Pinnacle Aviation was featured on the cover of the December 2015 edition of Scottsdale Airpark News. Click the link below to read how Pinnacle Aviation made it into the top 1 percent of charter operators in the world for safety.

http://www.scottsdaleairpark.com/?p=2788

Seven Sensible Questions to Ask When Arranging Private Jet Charter

People seeking to charter an aircraft, often rely on their own research or a Charter Broker’s expertise to evaluate the many charter aircraft and services available to them.  Private jet users expect that, at a minimum, aircraft available for charter are in compliance with Federal Aviation Administration (FAA) safety regulations.  However, just like any other industry, not all charter operators deliver the same standards of safety and professionalism.  To assist charter customers to identify the most competent operators, the charter industry has established a set of qualifications and operating metrics.  Listed here are a handful of sensible questions, adapted from the NBAA Aircraft Charter Consumer Guide, which will assist to expose the professionalism of the operator and their commitment to operate safe equipment. 

 

1) How long has the Operator or Broker been in business?

Experience is an important attribute in the aviation industry. An experienced organization will demonstrate and command a more competent understanding of FAA safety regulations as well as the myriad of logistics involved with conducting safe and efficient missions.

 

2) Who has “operational control” of the aircraft?

Charter Operators and Charter Brokers can easily be mistaken for one another.  Understanding the difference will help provide clarity about who is doing what throughout the charter experience.  Charter Operators have operational control – Charter Brokers do not.

A Charter Operator directly manages, maintains, and crews aircraft made available for charter. To be an operator, an individual or organization must earn an operating certificate issued by the FAA. It is a rigorous process designed to provide a reliable operational standard of safety. Charter operators are required to continuously engage with the FAA having every aircraft and pilot approved before an aircraft is made available for charter. Whether a trip is arranged through a Charter Broker or directly with an Operator, if it’s a legitimate, legal charter, the flight will be delivered on a Charter Operator’s aircraft – and the Charter Operator will have “operational control”.

A Charter Broker matches their customer’s travel requirements using the available charter aircraft provided by the licensed Charter Operators.  The Charter Broker serves as a “finder”, providing a value-added service for their customers by screening charter operators, identifying qualified aircraft and crew, and making recommendations to their customer.  Some Charter Brokers will also act as an agent on behalf of their client, to negotiate and finalize the arrangements/agreements for their customer’s flights.

3) What is the safety record of the company?

When selecting a charter operator, it is prudent to research the audit history and ratings of the charter operator. Audit ratings may be found by contacting the charter operator or through third party safety auditors, e.g., International Standard for Business Aircraft Operations (IS-BAO), Air Charter Safety Foundation (ACSF), Aviation Research Group U.S. (ARG/US), and Wyvern. Most brokers and operators will provide an ARG/US Trip CHEQ report or a Wyvern Pass report showing that the flight has met industry standards. Links to these audit organizations may be found via www.nbaa.org/charter.

In general, all accidents and certain incidents must be reported immediately to the nearest National Transportation and Safety Board (NTSB) office. Enforcement action can be taken against the operator if notification is not made in a timely manner.

An Accident is defined by the FAA as an occurrence associated with the operation of an aircraft in which any person suffers death or serious injury, or in which the aircraft receives substantial damage.

An Incident is defined as “an occurrence involving one or more aircraft in which a hazard or a potential hazard to safety is involved but not classified as an accident due to the degree of injury and/or extent of damage.” An incident could affect the safety of operations. This definition covers a broad range of events and may include runway incursions, pilot deviations and near midair collisions.

When evaluating the safety record of a Charter Operator, consideration should be given to operator’s fleet size and number of years in business.

4) Has the Operator (or Broker) been listed in any lawsuits or are they currently in litigation?

The past business history of any company can provide valuable insight into the way in which they conduct business.  Legal remedies are available for businesses to resolve difficult issues, however, companies with a track record of lawsuits and litigation justify closer scrutiny.

5) What experience do the pilots who will be flying the jet have?

