Market Presence. The -600 indeed suffered during 2017 both in terms of demand and lease rentals and only is the market improving. The near 675 orders for the -600 have come at the price of swamping the market. A number of carriers divested themselves of their -600 fleets either willingly or by default and this led to some entering the market with owners and lessors desperate to place the aircraft. To some extent lease rentals have improved as ATR has sought to rein in production to levels that do not overwhelm the market. Higher production rates have perhaps allowed ATR more freedom in terms of new pricing which has been to the detriment of the used market. There has therefore to be caution over values. The operator base is expansive.
Market Outlook. The lease rentals at the older end of the range have fallen slightly as a few are still on the market. Despite still favorable delivery rates, lease rentals have yet to fully recover from the fall experienced in recent times. The market is still nervous because the leased fleet is growing. At least there seems to be less competition in this segment of the market than for the larger commercial jets. Lessors include NAC, AVAP, Elix Aviation Capital, GECAS and Transportation Partners. With no new aircraft waiting in the wings, the aircraft is considered to be a desirable turboprop asset but a sense of realism is needed. The Bombardier competitor has managed to increase seating capacity without stretching the aircraft and new orders are being recorded. ATR has no short term answer. The depth and breadth of the operator base is notable but that can be at the expense of placement with weaker credits.