JETNET iq Snap! Q Summary Report

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1 !!! JETNET iq Snap! Q Summary Report Prepared for: JETNET iq Global Business Survey Respondents

2 ,א דא נק Gracias, Thank You, Merci, Obrigado, Muchas Danke, ありがとう, Grazie,,ششككرراا спасибо, Thank you for participating in our quarterly JETNET iq Global Business Aviation Surveys. Your opinions and inputs are vital to the many people in the industry tasked with designing and developing aircraft, providing aviation services on the ground and in the air, financing / selling / and buying aircraft, and creating the operational framework for safe and efficient flight. JETNET has been a trusted source of aviation market intelligence since From humble beginnings in Utica, NY, we have built one of the finest research teams and business aviation databases in the industry. Our people are professional and dedicated, and our data products and services are unique and innovative. We are committed to continuous improvement as we provide you with unprecedented global coverage, data connectability, and market insights wherever you are. We look forward to seeing you at two important upcoming events: 1) NBAA (Oct. 30-Nov. 1, 2012) in Orlando, FL at Booth #5099, where we will be featuring our latest products and services; and 2) JETNET iq s next Global Business Aviation Summit (June 4-5, 2013) in New York City. For more information, please see Thank you for participating in our quarterly survey - we hope this JETNET iq Snap! Report helps you take your business to a higher altitude. Vincent Esposito President, JETNET LLC 2

3 Navigating by JETNET iq JETNET iq Snap! is one of the ways we would like to say thanks for the time and opinions you provide us when participating in our quarterly JETNET iq Global Business Aviation Surveys. With seemingly endless demands on your time, we appreciate your help and want to provide you something back in return. In the attached pages you will find some of the latest market intelligence that we have collected and analyzed. Our goal is to be a resource to identify and work the issues that matter to the business aviation community. As an industry leader and aviation professional, you make a difference by participating in these surveys, providing us with objective and subjective perspectives into the state of the worldwide business aviation industry. JETNET iq Snap! reflects the collaborative insights of you, our respondents, and our JETNET iq research team. Collectively, we have extensive experience in business aviation, from executive offices and boardrooms, to the office cubicles, factory floors, design centers, situation rooms, cockpits, service hangars and flight lines of the industry. Much like a magnifying glass concentrates light and energy, JETNET iq draws from a diverse set of intelligence sources to bring the power of this experience into sharp focus. Since early 2011, our JETNET iq research team has been reaching out to you fixedwing turbine aircraft owners and operators - with our quarterly JETNET iq Global Business Aviation Surveys. We hope that this latest issue of JETNET iq Snap! is useful and insightful to you. Rollie Vincent JETNET iq Creator/Director rollie@jetnet.com 3

research) Daily contact with aircraft owners and operators

4 JETNET JETNET Founded in 1988 Privately-owned family business Headquarters in Utica, NY 70 employees (43 in research) Daily contact with aircraft owners and operators globally JETNET: Worldwide leader in aviation market intelligence 4

JETNET JETNET Main products: JETNET iq JETNET Evolution / Evolution Mobile AERODEX Aviation Business Index (ABI) AvData JETNET CRM Helidex Rotodex BigPlanes - Commercial Airliner

5 JETNET JETNET Main products: JETNET iq JETNET Evolution / Evolution Mobile AERODEX Aviation Business Index (ABI) AvData JETNET CRM Helidex Rotodex BigPlanes - Commercial Airliner Database Sales Price Index (SPI) Data coverage: 60,000 business aircraft (fixed and rotary wing) 50,000 commercial aircraft JETNET: Tracking more than 110,000 aircraft worldwide 5

6 JETNET iq JETNET iq Intelligence.quarterly Focus: Business aviation research & forecasting Main features Surveys of aircraft owners and operators Reports of current and forecast market conditions Summits of industry thought leaders 6

7 JETNET iq JETNET iq Surveys Turbine business aircraft owners and operators Quarterly Global On-line Multilingual Password-protected Password-linked 7

8 JETNET iq JETNET iq Reports 8

9 JETNET iq JETNET iq Summits Thought leadership and networking conferences Next Summit: June 4-5, New York City JETNET iq Snap!: 3rd Quarter Private & Conﬁden>al 9

