EUROCONTROL Trends in Air Traffic | volume 1 Getting to the Point: Business Aviation in Europe ACKNOWLEDGEMENTS

The initial idea for this study came from Lex Hendriks, Head of the AFN Business Division in EUROCONTROL, who first expressed concerns that the growth in the number of very light jets flying in Europe could present a future problem for Air Traffic Management during an address at the ATC Maastricht Conference in 2005. We have worked closely with him in developing the spec- ifications for this study and we are grateful for his support and his insight.

George Paulson, EUROCONTROL Director of ATM Programmes approved the launch of this series of studies into air traffic market sectors with the objective of increasing the depth of our knowledge and the quality of EUROCONTROL’s traffic forecasts. I am grateful to him for his support and encouragement.

My thanks also go to Bo Redeborn, EUROCONTROL Director of ATM Strategies, who has taken the lead in presenting this study to the Business Aviation com- munity.

Thanks go to Agnieszka Wegner of STATFOR, for doing the ground work for the study; to Lori Rockett and the rest of the team at ALG and ADV Systems for their dedication to the task; to the reviewers at EBAA, EUROCONTROL and else- where who helped to keep us on the right track; and to Conrad Cleasby, Head of the EUROCONTROL DIA Business Division for his advice and guidance.

A special thanks goes to all those across the Industry who gave their time to answer our questions.

Photographs are reproduced by kind permission of the copyright holders. Figure on page 13, copyright Embraer; Figures 36, 38, 48 and figure on page 62 copyright Cessna Aircraft Company; Figure 37, figure on page 39, and front cover copyright Raytheon Aircraft Company.

Of course, the views expressed in this document are those of the author(s) and should not be construed to represent any official policy or view of the EUROCONTROL organisation itself.

David Marsh Series Editor, Trends in Air Traffic

Manager of the Statistics and Forecast Service (STATFOR) EUROCONTROL

Volume Author: David Marsh Editing, Design and Layout: bëelzePub - Creative branding Printing: Drukkerij Gillis EUROCONTROL Trends in Air Traffic | volume 1 Getting to the Point: Business Aviation in Europe

Getting to the Point: Business aviation in Europe

FOREWORD

EUROCONTROL, through its Statistics and Forecast flight movements, was uniquely placed to study this Service (STATFOR), provides a range of air traffic aspect. The result was an informative and useful forecasts for Europe. These forecasts allow civil avi- study, which has been followed by regular statistical ation authorities, air navigation service providers, updates that are much in demand. airspace users, airports and others in the industry to With our continuous analysis of flight and aircraft have a view of the future air traffic situation and data, in support of our own forecasts and other tech- thereby allow them to better focus and scale the nical studies, a number of further market segments development of their respective businesses. In are now being analysed. Under the title Trends in Air developing these traffic growth forecasts, an in- Traffic, we will be systematically publishing these depth study is made into various aspects of air traf- studies so that the analyses they contain can inform fic, such as fleet evolution, changing trends in flight and educate stakeholders across the industry. patterns, and market trends. These studies have been an essential ingredient of our forecasts, but Business Aviation is a traffic sector which is growing have not been used for other purposes – indeed we and changing rapidly. It has, however, been rela- have not published them in the past. tively poorly documented and, therefore, it has been selected as the subject of the first volume in This is now changing. This process started with our this new series of Trends in Air Traffic. Called Getting study on the effect of the so-called Low-Cost to the Point, the report provides a view of business Carriers. It was important to understand this new aviation from the air traffic perspective. We believe market force as it was having an impact on Air Traffic this report will be a useful contribution that will Management, which is EUROCONTROL’s core busi- support the drive for greater safety and capacity in ness. Of course, studies of Low Cost Carriers are European airspace. legion, but they have mostly concentrated on air- ports and passenger statistics; they did not address air traffic movements, which is the primary driver Conrad Cleasby for air traffic control and air traffic management. Head of Data, Information and Analysis Business Division EUROCONTROL, with its historical database of EUROCONTROL

3 SUMMARY

This is a time of change for business aviation in ness aviation departures are from airports with more Europe. New business models have been gaining than 100 IFR departures/day. Providing appropriate ground in the USA for some years. Although the infrastructure at other small airports then becomes legal, social and geographical conditions are differ- the challenge. ent, these new business models are being increas- The network of airport pairs linked by business avi- ingly adapted for use in Europe. The result is that ation has 100,000 links, three times as many links as the business aviation segment is growing faster than the scheduled flight network. The business network the overall air traffic market. However, this growth carries much less traffic and, in some parts of the is not uniform, so we need to ask where the growth industry, for 40% of the time the aircraft are flying will be and how much? empty on positioning flights. Taxiing to the runway today is a new breed of air- Business aviation is not about taking passengers craft. The first ‘very light jets’ (VLJ) will come into from the front cabin of a scheduled flight and flying service this year, many in business aviation roles. them in their own aircraft. Business aviation fills a But how many will there be in Europe and where gap in scheduled services: most business flights are will they fly? between cities not served by scheduled flights. In 2005, 6.9% of all instrument flight rules (IFR) The business and scheduled aviation markets in flights in Europe were business aviation. Since 2001, Europe both have around 700 operators each. Since this segment has grown twice as fast as the rest of business aviation is ten times smaller, this means the traffic. Flights by business jets are growing par- that there are many business operators with only ticularly strongly, 8.9% in 2005, as new business one or two aircraft. These individuals, or small models enable growth that is driven by the needs of firms, have very limited resources to keep up with the global economy, by increasing profits and pros- changes in equipment requirements or other regu- perity, and by a growing acceptance of the econom- lations. ic benefits. Regulation and lack of infrastructure, however, mean that the traffic volumes seen in the Business aviation has its share of long-haul, but only US are unlikely to be seen in Europe in the near about 9% of business flights are over 2000km. Most future. business flights are shorter than average scheduled flight, with nearly half under 500km: for business Business aviation is the real point-to-point form of aviation the taxi is a better metaphor than the ocean air travel. This generates time savings which make it liner. a commercial proposition, not a luxury. But it also spreads the already small volumes of traffic amongst On two narrow but important measurements of a large number of small airports: only 30% of busi- safety, business aviation is improving. With poor

EUROCONTROL Trends in Air Traffic | volume 1 4 Getting to the Point: Business aviation in Europe

Figure 1. The 500 busiest business aviation routes in Europe (2005) carry 29% of all business flights.

data on numbers of passengers, it is difficult to make Such growth presents a number of challenges to air a precise comparison between business aviation and traffic management, in particular: other modes of transport. However, the fatality rates Although there is relatively little business aviation appear higher than those for scheduled flights, but traffic, it generates more and bigger unanticipated similar to travelling the same distance by motorway peaks of demand at airports than does scheduled in the case of turboprops, and similar to rail in the traffic at airports of similar size. This therefore case of business jets. consumes a disproportionate amount of flow- By comparing seven published forecasts, we esti- management resources. At the same time, proce- mate that the European fleet of business aircraft will dures for giving business aviation access to capac- grow by 4% (±2%) per year over the next ten years, ity-constrained airports could be standardised and adding around 1000 aircraft to the existing fleet of improved, from both the business aviation and 2000. It is the jet fleet that will increase fastest, giv- the air traffic management perspectives. ing around 1100 extra flights/day by 2015. This Business aviation tends to use different flight lev- adds 0.4% (points) per year to the total growth in els, but getting the different types of traffic to flight movements. The high-growth case also looks their preferred levels creates additional traffic quite possible, based on manufacturers’ (especially complexity for controllers, particularly given the VLJ manufacturers) expectations, this would give concentration of business aviation in an already nearly 1800 extra flights/day by 2015, adding 0.7% busy airspace. points/year to total growth. This is a significant con- tribution given a current medium-term forecast of The June and September peaks in total traffic are around 3.3% growth/year, in which growth in this likely to get stronger, because much of business sector is currently under-represented. aviation is also busiest in these months.

5 CONTENTS

1. Why look at business aviation trends?...... 7 2. Some definitions ...... 8 3. So what is the business model? ...... 9 4. Growing ...... 10 5. New aircraft, new challenges? ...... 12 6. Business aviation is spread thinly ...... 14 7. The main European states ...... 16 8. An uneven network ...... 18 9. A tailor-made solution – filling a gap...... 22 10. Far from routine ...... 24 11. Seasonal patterns ...... 26 12. Dominated by small firms ...... 28 13. Choosing the right level ...... 30 14. Avoiding delays? ...... 32 15. Taxi or cruise ship? ...... 34 16. Looking ahead ...... 36 17. Improving safety ...... 40 18. Aircraft type trends...... 42 19. Summary and further work ...... 45 A. Annex: Business aviation aircraft types ...... 47 B. Annex: The top 25 airports for business aviation ...... 50 C. Annex: Summary of business aviation per State ...... 53 D. Annex: Summary of traffic per aircraft type ...... 55 E. Annex: Monthly traffic patterns in the busiest States ...... 56 F. Annex: Daily traffic patterns in the busiest States ...... 58 G. Annex: Hourly traffic patterns in the busiest States ...... 60 H. Annex: The largest European business fleets...... 62 I. Annex: Very light jets ...... 63

EUROCONTROL Trends in Air Traffic | volume 1 6 Getting to the Point: Business aviation in Europe 1 WHY LOOK AT BUSINESS AVIATION TRENDS?

This is a time of change for business aviation in Europe. New business models for business aviation have been gaining ground in the USA for some years. Although the legal, social and geographical conditions are different, these new business models are being increasingly adapted for use in Europe. The result is that the business aviation traffic segment is growing faster than the overall air traffic market. However, the growth is not uniform, so we need to ask where and what the growth is.

Taxiing to the runway today is a new breed of aircraft. Here we will call them the ‘very light jets’ and set aside arguments about categories and sub-categories. The first ones are coming into service in 2006, many in business aviation roles. But how many will there be in Europe? When? And where will they fly?

The biggest market segment in air traffic – the scheduled carriers – is well known and well documented. There is no argument that business aviation is different from scheduled, but we do not know how differ- ent. Is business aviation complementary to scheduled aviation, or is it competing both for passengers and for resources?

This report addresses these questions.

This report will be of interest to anyone involved in business aviation. However, we must declare that our perspective is an air traffic manage- ment (ATM) one. That means we are more concerned with need for safe capacity than the need for passengers. What does business aviation need from air traffic management now and in the future, and how does that affect the service ATM provides to other airspace users?

We have used two main seams of data: EUROCONTROL’s rich archives of data on flights; and a study that we commissioned which explored the industry and interviewed a broad sample of those involved in busi- ness aviation in order to obtain a broad overview of how business avi- ation works.

This report brings these two strands together. It provides statistics which summarise business aviation now, considers the future outlook and dis- cusses the implications of both for air traffic management.

7 2 SOME DEFINITIONS

There is no single best definition of ‘business aviation’. For this study, the simplest approach has been selected: business aviation is defined via a list of aircraft types. These aircraft types are listed and discussed in Annex A. They include jet-, turboprop- and piston-engined aircraft.

In some examples the report makes comparisons with scheduled traf- fic, and ‘scheduled’ traffic is taken to consist of all flights filing an ‘S’ (meaning ‘scheduled’) in their flight plans; in other sections the com- parison is with all ‘other’ traffic, which is everything which is not busi- ness aviation, and so includes military, scheduled, charter (using any type of aircraft not on the business aviation list) and non-business gen- eral aviation.

All the flights considered here are operating under ‘instrument flight rules’ (‘IFR’), i.e. under the control of an air traffic controller for some or all of the flight. Statistics on flights under the alternative ‘visual flight rules’ (VFR) are difficult to obtain. However, in interviews sever- al business aviation operators commented that in Europe, VFR is not a viable alternative, for example because of the difficulties of providing their customers with a reliable service in poor weather or at night. We believe the restriction to IFR is not a significant limitation for our analysis.

EUROCONTROL Trends in Air Traffic | volume 1 8 Getting to the Point: Business aviation in Europe 3 SO WHAT IS THE BUSINESS MODEL?

