day or two flying multiple legs. While on average faster than the Light Jet, a Medium Jet’s superior speed generally provides only a few minutes of gain on the typical Business Aviation trip of 350 to 500 miles, but the difference will be noticeable on legs as long as the average Light Jet’s typical maximum range. There’s no disputing the advantages of space in the comfort equation, particularly when applied to longer trips. That is ultimately where the Medium Jet’s basic advantage comes into play. Medium Jets deliver plenty of added space and comfort over the typical Light Jet, but at costs still significantly below those of the Large Cabin segment. Indeed, Medium Jets generally can match their Large Cabin kin in terms of speed and, to a point, range, while providing reasonable office amenities that are competitive with most larger aircraft. With all of the above considered, it is little wonder that the Medium Jet segment is the biggest selling, deepest segment across the business aircraft market.

MEDIUM JET PRICE GUIDE The following Medium Jets Retail Price Guide represents current values published in the Aircraft Bluebook – Price Digest. The study spans model years from 1994 through Winter 2013 (20-year period). Values reported are in USD millions, with each reporting point representing the current average retail value as published in the Bluebook by its corresponding calendar year. For example, the Cessna Citation X values reported in the Winter 2013 edition of Bluebook shows $9.0 million for a 2006 model, $10.0 million for a 2007 model and so forth. Aircraft are listed alphabetically. No te : We have includ ed 32 aircraft mod els in the follow ing Med ium Jets average price guid e, how ever, for ad d itional assistance and interest, Conk lin & d e Deck er Performance and Specification d ata for these Med ium Jet mod els can be referred to, beginU ning on page 80 of this issue.

Aircraft Index see Page 4

J Hopkinson 1 February 21/01/2014 16:22 Page 1

Tel: (403) 291 9027 Fax: (403) 637 2153 sales@hopkinsonassociates.com www.hopkinsonassociates.com

Global XRS 1791 AFTT, SMART PARTS, JSSI Platinum â&#x20AC;&#x201C; 100%, Inmarsat Aero-H+, CES Version 7.0, Second-Generation Enhanced Vision System

Gulfstream G150 575 AFTT, Long Range Oxygen Bottle, Part 135 Certification, 7 Passenger, New Paint & Interior soft-goods in 2012

Hawker 800A 8378 AFTT, MSP Gold, Dual Honeywell NZ-2000 FMS, Aviation Partners Blended Winglets, Airshow 400, Aircell Iridium SATCOM, CVR, 8 Pax

King Air B200 1833 AFTT, Aux Fuel, Quiet Cabin Package, Freon Air, Four-Bladed Props, Brake De-Ice, Two Interiors: Lifeport Plus Single Sled Medevac Sled, Seven (7) Pax Corporate Interior

King Air 350 Engines 1300/46 TSO, Props 726/726 TSN, EGPWS, TCAS II, CVR, 3 interiors Corporate, Medevac and Commuter

John Hopkinson & Associates Ltd. 1441 Aviation Park NE, 2nd Floor, Box 560, Calgary, Alberta, T2E 8M7

Retail Price Guide Feb14_PerfspecDecember06 21/01/2014 09:47 Page 1

BUSINESS AVIATION AND THE BOARDROOM

MEDIUM JETS AVERAGE RETAIL PRICE GUIDE

WINTER 2013

2013 US$M

2012 US$M

2011 US$M

2010 US$M

2009 US$M

2008 US$M

2007 US$M

2006 US$M

2005 US$M

2004 US$M

BOMBARDIER CHALLENGER 300

24.853

19.0

17.0

15.5

14.5

13.5

12.5

11.5

11.0

10.5

BOMBARDIER LEARJET 60XR

14,674

9.0

7.3

6.5

6.0

5.5

5.0 5.0

4.1

3.6

3.2

5.0

4.7

4.4

4.2

4.7

4.4

4.1

3.9

3.8

3.5

3.1

3.4

3.1

2.8

2.5

YEAR OF MANUFACTURE $ MODEL

BOMBARDIER LEARJET 60SE BOMBARDIER LEARJET 60 BOMBARDIER LEARJET 45XR

9.7

8.2

6.9

6.3

5.7

BOMBARDIER LEARJET 45 BOMBARDIER LEARJET 40XR

8.5

7.0

5.6

4.6

4.3

BOMBARDIER LEARJET 40 CESSNA NEW CITATION X 750

23.1

CESSNA CITATION X 750

16.9

15.5

14.3

12.7

11.0

10.0

9.0

8.0

7.2

8.2

7.5

7.0

6.6

5.5

5.0

4.8

4.5

CESSNA CITATION V1 650 CESSNA CITATION V11 650 CESSNA CITATION SOVEREIGN 680

17.807

14.0

12.6

10.8

9.8

8.8

CESSNA CITATION XLS+ 560

13.099

10.5

9.6

8.6

7.8

7.2

CESSNA CITATION XLS 560

5.8

CESSNA CITATION EXCEL 560

4.0

DASSAULT FALCON 50EX

8.5

8.1

7.6

7.1

8.5

8.0

4.0

3.8

DASSAULT FALCON 50 GULFSTREAM G280

24.0

21.0

GULFSTREAM G200 GULFSTREAM G150

15.7

12.0

14.0

13.0

10.5

10.0

9.5

9.0

9.6

8.9

7.9

7.3

6.9

6.6

GULFSTREAM G100

4.3

GULFSTREAM/ ASTRA 1125 SPX GULFSTREAM /ASTRA 1125 SP HAWKER 4000

9.0

8.0

7.0

6.5

6.0

10.0

7.7

7.0

6.0

5.5

5.6

5.2

HAWKER 1000 HAWKER 900XP HAWKER 850XP PRO LINE

4.7

HAWKER 800XP PRO LINE

4.4 3.9

HAWKER 800XP

3.7

HAWKER 800 HAWKER 750

7.2

5.6

5.0

4.4

AIRCRAFT BLUEBOOK DATA - CARL JANSSENS, EDITOR. EMAIL: CARL@JETAPPRAISALS.COM

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Aircraft Index see Page 4

Retail Price Guide Feb14_PerfspecDecember06 21/01/2014 09:56 Page 2

What the Boardroom needs to know about Business Aviation

What your money buys today 2003 US$M

2002 US$M

2001 US$M

2000 US$M

1999 US$M

1998 US$M

1997 US$M

1996 US$M

1995 US$M

1994 US$M

YEAR OF MANUFACTURE $ MODEL BOMBARDIER CHALLENGER 300

10.25

BOMBARDIER LEARJET 60XR BOMBARDIER LEARJET 60SE 3.0

2.9

2.7

2.6

2.4

2.2

2.1

2.0

1.9

1.8

BOMBARDIER LEARJET 45XR

3.8 3.5

BOMBARDIER LEARJET 60

3.1

3.0

2.9

2.8

BOMBARDIER LEARJET 45

2.7

BOMBARDIER LEARJET 40XR BOMBARDIER LEARJET 40 CESSNA NEW CITATION X 750 6.6

6.2

5.8

5.4

2.8

4.9

2.6

4.5

2.5

4.3

2.4

CESSNA CITATION X 750

4.1

2.2

1.65

1.55

CESSNA CITATION V1 650

2.0

1.9

CESSNA CITATION V11 650 CESSNA CITATION SOVEREIGN 680 CESSNA CITATION XLS+ 560 CESSNA CITATION XLS 560

3.8

3.6

3.3

3.0

2.7

2.5

6.7

6.3

6.0

5.6

5.3

5.0

CESSNA CITATION EXCEL 560 DASSAULT FALCON 50EX

4.8 3.5

3.4

3.3

DASSAULT FALCON 50 GULFSTREAM G280

7.5

7.0

6.5

6.0

GULFSTREAM G200

5.5

GULFSTREAM G150 3.6

3.3

GULFSTREAM G100

3.1 3.1

2.7

2.6

2.5

2.4

GULFSTREAM/ ASTRA 1125 SPX

2.3 1.9

1.8

GULFSTREAM /ASTRA 1125 SP HAWKER 4000

2.8

2.7

2.6

HAWKER 1000 HAWKER 900XP HAWKER 850XP PRO LINE HAWKER 800XP PRO LINE

3.2

2.8

2.6

2.5

2.4

2.3

2.2

2.1

HAWKER 800XP

2.0 1.6

1.5

HAWKER 800 HAWKER 750

AIRCRAFT BLUEBOOK DATA - CARL JANSSENS, EDITOR. EMAIL: CARL@JETAPPRAISALS.COM Advertising Enquiries see Page 8

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

Par Avion February_Layout 1 22/01/2014 16:32 Page 1

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Par Avion February_Layout 1 22/01/2014 16:34 Page 2

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2007 CJ3 | S/N 200 2208 TSN, 208 SH, TCAS II, SAT WX RADAR FDR, CVR, STORMSCOPE, GPS-4000S (WAAS) BELTED LAV, BRAVO STYLE ENTRY STEPS EU OPS 1 APPROVED FRESH DOG 1, 5, 7, 9, 22 24 & 40 c/w JAN/2014

Since 1997 Par Avion Ltd. has been providing an international clientele with assistance in the acquisition and sale of business jet aircraft. We deliver reliable, unparalleled performance in global aircraft marketing. Call and discover how partnering with Par Avion Ltd. can help you fulfill your aviation transportation requirements. PAR AVION LTD. IS ACTIVELY SEEKING NEW LISTINGS.

Flight Dept Mng1 Feb_Finance 21/01/2014 09:58 Page 1

FLIGHT DEPARTMENT MANAGEMENT SKILLS

Employee Fulfilment Flight Department Management and Maslow’s Theory of Motivation. by Jack Olcott imply stated, the role of management is to create an environment where people achieve their best results on behalf of company objectives. Establishing such an atmosphere, however, involves many variables and requires various forms of motivation. Among the experts in human behavior who have written on the subject of motivating individuals, perhaps one of the most frequently quoted is Abraham Maslow, the college professor who in the 1940s and 1950s postulated that humans were moved by a hierarchy of needs. Maslow argued that people required fulfilment of certain needs, starting with the most basic such as breathing, eating, sleeping and reproducing, in order to focus on higher levels of need. Only when an individual was assured that his or her stomach was sufficiently full to sustain life and that shelter was available would that person be able to seek the next level, which Maslow identified with security. When the necessities of life were assured, an individual had the substance to seek a safe living environ-

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

ment, relatively free from danger caused by predators or poverty. The third level within Maslow’s hierarchy of needs was to be an accepted member of a group. After securing the basics needed to sustain life and remain safe, individuals wanted to participate in friendships and be actively engaged within a family or team structure—i.e., to be “loved” as an individual. Only when a person achieved Maslow’s third level of need did they seek the satisfaction of having an expanded role in the dynamics of human relations.

RELEVANCE TO BASIC MANAGEMENT Before proceeding to Maslow’s fourth and fifth stratifications within his hierarchy, let us consider the importance of satisfying the physiological, security and belonging levels of need. Management has a responsibility to provide employees with sufficient compensation to meet their requirements for food, shelter, medical care, shelter and other necessities of life, and to provide for a family. Employees also need to feel that they belong to the team and have a role to play. Aircraft Index see Page 4

Flight Dept Mng1 Feb_Finance 21/01/2014 09:58 Page 2

While management may argue that the company is not responsible for the way employees spend their earnings, clearly employees are motivated by a compensation system that enables them to meet the demands of Maslow’s initial levels within his hierarchy. Management also has a key role in re-enforcing the value of each employee in meeting the department’s objectives. If compensation is insufficient to satisfy a reasonable expectation of food, shelter and security, and if supervision discounts the employee’s desire to belong and contribute within the structure of the flight department, it will be difficult if not impossible to motivate workers to be productive members of the company team. Aviation is not noted for job security, and until recently Business Aviation was considered the poor stepchild to the scheduled Airlines. Within the last decade or so, the salaries of corporate pilots and to a certain extent working conditions have reversed regarding the attractiveness of a career in Business Aviation vs. the scheduled air carriers for young aviators. Managers of flight departments are well advised to establish a Advertising Enquiries see Page 8

work environment where employees feel assured that their basic needs will be met.

ESTEEM AND SELF-ACTUALIZATION Maslow’s fourth hierarchical level, which he identified with esteem, is characterized by the individual feeling proud of his or her achievements. The employee possesses a legitimate degree of self-confidence and selfesteem, in part generated by clear successes in his or her job and by a shared respect between the worker and peers. No longer comfortable with simply belonging, the employee seeks a leadership role within the flight department. Managers are wise to identify those employees who exhibit the need to contribute on a higher level of team activity. Flight departments have several functions that require team leaders, thus there are ample opportunities to satisfy an individual’s need to be a leader by identifying those employees who exhibit the interest and ability to contribute beyond a basic level. Failure to recognize the need for self-esteem and a meaningful leadership role risks losing a productive member of the Business Aviation team. www.AvBuyer.com

The fifth and highest level within Maslow’s hierarchy of needs is centered on an individual’s sense of personal fulfilment—a state-ofbeing known as self-actualization. Those who rise to Maslow’s highest level seem content with their status in their career and life. They are at peace with their level of creativity, morality, ability to address and solve problems, and their contributions to their family, peers and community. They believe they know what their legacy is and how they will be remembered. In essence they have achieved their full potential—they are who they want to be! The employee who achieves sufficient selfawareness to find the level within the flight department that matches his or her needs and desires will be a satisfied and productive worker. The manager who helps an employee achieve such a state of fulfilment has indeed created an environment where employees can do their best. Do you have any questions or opinions on the above topic? Get them answered/published in World Aircraft Sales Magazine. Email feedback to: Jack@avbuyer.com ■ WORLD AIRCRAFT SALES MAGAZINE – February 2014

Flight Dept Mng2 Feb_Finance 21/01/2014 14:55 Page 1

FLIGHT DEPARTMENT MANAGEMENT SKILLS

All Ears? A Listening Approach to Leadership. by Jodie Brown ew people enjoyed talking to their General Manager Kevin. At his mahogany desk, he hid behind three computer-monitors. When not focused on one of the screens, he continually glanced at his cell phone as employees spoke. The only ones who received his full attention were customers. Managers and supervisors resented his self-important attitude and found little reward in updating their GM who showed so little interest in listening to them. Even when speaking with attentive lis-

WORLD AIRCRAFT SALES MAGAZINE – February 2014

teners, all of us at times are challenged to be heard, particularly in an aviation environment that creates its own distractions. After all, who isn’t tempted to look out the window or hangar door at the Falcon 7X arriving, or the Sikorsky taking-off? Within the metal hangars and thin office walls along their periphery, a blast of sound from the firing-up of engines and the racket of air compressors, drills and old 1970s music can be invasive. Our brains strain to sift through the din to determine which sounds are crucial and which can be ignored. Somewhere, the www.AvBuyer.com

human voice gets lost among the noise, and once that happens the listener’s attention and interest are lost as well.

HOW TO LISTEN SUCCESSFULLY "Listening" means we attend to what the other person is saying or intends to say. It means leaving the speaker with the feeling that he or she has been heard. We know the requisites for effective listening: don’t interrupt, pay attention, clarify for understanding, listen with an open mind, and focus on the speaker. Yet we often don’t ❯ observe these basics. Quite often the Aircraft Index see Page 4

Southern Cross January_Layout 1 18/12/2013 10:17 Page 1

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Te el: +1 (954) 377-0320 Fax: +1 (954) 377-0300

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Flight Dept Mng2 Feb_Finance 21/01/2014 10:02 Page 2

FLIGHT DEPARTMENT MANAGEMENT SKILLS

problem isn’t that we don’t know how to listen; it’s that we shut out something or someone we don’t want to hear. Leaders must build credibility and knowledge in many facets of an aviation business; they have to form trusting alliances among a diverse constituency. To get their team to embrace the department’s vision and achieve corporate goals, leaders must persuade their team members to act upon Action Plans and understand the benefits of doing so. Leaders do this best when they listen to what’s important to others. Being a good listener is one of the best skills a leader can learn. How do you rate your listening skills?

SELF-INVENTORY • Do you listen to multiple conversations at the same time or do you focus on one speaker? • Do you nod, show interest and are you responsive when someone is speaking to you? • Do you pre-judge the person speaking with regard to his or her position? • Do you glance at texts or emails when someone is speaking to you? • Do you end someone’s sentences for them? • Do you divert your attention or cut off the conversation if the topic fails to hold your interest?

WORLD AIRCRAFT SALES MAGAZINE – February 2014

• Do you listen to diverse or opposing points of view and try to uncover the speakers’ reasons for their opinions, or do you interrupt to voice yours? How did you do? Perhaps to become a better listener, you might follow the following tips to manage your attention, time and energy investment: • Minimize distractions for both you and the speaker. Step away from the aircraft. Move from behind your desk, and stand so that you can focus and the speaker’s point can be made quickly. • Listen both for content and also for what the speaker is trying to convey within his or her choice of words. Practice listening to the phrasings and emotions within the speaker’s tone of voice. • Demonstrate that you’ve heard the speaker. For extroverts, listen to the speaker’s entire sentence. Hear the other person out and keep your mouth closed. For introverts, nod your head, utter an “uh, huh” or “okay” to show that you are listening. • Who do you listen to and who do you tune out? What factors account for your selective listening? Is it their accent, position, age, skill, intelligence, taste (similar or dissimilar), gender, or perhaps what they can offer you? Challenge yourself to listen for content and not judge the message by the messenger. www.AvBuyer.com

Listening, per se, means you aren’t being asked to solve a problem. “Then why are they taking up my time yakking if they don’t want a solution?” Listen to show empathy. Don’t stop listening when the information is unpleasant or the speaker is wrong. Listening is learning. Again, the rules don’t change. Listen for content and the emotions others are projecting in their attempt to convey what’s on their mind. To become a better leader, listen and learn. Calvin Coolidge once said, “No man ever listened himself out of a job.”

❯ Jodie Brown, is the founder and president of Summit Solutions— the only Business Aviation company devoted to both executive recruiting and leadership & management development. With over 20 years’ Business Aviation experience and more than 25 years of leadership and teaching experience Ms. Brown is consultant and executive coach to C-Suite executives, owners and directors of aviation companies and flight departments. More from www.summit-solutions.com

■

Aircraft Index see Page 4

PremiAir November_Layout 1 21/10/2013 16:33 Page 1

AirCompAnalysisFEB14_ACAn 21/01/2014 12:17 Page 1

AIRCRAFT COMPARATIVE ANALYSIS ROBINSON R66

ENSTROM 480B

EUROCOPTER EC-120B

ROBINSON R66

Robinson R66 by Michael Chase n this month’s Aircraft Comparative Analysis, and with the HAI Heli-Expo due in California at the end of February, we provide information on a selection of new and preowned Single-Engine Light Turbine helicopters in the $0.82-$1.8 million price range for the purpose of valuing the Robinson R66 helicopter. We’ll consider the usual productivity parameters - payload/range, speed and cabin size - and cover current market values. The field in this study includes the Enstrom 480B and Eurocopter EC-120B.

WORLD AIRCRAFT SALES MAGAZINE – February 2014

BRIEF HISTORY The R66 is Robinson’s first turbine-engined model, and was unveiled in March 2007 to compete with the Bell and Eurocopter helicopters. It made its maiden flight on 7 November 2007 at Torrance Airport, California, however, certification of the helicopter was delayed due to failure in the conventional tail rotor design. It eventually received FAA certification in October 2010 during a ceremony held at the Robinson headquarters in Torrance. The R66 is a 5-place helicopter. The center seat is slightly further forward and higher which helps shoulders overlap slightly for individuals with a wider set. The cabin slightly longer than the R44’s - offers more www.AvBuyer.com

legroom. Additionally, the R66 comes with increased reserve power, increased altitude performance, and a large baggage compartment as compared to the R44. The R66 is the first Robinson helicopter with a cargo hold, carrying up to 300 pounds. A single-engine helicopter (Rolls-Royce RR300) with a two-blade main rotor, twoblade tail rotor, and a skid landing gear, the R66 is constructed from advanced composites, aluminum alloy sheet and chromoly steel. Like the R44, the R66 has electromechanical instruments rather than the more modern glass cockpit. TBO is 2,000 hours (or 12 years) for the airframe, and 2,000 hours or 3,000 start cycles for the engine, whichever occurs first. ❯ Aircraft Index see Page 4

Leading Edge February_LEAS 22/01/2014 10:13 Page 1

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Specifications subject to verification upon inspection, aircraft subject to withdrawal from the market.

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AirCompAnalysisFEB14_ACAn 21/01/2014 12:18 Page 2

AIRCRAFT COMPARATIVE ANALYSIS ROBINSON R66 MARKET TRENDS Chart A (left) shows the delivery history for the three single-engine light turbine helicopters in our comparison from 1997 to present. There have been 1,072 helicopter deliveries over this time period. The Eurocopter EC120B has had the largest number of deliveries through year-end 2013 at 618. However, since entering the market in 2010, the Robinson R66 has had tremendous and instant impact on the market. Looking at the data, it would seem that some sales have come at the expense of the Eurocopter EC120B. It could be argued that other sales derive from the R66’s relatively low price. Note: Light Turbine Helicopters continue to account for nearly half of the helicopter purchase plans being made by operators.

CHART A – MARKET TRENDS

SOURCE: JETNET

PAYLOAD AND RANGE

TABLE A - PAYLOAD & RANGE MTOW (lb)

Max Fuel (lb)

Fuel Usage (GPH)

Max Payload (lb)

Avail Payload w/Max Fuel (lb)

Max Fuel Range (nm)

Max P/L w/avail. fuel VFR Range

Robinson R66

2,700

493

1,417

924

265

260

Enstrom 480B

3,000

603

n/a

861

258

303

165

Eurocopter EC-120B

3,780

730

1,113

383

340

240

Model

Data courtesy of Conklin & de Decker; ACC; B&CA May & Aug. 2013 Operations Planning Guide

As we mentioned in past articles, a potential operator should focus on payload capability as a key factor. The data contained in Table A (left) is sourced from Conklin & de Decker, B&CA, and Aircraft Cost Calculator. The Robinson R66 ‘Available payload with Maximum Fuel’ at 924 pounds has the highest payload capability in this field of study, by some margin.

CABIN DIMENSIONS According to Upcast Jetbook, the crosssection view of the Robinson R66 and the Eurocopter EC120B are nearly the same width and height. However, as illustrated in Chart B (left) the Enstrom 480B is nearly a foot wider than the R66 and EC-120B.

POWERPLANT DETAILS Both the Robinson R66 and Enstrom 480B are powered by a single Rolls-Royce engine. As mentioned, the Robinson R66 is powered by an RR300 engine, and the Enstrom 480B is powered by a Rolls-Royce 250-C20W powerplant. The Eurocopter EC-120B is powered by a single Turbomeca Arrius 2F powerplant. The Robinson R66 offers power with a 270 SHD transmission rating [transmission rating is a limiting factor in the total rated and usable engine power output], while the 480B engine offers a transmission rating of 305 SHD, and the EC-120B transmission rating, at 400 SHD, is the highest in this field of study. Using data sourced from Conklin & de Decker and Vref we will compare our helicopters. The nationwide average Jet-A fuel cost used from the August 2013 edition of B&CA Operations Planning Guide was $6.08 per gallon at press time, so for the sake of comparison we’ll chart the numbers as published. Note: The fuel price used from this source does not represent an average fuel price for the year.

CHART B – CABIN DIMENSIONS

SOURCE: UPCAST JETBOOK, www.upcast-media.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Aircraft Index see Page 4

AirCompAnalysisFEB14_ACAn 21/01/2014 12:18 Page 3

AIRCRAFT COMPARATIVE ANALYSIS ROBINSON R66 TOTAL VARIABLE COST COMPARISONS The ‘Total Variable Cost’, illustrated in Chart C (right), is defined as the cost of Fuel Expense, Maintenance Labor Expense, Scheduled Parts Expense, and Miscellaneous trip expense. The total variable cost for the Robinson R66 at $450 has the lowest variable cost in this field of study.

