Blog Archives

GA Telesis Loan-To-Value vs. Long-Term-Value / By Abdol Moabery

Whenever there is a hint of recession, in sectors where secured leverage is used to boost investment yields, talk about LTV (loan-to-value) tests on assets and portfolios starts to percolate. These tests, propagated by banks, are a covenant put in place to protect the lender from a drop in asset value. One fundamental problem with LTV tests is that they do not account for cashflow support generated by the underlying asset. For example, if a… Read more

Short-Term Sale and Leasebacks to Manage Fleet Transitions / By Jonathan Cauff

Short-term sale and leaseback transactions have evolved into an enormously valuable fleet transition, management tool, and residual risk mitigation tool for airlines. Never before have short-term sale and leasebacks been more prevalent and more crucial to the success of many of the world’s airlines. Many airlines had previously planned on retiring specific narrow-body aircraft from their fleets beginning in 2019 and continuing well into the next decade. Some airlines had been counting on the cash… Read more

Changing Expectations to Appreciation / By Geraldo Abreu

For many of us, this is a very exciting time of year as we celebrate the holidays with family and friends. A time when many of us take time off from work to enjoy the company of those we care about. It is also the time of year when we start to look forward to the many opportunities the new year will bring. However, this can also be a difficult time of year filled with… Read more

Inventory and Asset Management Using GA Telesis’ Adaptability and Global Reach / By Dave Dicken

Inventory management places one of the largest burdens on the aviation industry. Specifically, holding a robust spare parts inventory is a major facet in fleet reliability, but also in keeping the aircraft as technologically current as possible. As airlines progress towards fleet renewals, they look to modern technology to bring new life to their operations, through technology, cost savings, and passenger experiences. However, the fleet transition is often disconnected from the elements of the operation… Read more

Inventory Leasing and the Benefits / By Kevin Geissler

Read more about Inventory Leasing and the Benefits Five years ago, GA Telesis pioneered a breakthrough structure to offer airlines an alternative to inventory on its balance sheet. A quarter of a billion in transactions later – inventory leasing benefits still far outweigh the higher cost alternatives. Leasing has its perks, but with recent changes in accounting treatment, some airlines have shied away from it. However, these airlines are often looking at leasing as a… Read more

Life of a Landing Gear / By Pastor Lopez

Most people think that the most stressful moment of a landing gear is when the aircraft is taking off or landing. After all, that is when passengers realize the landing gear is their only physical connection to the ground. Indeed, taking off and landing are critical to flight safety, but the most stressful time of the landing gear is during pushback from the gate. During pushback, the aircraft is fully loaded and a tug operator is pushing… Read more

From Balsa to Bamboo – The Commercial Aviation Industry / By Abdol Moabery

The Commercial Aviation Industry and Its Significance I read once, the human capacity for burden is like bamboo – far more flexible than you’d ever believe. The question is whether this principle can be applied to a company or even an industry. There are certain companies and industries where this would not apply, but after decades of working in the very cyclical commercial aviation sector, I suggest that like bamboo, the market forces that drive… Read more

Trust in Data: Finding Ways to Benefit Our Customers / By Meghan Burgan

Over the last 20 years, one thing that remained constant in my various aviation roles is the recognized benefit from data utilization and analysis. Earlier in my career, I acquired in-depth knowledge of process modeling, change management, project management, and Six Sigma black belt practices. Through this type of development, I learned quickly that using data can move an organization forward with factual information rather than guesswork. Data can help us: Grow sales – Focus… Read more

Aircraft Valuations: What’s the Secret Sauce? / By Marc Cho

During an interview for a summer internship before my senior year at college, an investment banker asked me to sum up investment banking in one word. As a naive and uninformed undergrad, I didn’t have a good answer so I replied, “finance.” He told me the better answer was, “value”. He said the goal of any investment banker was to determine value – of a company, an asset, a contract, and anything else that can… Read more

Aircraft Financing Solutions / By Eric Dollman

GA Telesis is Uniquely Positioned to Provide Complete Aircraft Financing Solutions With more than 21,000 commercial (Boeing and Airbus) aircraft in service today and the long-term forecast for commercial aircraft demand continuing to grow, demand for aircraft financing is strong and expected to remain strong for the foreseeable future. As a result, airlines and lessors alike require aircraft financing solutions to support their growing businesses. Those aircraft financing solutions are currently provided by a diverse… Read more