10 JETNET iq: The Economy The Economy!12,000!! 2012!GDP!Forecasts!vs.!Business!Jet!Fleet!for!the!! 'Top!20'!Business!Jet!Countries!!11,354!! 10.0%!!10,000!! 7.8%% 8.0%! Business!Jet!Fleet!(units)!-!June!30,!2012!!8,000!!!6,000!!!4,000!!!2,000!!!-!!!! 6.1%% 5.3%% 5.0%%!245!!!159!!!122!!!235!! China!&!Hong!Kong! India! Saudi!Arabia! Venezuela! 3.9%% 3.8%% 3.3%% 2.5%% 2.1%% 2.1%% 2.0%%!766!!!501!!!134!!!192!!!174!!!149!! Mexico! Russian!FederaKon! Australia! South!Africa! ArgenKna! United!States! Canada! 1.5%%!728!! Brazil! 1.4%%!215!! Switzerland! 0.8%%!446!! Germany! 0.6%% 0.1%%.0.3%%!512!!!223!!!228!! Austria! France! United!Kingdom! 6.0%! 4.0%! 2.0%! 0.0%!.1.7%% -2.0%!.3.3%%.2.2%%!129!!!159!!!165!! Spain! Italy! Portugal!!Real!GDP!Growth!Forecast!for!2012! -4.0%! The Top 20 business aviation countries have widely divergent economic outlooks Economic forecasts as of Sept. 22, 2012; Source: EIU 10

JETNET iq: The Economy The Economy 40%' World'GDP'Share'and' 'World'Business'Jet'Fleet'Share' 35%' Europe*2001* Europe*2006* North*America*2001* 30%' Europe'2010' North*America*2006*

11 JETNET iq: The Economy The Economy 40%' World'GDP'Share'and' 'World'Business'Jet'Fleet'Share' 35%' Europe*2001* Europe*2006* North*America*2001* 30%' Europe'2010' North*America*2006* North'America'2010' Asia/Oceania'2010' Share'of'World'GDP' 25%' 20%' 15%' Asia/Oceania*2006* Asia/Oceania*2001* 5%' 4%' 3%' 2%' Share'of'World'GDP' Middle'East' 2010' Middle&East&2006& Middle&East&2001& Former'Soviet.' Union'2010' Former&Soviet& Africa&2006& Union&2006& Africa&2001& Former&Soviet& Union&2001& Africa'2010' 10%' 1%' La<n'America'2010' La:n*America*2006* La:n*America*2001* Share'of'World'Business'Jet'Fleet' 0%' 5%' Middle'East'2010' Middle*East*2006* 0%' 1%' 2%' 3%' 4%' 5%' Middle*East*2001* Africa'2010' Africa*2001* Africa*2006* Former'Soviet.'Union'2010' Former*Soviet*Union*2006* Share'of'World'Business'Jet'Fleet' Former*Soviet*Union*2001* 0%' 0%' 10%' 20%' 30%' 40%' 50%' 60%' 70%' 11

12 JETNET iq: The Economy Regional Shares of GDP and Fleet 40.0%& World&GDP&Share&and&& World&Business&Jet&Fleet&Share& 35.0%& 2001&Europe& Share&of&World&GDP& 30.0%& 25.0%& 2021F&Asia&&&Oceania& 2006&Europe& 2011&Europe& 2011&Asia&&&Oceania& 2006&Asia&&&Oceania& 2021F&Europe& 2001&North&America& 2006&North&America& 2011&North&America& 2021F&North&America& 2001&Asia&&&Oceania& 20.0%& 15.0%& 0.0%& 10.0%& 20.0%& 30.0%& 40.0%& 50.0%& 60.0%& 70.0%& 80.0%& Share&of&World&Business&Jet&Fleet& North America, Europe, & Asia Share Pacific of World Business similarly Jet Fleet sized economies, very different fleets 12

Business#Jet#Fleet#as#of#Sept#30#2012 By#Region Total#Fleet Africa ************** 436 Asia*Pacific ************** 976 Europe *********** 2,758 Former*Soviet*Union ************** 209

13 JETNET iq: The Industry Business Jet Fleet by Region!20,000!!!18,000!!!16,000!!!14,000!!!12,000!!!10,000!!!8,000!!!6,000!!!4,000!!!2,000!!!"!!!! 2%! 5%! 15%! 1%! 12%! 63%! 2%! Business#Jet#Fleet#as#of#Sept#30#2012 By#Region Total#Fleet Africa ************** 436 Asia*Pacific ************** 976 Europe *********** 2,758 Former*Soviet*Union ************** 209 Latin*America*&*Caribbean *********** 2,185 Middle*East ************** 462 North*America ********* 11,868 Total ######### 18, ! 1961! 1963! 1965! 1967! 1969! 1971! 1973! 1975! 1977! 1979! 1981! 1983! 1985! 1987! 1989! 1991! 1993! 1995! 1997! 1999! 2001! 2003! 2005! 2007! 2009! 2011! Africa! Asia!Pacific! Europe! Former!Soviet!Union! LaDn!America!&!Caribbean! Middle!East! North!America! 13