Pilots for a legal charter operator must have at least 1,200 hours of total flight time. It is reasonable to ask the total flight hours of the crew and, perhaps more importantly, how many hours each crew member has in the specific make/model of the aircraft to be chartered. Industry auditors have recommendations about experience levels to look for with an aircraft crew. In addition, it’s helpful to know crew experience when comparing one operator to another.

6) How much liability insurance is carried on the jet?

An accepted industry norm for prospective jet charter clients is a minimum limit of $50 million ($50,000,000) combined single limit, bodily injury to passengers and property damage liability. However, more or less insurance coverage may be appropriate depending on your needs and the charter operator

7) Ask for an all-inclusive price quote?

Pricing a private charter trip can be made very simple by asking for an “all-in” price. Many operators will quote a net aircraft price or estimated price. Upon the completion of the trip they will add in pilot fees, stand-by time, holding pattern or diversion times, parking and ramp charges, landing fees, fuel surcharges, segment fees and a 7.5 percent federal excise tax.  An all-in quote divided by the quoted hourly flight time will allow for clear comparison information between various quotes.

By asking these questions, you do more than ensure your safety; you learn more about the professionalism of the Charter Operator or the Charter Broker.

Only the Very Best Operators qualify for IS-BAO Stage 3 Accreditation

After hearing the news that Pinnacle Aviation had been awarded the prestigious IS-BAO Stage 3 certification, Trevor Turcott, Pinnacle Aviation’s Director of Operations, proudly stated, “As aviation professionals, it is rewarding and validating to have our SMS processes audited and applauded. We embrace the highest IS-BAO standards, and with our recent Stage 3 certification from IS-BAO, we have again reinforced our safety culture of continuous improvement.”  

Pinnacle Aviation President, Curt Pavlicek adds, “…it’s a value proposition our clients benefit directly from; and we believe our clients deserve to know that they are safe and secure at all times.” Curt continues, “We realize that safety and service reliability is about dutiful attention to the smallest details. We strive to go well-beyond aviation industry standards to ensure our operational systems are trustworthy and dependable”.

Pinnacle Aviation continues to separate itself from most other operators by embracing the highest safety standards. The general aviation industry is populated with many safety accreditation services today.  Pinnacle Aviation is among the elite charter operators who have earned the very highest safety accreditations, including ARG/US Platinum rating, and the extraordinary IS-BAO – Stage 3.   

Pinnacle Aviation is based at the Scottsdale Airport, with operations in Arizona, California, New York and Hawaii.

Understanding the Key Elements of Aircraft Resale Values

It’s been said that a buyer will purchase a specific jet because they either fall in love with the aircraft itself or they fall in love with the notion of a great deal.

Whatever the reason, if a buyer doesn’t love the jet itself, then the price must be attractive enough to compel them. There are important factors to pay attention to when talking about jet resale values.  The dynamics of resale values are affected in different ways by these factors.  The following are some of the key considerations to understanding how a jet’s resale value is established.

1. Well-Managed Maintenance Log Books

The FAA requires that every registered jet keep a maintenance logbook specifically to document all activity related to the maintenance work performed on each jet.  Any and all work done, from removing and replacing parts to calibrating components, is recorded in each aircraft’s maintenance logbook and can reveal proper or poor aircraft management practices.  

Maintenance logbooks that are managed accurately provide buyer confidence in the jet’s maintenance history and therefor the jet’s value is maintained. When managed incorrectly, buyer confidence in the jet’s value diminishes dramatically.

2. Manufacturers Maintenance Programs

Engine maintenance programs for business jets are commonplace today.  An engine maintenance program provides comprehensive turbine engine maintenance and overhaul coverage at a fixed price per hour, offsetting financial exposure and improving the aircraft’s index value.  These programs have proven to be so popular and so important to the value of the aircraft, reporting services began tracking the turbojet and turbofan engine programs over 40 years ago.  The reports have consistently shown that the marketability of an aircraft not enrolled in an hourly cost maintenance program (HCMP) was clearly inferior to that of a similar aircraft in like condition that was in a program.  Just how much the aircraft value is impacted is dependent upon the terms of the program in which its engines are enrolled.