Business aviation is operated under a number of dif- though they are clearly focused on the business trav- ferent business models. The International Business eller. travel on scheduled flights is Aviation Council (IBAC) classifies business aviation excluded. In particular, this exclusion includes a operators in three categories1: growing breed of business class-only flights:

Commercial: Aircraft flown for business purposes Business class-only flights operated for the large by an operator having a commercial operating cer- scheduled carriers are excluded, for example the tificate. Typically these are on-demand charters Privatair service from Düsseldorf to Newark, oper- (“air taxis”), fractional operators, but for the new ated for . very light jets “per seat, on demand” is also pro- A further recent development, scheduled carriers posed. that have started solely to serve the business mar- Corporate: Non-commercial operations with pro- ket are excluded. Eos and Maxjet out of fessional crews employed to fly the aircraft (e.g. London/Stansted to the USA for example. corporate fleets). These are excluded simply because they fall outside Owner Operated: Aircraft flown for business pur- the aircraft-type definition poses by the owner of the aircraft. Rotary-wing aircraft are not included in this report This report covers all three types of operation. in ‘business aviation’, even though the business Inevitably, the definition based on aircraft-type also model or customer base for helicopter services is picks up some operations that are not strictly for often similar. Helicopters flown IFR are in the data, business. For example, aircraft suitable for business and are classified as ‘other’. use are also sometimes used for training, so there is some overlap with training flights in our statistics. Figure 2. ‘Business aviation’ as defined Similarly, military and state flights by these types of here overlaps with other types of flight. aircraft have not been excluded. Some of the ‘business aviation’ types may also be used for hospital flights, and they will be included in the statistics. Figure 2 illustrates the potential over- laps in the definition.

It is worth also considering the types of avia- tion that are not considered ‘business avia- tion’ for the purposes of this report, even

1 Business Aviation Safety Brief, Summary of Global Accident Statistics, 1998-2002, Issue 2, March 2004.

9 4 GROWING

In 2005, 6.9% of all IFR flights in Europe were business aviation. Since 2001, this segment has grown twice as quickly as the rest of air traffic. Flights by business jets are growing particularly strongly, by 8.9% in 2005, as new business models enable growth that is driven by the needs of the global economy, by increasing profits and prosperity, and by a growing acceptance of the economic benefits. Regulation and lack of infrastructure, however, mean that the traffic volumes seen in the US are unlikely to be seen in Europe in the near future.

In 2005 there were nearly 630,000 business flights in Europe, which was 6.9% of all IFR flights in the EUROCONTROL Statistical Reference Area (ESRA)2. This segment of the traffic is growing at twice the rate of total traffic: 22% more flights in 2005 than in 2001, compared to a 10% increase for the rest of air traffic.

In 2005 business aviation grew by 6.3%, but this was not evenly dis- tributed amongst the engine types (jet, turboprop, piston). In spite of the fuel price jump at the end of 2004, the number of flights by busi- ness jets grew by 8.9% in 2005, turboprops had a modest 2.4% increase, and piston aircraft flew 2% fewer flights.

There are many underlying reasons for this growth, for example: glob- alisation means more business travel; since 9/11, there is a general per- ception of greater delays at airports, mostly because of security con- straints; growing prosperity brings this sort of travel within the reach of more companies and individuals; changing European social per- spectives which recognise the value of business aviation rather than seeing it as a luxury; and, a stronger euro making dollar-priced aircraft cheaper.

Couple these reasons with the main enablers - new business models and new aircraft types making business aviation increasingly accessible – and the recipe is for continuing growth.

There are however inhibitors to growth. In particular for business avi- ation: lack of airfield infrastructure is a challenge; and regulation in Europe is different from the US, for example there is a requirement for two pilots on commercial services. In general, as with other air traffic segments, there are questions about the prospect of increasing envi- ronmental regulation and on the future oil price, but if anything busi- ness aviation seems likely to be less sensitive to these than the lower- cost end of air travel.

2 The ESRA (2002) consists of the airspace of , Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Finland, France, FYROM, , , Hungary, Ireland, Italy, Luxembourg, Malta, Moldova, the Netherlands, Norway, Portugal (including Azores), Romania, Slovakia, Slovenia, Spain (including Canary Islands), Sweden, Switzerland, Turkey, and the United Kingdom.

EUROCONTROL Trends in Air Traffic | volume 1 10 Getting to the Point: Business aviation in Europe

Figure 3. Business aviation traffic in Europe has accelerated since 2001.

Business Aviation IFR Arrivals & Departures

Year ■ Jet ■ Piston ■ Turboprop

Figure 4. Since 2001, the number of business flights has been growing faster than average, with jets leading the way.

Growth of Daily Business Other Arrivals & Departures at Airports in ESRA All Jet Piston Turboprop

1998 3.6% 8.8% -1.2% -3.1% 6.5% 1999 -0.1% 6.4% -10.7% -7.5% 7.0% 2000 1.7% 6.2% -11.2% -2.4% 4.2% 2001 -3.2% -2.5% -8.4% -2.9% -0.7% 2002 2.5% 4.0% 3.0% -1.1% -1.5% 2003 4.4% 5.0% -5.4% 6.8% 3.2% 2004 7.3% 10.2% 1.9% 1.8% 4.2% 2005 6.3% 8.9% -2.0% 2.4% 4.0%

11 5 NEW AIRCRAFT, NEW CHALLENGES?

The first deliveries of very light jets are due in 2006. It is clear that their low price and operating costs open up new possibilities, but the size of this new market under European conditions remains an open question.

To add to the already robust growth of the market, 2006, will see new aircraft types come into service: the very light jets (VLJs).

Technology now allows the manufacture of less expensive, lighter jets with lower cost of operation. The first VLJ aircraft are scheduled for delivery in 2006, with certification already advanced for the Eclipse 500, Cessna Mustang and Adam A700. Further VLJ models, such as the Embraer Phenom 100, are planned for certification within two years. Annex I describes some VLJs in more detail and section 16 examines the question of future growth.

The VLJ manufacturers are relying on their ability to bring new users into the business jet market, due to the performance characteristics and affordability of the new product. The companies believe that the low acquisition and operating costs will persuade owners of piston and turboprop aircraft to trade up to the jet market. Since there are nearly ten times as many people in Europe with wealth of $5-30M compared to those with more than $30M, it is clear that halving the costs of jet ownership far more than doubles the potential for private ownership.

Figure 5. The number of high wealth individuals in Europe increases very quickly as the threshold for ‘high wealth’ decreases.3 Number of individuals (1,000s)

■ Wealth >$30M ■ Wealth $5M-$30M

3 World Wealth Report 2005, Capgemini and Merrill Lynch.

EUROCONTROL Trends in Air Traffic | volume 1 12 Getting to the Point: Business aviation in Europe

The Embraer Phenom 100 is one of the aircraft looking for a share of the very-light jet market (See Annex I for more details.)

Another point in favour of the VLJ is its ability to land on shorter airstrips, thereby accessing more airfields that are potentially less con- gested and closer to final destinations. Later sections will show how this is already true for existing business aircraft types.

A key cost factor for VLJs is that of single pilot operation. Unlike the USA, most European countries currently require two pilots for all com- mercial flights. If there are no changes to legislation on this issue, the economic arguments for VLJs may not be as convincing in Europe, particularly for air taxi operations. Moreover, given the VLJ’s short range there will be less spill-over from US growth than for the current mix of business jets, some of which often cross the Atlantic.

Until recently, supersonic jets seemed relevant only to the long-term forecast. Two companies (Aerion and SAI) are planning jets that are expected to launch around 2012/2013, but though supersonic aircraft could be a market successes in the long term, in the next ten years they are expected to have only a small market niche and not to make a great impact on the general business aviation market activity due to high prices (~$80M). Aerion’s forecast suggests a demand for 250-300 air- craft worldwide over ten years.

13 6 BUSINESS AVIATION IS SPREAD THINLY

Business aviation is the real point-to-point form of air travel. This generates time savings which make it a commercial proposition, not a luxury, but it also spreads the already small volumes of such air traffic amongst a large number of small airports: only 30% of business aviation departures are from airports with more than 100 IFR departures/ day. The challenge is to provide the infrastructure that is needed at other small airports.

There has been much discussion of the relative mer- ing more passengers, which makes small aircraft its of point-to-point and hub-and-spoke operations operations doubly unattractive to some airports. for scheduled aviation, but it is business aviation that The slot allocation and flow management process- provides the ultimate in point-to-point service. In es work best for aircraft operators with a regular many cases, the main reason for taking business avi- pattern of flights planned months ahead. ation rather than a scheduled service is that it takes the customer from the nearest airport to their starting For a fractional operator or air taxi firm working to point to the nearest airport to their destination. This ten hours notice, in effect this makes smaller air- saves time in ground transfers and in aircraft changes. ports the only option. It also means that their cus- € An hour in a turbo-prop might cost 2000, a jet tomers do not always get what they want: connect- € € 3000- 6000, but if you are a large multinational ing with a long-haul flight at a major airport, for company needing frequent transfers of staff between example. offices in cities that are not linked by scheduled serv- ices, if you need rapid access to a once-a-year event, It therefore comes as no surprise to see that, in 2005, or if you have factories to visit where labour costs are only 30% of business departures were from airports low and transport infrastructure less developed, then with 100 or more departures per day (see Figure 6 the business case can be made. left-hand side). For all IFR flights 60% of departures are from airports with 100 or more departures per In addition to the specific requirements from pas- day (see Figure 6 right-hand side). sengers to fly to the nearest airport, in any case there can be difficulty in accessing the largest airports. As a result, the busiest 100 business aviation airports Many of the bigger airports in Europe are geared to have only 60% of the business traffic whereas the scheduled traffic: top 100 airports for all traffic together have 75% of all movements (see Figure 6.) In fact, across Europe, Their business models are built on throughput of both the market concentration of scheduled airports passengers so, with runway capacity scarce, air- and business airports is very low. The Herfindahl- craft carrying large numbers of passengers are Hirschman index is the standard way of measuring more attractive. market concentration4. A score of 1000 or more is considered ‘moderate concentration’. Measured as a In addition, lighter aircraft are more sensitive to whole, the airports in either class have market con- the turbulent wake vortices generated by other air- centration of only 70-120, so scheduled and busi- craft; a lighter aircraft cannot land so close behind ness airports are not that different on this parameter a heavy aircraft as a second heavy aircraft can. and are not concentrated, even if locally the choice Therefore a small business jet takes more of the may be more limited. scarce landing time than a much larger jet carry-

4 It is calculated as the sum of the squared market shares in percent: so an industry with three companies with 40%, 30% and 30% market shares would have an index of 402+302+302=3400.

EUROCONTROL Trends in Air Traffic | volume 1 14 Getting to the Point: Business aviation in Europe

Figure 6. Business aviation is a small market spread thinly: more than half of traffic is from airports with fewer than 50 departures/day. (2005)

Business Aviation Departures All Departures

Figure 7. Business aviation Cumulative share of departures is a small market spread

thinly: the top 100 airports All have only 60% of the traffic. The top 100 airports overall Business have 75% of the traffic.

Rank of Airport (Busiest to Least Busy)

Statistics for business aviation at airports in 2005 are does not justify the investment; only 11% of the given in Annex B. 1100 airfields in Europe5 able to accept business avi- ation have fixed-base operators providing specialist This distribution of traffic suggests that, if they do ground handling, servicing and other support for not need access to a major hub, business aviation business aviation. customers are getting the provision they need: a true point-to-point service. But providing the This is not a question of VIP lounges, because the ground infrastructure is a challenge. Of course, business traveller does not want to spend time in there are large airports that are geared to business lounges, although crews may need rest areas. aviation and have business models that suit: Instead the need is for ground transport, fuel, main- Geneva for example. There are also airports that tenance, catering and, because Europe still has so specialise in business aviation, such as Le Bourget, many borders and half of business flights cross those Farnborough or Torrejon. Elsewhere, the traffic borders, customs facilities.

5 116 of 1178 civilian airports with paved runways over 600m. Sources: ALG analysis of Handbook of Business Aviation in Europe 05-06 and Aircraft Charter World Appendix.

15 7 THE MAIN EUROPEAN STATES

Business aviation is concentrated in six European States, with Switzerland in particular having twice the share of business aviation compared to its share of the rest of the air traffic market.

Business aviation is concentrated in six States in Europe, each with more than 5% (100 business movements per day) of business depar- tures and between them accounting for 69% of all business departures in 2005. Five of these States have a 5% or larger share of total depar- tures, and they are joined by Switzerland, which has only 2.4% of other departures. Between them, Germany and France account for one third of all business aviation departures, compared to less than a quarter for other traffic. (Figure 8, Figure 9 and with more detail in Annex C)

Figure 8 Business departures are concentrated in six States. (2005 total figures.)

Business Aviation Departures Other Departures

From an ATM point of view, overflights are also important. Figure 10 shows the total number of business movements in each airspace, divided into local traffic (departing from or landing at an airport there) and overflights. Here the big six are joined by Austria, Belgium/Luxembourg (a combined air traffic zone) and the Netherlands, with more than 100 movements per day, and a signifi- cant proportion of business aviation overflights.

EUROCONTROL Trends in Air Traffic | volume 1 16 Getting to the Point: Business aviation in Europe

Figure 9. Excluding overflights, six states had more than 100 business movements per day in 2005.

Figure 10. When overflights are added in, there are nine States with more than 100 business movements per day in 2005.