CHART C - VARIABLE COST Eurocopter EC-120B

$555

$461

Enstrom 480B

PRODUCTIVITY COMPARISONS

1. Range with full payload and available fuel; 2. The long range cruise speed flown to achieve that range; 3. The cabin volume available for passengers and amenities. The result is a very large number so for the purpose of charting, each result is divided by one billion. The examples plotted are confined to the helicopters in this study. A computed curve fit on this plot would not be very tight, but when all turbine helicopters are considered the “r” squared factor would equal a number above 0.9. Others may choose different parameters, but serious helicopter buyers are usually impressed with Price, Range, Speed and Cabin Size. After consideration of the Price, Range, Speed and Cabin Size, we can conclude that the Robinson R66 helicopter, as shown in the productivity index is productive compared to the other helicopters represented. Most noteworthy is the price of the R66 which is considerably lower than the other helicopters in this field. Other factors to consider are that the R66 has the nearly 2.5-3.5 times greater payload capability, lower fuel usage, and has the lowest variable cost as well. The Long-Range cruise speed and Average Payload values from Conklin and de Decker are shown in Table B (right) for all the helicopters in this field of comparison. Also shown in Table B is the Vref price for new helicopters. The last three columns of information show the number of helicopters in-operation, the percentage ‘For Sale’, and the average monthly number of sales transactions in the past 12 months. The R66 has the lowest percentage ‘For Sale’, and the average full retail sale transactions at 3.1 helicopters sold in the pre-owned market each ❯ month, which is slightly lower than the 3.3 Advertising Enquiries see Page 8

Robinson R66

$450

$200

$400

$600

$800

US $ per hour SOURCE: CONKLIN & DE DECKER

CHART D - PRODUCTIVITY $2.0

Price (Millions)

The points in Chart D (right) center on the same group of helicopters. Pricing used in the vertical axis is as published in Vref. The productivity index requires further discussion in that the factors used can be somewhat arbitrary. Productivity can be defined (and it is here) as the multiple of three factors:

Eurocopter EC-120B $1.5 $1.0

Enstrom 480B Robinson R66

$0.5 $0.0 0.000000

0.002000

0.004000

0.006000

Index (Speed x Range x Cabin Volume / 1,000,000,000)

TABLE B - COMPARISON TABLE Long Range Cruise Speed

Max Payload w/avail fuel range(nm)

Vref Retail Price $

In Operation

% For Sale

Avg Monthly Used Sold*

Robinson R66

120

924

$0.8m

342

4.4%

3.1

Enstrom 480B

101

258

$1.1m

112

10.7%

2.5

Eurocopter EC-120B

110

383

$1.8m

618

11%

3.3

Model

Data courtesy of Conklin & de Decker; JETNET; 2013 Vref; * Past 12 Months

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

AirCompAnalysisFEB14_ACAn 21/01/2014 12:19 Page 4

AIRCRAFT COMPARATIVE ANALYSIS ROBINSON R66 EC-120Bs sold, but higher than the average 2.5 Enstrom 480Bs sold monthly.

CHART E – ASK PRICE TRENDS R66 Asking Prices vs. Vehicle Age

ASKING PRICE TRENDS Millions

Chart E (right), sourced from the Multidimensional Economic Evaluators (MEE), Inc., shows a scatter chart of Asking Price vs Age for the Robinson R66 turbine helicopter. The current pre-owned market for the Robinson R66 shows that there are 15 helicopters currently ‘For Sale’. Eleven of the 15 have an asking price with only four inviting offers. We have plotted the comparison to helicopter age. For the R66, one Standard Deviation is $84.6K (68.3% of the Population), while two Standard Deviations is $169.2K (95.4% of the Population). Observation: Adjusted R2 of 43.8% is not Stellar – there may not be enough observations yet for this relatively New Helicopter.

$1.40 $1.30

Mean Price = -136,000 *Years + 1,023,000 R² = 0.49

$1.20

Asking Price

$1.10 $1.00

$0.90 +2

$0.80

+1 Mean

$0.70 $0.60

-1

$0.50

-2

$0.40 0

Years Old

CHART G - RANGE COMPARISON

RANGE COMPARISON Chart G (right), depicts the ranges from London, UK for both the Robinson R66, Enstrom 480B and Eurocopter EC-120B helicopters. The Robinson R66 has a slight ‘Seats Full Range’ advantage compared to the EC120B and both helicopters can make the distance to the European Continent to cities such as Paris and Amsterdam. The Enstrom 480B offers less range capability. Note: The circle lines depicted do not account for winds aloft or any other weather-related obstacles.

■ Robinson R66 254nm w/4 PAX ■ Eurocopter EC-120B 248nm w/4 PAX ■ Enstrom 480B 165nm w/4 PAX Origin Airport ● London – Heathrow, London, England

SUMMARY Within the preceding paragraphs we have touched upon several of the attributes that helicopter operators value. However, there are often other qualities such as service and support that factor into a buying decision, and are beyond the scope of this article. The Robinson R66 helicopter fares well against its competition - so those operators in the market should find the preceding comparison of value. Our expectations are that the Robinson R66 helicopter will continue to do very well in the pre-owned market going forward.

For more information: Michael Chase is president of Chase & Associates, and can be contacted at: 1628 Snowmass Place, Lewisville, TX 75077; Tel: 214-226-9882; Email: Mike@avbuyer.com, Web: www.mdchase.com

Next month in Comparative Analysis Cessna Citation Sovereign

THE WORLD’S FINEST

Business Jets, Turboprops and Helicopters

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WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Aircraft Index see Page 4

Corporate Concepts February 23/01/2014 13:00 Page 1

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ACSpecs Intro Feb14_AC Specs Intronov06 21/01/2014 14:10 Page 1

AIRCRAFT SPECIFICATIONS: MEDIUM JETS

MARCH ISSUE: Light & Entry Level Jets APRIL ISSUE: Turboprops MAY ISSUE: Large Cabin Jets JUNE ISSUE: Medium Jets

Aircraft Performance & Specifications Description of Cost Elements he World Aircraft Sales Magazine Guide to Aircraft Performance and Technical Specification Data is updated by Conklin & de Decker on a regular basis. The Guide is much more comprehensive and informative, providing more aircraft types and models and including variable cost numbers for all models. This month’s category of aircraft Medium Jets – appears opposite, to be followed by Light & Entry Level Jets next month. Please note that this data should be used as a guide only, and not as the basis on which buying decisions are taken. The data presents aircraft aged below 20 years of age only, but Conklin & de Decker provides details of older airplanes too. If there are any other ways in which we can improve the content or presentation of this information, please let us know.

❯ Tel: +44 (0) 208 255 4000; Fax: +44 (0) 208 255 4300; Email: editorial@avbuyer.com. © 2011 Conklin & de Decker Associates, Inc., P.O. Box 1142, Orleans, Massachusetts, 02653, Tel. 508-255-5975, www.conklindd.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

The following describes the content of each cost element used in The Aircraft Cost Evaluator. There are no sales taxes included in these costs. VARIABLE COST PER HOUR Includes fuel, maintenance reserves for routine maintenance, engine/ propeller/APU reserves, and miscellaneous expenses. SPECIFICATIONS - GENERAL: CABIN DIMENSIONS Cabin Height, Width, and Length are based on a completed interior. On “cabin-class” aircraft, the length is measured from the cockpit divider to the aft pressure bulkhead (or aft cabin bulkhead if unpressurized). For small cabin aircraft, the distance is from the cockpit firewall to the aft bulkhead. Height and width are the maximum within that cabin space. Cabin Volume is the interior volume, with headliner in place, without chairs or other furnishings. Cabin Door Height and Width are the measurements of the main passenger cabin entry door. BAGGAGE Internal baggage volume is the baggage volume that is accessible in flight by the passenger. This amount may vary with the interior layout. External baggage volume is the baggage volume not accessible in flight (nacelle lockers, etc.). CREW SEATS/SEATS EXECUTIVE This is the typical crew and passenger seating commonly used on the aircraft. This is not the maximum certificated seats of the aircraft. These numbers may vary for different operations (Corporate, Commercial, EMS, etc.). WEIGHTS: • Maximum Take-Off Weight and Maximum Landing Weight are specified during aircraft certification. • Basic Operating Weight is the empty weight, typically equipped, plus unusable fuel and liquids, flight crew @ 200 pounds each and their supplies. • Useable fuel is the useable fuel in gallons x 6.7 pounds per gallon (Jet fuel) or 6 pounds per gallon (AVGAS). • Payload with Full Fuel is the useful load minus the useable fuel. The useful load is based on the maximum ramp weight minus the basic operating weight. • Maximum Payload is the maximum zero fuel weight minus the basic operating weight. SPECIFICATIONS PERFORMANCE RANGE: • Range - Seats Full is the maximum IFR range of the aircraft with all passenger seats occupied. This uses the NBAA IFR alter-

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nate fuel reserve calculation for a 200 N.Mi. alternate. This is used for jet and turboprop aircraft. • Ferry Range - is the maximum IFR range of the aircraft with the maximum fuel on board and no passenger seats occupied. This uses the NBAA IFR alternate fuel reserve calculation for a 200 N.Mi. alternate. This is used for jet and turboprop aircraft. • VFR Range - Seats Full is the maximum VFR range of the aircraft with all passenger seats occupied. This is used for all helicopters and piston fixed-wing aircraft. • VFR Ferry Range - is the maximum VFR range of the aircraft with the maximum fuel on board and no passenger seats occupied. This is used for all helicopters and piston fixed-wing aircraft. BALANCED FIELD LENGTH BFL is the distance obtained by determining the decision speed (V1) at which the take-off distance and the accelerate-stop distance are equal (fixed-wing multi-engine aircraft only). This is based on four passengers and maximum fuel on board (turbine aircraft). For single-engine and all piston fixed-wing aircraft, this distance represents the take-off field length at Maximum Takeoff Weight (MTOW). LANDING DISTANCE (FACTORED) For fixed-wing turbine aircraft, landing distance is computed using FAR 121 criteria. This takes the landing distance from 50/35 feet (depends on certification criteria) and multiplies that by a factor of 1.667. No credit is given for thrust reversers. Configuration is with four passengers and NBAA IFR Fuel Reserve on board. For fixed-wing piston aircraft, this figure is the landing distance over a 50 foot obstacle. RATE OF CLIMB (Ft/Min) The rate of climb, given in feet per minute, is for all engines operating, at MTOW, ISA conditions. One Engine Out rate of climb is for one engine inoperative rate of climb at MTOW, ISA. CRUISE SPEED (Knots True Air Speed - KTAS) Max Cruise Speed - is the maximum cruise speed at maximum continuous power. This may also be commonly referred to as High Speed Cruise. Normal cruise speed is the recommended cruise speed established by the manufacturer. This speed may also be the same as Maximum Cruise Speed. Long Range Cruise is the manufacturer’s recommended cruise speed for maximum range. ENGINES The number of engines, manufacturer and model are shown. Aircraft Index see Page 4

BE EC HC RA FT HA WK ER BE EC 75 HC 0 RA FT HA WK BE ER EC 80 HC 0 RA FT HA WK BE ER EC HC 80 0X RA P FT HA WK BE ER EC 80 HC 0X RA Pi FT HA WK BE ER EC 80 HC 0X RA PR FT HA W BE KE EC R8 HC 50 RA XP FT HA WK BE ER EC 90 HC 0X RA P FT HA W KE BE R1 EC HC 00 RA 0 FT HA WK BO ER MB 40 AR 00 DIE RL EA RJE T4 0

AircraftPer&Spec Feb14_PerfspecDecember06 21/01/2014 14:16 Page 1

ENTRY LEVELJETS & LIGHT JETS MEDIUM VARIABLE COST PER HOUR $

$3,090.40

$3,120.97 $3,153.11 $3,144.11 $2,794.47 $3,165.44 $2,850.85 $3,096.33

3,655.09

2,321.14

CABIN HEIGHT FT.

5.75

4.92

CABIN WIDTH FT.

6.46

5.12

CABIN LENGTH FT.

21.3

24.4

17.67

CABIN VOLUME CU.FT.

604

680

762

368

DOOR HEIGHT FT.

4.3

4.25

4.8

DOOR WIDTH FT.

2.25

2.5

BAGGAGE VOL. INT. CU.FT.

114

BAGGAGE VOL. EXT. CU.FT.

CREW #

SEATS - EXECUTIVE #

MTOW LBS

27000

27400

28000

31100

39500

20350

MLW LBS

23350

25000

33500

1920

B.O.W. W/CREW LBS

16250

16000

16250

16500

16330

16500

18150

23700

13718

USEABLE FUEL LBS

8500

10000

11440

14600

5375

PAYLOAD WITH FULL FUEL LBS

2200

1520

1750

1620

1790

1620

1510

1400

1507

MAX. PAYLOAD LBS

2200

2000

2050

1950

2120

1950

2150

2300

2282

RANGE - SEATS FULL N.M.

2050

2390

2470

2733

2525

2733

2970

3283

1573

MAX. RANGE N.M.

2200

2570

2620

2929

2710

2929

3150

3100

1707

BALANCED FIELD LENGTH FT.

4900

6300

5640

5258

5641

5258

6000

5459

4330

LANDING DIST. (FACTORED) FT.

3803

3787

3803

3805

3810

3805

3917

4373

4033

R.O.C. - ALL ENGINES FT PER MIN

3500

3415

3577

2820

R.O.C. - ONE ENGINE OUT FT PER MIN

530

532

470

570

470

570

797

880

710

MAX. CRUISE SPEED KTAS

447

442

449

452

470

489

465

NORMAL CRUISE SPEED KTAS

430

429

430

440

470

436

L/RANGE CRUISE SPEED KTAS

402

389

402

400

447

428

TFE 731 -5BR

TFE 731 -5R

TFE 731 -5BR

TFE 731 -50R

TFE 731 -5BR

TFE 731 -50BR

PW305B

PW308A

TFE 731 -20AR

ENGINES # ENGINE MODEL

❯

Airplane performance and specification numbers can vary depending on how they are measured. Please note this data should be used as a guide only, and not the basis on which buying decisions are taken.

Advertising Enquiries see Page 8

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WORLD AIRCRAFT SALES MAGAZINE – February 2014

AIRCRAFT SPECIFICATIONS

BO MB AR DIE RL EA RJE BO T4 MB 0X AR R DIE RL EA RJE BO MB T4 5 AR DIE RL EA RJE BO T4 MB 5X AR R DIE RL EA RJE BO T6 MB 0 AR DIE RL EA BO RJE MB T6 AR 0X DIE R RL EA RJE BO T7 MB 0 AR DIE RL EA RJE BO T7 MB 5 AR DIE RC HA LLE CE SSN NG ER AC 30 ITA 0 TIO NV CE I SSN AC ITA TIO NV II

AircraftPer&Spec Feb14_PerfspecDecember06 21/01/2014 14:17 Page 2

ENTRY LEVELJETS & LIGHT JETS MEDIUM VARIABLE COST PER HOUR $

$2,406.64

$2,355.30 $2,474.36 $2,696.59 $2,555.76 $2,438.29 $2,460.59 $3,281.73 $3,339.52 $3,403.04

CABIN HEIGHT FT.

4.92

5.71

4.92

6.08

5.7

CABIN WIDTH FT.

5.12

5.92

5.12

7.17

5.5

CABIN LENGTH FT.

17.67

19.75

17.67

19.75

28.6

18.4

CABIN VOLUME CU.FT.

363

410

453

363

410

860

438

DOOR HEIGHT FT.

4.8

5.3

4.8

6.22

DOOR WIDTH FT.

2.5

BAGGAGE VOL. INT. CU.FT.

106

BAGGAGE VOL. EXT. CU.FT.

CREW #

SEATS - EXECUTIVE #

MTOW LBS

21000

20500

21500

23500

21000

21500

38850

22000

23000

MLW LBS

19200

19500

19200

33750

20000

B.O.W. W/CREW LBS

13949

13890

14125

14772

14896

13715

13890

23850

13800

14250

USEABLE FUEL LBS

6062

7910

6062

14045

7329

7330

PAYLOAD WITH FULL FUEL LBS

1239

798

1563

1068

944

1473

1798

1105

1071

1620

MAX. PAYLOAD LBS

2051

2110

1875

2228

2104

2285

2110

3350

1600

2250

RANGE - SEATS FULL N.M.

1778

1423

1685

2186

2044

1873

1805

3065

1770

1693

MAX. RANGE N.M.

1960

1968

1937

2418

2398

2000

1976

3340

2000

1824

BALANCED FIELD LENGTH FT.

4680

4350

5040

5450

4230

4440

4810

5630

5170

LANDING DIST. (FACTORED) FT.

4060

4063

4105

5208

5317

4060

4105

3833

4208

4500

R.O.C. - ALL ENGINES FT PER MIN

2820

2800

2630

4500

4240

3699

4315

R.O.C. - ONE ENGINE OUT FT PER MIN

394

590

589

714

718

474

805

510

MAX. CRUISE SPEED KTAS

465

470

427

452

NORMAL CRUISE SPEED KTAS

436

459

427

452

L/RANGE CRUISE SPEED KTAS

432

416

432

423

432

459

418

417

TFE 731 -20BR

TFE 731 -20AR

TFE 731 -20BR

PW305A

TFE 731 -40BR

TFE 73140BR

HTF 7000

TFE 731 -3B

TFE 731 -4R-2

ENGINES # ENGINE MODEL

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Aircraft Index see Page 4

CE SSN AC ITA TIO NE XC CE EL SSN AC ITA TIO NX CE LS SSN AC ITA TIO NX CE LS+ SSN AC ITA TIO NX CE SSN AN EW CIT AT ION CE SSN X AC ITA TIO NS CE OV SSN ER AN EIG EW N CIT A DA TIO SSA NS UL OV TF ER AL EIG CO N N5 GU 0E LFS X TRE AM G1 00 GU LFS TRE AM G1 50 IAI AS TRA SP

AircraftPer&Spec Feb14_PerfspecDecember06 21/01/2014 14:18 Page 3

ENTRY LEVELJETS & LIGHT JETS MEDIUM $2,500.43 $3,996.73 $4,085.74 $3,014.05 $2,906.92 $3,931.02 $2,646.28 $2,505.26 $2,822.13

$2,617.12

$2,533.07

CABIN HEIGHT FT.

5.7

5.9

5.6

5.75

5.6

CABIN WIDTH FT.

5.5

6.1

4.75

5.75

4.75

CABIN LENGTH FT.

18.5

23.92

25.2

25.25

23.5

17.1

17.7

17.1

CABIN VOLUME CU.FT.

461

593

620

700

375

465

375

DOOR HEIGHT FT.

4.54

4.5

4.58

4.3

4.33

4.3

DOOR WIDTH FT.

2.1

2.5

2.6

2.08

2.1

2.08

BAGGAGE VOL. INT. CU.FT.

BAGGAGE VOL. EXT. CU.FT.

100

CREW #

SEATS - EXECUTIVE #

MTOW LBS

20000

20200

36100

36600

30300

30755

39700

24650

26100

24650

MLW LBS

18700

31800

32000

27100

27575

35715

20700

21700

20700

B.O.W. W/CREW LBS

12500

12800

22025

22464

18150

18400

22250

14365

15100

13400

USEABLE FUEL LBS

6740

12931

11223

11348

15520

9365

10300

9345

PAYLOAD WITH FULL FUEL LBS

960

860

1444

1505

1177

1277

2130

920

850

2055

MAX. PAYLOAD LBS

2500

2300

2375

2514

2650

2600

3320

2635

2400

3600

RANGE - SEATS FULL N.M.

1449

1539

1528

2890

3229

2620

2773

3223

2550

2760

2330

MAX. RANGE N.M.

1839

1989

1976

3125

3380

3010

3163

3388

2910

3130

2780

BALANCED FIELD LENGTH FT.

4060

3910

5480

5320

3810

3820

5000

6000

5640

6400

LANDING DIST. (FACTORED) FT.

4917

4738

4693

4702

3867

3917

3500

4362

4050

4362

R.O.C. - ALL ENGINES FT PER MIN

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3500

3650

4016

3515

3400

3340

3700

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699

800

1120

1237

671

493

606

1010

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433

440

525

527

459

480

474

470

460

NORMAL CRUISE SPEED KTAS

433

440

525

527

459

448

L/RANGE CRUISE SPEED KTAS

373

470

388

430

414

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WORLD AIRCRAFT SALES MAGAZINE – February 2014

WichitaJan14_Gil WolinNov06 21/01/2014 11:30 Page 1

WICHITA INSIDER

Stormy Genius Over fifty years of Learjets bear the mark of stormy genius Bill Lear. by Dave Franson ill Lear was an eccentric. That’s not a revelation to people who knew him personally. He was the subject of a biography with the very apt title of ‘Stormy Genius’ and there are at least as many colorful stories about the father of the Learjet as there are airplanes that bear his name. In October of 2013, Bombardier Learjet celebrated the 50th anniversary of the first flight of the iconic business jet. It took place on October 7, 1963 in Wichita, Kansas. Bill had moved the company he founded in 1958 from Switzerland a year before because Wichita offered him their first-ever Industrial Revenue Bonds (IRBs). He used the financial incentive to build a factory and immediately began raiding the ranks of Wichita’s existing airframe manufacturers (Cessna, Beech and Boeing) for experienced engineers and production craftsmen. As Al Higdon, who joined Lear’s PR department shortly after that first flight noted, Mr. Lear was “not reticent about raiding this rich talent pool.” In fact, he lured so many experienced employees from Beech (including Al), that Jim Yarnell, the latter’s advertising manager, dubbed the defectors Italian boatmen because they were all “gone-to-Lears!” As incredibly capable as he was in identifying a need and meeting it, Bill Lear was nothing if not inconsistent in managing the businesses he created. He made and lost fortunes small and large during his lifetime. Despite being the creative genius behind the first practical car radio, which he eventually sold to Motorola; the airplane radio compass; the autopilot; and even the eight-track tape player, he never managed a secure hold on wealth, often spending and investing more than he had in projects that didn’t always succeed. Nevertheless, he was a generous man - at times both clever and unpredictable - when it came to giving to others. Former Learjet VP of International Sales Alex Kvassay recalled that after Lear Jet had been in Wichita for several years, a representative from the Tulsa Chamber of Commerce came and wanted Lear to move

WORLD AIRCRAFT SALES MAGAZINE – February 2014

the factory to Tulsa, OK. “We had enough problems without moving anywhere,” Alex said, “but Bill, as always, still invited the guy to lunch. “He even drove us himself to a nearby club in his new Mazda powered by a rotary Wankel engine. The young man from Tulsa was most impressed by this car. On returning to the factory, Bill told the man, ‘Take it. I give it to you’. The man looked at me, confused. I said, ‘Take it. Mr. Lear gave it to you’. Still shaking his head, the young man departed in his new car. An hour or so later, halfway to Tulsa, he called me, saying the engine had exploded. He asked, ‘What shall I do now?’ I went into Bill Lear’s office and explained the situation. His simple answer was, ‘I don’t give a damn—it’s his car and his problem’. Learjet never heard from the Tulsa man again.”

William Lear, in the early '60s, replying to a man who complained that he couldn't stand up in the original Lear Jet: “You’re absolutely right—and you can’t stand up in your [expletive deleted] Rolls-Royce, either. On another occasion, according to Bill’s daughter, Shanda (yes, her name really is Shanda Lear!), he decided to help out a friend who had fallen on hard times. And this wasn’t just any friend - it was comedian Red Skelton. At the height of his popularity on television in the mid-sixties Mr. Skelton apparently fell victim to an unscrupulous manager who cleaned out his bank account and disappeared. Upon hearing that Skelton was suddenly in dire financial straits, Bill called and invited him to a social gathering at an aviation museum. The comedian protested, indicating he didn’t even have enough money to rent a tuxedo. Bill persisted and when Red Skelton www.AvBuyer.com

showed up, Bill took a folded piece of paper and tucked it into Skelton’s pocket. He immediately extracted it and looked it over. It was a contract for a new Learjet– an item suddenly in high demand among the Hollywood elite. Red Skelton was confused and a bit miffed. “Bill, if I couldn’t afford to rent a tux, how do you think I can afford a Learjet,” he protested. Mr. Lear reassured him, “Red, just tuck that back in your pocket and don’t take it out until I tell you to”. Shortly thereafter, the producer of that year’s Oscar-winner for Best Picture came hustling over to Bill and began pressing him on how soon he could get one of those new private jets! Bill put him off by saying, “Sorry. I just gave the last delivery position for this year to Red”. At that point, the movie mogul turned to Skelton and said, “I’ll give you $50,000 for that contract, right now!” Bill winked at the comedian and said, “Red, I think you can take that paper out of your pocket now!” By 1967 Bill Lear was forced to sell controlling interest in his company to the Gates Rubber Company because he was overextended. He gave up his shares, but his legacy has been immense. More than 2,500 Learjets have been produced since that first flight just over 50 years ago. Every one of them is a tribute to an extraordinary, colorful, and innovative “stormy genius.” ❯ Dave is a veteran communications executive with more than 35-years’ experience in corporate management and consulting roles. Former employers include NBAA; AlliedSignal; Cessna; and Bombardier Aerospace, and today he is Principal of The Franson Consulting Group, a PR and Marketing Communications firm serving a variety of domestic and international clients, and is Executive Director of the Wichita Aero Club. ❯ Contact Dave via dave@fransonconsulting.com Aircraft Index see Page 4

Aradian November 23/10/2013 14:25 Page 1

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Hawker Textron Deal Feb14_Edit 21/01/2014 13:57 Page 1

BEECHCRAFT SALE REFLECTION

BEECH SALE ANNOUNCEMENT Textron, the parent company of Cessna Aircraft, has announced the purchase of the Beechcraft Corporation in Wichita, Kansas for approximately $1.4 billion. The announcement came on December 26 in a joint announcement from Textron and Beechcraft. The sale includes the assets of the Hawker 4000 and Premier 1A type certificates as well as Beechcraft’s Plant III which houses the company’s composite manufacturing facilities. When the company announced it was exiting the jet manufacturing market last year, it had said these assets would be offered for separate sale. Textron Chairman and CEO Scott Donnelly characterized the acquisition as “a tremendous opportunity to extend our General Aviation business. From a customer perspective this creates a broader selection of aircraft and a larger service footprint – all sharing the same high standards of quality and innovation.” The sale is expected to close sometime this coming summer, pending government approval, and Textron says it is too early to tell whether or how the assets or products lines of Beechcraft and Cessna might be integrated - although in a briefing to financial analysts two days after the sale announcement, Donnelly said there would be “synergies” between the two companies. Textron has said that Beechcraft’s financial results will be blended into Cessna’s, and that the Beechcraft brand will be continued.