3. Exterior Paint & Interior Condition

First impressions matter. Buyers are positively or negatively impacted by their first impression of an aircraft. Colors often make the first impression on a buyer.  Non-standard colors often create much longer than normal resale time.  Most buyers cannot look past colors they don’t like and instead of seeing an aircraft they can modify for minimal expense, they just see an aircraft they don’t like.  

Also, interior installations require proper certification paperwork (often specific to each country). However, certain paperwork is easily accepted by numerous authorities worldwide. A Supplemental Type Certificate (STC) is one of the more widely accepted certification forms. The more widely accepted the interior certification paperwork is, the smoother the resale process.

4. Total Time Airframe / Engines

Perhaps the most common influence on resale value is the total time on the airframe and the engines. The closer an engine is to its recommended time between overhaul, the less its value. The number of hours an aircraft has flown can have a dramatic impact on its resale value, as buyers often mistakenly equate low-time aircraft with low-mileage automobiles, ignoring the continuous maintenance and inspections that assure an aircraft’s airworthiness.

A reality to consider is that major inspections are performed on aircraft at specific intervals. A 11,000 hour aircraft has been through its 10,000 hour inspection, and discrepancies have been addressed. An 8,000 hour aircraft of similar vintage might be more attractive to the market, yet it will have to undergo a major inspection and the possible costs of replacement parts in just 2,000 hours.  A professional evaluation of the aircraft can reveal the accurate impact these measures should have on a specific aircraft. 

5. Avionics Improvements

The term Avionics refers to the computer hardware and software that makes an aircraft work.  As with all computers, the technology advancements provide better performance and older versions of both hardware and software can become outdated or obsolete.  Outdated avionics can impact the resale value significantly.  

Research conducted by Aircraft Bluebook indicated that for most systems the chart below was a fairly accurate gauge.  However, some brands or types of avionics retain more or less of their original value than others due to popularity, technology, and type of aircraft in which they were installed.

It is important to consider all of the variables when pricing an aircraft. The avionics package and its quality are areas that should be evaluated carefully.  The chart below lists the percentage of new values corresponding to equipment age. After determining equipment age, add percent of new list price to the aircraft’s value.  This chart is intended to provide a general range of residual value of avionics equipment.

If you are in the market to buy or sell an aircraft — our experts are available to assist you with maintenance status evaluation and value appraisal. Call our office anytime to schedule your evaluation — 480-998-8989.

Pinnacle Aviation received their Stage 3 Certification from the International Business Aviation Council. Pinnacle Aviation goes above and beyond to ensure exceptional service and safety for our clients. Click the link below to see how our company received this certification.

http://www.scottsdaleairpark.com/?p=2610

Pinnacle Aviation received their Stage 3 Certification from the International Business Aviation Council. Pinnacle Aviation goes above and beyond to ensure exceptional service and safety for our clients. Click the link below to see how our company received this certification.

http://www.scottsdaleairpark.com/?p=2610

Pinnacle Aviation received their Stage 3 Certification from the International Business Aviation Council. Pinnacle Aviation goes above and beyond to ensure exceptional service and safety for our clients. Click the link below to see how our company received this certification.

http://www.scottsdaleairpark.com/?p=2610

Pinnacle Aviation recently received IS-BAO Stage 3 Certification. Our company received this award because we perform high quality operating practices for international business aircraft operations. We are proud of our company and all the hard work they put day in and day out to make Pinnacle the company it is today. Click the link below to read the article and learn more about IS-BAO Stage 3 Certification.

http://www.azredbook.com/noteworthy/pinnacle-aviation-awarded-highest-certification/

THERE’S FIRST CLASS. THEN THERE’S PINNACLE CLASS.

To call it First Class travel doesn’t begin to describe the Pinnacle Aviation charter experience. It’s about peace of mind. It’s about comfort. It’s about reliability. But, most important, it’s about you. Pinnacle goes beyond the expected to give you a higher level of safety, service and dependability.

