Businessmen who fly to oilfields and other remote areas are being targeted as customers for a new Russian-Ukrainian business aircraft. The makers of the Antonov Business Jet claim its durability will make oil firms one of many groups looking to buy the plane.

The Antonov Business Jet’s being promoted at the Domodedovo Airshow this week.

The plane’s marketing agents Ilyushin Finance admit they lack the sales and service network of established rivals like Bombardier and Embraer. That’s why Antonov still have delivery slots available in 2010, when rivals are full to 2013.

But the Antonov has a unique selling point in its high wing clearance, which allows landing on uneven runways, common in oilfields as well as regional airports. The plane also claims to be up 270 times more resistant than competitors to engine absorption of the dirt often found on local runways. Andrey Lebedinetz, Deputy Marketing director of Ilyushin Finance, says the robust nature of the aircraft, plus its cost advantage, will make it competitive in any environment where local conditions are less than perfect.

This aircraft is for harsh environment, Africa, Latin America, the east of Russia. It will cost between $30 and $35mln. Compared to Embraer and Bombardier the advantage is 10-15% in terms of price.

Vasily Pasetchnik, Vice President of Net Jets Europe, the world’s largest private plane operator, hopes Antonov have learnt from the traditional Soviet aircraft flaw.

Of course it’s comfort, it’s the levels of comfort, and I trust that the aircraft makers have invested their time and thinking into that.

The head of Russia’s Business Aviation lobby Maksim Fedotov admits he’d rather have this Canadian Challenger than a domestic jet. But on a Siberian gas field at minus 50 degrees celsius, he says, only a Russian plane can be trusted to start and take off. 

 This article appeared in Russia Today

An article by Rhys Blakely of the Times recounts stories of luxury aircraft (at least 10 so far) impounded by Indian customs officers for failure to pay import duties.

The seized airplanes include an Airbus A-319 purchased by Mukesh Ambani (Reliance Industries, India’s largest private company) for his wife as a birthday gift. Mr. Abmani’s “archenemy”, Anil Ambani (they are brothers), also had an aircraft, a Global 5000 Bombardier, seized.

The article goes on to say:

“A source at one of the affected companies said: “They have declared war: officials say anyone who has bought an aircraft is fair game.”

Speculation abounds that a clamp-down on the ultra-rich may have political rewards in Delhi, where, in the run-up to elections, India’s Government is being attacked for failing to ensure that the poor benefit from the country’s economic boom.”

For some brighter tax news, we look to the Russian government, which recently eliminated a punitive import tax on private aircraft. An article on AVWeb (free registration required) by Russ Niles states:

“The tax had driven many Russian business people to register their aircraft outside the country but that’s expected to change and also boost sales. Russia is seen as major market for business aircraft because of the lack of convenient transportation to its resource-rich hinterlands.”

The government of British Columbia, Canada, recently imposed a controversial carbon tax on all fuels, including jet fuel. According to AVWeb, (free registration required) the tax raises Jet A fuel up 2.61 cents per liter (10.15 cents a U.S. gallon), and 100 LL up 2.46 cents a liter (9.56 cents a U.S. gallon). The article also states the rates are calculated based on $10/metric ton (CAD) of carbon produced, and vary based on each fuel’s carbon emissions.

ExecuJet has created a pre-owned aircraft division to capitalize on big lead times for new aircraft. The company plans to have sales reps in Europe, South Africa, the Middle East, and (coming soon) the U.S.

ExecuJet Middle East is experiencing high demand, with one new inquiry a week, mostly for big jets.

The ExecuJet web site says:

“Pre-owned demand is being led primarily by the Middle East which is growing by 20% each year and also in India, and China, where ExecuJet recently opened offices in Mumbai and Beijing.

Last year, the Middle East market accounted for $300 million of pre-owned aircraft sales, comprising over a dozen transactions and representing nearly 50% of ExecuJet’s total transactions during 2007.”

VIP Charter company, Comlux Aviation (a division of Comlux The Aviation Group), has ordered two ultra long-range Global Express XRS jets, which will result in a fleet of nine Bombardier business jets. Vicky Karantzavelou, of Travel Daily News, reports that Comlux’s Bombardier fleet comprises two Challenger 605, two Challenger 850, two Global Express, and one Global 5000.

