Turboprops Experience Downward Pressure

摘要

The market for turboprops is experiencing slightly different dynamics than the commercial jet market. Many turboprop flights are necessary due to the absence of surface transportation and the need to maintain links with remoter parts. However, turboprops have been heavily impacted by the drop in leisure routes around the world. The collapse of FlyBe at the start of the COVID-19 crisis in the UK has itself led to increased availability which in turn has had a significant impact on lease rentals of the Dash8 for both older and newer examples. The ATR, Saab and Dash8 products are the principal vehicles for leasing because they have the ability to be remarketed and have standalone asset value. The other types tend to be financed via a finance lease or via a straight loan where the credit represents a more significant part of the equation. The market for the leasing of turboprops therefore continues to center on the larger and more modern types. Rentals are expressed in thousands of US dollars per month and are for indicative purposes only. Long lease terms, less credit worthy lessee, return conditions, will vary rentals considerably. Aircraft Rentals courtesy of The Aircraft Value Analysis Co. Ltd. (AVAC) www.aircraftvaluespro.com.