Are OEM consolidations in the future? | Aviation International News

Are OEM consolidations in the future?

Business aviation forecaster Brian Foley sees a flat decade for the business jet
market with the prospect for OEM consolidations and big changes for

By Mark Huber • Contributor

October 19, 2009

Business aviation forecaster Brian Foley sees a flat decade for the business jet
market with the prospect for OEM consolidations and big changes for fractional providers. “This is basically the lost business jet decade,” he said.

“The OEMs have been down on their luck since the last NBAA,” Foley said. “New sales aren’t going to gain steam until the middle of next year because of the extraordinary inventory of late-model, new-production airplanes. You have white tails that are still parked out there and delivery positions for sale. That puts manufacturers in the position of having some pretty heavy cash outflows without inflows.

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