14 JETNET iq: The Industry Business Jet Fleet by Region 450%$ 400%$ Regional$Fleet$Growth:$$ 2001=2011$ Former$Soviet$Union$ Fleet$Growth$by$region$ 350%$ 300%$ 250%$ 200%$ 150%$ 100%$ 2001$ 2002$ 2003$ 2004$ 2005$ 2006$ 2007$ 2008$ 2009$ 2010$ 2011$ Europe$ Asia$Pacific$ Middle$East$ Total$ Africa$ North$America$ LaPn$America$&$ Caribbean$ 14

JETNET iq: The Industry Business Jet Fleet by Manufacturer NORTH&AMERICA Fleet&as&of OEM Sept&30&2012 Bombardier /////////// 2,543 Cessna/Citation /////////// 4,152 Dassault/Falcon /////////// 1,170

15 JETNET iq: The Industry Business Jet Fleet by Manufacturer NORTH&AMERICA Fleet&as&of OEM Sept&30&2012 Bombardier /////////// 2,543 Cessna/Citation /////////// 4,152 Dassault/Falcon /////////// 1,170 Embraer ////////////// 226 Gulfstream /////////// 1,532 Hawker/Beechcraft /////////// 1,507 Other ////////////// 738 Total &&&&&&&&& 11,868 LATIN&AMERICA&&&CARIB Fleet&as&of OEM Sept&30&2012 Bombardier ////////////// 537 Cessna/Citation ////////////// 730 Dassault/Falcon ////////////// 139 Embraer ////////////// 123 Gulfstream ////////////// 155 Hawker/Beechcraft ////////////// 338 Other ////////////// 163 Total &&&&&&&&&&& 2,185 EUROPE Fleet*as*of FORMER&SOVIET&UNION Fleet&as&of OEM Sept*30*2012 OEM Sept&30&2012 Bombardier,,,,,,,,,,,,,, 588 Bombardier,,,,,,,,,,,,,,,,, 68 Cessna,Citation,,,,,,,,,,, 1,001 Cessna,Citation,,,,,,,,,,,,,,,,, 18 Dassault,Falcon,,,,,,,,,,,,,, 483 Dassault,Falcon,,,,,,,,,,,,,,,,, 34 Embraer,,,,,,,,,,,,,, 102 Embraer,,,,,,,,,,,,,,,,, 16 Gulfstream,,,,,,,,,,,,,, 182 Gulfstream,,,,,,,,,,,,,,,,, 18 Hawker,Beechcraft,,,,,,,,,,,,,, 286 Hawker,Beechcraft,,,,,,,,,,,,,,,,, 35 Other,,,,,,,,,,,,,, 116 Other,,,,,,,,,,,,,,,,, 20 Total *********** 2,758 Total &&&&&&&&&&&&&& 209 MIDDLE&EAST Fleet&as&of OEM Sept&30&2012 Bombardier,,,,,,,,,,,,,,,,, 93 Cessna,Citation,,,,,,,,,,,,,,,,, 57 Dassault,Falcon,,,,,,,,,,,,,,,,, 55 Embraer,,,,,,,,,,,,,,,,, 36 Gulfstream,,,,,,,,,,,,,,,,, 81 Hawker,Beechcraft,,,,,,,,,,,,,,,,, 72 Other,,,,,,,,,,,,,,,,, 68 Total &&&&&&&&&&&&&& 462 AFRICA Fleet*as*of ASIA&PACIFIC Fleet&as&of OEM Sept*30*2012 OEM Sept&30&2012 Bombardier,,,,,,,,,,,,,,,,, 74 Bombardier,,,,,,,,,,,,,, 235 Cessna,Citation,,,,,,,,,,,,,, 102 Cessna,Citation,,,,,,,,,,,,,, 206 Dassault,Falcon,,,,,,,,,,,,,,,,, 59 Dassault,Falcon,,,,,,,,,,,,,,,,, 62 Embraer,,,,,,,,,,,,,,,,, 18 Embraer,,,,,,,,,,,,,,,,, 43 Gulfstream,,,,,,,,,,,,,,,,, 53 Gulfstream,,,,,,,,,,,,,, 181 Hawker,Beechcraft,,,,,,,,,,,,,, 104 Hawker,Beechcraft,,,,,,,,,,,,,, 156 Other,,,,,,,,,,,,,,,,, 26 Other,,,,,,,,,,,,,,,,, 93 Total ************** 436 Total &&&&&&&&&&&&&& 976 World fleet was 18,894 jets on Sept. 30, 2012, representing 91% of jets ever delivered 15