A higher level of trust.
We know each aircraft in the Pinnacle charter fleet intimately, because each is meticulously maintained, managed and flown by Pinnacle. Our FAA charter certificate allows us to operate our aircraft anywhere in the world. A fleet of eleven luxurious business jets is at your disposal, based at key departure airports across the U.S. from Hawaii to the east coast. Having a choice allows you to meet your requirements perfectly—from the fast but economical six-passenger Raytheon Premier I to the spacious Challenger 604, capable of carrying ten passengers more than 4,000 miles nonstop.

Our average flight crew is anything but average.
Pinnacle exceeds FAA requirements for pilot proficiency. Our average pilot has 15,000 hours of flight experience and many of our pilots come from backgrounds not only in general aviation, but from military and commercial airlines. To ensure pilot proficiency, all of our pilots go through rigorous training at the top simulator training centers in the country. They regularly participate in the best programs in the industry for international procedures and overwater training which qualifies them to fly virtually anywhere in the world.

Respected for safety.
Pinnacle’s proactive approach has earned us the reputation of being an industry leader in the field of safety. These exceptionally high standards in crew and aircraft have earned Pinnacle an unblemished safety record. We are recognized as an IS-BAO Registered Carrier, which requires an extensive audit by the International Business Aviation Council to ensure our operations meet or exceed international industry best-practice standards. Our Safety Management System (SMS) was implemented 2 years before the government mandated such stringent safety procedures. Other safety monitoring organizations such as ARGUS International, Wyvern Consulting, Ltd., and EJM Management audit us to ensure safety and compliance with their high standards.

We’re ready when you are.
When you arrive at the airport, you will find no lines. No security checkpoints. Your bags will be removed from your car and carefully placed in the aircraft. The galley will be stocked to your liking. Your aircraft will be ready to depart when you are and not a minute sooner. Your part in the Pinnacle charter experience? Just lean back and enjoy a higher level of travel.

 

Pinnacle Aviation Delivers A Higher Level of Sales & Acquisition Expertise. 
What is the impact of an airplane’s maintenance status on its overall value?

 

One of the fundamental factors to be considered when valuing an aircraft is the condition of its maintenance status. There can sometimes be wide disparity between appraisals for similarly aged aircraft that can often be explained by differences in their maintenance condition.

Whenever possible it is useful to quantify the maintenance status of aircraft in monetary terms, given the strong relationship that exists between the cost of conducting maintenance and value enhancement.

The majority of aircraft appraisers and advisors generally quantify the value of an aircraft’s maintenance status through analysis of certain, high cost major maintenance events. These events generally consist of: 

• Airframe structural inspection
• Engine performance restoration & replacement
• Landing gear overhaul
• APU performance restoration

 

Maintenance value can also be heavily influenced by market forces. In conditions, where aircraft values command premium prices, prospective buyers are more willing to consider aircraft in lesser maintenance condition. Conversely, buyers are reluctant to expend cash on aircraft with lower levels of maintenance status.

If you are in the market to buy or sell an aircraft, our experts are available to assist you with maintenance status evaluation and value appraisal. Call our office anytime to schedule an appointment at 480-998-8989.

Only the Very Best Operators qualify for IS-BAO Stage 3 Accreditation.

Pinnacle Aviation is on a relentless pursuit for operational excellence. We realize that safety and service reliability is about dutiful attention to the smallest details. We’ve gone well-beyond aviation industry standards to ensure our operational systems are trustworthy and dependable.  

The general aviation industry is populated with many safety accreditation services today. Pinnacle Aviation is among the elite 1% of charter operators world-wide who have earned the very highest safety accreditations, including ARG/US Platinum rating, and the extraordinary IS-BAO – Stage 3. Pinnacle Aviation proudly announces that as a result of its latest independent safety and operations audit by 
IS-BAO, the IBAC council has approved Pinnacle Aviation for prestigious Stage 3 certification. 

Pinnacle Aviation continues to separate itself from most other operators by embracing the highest 
IS-BAO standards, and now with Stage 3 certification from IS-BAO, we’ve again reinforced our culture of continuous improvement. That’s a value proposition our clients benefit directly from; and we believe our clients deserve to know that they are safe and secure at all times.

