As part of IBA’s on-going research into the challenges surrounding transitions, the leading aviation consultancy has recently revisited and updated its 2016 pulse survey by asking a selection of lessors and lessees about the key issues they face during the redelivery process.
According to IBA, the latest findings from the report suggest that although there is a greater understanding of the scale and resourcing of redelivery projects compared to 2016, there is still a challenge around planning and execution.
The key findings from the research are:
- Both lessors and lessees agree that the redelivery process is not started early enough.
- Records and engines top the list of the most challenging elements of a redelivery.
- Resource, liquidity and increased returns are key concerns for 2018.
- In terms of late returns, IBA has seen a drop in the number of disagreements which certainly echoes the improvements to drafting that have been seen in the last two years.
There have also been improvements with regard to lessee’s demands being met by lessors, such as delivery conditions for interior configuration. Less positively, engagement is still taking place too late.
Planning redeliveries late inevitably makes juggling the numerous parallel processes much more difficult. Unscheduled repairs and failed borescopes were identified once again as a primary reason for late redeliveries, suggesting lessees continued to be caught out.