Orders, Deliveries, Lessors and Iran with JP Morgan, February 2016

In this Aviation Market Update IBA’s Phil Seymour, Stuart Hatcher and Paul Lyons provide an overview on the macro-environment, orders & deliveries, single aisle aircraft, twin aisle aircraft, operators, OEMs and lessors.

As an overview, the following conclusions were reached:

  • Low oil continues to stimulate growth in developed economies – expected to rise slightly with greater management of supply and demand
  • Emerging markets growing but oil is too low
  • Strong USD will hurt US exports and non-US airlines with USD DOCs
  • Interest rates will remain low with slow rises ahead
  • Likewise, inflation – especially in Europe will remain due to low oil pricing/cheap commodity pricing
  • UK referendum in 2016 on EU wouldn’t be good
  • Traffic will remain strong for 2016 within US and Europe
  • China remains on watch
  • Possible further impairments for lessors and banks on 777
  • Lessor M&A deals throughout the year
  • Iran could offer plenty of new opportunities

To download the full slide deck click on the link below.

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