Have you ever wondered what it takes for a charter operator to become ARGUS Platinum safety rated? Curt Pavlicek explains what it takes to be the best in the industry. Click the link below to read the article.

http://hosted.verticalresponse.com/1293481/439dc99c93/572115513/7bed164373/

There are numerous factors involved in determining an aircraft’s value at any time, including: airframe and engine times, equipment, and the resale market. 

Bruce Ison, Pinnacle Aviation’s Director of Insurance, suggests jet owners determine the value of their aircraft annually to make sure it is close to what amount is listed in their insurance policy. The key in this process is to understand how to value an aircraft and what would happen in the event the aircraft had a partial or total loss.

Most aircraft policies are written on a stated value basis. That means in the event of a total loss, the amount listed in the policy under hull coverage will be the amount the insurance carrier will pay in the event of a covered total loss. This is different from how auto insurance is written. Cars and trucks are generally written on an “Actual Cash Value” basis, which pays the vehicle’s replacement value minus depreciation.

Since aircraft are written on a stated value basis, it is important to perform proper due diligence when determining the insured value for the aircraft. One process utilized to determine an aircraft’s value is to use an aircraft blue book or other valuation service. A blue book provides a middle-of-the road measure of an aircraft’s value based on the aircraft year of manufacture, and make and model with mid-time components and average equipment. Using the average of the base value you then take into account the above or below average airframe, engine, and component hours, as well as other upgrades to reach a solid determination of the aircraft’s value. Most insurance carriers will not insure an aircraft that is 25% above or below an aircraft’s average blue book value without substantiation or an appraisal.

Another approach to help determine the aircraft’s value is to compare aircraft on the resale market. This can be done by occasionally looking at what is for sale in the classifieds as well as by visiting with operators of similar equipment. Doing this will provide a strong gauge of what it would take to replace the aircraft with one of similar kind and quality.

Determining what it would take financially to replace the aircraft with one of similar like and quality is a key determining factor as to the value you should insure your aircraft. Insurance, or indemnification, literally means to restore one to whole when a loss has happened. Insurance exists to restore your aircraft situation to what it would have been had a loss not occurred. It does not exist for one to benefit from a loss.  In the event of a covered physical damage loss, the insurance carrier has an obligation to either: repair the aircraft, replace it with like kind and quality, or pay the agreed value. Legally it is at the insurance carrier’s discretion as to which option it chooses.  If an aircraft is over insured, the policyholder is over paying their premiums and it creates a situation where it might be more affordable for the insurance carrier to repair the aircraft when it would be more desirable to total the aircraft. Conversely, if the aircraft is underinsured the policyholder may be out a significant amount of equity in the event an aircraft is totaled and the carrier may total an aircraft when the desired result would be a repair. This could cause a loss of equity for the aircraft owner.

All of this information dictates one possible answer. Review the aircraft’s value on a regular basis and insure your aircraft with the amount it would take you to replace the aircraft with like kind and quality. That is the only way to avoid the pitfalls that over-insuring and under-insuring bring. Contact Bruce Ison at [email protected]  or 480-998-2793

Airport Operations

Scottsdale Airport is a general aviation reliever facility that is owned and operated by the City of Scottsdale.

Approximately 152,568 takeoffs and landings occurred in 2014, making Scottsdale one of the busiest corporate jet facilities in the state.

Nearly 370 aircraft are based at Scottsdale Airport, from single engine recreational planes to numerous corporate jets. 

U.S. Customs and Border Protection service provided every day from 9 a.m. to 7 p.m.

U.S. Customs “US-VISIT” is available, and allows visitors from all over the world to come to Scottsdale, provided they have the proper visas.  

The City of Scottsdale Aviation Department is responsible for maintaining the safety and security of the airport facility (runways, taxiways, lighting, safety areas, etc.).  

The City promotes noise abatement procedures set by the FAA and compatible land development through zoning for development within the Airport Influence Area.

The Federal Aviation Administration is responsible for managing air traffic and implementing air traffic related noise abatement procedures.

