The Asset Insight Podcast

In the midst of business aviation's traditional fourth quarter aircraft transaction frenzy, we review where things stand with Jay Mesinger, CEO of Mesinger Jet Sales. Topics covered include:

• Demand – are we seeing changes relative to the types of buyers?
• Supply – is inventory likely to continue increasing?
• Pricing – rationalizing ongoing Ask Price increases with increased pre-owned listings.
• Rising maintenance costs and 2023 Hourly Cost Maintenance Program rate increases.
• Charter activity – has the charter user evolved and are charter rates holding steady?
• Fuel pricing going into 2023 – might rising fuel prices positively affect the use of SAF?
• Aircraft pre-purchase inspections, facility access, and supply chain issues.
• Key takeaways from this year's NBAA and CJI Miami.

Halfway through the third quarter of 2022, we asked Jay Mesinger, CEO of Mesinger Jet Sales, for his views on how the year is progressing relative to pre-owned aircraft sales and the business aviation market in general. Topics covered include:

• Is this the right time for an aircraft sale or purchase?
• Leading indicators are likely to shape the market in the months to come.
• The slow, yet steady, rise in aircraft inventory – will it continue?
• Are values beginning to stabilize?
• Is bonus depreciation truly affecting purchasing decisions this year?
• Which models are currently exhibiting the greatest market demand?
• The effect Russian sanctions appear to be having on the market.

Rich Ropp, President of Priester discusses Professional Aircraft Management – the services it includes and their potential value to the aircraft's owner. The discussion includes:

• Defining Professional Aircraft Management.
• The various services available through Professional Aircraft
• Management and their potential value to the owner.
• Does aircraft management make sense for any aircraft size? The kinds of Fees associated with Aircraft Management services.
• What are the questions a potential aircraft owner should ask any firm they are considering?
• Does a management company's location relative to the operator's home base matter?

Eve's Chief Technology Officer, Luiz Valentini, explains Embraer's approach to air mobility and what it might mean to all of us in the near future. The numerous topics covered include:

• The purpose and intended coverage of air mobility networks.
• The technological challenges that will have to be overcome in order to bring these vehicles and networks into operation.
• The financial impact to communities once these vehicles come into operation.
• Regulatory challenges that will need to be addressed.
• How air mobility might evolve following entry into service.

Vivek Kaushal, Chief Executive Officer for Global Jet Capital, reviews the firm's wide array of financing solutions for the business aircraft market. Topics covered include:

• Overall business aviation market conditions.
• A discussion on aircraft values.
• The potential effect of the Russia / Ukraine crisis on business aviation.
• Global Jet Capital's value proposition. The company's Operating Lease product and other available services.
• Global Jet Capital's Asset-Backed Securities Program, or ABS.
• The company's second annual Market Outlook.

Business aviation closed out the year's first quarter with demand at an all-time high, inventory at an all-time low, and some aircraft transaction values that appeared to be inordinately high. Jay Mesinger, CEO of Mesinger Jet Sales, covers the current market environment, including the following topics:

• Changes starting to form relative to current market conditions.
• The potential impact on 2022 aircraft transactions due to limited inventory.
• Market re-entry by traditional corporate buyers.
• The effect Bonus Depreciation may have on 2022 sales.
• Aircraft pricing during the second half of 2022.
• The effect Russian sanctions may have on the Business Aviation market and aircraft sales.

Business aviation closed out the year’s first quarter with demand at an all-time high, inventory at an all-time low, and some aircraft transaction values that appeared to be inordinately high. Jay Mesinger, CEO of Mesinger Jet Sales, covers the current market environment, including the following topics:

• Changes starting to form relative to current market conditions.
• The potential impact to 2022 aircraft transactions due to limited inventory.
• Market re-entry by traditional corporate buyers.
• The effect Bonus Depreciation may have of 2022 sales.
• Aircraft pricing during the second half of 2022.
• The effect Russian sanctions may have on the Business Aviation market and aircraft sales.

In view of the increased number of first-time aircraft buyers and companies lifting travel restrictions imposed during the COVID pandemic, we asked David, Mayer, a Partner at the law firm of Shackelford, Bowen, McKinley & Norton, to discuss just "who" gets to fly on aircraft operated by a company.

Topics covered include:

• Why should companies have an aircraft use policy.
• The need for a use policy to cover all company aircraft, fractional shares, and charter aircraft.
• Who decides who may use the company's aircraft?
• The Russia sanctions imposed by the US and other nations. How do you ensure an aircraft you are chartering, or an individual chartering your aircraft, is not an entity that is sanctioned?
• Tax implications associated with personal use of the company aircraft.
• The aircraft use policy and Federal Aviation Regulations.
• Disclosure requirements for public companies operating aircraft.
• Who is usually responsible for administering the company's aircraft use policy?

Partners In Aviation (PIA) president, Mark Molloy, describes how his company's Managed Co-Ownership Program matches two owners to one aircraft and pairs them to the appropriate Aircraft Manager. Owners fly their aircraft, on their schedule. However, by cutting acquisition and fixed costs in half, the company contends that its Managed Co-Ownership program provides the lowest net-cost of aircraft ownership while maintaining access comparable to sole-ownership. Topics covered include:

• How the company's Managed Co-Ownership program works and what PIA specifically provides.
• How PIA's Managed Co-Ownership program compares with other ownership options.
• Who is the typical Managed Co-Ownership client, and what are the aircraft size or model options available to them?
• The costs associated with Managed Co-Ownership.
• Charter revenue under Managed Co-Ownership.

By all accounts, 2021 was a very active year with respect to aircraft sales. With January 2022 posting an all-time low level of pre-owned inventory, combined with continuing high demand, we asked Jay Mesinger, CEO of Mesinger Jet Sales, to provide his view of the current market. Topics covered include:

• The purchase and sale process, and how it has changed.
• Characteristics surrounding the large number of first-time buyers during 2021.
• The effect Bonus Depreciation had on 2021 aircraft acquisitions.
• What is likely to happen to demand during the first half of 2022.
• Factors that continue to drive sales of aging aircraft.