Today’s Wall Street Journal carries an article on the softening of the yacht market. This is consistent with some friends’ experience in the jet market. A group of pilots at Hanscom Field are trying to buy a Cessna Citation Mustang business jet without waiting the full three years it takes to get one from Cessna. The asking prices seem to have come down at least $100,000 (out of approximately $3 million) over the last two months.
2 thoughts on “Yacht and jet markets soften”
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Isn’t the big news in aviation the looming collapse of the American airline industry? Four airlines have gone into bankruptcy in the last 3 weeks, American can’t or won’t keep their jets in the air, and Delta and Northwest appear at an impasse on a merger they might need to survive. Pretty soon you may be able to buy an airliner for that price (maybe less). On the other hand, the journal had an article last week which described the custom jet interior market as booming with wait lists etc. Maybe yachts are too 20th century.
The airline industry always exaggerates economic cycles. In a down economy, airlines suffer more and there are more BK’s. In an upcycle, airlines make back the profits. See Why Can’t We Make Money in Aviation?
This morning’s NY Times has relevant article about spending by the ultrarich has not abated.