FLOW ■ Local ■ Overflight

17 8 AN UNEVEN NETWORK

The network of airport pairs linked by business aviation has 100,000 links, three times as many links as the scheduled network. It carries much less traffic and, for some parts of the industry, the aircraft fly empty 40% of the time on positioning flights.

Air traffic is often described as using a network, with airports as the nodes and the routes between them as the links. Scheduled traffic uses some links more often than others, from a minimum of once a week in the Summer up to 60 times per day every day for busy links such as Madrid to Barcelona. Figure 11 shows this regularity: there were near- ly 30,000 airport pairs in the scheduled network in 2005. Some 3000 airport-pairs are connected by scheduled flights one or two times per week, and around 1000 are connected seven times per week.

Business aviation also follows a network, but it is a very strange net- work. The business aviation network has three times as many links as the scheduled services, nearly 100,000 in 2005. However, as Figure 11 shows, most of the airport pairs (note the logarithmic scale) served by business aviation are flown less than once per week.

For scheduled traffic, the number of flights from airport A to airport B matches the number of flights back again. Figure 12 (right-hand side) shows that nearly all of the traffic has a similar number of flights from A to B as B to A. The rare exceptions are the occasional circular route, technical stops, and flights filed as ‘scheduled’ which were not.

For business aviation, perhaps surprisingly, there is also a significant portion of the traffic between airport pairs which see the same num- ber of flights in both directions. These might be frequent links used by company shuttle services for example, or cases of non-business avia- tion use of an aircraft type from our business aircraft list. But the majority of business aviation flights are on airport pairs served seven to nine times in one direction for every ten in the other. One of the causes of this could be air taxi or fractional positioning flights. A rate of four positioning flights in every ten flights would not be unusual, and worse than one to one can happen (e.g. in the least efficient case, a flight from A to pick up passengers in B to take them to C, to return to the home base at A). On the extreme left of Figure 12 the largest number of airport pairs and still a significant portion of the business aviation traffic – are the routes served mostly in one direction.

EUROCONTROL Trends in Air Traffic | volume 1 18 Getting to the Point: Business aviation in Europe

Figure 11. Business aviation Number of Airport Pairs rarely flies the same route twice. Nearly all business airport pairs are flown less than once a week. For scheduled traffic there are as many airport pairs flown ten times/week as once/week.

Mvts/Week Business Scheduled

Figure 12. Business aviation is less there-and-back than is scheduled. Nearly all scheduled traffic has the same number of trips from A to B as from B to A (right-hand graph, large bubble). Business aviation commonly has only 0.7-0.9 return trips, and has nearly 30,000 airport pairs flown in only one direction in 2005.

Number of Airport Pairs (Bubble size indicates traffic) Number of Airport Pairs (Bubble size indicates traffic)

Ratio: (Flights A to B)/(Flights B to A) Ratio: (Flights A to B)/(Flights B to A)

Network management tools that match flights more efficiently to demand are still in their infancy. The future growth of demand for business aviation will make network management easier, but what ‘critical mass’ of flights is required for this is not clear. Yield manage- ment tools could also increase the scope for filling up the positioning or return flights, by finding a price that attracts demand for seats that would otherwise be empty. However, that too requires a large-enough market.

19 Geographically, the network is different from the scheduled network. Figure 13 makes clear that the scheduled network is organised around the capital cities or main population centres, where the large carriers have their bases. Darker lines indicate busier routes. The 500 routes shown had some 8,200 movements/day in 2005: 41% of all scheduled traffic.

Figure 14 shows the top 500 business aviation routes. In total they rep- resent 500 movements/ day in 2005, only 29% of all business traffic. So while the darker lines had more than one movement/day, the lighter ones will not have been used every day. Figure 15 shows how this net- work concentrates traffic along a London-Rome axis, taking in Paris, Geneva, Cannes and Milan on the way and with more than 50 business movements per day in some areas. There are also a number of spe- cialised markets: Moscow, the Norwegian Fjords and some island serv- ices being obvious examples.

This illustrates how business aviation is not about providing a multi-func- tional network that meets all needs, or about ferrying people from the wet North-West to the sunny South. Instead it links specific major business centres, often at short range. As business aviation traffic grows, this could create its own problems: adding a large proportion of its traffic to an area that is already the busiest airspace in Europe.

Figure 13. The top 500 bi-directional scheduled aviation routes (2005) carry 41% of scheduled flights between the main population centres and the hubs show up very clearly.

EUROCONTROL Trends in Air Traffic | volume 1 20 Getting to the Point: Business aviation in Europe

Figure 14. By contrast, the top 500 bi-directional business aviation routes (2005) carry just 29% of business aviation between a narrower range of cities.

Figure 15. The densest business traffic is in a region roughly extending from London to Rome.

21 9 A TAILOR-MADE SOLUTION – FILLING A GAP

Business aviation is not about taking passengers from the front cabin of a scheduled flight and flying them in their own aircraft. Business aviation fills a gap in scheduled services: most business flights are between cities not served by scheduled flights.

Business aviation flies when it is needed and cuts out check-in times, but it has another advantage which is less well documented: flying where it is needed.

In 2005, nearly 100,000 different airport pairs were flown by business aviation. Of these airport pairs, only 5% had a scheduled alternative: at least one scheduled flight per working day. (Here, a flight from air- port A to B is separate from a flight from B to A, so one per working day gives a there-and-back-in-a-day option to travellers.) Figure 16 shows these data and emphasises just how little overlap there is between airport-pairs served by scheduled and business aviation.

Of course, as we have already discussed, specific customer demand and difficulties of airport access mean that business aviation often flies to different airports than scheduled: Madrid/Torrejon rather than Barajas; Paris/Le Bourget rather than Charles de Gaulle; London/Luton, Farnborough and several others instead of Heathrow or Gatwick. Only two of the busiest ten airports overall have more than 3% business avi- ation (see Figure 44 in appendix B.)

Even if we switch to looking at city pairs, the pattern remains. In Figure 17, major airports at cities such as London and Paris have been grouped together. The overall number of pairs of cities is of course smaller.

In this figure, the size of the bubble indicates the number of business flights. It is clear that a significant portion of business aviation is between a few cities well-served by scheduled (four or more times/day in each direction). However, most of the traffic and the large majority of the routes are between cities that have an infrequent scheduled service, i.e. less than weekly. So, both in terms of airport- pairs and city-pairs, business aviation fills a gap in the schedules.

EUROCONTROL Trends in Air Traffic | volume 1 22 Getting to the Point: Business aviation in Europe

Figure 16. Business aviation typically flies airport pairs that are not covered by scheduled services.

Number of Airport Pairs served by Business Aviation

Maximum Frequency of Scheduled Movements on this Airport Pair

Figure 17. Most business aviation in 2005 was between 80,000 city pairs not served by scheduled services.

Number of City Pairs (Bubble size indicates traffic)

Maximum Frequency of Scheduled Service on this City Pair

23 10 FAR FROM ROUTINE

Although there is relatively little business aviation traffic, at airports it generates more and bigger peaks at short notice compared to scheduled traffic. This therefore consumes a disproportionate amount of flow-management resources.

We’ve seen already that the large majority of airport pairs are flown by business aviation less than once a week (Figure 11). This follows natu- rally from the service-on-demand principle which typifies business avi- ation. However, this high level of service does not lead to a uniformly thin and light loading on the total air traffic network.

One of the factors that helps to manage the flow of air traffic is its reg- ularity. Scheduled services and to a lesser extent (tourist) charter traf- fic are regular, following a rather uniform, predictable pattern. This regularity of the bulk of flights is a great assistance, whether for resource planning a few months in advance as part of network plan- ning, pre-tactical planning on the day before, tactical flow manage- ment on the day, or air traffic control once airborne.

A particular interest for EUROCONTROL is flow and capacity manage- ment, which the Agency is responsible for coordinating across Europe, through its Central Flow Management Unit (CFMU). Flow manage- ment aims, in real time, to match demand to the available capacity: it is safer, more cost-effective and better for the environment if an air- craft waits on the ground before departing rather than be held en route or prior to arrival in the air, or to overload particular sectors of air- space.

Figure 18 illustrates the peaks in business aviation demand. The dia- gram focuses on airports of the size typically used by business aviation, with up to 100 business or scheduled departures per day. The figure contrasts the average daily traffic in the period with the busiest day. For scheduled traffic there is some variation – a 20% difference between weekday and weekend day is not unusual, for example – and in most cases with the scheduled traffic there is little more than this. Where there are bigger differences, perhaps because of tourist change- over days, these are scheduled well in advance and are manageable.

EUROCONTROL Trends in Air Traffic | volume 1 24 Getting to the Point: Business aviation in Europe

Figure 18. Business aviation generates more, bigger peaks at quieter airports: the maximum daily departures are often several times as big as the average. (Illustrated are airports with up to 100 business or scheduled departures/day in 2005.)

Max. Daily Departures

Median Daily Departures

▲ Scheduled✖ Business

The business aviation pattern is much more varied, with many cases where the busiest day carries twice or even higher multiples of the average traffic. Again, some of this variation is due to week-weekend variation, but there are also particular airports where the business avi- ation demand occurs at very specific periods: trade and business con- ferences, such the World Economic Forum or film festivals; sporting events, such as Formula 1 Grand Prix; or political summits. Particular examples of these are seen in Annex B (Figure 43): Samedan is the air- port used during the World Economic Forum and Speyer airport is used for the German Grand Prix.

Even where they can be anticipated, these peaks can demand specific air traffic flow and capacity management measures to ensure safe, orderly and expeditious flow not only at the airport, but also in the surrounding airspace.

25 11 SEASONAL PATTERNS

Business aviation follows different seasonal patterns from the rest of the air traffic. There is typically a strong drop in demand in July and August. During the week Tuesday-Thursday have most demand, rather than the usual Monday & Friday peaks; and Saturday has only half the demand of the mid-week peak. Departures are on average more uniformly distributed during the day, but start later and end earlier.

Seasonality can be looked at in three ways: month- ly variable weekly patterns, especially holiday desti- to-month variation; variation by day of the week; nations such as Spain (Figure 20, right), so general- and variation by hour of the day. Data for the ising across all States about the complementarities busiest States are presented in Annexes E to G. The of weekly demand is difficult. questions to ask are: does business aviation have dif- The same variation means that there are few gener- ferent seasonal patterns from the rest of aviation, alisations to be made about hourly seasonality and does this make it easier or less easy to share (Figure 21). For the busiest States shown in Annex scarce capacity in the air and on the ground? G, there is typically a fairly uniform demand during The monthly traffic patterns of business aviation the day, with a slight lunchtime dip, but the mostly show a pronounced dip in demand in July demand begins later and ends earlier than for the and August (Figure 19, left). Even in Switzerland rest of air traffic. For this other traffic, hubbing cre- (Figure 19, right) this is true, although Switzerland ates peaks in the departure flows that are not in evi- has an additional ski-season peak in February- dence for business aviation. March. This Summer dip frees up capacity for holi- The figure shows the average departures in each day traffic and in that sense is quite complementa- hour for business aviation and for all other move- ry. But June and September are increasingly the ments. In the case of business aviation, the average busiest months of the year, and as business aviation itself can be misleading because there is so much - with its June and September peaks – grows, this variation from day to day. So for each hour of the trend will be reinforced. day the busiest hour of the year is also shown: this During the week, there is most demand for business pale blue line is thus made up of hours not from one aviation from Tuesday to Thursday (Figure 20, left) day but from many during the year. In the case of and only half that peak demand on a Saturday. So Switzerland (Figure 21, right), the busiest hour this also complements the Monday and Friday peaks (14:00-15:00) had 29 business departures, more than exhibited by the rest of air traffic – but weekend the average at this hour for all other traffic. capacity is not needed. Individual States have high-

EUROCONTROL Trends in Air Traffic | volume 1 26 Getting to the Point: Business aviation in Europe

Figure 19. Business aviation has a June and September peak, and an August dip. (2005 Monthly traffic patterns in the ESRA (left) and Switzerland (right), excluding overflights.)

Month Month

■■ Business Movements/Day ■■ Other Movements/Day ■■ Business Movements/Day ■■ Other Movements/Day

Figure 20. Business aviation has a mid-week, not Monday & Friday, peak, and a big dip on Saturdays. (2005 daily traffic patterns in the ESRA (left) and Spain (right), excluding overflights.)

Day Day

■■ Business (Average over week=1) ■■ Other ■■ Business Movements/Day ■■ Other Movements/Day

Figure 21. On average, business aviation is fairly uniformly distributed in a shorter working day than other traffic. (2005 Hourly pattern of departures in France (left) and Switzerland (right).)

