Used bizjet inventory stabilizing, JP Morgan

 - July 28, 2009, 5:10 AM

According to JP Morgan Global Equity Research, pre-owned business jet inventories in June remained stable at 14.4 percent of the active fleet, “a further sign of stabilization at this very high level.” Used inventories of Cessna, Embraer and Hawker Beechcraft jets decreased, according to the report, “while other OEMs saw inventories rise.” Of the 23 aircraft models tracked by JP Morgan, 12 had higher inventories, 10 were lower and one was flat. Although used inventories appear to have peaked, average asking prices dropped 2.8 percent in June, “decreasing for the seventh straight month,” the report noted. “We expect prices to continue falling to bring the used market toward equilibrium, though this could take some time.”