HeliValue$, Inc. held its quarterly review of The Official Helicopter Blue Book®
on April 1, 2020. Resale pricing adjustments were made for the following helicopter models:
|A109||↓||Pricing and configuration change|
|AW139 Short Nose||↓||Pricing and configuration change|
|AW139 Long Nose||↓||Pricing and configuration change|
|S92A||--||Resale pricing made ACTIVE|
Resale pricing adjustments are based on actual sales transactions and current market conditions such as overall trends in asking prices, increase or decrease in supply, demand, and sales volume. We obtain sales pricing data from owners and operators, lenders and lessors, brokers and equipment manufacturers worldwide.
While we do review all models each quarter, frequently traded models are updated as soon as they begin to show variation from the previously published values. Stay up to date on resale pricing changes by purchasing an annual subscription.
1Q Market Overview
All adjustments and comments were based on the market leading up to April 1, 2020. It is difficult knowing that in the past 28 days when our last pricing meeting was held, the entire world has been turned upside down because of the COVID-19 virus, and the crash of oil prices to unprecedented levels never seen before. The offshore markets were finally showing signs of movement again. Areas that hadn’t seen sales in a while were now starting to see them. Optimism was growing in the industry, brokers were busy again, and deals were closing. I wish I could say the same about the current situation.
Although there were only a few models that needed adjustments, there were plenty of transactions taking place with other models as well. Most transactions are remaining in line with current Blue Book pricing, which is not a bad thing; values remaining steady is seen as a positive in anyone’s eyes these days. The models that did need an adjustment this time are based on numerous transactions outside the previous published pricing, some by a significant margin. This quarter, we saw an increase in the medium and heavy class aircraft sales while the light single class sales have slowed.
Aircraft being parted out are becoming more common these days; it’s only matter of time before parts prices fall through the floor on some models, due to the flooding of the parts markets. Operators tearing down machines to be used in their ongoing operations are seeing the biggest benefit right now, while the ones parting them out as a business are being left with many unsaleable parts off the aircraft.
If by chance you are a helicopter owner or operator and are seeing something other than what is being published, please give me a call at 1-847-487-8258 or shoot me an email at [email protected] and I will be happy to discuss with you. If you have any sales you would like us to know about I would also be happy to discuss with you. Without your willingness to share information, we wouldn’t be here to keep the industry informed and up to date.