Hour (UTC) Hour (UTC)

■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour ■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour

27 12 DOMINATED BY SMALL FIRMS

The business and scheduled aviation markets in Europe both have around 700 operators each. Since business aviation is ten times smaller, this means that there are many business operators with only one or two aircraft. These individuals, or small firms, have very limited resources to keep up with changes in equipment requirements or other regulations.

The business aviation market in Europe has nearly 700 operators. Just six of these operators have more than 1% of market, i.e. they fly more than 1% of the business flights. Figure 22 shows how few large opera- tors there are: and in this diagram one of the largest operators is an artificial grouping of a number of operators for whom there is incom- plete data. In addition, this analysis does not include business aircraft flying routinely in Europe, but registered elsewhere.

Another perspective on the same issue is aircraft ownership. Our analy- sis shows that nearly 85% of business aviation operators registered in Europe have fewer than five aircraft in their fleet. Indeed, as Figure 23 shows, 39% have just one aircraft. The owners of the largest European fleets are listed in Annex H. Please note that these figures do not include are other business aircraft which fly into Europe but are based elsewhere – Russia, USA, the Gulf Region being prime examples – or are registered elsewhere.

The scheduled market in Europe has roughly the same number of oper- ators, but is more concentrated, with 22 scheduled operators having more than 1% of the scheduled market.

With the same number of operators in a market which is ten times smaller, this means that there are a large number of individuals and very small firms who make up the bulk of the business aviation indus- try. As a result, they bring local knowledge and detailed understand- ing of the passengers’ needs, but no economies of scale and no spare resources.

In the future, the number of large fleets is likely to increase, as some operators have large orders of VLJs. However, there is also likely to remain a large number of operators with very few aircraft.

EUROCONTROL Trends in Air Traffic | volume 1 28 Getting to the Point: Business aviation in Europe

Figure 22. There are few business aviation operators with more than 1% of the market (number of flights).

Number of Operators

53.3%

23.7%

9.7%

5.0%

2.6% 1.8% 0.8% 0.6% 0.4% 0.4% 0.6% 0.2% 0.2% 0.6%

Share of business aviation flights

Figure 23. Indeed, 85% of them have fewer than five aircraft.

Number of firms

Fleet size

Source: JP Commercial-Fleet International 05/06 and ALG analysis.

29 13 CHOOSING THE RIGHT LEVEL

Business aviation prefers to fly in several narrow ranges of altitude. Although this is sometimes due to avoidance of flight levels busy with other traffic, and hence delays, in fact this increases the competition and interaction with other users.

Every IFR flight files a requested flight level (RFL) in There is a second traffic cluster at FL280 and below. its flight plan. Each flight level is 1000 feet high, so Many business aviation trips are short, so it is effec- flight level 35 is at approximately 35,000 feet up. tive to stay low, below traffic and hence reduce the For clarity of communication, a zero is added, so potential for any en route delays. It also avoids flight level 35 is written FL350. The RFL is chosen by Reduced Vertical Separation Minimum (RVSM) air- the operator based on the performance of the air- space6, which is at FL290 and above. To enter RVSM craft, the most efficient level, the distance travelled, airspace airframes require specific equipment and the weather, traffic and other factors such as antici- approval. It is noticeable that few turboprops ask for pated congestion. The RFL is often, but not always higher than FL290 – the main exceptions are the the level at which the aircraft cruises. B350 (e.g. Beech Super King 350) in the low 300s and the P180 (Piaggi 180) in the upper 300s. The Figure 24 shows the RFLs filed by business aviation Eclipse VLJ is reported as having an optimum level in 2005. It tells a number of stories: of around FL310 and the Phenom 100 FL350-370. 28% of business aviation has a RFL of 350 or above: At lower altitudes, differences in business aircraft operators say they like to stay above the bulk of the type are evident, with a significant number of piston traffic and manufacturers say that operators are aircraft with maximum RFLs of FL190-200. always asking for better performance at high levels. However, the rest of the air traffic has a strong clus- As business and other traffic grows this clustering of ter around 350: about 38% of other flights ask for demand will increase the scope for competition in FL330-370. Five years ago, there was little other traf- two ways: business and other aircraft will want the fic above FL350, but the main flow of scheduled same levels, and where the two traffic segments are traffic is flying higher as new aircraft come into serv- looking for different levels, the need for other air ice. This is producing an overlap between business traffic to pass through layers of business aviation to and other traffic. Furthermore, high-flying business get to their desired level, and vice versa. flights still need to pass through the busy levels to get up to their RFL which generates complexity for air traffic controllers.

6 http://www.ecacnav.com/RVSM, where vertical separation is 1000 rather than the usual 2000 feet.

EUROCONTROL Trends in Air Traffic | volume 1 30 Getting to the Point: Business aviation in Europe

Requested Flight Level Figure 24. Requested Flight Levels of business aircraft (2005). (Shading shows density of non-business traffic.)

Movements / Day

ENGINE TYPE ■ Jet ■ Piston ■ Turboprop

Business Aviation IFR Arrivals & Departures Figure 25. Only at the longest ranges do business jets get above the main flow of traffic (2005). (Shading shows density of non- business traffic.)

Distance between Origin and Destination (km)

ENGINE ■ Jet ■ Piston ■ Turboprop

31 14 AVOIDING DELAYS?

Business aviation’s twin strategies for avoiding delays – using smaller airports, and avoiding congested flight levels – succeeded in giving lower-than-average delays during 2005. Of the two, the airport strategy was more successful, the majority of delays for business aviation are en route.

Earlier sections have described how difficulties in access mean that business aviation avoids the main airports, but how the customer requirement for access with minimum delays influences this too. The previous section showed business aviation choosing less congested flight levels. The question is does business aviation achieve fewer delays by these means?

Operationally, some business flights are more time-sensitive than oth- ers: “ferry-in” flights, when an aircraft might arrive 90 minutes early to pick up passengers, are less time-sensitive than flights actually carrying passengers.

Two sorts of delay are often quoted. The Central Office for Delay Analysis (CODA) (www.eurocontrol.int/ecoda) is the authoritative source of data on both, collating data from the CFMU and from airlines.

Air traffic flow and capacity management (ATFCM) delays, which are applied to prevent overloads of air traffic control at airports or en route. Data on these are available for all IFR flights.

The total delay from all sources. This includes ATFCM delay, plus delays due to operational problems of airlines or at airports, such as late baggage, security delays etc. Data on these delays are available for a large sample of scheduled flights from CODA. ATFCM delay may be only 10-20% of the total.

Data on total delay for business aviation is far from complete, so the data here have been limited to ATFCM delays.

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Figure 26. Business aviation is successful in avoiding ATFCM delays (2005 data).

Type Fraction of Movements ATFCM Delay/Movement ATFCM Delay/Delayed Delayed (minutes) Movement (minutes)

Total 17.8% 1.9 10.7 Business 13.4% 1.7 12.8 Scheduled 19.0% 2.0 10.4 Other 13.1% 1.6 12.2

Figure 27. Business aviation experiences more en route than airport ATFM delays. (2005 data.)

Airport Airport

Type: Business N/K Type: Scheduled N/K

En Route En Route

Figure 26 shows statistics on ATFCM delay in 2005. Fewer business avi- ation flights (13.4%) were delayed than the average (17.8%) and busi- ness aviation clearly did better than scheduled traffic (19% delayed). The average ATFCM delay per movement was also lower, at 1.7 min- utes, than scheduled or all traffic data. However, those business flights that were delayed on average had worse delays than average (12.8 min- utes), so the delays for business flights were concentrated in a few instances.

Of the two strategies – avoiding congested airports and avoiding con- gested flight levels – it is the former which is more successful. Figure 27 shows that in 2005 scheduled traffic had a roughly even split between ATFCM delays because of airport capacity and due to capaci- ty issues in en route airspace. Business aviation, on the other hand, had proportionately more en route delays. As section 13 reported, this is in part because the highest flight levels, which were previously used predominantly by business aviation, are increasingly being used by scheduled traffic.

33 15 TAXI OR CRUISE SHIP?

Business aviation has its share of long-haul journeys, but only about 9% of business flights are over 2000km. Most business flights are shorter than scheduled flights, with nearly half under 500km: for business aviation the taxi is a better metaphor than the ocean liner.

The majority of business aviation does not fit the image of the inter- continental, jet-set traveller. There are certainly long- and medium- haul routes as the map in Figure 14 showed, but for the bulk of busi- ness aviation, the air taxi is a more accurate metaphor than the ocean liner. Only 30% of scheduled flights in Europe are under 500km (Figure 28), but for business aviation 47% are under 500km and the most common range is 300-400km (Figure 29).

This requirement for shorter distances is reflected in the large propor- tion of turboprop and piston aircraft in the business aviation fleet. However, as Figure 30 shows, even business jets fly shorter distances (average 602km in 2005) than scheduled traffic (average 673km), where scheduled traffic includes both jets and turboprops.

Some of the short distances are determined by the aircraft rather than the passenger. For example, depending on the load and the aircraft type, it might be necessary to stop off to re-fuel on a trip between Marrakech and London. Many of the stops shown at Shannon on Figure 14 will be re-fuelling stops too.

Just as business aviation links airports that scheduled aviation does not (section 9), it also serves distances over which scheduled traffic, with its fixed timetables and extended check-in times, can not practicably serve.

EUROCONTROL Trends in Air Traffic | volume 1 34 Getting to the Point: Business aviation in Europe

Figure 28. IFR Movements/Day Scheduled services in Europe fly a broad 15.7% range of distances.

12.3%

10.6% 9.5%

6.6% 6.0% 5.6% 5.0%

3.7% 3.7% 3.1% 3.2% 2.4% 2.0% 2.1% 2.2% 1.6% 1.5% 1.7% 1.1% 0.4%

Direct Distance (km)

Figure 29. IFR Movements/Day 47% of business aviation

flights are less than 12.5%

500km. 11.4% 11.0%

10.1%

9.4% 8.9%

5.8%

4.9%

3.9% 3.4% 3.3% 3.0% 2.4% 1.7% 1.7% 1.5% 1.3% 1.1% 1.1% 0.8% 0.9%

Direct Distance (km)

ENGINE TYPE ■ Jet ■ Piston ■ Turboprop

Figure 30. Airport Pairs Median Distance Mean Distance Summary of traffic by (km) (km) distance and type. Business Jet 73045 601.5 1100.8 Piston 14499 196.6 284.0 Turboprop 36401 332.5 420.9 Other 108535 1024.3 1553.9 Scheduled 29614 672.5 1423.3

35 16 LOOKING AHEAD

By comparing data from seven published forecasts, we estimate that the European fleet of business aircraft will grow by 4% (±2%) per year over the next ten years, adding around 1000 aircraft to the existing 2000. It is the jet fleet that will increase fastest, at 6.5% (±2.5%) per year giving around 1100 extra flights/day by 2015. This adds 0.4% (points) per year to total flight movement growth. The high-growth case also looks possible, based on manufacturers’ expectations, and this would add nearly 1800 extra flights/day by 2015, adding 0.7% points/year to total growth. This is a significant contribution given a current medium-term forecast for all traffic of around 3.3% growth/year, in which this business aviation growth is probably under-represented.

Forecasts for business aviation all predict growth in new jet sales over the next decade, but disagree as to the extent of the growth. Worldwide forecasts for total deliveries of new jets range from Walsh Aviation’s low projection of 636 jets per year, to Pratt & Whitney’s 1,220 per year. With 10-year replacement rates expected at 25-33%, and a European share of 12-15%, Europe could see a total jet fleet of between 1,600 and 2,600 aircraft by 2015 (up from a base of 1,090 in 2005).

Figure 31. Forecasted Business Jet Aircraft Deliveries 7

Worldwide Forecasted Forecast Period Yearly Deliveries Total Value Replacement Europe % of Deliveries billions US$ Rate for Period New Deliveries Pratt & Whitney 12,200 2004 – 2013 1,220 Rolls-Royce 22,500 2005 – 2024 1,125 300 33% Forecast International 10,900 2004 – 2013 1,090 135 Embraer 9,680 2006 – 2015 968 144 18.4% Honeywell 9,900 2005 – 2015 900 156 25% 15% Teal Group 7,417 2005 – 2014 742 107 26% 12% Walsh International 6,356 2005 – 2014 636

Source: Company published forecasts

Factors that were cited as contributing to the forecasted figures are:

Order intakes: The high number of fixed orders reported by manu- facturers. A total of 800 jets were ordered worldwide in 2004 and an increase of 11% has been seen as of October 20058.

Growth trend: The accelerated rate of orders seen in 2004 is contin- uing.