WORLD AIRCRAFT SALES MAGAZINE – February 2014

BEECHCRAFT HQ

Observations on the Beechcraft Sale…

By Mike Potts

s a former Beechcraft employee (1979-1997), I was initially disappointed to see the company paired with its former archrival Cessna. It felt a little like learning that a distant friend had been diagnosed with a terminal disease. In retrospect, though, I realized that this is just one more chapter in the strange story that Beech Aircraft has become. Just maybe, this part might have a happy ending. When I joined the company in 1979, Chairman Olive Ann Beech and President Frank Hedrick were just completing execution of a plan they had conceived in around

www.AvBuyer.com

1975 to ensure the continuation of the Beech Aircraft Corporation as far into the future as they could imagine. Their intention was to preserve the legacy they had built with their life’s work. The plan was to secure a partner with the financial strength and business acumen to take the company into the future, and by 1979 (after considering several options) they selected Raytheon. The deal was closed early in 1980, but what followed was almost certainly not what they had in mind. Over the next 10 years Beech embarked on the Starship program – a failed effort to revolutionize the turboprop market with an ❯ Aircraft Index see Page 4

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Hawker Textron Deal Feb14_Edit 21/01/2014 14:01 Page 2

BEECHCRAFT SALE REFLECTION

THE KING AIR PRODUCTION LINE

all-composite airplane that looked like it had arrived from somewhere in the future. Beech built 53 Starships and sold most of them eventually, but wound up buying almost all of them back because the cost of sustaining their support was too high. The cost of the Starship was enormous on two levels – first in terms of the development, probably around $500 million, but second and more importantly in lost opportunity. What might Beech have done with its product line if it hadn’t invested in Starship? We’ll never know. Also in the first decade of Raytheon ownership the company entered the jet market with the purchase of the Mitsubishi Diamond program, renaming it Beechjet. This was a highly successful endeavor that also led to a huge US government training contract. Unfortunately, Beech never hit on a path to evolve the Beechjet into a new product and the program seems to have basically died of old-age (today reduced to re-marketing older versions of the airframe with upgraded engines). At the same time it was buying the Diamond, Beech seriously considered acquiring the Canadair Challenger program. How different the history of Beechcraft might have been had it bought the large-cabin jet. In the early 1990s, the Raytheon Company bought the Hawker jet line, and after operating the two companies separate-

WORLD AIRCRAFT SALES MAGAZINE – February 2014

ly for a couple of years the two were eventually merged with Hawker production moving to Wichita.

SIMILARITIES IN ACQUISITIONS There are significant similarities between Raytheon’s purchase of Beech and Hawker, and Textron’s acquisition of Cessna and now Beechcraft. In both cases, the parent companies bought struggling aircraft companies with complementary, but aging product lines. If the parallels continue, look for Textron to initially combine marketing activities of the two product lines, and to look for synergies in product support activities where they can reduce labor cost and overhead. Manufacturing activities will be harder to integrate, at least initially, but both of Textron’s acquisitions are in Wichita, which makes their task easier than what Raytheon faced when it began combining a Kansas company with one based in the UK. Beechcraft’s history since the mid-1990s has been painful to watch. It developed two all-new jet programs - the Premier I and Hawker Horizon - and neither was successful. Both employed composite technology originally developed for Starship, and it seems significant that when Textron Chairman and CEO Scott Donnelly listed the assets of Beech during an analysts call to discuss the acquisition two days after its www.AvBuyer.com

announcement, he made no mention of the company’s composite manufacturing capability. Raytheon sold Beech to Goldman Sachs and Onyx Corporation in a leveraged buyout in 2007, a process that saddled the company with a lot of debt. When the Business Aviation market collapsed in 2008 it started a downhill spiral that ended in bankruptcy for Beechcraft in 2012. The company emerged from Chapter 11 early last year and CEO Bill Boisture was upbeat at the company’s annual NBAA press conference but rumors abounded that Credit Suisse was shopping the firm to potential buyers. And now Textron has emerged as the buyer. In a testament to Beechcraft’s failure to launch successful new products, the company Textron is acquiring looks very much like the one Raytheon purchased in 1980. Then, as now, the product line consists of the King Air turboprops, the Baron and Bonanza piston line, and a single-engine turboprop military trainer that may have already seen its best years. In addition, though, the new buyer gets a thriving customer support business (for Textron, probably the real gem in this deal), a substantial installed customer base that Textron estimates at 35,000 people (it was considered to be 30,000 when Raytheon bought it), a serv❯ ice network, and a legacy name. Aircraft Index see Page 4

Dominion February 20/01/2014 15:56 Page 1

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Hawker Textron Deal Feb14_Edit 21/01/2014 16:48 Page 3

BEECHCRAFT SALE REFLECTION

PRODUCT SUPPORT WILL HAVE BEEN A KEY DRAW IN THE DEAL

When Raytheon bought Beech it paid approximately 10 times earnings. At the analysts briefing Donnelly said his company paid about seven times earnings, before interest, taxes, depreciation and amortization.

“...so the Beechcraft name is not likely to go away any time soon.”

THE PATH AHEAD? Textron spokesman Dave Sylvestre declined to speculate on whether the two companies would be merged or operate separately, saying those decisions are months away. In his analysts briefing, however, Donnelly gave some significant hints on how things might ultimately unfold. He spoke of looking for synergies between the two companies and making major efforts to drive cost out. This almost certainly translates into cutting labor costs by combining repetitive functions. He also discussed the probability of severance costs in the first three to six months following the merger. Donnelly described the Beech product line as being “pretty up to date”, noting that there has been a steady series of incremental improvements to the Bonanza, Baron and King Air series over the past decade. This seems to suggest that the Beech product line will look pretty much like it looks today for the next several years. As a strategy, this may seem unimaginative, but it is likely to be successful. The

WORLD AIRCRAFT SALES MAGAZINE – February 2014

King Air series particularly occupies a fairly unique niche in the market, and barring some new and unexpected market entry, is likely to be saleable in its current configuration for at least another decade and perhaps much longer. Donnelly noted in his briefing that King Air margins are currently lower than he would prefer, but expressed confidence that, with some restructuring in the company, they could be brought to an acceptable level. Last fall the company reported sales of Bonanzas, Barons and King Airs have grown stronger than at any time since 2008 (although I am left wondering whether this isn’t partly because the Beech sales force has been working harder to sell these products now that they are no longer in the jet market). Donnelly, meanwhile, said that last year’s bankruptcy has created a lot of uncertainty among the Beechcraft customer base, and pledged that Textron would continue to support the product line with upgrades and through the life cycle of the products. www.AvBuyer.com

IN SUMMARY This news will no doubt be comforting to owners who fear being stuck with orphan airplanes no longer supported by an OEM. In fact, product support is the most profitable segment of the company right now (a fact that Donnelly confirmed during his analysts briefing) and the idea that Textron would walk away from this lucrative business is absurd. Donnelly also noted that Cessna and Beechcraft “are two great brands” that have considerable value in the marketplace, so the Beechcraft name is not likely to go away any time soon. On balance, I am left hopeful that this could turn out to be good for Beechcraft and its ongoing legacy. Textron certainly wants this deal to succeed, and it brings to the table a level of stability and commitment that has not been present for quite a while. Perhaps, in an upturning economy and with a parent company knowledgeable about manufacturing and the aviation industry, Beechcraft can be nursed back to health and once again become the vibrant organization Olive Ann Beech and Frank Hedrick sought to preserve so many years ago. Do you have any questions or opinions on the above topic? Get them answered/published in World Aircraft Sales Magazine. Email feedback to: editorial@avbuyer.com Aircraft Index see Page 4

AIC February_Layout 1 20/01/2014 16:33 Page 1

Global Mk Russia Feb14_Pre-Owned Sales Jan06 21/01/2014 11:08 Page 1

GLOBAL MARKETS – RUSSIA

KOLTSOVO AIRPORT: HERE, YOU’LL EVEN FIND A CIGAR ROOM IN THE VIP TERMINAL

Permission to Land… An Update on Russia’s BizAv Infrastructure.

By Anna Nazarova nly a decade ago, the infrastructure for servicing Business Aviation flights was considered sparse within the Russian Federation. The Moscow region was the only exception to provide services anywhere near Europeanlevels - yet even here, Vnukovo-3 Business Aviation terminal had the monopoly, making those services very expensive. The last couple of years have brought about progress across Russia. Moscow’s monopoly has been forced to adapt to a more competitive environment; St. Petersburg now offers two Business Aviation terminals; and Russia’s outlying regions have begun to produce a collection of Business Aviation centers.

MOSCOW Unsurprisingly, Moscow continues to be the prominent region for Business Aviation

WORLD AIRCRAFT SALES MAGAZINE – February 2014

flight-handling. The Moscow air cluster which receives most of the Business Aviation flights in Russia – spreads its ground handling and maintenance load across four airports, including Vipport (Vnukovo-3); Avkom-D (Domodedovo); Avia Group (Sheremetyevo); and Gazprom (Ostafievo). Vnukovo-3 is still considered the biggest player in the Russian market. According Avinode’s service data, Vnukovo-3 remained the most popular Business Aviation terminal for operators flying to Europe and back during 2013. However the next two to three years may see a change, thanks to aggressive infrastructure development among the competition in Moscow, as well as the ‘disloyalty’ policies of Vnukovo-3 (since 2010 the terminal has imposed fines on business jet operators if they place their aircraft for an overnight stay at another airport offering better market price policies). Sheremetyevo’s Business Aviation center www.AvBuyer.com

has been the biggest thorn in the flesh of Vnukovo-3’s monopoly with its creation of a terminal that cost approximately 4 billion rubles to build. Avia Group opened the spacious, stylish terminal two years ago. The facility is designed to serve up to 70 passengers per hour, while offering two modern heated hangars and a maintenance base. Line maintenance and scheduled maintenance are carried out in partnership with Airfix on Falcon, Bombardier and Gulfstream jets. September 2013 saw the solution to another problem that had traditionally been a big stumbling block to Sheremetyevo – the appalling traffic issues preventing quick access to Moscow’s business district. A helipad has been opened allowing airport users to evade the traffic jams on the Sheremetyevo highway. Further boosting the airport’s accessibility, 2014 will see the opening of the first stage of the toll road Aircraft Index see Page 4

Global Mk Russia Feb14_Pre-Owned Sales Jan06 21/01/2014 11:10 Page 2

GLOBAL MARKETS – RUSSIA between Moscow and St. Petersburg which will make the route much faster. Meanwhile, to solve the problem of aircraft storage Avia Group is building a third heated hangar at Sheremetyevo. Elsewhere, Avkom-D in Domodedovo is the oldest Business Aviation center in Russia. Despite the fact that the terminal for VIP passengers looks less roomy compared to the competitors, Avkom-D offers some services and advantages to compensate - the main one being online slots, allowing immediate landing or take-off without the delays. (Other Moscow terminals are highly dependent on special flights (Vnukovo-3) or gaps in the packed schedules of the basecarrier (Aeroflot in Sheremetyevo’s case)). During 2013, Avkom-D became the first maintenance center in Russia to receive a Pratt & Whitney Canada certificate to carry out all types of works (including replacing the hot section) on the PT-6 engine which is installed on a third of all civil turboprop aircraft in the world. Moreover, the company increased its capabilities to carry out maintenance on up to three Hawker aircraft simultaneously, and is the only facility in Russia capable of such. Plans from Domodedovo airport to create the first Aerotropolis in Russia are an important driver of Avkom-D’s recent developments. Domodedovo aims to develop nearby land into a huge business infrastructure, and the building of a true airport city is in full swing. More than 50 developer projects are at various different stages of realization, including logistics centers and hotels. It is expected that the airport city will attract international business, and that Avkom-D will provide the transportation for it. Finally, Ostafievo remains the least accessible airport in Moscow where information is concerned, possibly because this is the base for Gazpromavia Airlines, the subsidiary of Gazprom. According to a source close to the airport management, Ostafievo is in talks with Dassault to expand its certificate for Falcon jet maintenance. The airport also plans to offer maintenance to Eurocopter models.

Group invested 30 million Euros into the construction of the terminal. Pulkovo-3, meantime, will provide the same services but focus on private and corporate flights. The center, opened in April 2013, cost 2.8 million rubles, and has already become one of the biggest Business Aviation centers in Russia (at approximately 100,000 sq. m, it is capable of facilitating up to 16 BBJs). Near-term plans at Pulkovo-3 include the construction of a hangar complex.

OUTLYING REGIONS “Weak" has been a reasonable description of the Business Aviation infrastructure in the outlying regions of the Russian Federation – but the regional centers have seen a noticeable revival lately. Sochi, the capital of the 2014 Winter Olympic Games, got its own Business Aviation terminal in September 2013 which was constructed by Bazel Aero and is not connected to the main terminal that services Commercial Aviation. Divided into two zones with a hall for business charter passengers and another for officials and delegations, the capacity of the terminal is about 85 passengers per hour who can use five conference rooms and a lounge. The terminal is served by a separate access road and exit, and has an apron for up to 12 aircraft. Situated next to the Olympic area is Stavropol, which has also prepared for the key sporting event of 2014. Avkom-D has built a base for line maintenance of business jets which will open this month. Elsewhere, Ural-Yekaterinburg recently got its own luxurious VIP terminal after renovating the historical building already at the airport, and 2013 also saw the reopening of the second floor of the VIP terminal at Koltsovo airport following renovation. This even offers a fireplace room and cigar room

to warm the bones during the colder winter months! One of the most economically developed regions of Russia - Kazan - has been developing its maintenance infrastructure for Business Aviation. Kazan airport houses Tulpar Technic, one of the biggest Russian maintenance providers. An authorized line maintenance station has been operational here since April 2013, offering services for Bombardier Challenger 300s and 850s. Tulpar hopes to extend that to Challenger 605s and Global family aircraft soon. And a measure of Business Aviation revival can be seen in Siberia (Irkutsk and Omsk) where, although no known plans exist for separate terminals for Business Aviation, the airport has its own line maintenance station. Avkom-D is the name behind the base.

FURTHER DEVELOPMENT? Further development of Business Aviation’s infrastructure in Russia is likely to be spurred by Avkom-D which began the construction of ‘accessible modular Business Aviation centers’ that can be ‘rearranged’ depending on the task at hand. The project, launched at the end of 2013, focuses on the regions where BizAv traffic is not so intense, but a separate terminal and maintenance station is still a requirement. The prototype center will be developed at Ramenskoye airfield in the Moscow region where in 2014 the construction of a Business & General Aviation center will begin.

❯ Anna Nazarova is a freelance aviation journalist specializing in the areas of Business and General Aviation in Russia. She can be contacted at anna.a.nazarova@gmail.com

ST. PETERSBURG Away from Moscow, St. Petersburg is warming up in terms of Business Aviation activity. Pulkovo airport has two business terminals (Pulkovo-2 and Pulkovo-3) created by two of Moscow’s competitors – Avia Group and Vnukovo-3 (acting through Jet-Port Spb). Pulkovo-2 is positioned as a full FBO with its own hangar, aircraft parking, ground-handling services and flight organization providers as well as a planned maintenance base, and will focus on official delegations and governmental flights. Avia Advertising Enquiries see Page 8

AVKOM-D IS HELPING MAKE MAINTENANCE ACCESSIBLE

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

JMesinger Feb14_JMesingerNov06 21/01/2014 11:28 Page 1

THE AVIATION LEADERSHIP ROUNDTABLE

‘Flat’ will be the new ‘Up’ ou’ve heard the sayings: ‘Orange is the new black’ and ‘50 is the new 40’. Well ‘flat will be the new up’. This is what the recovery will look like. I have been saying for years now (five to be exact) that we are in a down market. Supply has outpaced demand and thus inventory levels have been increasing. There is no traditional financing to aid the recovery, and Europe is still in the midst of what the US is slowly exiting. All of these factors are contributing to why we are still in a downward market spiral. But it is time now to begin to plot what the recovery will look like. Flatness will be the hallmark. We have had well over 20 consecutive quarters of downward pricing, as represented by the two market-reporting books. There have been some quarters with larger downward trends and some with less, but very few stable pricing quarters and hardly any models that have a sustainable flat quarter-after-quarter reporting. I talk to owners of aircraft all the time who are sure that if they just wait this out, the market will rebound and lost value owing to downward pricing will be made up. They truly believe the market rebound will right the pricing and that it is just a matter of time. There are a few missing parts to this wishful thinking, however. First, since we have not yet seen an end to the downward trend, from what depth will the aircraft have to recover? And second, every day one waits the aircraft becomes a day, a month, or even a year older. I do see a slowing in the downward trend of many models, but I do not see a floor to most yet. So waiting before embracing the reality of the market will cost real dollars, and will not bring you closer to an up-market. In fact I think it will be a long time before we can claim an up market. It would be wonderful if we could just see a sustainable, quarter-after-quarter period of flat reporting. That, to me, would spell recovery.

WORLD AIRCRAFT SALES MAGAZINE – February 2014

Let’s look at what contributes to the market dynamics. Of course inventory supply is the Number One factor in the supply and demand equation. In just a handful of mostly large-cabin, less than 10-year-old-models does one see a leveling, and in a few rare cases a real sustainable reduction in inventory levels. The Gulfstream G550 is an example of that phenomenon. This segment has only 2% of the fleet for sale. Nevertheless, even with this tiny amount of inventory available the market pricing is still going down for most of the G550 year models. So supply of any one category alone is not the single factor for stability in pricing. Today when a buyer comes to the market, product loyalty is not the driving factor as it was in the days of old. Best value/deal trumps product loyalty. Buyers come to the market with a specific mission then look at the entire supply of aircraft that can fill that requirement rather than target the purchase of a Gulfstream, period! Another big factor is the number of buyers in the market. This is still greatly depressed compared to the pre-downturn period. We can see optimistic economic data that is being reported globally and this is being felt in our industry for sure. Transactions are up - in fact they are up across-the-board - but unfortunately they are not up enough to reduce inventory levels across-the-board and stop the erosion of pricing. For all of the reasons suggested in the first few sentences of this article, the market is still down. It is still a buyers’ market, but enough of that ‘downer’ talk. Let’s begin to plot the recovery which will occur. The shape of the recovery will be a flat line. Not to be confused with a pulse of a person no longer living, if we could see the majority of the aircraft models no longer going down, but holding a two- to threequarter flat-pricing trend, then we could begin in earnest to shout that the bottom is here and the recovery has begun. Up trends www.AvBuyer.com

would come in due time as they always do. Will the pricing return to the pre2008 numbers? Absolutely not! Remember, many aircraft not only enjoyed a market in which demand from emerging markets far outstripped supply, but this imbalance also caused most newer models to carry significant premiums as a part of their pricing. Those days are gone forever. The fleet of these aircraft is now older, has clocked more time on the engines, and is less compliant than in 2008. So don’t expect a return to the prices paid for these airplanes back then. Be happy with a valuation model that is sustainable (and no longer down quarter-over-quarter). Be ecstatic with shorter selling days on the market, and more sales. If you are waiting for the price level of your aircraft to return to that of the 2008 period, you will always be disappointed and you’ll become part of the group of owners who are going to continue to take less rather than stem the loss. This market turn is not happening yet, but it is close! ❯ Jay Mesinger is the CEO and Founder of Mesinger Jet Sales. Jay serves on the Jet Aviation Customer and Airbus Corporate Jets Business Aviation Advisory Boards (BAAB). Jay is also a member of EBAA and the Colorado Airport Business Association (CABA). If you would like to join in on conversations relating to trends in Business Aviation, share your comments on Jay’s blog www.jetsales.com/blog, Twitter and LinkedIn. For more information visit www.jetsales.com. Do you have any questions or opinions on the above topic? Get them answered/published in World Aircraft Sales Magazine. Email feedback to: editorial@avbuyer.com Aircraft Index see Page 4

The Jet Collection December_Layout 1 19/11/2013 12:36 Page 1

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Safety Matters Feb14_Edit 21/01/2014 11:22 Page 1

SAFETY MATTERS: RUNWAY CHOICES

Runway Resources

Normal OR unusual conditions – both may thwart the boss' desires. by Dave Higdon

eteran pilots and instructors regularly expound on the need for options in the event of unforeseen issues. Airport options, in particular, stand among the most-frequent alternatives considered, whether the need arises because of weather, traffic or some unforeseen force that requires the crew to forgo the originally planned airport. Changes in airports underpin standardized thinking and planning, such as the IFR Reserves standards recommended by the National Business Aviation Association. You know the drill. NBAA IFR Reserves are quoted as the amount of fuel required for the following profile:

WORLD AIRCRAFT SALES MAGAZINE – February 2014

• • • •

A 5-minute approach at sea level Climb to 5,000 feet A 5-minute hold at 5,000ft Climb to cruise altitude for the diversion to alternate • Cruise at long-range power • Descend to sea level • Land with 30 minutes of holding fuel at 5,000ft. While these guidelines are for flights with actual Instrument Meteorological Conditions (IMCs), consider them a general golden rule. So although arriving at the beginning of an approach with 40 minutes of fuel, period, may be legal in Visual Meteorological Conditions (VMC), it's strictly a bad practice to follow. Remember: Meteorology isn't the only factor www.AvBuyer.com

capable of forcing a crew to employ an alternate. As life happens, you don't always know until you get there.

A DREAMLIFTER'S NEAR NIGHTMARE The crew missed the cues; so did controllers… at two facilities. Adding an often-confusing alignment of three airports north-to-south; a clear night; a long flight; and little local experience, the results shocked and entertained the world for a couple of days. The shocker: An erroneous landing at the wrong airport by a Boeing 747-freighterturned-Dreamlifter. The crew used about 5,000 feet of a 6,000-foot runway to land and stop a plane that normally requires nearer 7,000 feet. Aircraft Index see Page 4

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didn't think weather was going to be an issue – but a blown tire, a ground loop, or a landing mistake can close a runway without warning. I guess I need to think in terms of alternates every trip.” Sometimes, however, you have to face the facts that the Boss doesn't always control your planning. Sometimes it’s another pilot that calls the shot for you, even unknowingly…

UNRELATED EVENTS

That incident, for about 18 hours, closed the only runway at Col. James Jabara Airport (KAAO) in northeast Wichita in late November 2013. With the hulking heavy-lifter blocking the runway, Jabara remained closed until after the 600,000-pound airplane-parts-hauler departed for its intended destination: McConnell Air Force Base, eight miles to the south – but that unexpected closure factored into plan changes for a number of flights that would have otherwise landed at KAAO. We know of at least one crew forced into a new decision – a long-time corporate pilot who sounded positively incredulous when he called early on November 21 seeking local input ahead of his first time flying his new Advertising Enquiries see Page 8

boss into Wichita for a day of important meetings. The appointments had been made to use a motel near Jabara, one with a shuttle convenient to a restaurant the Boss favored “They brew their own beers, you see!” He solved the dilemma by hiring a car to meet the flight at the next-most-convenient airport, Augusta Municipal (3AU). With its own instrument approaches (needed that day), being only 15 minutes from Jabara enabled the crew get the boss to his appointments while they waited to move their airplane to KAAO after the airport re-opened. Our pilot had no trouble explaining to the Boss why they would not be landing at Jabara – at least for the arrival, but admitted, “You just don't expect something like this. We www.AvBuyer.com

For a colleague the decision to push onward toward a minimal-fuel landing held no particular concern. The avionics package clearly showed he'd land with 30 minutes of fuel (legal for his operation), the weather was clear stretching out for days, and he'd be in the pattern with 45 minutes of daylight to round out the favorable conditions. So he felt sucker-punched when descending through 13,000 feet some 20 miles away when he heard the plaintiff cry of a pilot on the airport Unicom frequency: “Airport radio, we've had a problem with the right main and run into the ditch west of Runway 18...believe the right main collapsed.” The incident left the runway partially blocked by the stricken aircraft and the airport manager instantly piped up on the Unicom that the runway was now closed until further notice before notifying the FAA to immediately issue a NOTAM making the closing official. The General Aviation facility boasted just enough equipment at its two maintenance shops to tackle hoisting up the airplane and moving it to a hangar, clearing the runway. Time estimate: 90 minutes-to-two hours. Even without hearing that news, my colleague was already acting on his options; he had no time to spare. The airport closest to him was 18 miles beyond his planned destination – so that was out. “At my altitude and distance, diverting to a suitable airport 20 miles north added less than two minutes to his time on approach,” he explained. “I pulled the throttles back to just enough to sustain a direct descent, and landed normally. “Honestly, it could not have happened at a better time on my descent.” Had the incident occurred when he was in the pattern, his arrival at either alternative would have been in question.

