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As regional jets push more turboprops out of the passenger carrying business, newer generation turboprops are becoming more affordable for the historically low-margin air cargo business and thus are finding a future flying freight."We are reaching the point where the 19-seat size turboprop will be the entry-level airplane," said Bob McIver, director of operations for Corporate Air in Billings, Mont. "The twin piston Piper Navajo and twin turboprop 15-seat Beech 99s, which were typical for small freight operators, are going away, and with cargo shipments growing, the 30- to 40-seat size turboprop will become more common. The maintenance and modification of these airplanes, for cargo operators, is definitely a growth market for the MRO industry."
McIver's assertion that larger aircraft are the future for the small cargo operators was validated by Robert Dahl, project director for the Air Cargo Management Group consulting firm in Seattle. Dahl said that based on his research, demand will be for 30- to 70-seat turboprops, including aircraft such as the Saab 340, Embraer EMB-120 Brasilia, BAE ATP and the ATR 42/72. "Because production of most turboprops ended years ago, the OEMs now have to work through finance issues for their aircraft," said Richard Aboulafia, vice president-analysis for the Teal Group, a Fairfax, Va.-based consulting firm. "Most were placed with regional airlines under operating leases, which, in many cases, had very liberal walk away provisions. Table of Contents
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