 

Economic Impact

Aviation activity at the airport and airpark created $536 million in total economic benefits for the region in FY 2014. The spin-off or catalytic benefit encompassing the entire airpark’s economic benefit is $8.2 billion per year.  Additionally, there are more than 1,400 aviation-related jobs on the airport and in the airpark.  (City of Scottsdale Economic Benefit Analysis, 2014)

Scottsdale Airport operates as an enterprise fund with the city and functions self-sufficiently without any general fund subsidy.

The Scottsdale Airpark – the business and industrial area around the airport – is the second largest employment center in the state of Arizona.  Properties in the airpark are privately owned and can access the airport through secured gates with proper permission from the airport.

Airport Facts & Figures

Scottsdale Airport facilities are contained on more than 300 acres of land in the north central part of Scottsdale, Arizona.

Runway: 03/21, 8,249 feet long, 100 feet wide.

The airport can accept aircraft weighing up to 100,000 lbs.  

Scottsdale Airport has numerous corporate aircraft hangars, T Shades, and tie downs. 

City of Scottsdale Aviation Department employs 14 people.

With an average median temperature of 70 degrees, Scottsdale provides the country’s best year-around flying conditions. 

Pilots enjoy an average of 360 days a year using Visual Flight Rules (VFR). 

In 2013, 8.8 million gallons of fuel were dispensed.

The Airport Advisory Commission is a citizen advisory board appointed by the City Council to review and offer recommendations on policy matters relating to the operation of the airport, proposals for development, airport area land use, fees and safety concerns.

Scottsdale Airport History

Scottsdale Airport began in June 22, 1942, as Thunderbird Field II, a basic training facility for World War II Army Air Corps pilots.

In 1966, the City of Scottsdale acquired the airfield from the Arizona Conference of Seventh Day Adventists.

The first fixed base operator was selected in April 1967.

The first business jets landed at Scottsdale Airport in August 1967.

The first airpark tenant, Casa Precision, broke ground for its first building unit in August 1968.

In 1995, the Arizona Department of Transportation presented Scottsdale with the Arizona Airport of the Year award.

Traveling during the holiday season is not generally a very relaxing experience thanks to crowds and flight delays—but there are ways to make the ordeal a lot less stressful thanks to handy little things called flight tracker apps. These pieces of software—easily downloadable on a smartphone or tablet—not only track your flight and alert you to delays, they’ll often go above and beyond, allowing you to pinpoint your exact location at 40,000 feet, and even giving you a rundown of the best places to eat during your six-hour layover. With scores of flight tracker apps to choose from, here are 5 of the best free apps.

FlightAware Flight Tracker [Click Here]: In addition to tracking the real-time flight status and location of any commercial flight worldwide, FlightAware can give you the whereabouts of those on a charter or private plane. With a GPS system that lets you determine your own whereabouts, see which aircraft are in your nearby vicinity (and where they’re headed), and zoom and pan around a map of the world, this free app is an aviation geek’s fantasy.

GateGuru [Click Here]: As part of the TripAdvisor family of travel products, GateGuru aims to take the guesswork out of your travels and customize your door-to-door adventure. It offers all the basic flight tracking capabilities, but where GateGuru really exceeds is in customizing your travel day plans. Once the details are set, input your itinerary and GateGuru promises to “connect the dots,” spitting out detailed info on where to check in, current airport weather conditions, estimated security wait times, airport amenities (with more than 35,000 reviews from TripAdvisor users), and last-minute deals on car rental rates.

AirportZoom [Click Here]: You’ll need an iPad if you want to take advantage of the gorgeous graphics that AirportZoom has to offer, providing users with a ton of useful information, including gate changes and flight delays; detailed maps for more than 120 airport terminals; reviews of on-site restaurants, shopping, and services; current weather reports (plus a seven-day forecast) and even barometer and dew point info (which is great for those lucky few who know what to do with it).

iFly Airport Guide [Click Here]: No two airports are created equal, and neither are their amenities. This free flight tracking app is a must for frequent travelers, offering you essential information on more than 700 airports, including a list of which restaurants are closest to your gate (complete with user reviews), whether or not there’s WiFi, parking rates and locations, on-site banks and ATMs, and what your transportation options are if this is your final destination.