7 Honeywell, “Business Aviation Outlook,” presented at NBAA 2005, Orlando, November 2005; Teal Group, “Business Jet Market Overview,” by Richard Aboulafia (In World Aircraft Sales Magazine, June and July 2005); Forecast International Press Releases, 7 October 2003, 21 October 2004; Walsh Aviation, “Business Jet Aircraft Market Outlook and Forecast,” at SpeedNews 19th Annual Aviation Industry Suppliers Conference, March 2005; Rolls-Royce, “Business Jet Review and Forecast,” presented at NBAA 2005, Orlando, November 2005.

8 Honeywell Business Aviation Outlook 2005

EUROCONTROL Trends in Air Traffic | volume 1 36 Getting to the Point: Business aviation in Europe

Used aircraft inventory decline: The inventory of previously-owned aircraft is declining, from a peak of 16% in 2001 down to 13% in January 20059.

New products: All forecasts take into account new products, but these expectations differ for very light jets. Collectively the VLJ man- ufacturers predict annual production of 1,000 jets. Some industry analysts view this as optimistic, as the number exceeds current total annual jet sales for all types of business jets. Rolls Royce estimates that one-third of the forecasted business jet deliveries will be VLJs. Honeywell expects a demand for 4,500-5,500 VLJs over the next ten years for private owners (corporate and individuals). Embraer expects 2,500-3,000 VLJs worldwide for air taxi services (2006-2015). There is a great deal of interest in VLJs from other aviation sectors, such as logistics, training or other aerial work. This interest is includ- ed in the airframe manufacturers’ sales expectations, upon which the engine manufacturers base their forecasts. For the more business aviation focused Teal Group forecast, VLJ expectations are not as high. The Teal Group declares itself “taxi agnostic”, assigning VLJs less than 20% of their total forecasted figures10.

Fractional Ownership: Fractional fleets are growing in Europe and expected to continue to do so. Ownership at the levels seen in North America is unlikely to occur, however, due to legislative and tax dif- ferences between these regions. Instead, greater importance is given to card programmes, where clients buy flight hours instead of actu- al shares in an aircraft. At present, fractionals account for 10-15% of the global business jet production and this percentage is expected by some forecasters to increase to between 20-30%11 over the next ten years, while others expect it to remain in the 10-15% range12, which may be more appropriate for Europe.

Economic growth: World economic growth is expected to continue to follow current positive trends.

Emerging international markets: Since 2003 new business jets deliv- ered outside of the U.S. have increased from 22% of the total to approximately 27%13. In the long term, economic growth expecta- tions for countries like China, Russia and India will account for much of the growth. Growth in Russia in particular will affect Europe as their fleets travel to and from other European destinations.

9 AMSTAT Corp.; Rolls Royce 2005 Forecast

10 Teal Group Forecast, June 2005

11 Teal Group Forecast; Honeywell Business Aviation Outlook 2005

12 Embraer.

13 Airclaims, Rolls Royce 2005 Forecast

37 By looking across the forecasts provided by the various companies, we have estimated that there will be in the range of 1,600-2,600 jet aircraft in service in Europe, with a median projection of around 2,100. This is up from the 1,090 in service in 2004, and means that the business jet fleet will nearly double in ten years (see Figure 32). There is a qualita- tive change in deliveries in this forecast: until last year 60-80 addition- al jets per year (net of retirements) was a good year. In the base case a rate of 90-100 is sustained, and in the high case nearly 150 deliveries/year. So the high case given here would encompass Eclipse’s prediction of 50 deliveries/year for Europe.

Figure 32. Forecast Scenarios for Europe 2006-2015

Jet Total European Business Fleet 2015 Scenario Worldwide Yearly Europe % of European Deliveries Yearly Jet Turboprop Piston Deliveries New Deliveries Over Ten years Replacement rate High Growth 1,220 15% 1,830 1.7% 2,620 700 400 Central Forecast 928 13.5% 1,253 2.3% 2,060 650 300 Low Growth 636 12% 763 2.9% 1,630 600 250

Source: Published forecasts and ALG analysis

Forecast International expects the civil turboprop market to remain stable over the next ten years, with yearly deliveries increasing by around 10% until 200814. They see the majority of this growth in sin- gle-engine turboprops, which are more likely to compete with VLJs on price and operating costs, and are seen as a logical step up for piston aircraft owners. While growth is not expected in twin engine turbo- props, their sales will remain stable as many corporate flight depart- ments insist on the redundancy of two engines.

Many business aviation users may consider migrating to VLJs over the long term, but long waiting lists preclude immediate deliveries. Some of these customers will seek a turboprop solution in the shorter term. After 2008, turboprop deliveries are expected to slow, as the availabili- ty of VLJs increases. A market for turboprops will still remain after the cost efficient jets arrive, most notably for use at high altitudes and in rural areas that have airfields with short runways15. In addition, turbo- prop performance over short distances is similar to that of a jet aircraft; as controls in congested airport areas prohibit the realisation of full jet speeds, and short distances discourage climbing to high flight levels.

14 Forecast International Press Releases, 7 October 2003, 21 October 2004.

15 “The VLJs Will no Doubt Be Popular, but Don’t Count Turboprop Singles Out Yet,” Aviation International News, 29 June 2005.

EUROCONTROL Trends in Air Traffic | volume 1 38 Getting to the Point: Business aviation in Europe

For Europe, business turboprop deliveries have averaged around 20 air- craft a year since 200016. An aging fleet (over 40% of the turboprop fleet is 25 years or older) implies that many of the turboprop purchases have been for replacement, but we do expect a small fleet increase in the next few years, as the Eastern European fleet expands and as jet- like performance becomes available, notably with the Piaggio Avanti. In total, we predict a modest 15% increase in European turboprop fleet size over the ten years, from a base of 567 aircraft in 2005, to 650 tur- boprop aircraft in 201417.

With a slight decrease in piston aircraft, we expect to see the total busi- ness fleet registered in Europe (jets, turboprops and piston) to increase to about 3,000 aircraft, up from the 2,000 in service in 2005.

At current rates of flying, this means a further 1100 flights/day, most- ly by jets. In the high growth case, which is quite achievable on man- ufacturers’ expectations of VLJ deliveries, there would be nearly 1800 more flights/day by 2015. This growth is under-represented in the baseline EUROCONTROL medium-term forecast – and would make the high-growth scenario for all flights from the medium-term forecast more likely.

H25B is the third busiest business aircraft type (here Hawker 850XP).

16 JP -Fleets International 2005/2006.

17 Ibid.

39 17 IMPROVING SAFETY

On two narrow but important measurements of safety, business aviation is improving. With poor data on numbers of passengers, it is difficult to make a precise comparison between business aviation and other modes of transport. However, the fatality rates appear higher than those for scheduled flights, but similar to travelling the equivalent distance by motorway in the case of turboprops, and similar to rail in the case of jet flights.

According to the data in a five year study of business aviation safety, a total of 405 accidents were reported worldwide from 1998-200218. The study examined business turbine powered aeroplanes, and found that 72% of the accidents were related to turboprop aircraft, while 28% took place with jets. The accident rates improved between 1999 and 2002, with jets safer than turboprops in terms of rates as well as in absolute terms.

Figure 33. Global Business Aviation Accident Rates per 100,000 Hours Flown

■ Accident Rate■ Fatality Rate

As we have seen, even within Europe, scheduled and business aviation fly different distances to and from different airports, so a perfectly- matched comparison of the safety records of the two is not possible. For guidance, a comparison has been made using statistics per depar- ture, in order to reduce the differences in typical operating distances between the two segments. The results are shown in Figure 34 and indicate that globally, business aviation operations by jet could improve their record further, if scheduled jet operations are used as a benchmark.

18 IBAC Business Aviation Safety Brief, Issue 2, 10 March 2004.

EUROCONTROL Trends in Air Traffic | volume 1 40 Getting to the Point: Business aviation in Europe

Since business aviation is typically short-range, say 500km (see section 15), it is illuminating to compare accident rates with that of motorway and rail travel, which at that distance could be viable alternatives. In Europe, rates are variable, but on average motorway travel suffers 7.5 fatalities per billion passenger kilometres travelled19 and the rate for rail travellers is around 0.9 fatalities per billion passenger kilometres. Making a low assumption of four passengers per aircraft and using the median business jet flight length of 600km, the 0.22 fatality rate for business aviation jet departures worldwide (Figure 34) approximates to one fatality per billion passenger kilometres travelled. Without know- ing how much European safety rates are better than world averages, this appears to suggest the business jet is safer than taking the car, and of the same order as travelling by train. Even with a higher world fatal- ity rate, shorter distances (say 330km, from Figure 30) travelled and assuming around eight passengers per trip, turboprops have a fatality rate of perhaps six per billion passenger kilometre, similar to that of motorway travel.

Figure 34. Global Accident Rates per 100,000 Departures 20

■ Business Aviation Jets (1998 to 2002) ■ Business Aviation Turboprops (1998 to 2002) ■ Scheduled Commercial Jets (1994 to 2004)

19 Traffic Safety Basic Facts 2004: Motorways, SWOV Institute for Road Safety Research, http://europa.eu.int/comm/transport/care/studies/doc/safetynet/ SN-SWOV-1-3-BFS-Motorways_022005.pdf

20 Sources: Business Aviation Safety Brief, IBAC, March 2004; Statistical Summary of Commercial Jet Airplane Accidents, Worldwide

41 18 AIRCRAFT TYPE TRENDS

Six jet aircraft types each have more than 4% of business flights. The business turboprop market is more concentrated; the BE20 (e.g. King Air B200) flies almost 10% of all the business flights in Europe put together. Just two piston types are in the top 25, with around 2% of business flights each in 2005.

Figure 35 shows the 15 business aircraft types that fly the most in Europe (for the top 25 see Figure 47 in Annex D). In particular for the jets, these figures will include a significant number of aircraft regis- tered outside Europe but which fly occasionally or routinely here.

Share of Business Aviation Movements Figure 35. There are six business jet types with more than 4% of the business market (2005 data).

Aircraft type

ENGINE TYPE ■ Jet ■ Piston ■ Turboprop

A handful of turboprop types (BE20, BE9L and C208) fly most of the turboprop flights and similarly two piston aircraft types (BE58, PA31) dominate the piston category. Of these five, the fastest growing are the Beech King Air (BE9L) at 8.7% more departures in 2005 than 2004 and the Cessna Caravan (C208) with 2.9% growth, but these two models still have a long way to go to challenge the BE20 (e.g. Beech Super King Air) which has 40% of the turboprop departures.

The business jet market is less concentrated and changing more rapid- ly: even the busiest two jet types C550 (e.g. Cessna 550) and H25B (e.g. Raytheon ) flew 11 or 12% more departures in 2005 than in 2004. Fastest growing out of the top 25 is the C25A (Citation CJ2) with 50% more departures in 2005.

EUROCONTROL Trends in Air Traffic | volume 1 42 Getting to the Point: Business aviation in Europe

Figure 36. C550 is the busiest business jet in Europe (Here Citation Bravo shown)

Figure 37. BE20 is the business aircraft type with most departures in Europe (here King Air B200 shown)

Figure 38. Cessna CJ2 is the fastest growing jet in the top 25 (Here CJ2+ shown)

In terms of the number of flights per day, business aviation lacks the same predictability that comes with scheduled airline services, but based on these statistics and discussions with operators it is possible to estimate some typical usage rates. Hours flown per aircraft vary by the type of operator, with individuals usually not flying over 250 hours a

43 year. Charter operators represent the other extreme, with aircraft reg- istering up to 1,200 hours a year (see Figure 39). In contrast, an airline will fly a long-range aircraft upwards of 5,000 hours per year, although overall commercial aircraft use averages around 2,000 hours per year.

Figure 39. Estimated Hours Aircraft Operator Hours Flown Annually Flown by Business Aviation Owner 150-250 Operators Corporate 200-600 Charter/Taxi 600-1200

Source: Interviews with manufacturers and operators

Business aircraft usage in Europe averages 0.60 flights per day. When broken down between charter fleets and corporate users, the numbers are quite different, with charter fleet aircraft estimated at 0.67 flights per day (just under five per week), and corporate aircraft at 0.3 flights per day (two flights per week).

Figure 40. Estimated Flights Aircraft Operator Hours Flown Annually Flights per Week per Business Aviation Aircraft Corporate 0.3 2 by Operator Type Charter/Taxi 0.67 4.7

Source: Operator interviews and EuroControl flight statistics

EUROCONTROL Trends in Air Traffic | volume 1 44 Getting to the Point: Business aviation in Europe 19 SUMMARY AND FURTHER WORK

Business aviation is growing. The driving forces are: growing corporate and personal spending power; globalisation that means companies are increasingly spread across many locations and countries; new technol- ogy that makes business aviation increasingly efficient and affordable; new business models that suit new customers; and travellers who are less willing to accept the perceived or actual hassles of travelling by scheduled services.