RUNWAY FACTORS DICTATE OPTIONS Numerous factors come into play when assessing a runway for use on a particular flight. Of course, times come when weather dictates our choices; at other times its runway conditions, maintenance or a NOTAM-related issue. And sometimes it's as simple as the airplane itself – and its operating limitations and runway capabilities. ❯ Consider the weather: Our pilot who WORLD AIRCRAFT SALES MAGAZINE – February 2014

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SAFETY MATTERS: RUNWAY CHOICES

needed an alternative to Jabara happened to hit Wichita when cold weather contributed to lower-than-actual-elevation density altitude numbers for area airports. That Dreamlifter benefited from the cold (and a stout 20-knot north wind) to shorten the 600,000-poundmax-weight cargo jet's takeoff roll. My friend's light jet would have been hard pressed to land and stop at Augusta on a 110degree day, when Density Altitude (DA) can hover near 5,000 – which is a far cry from the 800 DA at the 1,380-foot elevation runway on November 21. And similarly, Augusta might come in at too short on even that cold day in November with a layer of smooth ice coating the pavement. But a couple of inches of snow could be helpful in shortening the roll-out after touchdown. The bottom line is that a runway that works one day may not work another (and sometimes it doesn't work at all). Consider the account of a professional crew who fly a large-cabin jet. “We moved to the large-cabin jet because the Boss wanted more options than the BusinessLiner he leased before. The weight limits bit us more often than runway length.” Sometimes the mostconvenient airport is not an option when the aircraft exceeds the weight limits set for pretty much all paved runways. Now the U.S. has about 5,000 public-use airports with paved runways; of those, about 400 offer scheduled-airline service – and even here, runway weight ratings limit what equipment carriers can use to about 150. According to one corporate pilot who flies for a flight department with several sizes of

WORLD AIRCRAFT SALES MAGAZINE – February 2014

aircraft, “We field out biggest complaints from people who don't like the smaller jets we're restricted to using at several of our destinations. Between runway lengths and weight ratings, we can't always use the one the Boss prefers – but they usually understand better than their middle-managers.”

APPROACH DISORDER It could be that no other issue more frustrates back-cabin passengers than learning that they won't be arriving at the expected airport, or the one that they wanted. “They often sound a little suspicious of us, when we tell them (usually well in advance) that we can't use our planned airport and they need to make plans for arriving at the alternative we've already chosen,” explained a local charter pilot who regularly flies for a small number of clients. “Recently I had to tell them we needed to land somewhere other than Aspen after an aircraft crashed there and closed things down for a while. And later we had to postpone our departure because high-winds made the departure dangerous – and it's not an easy airport on a nice day.” Some days a facility failure takes away an approach option – and if that was the best option for that day's winds, well, sounds like time to consider the alternates available. Some procedures change or are not allowed without something as simple as a local altimeter setting. An outage of any part of the Instrument Landing System (ILS) or an element in a Localizer Precision Approach with Vertical Guidance can erase options. www.AvBuyer.com

Other days the weather can be acceptable – but not the runway conditions. “I had to fly up to an Idaho airport on a perfect day during the cold snap – the Polar Vortex snap – and the airport reported zero breaking action because of clear ice coating the runway,” the charter pilot related. The airport's runway deicing chemical failed at the extreme cold in play – so prior-day melting left a sheet of ice needing thermal assistance before the runway could become usable. “It was bad luck for me - we flew within eyesight of our frozen runway and the passenger came up and demanded to know why we couldn't land there...he saw a 'clean runway,' as he put it. We had a hard time explaining that the clear ice made the pavement look clean and dry but still rendered it as slick as an Olympic ice rink.” In another instance a pilot reported the alternate in a crisis situation was one used before by a crew – but on this particular day the runway approach lights were out of service. The ILS was out – and no other approach worked for the airplane that day. The boss understood the circumstances after hearing that even if partly-visible in IMC, the approach conditions rendered it unavailable.

COMMUNICATION, EDUCATION, COOPERATION The best solutions when such issues arise begin with communicating the situation – and in detail that the client or passenger may not be used to hearing. Avoid jargon, but be clear and firm. Explain the problem. If it's down to conditions, show them on a weather screen. If it's infrastructure, explain that approaches depend on many elements working together – and the lack of one can render an approach unusable. Educate your charges when possible. Passengers should take solace from a crew willing and patient enough to help the uninitiated understand their situation. From there, it's mostly about working together to craft a solution that's best for the moment. Runway conditions can be tough, as can weather, to explain when the client or passenger sees television shots showing clear skies. Nevertheless, deep snow, thin ice, facility failures and physical constraints also have no relationship to the meteorological conditions on the picture – and everything to do with what prevails at the arrival point. In the end, no matter how rosy the prognosis, they only count when they're correct for the moment of need.

❯ Do you have any questions or opinions on the above topic? Get them answered/published in World Aircraft Sales Magazine. Email feedback to: editorial@avbuyer.com Aircraft Index see Page 4

Boutsen February_Layout 1 20/01/2014 16:37 Page 1

Data Comm Feb14_Edit 21/01/2014 10:43 Page 1

DATA COMM PREPARATION

Data Comm Update Anticipate and Prepare for the Way Ahead. By Ken Elliott he following update covers the current status of Data Communications at a time when industry and the FAA begin to finalize a new Air Traffic Network standard and Europe implements more of its Link 2000+. In the NextGen/SESAR and ICAO automation environment, data transfer and surveillance are both key enablers. There is a lot of history and regional variance in their migration, so today we operate in a realm of confusion. Cutting to the chase we have two major areas to consider; Communication and Surveillance.

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Communication: This comes under ATNB1, and while the future means of transmission is VDL-2 the current means can be via existing ACARS (POA), HFDL and in some cases Satcom (Inmarsat or Iridium). Communication is also part of FANS that includes surveillance. Communication is typically via text messaging like on your mobile phone, but is more complex. ATN-B1 is largely used over land and line of sight. (Note: A glossary of related acronyms used in this feature has been included at the end of this article, overleaf.) Surveillance: This comes under FAN 1/A (1/A+) and includes position reporting www.AvBuyer.com

amongst a host of other associated data. ATNB2 is the new upcoming format that will include both communication and surveillance, but more importantly will be in its final version a truly global (ICAO) standard. Capability is related to ground and air equipage so all of the above contains significant variation in implementation and operational capability even today. New aircraft are being built that will be fully FANS 1/A compliant while ready for ATN-B2, and many legacy aircraft from airliners to business jets achieve ATN-B1 using ‘plain old ACARS’. For Europe there is Link 2000+, a stop-gap requirement centered on ATN-B1, and plans ❯ Aircraft Index see Page 4

J Hopkinson 2 December 19/11/2013 16:57 Page 1

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DATA COMM PREPARATION

DIAGRAM 2

DIAGRAM 1

exist to introduce a version of ATN-B2 ahead of the final version. In the contiguous US there are no plans to require FANS 1/A, but instead introduce guidance being prepared for an advanced version of ATN-B2 that will begin operation sometime after Europe’s stop-gap version.

GOING DEEPER Means and protocols of data communication again vary widely by region and aircraft type. Some methods and protocols are CPDLC, PMCPDLC, HFDL, ACARS, FMC WPR and ADSB ITP. While an aircraft may be fully equipped, the ground side that, in itself is complex may not be and vice-versa. The ground side includes dispatchers, air navigation service providers (ANSP), communication service providers (CSP), satellite service providers (SSP) and air traffic control itself (air traffic service units ATSU). Historically, with respect to data communication, messages were received via voice over VHF, HF and some Satcom. Messages in text were also transmitted automatically or manually over VDL Mode 0/A, HFDL for example over the poles, Satcom Inmarsat or Iridium, and via AFIS VHF or Satcom. As the need for data information requirements and the density of aircraft within regions increased, more advanced communication methods and protocols became necessary. Both information and density needs are predicted to increase further. While the FAA has prevaricated over what to do, Europe has introduced Link 2000+ and planning on its early version of ATN-B2. In a nutshell you could look at the implementation situation as four distinct phases (see Diagram 2, top right).

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ADS-C: This is a means by which the terms of an ADS-C agreement will be exchanged between the ground system (ATSU) and the aircraft, via a data link, specifying under what conditions ADS-C reports would be initiated, and what data would be contained in the reports. The contract (C) includes aircraft ID, address, air vectors, ground vectors, projected profiles, Met-data, min/max ETA, extended projected profile all via automatic download and then a pilot-controlled message capability for use with, for example, Mayday situations and other emergencies. ADS-C generates automatic downlink reports as a contract between aircraft and ground while ADS-B is an open broadcast that is available to all who are equipped to ‘see’ (and for those with ADS-B In, display). Based on density and needs, ATC can change the rate at which data is automatically downloaded from an aircraft without the crew knowing. ADS-B ITP: Planned as an alternative to ADS-C using fully ADS-B equipped aircraft and advanced trajectory-based operations (TBOs) to route and guide aircraft via in trail procedures (ITPs), an example of ADS-B ITP is under interval management where uplink clearance is provided to follow, merge or cross another aircraft. FAA Ocean 21: By 2015 the FAA intends to introduce Ocean 21, an ADS-C CDP and ADS–B ITP automation system that lets controllers know what each aircraft is capable of doing; its precise location; its intended flight path; and potential future conflicts. Suitably equipped and approved operators will be able to cut through oceanic flight lanes to the fastest routes where less fuel is used. Aircraft www.AvBuyer.com

separation will be reduced as new routes are sent to crews to then loaded into their navigation systems, optimizing oceanic performance and routing. Aircraft Equipage: From business jet to wide-body airliner, the equipage challenge is enormous. New aircraft orders are increasingly compliant, expecting only minor bulletin changes for anticipated data communication implementation. Older legacy aircraft may expect significant changes, although the FAA is making it very clear it intends to continue to support ATS ACARS, VDL Mode 0 for towers, and importantly FANS 1/A+ equipped aircraft that include the message latency timer or monitor. The FAA is going to great lengths to not require minimum equipage and to work diligently on ATN-B2 in an advanced form with its implementation date of 2025, if not sooner. Sequestrations, budget restrictions and economic caution in general are also driving the FAA’s direction and reluctance to embrace

TYPICAL DATA COMM EQUIPAGE • FANS compliant FMS (often CDU) • FANS compliant GPS Communication or Data Management Units • VDL Mode 2 VHF radio (s)/updated ACARS • FANS compliant satcom (Inmarsat or Iridium) • Upgraded Cockpit Voice Recorder (or combination unit) • Upgraded aircraft data concentrator units • Upgraded audio selectors/external satcom dialer.

Aircraft Index see Page 4

Data Comm Feb14_Edit 21/01/2014 16:45 Page 3

DATA COMM PREPARATION you should decide on the best approach to your data communication needs while looking at the latest operational implementation dates. Consider where you will need to operate whilst establishing if your aircraft may be grandfathered or exempted from regional requirements. The FAA is being very careful to consider legacy operators including business jets, while Europe continues to implement in stages. Most importantly, understand that you not only have to consider equipage but also obtain the operational approval to use it! The following FAA link should be most helpful and for NBAA members there is also very useful aircraft operations information covering data communication on its member site. Finally, as always, Duncan Aviation provides solid and reliable data on its public site. Visit www.faa.gov/about/office_org/ headquarters_offices/ato/service_units/enroute/ oceanic/ and select Data Link for all the new

and existing documents for data communication operation and other approvals. early versions of ATN-B2 or the current FANS 1/A. Note: Equipage includes aircraft Required Navigation Performance (RNP) capability, being sufficiently accurate for the tighter tracks being flown as a benefit of FANS equipage. Here are some of the types of equipment impacted by the recommended current and future implementations, not by the aircraft or equipment manufacturer. • The FMS needs to be capable of handling the messages, and its corresponding GPS capable of providing ADS position information. • Many aircraft have avionics card cages with integrated cards for various systems and these often need upgrading. • VHF radio, data concentrators and communication management units need to be upgraded or added. • The Cockpit Voice Recorder needs to be upgraded to allow data recording of all digital and voice communication. • Audio panels need modification or an external dialer installed for satellite communication and operators may need to add an Inmarsat or Iridium satcom. In the case of Inmarsat-based satcoms there is the capability for safety voice service where ATC can override existing satcom phone communication as a priority pre-empt, with safety related messages.

EQUIPAGE COSTS Implementation costs will vary widely because of the aircraft age and where you need to operate. Link 2000+ costs for EU Ops

Advertising Enquiries see Page 8

are different to those needed for FANS even on some new aircraft. With ATN-B2 not yet fully defined and specified, expect further costs to follow. Some corporate jets are being quoted between $200-300K, while others are between $600-800K for data communication upgrades. Creative low-cost solutions developed outside of the major aircraft and equipment suppliers may enable lower implementation costs especially where existing equipment can be added to instead of upgraded. One could envisage a bolt-on type solution that leaves the existing avionics untouched. This approach however, has its drawbacks in STC costs and aircraft resale concerns.

❯ Ken Elliott is an avionics veteran of 40 years and more recently focused on NextGen. His work within the NextGen Advisory Council subcommittees brings him close to current and intended development effort. Equally, his specialization in low-vision operations provides a deeper insight into one of the pillars of NextGen. Ken has served the aviation industry on three continents from light GA to large corporate aircraft. His current employer, Jetcraft, is a leading aircraft brokerage company with worldwide presence.

IN SUMMARY

❯ More from www.jetcraft.com, email: kenelliott@jetcraft.com

Working with your preferred MRO carefully,

DATA COMM ABBREVIATIONS GLOSSARY ACARS: ADS-B: ADS-B ITP: ADS-C: ADS-C CDP: AFIS: ATN-B1: ATN-B2: ATSU: FANS: FMC WPR: HFDL: PM-CPDLC: VDL:

Aircraft Communication Address & Reporting System Automatic Dependent Surveillance – Broadcast Automatic Dependent Surveillance Broadcast (with In-Trail Procedures) Automatic Dependent Surveillance – Contract Dependent Surveillance Contract (with Climb/Descent Procedures) Aircraft Flight Information Service Air Traffic Network-Baseline 1 Air Traffic Network-Baseline 2 Air Traffic Service Unit Future Air Navigation System Flight Management Computer – Waypoint Position Reporting High Frequency Data Link Protected Mode – Controller-Pilot Data Link Communication VHF Data Link (Mode 0 or Mode 2)

www.AvBuyer.com

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2014 new to market_Gil WolinNov06 21/01/2014 11:00 Page 1

BUSINESS JETS: NEW FOR 2014

Keeping Up The Flow: Recession-era R&D Yields Ongoing Model Advances. by Dave Higdon

ince the economy's dramatic down-shift of 2008 the world of Business Aviation has annually seemed just short of a turnaround. Forecasts for General Aviation have closely paralleled the realities of the years following the recession. For the business turbine community, the aircraft and component manufacturing sectors downsized production and employment levels to match the constrained demand of those years, and little has changed for the sectors still struggling against the revised limits of today's economy. These limits hit pretty much every sector of Business Aviation. But you'd be hard pressed to see matching signs of depressed activity in the R&D hangars; on the engi-

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neers' computers; and in the minds of those who constantly prowl the market in search of that ‘next big thing’ that will hook potential buyers solidly enough to reel in their dollar. Deliveries have slowly edged back to more than 50 percent of the pre-recession peak – albeit sluggishly – but those results seem telling given the latest prognostications predicting significant sales numbers in the next 20 years (with any sign of activity approaching the record levels of the prerecession peaks not anticipated until we're well into the next decade). Some analysts caution that such resurgence is unlikely to occur at all. Nevertheless, the OEMs have remained engaged in offering the latest-and-greatest www.AvBuyer.com

in Business Aviation. While more than one program suffered outright cancellation, these ambitions have largely kept airframers' R&D pipelines alive and functioning, with new models of business turbine aircraft working their way toward service entry. Several of these new and evolved models begin to hit the ramps this year. With a little luck, advancing economic growth and an aging existing fleet to encourage their purchase, these future products could be arriving at the most opportune time in nearly a decade – one outside the traditional dominant markets. Consider the following anticipated 2014 newbies as the current in an ongoing jet stream of a productdevelopment process. Aircraft Index see Page 4

2014 new to market_Gil WolinNov06 21/01/2014 11:00 Page 2

LEARJET 75

BOMBARDIER CHALLENGER 350 In 2013 Bombardier announced a followon to the successful Challenger 300 in the form of the Challenger 350 – an update in more than name and accoutrements… The CL350 sports a new wing design, boasting greater span and canted winglets, and improved engines in the form of Honeywell's new HTF7350 engines (each making a healthy 7,323 pounds of thrust). Greater fuel capacity results bringing the range to 3,200 nautical, and a higher 40,600-pound maximum take-off weight. Up front the flight deck features an upgraded Rockwell Collins Pro Line 21 integrated avionics package, while back in Advertising Enquiries see Page 8

the main cabin, new windows enlarged by 20 percent have been repositioned for maximum light – and to complete the package, the interior has been redesigned. Bombardier expects initial deliveries of the $25.8 million super-midsize jet to begin by May.

LEARJET 75 & LEARJET 70 While the Learjet 75 received FAA certification in mid-November 2013, replacing the Learjet 45XR, its slightly smaller sibling, the Learjet 70 is due soon as the replacement for the 40XR. The updated Learjets provide seats for as many as seven passengers in the smaller 70, or nine in the 75. Both feature Wi-Fi capability, state-of-the-art entertainment www.AvBuyer.com

systems, integral galleys or closet space, and a Learjet-like 465 knots at cruise. Up front, the new Bombardier Vision avionics package – based on Garmin's touch-controlled G5000 system – presents one of aviation's most intuitive crew interfaces at less weight, while the jets will see 10 percent more thrust thanks to Honeywell's new TFE731-40BRs, that will help shorten takeoff and increase range with the help of the new canted winglets. Furthermore, Learjet expects gains of up to nine percent in field performance under hot and high conditions, and up to four percent more fuel efficiency over two airplanes models that were already known for their fuel efficiency – each with a ❯ range just above 2,000 nautical miles. WORLD AIRCRAFT SALES MAGAZINE – February 2014

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BUSINESS JETS: NEW FOR 2014 LEARJET 85 The Learjet 85 all-composite design stands to become the largest yet to wear a Learjet badge. Unfortunately, mirroring all prior composite-design attempts of the past 30 years, progress on the Learjet 85 has suffered from fabrication issues. Plans to fly the Learjet 85 before the end of 2013 officially ended on New Year's Eve when Bombardier announced another delay, pushing the first flight into the first quarter of this year. The Learjet 85 will weigh barely a third more than the much-smaller Learjet 60, but with only an extra 20 percent thrust it will fly about 500 miles further on the same fuel – albeit at a cruise speed. All the while, it will offer improved specific fuel consumption. Bombardier has tapped Lufthansa Technik to provide the cabin management system; Rockwell Collins for a three-screen Pro Line Fusion avionics system with advanced capabilities including synthetic vision; and Pratt & Whitney Canada for new PW307B engines (6,100 pounds of thrust each). High-speed cruise is Mach 0.82 and the aircraft’s service ceiling will be 49,000 feet. Inside the Learjet 85 offers lay-down seats – a nod to its transcontinental 3,000-nautical range - with four passengers and crew. Similarly, this longest-legged Learjet also sports a full galley as well as a lavatory in the aft cabin. The company maintains it will complete certification this year. Whether a oncehinted-at Learjet 80 remains in the offing stays a question unanswered.

❯ More from www.bombardier.com

CESSNA AIRCRAFT CITATION SOVEREIGN+ One new model and one revised model emerged from Cessna in December, their

CITATION M2

papers in order and deliveries initiated: in the light-segment the Citation M2 and the midsize Sovereign+ business jet. Let’s begin with the Sovereign+. Cessna added the “+” to the well-established Sovereign name to differentiate the updated version from its predecessor. With the Plus comes a Sovereign with increased range, an updated Garmin G5000 touch-control avionics package, enhanced performance and efficiency. The new cockpit is designed around the Cessna Intrinzic Flight Deck which is itself based on the Garmin G5000 system. This offers an integrated, workload-reducing auto throttle system. For the passengers, new

CITATION SOVEREIGN +

amenities include Cessna Clarity - the company's integrated Cabin Management System with user-friendly touch-screen controllers, plus all-new, larger and more comfortable seats.

CITATION M2 The Citation M2, meanwhile, balanced out Cessna's 2013-closing certification action, bringing into service the long-awaited replacement for the CJ1+. The target market reflects Cessna's 1960s commitment to producing an entry-level jet for operators of cabin-class piston twins and turboprops to move into a jet designed around single-pilot operations. Cessna launched the M2 at NBAA in Las Vegas back in September 2011 anticipating a maximum cruise speed of 400 knots and maximum range of 1,300 nautical miles. Runway performance enhances the M2s flexibility, with the capability to fly from runways as short as 3,250 feet – and the FJ44 engines can power the M2's climb directly to FL410 in as little as 24 minutes. Cessna also gave the M2 cockpit its proprietary Intrinzic flight deck, in this case based on Garmin's G3000 avionics package with touch-screen interactivity. Deliveries were underway before Christmas.

NEW CITATION X The first production unit of the updated Citation X rolled out of Cessna’s Wichita factory back in April 2013. By fall, the FAA had blessed the aircraft’s engineers with word that the prototypes had successfully completed all the flight and speed tests required – and the agency's test crew confirmed the

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www.AvBuyer.com

Aircraft Index see Page 4

❯

Project1_Layout 1 22/01/2014 13:43 Page 1

Advertising Enquiries see Page 8

www.AvBuyer.com

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2014 new to market_Gil WolinNov06 21/01/2014 11:02 Page 4

BUSINESS JETS: NEW FOR 2014 Citation X is, once again, the world's fastest civilian aircraft with its new top speed of Mach 0.935. But there's far more than a new highspeed bar in to the New Citation X. Cessna's designers lengthened the fuselage; designed a more-spacious interior – thanks to clever work on the liners; and gave the speedy jet a sophisticated cabin-control package over which passengers can work on-line, surf the Internet, stream videos and control various systems through a touch-sensitive interface. Expect first deliveries early in 2014.

❯ More from www.cessna.com

EMBRAER EXECUTIVE JETS LEGACY 500 Embraer’s unveiled its move into the medium-jet market almost six years ago, when in 2008 the company announced the parallel development of two fly-by-wire designs that share practically everything – from wings and empennage, to fuselage cross-section, to powerplants, avionics and more. Take a bow, Legacy 500 and 450. Expected to enter the market this year is the Legacy 500. Beyond the shared 6-foot-10inch width and 6-foot height, Embraer's engineers gave the Legacy 500 a 26-foot, 10-inch long fuselage (six feet longer than the Legacy 450’s), with IFR range pegged at 2,800 nautical miles carrying eight passengers at a respectable Mach 0.80. Both fly-by-wire jets sport side-stick roll and pitch control, Rockwell Collins state-ofthe-art Pro Line Fusion avionics package with four 15.1-inch high resolution LCD displays, graphical flight planning, Jeppesen charts and maps, and the Synthetic Vision System (SVS).

EMBRAER LEGACY 500

The optional Embraer Enhanced Vision System (E2VS) encompasses the latest Rockwell Collins Compact Head-Up Guidance System (HGS) and Enhanced Vision System (EVS). The smaller Legacy 450, however, is trailing the Legacy 500 slightly, and is not due to market until 2015.

❯ More from www.embraerexecutivejets.com

HONDA HONDAJET A unique program continues to progress down in the Carolinas, where Honda Aircraft

HONDAJET

pursues late 2014 certification of its groundbreaking HondaJet light aircraft (for deliveries in 2015). When certified, the HondaJet will become the only business jet flying on the power of engines designed by the same root company. The HF120 engines are produced by a partnership between Honda and aircraftengine maker GE – but the main design of the engines is the product of more than two decades of work by Honda...before it launched the aircraft’s development. The FAA delivered certification of the engine in mid-December 2013 ending an eight-month delay. The agency also awarded Honda Aircraft Type Inspection Authorization, which shows that the manufacturer met certain design requirements and allows FAA test pilots to begin the final testing phase required for type certification. The airframe employs a composite fuselage that measures smaller outside than competing models. But like Dr. Who's TARDIS, the HondaJet delivers more interior space than its exterior would or should provide for its size. The secret? Honda's design that eliminates any fuselage hardware for carrying the two powerplants, as is common in most business jets. Instead, Honda engineers designed over-wing pylons that carry the two turbofans, thus freeing the fuselage for more people and equipment. And those above-the-wing powerplants provide an aerodynamic benefit, too, thanks to judicious use of the Area Rule to minimize interference drag between the fuselage and the pylons and nacelles. The result: the fastest jet in its segment with a top cruise speed of 420 knots.

❯ More from hondajet.honda.com

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Aircraft Index see Page 4

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Charter Tax Feb 2014_Gil WolinNov06 21/01/2014 11:43 Page 1

CHARTER & TAX CONSIDERATIONS

Understanding Charter & Tax Don’t Sign a Charter Lease without Careful Consideration… By Rex Reese o attempt to defray fixed operating costs, and in some cases to earn profit, business aircraft owners commonly allow their aircraft to be chartered to the public. Because charter is a commercial operation, the aircraft must be added to the operating specifications of an air carrier certified to operate under Part 135 of the Federal Aviation Regulations (FAR). The aircraft must be maintained and, when chartered, operated by the air carrier under FAR Part 135. This arrangement requires an agreement between the owner and the air carrier that allows the air carrier to take exclusive possession, command and control of the aircraft when it is operated under FAR Part 135. If the agreement is a lease of the aircraft to the air carrier, the owner and the air carrier might be unnecessarily subjecting themselves to potentially significant tax burdens. This could cost the owner money, and the air carrier its managed owner(s).

