October 5, 2020

Engine Purchase vs. Shop Visit

This is one of the most actual post Covid-19 questions that the aviation professionals involved in the aircraft operations and maintenance business are looking the answer for.
What are you going to choose between the outright purchase of the new engine or the shop visit of the owned engine?
“There are two sides to every coin”. Let us see some crucial prons and cons of both options:
1. The aviation market went down and most of the leasing companies and asset owners are trying to get rid of their engines to get the cash flow to cover company operation costs;
2. Due to decreased load, the engine shops have reduced their operational expenses and one may fight with a shop for a way better deal, getting not to exceed offer;
3. The outright purchase option, allows one to plan the engine operation beforehand, based on the aftershop MPA run and test cell results;
4. Opposite to the outright comes the engine shop visit, where one has only the pre-induction BSI results and the last on-wing performance parameters, making it difficult to predict the actual EGT margin at the end of the shop visit;
5. Having a robust on-wing engine running low on cycles may require only a partial PR or just a module swap, hence minimizing and controlling the shop visit WS;
6. One can build up one perfect engine out of two or three run-out engines and sell the remaining LLPs.
And what are your thoughts in regards of these two options? Please kindly comment on the choice you may consider in your operations.
We, at Sky Techniques, are working closely on our customer’s demands and requirements finding the most flexible and profitable Build/Sell/Buy/Swap solution.
Please kindly contact us for the personalized solutions and unique possibilities.

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