CFS 2019: How will operators with low-utilization rates be able to upgrade to modern narrowbody freighters?

SAN DIEGO – Although conversion houses and OEMs have began redelivering 737-700 and 737-800 freighters, most aircraft redelivered to date are in service on behalf of global express carriers. At current acquisition prices, operators with lower utilization rates compared to express carriers face will face greater difficulty when they turn to modern narrowbody freighters, the 737 NGs and A320 Family aircraft.

More than shortages in aircraft feedstock, the difficulty in sourcing suitable green time engines for the newer types remains as the largest obstacle – but not one without a solution, according to Brian McCarthy, VP marketing and sales, Precision Aircraft Solutions.

“I think we’re going to see much more power-by-the hour or managed engine programs that will help stabilize the average operator’s ability to enter one of these expensive narrowbodies,” McCarthy told Cargo Facts Symposium 2019 attendees during a roundtable panel discussion on the topic of freighter conversions.

To hear more from McCarthy, see the clip below: