Press Release

Issued by Amstat.

May 13, 2016

According to AMSTAT, the leading provider of corporate aviation fleet and operator information, across all fixed wing and rotor wing business aircraft segments, resale retail transaction activity was essentially unchanged in Q1 2016 versus Q1 2015.

The Light Jet resale retail transaction activity was brighter than the other segments covered by AMSTAT with Q1 performance at 2.7%, up from 2.4% in Q1 2015 and 2.5% in Q1 2014. Otherwise, 1.8% of the Heavy Jet fleet turned over versus 1.6% in Q1 2015 and 2.2% of the Medium Jet fleet turned over in Q1 versus 2.5% in Q1 2015.

In each year since 2013, Turboprop transaction activity in Q1 has declined year-to-year. This trend continued in Q1 2016 with 1.7% turnover versus 1.9% in Q1 2015. Quarterly activity in this segment remains below a 20-Year Quarterly Average of 2.8%.

Turbine Helicopter transaction activity in Q1 was flat versus Q1 2015 with 1.1% turnover. This performance was mirrored in the Multi-Engine segment with Q1 activity at 0.7% versus 0.8% in Q1 2015. Similarly, Single Engine Q1 activity was at 1.4%, compared to 1.3% in Q1 2015.

The Business Jet Inventory is up slightly since the start of the year at 11.3% and up from 10.9% a year ago. Overall, the trend has been upwards since early 2015, although it remains below the groups 20-Year Monthly Average of 12.6%.

The Heavy Jet inventory has largely plateaued of late, up only modestly to 10.6% by April from 10.4% at the start of the year and 10.5% a year ago. The Heavy Jet inventory is currently the only jet segment above its 20-Year Monthly Average. Medium Jet inventories are up to 11.6% from the start of year and up almost 1% since April 2015. The percentage of these aircraft for sale has been steadily increasing since the start of 2015, but currently remains below its 20-Year Monthly Average of 12.2%. The Light Jet inventory has remained flat since the start of year but is up modestly to 11.5% from 11.3% a year ago. The trend in this market has been upward since early 2015 although the rate of increase has slowed since mid-2015 and current levels remain below the 20-Year Monthly Average of 14.3%.

Turbo-Prop inventories have risen since the start of 2015 having previously plateaued around 8%. They are currently at 8.5% up from 8.2% at the start of the year and 8.1% a year ago. Turbo-Prop inventories have been slowly increasing since early 2015 but also remain below their 20-Year Monthly Average of 10.8%.

Overall, the Turbine Helicopter inventory has stayed at around 6.5% since the start of 2015. There has been a modest uptick so far this year. Turbine Helicopter inventories have been slowly increasing since early 2013 and have exceeded their 20-Year Monthly Average of 6.1%. Within this group Multi-Engine inventories have risen from 6.4% in early 2015 to 7.1% today. By contrast, the Single-Engine inventory has been contracting since mid-2015, with 6.1% for sale today versus 6.5% a year ago.

Heavy Jet Average Asking Prices have been trending upwards since mid-2011. However, perhaps reflecting recent transaction softness and an increased inventory, since the start of 2015 this trend has reversed. This continues into 2016 with Average Asking Prices down 3.1% since the start of the year. Medium Jet Average Asking Prices peaked around the start of 2015 and then contracted through the summer of the same year. This trend has continued into 2016, with Medium Jet Average Asking Prices down 6.4% since the start of the year.

Light Jet Average Asking Prices have been trending upwards since the start of 2015. This positive direction has continued into 2016, with Average Asking Prices up 4.5% since the start of the New Year.

Turbo-Prop Average Asking Prices were trending downwards since mid-2013 but picked up in 2015. So far the Average Asking Prices for Turbo-Props are up 0.8% since the start of the year and are up 4.3% since last year.

Multi-Engine Helicopter Average Asking Prices have trended upwards since early 2014. The Multi-Engine Helicopter Average Asking Price is up 6.7% since the start of the year. Single-Engine Helicopter Average Asking Prices have trended upward in 2015 but have since plateaued remaining almost unchanged since the start of 2016.