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When and How High The Rebound? Business Aviation Hidden Ponies
May 25, 2009
When Business Aviation Rebounds | www.aviationweek.com
What is not said in this article is what it truly important: 1. Business Aviation grew strongly after 9/11 due mainly to safety, security and airline inefficiencies issues. Business aviation growth driver has always been efficiency and assets (planes) ROI, not corporate excess or luxury (private aviation) 2. Business aviation activities are closely aligned with GDP and productivity of the businesses, communities and countries it serves, not the other way around. Media hysteria is not fact! 3. The current adjustments in aircraft values and lending "rules of the game" simply respond to the over-leveraging-borrowing craze of 2004-2007. LTV's of 70-80% are now the norm as before 2004 4. This is the best opportunity in the history of business aviation to set the record straight. By the way, TARP clearly supports business aviation and even increased tax benefits to extend beyond the aircraft and to cover the additional equipment such as instruments and in flight communications
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