Ettore Rodaro, head of Comlux Aviation, says:

“These new aircraft are part of our strategic development plan to become the leading long-haul charter services provider in Europe, Central Asia and the Middle East, and will be a complement to our Airbus corporate jet fleet.”

The Bombardier site describes the Global Express XRS as:

“Ready to fly with only 30 minutes warning, no other intercontinental business aircraft takes you faster, farther than the Bombardier Global Express XRS. Flying at altitudes of up to 51,000 ft (15,545 m), this high performance aircraft has exceptional range, carrying eight passengers and a crew of four 5,450 nautical miles nonstop at Mach 0.87, 6,150 nautical miles nonstop at Mach 0.85 and 6,500 nautical miles nonstop at Mach 0.82 — bridging Tokyo and New York, or Moscow and Los Angeles, nonstop. Superb, short-field capabilities allow access to the most challenging airfields, saving valuable executive hours and getting you even closer to your destination.”

NetJets is adding to its fleet of large-cabin Gulfstreams with the addition of four Gulfstream G450s and four Gulfstream G550s to be delivered each year from 2012 through 2016, as reported by Perspective Magazine.

Richard T. Santullis, chairman and CE of NetJets Inc. said:

“…These aircraft offer NetJets Owners premiere large-cabin amenities and the flexibility of intercontinental range. Gulfstream products provide our pilots and flight attendants with the best in next-generation technology and their service teams ensure we meet the high standards of performance and reliability NetJets Owners expect.”

The article goes on to state:

“NetJets has over 90% of the long-range cabin fractional market and is the largest operator of Gulfstream aircraft in the world. As of June 2008, NetJets’ worldwide Gulfstream fleet totals 110 and is comprised of 21 Gulfstream G550/V, 55 Gulfstream G450/400/IV-SP and 34 Gulfstream G200s.”

In the June issue of Aerospace America, Richard Aboulafia reports on the state of the high-end business jet market. In the article “Business Jets: the Rich Get Richer” Aboulafia provides some key insights:

The new $60 million Gulfstream G650 will ship in 2012 and will have the largest traditional business jet cabin, the greatest range (7,000 n.mi.) of any business jet, and the fastest maximum speed of any civil aircraft flying today (Mach 0.925).

There are now more than 550 jetliners and business regional jets in private use. This fleet has more than doubled in size over the past seven years.

Between 1997 and 2008, the market for big business jets grew by a 15.5% CAGR (compound annual growth rate) the business jet market as a whole had a CAGR of 10% in the same period.

If manufacturers can offer an supersonic business jet priced at $80 to $90 million, they are likely to find a “respectable market response.”

The Wall Street Journal reports today that secondhand business jets are now more expensive than new ones, largely due to the long wait times associated with buying new planes.

“Moguls who have made their fortunes in a couple of years aren’t willing to sit around waiting five years or more for a brand-new Gulfstream 550 — made by a division of General Dynamics Corp. — or a Dassault Falcon 7X made by Dassault Falcon.

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AviIT annouced that Bluebox Avionics Ltd. (in which AviIT is a 50 percent owner together with Phantom Media) has won its first customer for the bluebox wireless controlled, semi-embedded AVOD system with a VIP jet client in the United States. The system will be incorporated into a brand new Boeing [737-700C] being fitted out by cabin installation specialist Greenpoint Technologies, based in Seattle. Under the contract, the Bluebox units will be installed into seat arm mounts and can be removed by passengers and placed on the tray tables if desired with seat power being available for unlimited usage time. Delivering the latest generation DRM compliant content, the system utilizes the same hardware platform as the innovative bluebox lite portable unit but configured for full control via a crew management terminal, with all control functions being via an Ethernet 802.11 wireless system. As part of the system, cabin PA, pause, forced playback and system disable functionality will be available together with live, streamed mapping information from a Rockwell Collins Airshow system.

For thoses familiar with Alaska Airlines’ Digiplayer handheld movie player, the bluebox™ is all that and more. It gives long-haul private passengers the convenience of video on-demand from the pre-loaded library of movie content with the convenience of seat-mounted recharging, integrated PA announcements and real-time flight information and maps via Airshow.