We do not add value for physical modifications since these depend on each airline. Having a missile defense system is only valuable to very few air carriers, and hence may not always earn a premium upon transition to a new operator. The SATCOM equipment may have added value depending on the aircraft type, but the physical modification (dome on top of the fuselage) does not affect the value. We also do not subtract values for such modifications, provided that the systems can easily be removed if the aircraft transitions to another operator.
Articles in this section
- How do you estimate spare engines
- Values Analyzer & Cabin Interior Assumptions
- Values Analyzer Lease Rate Assumptions
- How do I add Generic Monthly Lease Rate for both Future and Current Value in Portfolio or Group Valuation?
- What is a 'Desktop Valuation'?
- Can I look up historical valuations
- What does the First Run Engine specification adjuster indicate?
- How do your Future Values account for depreciation? Could you recommend a straight-line depreciation profile?
- Do airframe modifications such as missile defense systems and connectivity antenna domes affect aircraft values?
- Do you include taxes or VAT in your appraised values?