Two years ago when lease rates on passenger aircraft were high, the market for Boeing 737 conversions was slow. But as rates softened, Aeronautical Engineers Inc. (AEI) in Miami, Florida saw the business for conversions for this type of aircraft pick up significantly. Today the market is strong and is predicted to stay so, through the end of the second quarter 2008. “Fuel prices clearly rocked the air cargo industry,” comments David M. McDonald, AEI vice president, Operations. … [Read more...] about Aeronautical Engineers focuses on B737s
MRO Conversions & Manufacturers
Aircraft valuation and conversion economics aligning
The conversion market is shifting. Whereas several years ago airlines held onto productive assets such as the B757, added by the fact original equipment manufacturers (OEMs) were slow to deliver new aircraft, companies that converted aircraft found their feedstock largely unavailable. “This was also a time when air cargo demand was strong,” says Brian C. McCa-for Portland, Oregon-based Precision Conversions. “Consequently, the conversion market was met with not much … [Read more...] about Aircraft valuation and conversion economics aligning
Alcoa-SIE B757-200 conversions
Whereas in the past, companies might have had difficulty obtaining a converted narrow body freighter - not many were on the market to be converted, this is not the case today. That's at least what Alcoa-SIE Cargo Conversions (ASCC) is finding. "Two years ago the main problem was a lack of available aircraft for conversion," says Charles Perry, consultant to the President of ASCC. "But now that passenger operators are reducing capacity, aircraft are more available." ASCC executives should … [Read more...] about Alcoa-SIE B757-200 conversions