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Nbaa Business Aviation Fact Book

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Nbaa Business Aviation Fact Book DEDICATED TO HELPING BUSINESS ACHIEVE ITS HIGHEST GOALS. BUSINESS AVIATION FACT BOOK Business Aviation: Just the Facts » Business aviation contributes $150 billion to U.S. » Only about 3 percent of the approximately 15,000 busi- economic output and employs more than 1.2 million ness aircraft registered in the U.S. are flown by Fortune people. General aviation activities – including sales 500 companies, while the remaining 97 percent are oper- of new and previously owned airplanes, as well as ated by a broad cross-section of organizations, including maintenance and other operational support – gener- governments, universities, charitable organizations and ates substantial financial benefits for every state in the businesses – large, medium and small. nation. » Business aviation reaches 10 times the number of U.S. » The vast majority of GA aircraft used for business airports (over 5,000 public-use facilities) than the airlines purposes worldwide are manufactured, operated, do. The majority of U.S. airline flights only go to and serviced and maintained in the U.S. Even the relatively from 70 major airports, and the total number of U.S. small numbers of airplanes that are manufactured destinations served by air carriers has declined. outside the U.S. often are “completed” (outfitted) in the » Business aircraft flights account for just 4 percent of the U.S. with American-made avionics, electronics, systems, total traffic at the busiest airports used by the commer- engines, paint, interiors and other aircraft components. cial airlines. » Business aviation operations are a source of good jobs. » Business aircraft have a safety record that is comparable Flights made by business airplanes require support. to that of the major airlines. Tens of thousands of pilots, maintenance technicians, schedulers, dispatchers, flight attendants, training » Business aviation enables companies to safely trans- professionals, airport employees and other support port tools and materials that cannot be carried aboard personnel are employed in business aviation. airlines. » Companies that utilize business aircraft outperform non- » Since 9/11, the industry has partnered with govern- aviation users in several important financial measures, ment officials to craft and implement enhanced security including annual earnings growth, stock and dividend requirements and best practices that reduce business growth, total share price, market capitalization and other aviation’s vulnerability to terrorist threats. financial yardsticks. » Business aviation has a small carbon footprint and an exemplary environmental record. Aviation emissions are only a tiny fraction of all transportation emissions, and business aircraft emissions are a small portion of those. The industry has a long history of continually leveraging technology to minimize noise and emissions, while improving safety and efficiency. NBAA BUSINESS AVIATION FACT BOOK Table of Contents Section 1: What Is Business Aviation? 4 Profile: Viking Range 8 Profile: Dr. Lance Ferguson 10 Section 2: Business Aviation Means Jobs and Economic Development 12 Profile: International Association of Machinists and Aerospace Workers (IAM) 15 Section 3: Business Aircraft Are Time-Saving Productivity Tools 16 Profile: Berry Companies 18 Section 4: Business Aviation Strengthens Businesses, Communities 20 Profile: Crutchfield Corporation 23 Section 5: Business Aviation Means Helping Communities in Crisis 26 Profile: C&S Wholesale Grocers 28 Profile: Business Aviation HEROs 29 Section 6: Making Safety and Security Top Priorities 30 Profile: Bissell, Inc. 32 Section 7: A Continuing Record of Environmental Stewardship and Progress 34 NBAA Supports Balanced, Effective Approach to Environmental Policy 36 Links 38 CHARTS AND TABLES Passenger Profile by Job Title 6 Number of Aircraft Used by Companies 6 Business Aviation Users vs. Nonusers by Industry Sector Within the S&P 500 6 Reasons for Business Aircraft Use 9 Types of Locations Flown Into 9 U.S. General Aviation and Air Taxi Activity 11 Estimated Billings (in Millions) for U.S.