Air Charter Demand Slips, but Pricing Stable
Projected air charter demand dipped slightly from last month, but this has had negligible impact on anticipated pricing levels, according to the latest forward-looking index from online charter portal Avinode. The company’s demand index for this month stands at 109.53, about 12 points down from the month-ago level of 121.65 but still 26 points up on where it had stood 12 months earlier. The May pricing index is down from last month but by barely a quarter of one point and is still more than seven points ahead of where it was a year ago. Avinode’s statistics for average flight-hour rates actually paid over the past month show more pronounced fluctuations and geographical differences. In North America, average rates for three selected aircraft types showed flight-hour rates to be down by more than 7 percent across the board month-over-month, and down by similar amounts compared with three months earlier. The average May 2 rate for a Cessna Citation Excel in North America was $3,272, while those for a Hawker 800 and a Challenger 604 were $3,470 and $5,050, respectively. Internationally, the average rates for the Excel and the Challenger increased moderately, to €2,750 ($4,070) and 4,730 ($7,000), respectively. The average rate for the Hawker 800 dipped by an equally small margin to €3,023 ($4,474).