JETNET iq: The Industry Business Jet Fleet by Size

Total#Fleet:#Europe# Total#Fleet:#Former#Soviet#Union#

Total#Fleet:#LaFn#America#&#Caribbean# 17%# 20%# 9%#

Total#Fleet:#Middle#East# 8%# 3%# 3%# 19%# 24%# 14%#

Total#Fleet:#Asia#Pacific# 14%# 39%# 17%# 2%#4%# 6%#

14%# 4%# 18%# 11%# 7%# 5%# 13%# 17%# 11%#

Large'Long0Range'Jet' Large'Jet' Super'Mid0Size'Jet'

16 JETNET iq: The Industry Business Jet Fleet by Size Category Total#Fleet:#North#America# Total#Fleet:#Europe# Total#Fleet:#Former#Soviet#Union# 0%# 15%# 4%# 8%# 10%# 10%# 29%# 17%# 7%# Total#Fleet:#LaFn#America#&#Caribbean# 17%# 20%# 9%# 2%# 6%# 12%# 11%# 9%# 14%# Total#Fleet:#Africa# 7%# Total#Fleet:#Middle#East# 8%# 3%# 3%# 19%# 24%# 14%# 7%# 15%# 2%# 4%# 7%# 16%# 10%# 7%# 30%# 10%# Total#Fleet:#Asia#Pacific# 14%# 39%# 17%# 2%#4%# 6%# 6%# 7%# 19%# 19%# 8%# 11%# 24%# 2%# 4%# 10%# 8%# 14%# 14%# 4%# 18%# 11%# 7%# 5%# 13%# 17%# 11%# Airliner'Jets' Large'Ultra'Long0Range'Jet' Large'Long0Range'Jet' Large'Jet' Super'Mid0Size'Jet' Mid0Size'Jet' Super'Light'Jet' Light'Jet' Very'Light'Jet' There is a large regional variation in the mix of jet size categories in the fleet 16

JETNET iq: The Industry Business Jet Deliveries (units) Jet"Deliveries" 1274" Down%% 47%% 1" 1" 20" 22" 11" 40" 212" 323" 141" 229" 211" 118" 84" 173" 18%$CAGR$ 1976,1981$ 397" 305" 288"247" 302"

17 JETNET iq: The Industry Business Jet Deliveries (units) Jet"Deliveries" 1274" Down%% 47%% 1" 1" 20" 22" 11" 40" 212" 323" 141" 229" 211" 118" 84" 173" 18%$CAGR$ 1976,1981$ 397" 305" 288"247" 302" 333" 253" 474" 555" Down%% 48%% 465" 288" 325" 297" 318"308" 212"221"217" 263"264" 250"251" 266" 254" 22%$CAGR$ 1996,2001$ 506" 438" 653" 783" 822" 737" 18%$CAGR$ 2003,2008$ Down%% 30%% 559" 597" 710" 857" 1093" 926" 800" 677" 396" Year- to- Date 1957" 1960" 1961" 1962" 1963" 1964" 1965" 1966" 1967" 1968" 1969" 1970" 1971" 1972" 1973" 1974" 1975" 1976" 1977" 1978" 1979" 1980" 1981" 1982" 1983" 1984" 1985" 1986" 1987" 1988" 1989" 1990" 1991" 1992" 1993" 1994" 1995" 1996" 1997" 1998" 1999" 2000" 2001" 2002" 2003" 2004" 2005" 2006" 2007" 2008" 2009" 2010" 2011" 2012" The new jet delivery downturn was similar in amplitude to that of Note: Latest year includes year- to- date deliveries in JETNET database 17

JETNET iq: The Industry Business Turboprop Deliveries (units) 903" Down%% 68%% 20%$CAGR:$ 1975.

18 JETNET iq: The Industry Business Turboprop Deliveries (units) 903" Down%% 68%% 20%$CAGR:$ $ 775" 96" 144" 278" 197" 187" 198" 169" 158" 337" 315" 297" 403" 452" 608" 588" 568" 152" 526" 15%$CAGR:$ $ 455" 433" 416" 417" 382" 14%$CAGR:$ 353" $ 329" 339" 350" 325" 305" 295" 285" 285" 258" 265" 274" 281" 210" 229" 233" 235" 256" 207" 215" Down%% 33%% 390" 359" 205" Year- to- Date 2" 23"33" 23" 16" 23"29" 1958" 1959" 1960" 1961" 1962" 1963" 1964" 1965" 1966" 1967" 1968" 1969" 1970" 1971" 1972" 1973" 1974" 1975" 1976" 1977" 1978" 1979" 1980" 1981" 1982" 1983" 1984" 1985" 1986" 1987" 1988" 1989" 1990" 1991" 1992" 1993" 1994" 1995" 1996" 1997" 1998" 1999" 2000" 2001" 2002" 2003" 2004" 2005" 2006" 2007" 2008" 2009" 2010" 2011" 2012" Turboprop delivery swings have been less severe than for jets for almost 20 years Note: Latest year includes year- to- date deliveries in JETNET database 18

19 JETNET iq: The Industry Pre-Owned Business Aircraft Inventory ##of#aircra5#for#sale# #3,500## #3,000## #2,500## #2,000## #1,500## #1,000## #500## #)#### Business#Jets#and#Turboprops#for#sale# Oct#2006#)#Oct#2012# 2006# 2007# 2008# 2009# 2010# 2011# 2012# ##of#jets#for#sale# ##of#turboprops#for#sale# %#of#jets#for#sale# %#of#turboprops#for#sale# 18%# 16%# 14%# 12%# 10%# 8%# 6%# 4%# 2%# 0%# %#of#aircra5#for#sale# The percentage of pre-owned jets for sale is still about 2% points above 2007 levels 19

20 JETNET iq: The Industry Pre-Owned Business Jet Inventory 25.0%$ Aircra1$for$sale$as$a$%$of$total$ 20.0%$ 15.0%$ 10.0%$ 5.0%$ 0.0%$ 2006$ 2007$ 2008$ 2009$ 2010$ 2011$ 2012$ Airliner$Business$ Large$Ultra>Long$Range$ Large$Long$Range$ Large$Jets$ Super$Mid>size$Jets$ Mid>size$Jets$ Super$Light$Jets$ Light$Jets$ Very$Light$Jets$ Total$Jets$ The percentage of pre-owned jets for sale has yet to return to pre-2008 levels 20

21 JETNET iq: The Industry U.S. Business Jet Utilization Business!Jet!OperaEons!recorded!by!FAA!('000!cycles/month)! FAA)BUSINESS)JET)OPERATIONS)4)AUG)2012 TOTAL)CYCLES Trailing 12 Months Total Cycles 338,812 3,970,250 Change vs. prior month 5.1% 0.1% Change vs. prior year 1.7% 0.1% Change vs. 24 months ago 3.9% 7.0% DOMESTIC)CYCLES Total Domestic Cycles 286,362 3,316,770 Change vs. prior month 7.2% 0.1% Change vs. prior year 1.5% -0.1% Change vs. 24 months ago 4.4% 6.1% INTERNATIONAL)CYCLES Total International Cycles 52, ,480 Change vs. prior month -4.8% 0.2% Change vs. prior year 2.5% 1.2% Change vs. 24 months ago 1.2% 11.8%!358!!!338!!!317!!!321!!!314!!319!!326!!!336!!!343!!!331!!!336!!!342!!!343!!!349!!!330!!!333!!329!!!334!!!315!!!319!!!307!!319!!!311!!!311!!312!!!324!!!335!!!344!!!339!!!328!!!322!!!285!!283!!283!!283!!!292!!289!!!295!!!297!!!287!!290!!291!!!291!!!297!!!274!!!272!!!277!!!265!!!269!!268!!267!!266!!!274!!273!!!278!!!279!!!286!!!280!!!282!!291!!!278!!!282!!!286!!!288!!!286!!!279!!!270!!!262!!263!!239!!241!!240!!239!!!248!!248!!252!!!253!!!259!!!257!!259!!!272!!!271!!267!!!242!!244!!243!!!231!!!225!!!61!!!43!!!40!!!46!!!43!!!42!!!44!!!44!!!41!!!43!!!45!!!44!!!45!!!46!!!48!!!53!!!47!!!52!!!49!!!52!!!62!!!52!!!53!!!56!!!44!!!53!!!62!!!57!!!56!!!62!!!50!!!49!!!51!!!51!!!52!!!52!!!54!!!53!!!53!!!56!!!56!!!57!!!55!!!52!! Jan!2009! Feb!2009! Mar!2009! Apr!2009! May!2009! Jun!2009! Jul!2009! Aug!2009! Sep!2009! Oct!2009! Nov!2009! Dec!2009! Jan!2010! Feb!2010! Mar!2010! Apr!2010! May!2010! Jun!2010! Jul!2010! Aug!2010! Sep!2010! Oct!2010! Nov!2010! Dec!2010! Jan!2011! Feb!2011! Mar!2011! Apr!2011! May!2011! Jun!2011! Jul!2011! Aug!2011! Sep!2011! Oct!2011! Nov!2011! Dec!2011! Jan!2012! Feb!2012! Mar!2012! Apr!2012! May!2012! Jun!2012! Jul!2012! Aug!2012! Total& Domes+c& Interna+onal& U.S. utilization: total business jet cycles are essentially unchanged year-over-year 21

