The fear is palpable at corporate flight departments that have put their aircraft on someone else’s Part 135 OpSpecs. Those who do by-the-book dry leases can sleep peacefully at night. The ones with the oh-so-clever wet leases in disguise will have more trouble.
Chicago-based Jet Support Services Inc. (JSSI) and Fleet Capital Leasing have entered into a strategic alliance agreement to bundle JSSI’s engine, airframe or tip-to-tail hourly cost maintenance program with Fleet Capital aircraft financing.
ExecuJet Aviation will receive the first aircraft for its new Simply Fly program within the next three to four months, and expects to have 10 large-cabin jets in service by year-end. The company launched its wet-lease alternative to fractional ownership, block charter and traditional aircraft management in March.
Goodrich Aviation Technical Services (ATS), the airframe heavy maintenance component of Goodrich, has been sold to a subsidiary of Macquarie Group.
ATS has more than 1,200 employees at its 950,000-sq-ft facility in Everett, Wash., and serves a broad base of North American and global customers by providing maintenance, repair and overhaul services to airlines, cargo fleet operators and aircraft owners.
Boutsen Aviation is offering dry leases on a Cessna Citation II/SP based at Cannes-Mandelieu Airport in the south of France. The Monaco-based aircraft sales agent has purchased the pre-owned aircraft in partnership with a private individual who wants to log only about 100 flight hours per year.
The National Air Transportation Association (NATA) issued a call to action last week related to maintenance issues for charter operators. The association wants members to complete a survey related to the issue of FAR Part 135 maintenance of aircraft with more than nine versus nine or fewer seats.
Given the bucks or the ability to borrow them, buying a business jet ought to be a straightforward affair. And if you don’t care about the potential downsides, it may be. But the typical business aircraft transaction involves a multinational cast of players and a plethora of contracts to go with them.
Austrian-based operator Jetalliance announced here on Tuesday that it is now offering what it claims to be a new kind of business aircraft financing called asset-based leasing. Under the scheme, a firm or individual agrees to make a down payment for part of an aircraft–say, 30 percent. Jetalliance then buys the aircraft from the manufacturer. It will then own the remaining 70 percent.
Part 135 operators and charter management entities will be affected by a proposed policy guidance involving wet leases.
With so many choices available to companies and individuals contemplating alternatives to airline travel, what’s a business owner or prospective flight department manager to do? Speakers at the fourth annual Conklin & de Decker Aircraft Acquisition Planning Seminar, held recently in Scottsdale, Ariz., sought to provide some answers to those questions.