Aircraft Value, Global Economy and Volatility
December 21, 2004 Leave a comment
Estimating an aircraft’s value and forecasting its future price is a complex process. Aircraft values depend not only on such factors as aircraft overall condition, maintenance quality, the time to the next major check, fuel and seat capacity, they also depend on general economic conditions. Since the same type of aircraft can be operated on different stage lengths (i.e., routes with different distances), the average number of landings per hour can vary. Therefore, factors determining an aircraft’s value include the aircraft’s age, physical condition, maintenance status, maintenance documentation, and the inflation rate.