SALES TAX Under a typical charter lease, the air carrier collects the charter revenue from customers and remits to the owner a certain amount denominated as “rent”. The amount remitted

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is normally 85% to 90% of the gross charter revenue. In states that impose a sales tax on the sale of tangible personal property (e.g., an aircraft), a lease almost always constitutes a “sale”, and rents thereunder are subject to the sales tax. This requires the owner to charge the air carrier for the sales tax, and to report and remit the tax. If, as is usually the case, the charter lease calls for the owner to reimburse the air carrier for sales and use taxes associated with the aircraft, the net charter revenue remittance to the owner is effectively reduced. If the sales tax is not properly collected, reported and remitted by the owner, the air carrier could become subject to collection, and the aircraft could become subject to a tax lien.

NET INVESTMENT INCOME TAX Beginning in 2013, the 2010 national health care law (a.k.a. Obama Care) imposes a tax (the “NIIT”) on the investment income of certain individuals, estates and trusts. For individuals, the NIIT is 3.8% percent of the lesser of: (1) the individual’s net investment income (NII); or (2) the excess of the individual’s modified adjusted gross income over the threshold amount. The threshold amount is based on filing status:

www.AvBuyer.com

■ Married filing jointly or Qualifying widow(er) $250,000 ■ Married filing separately $125,000 ■ Single or Head of Household $200,000. NII is defined as the sum of three categories of income. One of the categories of NII is gross income from rents, other than rental income derived in the ordinary course of a trade or business that is not a passive activity (within the meaning of Internal Revenue Code (IRC) Section 469) with respect to the taxpayer. NIIT applies rents received by an individual owning an aircraft directly or through certain C-corporations, an S-corporation, a partnership (including a limited liability company) or a trust. Thus, whether rental income from an aircraft leasing activity (e.g., a charter lease) is subject to the NIIT is a 4-part inquiry: (1) is the income gross income from rents; (2) are such rents derived in a trade or business; (3) are the rents derived in the ordinary course of such trade or business; and (4) is such trade or business a non-passive activity with respect to the taxpayer? Failure to answer affirmatively to all four questions means the rental income is NII. Answering each of these questions is a highly nuanced undertaking based on potentially changing facts, circumstances and legal interpretations.

aAircraft Index see Page 4

Charter Tax Feb 2014_Gil WolinNov06 21/01/2014 11:44 Page 2

PASSIVE LOSS RULES Owing principally to accelerated depreciation deductions, including bonus depreciation, aircraft more often than not produce after-tax losses. These losses translate to valuable income tax benefits, but only if the losses can be used - preferably currently - to offset income. If the activity of owning and operating an aircraft is deemed “passive” under IRC 469, losses therefrom may be used only to offset passive income. Passive losses may not be used currently to offset non-passive trade or business income (e.g., employment, business profits and allocations), or portfolio income (e.g., interest, dividends). Cumulative passive losses from an activity may be used to offset non-passive income when the passive activity is disposed of in a taxable transaction. An activity is passive to an individual taxpayer in a taxable year if (1) the individual does not “materially participate” in the activity, or (2) it is a rental activity. The passive loss rules apply to individuals who own an interest in an activity directly or through certain C-corporations, an Scorporation, a partnership (including a limited liability company) or a trust. There are seven (7) separate facts and circumstances tests for determining whether an

Advertising Enquiries see Page 8

individual materially participates in an activity. However, even if a taxpayer materially participates in an activity, the activity will generally be passive if it is a rental activity. Although there are some tax planning strategies potentially available to attempt to avoid the treatment of a rental activity as passive, it is preferable to avoid unnecessarily entering into a lease agreement in the first place unless passive treatment is desired.

THE SOLUTION FAR Part 135 requires that in order to conduct charter flights, the air carrier must have exclusive possession, command and control of the aircraft when it is operated under FAR Part 135. Many air carriers have long attempted to fulfill the “possession” requirement by putting in place a charter lease with the owner. However suitable a lease agreement might be for this purpose, it is not required. For aircraft not owned by the air carrier, Section (d)(2)(b) of OpSpec A008, Appendix B, states that the air carrier satisfies the possession requirement if the aircraft is “…(b) Leased …or otherwise in the legal custody of the [air carrier] and remains in the [air carrier’s] exclusive possession or custody during all of its Part 135 flights.” [Emphasis supplied.]

www.AvBuyer.com

With careful consideration of FAR Part 135 and the indicia of what constitutes a lease under applicable tax law, an experienced aviation tax specialist should be able to craft a form of agreement which transfers to the air carrier FAR-sufficient possession of the aircraft and which meets other Part 135 requirements relating to exclusive command and control and other relevant matters, but which does not constitute a lease for tax purposes. We have successfully accomplished this to the satisfaction of numerous charter companies, large and small.

❯ Rex E. Reese, Esquire, specializes in Business Aviation matters and has handled over 1,000 purchase, sale and financing transactions for highly demanding clients worldwide. Rex has been published in numerous business, finance, taxation and aviation periodicals and is respected as one of Washington's leading tax lawyers. He can be contacted via rreese@jetviser.com; www.jetviser.com; +1703.842.8000.

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JETNET >>KNOW MORE

Retired Business Jet Fleet: Has the recession influenced the retirement rate of business jets? by Michael Chase & Marj Rose s much as we all want the recession to truly be over, we continue to want to learn more about how the pre-recession market compares to where we are now. When we last reported on the retired aircraft segment in October 2010, we looked more at the ‘Survivor’s curve’ by make and model. In this JETNET >>KNOW MORE update, we outline the current trends of retired business jets and draw some interesting comparisons to pre-recession times. Even during the recession, which lasted 18 months (December 2007 to June 2009) as reported by the US Bureau of Economic Analysis (BEA), the business jet in-service fleet continued to increase - so production of new aircraft (as slow as it seemed) continued to outpace the retired inventory. Depicted in Table A (right), the total number of retired business jets increased over the last ten-year period from 1,123 to 2,018 (895 additional airframes as of the end of 2013). These retired business jets now represent 9.1% of the total fleet. The compounded average growth rate (CAGR) for retired business jets over the past ten years is 6%. During this same ten-year period the total business jet fleet grew from 14,363 to 22,109 (or by 7,746 units). The CAGR is 4.4% over this ten year period. Thus, the ratio of business jets being added vs those retired is almost 9:1.

RETIREMENT BY AGE When we start to look closer at the business jet retirement numbers by age over the last ten years and compare the trends of the pre-recession years (2004-2007) to the post-recession years (2009-2013), some interesting trends emerge. Of the total 895 business jets retired since 2004, 500 or 56% were retired during the

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TABLE A - FLEET RETIREMENTS (2004 - 2013) TABLE A – FLEET RETIREMENTS (2004-2013) Business Jet Fleet - ALL (Cumulative Totals)

Post-Recession

Recession 18 Months December 2007 to June 2009 Pre-Recession

As of Month/ Year 12/31/2013 12/31/2012 12/31/2011 12/31/2010 12/31/2009 6/30/2009 12/31/2008 12/31/2007 12/31/2006 12/31/2005 12/31/2004

Fleet Size

Aircraft

22,109 21,353 20,781 20,257 19,459 19,081 18,623 17,201 15,972 14,975 14,363

613 563 619 745 780 881 913 729 551 381 445

2013/2010 3,028 2007/2004 2,838

-268 284

post-recession period. This breaks-down to an average of 91 retired business jets per year in the post-recession vs a 69 unit average in the pre-recession years. Table B (opposite) he age groups 31–40 and 41-50 unsurprisingly accounted for 83% of all business jet retirements over our ten-year period, including the years during the recession. Also noteworthy is the pronounced spike in average retirements per year during the recession (162) and post-recession (158) periods as compared to the pre-recession period when the average was just 96 retirements per year.

WEIGHT CLASS Table C (opposite) offers a view of retired business jets by weight class. So what is the www.AvBuyer.com

Percentage

Aircraft

Percentage Aircraft Percentage

In Production In Production In Operation In Operation Retired 2.8% 2.6% 3.0% 3.7% 4.0% 4.6% 4.9% 4.2% 3.5% 2.5% 3.1%

19,478 18,897 18,405 17,872 17,118 16,682 16,240 15,073 14,104 13,369 12,795 2,796 2,278

88.1% 88.5% 88.6% 88.2% 88.0% 87.4% 87.2% 87.6% 88.3% 89.3% 89.1%

Retired

2,018 1,893 1,757 1,640 1,561 1,518 1,470 1,399 1,317 1,225 1,123

9.1% 8.9% 8.5% 8.1% 8.0% 8.0% 7.9% 8.1% 8.2% 8.2% 7.8%

500 276

91 avg per yr 69 avg per yr

average age of the retiring business jets, and does it differ by weight class? For all business jets retired over the last ten years the average airframe age at the time of retirement was 33.2 years. But that age value was not consistent across all ten years. During the actual recession years of 2008/2009 the average retirement age increased to a about 36 years old, much older than both the pre- and post-recessionary periods when the average age for retired business jets was approximately 31 and 34 years old respectively. Over the full ten-year period Table C shows that Medium Weight Class jets were held inservice to about age 35 (34.7 years) and the Light Weight Class to age 33 (32.7 years). But during this time the Heavy Weight Class saw Aircraft Index see Page 4

JetNet Dec13_PAMA interview November06 21/01/2014 10:20 Page 2

TABLE B - FLEET RETIREMENTS BY AGE (2004-2013)

JETNET >>KNOW MORE TABLE B B- - FLEET RETIREMENTS BY AGE (2004 - 2013) TABLE FLEET RETIREMENTS BY AGE (2004-2013) Businesss Jets 2004 2005 2006 2007 2008 AGE RANGE Age 1-10 1 2 2 Age 11-20 5 6 4 5 9 Age 21-30 5 4 6 7 7 Age 31-40 47 38 43 29 59 Age 41-50 75 48 29 27 114 Age over 50 2 2 TOTAL JETS RETIRED 134 96 83 70 193

2010 to 2013 2008 to 2009 2004 to 2007

Total 632 323 383

Avg 158 162 96

2009 2010 2011 2012 2013 Total 1 1 13 37 78

12 5 5 6 34 8 4 12 9 63 12 10 32 24 120 81 64 76 73 547 84 37 35 41 568 1 1 6 130 198 121 160 153 1,338

% 3% 5% 9% 41% 42% 0% 100%

Post-Recession Recession Pre-Recession

TABLE C C-– FLEET RETIREMENTS BY(2004-2013) WEIGHT (2004 - 2013) T ABLE FLEET RETIREMENTS BY WEIGHT Business Jets Average Retirement Age by Weight Class 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 27.8 34.0 28.5 31.0 23.1 36.8 32.4 34.2 30.9 33.7 32.4 32.0 32.8 34.8 37.5 37.6 34.9 35.3 33.7 35.7 32.6 30.2 29.8 28.9 33.9 37.1 33.9 34.7 32.5 32.9 31.9 31.2 30.7 30.5 35.7 36.8 33.7 34.4 32.6 34.1 Recession Pre-Recession 2004 to 2007 Post-Recession 2010 to 2013 Weight Class 30.3 Heavy TABLE C – FLEET RETIREMENTS BY WEIGHT (2004-2013) 32.8 33.0 34.9 Medium 30.4 33.5 Light 31.1 33.7 AVERAGE AGE

10 yr Avg 31.2 34.7 32.7 33.2

Weight Class Heavy Medium Light AVERAGE AGE

Change Yrs 2.5 1.9 3.1 2.7

TABLE D – FLEET RETIREMENTS BY CAUSE (2004-2013)

TABLE D - FLEET RETIREMENTS BY CAUSE (2004 - 2013) Business Jets Count 1,046 223 210 181 148 74 58 37 30 7 3 1 2,018

% 51.8% 11.1% 10.4% 9.0% 7.3% 3.7% 2.9% 1.8% 1.5% 0.3% 0.1% 0.0% 100.0%

Causes - Retired Aircraft Written Off - Parted Out Written Off - Damage Written Off Withdrawn From Use Written Off - Accident Withdrawn from Use – Tech School Withdrawn from Use - Display Withdrawn From Use - Stored Written Off - Acts of God * Written Off - War Casualty Abandoned Stolen TOTAL

Business Turboprops Count 882 33.5% 553 21.0% 321 12.2% 253 9.6% 397 15.1% 64 2.4% 24 0.9% 44 1.7% 34 1.3% 2 0.1% 2 0.1% 54 2.1% 2,630 100.0%

Turbine Helicopters Count 297 6.9% 44 1.0% 270 6.2% 1,991 45.9% 1,599 36.9% 11 0.3% 36 0.8% 20 0.5% 55 1.3% 3 0.1% 0 0.0% 9 0.2% 4,335 100.0%

TABLE E - FLEET RETIREMENTS BY CATEGORY (2004 - 2013) Type Fleet Size In-operation Retired % of fleet Jet Airliners * 33,249 24,742 8,466 25.5% Turboprops ** 29,200 21,366 6,860 23.5% Turbine Helicopters 24,889 19,869 4,335 17.4% Business Jets 22,109 19,478 2,018 9.1% Piston Helicopters 12,566 9,560 2,484 19.8% Piston Aircraft (partial) 6,090 5,129 919 15.1% Grand Total 128,103 100,144 25,082 19.6% * excludes commercial airliners on order and in storage

retirements two to four years earlier with an average retirement occurring at about age 31 (31.2 years). The second portion of Table C compares pre-recession to post-recession retirements by weight class. Again we can see a stark change in the behavior of older jet operators who were inclined to hold jets in-service across all weight classes some 2.5 years longer in the post-recession (33.7 years) vs. the pre-recession when the average business jet was parked for the last time at age 31 (31.1 years). In the post-recession, Medium Weight Class business jets reign supreme on seniority being held in service some 35 years (34.9) on average until retirement. But the most dramatic change of operator behavior is seen in the Light Weight Class where aircraft are held in service today on average three years - or 10% - longer than they were during the pre-recession period. This could be indicative of a retirement cycle due for both the Medium and Light Weight classes.

CAUSES FOR RETIREMENT Table D (left) shows the causes of the 2,018 business jet retirements over the last ten years. More than 50% were Parted Out followed by 11% citing ‘Damage’ as a reason for having retired the aircraft. Also, included are the causes of Business Turboprops and Turbine Helicopter retirements. Business Turboprops have a high incidence of being stolen. As many as 82.8% Turbine Helicopters are retired due to being ‘withdrawn from use’ and ‘written-off’ from accidents.

RETIREMENTS – ALL TYPES Table E (left) presents the various categories of aircraft researched by JETNET for comparison of overall Fleet Size, Airframes In-service and Airframes Retired as of December 2013. Business jets by far have the lowest percentages of retired airframes at just 9.1% of the total fleet. The average retired fleet percentage of all categories combined is 19.6%. As shown in Table F (overleaf), there are today 3,719 airframes (19.1%) of the active business jet fleet that are 30-plus years old. Of those 3,719 aged airframes, 685 (28.1%) are now ‘For Sale’. Interestingly, this is nearly the same as the 1–10 year old category (642, or 26.4% ‘For Sale’) and 11–20 year old category (647, or 26.6% ‘For Sale’). JETNET data shows that for business jets, 30-plus years of age marks an inflection point where the greatest percentage increase of retirements occur. ❯

Source: JETNET

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JETNET >>KNOW MORE SUMMARY We have determined as part of a market correction process that there was an increase in business jet retirements during the recession and post-recession years. Also evident is that business jet retirements in the post-recession period occurred at an average airframe age some 2.7 years older than were the jets retired in the pre-recession period. So the overall impact of the recession on the aged business jet segment has been that these airframes are being retired in greater overall numbers while also being held in-service some two-to-three years longer than they were prior to the recession. Also evident from our research is that business jets as a category of aircraft show the lowest percentage of overall fleet retirements (9.1%) as compared to business turboprops, helicopters and commercial airliners. Record numbers of ‘For Sale’ aircraft flooded the Pre-Owned market during the recession of 2008/09, impacting aircraft values, and no doubt prompting the retirement of some of the oldest in the aging fleet. As this natural process of attrition unfolds, OEMs are ready and eager to fill the void with a long line of more efficient and state-of-the-art models.

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TABLE F - FLEET SIZE BY AGE GROUP T ABLE F

NEW/USED Business Jets MAKE

MODEL

ALL JETS - Dec. 2013 Percentage of Total

TOTAL AIRCRAFT ALL YEARS ACTIVE FOR % FOR FLEET SALE SALE 19,485 2,435 12.5% 100.0% 100.0%

❯ For more information: • Michael Chase is president of Chase & Associates, and can be contacted at 1628 Snowmass Place, Lewisville, TX 75077; Tel: 214-226-9882; Web: www.mdchase.com • JETNET can be contacted at 101 First Street, Utica, NY 13501; Tel: 800-400-2298; Web: www.jetnet.com * You can follow

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0 - 10 YEARS 11 - 20 YEARS 2013 to 2004 2003 to 1994 ACTIVE FOR % FOR ACTIVE FOR % FOR FLEET SALE SALE FLEET SALE SALE 8,156 642 7.9% 5,191 647 12.5% 41.9% 26.4% 26.6% 26.6%

21 - 30 YEARS 1993 to 1984 ACTIVE FOR % FOR FLEET SALE SALE 2,419 461 19.1% 12.4% 18.9%

30 PLUS YEARS 1983-BACK ACTIVE FOR % FOR FLEET SALE SALE 3,719 685 18.4% 19.1% 28.1%

JETNET on Twitter at www.twitter.com / JETNETLLC • Marj Rose is president of MarketLift, Inc. and can be contacted at P.O. Box 595036 Dallas, TX 75359; Mob: 214-862-8992, Web: www.market-lift.com

❯ Do you have any questions or opinions on the above topic? Get them answered/published in World Aircraft Sales Magazine. Email feedback to: editorial@avbuyer.com

Aircraft Index see Page 4

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MarketIndicators Feb14_Layout 1 21/01/2014 14:21 Page 1

Market Indicators ARG/US View BizAv Flight Activity - US & Canada TRAQPak data indicates that December 2013 flight activity decreased slightly from November 2013, to finish the period down -0.2% overall; a significant improvement over the typical December decline (for 2010– 2012) of -6.0%. Part 135 and fractional flight activity posted month-over-month increases of 7.0% and 5.0% respectively. The Part 91 market posted a month-over-month decrease of -5.7%, however. Aircraft category results were mixed for the month with turboprops posting the largest decrease, down -2.7% from November. Small cabin jets posted a decline of -1.3%, while mid-size and large cabin jets posted monthly gains of 2.5% and 2.0% respectively. The largest month-over-month increase was an 18.3% rise in the Part 135 large cabin market. Reviewing flight activity year-over-year (December 2013 vs. December 2012), TRAQPak data indicates that December 2013 posted an increase of 5.1%. The results by operational category showed a rise of 13.4% for the Part 135 market. The Part 91 market recorded its first-year-over year rise since October 2012, up 1.6%. The fractional market was down -0.8%. Looking at activity by aircraft category,

December 2013 vs November 2013 P art 91 P art 135 December T urboprop 2013 vs November -6.1% 2013 2.9% S mall Cabin Jet -5.5% 2.6% M id-Size Jet -4.5% 11.8% L arge Cabin Jet -7.2% 18.3% A ll Combined -5.7% 7.0%

F ractional 3.3% 7.4% 2.7% 13.1% 5.0%

A ll -2.7% -1.3% 2.5% 2.0% -0.2%

F ractional -53.5% 19.8% 3.4% 21.1% -0.8%

A ll -3.3% 8.3% 7.4% 15.9% 5.1%

December 2013 vs December 2012 D ecember 2013 vs December 2012 P art 91 P art 135 T urboprop -1.5% 3.2% S mall Cabin Jet 1.4% 15.8% M id-Size Jet 1.0% 20.2% L arge Cabin Jet 11.0% 23.6% A ll Combined 1.6% 13.4%

the large cabin jet segment continued its recent growth trend, up 15.9%; all three large cabin segments posted a double-digit gain year-over-year. Mid-size and small cabin jets finished the period up 7.4% and 8.3% in that order. The turboprop industry posted a yearover-year decrease of -3.3%.

Market Indicators - February 2014

The largest growth for an individual segment occurred in the large cabin Part 135 market, with an increase of 23.6%. Comparing January-December 2013 with the same period in 2012, flight activity saw an overall year-over-year decrease of -0.3% (in 2013).

/ More from www.argus.aero

WINGX View Business aircraft traffic in Europe in December climbed by 2.4 percent year-over-year, logging 42,623 departures, according to the latest data from WingX Advance. “This was a welcome change to declines through most of the year, with 2013 activity down two percent overall from 2012,” WingX said. Despite the increase from a year ago, flight activity in December was the secondlowest in the month of December since 2006. Activity was buoyed by a six percent in-

crease in private flights, while charter flights fell by one percent, maintaining this segment’s “steady downward trend” throughout 2013. Business aircraft flights rose in several major markets, including the UK, Italy and France - but declined in Germany, Turkey and Russia. For the full year, bright spots included Spain, Ukraine and the Benelux countries. There was increased activity in December for flights headed to Europe from

Market Indicators - February 2014 Advertising Enquiries see Page 8

North America, the Middle East and Asia. Over the year, activity from West Africa and Central Asia slowed but accelerated from India and China. According to WingX managing director Richard Koe, the popularity of ultra-longrange jets throughout 2013 showed no sign of slowing down. “Together with niche demand for super-midsize and very light jets, this activity will lead on the overall market recovery we expect in 2014.”

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BizAv Flight Activity - Europe

/ More from www.wingx-advance.com

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Static Display of Aircraft, Exhibits and Education Sessions – One Day Only, In Your Backyard!

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MarketIndicators Feb14_Layout 1 21/01/2014 14:23 Page 2

Market Indicators

JP MORGAN View 2013 should mark a bottom, but recovery is unclear... The business jet monthly update from JP Morgan released in January 2014 indicates that 2013 should mark a bottom, but the path of recovery is unclear. JP Morgan estimates that there were 650 business jet deliveries last year, which would represent a 43% decline over five years, and forecasts that deliveries in 2014 should be up by about 10%, with help from new and upgraded platforms, including three from Cessna. Nonetheless, demand remains weak, and JP Morgan’s confidence in a recovery is based on leading indicators such as falling used inventory (especially among young jets); accelerating flight ops growth; and faster GDP growth (including in the US, which is by far the largest business jet market). More concrete signals such as orders have yet to emerge (except from Bombardier fleet customers). Following is a summary: December used market data were consistent with full-year 2013 trends… Falling inventories and sliding prices were a recurring theme last year, and December more or less fit the bill. However, the inventory decline in December was broad based, as inventories fell across all OEMs. Price declines were more concentrated among heavier jets. JP Morgan believes the inventory down/pricing down phenomenon is seller capitulation and a blow-off bottom for the market, which it sees

as a positive that should bring the used market toward equilibrium. Pricing for Light jets has been relatively stronger recently, perhaps indicating that the worst is finally behind us in this part of the market. JP Morgan views price stabilization as an important condition for a recovery, and we are not yet there for the overall market. Used jet inventory fell by 40 bps month-over-month in December… Aircraft for sale reached 9.2% of the fleet and dropped by 90 bps over 2013. Heavy jets drove the December decline, with eight of nine models falling for an aggregate decline of 70 bps. Light jet inventory was down 50 bps and Medium jets were up 10 bps. The “Toddler and pre-K” inventory (the 0-5 years old fleet) fell another 50 bps and is now down 220 bps from last year. Note: JP Morgan’s inventory numbers for in-production models exclude aircraft produced by the former Hawker Beechcraft. Average asking price decreased 1.6% month-over-month... Heavy jet pricing fell 1.6%, partially offset by an increase of 0.6% for Light jets, which are up 2% over the last three months. Light jet pricing is holding up better than Heavy jets recently, a striking contrast in the context of stronger demand for new Heavy jets.

Market Indicators - February 2014

Flight operations improvement stalled in November… The FAA reported that US flight ops decreased by 1.5% year-over-year in November, but they are still up 1.7% YTD. European flight ops were up 0.8% in December, but fell 2.4% in 2013. / More from www.jpmorgan.com

AMSTAT View Pre-owned bizjet prices stabilized in 2013 still incomplete, “Indications were that the resale retail transaction activity in this market would be up over 2012,” Amstat said. As of November, 3.5 percent of the active Light jet fleet had been sold versus 2.4 percent in 2012. Meanwhile, the Midsize jet market was a “poor performer” last year, with average asking prices decreasing 16 percent for aircraft younger than 10 years and nine percent in the more than 20-yearold segment. In contrast, asking prices in the 10- to 20-year-old Midsize jet segment climbed 6 percent. Inventory of pre-owned Midsize jets, however, rose three percent

Market Indicators - February 2014 Advertising Enquiries see Page 8

last year, according to Amstat. Amstat said the “surprise trend” last year was the 16-percent increase in average asking prices among the older pre-owned Large-cabin jets, while prices for younger (under 10 years old) jets fell by five percent. As with most other segments, the number of Large-cabin jets on the market shrunk last year, down 11 percent, five percent and 16 percent in the less than 10-, 10–to-20- and more than 20-year segments, respectively. Resale retail transactions for this segment last year appeared to be “on par” with 2012, Amstat noted.

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After pre-owned business aircraft asking prices peaked in early 2008 and then plunged in 2009, the rate of decline slowed last year in most market segments, leveled off in others and even increased in one, according to market data released last month by Amstat. Continuing recent trends, the lower-end of the market suffered while the higher-end fared better. Last year, average asking prices for used light jets fell, with aircraft older than 20 years seeing the most dramatic change, experiencing an 11-percent drop in pricing. Though full-year data for 2013 is

/ More from www.aso.com

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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201 01 14 4

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MarketIndicators Feb14_Layout 1 22/01/2014 09:31 Page 3

Market Indicators

ASSET INSIGHT View Update on In-Service Aircraft Technical Condition & Price Maintenance status for the 73 models and 1,540 turbine aircraft listed ‘For Sale’, researched on November 30, evidenced the following changes since the October analysis: • Maintenance Condition (ATC Score): Another degradation in the Technical Condition of assets listed ‘For Sale’, with the ATC Score falling 9.5 AI2 basis points to 5.279 but remaining above the MidTime/Mid-Life 5.000 level – on the ATC Score scale of -5 to 10. • Financial Condition (ATFC Score): The average Asset Technical Financial Condition Score degraded by 4.3 AI2 basis points, registering 5.027 – just above the Mid-Time/Mid-Life 5.000 level – on the zero to 10 ATFC Score scale. • Financial Exposure (ATFE Value): Asset Technical Financial Exposure Value (accrued/future maintenance expense) degraded by nearly $28k, raising the average aircraft’s Exposure to over $1.268 Million. While Maintenance and Financial Condition Scores have slipped from the peak figures recorded in September, the average asset quality for pre-owned turbine aircraft listed ‘For Sale’ continues to be good. The average Financial Exposure Value was also negatively impacted, rising to $1.268 Million - equal to January’s figure - but was substantially lower than the July peak of $1.656 Million (Table A). Large jet figures reflected the best asset quality among all groups this month, Small jets

Table A

Table C

Table B

Table D

came in second, Medium jets third, while Turboprop asset quality, although improved, still rated last.

tracked by Asset Insight remained relatively flat, at 39.4% versus last month’s 39.3% (see Table C).

Maintenance Exposure vs. Ask Price Ratio (“ETP Ratio”) Spread in the Exposure to Price Ratio (Technical Financial Exposure Value divided by aircraft Ask Price), achieved its narrowest 2013 range in our November survey: 2.1% to 206.1% (Table B). Of the aircraft listed ‘For Sale’, 24.7% (versus last month’s 23%) generated an ETP Ratio of 40% or more. We consider anything over 40% to represent excessive Maintenance Financial Exposure in relation to the aircraft’s Ask Price. The weighted average for models

Market Outlook In view of this month’s slight inventory reduction (32 aircraft) for the models we track, and the slight Overall Market reduction in asset quality, we believe some Buyers seeking quality aircraft at a good price have made their selection. We also believe quality assets are still available. However, Ask Prices rose for most groups during the past 30 days (Turboprops remained unchanged) so Buyers waiting for “better value” may not be pursuing a realistic strategy (Table D).

Market Indicators - February 2014

/ More from www.assetinsightinc.com

Coming Soon Asian Sky Group Greater China Fleet Reports... Asian Sky Group (ASG) will publish its industry leading annual “Greater China Civil Helicopter Fleet Report” and “Greater China Business Jet Fleet Report” during February and April, respectively, with up-todate figures for the 2013 calendar year-end. The “Greater China Civil Helicopter Fleet

Report” will be published in conjunction with HAI (February 24–27, 2014) while the “Greater China Business Jet Fleet Report” will be published in conjunction with ABACE scheduled for April 15–17, 2014 in Shanghai, China. Hard copies of each report will be available at these show venues, while

Market Indicators - February 2014

electronic versions can be obtained by visiting ASG’s website. Preliminary 2013 yearend fleet numbers will be presented by Jeffrey C. Lowe, General Manager of ASG, at the International Corporate Jet and Helicopter Finance Conference at the Royal Garden Hotel in London (February 4 – 6 , 2014). / More from www.asianskygroup.com

CORRECTION In the article ‘Market Forecasts’ within this section of the December 2013 edition, the size of JETNET iQ’s survey sample was Advertising Enquiries see Page 8

inadvertently mis-stated. In fact, JETNET iQ’s forecast is based on data from more than 2,000 respondents in more than 100 www.AvBuyer.com

countries collected over a 12-month period. World Aircraft Sales Magazine regrets the error. WORLD AIRCRAFT SALES MAGAZINE – February 2014

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BusAviationNewsFeb14_Layout 1 21/01/2014 14:30 Page 1

BizAv Round-Up

02.14

NEWS ROUND-UP Airbus Group started construction of its new Office Campus at Toulouse airport in Blagnac, France, with a ground-breaking ceremony led by CEO Tom Enders. Over 1,500 people will eventually work on the Campus which will include the Group Headquarters. “One Group, one Headquarters at one location finally becomes reality," Enders noted.

/ More from www.airbus-group.com

/ More from www.associated.aero

Avjet Corporation announced that Avjet Asia and Korea Airport Corporation (KAC) will open an FBO in Seoul, South Korea. KAC announced that Avjet Asia has a multi-year contract to manage the FBO, which is scheduled to break ground in February 2014 and commence operations in October 2015. Avjet Asia was one of the first private aviation companies to recognize the importance of forging aviation partnerships in Korea, home of Samsung, LG, Hyundai, SK Group and other multi-national corporations, as well as other Asian markets. Because each nation has its own unique market dynamics, business travel culture, and regulatory requirements, Avjet Asia relied on guidance from KAC and its leader, President Kim, during the development of plans for the new FBO. / More from www.avjet.com

Bombardier received a firm order for 38 Bombardier business aircraft, including 28 Global business jets and 10 Challenger 605 business jets, from an undisclosed customer valued at approximately $2.2 billion US. / More from www.bombardier.com

Cessna has celebrated the first deliveries of the Citation M2 and Citation Sovereign+. The Citation M2 has a maximum cruise speed of 400 knots true airspeed and a range of 1,300 nautical miles. The new Citation Sovereign+, whose name now includes a “+” to more clearly differentiate it from its predecessor, brings increased range, updated technologies and enhanced performance to the company’s established Citation Sovereign. / More from www.cessna.com Advertising Enquiries see Page 8

TIP-TO-TAIL FOR G280 JSSI BUILDS ON STRONG GULFSTREAM COVERAGE  Jet Support Services, Inc. (JSSI) has launched its Tip-to-Tail Program for the Gulfstream G280 business jet. As the only provider in the industry to offer Engine, Airframe and APU coverage through one comprehensive maintenance program, JSSI is the single source solution for G280 owners. “This is another example of our JSSI team working hard to design a

Tip-to-Tail program for aircraft right off the production line,” commented Kevin Thomas, Senior Vice President, Business Development & Strategic Planning for JSSI. “There are a few dozen G280 aircraft in operation right now, with many more to come, so this is a perfect time to introduce our unique program. We are the only single source maintenance program solution and anticipate

Dassault Aviation recently approved Air Alsie of Denmark as a Dassault Falcon Authorized Line Maintenance Service Center. Air Alsie is a leading Falcon operator and is equipped with 33,500 square feet of hangar, shop and storage space. Air Alsie will provide scheduled and unscheduled maintenance for the top-of-the-line Falcon 7X and various Falcon 2000s - initially to EASA-registered aircraft. / More from www.alsie.com

Embraer Executive Jets’ Legacy 450 recently made a successful first flight. Test pilots Eduardo Camelier and Eugênio Cará, supported by flight test engineer Carlos Kobayashi, flew the aircraft for 1 hr 35 mins, conducting the evaluation of handling and performance characteristics. The maiden www.AvBuyer.com

providing our valuable service to many new G280 customers,” added Thomas. Established as the industry standard for full coverage aircraft maintenance programs, JSSI has worked with Gulfstream owners and operators for nearly 25 years. Today, JSSI offers Tip-toTail coverage for 165 different models. / More information from www.jetsupport.com

flight covered a significant range of the flight envelope and allowed for a variety of inflight systems tests. Capt. Camelier summarised, “The full fly-by-wire system with side stick flight controls made the flight very smooth. With the advanced avionics suite, the aircraft operation was very easy and intuitive.” / More from www.embraerexecutivejets.com

Greenpoint Technologies, a premier VIP completions center for Boeing Business Jets (BBJ), signed a second 787 VVIP completion contract with a confidential customer. Greenpoint has invested much time and care using its resources to get to know this airplane, and has spent over five years learning about the airplane through visits to the factory. / More from www.greenpnt.com WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Associated Air Center (AAC) was awarded a new custom interior completion contract for a green Boeing 787-8 BBJ. The aircraft interior is already under full design review. AAC has also kicked off detailed planning, staffing, training and facilitization in anticipation of the green aircraft's delivery from Boeing in mid-2014.

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BizAv Round-up Gulfstream recently passed the first anniversary since the first customer delivery of the G650. The company has since delivered nearly 50 G650 aircraft to customers. Meanwhile, Gulfstream is to expand its aircraft service and support organization by adding a new worldwide Product Support Distribution Center (PSDC). The new building, expected to be completed early next year will consolidate the company’s worldwide material distribution departments, which are currently housed in several warehouse buildings near the main Gulfstream campus. / More from www.gulfstream.com

Honda Aircraft received a FAA Type Inspection Authorization (TIA) certificate for the HondaJet and has certified Honda Aircraft Company’s customer service facility as a Part 145 repair station. Type Inspection Authorization signifies that the HondaJet meets type design requirements and is ready for FAA pilots to perform onboard flight tests required for certification. / More from www.HondaJet.com

IntelliJet Group, LLC (dba IntelliJet International) has won the suit filed against it in January 2012 by NetJets Inc. In a Summary Judgment decision dated December 19th, 2013, U.S. District Court Judge Gregory L. Frost ruled in favor of IntelliJet, essentially ending a nearly two-year legal fight in which IntelliJet defended its corporate identity against the Warren Buffet company. In addition to upholding IntelliJet’s right to continue offering its services under the name IntelliJet, Judge Frost also ordered that NetJets trademark for its IntelliJet software be cancelled on the basis of abandonment. NetJets’ IntelliJet software is only used internally to provide services to the Columbus private jet company’s clients, and has never been placed in “use in commerce”. Gary Spivack, Executive Director IntelliJet International, was surprised when he first learned of the lawsuit filing in January 2012. He expressed his annoyance for all the stress he and his family suffered during the past two years, and for the enormous expense incurred to defend the company brand. “We felt it was the right thing to do and in the end, we prevailed. Considering all we’ve been through, it is satisfying to know that NetJets trademark for its IntelliJet software program has been cancelled,” he said. / More from www.intellijet.com

Jetex Flight Support began operations in Turkmenistan, effective last month. This new addition to Jetex's extensive network of locations with local presence is aimed to enhance 124

WORLD AIRCRAFT SALES MAGAZINE – February 2014

DUNCAN’S FALCON MAGIC SECOND UNIVERSAL EFI-890R RETROFIT IN A FALCON 900B  Duncan Aviation has completed its second Falcon 900B project with Universal Avionics’ EFI-890R cockpit retrofit upgrade installed. The aircraft also showcases a newly designed interior, paint and fully digital Rockwell Collins Venue cabin management and entertainment system. The EFI-890R cockpit upgrade replaces 25 older instruments and significantly improves reliability and situational awareness of the aircraft. Replacing only the most critical components to maximize upgrade efficiency, this straightforward solution provides significant

weight and power savings, increases reliability and reduces maintenance costs. Consequently, the operator should realize less downtime and experience maintenance cost savings while receiving the benefits of the latest advancements in avionics technology. The avionics suite includes five high-resolution Universal EFI-890R Advanced Flight Displays, with Engine Interface Units that replace the analog gauges. Dual Universal UNS-1Fw Flight Management Systems provide Wide Area Augmentation System/Localizer Performance with

Vertical Guidance capability. Dual Vision-1 computers provide Synthetic Vision and dual Application Server Units support procedural checklists, electronic documents, Present Position of aircraft on approach plate overlays and an Enhanced Vision Infrared Camera System. In addition to the cockpit upgrade, Duncan completed several interior upgrades, including installation of the Rockwell Collins Venue cabin system. Duncan also installed new winglets prior to painting the aircraft. / More information from www.duncanaviation.aero

the company's service offering at the major airports of Turkmenistan – Ashkhabad (UTAA), Turkmenbashi (UTAK) and Turkmenabad (UTAV).

Products and Services companies also joined the organization, including Avfuel Corp., Guggenheim Partners, Landmark Aviation and NetJets Inc.

/ More from www.jetex.com

/ More from www.naraaircraft.com

The National Aircraft Resale Association (NARA) welcomed two

Rockwell Collins successfully completed

new Broker/Dealers – including Corporate Fleet Services and Exclusive Aviation/Fargo Jet Center to its membership. Four new

www.AvBuyer.com

the acquisition of ARINC Incorporated from The Carlyle Group for $1.4 billion. The acquisition represents an exciting new growth platform for Rockwell Collins and shifts the balance of the company toward the expanding Commercial Aviation sector. / More from www.rockwellcollins.com

Aircraft Index see Page 4

BusAviationNewsFeb14_Layout 1 22/01/2014 11:22 Page 3

BizAv Arrivals

DICK KOENIG

BRUCE MARSHALL

ALLAN McARTOR

DAVID PEARMAN

Dick Koenig former publisher of Flying magazine, has been named executive director of the Corporate Angel Network (CAN), the organization that arranges free flights for cancer patients to treatment centers using empty seats on business jets. He replaces Peter H. Fleiss who announced his retirement. Bruce Marshall is welcomed by the AIC Title Service team as General Counsel, helping ensure that AIC’s clients and leadership are protected as they move through unprecedented FAA and industry changes. He brings more than 20 years’ experience in aviation legal matters, specialising in contracts, regulations and litigation and most recently served as Sr. Director and Division General Counsel of Bombardier’s Flexjet fractional program.

Allan McArtor succeeds Sean O’Keefe as chairman and CEO of Airbus Group, Inc, the company’s North American business unit. Currently, Chairman of Airbus Americas, McArtor will officially take over on 1st March when O’Keefe resigns. In his new capacity, McArtor will be a member of the Airbus Group executive committee.

William (Bill) L. McNease has been appointed vice president of Flight Operations and director of Flight Operations on behalf of Priester Aviation. Craig Olson has been named, vice president and general manager, Business and Regional Systems on behalf of Rockwell Collins. He succeeds Jeff Standerski, who was recently named senior vice president, Information Management Services.

BRIAN SCHANK

REMY ST-MARTIN

BILL STINE II

David Pearman is appointed general manager by Gulfstream for its service center in West Palm Beach, Florida. Pearman had served as general manager of Gulfstream’s component repair facility in Lincoln, California, since January 2008.

Fabio Rebello has been appointed regional senior vice president, International Sales, Florida and Latin America, at Gulfstream. Brian Schank joins Elliott Aviation as vice president, Sales & Marketing. In his new position, Brian will be responsible for leading all sales and marketing efforts for Elliott Aviation’s aircraft maintenance, repair and overhaul operations in Moline, IL, Des Moines, IA and Minneapolis, MN. He joins Elliott after 25 years with Gulfstream (including 10 years with KC Aviation).

Remy St-Martin was recently appointed senior director, Customer Experience at Dassault Falcon Jet. St-Martin will oversee a wide range of departments and activities within the Dassault Falcon Jet customer service organization. He will report to Geoff Chick, vice president Customer Service.

William H. "Bill" Stine II - long-time director of international operations for the National Business Aviation Association (NBAA) - retired last month after nearly 35 years of service. Since joining NBAA in 1979, Stine has been the Association's resident expert on international Business Aviation communications, navigation and surveillance issues.

BizAv Events 2014 Events in RED indicate Business Aviation related.

AIRCRAFT INTERIORS MIDDLE EAST (AIME) NBAA: BUSINESS A/C FIN-REG-LEGAL CONF SINGAPORE AIRSHOW US CORPORATE AVIATION SUMMIT NBAA: LEADERSHIP CONFERENCE HAI HELI-EXPO AVIONICS INTERNATIONAL ABU DHABI AIR EXPO WOMEN IN AVIATION CONFERENCE AEA (AIRCRAFT ELECTRONICS ASSOCIATION CONVENTION) INDIA AVIATION 2014 NBAA: INTERNATIONAL OPERATORS CONFERENCE BUSINESS AIRPORT WORLD EXPO BUSINESS JET INTERIORS AVIATIONPROS LIVE FIDAE

Advertising Enquiries see Page 8

If you would like your event included in our calendar email: sean@avbuyer.com

Feb 5 - 6 Feb 6 – 7 Feb 11 - 16 Feb 14 Feb 19 – 20 Feb 24 – 27 Mar 4 - 5 Mar 4 - 6 Mar 6 – 8 Mar 12 – 15 Mar 12 – 16 Mar 17 – 20 Mar 19 - 20 Mar 19 – 20 Mar 25 – 26 Mar 25 – 30

www.AvBuyer.com

Dubai World Trade Centre, UAE / www.aime.aero St. Petersburg, FL, USA / www.nbaa.org Changi Center, Singapore / www.singaporeairshow.com.sg Miami, FL, USA / www.aeropodium.com Atlanta, GA, USA / www.nbaa.org Anaheim, CA, USA / www.rotor.com/heliexpo Abu Dhabi, UAE / www.avionics-event.com Abu Dhabi, UAE / www.adairexpo.com Orlando, FL, USA / www.wai.org Nashville, TN, USA / www.aea.net Hyderabad, India / www.india-aviation.in Tampa, FL, USA / www.nbaa.org Farnborough, UK / www.businessairportworldexpo.com Farnborough, UK / www.businessjetinteriors.com Las Vegas, NV, USA / www.aviationproslive.com Santiago, Chile / www.fidae.cl

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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D E D I C AT E D T O H E L P I N G B U S I N E S S A C H I E V E I T S H I G H E S T G O A L S .

NBAA INTERNATIONAL OPERATORS CONFERENCE MARCH 17 – 20, 2014

TAMPA, FL

Dedicated to Ensuring that Operators Fly Overseas Safely, Securely, Efficiently and Legally The single best source for operational, regulatory and real-life information that is critical to anyone involved in business aircraft planning, operations and flying in the international arena. Over four days, you will learn from world-renowned training providers, handlers and operators who fly globally. Highlights include:  A safety day dedicated to moving your passengers knowledgeably and safely  Pending near term avionics mandates in many ICAO regions  Staying out of jail through understanding regulatory requirements throughout the world  Essential safety tools, including fatigue countermeasures  Networking with pilots who operate in the regions and countries you will be flying

Northern Jet Lear45 September 22/01/2014 10:32 Page 1

S H O W C A S E

2006 Learjet 45XR Serial Number: Registration: Airframe TT: Landings:

45-298 N191TD 2500 1678

Northern Air Inc is pleased to offer this 2006 Lear 45 to the marketplace for immediate sale. Features of this aircraft include: • Management Services Available • Maintenance performed through Learjet factory authorized service centers since new. • Fully paid MSP Gold engine plan for engines and APU • Honeywell Primus II 1000 package • Duel FMS/GPS/8.33 • Duel UNS1-E • Air Show 4000

Avionics Honeywell Primus II 1000 package, Duel FMS/GPS/8.33, Duel UNS1-E, AFIS, TCAS-II w/ ch7, EGPWS, 880 weather radar – upgrade, SELCAL, HF, 406 ELT. Interior Condition Excellent. 8 place double club, belted lavatory, forward and aft, 10.4 monitors, 10 Disc CD, DVD player, Air Show 4000, Satellite telephone system, lighted vanity mirror, premium wood package, premium carpet, locking package. Exterior Condition Excellent. Inspection Status Current: 2400 major inspection performed in October 2012.

Airframe & Engines 2500 hours, 1678 Landings. Engines: (2) Honeywell TFE731-20BR-1B, 3500 lbs Thrust each, extended TBO, (1) APU. Fully paid MSP Gold engine plan for engines and APU.

Northern Jet Management Gerald R. Ford International Airport 5500 - 44th Street, SE • Grand Rapids, MI 49512

Advertising Enquiries see Page 8

www.AvBuyer.com

Tel: 800 262 4953 Tel: +1 616 336 4737 Cell: +1 616 648 2656 Fax: +1 616 336 4709 mserbenski@northernjet.net www.northernjet.net WORLD AIRCRAFT SALES MAGAZINE – February 2014

127

Northern Jet Citation Bravo September 22/01/2014 10:37 Page 1

S H O W C A S E

2006 Citation Bravo Serial Number: Registration: Airframe TT: Landings:

550-1134 N412BT 4548 3636

Engines Left Engine 4548 Right Engine 4548 Both engines 0 since overhaul at Pratt Avionics • Honeywell Primus 1000 Integrated Flight Director & Autopilot System • 3-tube 8x7” EFIS • Dual 196B Comm radios with 8.33 Capabilities • Dual Nav • ADF • Dual RMI • Dual Mode S Transponders • Dual DME • Universal UNS1 L FMS • Honeywell TCAS II • Honeywell Mark VIII EGPWS • Honeywell Primus Radar 660 • ARTEX 406 Emergency Locator Transmitter • Cockpit Voice Recorder • N1 Computer Indicator • Radio Altimeter

Exterior Overall Snow White with Black Metallic, Silver Plat Met Interior Fire-blocked Seven passenger executive interior in a center club configuration with an aft belted seat for an eighth passenger. Left and Right executive tables with Sienna leather inlays in the center club. Seating is finished in Willow leather with Mink lower sidewalls, and finished Topaz Kayawood gloss laminate. Optional Equipment • Freon Air Conditioner • Ski Tube • AOA w/Indexer • Iridium Satellite Flight Phone • Cabin/Cockpit Fire Extinguishers • Interior 110V AC • Lead Acid Battery • Tail Cone Flood Lights • RVSM Capable

Northern Jet Management Gerald R. Ford International Airport 5500 - 44th Street, SE • Grand Rapids, MI 49512

128

WORLD AIRCRAFT SALES MAGAZINE – February 2014

www.AvBuyer.com

Tel: 800 262 4953 Tel: +1 616 336 4737 Cell: +1 616 648 2656 Fax: +1 616 336 4709 mserbenski@northernjet.net www.northernjet.net Aircraft Index see Page 4

Northern Jet Lear 40XR September 22/01/2014 10:40 Page 1

S H O W C A S E

2008 Learjet 40XR • Extended Range Fuel Serial Number: Registration: Airframe TT: Landings:

40-2100 N959RP 2763 2230

• Extended Range Fuel • Fresh A-D check at Bombardier Wichita Airframe Factory Warranty Smart Parts Engines Left Engine 2575 / Right Engine 2567 MSP Gold Avionics • Honeywell Primus 1000 Integrated Flight • Director & Autopilot System • 4-tube 8x7” EFIS • Dual Universal UNS1 L FMS • Dual Comm radios with 8.33 Capabilities • Honeywell HF 1050 Comm • Dual Nav and RMI • Dual Mode S Transponders • Dual DME • Single ADF • Honeywell TCAS II • Honeywell Mark VII EGPWS • Honeywell Primus Radar 660

• ARTEX 406 Emergency Locator Transmitter • Cockpit Voice Recorder • Radio Altimeter • XM Satellite Weather Exterior Overall Matterhorn White with Blue and Yellow Stripes Interior Fire-blocked Six passenger executive interior in a center club configuration with an aft belted seat for a seventh passenger. Two Left and one Right executive tables with Imbuia gloss inlays in the center club. Seating is finished in Almond Crunch leather with Surfside lower sidewalls and finished Imbuia wood gloss laminate Optional Equipment • Freon Air Conditioner • AOA w/Indexer • Iridium Satellite Flight Phone • Cabin/Cockpit Fire Extinguishers • Interior 110V AC • Lead Acid Battery • Tail Cone Flood Lights • RVSM Capable • Airshow Cabin Audio/Video System • XM Satellite Radio • Extended Range Fuel

Northern Jet Management Gerald R. Ford International Airport 5500 - 44th Street, SE • Grand Rapids, MI 49512

Advertising Enquiries see Page 8

www.AvBuyer.com

Tel: 800 462 7709 Direct: +1 616 648 2656 Fax: +1 616 336 4709 mserbenski@northernjet.net www.northernjet.net WORLD AIRCRAFT SALES MAGAZINE – February 2014

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AeroSmith Penny October 21/01/2014 10:46 Page 1

S H O W C A S E

Recently Reduced Asking Price 1999 Gulfstream IVSP Serial Number: Registration: Airframe TT: Landings:

1337 N52MK 4504 2573

Airframe & Engines Rolls-Royce Tay 611-8 Engines: Mid-Life Inspection C/W at Rolls-Royce Canada: 17/Sep/2007 L/H Engine S/N: 16795 Mid-life done at 3061 TT 1865 Cycles Enrolled JSSI at Mid Life R/H Engine S/N: 16796 Mid-life done at 3061 TT 1865 cycles Enrolled JSSI at Mid Life Honeywell GTCP 36-100 (G) APU S/N: P-741, on JSSI Avionics HAAP and Corporate Jet Support Maintenance Programs Standard Honeywell SPZ 8400 Cockpit Package w/NZ 2000 Navs Triple Honeywell HG1075 Inertial Reference Units Dual Honeywell FMS and Single Lasertrak Nav Display Collins Nav/Comm Package with Three Comm’s, w/Dual Collins RTU’s Collins TDR 94 Transponders with Eight Parameter Enhanced Surveillance SAT AFIS Equipped with Printer Magnastar & Honeywell SATCOM 6000, One Cockpit and Three Cabin Handsets G-Monitor Computer Heads-up Checklist Flight Data Recorder 2 Hour Voice Recorder

