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Tue, May 12, 2009

Study Claims BizAv In Decline, But Potential For Growth

Frost & Sullivan Takes A Stance on BizAv's Future

According to a study by Frost & Sullivan, following unprecedented growth in the last 5 years, Business Aviation is now facing harsh market conditions with aftermarket suppliers holding back investment until recovery.

Maintenance, ground handlers and VIP services suppliers are affected by this, though they are all still looking at potential opportunities in Middle East and Asia where demand is under-served and expected to grow fast once confidence returns.

"2009 is expected to be a challenging year for business aviation stakeholders worldwide, as credit markets tighten and operators cancel or postpone aircraft deliveries. Nonetheless, opportunities still exist particularly in growth regions such as Middle East and Asia, where demand has historically been underserved. Investment in infrastructure and aftermarket services will intensify once confidence returns to the market and the global economy recovers," observes Frost & Sullivan's Aviation Senior Consultant Diogenis Papiomytis.

FMI: www.frost.com

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