- Based on historical and projected value trends.
- It assumes an unrestricted and balanced market; a mid-life / mid-time physical condition, based on its type and age; an average maintenance status, and presumes a favourable transaction environment between able, willing and knowledgeable parties.
- Likely trading price that can be generated based on the market conditions existing at the time of its undertaking.
- This assumes the highest and best use and presumes a favourable hypothetical transaction environment between able, willing and knowledgeable parties in an unrestricted and balanced market.
Securitisation / Lease Encumbered
- Based on the appraiser’s opinion of the asset value under lease, given a specified lease payment stream such as rents and term, combined with both an estimated future residual value at lease end and an appropriate discount rate.
- Generally provides the difference in value opinion prior and post of an occurrence of an incident / accident.
- Based on the appraiser’s opinion of the value of an asset at a future date; often used in connection with the conclusion of a lease term.
Distress / Liquidation
- This approach generally presumes the seller is under duress for a prompt sale.
- Based on abnormal market conditions existing at the time of its undertaking.
- It assumes a restricted and unbalanced market position generally weighted in the buyer’s favour, which possibly would translate into heavily discounted pricing.
- This value is based on the appraiser’s opinion on the value of aircraft, engine or major assembly in the context of the value of marketable parts or components that could be salvaged for reuse on other aircraft/engines.
- Acumen provides online valuation for several aircraft types through its proprietary application, fin-S.