Features & Equipement Airshow Genesis Moving Map/Info Four External Video Cameras Dual Hi-Def/Blue Ray DVD Players Audio System with iPod Dock and Remote Control Game Port Connections and LAN Connections Throughout Eight Rosen Video Monitors; VCR/DVD/Camera/Game and Airshow Available Six Club Seat Rosen Monitors Updated to 6500 Series in March 2007 Interior The 13 passenger executive interior was designed for functionality and flexibility with three separate seating areas making it ideal for entertaining or conducting business. The aircraft is configured with a forward crew lav as well as an aft passenger lavatory. The forward cabin contains four single seats in a double-club configuration with two pull out writing tables and four 5.6 inch video monitors. Exterior Matterhorn White base with Super Jet Black underside, Coral, Cashmere and Gray striping. New April 2012 Maintenance 72 Month inspection done 2010

AeroSmith Penny II LLC 8031 Airport Blvd., Suite 224, Houston, TX 77061

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Tel: +1 (713) 649-6100 Fax: +1 (713) 649-8417 Email: aspinfo@aerosmithpenny.com www.aerosmithpenny.com Aircraft Index see Page 4

Aerosmith Penny Hawker 800XP February 21/01/2014 12:13 Page 1

S H O W C A S E

1996 Hawker 800XP Serial Number: Registration: Airframe TT: Landings:

258289 N881AF 10,001.6 6291

• Aviation Partners Winglets • Interior new 2012 standard eight place • Exterior, 2012 Overall White Blue and white with blue stripes • MSP Airframe & Engines TFE731-5BR ENROLLED IN HONEYWELL MSP APU GTCP35-150W 4513 APU HRS 6048 APUS Avionics FMS: DUAL HONEYWELL NZ2000’S RADIO SYSTEM: HONEYWELL PRIMUS II INTEGRATED COMMS: DUAL HONEYWELL RCZ-851w/8.33spacing NAVS: DUAL HONEYWELL RNZ-850 RMS: DUAL HONEYWELL RM-850 TRANSPONDER: DUAL HONEYWELL RCZ-833k HF: DUAL BENDIX/KING KHF-950 R/ALT: HONEYWELL RT-300 AHRS: DUAL AHZ-600 RADAR: HONEYWELL PRIMUS 870 ADC: DUAL HONEYWELL AZ-810

AFCS: DUAL HONEYWELL DFZ-800 EFB: SINGLE FG7000 Adv. Data Research TCAS: HONEYWELL ACSS TCAS II W/CH.7 CVR: UNIVERSAL CVR-30B EGPWS: ALLIED SIGNAL Extras AVIATION PARTNERS WINGLETS CAMP MAINTENANCE PROGRAM DUAL HONEYWELL PRIMUS II SRZ-850 DATA LOADER LSZ-850 LIGHTNING SENSOR ARTEX C406-1 ELT HONEYWELL N1 DEECS Interior New 2012 STANDARD EIGHT PLACE INTERIOR Exterior 2012 Overall White Blue and white with blue stripes

AeroSmith Penny II LLC 8031 Airport Blvd., Suite 224, Houston, TX 77061

Advertising Enquiries see Page 8

www.AvBuyer.com

Tel: +1 (713) 649-6100 Fax: +1 (713) 649-8417 Email: aspinfo@aerosmithpenny.com www.aerosmithpenny.com WORLD AIRCRAFT SALES MAGAZINE – February 2014

131

IAG Bombardier Chall Feb 21/01/2014 10:52 Page 1

S H O W C A S E

Fresh 96 Month and Gear Inspections

Photos FGL Associates

2005 Bombardier Challenger 300 Serial Number: Registration: Airframe TT: Landings:

20059 N659JF 1998 1079

• Freshly Completed at Bombardier Tucson: • Fresh 6/12/24/48/96 Month inspections • Fresh Landing Gear Overhaul • Fresh 2000 Hour Engine Inspection and New On condition Combustion Liners Airframe & Engines Engine Plan MSP. Engine Model 2 x HTF7000 Engine #1 Engine #2 Serial Number: P-118233 P-118229 TSN (HRS): 1998 1998 CSN: 1089 1086 TS MPI (HRS): On Condition On Condition MPI Due (HRS): On Condition On Condition Time Since CZI hrs On Condition On Condition CZI Due (HRS): On Condition On Condition MPI/CZI Intervals hrs On Condition On Condition Auxiliary Power Unit APU Plan MSP Honeywell GTCP 36-150 Type BD Serial Number P-154 Time Since New (HRS) 1302 Avionics Avionics Suite / EFIS 1 Collins Flight Management System (FMS) 2 Collins Air Data Systems (ADS) 2 Collins NAV Radio (NAV) 2 Collins Attitude Heading Reference (AHRS) 2 Collins Navigation Radio (GPS) 2 Collins Distance Measuring Equipment (DME) 2 Collins

Automatic Direction Finder (ADF) 2 Collins Autopilot/ Flight Director (AP/FD) 1 Collins Flight Director (FD) 2 Collins VHF Radio (VHF) 2 Collins HF Radio (HF) 2 Collins SELCAL 1 Collins Weather Radar 1 Collins Radio Altimeter 1 Collins Additional Avionics Equipment Enhanced Maps Lightning Detector FMS V-Speeds 3rd VHF Datalink Comm Observation Audio System at Cabin Seat Compliance 8.33kHz Spacing FM Immunity RVSM Capable RNP 10 Capable B-RNAV (RNP 5) Capable NAT MNPS Capable Extended Overwater Equipped Interior Seating 9 Galley Forward Jumpseat Yes Flight Certification Only Lavatory Aft Galley Right Side Deluxe Galley. TIA Microwave Oven Coffee Maker (Loose Equipmet) Sink with 4 Gallon Water System Dual Electric Hot Pots Lavatory Standard Plated Sink Option

Manhattan Seattle Silicon Valley 132

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Cass Anderson or Jeff Habib Managing Partners Tel: +1 212 888 7979 Email: info@iagjets.com www.iagjets.com Aircraft Index see Page 4

IAG Falcon 2000EX January 21/01/2014 11:09 Page 1

S H O W C A S E

2004 Dassault Falcon 2000EX 25 Serial Number: N699MC Registration: 3064 Airframe TT: 1423 Landings: Engines Engine Plan: ESP Gold Engine Model: 2 x PW308C Engine #2 Engine #1 76 Serial Number: 75 3069 2979 TSN (HRS): 1374 1336 CSN: Auxiliary Power Unit MSP APU Plan GTCP 36-150 Type P-353 Serial Number 1718 Time Since New (HRS) 2692 Cycles Since New Maintenance - General Maintenance Tracking AVTRAK Maintenance Schedule OCIP A Checks Avionics Avionics Suite/EFIS Collins ProLine 4/EFIS 4000 Compass Smiths Standby Instruments Meggitt Secondary Flight Display Flight Management System (FMS) Collins FMS6100 w/Dual GPS Air Data Systems (ADS) Collins ADC-850C Inertial Reference System (IRS) Honeywell LASEREF IV Attitude Heading Reference (AHRS) Collins AHS-3000 Navigation Radio (GPS) Collins VIR-432 Distance Measuring Equipment (DME) Collins DME-442 Automatic Direction Finder (ADF) Collins ADF-462

Autopilot/ Flight Director (AP/FD) Collins APS-4000 Audio System Baker B1045 VHF Radio (VHF) Collins VHF-422C Radio Tuning Units (RTU) Collins RTU-4210 HF Radio (HF) Collins HF-9000 SELCAL Coltech Dual Channel Additional Equipment FADEC Mach Hold Foxtronics Battery Temperature Indicator Cabin Temperature Indication- Control with Duct Temp Enlarged Oxygen Bottle (115 cu. ft.) First Aid Oxygen System (1 mask and 1 outlet) Two (2) Winslow 9-Man Life Rafts with Storage Provisions (Part FAR 135) FAR Part 135 Material Burn Certificates and Swatches Compliance 8.33kHz Spacing. FM Immunity. RVSM Capable RNP 10 Capable. B-RNAV (RNP 5) Capable NAT MNPS Capable. CAT II Certified Interior Seating 10 Jump Seat 1 ERDA w/Floor Storage Drawer 3rd Crew Audio/Oxygen. Galley Forward Lavatory Aft. Dividers Galley Pocket Door Interior Finishing Veneer Fig Red Birch (Light Beige) 2004 Plating Polished Champagne Gold 2004 Headliner Ultraleather (Beige) Cut Pile, Vine & Leaf Carpet Design 2004 Forward Seats Beige Leather 2004 Aft Seats Dark Beige Leather 2004 Countertops Avonite Beige Speckled 2004 Exterior Overall White with Green, Maroon & Gold "Ribbon" Stripes

Manhattan Seattle Silicon Valley Advertising Enquiries see Page 8

www.AvBuyer.com

Cass Anderson or Jeff Habib Managing Partners Tel: +1 212 888 7979 Email: info@iagjets.com www.iagjets.com WORLD AIRCRAFT SALES MAGAZINE â&#x20AC;&#x201C; February 2014

133

Albinati Global Express February 21/01/2014 10:57 Page 1

S H O W C A S E

Make Offer 2005 Bombardier Global Express Serial Number: Registration: Airframe TT: Landings:

9145 HB-JEX 3740 1306

• Aircraft scheduled maintenance performed by Innotech Aviation Montreal and Jet Aviation Geneva and Basel branches • 4C inspection performed at Jet Aviation Basel in July 2010 • 8C inspection due in July 2015 • No damage history Engines (under RR Corporate Care) Rolls Royce Deutschland BR 700-710A2-20 • LH: S/N 12405 - 3658 TSN, 1268 CSN • RH: S/N 12406 - 3740 TSN, 1306 CSN APU (under JSSI) Honeywell RE 220 (GX) S/N P-264 Time: 2845 TSN / 3405 CSN Avionics • Communications Triple Honeywell RCZ 833E • Navigation Dual Honeywell RNZ 851 • ADF Dual Honeywell P2000XP • RMU Dual Honeywell RM 855 • Transponder Dual Honeywell P2000XP, Mode S • Radar Honeywell WU 880 • IRS Triple Honeywell Laser Ref III • HF Dual Collins HF 9031A with Selcal • GPS Dual Honeywell HG2021 & GNSSU • FDR Honeywell SS FDR QAR • CVR Honeywell SS CVR • Triple Honeywell Flight System Management W/CD 820 CDU

Special Features • Aircraft under CAMP maintenance tracking service • Aircraft under Bombardier Smart Parts Plus coverage • Cabin Altitude Reduction for Passenger Comfort (4’500 Feet) • Honeywell RT 950 TCAS II, Version 7.0 • Honeywell Mark V Enhanced GPWS • Honeywell MCS 7000 SATCOM (6 Channel)/2 Channel Iridium • RVSM, 8.33 MHz Spacing and FM Immunity Certified • Heads Up Display (HUD), EVS, RAAS • BATCH 3, WAAS (SBAS-LPV), FANS 1/A performed in December 2013 • Artex ELT 110-406 Emergency Locator Beacon • Teledyne Datalink System Interior (refurbished in February 2011) • Twelve passenger configuration and a threeplace divan 9G certified (see, floor plan) in beige leather and brown nubuck • Forward lavatory and crew rest area • Fully equipped galley and annex • Aft private lavatory, storage closet and baggage compartment • Cabin entertainment system with flat screen video monitors, satellite TV for Europe and USA, WLAN Internet, DVD and an airshow • Electric window shades • EMTEQ system lighting retrofit • AIMS soundproofing system Exterior White top, light beige bottom with gold accent stripes

ALBINATI AERONAUTICS SA P.O. BOX 44 1215 GENEVA 15 AIRPORT SWITZERLAND

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Tel: E-mail: Web:

+41 (0) 22 306 1060 info@albinati.aero www.albinati.aero

Aircraft Index see Page 4

Mente Sovereign & Sikorsky S-76C+ Feb 21/01/2014 12:28 Page 1

S H O W C A S E

2004 Sikorsky S-76C+

Mark Payne Cell: +1 (972) 897-3246 E-mail: mark@mentegroup.com

Serial Number: Registration: Airframe TT: Landings:

5P Bifilar Pulselight system Forward bulkhead sliding windows Eaton Engine Chip Detector System Maintenance Main Rotor Spindles aircraft TT:5000 Float bottles expire June 2014 12 Month due March 2014 Interior New interior installed 3/25/10 by Cabin Crafters CRS#C7QR807N So. Hackensack NJ 07606 Executive eight-passenger interior tastefully completed Exterior Aircraft repainted March 2010 by KD Aviation/Reese Aircraft, with Jet Glo Matterhorn White 00150, Aristo Blue 00412

760551 N808MM 4729.6 8567

Engines Arriel 2S1 Power by The Hour Left: S/N 20681 Hours 4384.3 Cycles 5178.4 TSO 997.9 Right: S/N 20652 Hours 4238.3 Cycles 4963.3 TSO 997.4 Avionics Honeywell ED-800 EFIS displays Collins VHF-22A receiver/transmitter LCR-92S AHRS Collins VIR-32A VOR receiver Collins ALT-55 Rad Alt. Collins DME-42 SPZ-7600 series DFCS Primus 880 Digital weather radar DB Systems 352 audio panels UNS-1FW Flight Management system

Additional Features Tail rotor pedal lube kit Baggage liner kit Boarding steps Honeywell MK XXII EGPWS Static inverter load shed C-4 Environmental System Overhead Lateral Absorber Emergency floats Keystone Door pin kit Aircell ST 3100 Satellite Phone Structural Enhancement kit 76070-20564-011 Garmin 496 Two Garmin 696 GPS with mounts GMX 200 MFD CVR 30A Cockpit voice recorder

2007 Cessna Sovereign

Kyle Foddrill Cell: +1 (817) 372-4527, E-mail: kfoddrill@mentegroup.com

Serial Number: Registration: Airframe TT: Landings:

Airshow 4000 Extended Range Oxygen System Eros Oxygen Masks Pulse Light System w/ TCAS Interface Airshow Cabin Briefing System Dual aileron trim option Survival life raft certified for Part 135 operations Interior 9 passenger seats Gray leather 8 video monitors at seats Fwd Galley with electric oven Maintenance Details 1A (400hr) complied with at 2589 hrs. Due in 232 hrs 2A (800hr) complied with at 2192 hrs. Due in 235 hrs along with the 1A 3A (1200hr) complied with at 2192 hrs. Due in 635 hrs

680-0132 N132SV 2750 1521

Airframe & Engines Pratt & Whitney PW 306C Engines on Power Advantage Left: 2750 Hours 1470 Cycles Right: 2750 Hours 1470 Cycles APU: 818 hours 1641 Cycles Pro Parts CESCOM Avionics Honeywell Primus Epic 4-Tube EFIS Dual Honeywell TR-65A COMM Dual Honeywell NV-875A NAV Single Honeywell DF-855 ADF

Dual Honeywell XS-875A Mode S Transponder w/ EHS Dual Honeywell FMS Dual Honeywell GPS Honeywell CAS-67A TCAS II w/ Change 7 Honeywell Primus 880 RADAR Honeywell RT-300 RADALT Honeywell EGPWS w/ Windshear Honeywell HF-1050 w/ Coltech Selcal CVR Additional Equipment Electronic Charts RAAS / WASS AirCell ST-3100 Sat/Com w/ 2 Cabin & 1 Cockpit Handsets & Intercom 110 VAC Electrical Outlets LCD Video Monitor (10.4”) Dual Disc DVD w/ Remote

Mente Group, LLC 15301 North Dallas Parkway, Suite 1010 Addison, TX 75001

Advertising Enquiries see Page 8

www.AvBuyer.com

Tel: +1 214 351 9595 www.mentegroup.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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CAI 1983 Piper Cheyenne IIXL February 22/01/2014 15:13 Page 1

S H O W C A S E

1983 Piper Cheyenne IIXL Airframe TT: Landings:

8000 7000

• Paint and Interior new 2003 by Pilatus • Cargo Door • Always hangered • Dual Garmin 530's Engines PT6A-135 Left: TSO 600 h, CSN 6678, CSO 450 Right: TSO 3600 h, CSN 6650, CSO 1800 Props Hartzell. HC-B3TN-3B Left: TSO 500h, 2009 Right: TSO 350h, 2010 Boots New 2011/12 Aircycle Machine: OVH 2010 Gears: 2011/12

Avionics Autopilot/Flight Director King KFC300 with yaw damper and Alt. Pre-select, Radar: RDR2000 Stormscope: WX 500 MFD: MX200 COM/NAV: GNS530 (2) W, GPSS DME: ing KDM706 ADF: King KDM806 HF/Sat phone: installation Transponder: GTX 330 (2) Traffic: Ryan 9900 BX Radio Altimeter: King KRA-10A Additionals Cargo Door, Flushing Toilet, stand by horizon MID Continent ALL SPECIFICATIONS SUBJECT TO VERIFICATION UPON INSPECTION, AIRCRAFT AVAILABLE SUBJECT TO PRIOR SALE OR WITHDRAWAL FROM THE MARKET.

J.P. Hanley Corporate AirSearch Int'l Inc. Palm Beach, South Florida

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Palm Beach Tel: Fax: Cellular: Email: Website:

(561) 433-3510 (561) 433-3842 (561) 289-3355 jp@caijets.com www.caijets.com Aircraft Index see Page 4

Aero-Dienst January_Heeren Cit Ultra sep 21/01/2014 11:05 Page 1

S H O W C A S E

Low Time

Asking Price: US $15,450,000

2009 Challenger 300 Serial Number: Airframe TT: Landings:

20272 797 548

2010 in Service - Double Club Cabin for 8 Passengers - Lufthansa NICEview Cabin System - Inmarsat and Iridium SATCOM - DeLuxe Galley - Collins ProLine 21 - EASA OPS 1 Equipped RVSM - MNPS - RNP 5 / RNP 1 / RNP 0.3 Fresh 48 Months LUMP Inspection 12/2013 38,850 lbs MTOW - No Damage History Engines 2 Honeywell AS907-1-1A (MSP) L/H: S/N P118687 R/H: S/N P118686 TSN: 797 hrs TSN: 797 hrs CSN: 548 CSN: 548 APU Honeywell GTCP-36-150(BD) (On MSP) Avionics and Other Features Collins Integrated Digital ProLine 21 Avionics Suite with Collins Automatic Flight Control System 4 Collins CDU 3 Collins VHF-4000 Comm w/8.33 kHz Spacing 2 Collins HF-9031A with SELCAL 1 ICS-200 Iridium Satcom 1 Collins Inmarsat Satcom-5000 ACARS Data Link w/ Graphical Weather Maps 2 Collins NAV-4000 Nav 2 Collins DME-4000 DME 2 Collins NAV-4000 ADF 2 Collins TDR-94D Mode S w/Enh. Surveillance 2 Collins FMC-5000 FMS with V-Speed

Additional Equipment Lighted Chart Holders Enhanced Baggage Compartment 16G Seat in Lavatory Certified for Take Off and Landing Lufthansa NICEview Cabin System Airshow 410 Cabin Entertainment with DVD/CD Player and Two 18” Monitors Deluxe Galley with Espresso Machine Forward Partition with Sliding Door Floor Accent Light Over Water Flight Kit Cockpit Writing Tables Dual LED Navigation Lights Pulsating Main Landing Lights Door Lock Package Cabin The cabin has a luxury layout for eight passengers consisting of dual club four individual passenger seats arrangement with three bi-fold retractable and one plug-in executive tables. The aft lavatory is fitted with a warm/cold water dispenser, lighted mirror, storage drawers and a belted 16G seat certified for take off and landing. Seats are upholstered in grey leather, ceiling and side wall are of light grey, armledges, tables galley, cabinetries, forward and aft cabin partition are of high gloss carbon fiber. DeLuxe Galley comprises a microwave oven, two hot liquid containers, an ice drawer with overboard drain, and ample drawer storage for crystal and china. Interior in excellent condition Exterior Painted allover white with one warm red stripe from nose to tail. Excellent condition

Aero-Dienst GmbH & Co. KG, Flughafenstrasse 100 90411 Nuernberg Germany Advertising Enquiries see Page 8

www.AvBuyer.com

Tel: +49-911-9356-120 Mobile: +49-171-4950309 E-mail: armin.hoehnemann@aero-dienst.de www.aero-dienst.de WORLD AIRCRAFT SALES MAGAZINE – February 2014

137

Florida Jet Gulf IVSP February 21/01/2014 11:08 Page 1

S H O W C A S E

1994 Gulfstream G IV-SP Serial Number: Registration: Airframe TT: Landings:

1252 N394TR 6903.4 4084

Engines Rolls -Royce Tay 611-8 Engine #1: S/N 16623 Engine #2: S/N 16624 TTSN: 6795.6 TTSN: 6795.6 CSN: 4003 CSN: 4003 TTSML: 2857.9 TTSML: 2857.9 CSML: 1914 CSML: 1914 10-year Calendar Due: 3/29/2014 10-year Calendar Due: 04/05/2014 APU Garrett 36-150 Upgrade S/N P-519C TSN: 7834 TSO: 2153 Installed New 10/10/08 Avionics Dual Honeywell SPZ-8400 Digital Integrated Flight Control System Dual Collins 822-1116-001 VHF COM 8.33 KHz Dual Collins 622-7194-101 VHF NAV Dual Collins 622-7382-101 ADF Dual Collins 622-7309-101 DME Dual Collins TDR-94D Transponder (mode “S”) Dual Collins HF-9000 HF COMM Dual Honeywell 7001840-932 Radio Altimeter Single Honeywell CE1230AC21 Comparator Single Honeywell LSZ-860 Lightning Sensor Triple Honeywell Laser Ref II IRS Dual Honeywell 12 Channel GPS Single Motorola NA-138 SELCAL

Single Honeywell P-870 Color Radar Dual Honeywell NZ 2000 6.0 FMS Single Honeywell AFIS/SAT w/printer Dual Honeywell CD 820 FMS/CDU Outstanding features ArtexELT 406 Baker Passenger Briefing System Precise Flight Pulsite System Honeywell MCS 3000 Satcom AMT-700G Antenna + LNA diplexer Cockpit Voice Recorder All Securaplane E-batteries RVSM/MNPS Compliant Fax with EMS Aviation EGPWS 965-0976-003-206-206 Allied signal TCAS II TCZ-910 Honeywell (change 7) 72 month inspection complied with in October 2012 APU 36-150 Installed 10/08 (ASC 465A) Interior Twelve Passengers Two Jump Seats Airshow Cabin Entertainment System Compact Disc Player Aft Galley Aft Lavatory DVD 3 (14”)Monitors Exterior Painted – Savannah Air June 01 Savannah White with Flight Blue Stripe and Blue Tail

Florida Jet 1516 Perimeter Road, Suite 201 Palm Beach International Airport West Palm Beach, FL 33406

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Tel: +1 (561) 615-8231 Fax: +1 (561) 615-8232 Email: info@flajet.com www.FlaJet.com Aircraft Index see Page 4

Exlusiv Aviation February 21/01/2014 11:11 Page 1

S H O W C A S E

2006 Citation X Airframe TT: Landings:

2450 1570

• Only 2450 Hours • Winglets • Enrolled on Rolls Royce Corporate Care • Cessna ProParts • Airshow 4000 • AirCell 3100 Telephone • CESCOM Maintenance Program Avionics Honeywell 5-Tube EFIS and EICAS Display Dual DVD/CD Players (2) 110 VAC Outlets Defuel Valves Jump Seat External Service Lavatory Pulse Lights Cockpit Control & Overhead Display Tail Flood Lights Thrust Reversers RVSM Compliant 8.33 Khz Spacing / FM Immunity Airshow 4000 System with 4 LCD screens AirCell ST3100 Telephone w/ computer and fax data ports 76 cubic ft. Oxygen System w/ 49 cubic ft. Bottle L3 2100 Cockpit Voice Recorder Honeywell EGPWS Honeywell SS Flight Data Recorder Provisions Teledyne Angle of Attack Indicator Dual Honeywell AZ-940 ADC Avtech CSD714 Selcal Kannad Emergency Locator Beacon 406AF