There are a number of areas where further investigation is needed, especially:

The way in which the differing flight level requirements of business aviation and the rest of the industry will interact in the future;

Peaks in demand at airports on particular days: when they occur and how they could better be mitigated;

At the same time, how to improve procedures for giving business avi- ation access to capacity-constrained airports;

How to make the most of the complementary aspects of business and scheduled demand, especially as a way to manage the growing lack of capacity at major airports by growing business aviation at sec- ondary airports;

The environmental impact of this segment of the air traffic was a question we would like to have answered. However, a particular issue here is the limited information on the number of passengers, so there was little of substance to report. Further work is needed.

The evolution of business aviation, geographically and in terms of the mix of aircraft types, needs to be explored in more depth and, in particular, monitored over the next few years. The medium-term forecast method will be refined in response to this study.

45 EUROCONTROL Trends in Air Traffic | volume 1 46 Getting to the Point: Business aviation in Europe

A. ANNEX: BUSINESS AVIATION AIRCRAFT TYPES

There is no single best definition of ‘business avia- The approach means that the largest business jets, tion’. An economic study might define it using the such as the Boeing Business Jet or even B747 conver- purpose of the trip, but then business flights can sions are excluded, because in our data they have only be identified by asking the traveller. This is the same type-code as their counterparts used for both costly and sensitive to interpretation. Another scheduled services, but these large aircraft probably approach would be to use a list of aircraft operators, make up less than 10% of the business fleet. such as members of the European Business Aviation Other cases include the Piper34, which are owned Association, but this list changes from year to year, mostly by business operators, but are used more by and especially for business aviation, may miss the training operators, and so in the end these types large number of very small operators who do not were also excluded from the list. join the association. For this study ‘business aviation’ was all flights by EUROCONTROL has a rich archive of flight data. aircraft with the ICAO codes listed in Figure 41 The definition chosen was selected to allow these (ICAO Doc8643/33). It is likely that some of the data to be exploited most efficiently. A number of models listed for a particular ICAO code are not fly- methods of definition were considered: combining ing in Europe, or are included for historical com- aircraft types, where they flew and who the aircraft pleteness. Furthermore, codes change with time, so operators were. But the simplest – business aviation the historical data in section 4 are based on this list, defined as a list of aircraft types – captured the plus additional codes where necessary because of essence of this segment of air traffic, and its simplic- code changes. ity means it is clear what the statistics presented relate to. The other definitions used are: ‘scheduled’ traffic, which consists of all flights filing an ‘S’, the ICAO Of course, there were discussions about what should code for ‘scheduled’, in their flight plans; and be included and what should not. A typical problem ‘other’ traffic, which is everything which is not busi- was with respect to the same aircraft types used by ness aviation, and so includes military, charter, some operators for training and by others for busi- scheduled, and general aviation. ness. We reviewed the fleets in Europe to make the selection which is given here. All the flights here are ‘IFR’ flights, that is flown under ‘instrument flight rules’, i.e. under the con- trol of an air traffic controller.

47 Figure 41. ICAO aircraft types used to define ‘business aviation’.

Engines Typical Seats ICAO ID Manufacturers and Models Wake Turbulence Category

Jet ASTR IAI : GULFSTREAM 100 (C-38) ; 1125 ASTRA M 2 8 BE40 BEECH : 400 BEECHJET (T-400) M28 RAYTHEON : 400 BEECHJET M28 C25A CESSNA : 525A CITATION CJ2 L27 C25B CESSNA : 525B CITATION CJ3 L2. C500 CESSNA : CITATION 1 ; 500 CITATION L 2 6 C501 CESSNA : 501 CITATION 1SP L26 C525 CESSNA : CITATION CJ1 ; 525 CITATIONJET L 2 7 C550 CESSNA : S550 ; 552 CITATION 2/S2/BRAVO ; 550 L 2 11 C551 CESSNA : 551 CITATION 2SP L211 C560 CESSNA : 560 CITATION 5/5 ULTRA/5 ULTRA ENCORE M 2 8 C56X CESSNA : 560XL CITATION EXCEL M 2 10 C650 CESSNA : 650 CITATION 3/6/7 M210 C680 CESSNA : 680 CITATION SOVEREIGN M 2 14 C750 CESSNA : 750 CITATION 10 M28 CL30 BOMBARDIER : BD-100 CHALLENGER 300 M 2 8 CL60 : CL-600 CHALLENGER 600/601/604 (CC-144, CE-144) M 2 19 EA50 ECLIPSE : ECLIPSE 500 L25 F2TH DASSAULT : FALCON 2000 M219 F900 DASSAULT : MYSTèRE 900 ; FALCON 900 M 3 19 DASSAULT-BREGUET : FALCON 900 M 3 19 FA10 DASSAULT : MYSTèRE 10 ; FALCON 10 M 2 7 DASSAULT-BREGUET : MYSTèRE 10/100 ; FALCON 10/100 M 2 7 FA20 DASSAULT : MYSTèRE 20 ; FALCON 20 M 2 14 DASSAULT-BREGUET : MYSTèRE 20/200 ; FALCON 20/200 M 2 14 FA50 DASSAULT : MYSTèRE 50 ; FALCON 50 M 3 16 DASSAULT-BREGUET : FALCON 50 M 3 16 GALX IAI : GULFSTREAM 200 ; 1126 GALAXY M 2 19 GL5T BOMBARDIER : BD-700 GLOBAL 5000 M 2 . GLEX BOMBARDIER : BD-700 GLOBAL EXPRESS M 2 13 GLF2 GRUMMAN : G-1159B GULFSTREAM 2/2B/2SP ; G-1159 M 2 19 GULFSTREAM AMERICAN or GRUMMAN AMERICAN : G-1159B/TT GULFSTREAM 2/2B/2SP/2TT ; G-1159 M219 GLF3 GULFSTREAM AEROSPACE : G-1159A GULFSTREAM 3/SRA-1 (C-20A/B/C/D/E) M 2 19 GULFSTREAM AMERICAN : G-1159A GULFSTREAM 3/SMA-3 M 2 19 GLF4 GULFSTREAM AEROSPACE : G-1159C GULFSTREAM 4/4SP/SRA-4; G300, G350, G400, G450 M 2 19 GLF5 GULFSTREAM AEROSPACE : G-1159D GULFSTREAM 5 (C-37); G500, G550 M 2 19 H25A DE HAVILLAND : DH-125 M27 HAWKER SIDDELEY : HS-125-1/2/3/400/600 ; DOMINIE M 2 7 H25B BRITISH AEROSPACE : BAE-125-700/800 (C-29) M 2 8 HAWKER SIDDELEY : HS-125-700 M 2 8 RAYTHEON : HAWKER 800 (U-125) M 2 8 H25C BRITISH AEROSPACE : BAE-125-1000 M 2 9 RAYTHEON : HAWKER 1000 M29 HF20 MBB or HFB : HFB-320 HANSA M2. HRZN RAYTHEON : 4000 HAWKER HORIZON M 2 12 JCOM AERO COMMANDER : 1121 JET COMMANDER M 2 . IAI : 1121 COMMODORE JET M2. L29A LOCKHEED : L-1329 JETSTAR 6/8 M 4 . L29B LOCKHEED : L-1329 JETSTAR 2/731 M 4 . LJ23 LEAR JET : 23 L26 LJ24 LEAR JET or GATES : 24 L 2 6 LJ25 LEAR JET or GATES LEARJET : 25 L 2 8 LJ28 GATES LEARJET : 29 ; 28 L210 LJ31 LEARJET or GATES LEARJET : 31 M 2 9 LJ35 GATES LEARJET : 36 ; 35 M210 LEARJET : 35 M210 LJ40 LEARJET : 40 M2.

EUROCONTROL Trends in Air Traffic | volume 1 48 Getting to the Point: Business aviation in Europe

LJ45 LEARJET : 45 M29 LJ55 LEARJET or GATES LEARJET : 55 M 2 10 LJ60 LEARJET : 60 M26 MU30 MITSUBISHI : MU-300 DIAMOND M 2 8 PRM1 RAYTHEON : 390 PREMIER 1 L27 S601 AEROSPATIALE : SN-601 CORVETTE L 2 8 SBR1 NORTH AMERICAN : TP86 ; NT-39 SABRELINER ; NA-265 SABRELINER 40/50/60 M 2 7 NORTH AMERICAN ROCKWELL : SABRE 40/60 ; NA-265 SABRELINER 40/60 M 2 7 ROCKWELL : NA-265 SABRE 40/60/65 M 2 7 SBR2 NORTH AMERICAN ROCKWELL : NA-265 SABRE 75 M 2 7 ROCKWELL : NA-265 SABRE 75/80 M 2 7 SJ30 SWEARINGEN or SINO SWEARINGEN : SJ-30 L 2 6 WW23 IAI : 1123 WESTWIND M2. BE55 BEECH : 55 Baron L25 Piston COLEMILL : President 600 ; Foxstar Baron 55 L 2 5 BE56 BEECH : Turbo Baron ; 56 Turbo Baron L 2 . BE58 BEECH : 58 Baron L25 COLEMILL : Foxstar Baron 58 L25 RAYTHEON : Baron ; 58 Baron L25 C340 CESSNA or A3VIONES COLOMBIA : 340 L 2 6 RILEY : Super 340 ; Rocket 340 L26 C411 CESSNA : 411 L28 C414 AVIONES COLOMBIA : 414 L29 CESSNA : CHANCELLOR ; 414 L29 RILEY : ROCKET POWER 414 L29 C421 CESSNA : GOLDEN EAGLE ; EXECUTIVE COMMUTER ; 421 L 2 9 PA31 AICSA : PA-31-350 Navajo Chieftain ; PA-31-350 Chieftain ; PA-31-325 Navajo CR ; PA-31-310 Navajo ; Navajo Chieftain ; Navajo CR ; Navajo ; Chieftain L 2 9 CHINCUL : Pressurized Navajo ; PA-A-31P-425 Pressurized Navajo ; PA-A-31-350 Navajo Chieftain ; PA-A-31-350 Chieftain ; PA-A-31-325 Navajo CR ; PA-A-31-310 Navajo ; Navajo Chieftain ; Navajo CR ; Navajo ; Chieftain L 2 9 COLEMILL : Panther Navajo ; Panther 3 ; Panther 2 L 2 9 NEIVA or EMBRAER : Navajo ; EMB-820 Navajo L 2 9 PIPER : T-1020 ; Pressurized Navajo ; PA-31P-425 Pressurized Navajo ; PA-31P-350 Mojave ; PA-31-350 T-1020 ; PA-31-350 Navajo Chieftain ; PA-31-350 Chieftain ; PA-31-325 Navajo CR ; PA-31-310 Navajo ; PA-31-300 Navajo ; Navajo Chieftain ; Navajo CR ; Navajo ; Mojave ; Chieftain L 2 9 PA44 AICSA : Seminole ; PA-44 Seminole L 2 3 PIPER : Turbo Seminole ; Seminole ; PA-44 Turbo Seminole ; PA-44 Seminole L 2 3 PA46 PIPER : PA-46-310P/350P MALIBU ; MALIBU MIRAGE L 1 . BE10 BEECH : 100 King Air L210 Turboprop BE20 BEECH : Commuter ; 200 Super King Air ; 1300 Commuter L 2 14 RAYTHEON : 200 Super King Air L214 BE30 RAYTHEON or BEECH : 300 Super King Air L 2 15 BE9L BEECH : King Air (90, A90 to E90) ; 90 King Air ; 90 (E90) King Air ; 90 (D90) King Air ; 90 (C90) King Air ; 90 (B90) King Air ; 90 (A90) King Air L 2 9 RAYTHEON : King Air ; 90 King Air L 2 9 SWEARINGEN or JETCRAFTERS : Taurus 90 L 2 9 BE9T BEECH : King Air (F90) ; 90 (F90) King Air L 2 9 C208 CESSNA : Super Cargomaster ; Grand Caravan ; Cargomaster ; Caravan 1 ; 208 Super Cargomaster ; 208 Grand Caravan ; 208 Cargomaster ; 208 Caravan 1 L 1 14 C425 CESSNA : CONQUEST 1 ; 425 CORSAIR L 2 8 C441 CESSNA : CONQUEST 2 ; 441 CONQUEST L 2 10 P180 PIAGGIO : P-180 Avanti L27 PAY2 AICSA : PA-31T-620/T2-620 CHEYENNE 2 L 2 7 CHINCUL : PA-A-31T-620 CHEYENNE 2 L 2 7 PIPER : PA-31T-620/T2-620 CHEYENNE ; CHEYENNE 2 L 2 7 SCHAFER : COMANCHERO 620 L 2 7 PAY3 PIPER or AICSA : PA-42-720 CHEYENNE 3 L 2 10 PAY4 PIPER : PA-42-1000 Cheyenne 400 ; Cheyenne 400 L 2 10 PC12 PILATUS : PC-12 L18 TBM7 TBM or SOCATA : TBM-700 L1.

