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Archive: Rotorcraft Top Stories
Regional Jet Lease Rentals Remain Stable
Despite the concerns about the decline in values of 50-seat regional jets and their prospects in the marketplace over the coming years, lease rentals are still managing to remain stable. The values of 50-seat regional jets have experienced modest weakness over the last year. This stems from concerns about the…

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May 30, 2005
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ERJ145 Values Continue to Experience A Decline
The values of 50-seat regional jets have been under pressure for at least a year, a consequence of rising operating costs and the market moving toward larger equipment. The restructuring undertaken by the major U.S. airlines clearly benefited the 50-seat regional jet, and values managed to avoid the falls that…

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May 30, 2005
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Strong Demand Not Enough to Prevent Parting Out of Newer Aircraft
While many headlines may be focusing on the demand for certain aircraft and the placement of new orders, there may be a different story to tell: Newer aircraft that should be in considerable demand are being scrapped, which may highlight the fragility of the market. Two ex United B737-500s (serial…

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May 30, 2005
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Hike in B737 Production by '25 Percent' Carries Risks for Values
No Evidence of Surge in New Values Despite Record Production Plans The potential for a 25 percent hike in Boeing [BA] B737 production points to a robust market and should provide more evidence that values are likely to exhibit further rises. But the conditions surrounding the production increase are complex…

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May 16, 2005
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Shorter Assembly Cycles Point to Used Price Containment
The shorter assembly times being achieved by aircraft manufacturers illustrate their ability to ramp up production to meet short-term demand, thereby reducing the emphasis on achieving supply from the used market and containing any material increase in used values. As part of a major productivity improvement program, the Airbus A320…

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May 16, 2005
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Modest Noise Regulations Spell Longer-Term Trouble for Residuals
The implementation date for Chapter 4 noise and emission rules, Jan. 1, 2006, is only months away. But the perceived timidity of the new regulations could prompt environmental advocates to herald their introduction by clamoring for tighter controls over the long run, which could adversely impact values. Chapter 4 involves…

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May 16, 2005
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Stage 3 Values Remain Stable at Best
Despite strong demand for capacity in the lead up to the peak Northern Hemisphere summer period, the high price of fuel and the boost in production by Airbus and Boeing, there has been little further material improvement in Stage 3 values. Values of newer narrowbodies have registered an increase over…

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May 16, 2005
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Turboprop Rentals Remain Steady
After experiencing a period of improvement, the values of turboprops are now holding steady. The high price of fuel has provided turboprop manufacturers with new marketing opportunities. Operators may be reluctant to order new equipment but they have far fewer qualms with respect to leasing. Although the U.S. market may…

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May 16, 2005
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