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poorly served by airlines, Business Aviation is the better choice."
Predicting the future at a time of extreme financial uncertainty is difficult. Humphries believes that the top end of the market will be little affected by the downturn, but that smaller operators and their support companies will feel the pinch. The situation is exacerbated by the introduction, in various parts of Europe, of new taxes on Jet-Al fuel and the establishment of compulsory emis
sions trading schemes, which hit Business Aviation harder than the airlines. "It~s very much the wrong time to do these things," comments Humphries. "Business Avia
tion employs more than 75,000 people directly, and many thousands more indi
gets executives
exactly where
they want to go,
keeping them
secure while
allowing them to
conduct business in
confidence
EUR0C0NTR0L / EBAA / IA0PA 2009 31
rectly. In the main, it is made up of small and medium-sized enterprises who are being pinched on all sides and now face some serious challenges."
"But," he adds, "it's not all doom
and gloom. The drivers of the industry
haven't changed. Business Aviation gives companies an edge, which you might think is even more important in bad times than in good. There is a big back¬log of aircraft orders, which will keep the manufacturers healthy throughout the downturn, even if a proportion of those orders fall by the wayside."
Manufacturers' order books have never been fatter. Cessna, the world's largest General Aviation manufacturer by volume, has sold more than 5,200 Citation jets. In 2007, it delivered 1,272 aircraft, including 387 Citations, and reported revenues of $5 billion. Its current order backlog is val¬ued at $16 billion, and while it recognises that some of those orders will be lost, it remains bullish about the medium term. Bombardier, the Canadian parent com¬pany of the Learjet, Challenger and Global brands, says that while some softening of the market is inevitable over the next year or two, the long-term prospects call for expansion and fleet-replacement totalling 13,200 business jets, worth $300 billion, over the next 10 years.
At the National Business Aircraft Association convention in Florida, in October 2008, while business was said to be down by about 3 per cent, more
than 30,000 visitors saw a record turnout of 1,183 industry exhibitors. At the same time, Helitech, a business helicopter expo, was held over three days in Lisbon, Portugal, and companies reported strong sales and optimism for the future. Again, corporate helicopter manufacturers report healthy order backlogs, with the
delivery date for a Bell 407 stretching well into 2011.
EBAA's Chief Executive, Eric Mande-maker, says Europe is particularly well-placed to weather a downturn: "In terms of utilisation of Business Aviation, we have a long way to go when measured against the United States. We are looking forward to the implementation of the Single European Sky, which will make operations more efficient and will cut costs. Increasingly, business in Europe cuts across national borders, and as that trend continues, the requirement to travel will increase. The movement of labour and investment around Europe will continue to grow, and Business Aviation is linked into all these fac¬tors. While in the short term, the industry will not continue to grow at the rate we have seen in recent years, it remains a vig¬orous and healthy sector of aviation with a very profitable future."
32 &630$0/530- / &#"" / *"01" 2009
Especially if you’re making excuses for delays. That’s why Peter’s flight team works with Universal Weather and Aviation, Inc. and the European Operations Centre for regionalised trip support, weather, permits, and slot arrangements. Combined with superior ground support through Universal Aviation, and competitive fuel pricing through the UVair® Fuel Program, Universal® is the clear choice for Europe-based operators. All else falls on deaf ears.
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EUROCONTROL EBAA IAOPA Yearbook 2009: The Business of Flying(11)
