corporate jet costs

[vikena]

I've been asked by a friend to research the costs associated with owning and operating a corporate jet as a percentage of the cost of the jet.

Thought I'd start here .

All info and advice would be helpful and appreciated.

V

[Fossy]

check this page: http://www.conklindd.com/cgi-bin/softcart.exe/store/acewin.html?L+scstore+ggdn3763ff7a097a+1161078792

Conklin & de Decker have a database for nearly all bizjets. Belwo you will find a sample for a LR 25D

Bombardier Aerospace
Learjet 25D
INDICATED DIRECT COST-Per Hour
Summer 2003
Fuel at 2.41/gallon1 $761.56
Fuel additives- 0.02 /gallon 6.32
Mature Level Maintenance2
Labor at $75.00/hour 355.50
Parts-airframe, avionics and engine consumables. 215.21
Engine Restoration Cost3 255.36
Thrust Reverser Overhaul 11.00
APU Overhaul N.A.
Miscellaneous Flight Expenses
Landing and Parking Fees 12.38
Crew Expenses 135.00
Small Supplies and Catering 32.00
TOTAL DIRECT COSTS PER FLIGHT HOUR $1,784.33
Average Trip Speed (kts)4
600-nm trip, takeoff to touchdown 433
Cost per Nautical Mile $4.12
For each 5¢/gallon difference in fuel cost,
adjust per nautical mile: $0.036
For each 5¢/gallon difference in fuel cost, $6,387
adjust for 175,000 nautical miles:
Footnotes:
1. 316 gallons per hour. Block fuel for 600nm plus 15% divided by flight time.
2. 4.74 labor hours per flight hour. Maintenance costs shown are average costs for a ten year
period and are based on analysis of operator experience, manufacturer's data
and surveys. Maintenance labor and parts costs include a 19 year aging factor.
3. 2002 Jet Support Services "Complete" for ( 2 ) General Electric CJ610-8A.
Engine restoration costs shown are average costs through one overhaul cycle. See "Engine Cost"
table in the "Guaranteed Maintenance" section for other programs and set-asides.
4. Source: Aircraft Operating Manual.
5. Based on 2002 NBAA salary survey.
6. 0.4 % of present selling price for a 1984 aircraft.
7. Source: Conklin & de Decker Associates MxManager.
8. Typical cost for budgeting purposes. There are many weather services and options
available to meet the needs of any operator.
9. Book depreciation is 10% per year based on a selling price of $1,210,000 for a 1984 aircraft.
© 2003 Conklin & de Decker Associates, Inc.
P.O. Box 1142 · Orleans · Massachusetts · 02653 · 508-255-5975 www.conklindd.com

[Chimbu chuckles]

Then take that Conklin De Decker figure and tripple it for what it will likely cost in the real world. I used to be a corporate CP and I can tell you that any figures you get from an aircraft sales website will be fiction.

[PorcoRosso]

Well, the Collins & Decker estimate doesn't consider leasing or mortgage costs.
If you inject those in the equation, you will end up with the actual figures ...pretty close to the triple factor previously quoted.

[vikena]

Thanks all to those of you that PMed me and replyed here.

Seems all in all to be a more complex task than envisaged at first but I will try to follow up as much of the material as I have been given

Thanks again V