Are engine values artificially high, asks IBA

IBA has updated its current views on engine values, lease rates and maintenance costs alongside market intelligence supported by the IBA.iQ aircraft database. “We are aware that some operators are extending existing leases on current engine options and this is keeping values buoyant whilst new generation technology enters the market,” says Kane Ray, