More Airplanes Going Out To Buyers, But Still Below The Same Period In 2009

The General Aviation Manufacturers Association (GAMA) reported Monday that in the first quarter of 2010, worldwide general aviation airplane deliveries totaled 390 units, a 15 percent drop from the same period last year.  However, this is an improvement over the dramatic decline experienced in first quarter 2009 deliveries as compared to first quarter 2008. 

Total industry billings grew 7.1 percent in the first three months of the year to $4.64 billion due to international deliveries of large cabin, long-range airplanes where customers rely less on third party financing than the remainder of the industry.  First quarter billings in 2010 are still 12.6 percent below this same period in 2008.
 
"These numbers are being released on the heels of Europe's premier business aviation show, the European Business Aviation Conference and Exhibition, where many of our manufacturers noted that the market seems to be stabilizing," said GAMA President and CEO Pete Bunce.  "Reported flight activity from the FAA and EUROCONTROL is on an upward trend and the used aircraft inventory is slowly decreasing.  However, these first quarter figures reveal that our industry is far from a recovery."
 
GAMA says that the continuation of bonus depreciation will be crucial to allow our industry to increase production and bring back lost jobs.  Bunce added, "We join with the rest of the manufacturing sector in calling upon the U.S. Congress to approve bonus depreciation for products ordered in 2010.  Our industry appreciates the Administration's strong support for this initiative."

The piston airplane segment was down 7.3 percent in the first quarter, with 166 units delivered as compared to 179 airplanes in the first three months of 2009.  The turboprop segment delivered 60 units, down from 89 units during the same period in 2009 for a 32.6 percent decrease.  Business jet shipments fell 14.1 percent in the first quarter with 164 airplanes delivered, as compared to 191 business jets in the first quarter of 2009. 
 
FIRST QUARTER SHIPMENTS OF AIRPLANES MANUFACTURED WORLDWIDE 

FMI: www.gama.aero