22 JETNET iq: The Industry European Business Aircraft Utilization!60,000!! Business!Jet!and!Turboprop!OperaFons!"!Eurocontrol!(cycles!/!month)! EUROCONTROL Trailing,12, BUSINESS,JET,&,TURBOPROP,OPERATIONS,1,SEPT,2012 Months BUSINESS,JETS,(EXCLUDING,AIRLINERS) Total Cycles 44, ,383 Change vs. prior month -3.2% -1.1% Change vs. prior year -11.1% -5.1% Change vs. 24 months ago -6.4% 2.2% TURBOPROPS Total Cycles 13, ,749 Change vs. prior month -3.2% -1.1% Change vs. prior year -12.2% -5.4% Change vs. 24 months ago -11.6% -2.0%!50,000!! Cycles!per!month!!40,000!!!30,000!!!20,000!!!10,000!!!"!!!! Jan"09! Mar"09! May"09! Jul"09! Sep"09! Nov"09! Jan"10! Mar"10! May"10! Jul"10! Sep"10! Nov"10! Jan"11! Mar"11! May"11! Jul"11! Sep"11! Nov"11! Jan"12! Mar"12! May"12! Jul"12! Sep"12! Jet$Cycles$/$Month$ Turboprop$Cycles$/$Month$ European utilization: total cycles are down more than 5% year-over-year 22

23 JETNET iq: The Survey JETNET iq Quarterly Surveys Multilingual owner / operator surveys Utilization patterns and expectations Brand perceptions Purchase criteria / inhibitors Purchase / selling intentions New product preferences Special topics of interest (examples) New products The environment China, etc. JETNET iq Surveys: Quarterly, multilingual, worldwide 23

2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 JETNET iq

24 JETNET iq: The Survey JETNET iq Survey Respondents Respondents Countries Q Q Q Q Q Q Q JETNET iq Surveys: Since Q1 2011, >3,500 respondents from 100+ countries 24

JETNET iq: The Survey Survey Respondents

Middle&East& 12.4%& 3.2%& 2.4%& 12.5%& 14.0%& 4.

9%& World&Fleet& by&geographic& region& 61.

25 JETNET iq: The Survey Survey Respondents Location By Aircraft Base Location North&America& La.n&America&&& Caribbean& Europe& Africa& Middle&East& 12.4%& 3.2%& 2.4%& 12.5%& 14.0%& 4.9%&0.4%& 6.1%& 0.8%& 3.7%& 1.9%& World&Fleet& by&geographic& region& 61.0%& Q Survey Inner circle (World Fleet) Asia&Pacific& 19.9%& 56.8%& Former&Soviet&Union& Outer circle (Respondent Fleet) 25

JETNET iq: The Survey Survey Respondents Fleet By

Very%Light%Jet% Light%Jet% Super%Light%Jet%

Large%Long1Range%Jet% Large%Ultra%Long1Range%Jet%

Single1Engine%Turbo1Prop% MulB1Engine%Turbo1Prop%

by#size# Category# 3%# 1%# 5%# 6%# 9%# 5%# 16%# 4%#

26 JETNET iq: The Survey Survey Respondents Fleet By Aircraft Size Category Q Survey Very%Light%Jet% Light%Jet% Super%Light%Jet% Mid1Size%Jet% Super%Mid1Size%Jet% Large%Jet% Large%Long1Range%Jet% Large%Ultra%Long1Range%Jet% Airline%Business%Jet% Airliner%Jet%Converted% Single1Engine%Turbo1Prop% MulB1Engine%Turbo1Prop% 9%# 27%# 0%# 5%# 28%# 13%# 6%# 6%# 9%# World#Fleet# by#size# Category# 3%# 1%# 5%# 6%# 9%# 5%# 16%# 4%# 10%# 14%# 7%# 11%# 6%# Inner circle (World Fleet) Outer circle (Respondent Fleet) 26

27 JETNET iq: The Survey Survey Respondents Fleet By Aircraft Manufacturer Q Survey Bombardier* Cessna* 2%$ 6%$ 3%$ 16%$ Inner circle (World Fleet) Dassault*Falcon* Embraer* 4%$ 12%$ 13%$ Gulfstream* Hawker*Beechcra;* Pilatus* Piper* Other* 31%$ 3%$ 26%$ World$Fleet$ by$size$ Manufacturer$ Category$ 6%$ 2%$ 7%$ 27%$ 25%$ 8%$ 1%$ 8%$ Outer circle (Respondent Fleet) 27

28 JETNET iq: The Survey Survey Respondents Roles By Job Title Vice'President'/' Director'of' AviaEon' 4%' Pilot' 8%' Head'of' maintenance' 5%' Dispatcher'/' Scheduler'/'Flight' Coordinator' 14%' Chief'Pilot'/'head' of'flight' operaeons' 35%' Business'owner'/' shareholder'/' partner' 12%' General' Manager'/' Director' 9%' Q Survey CEO'/'COO'/' CFO'/'President'/' Managing' Director' 11%' Vice'President'/' Senior' Management' 2%' 28

