New business jet travelers help fuel order recovery during pandemic

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Affluent travelers avoiding commercial flights during the pandemic are helping fuel a recovery in pre-owned corporate aircraft transactions this ...

Affluent travelers avoiding commercial flights during the pandemic are helping fuel a recovery in pre-owned corporate aircraft transactions this year and reviving shoots of demand for new planes even as the business aviation industry braces for a slump in 2020 deliveries.

Corporate planemakers, such as Canada's Bombardier Inc , have been watching to see whether the rebound in leisure flights would translate into new aircraft orders. But pre-owned transactions for the first nine months of 2020 range from flat to down 8per cent, on an annual basis, depending on the data source, surprising aviation analysts Foley and Rolland Vincent. During the third quarter, transactions rose 9per cent to 643, according to Vincent's JetNet IQ data.

Amanda Applegate, a partner at Aerlex Law Group, said she has done post-COVID-19 transactions for new-model Bombardier Challenger 350s, Embraer SA Praetors, along with Gulfstream G500 and G600 jets, some of which were for clients who previously flew commercially.

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