49 B. ANNEX: THE TOP 25 AIRPORTS FOR BUSINESS AVIATION

This annex gives three views of business aviation at airports:

Figure 42 shows the airports with the highest average number of business departures per day;

Figure 43 shows the airports with the highest proportion of business departures per day (limited to those with at least two business depar- tures per day);

Figure 44 shows the busiest airports overall, and the proportion of business aviation that they had in 2005.

Paris/Le Bourget is the busiest business aviation airport in Europe (Figure 42). Even though it is not growing as quickly as lower-ranking airports, it is well ahead of the others with an average of 65.6 depar- tures per day. Of the top 25 airports, it was Geneva/Cointrin which had the busiest day in 2005: 123 departures on 19 May, three times its typical day, during the European Business Aviation Convention & Exhibition (EBACE).

Figure 42. Airports with the most business departures (2005 compared to 2004).

Rank Previous ICAO Code Airport 2005 Business 2004 Business Business % Busiest Rank Deps/Day Deps/Day Growth Business Business Day

1 1 LFPB PARIS LE BOURGET 65.6 64.9 1.0% 87% 115 2 2 LSGG GENEVE COINTRIN 40.9 38.7 5.7% 20% 123 3 3 LIRA ROMA CIAMPINO 36.1 32.3 11.8% 39% 72 4 4 LIML MILANO LINATE 35.8 32.1 11.6% 21% 83 5 5 EGGW LONDON/LUTON 31.0 27.7 11.8% 22% 68 6 7 LFMN NICE 26.9 23.3 15.6% 15% 107 7 6 LSZH ZURICH 26.7 26.8 -0.7% 7.6% 66 8 8 EGLF FARNBOROUGH CIV 20.8 19.2 8.6% 87% 44 9 12 LOWW WIEN SCHWECHAT 20.3 17.6 15.5% 5.9% 48 10 9 EDDM MUENCHEN 2 20.2 18.8 7.4% 3.7% 48 11 11 LETO MADRID TORREJON 20.1 17.8 12.8% 69% 43 12 10 EDDS STUTTGART 17.7 17.9 -0.6% 8.8% 38 13 13 LFMD CANNES MANDELIEU 16.1 15.1 7.0% 87% 46 14 14 EDDK KOELN-BONN 13.9 14.2 -2.6% 6.6% 30 15 18 LEBL BARCELONA 13.8 12.1 14.4% 3.3% 49 16 15 LEPA PALMA DE MALLORCA 13.5 12.9 5.0% 5.4% 34 17 20 EBBR BRUSSELS NATIONAL 13.1 11.1 18.6% 3.9% 41 18 17 EDDL DUESSELDORF 13.0 12.3 5.2% 4.7% 31 19 16 EDDI TEMPELHOF-BERLIN 12.8 12.8 -0.0% 35% 42 20 22 EHAM SCHIPHOL AMSTERDAM 12.5 11.0 14.0% 2.2% 34 21 31 EGLC LONDON/CITY 12.5 8.9 40.1% 13% 32 22 19 EDDF FRANKFURT MAIN 12.0 12.1 -0.3% 1.7% 41 23 24 EGKB BIGGIN HILL 11.6 10.0 15.2% 86% 28 24 25 LIEO OLBIA COSTA SMERALDA 11.2 9.6 16.5% 30% 69 25 23 ENGM OSLO/GARDERMOEN 11.1 11.0 1.5% 4.0% 24

EUROCONTROL Trends in Air Traffic | volume 1 50 Getting to the Point: Business aviation in Europe

There are many small airfields where most of the traffic is business avi- ation. To concentrate on the larger ones, the statistics in Figure 43 are limited to airfields with at least ten business aviation departures on one day in 2005.

For this table, the ranking may be sensitive to the definition of ‘busi- ness aviation’. Top of the list is a military airfield.

For these small airports, the busiest day is of more relevance to air traf- fic management, for example:

Samedan is used during the World Economic Forum meeting in Davos – and the busiest day is ten times the average traffic;

Speyer is used during the German Grand Prix, when it has more than five times the typical amount of traffic.

Section 10 discusses busiest day issues in more detail.

Figure 43. Airports with the highest proportion of business departures.

Rank Previous ICAO Code Airport Business Other Proportion Business Busiest Examples: Busiest Rank Deps/Day Deps/Day Business Growth Day Date 2005

1 3 ETOU WIESBADEN 3.9 0.4 90% 4.5% 16 2 4 LSZS SAMEDAN 3.6 0.4 90% 9.0% 36 30/1/05: World Economic Forurm, Davos 3 1 EGWU NORTHOLT 10.6 1.2 89% -3.8% 32 4 2 EDRY SPEYER 2.6 0.3 89% 6.4% 12 24/7/05: German Grand Prix, Hockenheim 5 5 LFPB PARIS LE BOURGET 65.5 9.5 87% 0.9% 115 7/10/05: (Closed 6/10) 6 6 LFMD CANNES MANDELIEU 16.1 2.4 87% 7.0% 46 23/5/05: Cannes Film Festival 7 7 EGLF FARNBOROUGH CIV 20.8 3.1 87% 8.5% 44 8 9 EGKB BIGGIN HILL 11.6 1.8 86% 15% 28 9 10 LSGS SION 4.2 0.7 86% 15% 14 10 8 LFTZ LA MOLE 2.9 0.6 82% -1.1% 15 11 12 EDMO OBERPFAFFENHOFEN 2.5 0.8 75% 30% 12 12 11 EDTY SCHWAEB.HALL-HESSENT 2.9 1.1 73% 44% 11 13 17 LETO MADRID TORREJON 20.1 8.9 69% 13% 43 14 15 LFLY LYON BRON 6.0 3.0 67% 14% 18 15 13 LFPV VILLACOUBLAY 5.6 2.8 67% ( 18%) 18 16 14 LFRZ SAINT NAZAIRE 2.3 1.3 63% -1.5% 12 17 23 LIRE PRATICA DI MARE 4.8 3.1 61% 5.9% 14 18 22 EGBJ GLOUCESTERSHIRE 1.5 1.0 61% 9.5% 12 19 18 LFRM LE MANS ARNAGE 1.2 0.8 58% 4.6% 20 19/6/05: Le Mans 24–hour Race 20 21 EGSC CAMBRIDGE 2.3 1.8 57% 0.9% 11 21 20 LFQG NEVERS FOURCHAMBAULT 0.7 0.5 56% -4.9% 28 22 19 LFRG DEAUVILLE 2.3 1.8 56% ( 15%) 13 23/8/05: Horse Racing Meeting 23 16 EDTL LAHR 1.4 1.1 54% 13% 10 24 26 ESTL LJUNGBYHED 2.0 1.7 54% 2.0% 14 25 24 EDVE BRAUNSCHWEIG 6.4 6.2 51% -5.0% 18

51 None of the busiest ten airports in Europe had more than 4% business aviation in 2005. Of the top five airports, all but Amsterdam/Schiphol had less business aviation in 2005 than in 2004.

Figure 44. Business aviation at the busiest airports for all traffic (2005).

Rank ICAO Code Airport Total Business Proportion Business Busiest Deps/Day Deps/Day BUsiness Growth Business Day

1 LFPG PARIS CH DE GAULLE 726 1.5 0.2% -17.6% 9 2 EDDF FRANKFURT MAIN 690 12.0 1.7% -0.3% 41 3 EGLL LONDON/HEATHROW 664 3.5 0.5% -12.0% 12 4 EHAM SCHIPHOL AMSTERDAM 577 12.5 2.2% 14.0% 34 5 LEMD MADRID BARAJAS 573 1.8 0.3% -24.7% 15 6 EDDM MUENCHEN 2 546 20.2 3.7% 7.4% 48 7 LEBL BARCELONA 424 13.8 3.3% 14.4% 49 8 LIRF ROME FIUMICINO 424 0.5 0.1% 77.0% 7 9 EKCH COPENHAGEN KASTRUP 372 3.9 1.0% 12.1% 14 10 EGKK LONDON/GATWICK 360 2.7 0.8% 4.4% 11 11 LSZH ZURICH 350 26.7 7.6% -0.7% 66 12 LOWW WIEN SCHWECHAT 344 20.3 5.9% 15.5% 48 13 EBBR BRUSSELS NATIONAL 337 13.1 3.9% 18.6% 41 14 ESSA STOCKHOLM-ARLANDA 323 2.7 0.8% -3.0% 9 15 LIMC MILANO MALPENSA 319 4.6 1.4% 3.6% 13 16 EGCC MANCHESTER 316 4.6 1.4% 0.8% 19 17 LFPO PARIS ORLY 312 0.5 0.2% -5.3% 10 18 LTBA ISTANBUL-ATATURK 284 8.2 2.9% 6.3% 53 19 ENGM OSLO/GARDERMOEN 277 11.1 4.0% 1.5% 24 20 EDDL DUESSELDORF 274 13.0 4.7% 5.2% 31 21 EGSS LONDON/STANSTED 264 6.4 2.4% -4.9% 26 22 EFHK HELSINKI-VANTAA 258 6.3 2.5% 2.5% 17 23 LEPA PALMA DE MALLORCA 250 13.5 5.4% 5.0% 34 24 EIDW DUBLIN 249 10.2 4.1% 11.3% 24 25 LGAV ATHINAI E. VENIZELOS 241 8.8 3.6% 5.7% 23

EUROCONTROL Trends in Air Traffic | volume 1 52 Getting to the Point: Business aviation in Europe

C. ANNEX: SUMMARY OF BUSINESS AVIATION PER STATE

Figure 45. Total IFR Business Aviation per State (2005 v 2004), including overflights.

Traffic Zone 2005 Business 2004 Business Business Growth Growth of Movements/Day Movements/Day Total Movements

Albania 11.9 9.4 26.9% 11.2% Armenia 1.4 0.9 45.4% 8.0% Austria 182.0 158.1 15.1% 10.2% Azerbaijan 2.5 1.5 62.7% 20.2% Belarus 28.1 22.1 27.5% 9.6% Belgium/Luxembourg 159.8 144.7 10.4% 2.8% Bosnia-Herzegovina 24.4 20.7 18.1% 26.8% Bulgaria 31.4 24.8 26.9% 10.6% Canary Islands 15.1 11.4 32.3% 5.2% Croatia 57.6 48.3 19.2% 17.8% Cyprus 31.4 25.2 24.6% 1.6% Czech Republic 74.3 64.4 15.3% 8.5% Denmark 63.4 60.6 4.6% 0.1% Estonia 10.7 9.2 17.3% 5.5% FYROM 11.7 8.7 34.8% 5.6% Finland 28.4 28.2 0.5% 0.0% France 615.6 584.0 5.4% 3.4% Georgia 2.8 2.1 34.4% 14.6% Germany 491.4 465.1 5.7% 5.4% Greece 63.2 54.7 15.5% 2.8% Hungary 49.0 38.5 27.3% 10.9% Ireland 76.6 72.6 5.5% 6.9% Italy 370.9 336.3 10.3% 4.1% Latvia 14.6 12.0 21.4% 9.4% Lisbon FIR 27.3 29.0 -6.0% 4.8% Lithuania 18.5 15.4 19.9% 10.6% Malta 8.0 6.9 15.3% 3.2% Moldova 4.6 2.7 72.5% 9.2% Netherlands 123.5 116.5 6.0% 3.2% Norway 85.8 80.3 6.9% 3.9% Poland 66.4 56.7 17.1% 16.5% Romania 34.7 25.3 37.1% 10.7% Santa Maria FIR 9.7 9.5 1.5% 3.8% Serbia&Montenegro 42.7 33.4 27.8% 15.2% Slovakia 37.8 30.1 25.6% 12.2% Slovenia 43.9 38.6 13.8% 16.2% Spain 172.2 163.9 5.1% 6.5% Sweden 98.1 92.2 6.3% 0.2% Switzerland 277.8 260.2 6.8% 3.4% Turkey 59.2 49.0 20.8% 14.5% Ukraine 39.7 27.5 44.2% 9.6% United Kingdom 356.5 334.1 6.7% 5.6% ESRA 1722.1 1617.9 6.4% 4.2%

53 Figure 46. Total IFR Business Aviation per State (2005 v 2004), excluding overflights.

Traffic Zone 2005 Business 2004 Business Business Growth Growth of Movements/Day Movements/Day Total Movements