RT 300 Radio Altimeter Honeywell HF-1050 Radio Package LED Aisle Lighting Dual Bendix-King KTR-953 HF Radios ACSS TCAS II w/Change 7 Dual Honeywell FMZ FMS with Dual GPS Dual Honeywell Laseref III IRS Five 8"x 7" Display System w/Dual ADC's Dual VHF Comms w/8.33 Spacing Clearance Delivery VHF Comm Dual Honeywell RNZ-850 Nav's Dual Honeywell RCZ-850 ADF's Dual Honeywell RCZ-850 DME's Dual Honeywell Mode S Transponders Honeywell Primus 880 Color Radar Features & Options Two (2) Fax/Data Ports JAA Baggage Door TIA Microwave Oven Ground Recognition Lights One 10.4" Monitor + 4 Sideledge Monitors Interior Eight-passenger double club executive interior featuring club chairs with foot rests, completed in chocolate brown leather and four fold out executive tables. The cabin features high gloss veneer woodwork throughout with brass plated hardware that is tastefully accented with light cream headliner and sidewalls. Cabin amenities include Aircell in-flight telephone handset and 110 VAC outlets located at one of the passenger seats, Airshow Networking System with Audio Briefing as well as an Entertainment System featuring two DVD/CD players. Exklusiv Aviation Services ( Isle of Man ) Ltd Jubilee Buildings, Victoria Street, Douglas, Isle of Man, IM1 2SH Tel: +44 1624 665 448 Email: iom@exklusivaviation.com Web: www.exklusivaviation.com

Advertising Enquiries see Page 8

www.AvBuyer.com

Full size forward right-side galley is adjacent to the left hand forward closet; additional storage can be located in the large aft closet. Fully enclosed aft lavatory is externally serviceable and includes a full vanity with sink and a belted toilet. Exterior Overall Snow White with Silver Platinum Metallic, Saffron Metallic, Black Metallic. Price upon Request

Exklusiv Aviation Services ( Switzerland ) SA ICC - Block G - 1st floor, Route de Pré-Bois 20, 1215 Geneva 15, Switzerland Tel: +41 22 788 37 28 Email: aircrafts@exklusivaviation.ch Web: www.exklusivaviation.com WORLD AIRCRAFT SALES MAGAZINE – February 2014

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P140-144 22/01/2014 15:02 Page 1

Marketplace Bombardier Global Express

Price:

USD $21,500,000

Year:

2002

S/N:

9094

Reg:

G-SENT

TTAF:

3,800

Location: United Kingdom

Dassault Falcon 7X

AVAILABLE FOR SALE OR LEASE 3,800 total time /1650 cycles approximately, beautifully appointed 16 passenger cabin finished in cream and brown tones, SmartParts+ and CAMP programmes, Full JSSI programme coverage on engines, APU with MSP programme The aircraft shares the Bombardier Regional Jet's fuselage cross section and is similar in length. It features an advanced supercritical wing with a 35° sweep and winglets, plus a new T-tail design. The engines are RollsRoyce BR-700s and the advanced cockpit features a six-screen Honeywell Primus suite with available options such as a Head-Up Display (HUD)

Tel: +65 (0) 8522 1258 Email: paul.vanderblom@hawkerpacific.com

Hawker Pacific Price:

Make offer

Year:

2013

S/N:

168

Reg:

M-DTBP

TTAF:

277.2

Location: Singapore

Embraer Legacy 600

Tel: +44 (0) 207 078 0210 Email: niki@axonaviation.com

AXON AVIATION GROUP

Under full new manufacturer warranties. Entry Into Service: January 31 2013 (start of warranties). In impeccable state, as new. Hangared when possible. Maintenance by Hawker Pacific Asia. Engines On ESP. EQUIPMENT: Overall USD 2.99 M Value in Options. INTERIOR: Luxurious and tasteful 12 Passenger configuration. ‘Elegance’ Dassault Falcon Interior Configuration. Bronze-coloured matching accents throughout. EXTERIOR: Matterhorn White with dual red and silvergrey stripes

Tel: +7 (0) 495 926 7001 Email: bamoscowteam@gmail.comm

Business Aviation LTD Price:

USD $12,900,000

Year:

2008

S/N:

14501057

Reg:

HB-JFL

TTAF:

1515

Airframe: Aircraft model: EMB-135BJ. Manufacture date: 08.08.2008. Hours since new: 1515. Landings since new: 792. Name of program: Embraer Executive Care. Engine Specs Manufacturer: Rolls Royce. Model number: AE3007A1E. Left Serial Number: CAE-313106. Right Serial Number: CAE-313103 Name of program: Rolls Royce Corporate Care

Location: Russia

Cessna Citation CJ3

Diamond S. International

Tel: +484 (0) 862 76306 Email: diamondsinternationalcj3@gmail.com

Price:

Please call

Year:

2004

S/N:

525B-0010

Reg:

N917RG

TTAF:

1675

Location: USA, FL

Beechcraft King Air B200

Always hangared, Well mantained, Proparts and TAP Elite contracts, Positive account of pro-parts (Less parts used vrs amount paid per hour). - Airframe: 1675 TT, All Logs, No damage History - Engine Specs: 2 Engines- Williams FJ44-3A - Avionics/Radios: Collins Pro-Line 21 - Custom paint: White, Blue & Maroon - Interior: Center club seating with 6 pedestal seats, belted flushing toilet, refreshment center - Inspection Status: CESCOM Available. TAP Elite, maintenance by Cessna Citation Service Centers

Tel: +421 232 112 610 Email: marketing@aelisgroup.com

AELIS Group Price:

Make offer

• Operated under EASA EU-OPS1 regulation

Year:

2007

• Only 111FH since HSI on both engines

S/N:

BB-1975

• Less than 2000FH

Reg:

OM-TAA

TTAF:

1,915

Location: Slovakia

• Raisbeck kits (storage Locker, lower flap fairing, improved leading edges, lower aft fuselage strakes, Ram Air Recovery System) • BLR Winglets • Priced to sell

www.aelisgroup.com 140

WORLD AIRCRAFT SALES MAGAZINE – February 2014

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Aircraft Index see Page 4

P140-144 22/01/2014 15:03 Page 2

Marketplace Hawker 800A

Leonard Hudson Drilling Price:

US $3,375,000

Year:

1995

S/N:

258273

Reg:

N337WR

TTAF:

6615.3

Tel: +1 (806) 662 5823 Email: ronfernuik@hotmail.com

Exceptional Hawker 800A "Built for the speed of business". Full true worldwide capability with NAT/MNPS, RNP-10 Approval, 8.33MHz, dual KHF-950 w/SELCAL onboard Magnastar fax option, and galley. All this with a 2,600 nautical mile range, offered at US $3,375,000 or consider trades for Citation CJ1, CJ2, or Bell 212, 412 or 407.

Location: USA

BELL 206L4

Leonard Hudson Drilling Price:

US $1,975,000

Year:

2002

S/N:

TBD

Reg:

N339MC

TTAF:

1700

Tel: +1 (806) 662 5823 Email: ronfernuik@hotmail.com

We are offfering our 2002 Bell 206 L4. Pictures do not

do justice to the helicopter, and the colors are very vibrant, it is ready for immediate work. It has had both a Bell/Edwards completion and maintenance with immaculate records, of course no damage of incidents. 1695 TTSN, Two corporate owners.

Location: USA

BELL 412EMS

Leonard Hudson Drilling Price:

US $3,875,000

Year:

1981

S/N:

33017

Reg:

N554AL

TTAF:

15265

Tel: +1 (806) 662 5823 Email: ronfernuik@hotmail.com

Recent ‘no expense spared’ ($800,000) airframe refurbishment at Acro Helipro within the last 100 hours 15,265 total time, most components over 50% remaining. Both engines are fresh Pratt and Whitney overhauled. Immediate delivery, Meticulous records. Current with medical interior and 13 passenger utility interior are included, aircraft is ‘turn-key’.Fresh annual / Export C of A

Location: USA

BELL 212 (Five Available)

Leonard Hudson Drilling Price:

Please Call

Year:

Call for details

S/N:

Call for details

Reg:

Call for details

TTAF:

Call for details

Tel: +1 (806) 662 5823 Email: ronfernuik@hotmail.com

Five, Late Model, Bell 212s In 'Off Shore Configuration' Now Available. Ask for pricing for one or all five.

Location: USA

Hawker 800XPi

Capital Jet Group Price:

Call for pricing

Year:

2005

S/N:

258723

Reg: TTAF:

Tel: +1 (703) 917 9000 Mob: +1 (703) 568 9466 Hawker 850 performance for 8 passengers in a turn-key package. HBC Winglets. Dual File-servers. 2012 paint and interior. MSP for engines and APU. Fresh 8 year/48 month inspections at Duncan Aviation. Fresh Engine Core Overhauls. No Excuses, no projects. Make an offer soon

4,183

Location: USA

E-mail: sales@capitaljetgroup.com Advertising Enquiries see Page 8

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

141

P140-144 22/01/2014 15:04 Page 3

Marketplace Cessna Caravan 208B Grand

CAAD Inc. Price: Year:

2001

S/N:

C208B0910

Reg: TTAF:

Tel: +1 (305) 593 9929 Email: info@caadinc.com * Refurbished seats and side paneling 2011 * All inspections current under the PhaseCard system * All applicable FAA airworthiness directives and manufacturer mandatory service bulletins signed off by local AMEs * Total Aircraft Cycles: apprx 50,100

9660

Location:

www.caadinc.com

Cessna Caravan 208B Grand

CAAD Inc. Price: Year:

2001

S/N:

C208B0927

Reg: TTAF:

9802

Tel: +1 (305) 593 9929 Email: info@caadinc.com * Interior refurbished seats and side paneling 2012 * All inspections current under the PhaseCard system * Airworthiness limitations (manufacturer's service manual Chapter Four) current * All applicable FAA airworthiness directives and manufacturer mandatory service bulletins signed off by local AMEs

Location:

www.caadinc.com

Cessna Caravan 208B Grand

CAAD Inc. Price: Year:

2002

S/N:

C208B0973

Reg: TTAF:

Tel: +1 (305) 593 9929 Email: info@caadinc.com * Interior refurbished seats and side paneling 2012 * All inspections current under the PhaseCard system * All applicable FAA airworthiness directives and manufacturer mandatory service bulletins signed off by local AMEs * Total Aircraft Cycles: apprx 48,150

9350

Location:

www.caadinc.com

Cessna Caravan 208B Grand

CAAD Inc. Price: Year:

2002

S/N:

C208B0998

Reg: TTAF:

9660

Location:

www.caadinc.com

McDonnell Douglas Helicopter 600N

Tel: +49 (0) 224 123 070 AIR LLOYD Deutsche Helicopter Email: sales@airlloyd.de Flugservice GmbH Price: Make offer As new - unique - fully equipped --- Flag Red w/ Grey Leather Year:

2008

S/N:

RN 073

Reg:

D-HKAL

TTAF:

590

Location: Germany

142

WORLD AIRCRAFT SALES MAGAZINE â&#x20AC;&#x201C; February 2014

www.AvBuyer.com

Interior, air conditioning, YAW-SAS, GARMIN Avionics Suite incl. 430W plus indicator, GTX 330, DMA, Marker, ELT 406 MHz, Inlet Barrier Filter FDC/Aerofilter, Cargo Hook "Breeze Eastern", Meeker Camera Side Mount incl. EASA STC for Cineflex v14 HD - AND MORE ... -- from AOC Holder, no accident/incident, all SB/AD/SL completed --- selling for our customer --- please get in touch for more details !!

Aircraft Index see Page 4

P140-144 22/01/2014 15:05 Page 4

Marketplace King Air 300 FA-88

Tel: +1 (847) 550-4660, Ext. 12 Email: brett@jetsenseaviation.com

Jet Sense Aviation, LLC Price:

USD $975,000

Year:

1986

S/N:

FA-0088

Reg:

N1250

TTAF:

10,265

Eng 2,656 & 3,211 SOH 1 owner since new Fresh phase 1-4 New tires Fresh gear all done 11/2013 UNS 1L with data port KMD 850 MFD Garmin 400 Very motivated to sell

Location: USA

www.jetsenseaviation.com

Cessna Caravan 208 Amphibian

Tel: +90 216 645 7193 Email: cumhurkaynak@hotmail.com

Cumhur Kaynak Price:

USD $1,800,000

Year:

2008

S/N:

20800419

Reg:

TC-KSF

TTAF:

574

This Cessna Caravan Amhibian has only 574 hours total time since new and is in excellent condition. She is equipped with Garmin 530-430, Weather Radar, Traffic Advisory System and Air Conditioning. Please see W&B data for details

Location: Turkey

Eurocopter EC 120B

Arge Nieruchomosci sp. z .o.o. Price:

EURO 1,050,000 no VAT

Year:

2008

S/N:

1556

Reg:

SP-HAT

TTAF:

134

Location: Poland

Hawker 900XP

Interior: VIP cabin with leather seats Avionics: GPS/VHF/VOR/LOC/GS Garmin GNS 430 W, Transponder Garmin GTX 327, ICS Garmin GMA 340, Gyro Compass Bendix King KI525A, Magnetic Azimuth Transmitter Bendix King KMT 112, Altimeter, Vertical Speed Indicator, Gyro Horizon Goodrich 1100 Options: Removable Dual Controls, Air Conditioning System, Fuel Flow Meter, Swiveling Landing Light, External Power Supply, Handling twin-wheels with hydraulic jacking system, Headsets BOSE X - 5 piece

Beechcraft Vertrieb & Service GmbH Price:

Please call

Year:

2012

S/N:

TBD

Reg:

N-Reg

TTAF:

753

Tel: +48 (0) 608 323 241 Email: kubaurban@gmail.com

Tel: +49 (0)821 7003 100/145 Email: info@beechcraft.de

Pro Line 21, 2x HF-9000, 2X FMS-6000, 2X TDR-94D XPDR, TCAS II, RVSM capable, SSFDR, Aircell & Highspeed Internet, on JSSI, with several Warranties - aircraft like new!

Location: Germany

Par Avion Ltd

Alberth Air Parts

+1 832 934 0055

Spare Parts

FALCONS • HAWKERS • LEARS

•BUY •SELL •TRADE

www.paravionltd.com

CESSNA LEARJET HAWKER WESTWIND FALCON GULFSTREAM

www.alberthaviation.com

SALES • ACQUISITIONS • CONSULTING

Fax: +1 832 934 0011 Advertising Enquiries see Page 8

www.AvBuyer.com

WORLD AIRCRAFT SALES MAGAZINE – February 2014

143

P140-144 22/01/2014 13:48 Page 5

Not just a tug.

It’s a

8700 Series

800-535-8767 / 503-861-2288 w w w. l e k t r o. co m / s a l e s @ l e k t r o. co m

World Aircraft Sales (USPS 014-911), February 2014, Vol 18, Issue No 2 is published monthly by World Aviation Communications Ltd, 1210 West 11th Street, Wichita, KS 67203-3517 and has a targeted circulation to decision makers within business and corporate aviation throughout the world. It is also available on Annual Subscription @ UK £40 and USA $65. POSTMASTER: Send address changes to: World Aircraft Sales Magazine 1210 West 11th Street, Wichita, KS 67203-3517. Postage is paid at Wichita, KS and additional mailing offices.© Copyright of World Aviation Communications Ltd. Every effort is made to ensure the accuracy of material published in World Aircraft Sales Magazine. However, the publishers cannot accept responsibility for claims made by manufacturers, advertisers or contributors. The views expressed are not necessarily those of the Editor or the publishers. Although all reasonable care is taken of all material, photographs, CD & DVDs submitted, the publishers cannot accept any responsibility for damage or loss. All rights reserved. No part of World Aircraft Sales Magazine - Advertising, Design or Editorial - may be reproduced, stored in a retrieval system, or transmitted in any other form, or by any other means, electronic, mechanical, photographic, recording or otherwise, without prior written permission of the publishers.

Next Issue copy deadline: Wednesday 12th February 2014 Advertiser’s Index 21st Century Jet Corporation.................................146

Donath Aircraft Services ...................................34 - 35

Jeteffect ..........................................................................57

Aero-Dienst .................................................................137

Duncan Aviation............................................................53

JETNET ........................................................................115

AeroSmith/Penny...........................................130 - 131

Eagle Aviation ..................................................................5

John Hopkinson & Associates ........................63, 101

AIC Title Services ........................................................91

EBACE.........................................................................120

Leading Edge................................................................75

Albinati Aeronautics ............................................

134

Elliott Aviation................................................................37

Lektro............................................................................144

AMSTAT .......................................................................122

European Heli Show.................................................107

Mente Group ........................................................

Aradian Aviation............................................................85

Exklusiv Aviation.........................................................139

Mesinger Jet Sales..............................................42 - 43

Avjet Corporation ................................................46 - 47

Florida Jet Sales ........................................................138

NBAA Int’l Operators Conf.....................................126

Avpro ......................................................................10 - 14

Freestream Aircraft USA ...................................19 - 21

NBAA Regional Forum.............................................118

Bell Aviation ..........................................................54 - 55

General Aviation Services..........................................49

Northern Jet Management............................127 - 129

Bombardier....................................................................33

Guardian Jet .........................................................23 - 25

OGARAJETS ...............................................FC, 28 - 29

Boutsen Aviation ..........................................................99

Gulfstream Pre-Owned .....................................38 - 39

Par Avion ...............................................................66 - 67

Central Business Jets .....................................145, 147

HAI HELI EXPO ........................................................116

PremiAir Global Aircraft Sales ..................................73

Charlie Bravo ................................................................45

Heli UK Expo...............................................................107

Rolls-Royce....................................................................41

Conklin & de Decker.................................................114

Intellijet International ................................................6 - 7

Sourjourn Aviation...............................................58 - 59

Corporate Aircraft Photography ............................144

Intercontinental A/C Group ...........................132-133

Southern Cross Aviation ............................................71

Corporate AirSearch Int’l ..................................87, 136

Jet Support Services (JSSI) .............................60 - 61

Tempus Jets...................................................................27

Corporate Concepts ...................................................79

JetBrokers .............................................................50 - 51

The Jet Collection ........................................................95

Dassault Falcon Jet Europe ...................................2 - 3

Jetcraft Corporation ...................................30 - 31, BC

VREF Aircraft Values ................................................114

Dominion Aircraft .........................................................89

144

WORLD AIRCRAFT SALES MAGAZINE – February 2014

135

Wright Brothers Aircraft Title..................................109

www.AvBuyer.com

Aircraft Index see Page 4

CBJ February_CBJ November06 21/01/2014 11:15 Page 1

General Offices Minneapolis / St. Paul TEL: (952) 894-8559 FAX: (952) 894-8569 EMAIL: INFO@CBJETS.COM

Mexico office TEL: 52.55.5211.1505 CELL: 52.55.3901.1055 E-MAIL: Enrique CBJets.com

FALCON 50-40 SN25 Last Falcon 50 ever to be converted, Proline 21 Cockpit, 50EX Interior New 2010, Priced Millions less than Comparable 50EX's

FALCON 20F SN470 - FALCON 900C ENGINES & APU MOD 7800 TT / 5000 Landings, MSP Gold, Collins Proline II EFIS Cockpit, Dual Collins Radio Tuning Units, Dual Universal 1L’s w/WAAS, ETC l

a De ing nd Pe

HAWKER 800XP SN258298

2005 CHALLENGER 604 SN5577

Fortune 500 owned. MSP Gold Engines. 48 Month c/w March 2012. 8 Place interior with airshow display

Fresh 96-Month Inspection and Landing Gear Overhaul by Duncan Aviation, 2000 TT, On Smart Parts Plus and MSP 150 APU Engine Programs, Spectacular Terence Disdale Designed 10 Place Interior

CITATION EXCEL SN5066 Everything desired in an Excel. Preferred 8 place interior, Cessna Engine/APU/Airframe Maintenance Programs, Dual FMS, TCAS II, Enhanced Surveillance, External Lav Service, 48 month inspection c/w April 2012

www.cbjets.com ALSO AVAILABLE: Gulfstream IISP SN210 • Citation II SN66 • Falcon 7X w/ only 425 Hours

21st Century December 2010

17/11/10

16:47

Page 1

Tri-Jets Range Map 7X=5950nm 900EX=4500nm 900DX=4100nm 50EX=3267nm

When you own one of the Tri-Jets, you own the best built business jet in the sky; and the Federal Aviation Administration has certified them with no life limits for any part of the airframe structure. They exhibit noteworthy handling manners, superb poise throughout the operating envelope and light but not oversensitive control feel. In addition, Tri-Jets have set world and national records for distance, speed, time to climb and sustained altitude. Aircraft safety is determined by reliability and redundancy. In the event of an engine failure a reduction of climb rate, speed and altitude occur. Critical engine-driven systems may be compromised including the hydraulic, electrical and bleed-air systems which draw their power from the aircraftâ&#x20AC;&#x2122;s engines. The FAA emphasizes redundancy more than the number of engines for flight safety over water; although there is a relationship between the two. Very High levels of safety are achieved with the Tri-Jets; the 900 for example has two hydraulic systems that are powered by hydraulic power from four sources; three engine-driven hydraulic pumps plus a standby pump powered electrically. The left-hand and right-hand engines provide power for the right hydraulic system; and the center engine supplies power for the right hydraulic system with backup from the standby pump. One system can supply enough hydraulic power to operate the aircraft and land safely if a system fails. An erroneous conclusion is that Tri-Jets cost more to operate than competitive twin-jets. Many long-range twin-jets use excessively large engines and supporting structure. Tri-Jets with their effective configuration, utilize smaller more fuel efficient engines. With fuel efficient engines, Tri-Jets carry less fuel than twin-jets. This results in a reduction of weight and operating costs. Smaller engines, the Tri-Jets aerodynamic improvement and lower operating weight culminates in an aircraft that burns less fuel than many heavier twin-jets. Tri-Jets have earned a stellar reputation among owners and operators; and usually have higher resale values than the competition.

If you are considering the sale or acquisition of your business jet, call 21st Century Jet Corporation today for details before making a decision.

DISTINCTIVE BUSINESS JET SALES & ACQUISITIONS. INCORPORATED IN 1989 TEL: 1.775.833.3223

INTERNET: WWW.TRI-JETS.COM

E-MAIL: sales@tri-jets.com

CBJ February_CBJ November06 21/01/2014 11:16 Page 2

General Offices Minneapolis / St. Paul TEL: (952) 894-8559 FAX: (952) 894-8569 EMAIL: INFO@CBJETS.COM

Mexico office TEL: 52.55.5211.1505 CELL: 52.55.3901.1055 E-MAIL: Enrique CBJets.com

Celebrating 30 Years! al De ing nd Pe

FALCON 900EX SN8 al

GULFSTREAM V SN567

FALCON 900EXy SN121

Of fered by Original Fortune 100 Corporation, 35 Year History as one of Gulfstreams Largest Private Owners, Immaculate Maintenance, Rolls Royce Corporate Care Engine Program, Can Deliver w/ New Interior & Configuration

e n w/ Single MidwesternDOwner i g 30+ Year Falcon d Operator History, Over the Top List of Options n P eTail Wind 500 Direct TV including Collins

Single Owner, Former Falcon Demonstrator, Most Systems are Triple, 2476 Total Hours, 1140 Cycles, MSP Gold Engine Programs

FALCON 900B SN155 Always US Owned, 6400 TT, MSP Gold, Forward & Aft Lavs, Dual Aft Couches

FALCON 900C SN194 Single Owner, 3850 Total Hours, 2060 Cycles, MSP Gold Engine Programs, Standard Interior w/ Dual Aft Couches, FWD & AFT Lavs.

FALCON 900EXy SN238 700 Hours Since New, Available for Lease Only

GULFSTREAM G200 SN199 1800 TT / 900 Landings, ESP Gold, Meets all EASA / JAR OPS Requirements, Impressive List of Options including Aerial View Camera

www.cbjets.com ALSO AVAILABLE: Gulfstream IISP SN210 • Citation II SN66 • Falcon 7X w/ only 425 Hours

As anyone in aviation knows,

TURBULENCE is an art.

Buying and selling aircraft can be a bumpy business. But for over 50 years, we’ve earned a reputation for delivering the smoothest ride, as well as the best deal. We did it by building our business entirely around our customers’ needs. With transaction specialists who really know aircraft and markets, and an unmatched global network of partners. The result? Faster, easier transactions and lots of repeat clients. So call us and relax. You’ve got the best navigator around. www.jetcraft.com I info@jetcraft.com I Headquarters +1 919-941-8400

I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I

FEATURED INVENTORY

2012 Challenger 605 - SN 5866

Market Priced - Engines on GE OnPoint APU on MSP and Airframe on Smart Parts Plus

2003 CRJ 200LR - SN 7864

Fully Optioned - Readily Available 14,406 Hours TTAF - 12,271 Cycles

2-2014_WAS_Back Cover_Turbulence.indd 1

2009 Global 5000 - SN 9289

Well Equipped for Worldwide Operations Entry Into Service - June 2009 2002 Airbus A320 VIP 2010 Challenger 300 1995 Challenger 601-3R 2002 Challenger 604 2007 Challenger 850ER 2006 Citation CJ1+ 2005 Eurocopter AS365N3 2004 Falcon 2000EX EASy 2007 Global 5000

Download the

2003 Global Express 2009 Global XRS 2014 Global 6000 2001 Gulfstream 200 2008 Gulfstream 450 1998 Gulfstream IVSP 1991 Hawker 1000B 1997 Lear 60 Q1 2015 Legacy 500

2005 Global XRS - SN 9163

Immediately Available - Extremely Clean Inside & Out Conveniently Located at London Luton

2012 Lear 60XR - SN 420

New to Market - Lowest Time Lear 60XR Available Q4 2012 Entry Into Service - 190 Hours TTAF

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AVOIDING

1/14/14 9:10 AM