JETNET iq: The Survey Survey Respondents Roles Q3 2012 Survey By Involvement in

purchase" decision" 11%" I"was"the" decision< maker" 20%" I"provided"

29 JETNET iq: The Survey Survey Respondents Roles Q Survey By Involvement in Last Fixed-Wing Turbine Aircraft Purchase I"was"not" involved"in" the" purchase" decision" 11%" I"was"the" decision< maker" 20%" I"provided" informa7on" suppor7ng" the" purchase" decision" 31%" I"influenced" the" purchase" decision" 38%" 29

3%#2%# 1%#1%#1%# 1%# 1%#1%#1%#1%# less$than$101$ 101+150$ 151+200$ 201+250$ 251+300$ 301+350$ 351+400$ 401+450$

30 JETNET iq: The Survey Survey Respondents Flight Operations By Average Utilization per Aircraft in Prior 12 Months Q Survey Annual#Flight#Hours#per#aircra=# 6%# 12%# 15%# 13%# 9%# Average# Hours:# 357# 8%# 9%# 7%# 5%# 4%# 3%#2%# 1%#1%#1%# 1%# 1%#1%#1%#1%# less$than$101$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ greater$than$ 30

31 JETNET iq: The Survey Survey Respondents Sentiment Current Market Sentiment Q Survey Where is the Business Avia=on Industry In the Current Business Cycle? Past$the$low$ point$ Not$yet$ reached$the$ low$point$ 52%$ 18%$ 30%$ At$the$low$point$ 31

JETNET iq: The Survey Aircraft Purchase Inhibitors Top 3 Inhibitors Weighted Average Purchase%inhibitors% Q3 2012 Survey Do&not&need&addi4onal&aircraB& 18.

32 JETNET iq: The Survey Aircraft Purchase Inhibitors Top 3 Inhibitors Weighted Average Purchase%inhibitors% Q Survey Do&not&need&addi4onal&aircraB& 18.5%% Uncertainty&about&economy&/&regulatory&environment& 14.4%% Decline&in&business&ac4vity& Purchase&price&or&tradeJup&cost&too&high& Inability&to&sell&current&aircraB& 10.9%% 10.5%% 10.1%% Availability&of&financing&or&capital&for&purchase& Opera4ng&cost&too&high& No&compelling&aircraB&that&meet&my&organiza4on's&needs& Will&get&a&be@er&deal&on&a&new&business&aircraB&if&I&wait&a&year& Using&alterna4ve&flight&solu4ons&(charter,&commercial,&jet&card,&frac4onal,& etc.)& Public&opinion&of&business&avia4on& 6.7%% 6.5%% 5.9%% 5.6%% 5.0%% 4.7%% Which of the following factors are most likely to prevent or delay your organiza>on from purchasing a business aircran over the next 12 months? Other& 1.2%% 32

JETNET iq: The Survey Aircraft Utilization Next 12 and 12-24 Months versus Prior 12 Months Compared#with#your#past#12#months,#what#changes#do#you#expect#in#your#

33 JETNET iq: The Survey Aircraft Utilization Next 12 and Months versus Prior 12 Months Compared#with#your#past#12#months,#what#changes#do#you#expect#in#your# total#annual#flight#hours#over#the#next#24#months?# Up#30%#or#more# Up#25%# 3.8%$ 3.3%# 2.6%$ 7.3%# Up#20%# 7.3%# 4.9%$ Up#15%# 7.5%# 7.1%$ Up#10%# 18.1%# 15.0%$ Up#5%# 12.4%# 11.7%$ No#change# 33.5%# 43.3%$ Down#5%# 1.1%# 1.6%$ Down#10%# Down#15%# Down#20%# Down#25%# Down#30%#or#more# 2.2%# 3.7%$ 0.5%# 1.5%$ 0.4%# 0.4%$ 0.2%# 0.5%$ 0.4%# 0.5%$ Next$12224$months$ Next$12$months$ Weighted$ average$for$ next$12$mths$ =$4.9%$ Weighted$ average$for$ next$12224$ mths$=$7.4%$ Do#not#know#/# uncertain# 5.9%# 3.3%$ Respondents expect to fly 5% more hours in the next 12 months vs. prior 12 months 33

34 JETNET iq: The Survey Brand Reputations Aircraft Manufacturers on a 1-10 Scale, where 10 = Highest Bombardier#Challenger# Bombardier#Global# Bombardier#Learjet# Cessna#Cita<on# Cessna#Caravan# Dassault#Falcon# Embraer#Legacy# Embraer#Lineage# Embraer#Phenom# Gulfstream# Hawker#Beechcra>#=#Beechcra># Hawker#Beechcra>#=#Hawker# %#of#responses# 50%# 40%# 30%# 20%# 10%# 0%# 1# 2# 3# 4# 5# 6# 7# 8# 9# 10# U Gulfstream is the leading brand amongst aircraft manufacturers 34

