McDonnell Douglas MD81 Archives

Aircraft Archive: McDonnell Douglas MD81

Record Backlog & Production Takes Toll on Values

While the low price of fuel should favor used aircraft the market continues to face the consequences of transitioning to new types and the preference for new rather than used aircraft. The displacement of older aircraft with new examples and the age profile of some narrowbodies is inevitably having an…

By: Aircraft Value Intelligence

September 21, 2015

AVI

Values Experience Age Related Decline

The Paris Air Show this week will be the venue for the announcement of another raft of orders from Airbus and other manufacturers further exacerbating the imbalance between supply and demand. While the backlog continues to extend this is no longer having a positive effect on either new or used…

By: Paul Leighton

June 15, 2015

AVI

Values Remain Large Stable Aided by Fuel Price

The lower price of fuel is providing a measure of breathing space for used narrowbodies. The values of used aircraft have been under pressure as a result of the drive towards newer aircraft that offer greater efficiency. Now that the differential in operating costs is being narrowed there is lesser…

By: Aircraft Value Intelligence

March 23, 2015

AVI

Distressed Value Discounting Increasing for Older Types

While a sustained reduction in the price of fuel may eventually lead to improved market fortunes for the older aircraft, for the time being there remains a need to greatly incentivize pricing should there be a need to dispose of the aircraft within a short period of time. The level…

By: Aircraft Value Intelligence

December 15, 2014

AVI

Peak for Existing Products Despite Backlog

While there are thousands of aircraft on backlog, the transition to the product lines are keeping values realistic. The smaller backlog of 2006-2007 caused values to climb to new heights largely because production rates were of a lesser magnitude and due to a stable product line up. Today manufacturers are…

By: Aircraft Value Intelligence

December 1, 2014

AVI

Age Related Declines Take Effect

The values of most narrowbodies in production are experiencing age related declines. In normal balanced market conditions, values of aircraft should decline by some 5-7 percent per annum. When the market is strong such a decline is less evident and when times are adverse, values can fall by a much…

By: Aircraft Value Intelligence

September 8, 2014

AVI

Values Continue to Reflect Strong Market

The price stated on an invoice which is sometimes used to justify a particular value will not necessarily include all the factors. The net invoiced price may include pilot training – perhaps amounting to one to two percent of the purchase price, spares provisioning, product support programs and a premium…

By: Aircraft Value Intelligence

June 16, 2014

AVI

Strong Market Keeps Most Values on Even Keel

The values of more modern narrowbodies continue to experience only a modest age related decline. The rise in the backlog – and production rates – has for the last few years led to concern that there will have to be a significant readjustment as market realities take hold. Each time…

By: Aircraft Value Intelligence

March 24, 2014

AVI

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