Hawker Beechcraft Woes

"Hawking Beechcraft"

…..There’s nothing wrong with HB that a change in top (very top) management wouldn’t help.
Who else is a little tired of hearing Boisture blame everything in sight except the ivory tower occupant ?
Re. a partial comment from Boisture someway down this article “deceleration in China’s economy hampering growth”….say what ?
…And interestingly perhaps, the commentary continues with “His (Boisture’s) cautious outlook contrasts with more optimistic views elsewhere”…..when will his ‘Goldman’ masters (who apparently put Boisture in HB’s corner office in the first place) finally “get it” and move him on to his next plum assignment ?
Boisture, it is alleged, left Gulfstream under a cloud (no pun intended) some years ago and was apparently only at Netjets and Carlyle Group until his ‘sell by” date came and went at both companies.
It doesn’t help matters that the Hawker line is now seemingly moribund (sad to say) and distinctly unexciting…but this will be the challenge for the next CEO, who surely can’t be too far over the artificial horizon now that a downgrade has occurred. But will it happen soon enough to avoid the B-word ???

Aviatrade announces supersonic market entrant

the competition....

HyperMach Now Aiming for Mach 4 Bizjet…….

So, fellow cloud-stabbers, we now have ‘Hyper Mach’ or whatever the latest hyperbole-laced earth-bending starship is called……Rising to this latest challenge, Aviatrade is not going to stand on the sidelines (or in any hangar bathroom stall) while some johnny-come-quickly outflanks us with some tricky wicker-basket-based technology.

Therefore, we are announcing, with some fanfare (and jet-engine-money-sucking noises), our breakthrough market-stomping jet….the MegaHypaZoom(Mach) bizplane.

This unbelievable (sic) pocket rocket will travel at many many times (so many we’ve lost count already) the speed of light. In fact, it will be so quick, it will arrive before it departs…..brilliant huh ??? This of course means that we will save lots of fuel and passengers will actually look younger as they slide down the escape chutes after the botched landing by our incapable crews (did I mention that it only needs a forty-thousand foot airstrip for landing and take-off).

Speaking of fuel, we have secretly developed (in a deep disused Minuteman silo littered with defunct taxpayer-funded top secret plans for Armageddon) a tree-burning ultra-high-reverse-bypass engine….therefore the MegaHypaZoom(Mach) will be congruent with present-day ‘green’ fuel fakers and carbon-footprint collectors etc etc…..and, (wait for it), we intend to burn only trees dredged from submerged ancient forests and thereby re-inject good old H2O back into the edge of the atmosphere…….ingenious plan is it not ? (and oh, I forgot to mention, there will be a solar-powered log-splitter that will be installed in the space where the cabin crew would normally sit and read the free newspapers and eat passenger leftovers….aka the “galley”).

Of course, we’re not putting up any of our own money for this little jape, (we’re not stupid)….instead, we’re desperately hoping to bamboozle an unsuspecting OEM and suck up some of that there ‘gomment’ (aka tax payer) moola that seems to perennially disappear down these whizzbang jet transport concept black holes. Actually, as previously stated, there won’t be any black holes with the MegaHypaZoom(Mach) …..because it’ll be too bloody quick !

We know that all of you aircraft spotters will be very excited to hear about the MHZ(M) and we are cautiously optimistic about our chances of fooling everyone that we come into contact with in the aviation world and beyond (……Mars ?).
However, as with all such wildly ambitious and foolish designs, we are taking some precautions with regard to testing market acceptance….to this end, we are going to ask one of our dogs (the chocolate Havanese) to give it the ‘sniff test’….because as we all know, it takes one dog to know another !

Pre-owned aircraft market and new aircraft positions

Last Fall we acquired a Gulfstream G550 for a client. This was, (by necessity) an off-market transaction….(the seller was the daughter of one or another of the Russian oligarchs).
Since that time we’ve watched the uptick of G550 availability and almost across the board in the ultra-long-range aircraft category.
G550, Global Express and Falcon 900EX have all become more plentiful on the pre-owned market (fifteen G550′s at last count) and this of course means good deals for buyers. We are seeing early-model G550′s that can be acquired for less than what appears to be the top of the pre-owned G450 market.
Gulfstream GIV’s and GIVSP’s are plentiful and very much in a buyers’ market, but with not too many good GIV/SP’s in the mix. GIVSP’s have trebled in availability since last Fall. Some of this availability is probably due to anticipated owner replacement/upgrade aircraft but we doubt that fifteen G550 sellers are all moving up to G650 or across to Global Express XRS’s.
Other segments of the market have shown similar increases in availability with Challenger 604′s and 605′s also very soft. Same goes for Challenger 300 and thereon down the cabin size/performance chain.
Falcons (2000′s/900B’s) are in a buyers’ market and will stay there for the foreseeable future.
Many older models have reached the point where the mantra is “buy it, fly it, scrap it”….all Spey-engined Gulfstreams, early Lears, early Challengers etc will all be retired as they reach critical inspections and engine limits.

Aviatrade has good access to numerous positions for Gulfstream G650, G550, G450, Global XRS, Global 5000 and Falcon 7X, Falcon 2000LX and Challenger 605, but as always, these positions are in demand and buyers should be prepared to act quickly and decisively in order to be the early-bird catching the worm.
So let’s go hunting…..for aircraft !

NBAA 2011 and the China orderbook syndrome

Per my previous sign-off….NBAA, October 2011, Las Vegas was apparently the appropriate venue for the latest announcements (orders ?) from the current crop of China bizav neophytes
…to wit “I’ll see your fifteen Gulfstream 550′s and raise it seven XRS’s”…..okay, I’m going all-in with my five Falcon 7X’s“….(yawn).

In our opinion this was nothing more than ‘headline-grabbing’ and we predict a ‘slight tempering‘ of these puzzling announcements in the near future. It wasn’t too long ago that a certain China-based financing entity was imploring us to ‘help sell‘ two ultra-long-range jets that were somehow stuck in their order inventory….ultimately these jets disappeared into the hotpot that is currently business aviation in China.

The inference here is that this particular financing entity was not purchasing these jets on behalf of qualified clients in the first place….au contraire, this ‘entity’ was speculating, marking up the price and then looking for buyers….at some pretty steep finance rates…nothing has changed.

Of course, there is also the other end of the food chain at the smorgasbord…..brokers in the US and elsewhere are now conditioned to listening for the clatter of coins (Vegas style) when the ‘phone rings with an ’86′ caller ID. The internet is playing havoc with the past mystique and cadence of both the new and pre-owned markets and certain China-based brokers are busy mimicking some of their ‘foreigner’ counterparts…..right up to and including the self-dealing and corruption that are so often evident when lots of money collides with an unregulated and lucrative business opportunity.

More on China after the year of the Black Water Dragon gets under way.