Monday, 22nd May 2017
• Expands into Completion Management Services
• Beta testing a new asset management tool
Dallas, TX – US-based Mente Group will be informing clients about the addition of two new offerings to its business aviation consultancy services at EBACE in Geneva this week (May 22nd to 24th), both launched in response to industry trends.
Its Completion Management Services program adds to the already significant array of services available from Mente Group in recognition of the increasing number of aircraft owners that are holding on to their aircraft for longer and choosing to refurbish them, instead of investing in a newer aircraft model.
With over 150 years’ combined expertise in its senior management and technical team, Mente’s mission is to work closely with a customer’s ﬂight department or aircraft management company to ensure a smooth completion/refurbishment, delivery and entry into service experience, thereby allowing ﬂight operations to focus on uninterrupted service to its clients and their travel needs.
Led by former Gulfstream senior executive, Mente Vice President Vince Restivo, Completion Management Services offers total completion / refurbishment project management to include cabin and systems needs analysis, work-flow management, completion-related negotiations, obsolescence avoidance analysis, as well as fabrication, assembly and delivery oversight. The program ensures the highest quality and attention to detail while maintaining schedule integrity.
“The year 2016 was a record one for us in terms of transactions, demonstrating that the pre-owned market is currently faring better than new aircraft sales activity,” explained Richard Emery, COO of Mente Group. “Many of the aircraft that entered service during the pre-2008 order boom are coming up for their 10 year checks, so this is a good time for a cabin refresh. Furthermore, owners are also spending money to meet new mandates, including ADS-B by 2020 in accordance with the new rulings from Europe’s EASA and FAA.”
Elsewhere, its new asset management tool is now undergoing beta testing with a number of customers after Mente received positive feedback on the concept at last year’s NBAA Show. This new offering comes from the company’s asset management division, which is led by Mente’s Vice President, Jeff Dorrough. The tool addresses the issue many aviation specialists are currently suffering with price guides having become increasingly out of touch with current market pricing. Whether average new sales prices or secondary market price levels, the tool factors the most recent comparable aircraft and Mente’s vast resources to derive accurate current price points.
This product will aid flight departments and financial institutions with accurately assessed current portfolio values, provide market commentary assisting customers in keeping in touch with market changes, and quarterly statements providing short-term and long-term changes to values. Future implementations will provide even more market insight into areas such as future residual performance, portfolio optimization, and aircraft comparisons.
Mente Group is the only company engaged in both business aircraft transactions and accredited appraisals. This means clients are provided a unique level of market awareness that no other company can offer.
The pre-owned jet market is improving because business jets are dollar-denominated assets. Mente is finding as the dollar continues to strengthen, buyers in Europe, along with Asia and the Middle East too, are seeing better value in selling their aircraft. “The North American business aviation is dominating by soaking up these international sales and taking advantage of that market. So, we are seeing a lot of international sales, but fewer international purchases,” underlined Richard Emery.
He added, “Currencies are stabilizing, earnings are up across the board so it is a great time to do something about getting into the replacement cycle.” According to Mente, five business aircraft models currently stand out as being the most prolific in pre-owned transactions. Top ranked are the Gulfstream G450, closely followed by the G550, then the Dassault Falcon 2000, Bombardier Challenger 300, and Falcon 7X.
Mente doesn’t see Brexit as being an issue in the future when it comes to pre-owned aircraft trading. “It has been digested and is not the end of the world,” said Brian Proctor, CEO of Mente Group. “The UK is going to need to trade with the EU, and we can’t see the EU holding the UK hostage. The OEMs too aren’t going to allow the exit of a country (ranked third in the number of business jets and turboprops flying under an AOC and privately owned) to affect the selling to its customers – although some impact on the aircraft registries is going to be inevitable,” he proffered.
About Mente Group
Headquartered in Dallas, Texas, USA, Mente Group is a leading business aviation advisory company specializing in sales and acquisitions of business jets including fleet planning, appraisals, audit and transaction services. The company, formed in 2009, serves large corporations, growth companies, and private individuals worldwide.