Albania 1.4 1.2 11.5% 21.5% Armenia 0.2 0.2 35.8% 6.3% Austria 91.6 79.5 15.2% 4.5% Azerbaijan 1.6 0.9 76.8% 25.7% Belarus 0.8 0.7 21.1% -0.1% Belgium/Luxembourg 72.5 61.5 17.9% -0.1% Bosnia-Herzegovina 6.9 8.2 -15.6% 4.7% Bulgaria 7.8 6.1 27.0% 13.3% Canary Islands 12.9 9.4 37.3% 5.0% Croatia 21.3 18.1 18.0% 18.3% Cyprus 8.4 7.0 19.7% 2.0% Czech Republic 23.9 22.3 7.2% 12.0% Denmark 32.8 33.5 -2.0% -2.2% Estonia 2.5 2.2 12.9% 12.6% FYROM 2.5 1.6 49.8% 9.8% Finland 24.3 24.8 -1.8% -1.1% France 429.7 421.2 2.0% 1.0% Georgia 1.0 0.8 22.4% 10.0% Germany 360.4 349.9 3.0% 3.6% Greece 34.1 30.8 10.8% -2.8% Hungary 13.5 11.2 20.5% 14.1% Ireland 44.7 41.3 8.2% 7.8% Italy 274.6 250.9 9.4% 3.7% Latvia 2.7 2.3 17.1% 26.5% Lisbon FIR 20.7 22.8 -9.1% 3.4% Lithuania 1.9 1.5 25.0% 18.3% Malta 3.1 2.6 21.9% 4.2% Moldova 1.5 0.7 104.9% 1.8% Netherlands 67.9 63.7 6.6% 0.6% Norway 80.7 76.2 6.0% 2.9% Poland 28.9 27.1 6.6% 12.7% Romania 16.7 11.1 51.0% 26.1% Santa Maria FIR 4.5 4.2 5.9% 2.4% Serbia & Montenegro 21.0 16.0 31.7% 4.9% Slovakia 10.0 8.0 25.4% 13.0% Slovenia 7.6 7.4 3.2% 17.7% Spain 145.6 137.1 6.2% 7.4% Sweden 77.3 74.0 4.5% -2.5% Switzerland 174.6 166.7 4.7% 1.1% Turkey 42.0 35.9 17.0% 19.0% Ukraine 23.7 16.7 41.7% 4.4% United Kingdom 317.2 295.7 7.3% 5.5% ESRA 1710.7 1609.3 6.3% 4.2%

EUROCONTROL Trends in Air Traffic | volume 1 54 Getting to the Point: Business aviation in Europe

D. ANNEX: SUMMARY OF TRAFFIC PER AIRCRAFT TYPE

In 2005, the top 25 business aviation aircraft types (Figure 47) account- ed for 81% of all business aviation departures.

Nearly two thirds of business aviation turboprop departures were of just three types of aircraft: BE20, BE9L and C208. The two piston aircraft types shown here had 52% of piston departures. The jet market is more distributed, with the top seven types having 51% of jet departures.

Figure 47. IFR departures by ICAO aircraft type (2005 compared to 2004).

Rank ICAO Aircraft Type Engine Type Num. Engines 2005 IFR 2004 IFR Change Departures /Day Departures /Day

1 BE20 Turboprop 2 170.9 169.1 1.0% 2 C550 Jet 2 125.7 113.3 11% 3 H25B Jet 2 92.4 82.7 12% 4 C525 Jet 2 92.3 85.0 8.6% 5 C56X Jet 2 82.1 64.2 28% 6 F900 Jet 3 78.5 75.6 3.9% 7 F2TH Jet 2 72.1 62.3 16% 8 CL60 Jet 2 66.4 61.1 8.7% 9 BE9L Turboprop 2 53.9 49.6 8.7% 10 C560 Jet 2 52.8 49.8 6.0% 11 GLF4 Jet 2 47.9 48.8 -1.7% 12 FA50 Jet 3 47.0 49.8 -5.5% 13 C208 Turboprop 1 41.2 40.0 2.9% 14 LJ45 Jet 2 36.5 35.3 3.4% 15 LJ35 Jet 2 36.2 39.9 -9.3% 16 BE58 Piston 2 36.1 35.6 1.4% 17 LJ60 Jet 2 35.9 30.5 18% 18 PA31 Piston 2 35.3 36.4 -3.1% 19 GLF5 Jet 2 34.0 29.9 14% 20 P180 Turboprop 2 31.5 28.5 11% 21 TBM7 Turboprop 1 31.1 35.0 ( 11%) 22 C25A Jet 2 30.9 20.7 50% 23 BE40 Jet 2 26.1 19.0 37% 24 C650 Jet 2 25.9 28.7 -9.6% 25 PC12 Turboprop 1 23.9 20.6 16%

Figure 48. C525 was the 4th busiest business aircraft type in 2005 (Here Citation CJ1 Interior).

55 E. ANNEX: MONTHLY TRAFFIC PATTERNS IN THE BUSIEST STATES

Figure 49. Monthly traffic patterns in the Figure 50. Monthly traffic patterns in ESRA, excluding overflights. France, excluding overflights.

Month Month

■■ Business Movements/Day ■■ Other Movements/Day ■■ Business Movements/Day ■■ Other Movements/Day

Figure 51. Monthly traffic patterns in Figure 52. Monthly traffic patterns in Italy, Germany, excluding overflights. excluding overflights.

Month Month

■■ Business Movements/Day ■■ Other Movements/Day ■■ Business Movements/Day ■■ Other Movements/Day

EUROCONTROL Trends in Air Traffic | volume 1 56 Getting to the Point: Business aviation in Europe

Figure 53. Monthly traffic patterns in Figure 54. Monthly traffic patterns in Norway, excluding overflights. Spain, excluding overflights.

Month Month

■■ Business Movements/Day ■■ Other Movements/Day ■■ Business Movements/Day ■■ Other Movements/Day

Figure 55. Monthly traffic patterns in Figure 56. Monthly traffic patterns in the Switzerland, excluding overflights. UK, excluding overflights.

Month Month

■■ Business Movements/Day ■■ Other Movements/Day ■■ Business Movements/Day ■■ Other Movements/Day

57 F. ANNEX: DAILY TRAFFIC PATTERNS IN THE BUSIEST STATES

Figure 57. Daily traffic patterns in the Figure 58. Daily traffic patterns in France, ESRA, excluding overflights. excluding overflights.

Day Day

■■ Business (Average over week=1) ■■ Other ■■ Business (Average over week=1) ■■ Other

Figure 59. Daily traffic patterns in Figure 60. Daily traffic patterns in Italy, Germany, excluding overflights. excluding overflights.

Day Day

■■ Business (Average over week=1) ■■ Other ■■ Business (Average over week=1) ■■ Other

EUROCONTROL Trends in Air Traffic | volume 1 58 Getting to the Point: Business aviation in Europe

Figure 61. Daily traffic patterns in Norway, Figure 62. Daily traffic patterns in Spain, excluding overflights. excluding overflights.

Day Day

■■ Business (Average over week=1) ■■ Other ■■ Business (Average over week=1) ■■ Other

Figure 63. Daily traffic patterns in Figure 64. Daily traffic patterns in the UK, Switzerland, excluding overflights. excluding overflights.

Day Day

■■ Business (Average over week=1) ■■ Other ■■ Business (Average over week=1) ■■ Other

59 G. ANNEX: HOURLY TRAFFIC PATTERNS IN THE BUSIEST STATES

Figure 65. Hourly pattern of departures in Figure 66. Hourly pattern of departures in France. Germany.

Hour (UTC) Hour (UTC)

■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour ■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour

Figure 67. Hourly pattern of departures in Figure 68. Hourly pattern of departures in Italy. Norway.

Hour (UTC) Hour (UTC)

■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour ■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour

EUROCONTROL Trends in Air Traffic | volume 1 60 Getting to the Point: Business aviation in Europe

Figure 69. Hourly pattern of departures in Figure 70. Hourly pattern of departures in Spain. Switzerland.

Hour (UTC) Hour (UTC)

■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour ■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour

Figure 71. Hourly pattern of departures in the UK.

Hour (UTC)

■■ Business Departures/Day ✖ Max. Business Deps. ■■ Other Deps./Hour

61 H. ANNEX: THE LARGEST EUROPEAN BUSINESS FLEETS

The European operators with the largest fleets of business aircraft (i.e. those aircraft types listed in Annex A) are summarised in Figure 72.

Figure 72. Main European Business Fleets. Company Country # of Aircraft Primary Fleet Operations in Europe NetJets Portugal* 91 Fractional Shares Operator; Card Programme Operator Grupo Spain 31 Charter, Fleet management Jetalliance Flugbetriebs Austria 28 Charter, Fleet management London Executive Aviation United Kingdom 22 Charter, Fleet management TAG Aviation United Kingdom, Switzerland 20 Charter, Fleet management Zimex Aviation Switzerland 20 Charter Aero Services Executive France 16 Charter, Fleet management DaimlerChrysler Aviation Germany 14 Corporate, Charter, Fleet Mgmt. 17 Operators 10-13 All Charter and Fleet Mgmt. 639 Operators 1-9 Various

* NetJets entire fleet is registered in Portugal, but there aircraft operate throughout Europe with no set base

Source: PRISME-Fleet and ALG analysis

Citation Mustang is one of the soon-to-fly very light jets. (See Annex I.)

EUROCONTROL Trends in Air Traffic | volume 1 62 Getting to the Point: Business aviation in Europe

I. ANNEX: VERY LIGHT JETS

This annex briefly surveys some of the new very Adam Aircraft’s VLJ Project is called the A700, and is light jets (VLJs) likely to be in use in the near future. derived from an Adam’s piston model, the A500. This has allowed them to reduce the development Eclipse Aviation is a newcomer in the industry, with time from an estimated five years to three. The their first jet due to be delivered in mid 2006. plane is priced around 2.25M $US, and FAA certifi- Eclipse’s ambition is to revolutionize the jet indus- cation is expected during 2006. In September 2005 try with an affordable twin engine aircraft. They they had around 85 orders and are predicting an view their competitors as being business class airline annual production of 60 aircraft. Adam Aircraft services and automobiles. As of November 2005 expects European certification to take place in 2008. Eclipse had booked 2,357 sales of aircraft (through 2012), at an average price of around 1.4M $US. A The Grob SPn Utility Jet surprised some with its large portion of the sales have gone to hopeful air launch in mock-up at the Paris Airshow in June taxi operators, although they estimate that nearly 2005 and a first flight just a month later. 40% of US sales are to private owners. They also see Certification and first deliveries are due in the first the Eclipse 500 converting turboprop and piston half of 2007. It is heavy for some VLJ definitions holders to jet ownership. Perhaps 50 deliveries/year with a 6,300kg maximum take-off weight (MTOW). might come to Europe. At the other extreme, the Excel-Jet Sport-Jet is the Cessna is the most experienced of the manufactur- smallest and cheapest in this list, with a single ers, with some 4,200 Citation jets built between engine and perhaps aimed more at the general avia- 1993 and 2005. The expansion of their Citation jet tion, single-pilot operation in the US. line with the Mustang VLJ is a logical step to main- Embraer has set a certification target for their Phenom tain their position in the smaller end of the jet mar- 100 of mid-2008, with a price of around 2.75M $US. ket. They are hoping to achieve single pilot FAA cer- The Phenom 100 will have a larger cabin than the tification by the end of 2006 and make their first other VLJs and promises to compete with entry level deliveries shortly thereafter. The Mustang will cost jets. Embraer is building a companion aircraft around 2.4M $US and as of September 2005 Cessna (Phenom 300) in the light jet category. While current- had 240 firm orders. ly not a major manufacturer for business jets, Embraer is second globally in the production of regional jets.

Figure 73. Some soon-to-fly very light jet models. Manufacturer. Model Expected Price ($USM) Seats Max Speed Range Runway Orders Certification (kts) (nm) Requirement (m) Eclipse Aviation Eclipse 500 Mid 2006 1.4 1+5 375 1,280 657 2,350 Adam Aircraft A700 Mid 2006 2.25 1+6 340 1,100 900 358 Cessna Citation Mustang Late 2006 2.4 6 340 1,000 951 240 Excel-Jet Sport-Jet Late 2006 1 1+4 375 1,000 700 n/a Grob SPn Utility Early 2007 5.8 8 407 1,670 914 400 Embraer Phenom 100 Mid 2008 2.75 6-8 380 1,160 1,036 n/a

Source: www.verylightjetmagazine.com; Manufacturer websites; Manufacturer interviews

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EUROCONTROL Trends in Air Traffic | volume 1 64 © European Organisation for the Safety of Air Navigation (EUROCONTROL) May 2006

This document is published by EUROCONTROL in the interests of exchange of infor- mation. It may be copied in whole or in part, providing that the copyright notice and disclaimer are included. The information contained in this document may not be modified without prior written permission from EUROCONTROL.

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