-Manufactured GA Airplane Shipments by Type of Airplane Manufactured Worldwide 14 General Aviation Contribution to U.S. GDP 15 Time Spent Aboard Aircraft 19 Sample State Cost Comparison: Ground vs. Air Transportation 19 Top 20 U.S. Airports Ranked by Itinerant GA Operations 22 Top 20 U.S. Airports Ranked by Itinerant Air Carrier Operations 22 Types of Airports Flown Into by Number of Aircraft 24 Percentage of Trips to Communities That Never Had Scheduled Airline Service 24 Seven Key Enterprise Value Drivers Resulting From Business Aircraft Utilization 25 Worldwide Business Aircraft Fleet Growth 25 Number of Times Business Aircraft Flown for Humanitarian Reasons 28 Aircraft Accident Rates per 100,000 Flight Hours 33 Total Accidents and Fatal Accidents in U.S. General Aviation 33 Contributors to Global Emissions 36 NBAA BUSINESS AVIATION FACT BOOK | 3 SECTION 1 WHAT IS BUSINESS AVIATION? It’s a fact: Business aviation plays a vital role for citizens, companies and communities across the U.S. The industry is vital to the national economic interest, generating over a million jobs, providing a lifeline to communities with little or no airline service, helping thousands of businesses of all sizes to be more productive and efficient, and providing emergency and humanitarian services to people in need. As a subset of general aviation Business aircraft include helicopters, Tokyo, the vast majority of business (GA), business aviation is commonly piston-powered propeller-driven aircraft seat six passengers in a defined as the use of general avia- airplanes and turbine-powered tur- cabin roughly the size of a large SUV tion aircraft for business purposes. boprops and turbojets. Although the and fly average trips of less than General aviation, which encompass- worldwide fleet includes ultra-long- 1,000 miles. To facilitate the conduct es all civil aviation activity except range business jets capable of flying of business, many of these aircraft that of the commercial airlines, is an 20 or more passengers nonstop are equipped with phones and integral and vital part of the world’s between distant international busi- computers with Internet access. transportation system. ness centers such as New York and Fast Facts � Small companies operate the majority of business aircraft. Most companies (59 percent) operating business aircraft have fewer than 500 employees, and seven in 10 have less than 1,000 employees. � Business aviation serves 10 times the number of U.S. airports (more than 5,000) served by commercial airlines (about 500). � Business aircraft users have a dominant presence on “best of the best” lists for the most innovative, most admired, best brands and best places to work, as well as dominate the lists of companies strongest in corporate governance and responsibility, revenue growth and market share, indicat- ing that business aviation is the sign of a well-managed global company. 4 | NBAA BUSINESS AVIATION FACT BOOK “Business aviation is essential to tens of thousands of companies of all types and sizes that are trying to compete in a mar- ketplace that demands speed, flexibility, efficiency and productivity.” WHO USES BUSINESS are based in the dozens of commu- Many companies use business AVIATION? nities across the country where the aircraft to transport personnel Only about 3 percent of U.S. busi- airlines have reduced or eliminated and priority cargo to a variety of ness aircraft are flown byFortune service. Thus, business aviation far-flung company or customer 500 companies, while the remain- provides an essential transporta- locations, including sites overseas. ing 97 percent are operated by a tion link – a lifeline – between these broad cross-section of organizations, smaller companies and communities Business aircraft often are used including governments, universities, and the rest of the world. to bring customers to company charitable organizations and busi- facilities for factory tours, nesses – large, medium and small. product demonstrations or sales Furthermore, most business aviation “Several studies have shown presentations. flights involve time-critical trips by that the productivity and ef- sales, technical and middle manage- ficiency gains from business Companies and individuals, such ment employees, not trips by top aviation translate into tangible as salespeople and doctors, use executives. and quantifiable benefits for business aircraft to cover regional companies, shareholders and territories within several hundred In fact, business aviation is essential the national economy.” miles of their home bases. While to tens of thousands of companies the overwhelming majority of of all types and sizes that must com- business aircraft missions are pete in a marketplace that demands While the organizations that rely on conducted on demand, some speed, flexibility, efficiency and business aviation are varied, they all companies have scheduled opera- productivity. The vast majority of the have one thing in common: the need tions, known as “shuttles.” U.S. companies that utilize business for fast, flexible, safe, secure and aircraft – 85 percent – are small and cost-effective access to destinations NBAA Member Companies mid-size businesses, many of which worldwide: spend about $12 billion each NBAA BUSINESS AVIATION FACT BOOK | 5 SECTION 1 Passenger Profile by Title Passenger Profile by Job Title No Answer/ Other Top Management Number of Aircraft Operated Technical/ 7% Number of Aircraft Used by
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