35 JETNET iq: The Survey Brand Reputations Jet Engine Manufacturers on a 1-10 Scale, where 10 = Highest General'Electric' Honda'Aero'Engines' Honeywell' %#of#respondents# 50%# 40%# 30%# Pra5'&'Whitney'Canada' Rolls;Royce' Williams'Interna>onal' 20%# 10%# 0%# 1# 2# 3# 4# 5# 6# 7# 8# 9# 10# Pratt & Whitney Canada & Rolls-Royce are the top-rated jet engine manufacturer brands 35

36 JETNET iq: The Forecast Brand Reputations Avionics Manufacturers on a 1-10 Scale, where 10 = Highest 30%# Garmin' Honeywell' Rockwell'Collins' 25%# %#of#respondents# 20%# 15%# 10%# 5%# 0%# 1# 2# 3# 4# 5# 6# 7# 8# 9# 10# Garmin is the top-rated avionics brand, followed by Rockwell Collins 36

JETNET iq: The Forecast Business Jet Deliveries 1400" History and 2012 Forecast 1200" Deliveries"(units)" 1000" 800" 600" 400" 200" 0" 1957" 1959" 1960" 1961" 1962" 1963" 1964" 1965"

1996" 1997" 1998" 1999" 2000" 2001" 2002" 2003" 2004" 2005" 2006" 2007" 2008" 2009" 2010" 2011E" 2012F" 2013F" Personal"Jet" Very"Light"Jet" Light"Jet" Super"Light"Jet" MidGSize"Jet"

37 JETNET iq: The Forecast Business Jet Deliveries 1400" History and 2012 Forecast 1200" Deliveries"(units)" 1000" 800" 600" 400" 200" 0" 1957" 1959" 1960" 1961" 1962" 1963" 1964" 1965" 1966" 1967" 1968" 1969" 1970" 1971" 1972" 1973" 1974" 1975" 1976" 1977" 1978" 1979" 1980" 1981" 1982" 1983" 1984" 1985" 1986" 1987" 1988" 1989" 1990" 1991" 1992" 1993" 1994" 1995" 1996" 1997" 1998" 1999" 2000" 2001" 2002" 2003" 2004" 2005" 2006" 2007" 2008" 2009" 2010" 2011E" 2012F" 2013F" Personal"Jet" Very"Light"Jet" Light"Jet" Super"Light"Jet" MidGSize"Jet" Super"MidGSize"Jet" Large"Jet" Large"LongGRange"Jet" Large"Ultra"LongGRange"Jet" Airline"Business"Jet" JETNET iq 2012 business jet delivery forecast is 718 units, up 6.5% over

38 About JETNET iq Launched in January 2011, JETNET iq is a forecasting and premium advisory service for the business aviation market, designed to help customers Know More. Available on an annual subscription basis, JETNET iq has 3 main elements: 1) JETNET iq REPORTS are the definitive analytical reference for the business aviation industry, incorporating state-of-the-industry analyses, proprietary aircraft owner/operator surveys, and detailed 10-year delivery and fleet forecasts, updated quarterly. 2) JETNET iq SUMMITS provide fast-paced thought-provoking insights into the state of the industry, and unique networking opportunities. 3) JETNET iq CONSULTING serves the needs of members with customized research and analysis requirements on a project-by-project basis. For more information on JETNET iq, log on to or contact Rolland Vincent, JETNET iq Creator/Director at or rollie@jetnet.com. 38

39 About JETNET Since 1988, JETNET has delivered the most comprehensive and reliable business aircraft research to its exclusive clientele of aviation professionals worldwide. JETNET is the ultimate source for information and intelligence on the worldwide business, commercial, and helicopter aircraft fleet and marketplace, comprised of some 100,000 airframes. Headquartered in its state-of-the-art facility in Utica, NY, JETNET offers comprehensive user-friendly aircraft data via real-time internet access or regular updates. For more information on JETNET LLC log on to jetnet.com or contact Paul Cardarelli, JETNET Director of Sales and Marketing, at (USA) or International inquiries, contact Karim Derbala, JETNET Exclusive Agent, EMEA, at or 39

JETNET iq Snap! Q Summary Report

JETNET iq Snap! Q Summary Report !!! JETNET iq Snap! Q3 2013 Summary Report Prepared for: JETNET iq Global Business Survey Respondents ,א דא נק Gracias, Thank You, Merci, Obrigado, Muchas Danke, ありがとう, Grazie,,ششككرراا спасибо, Thank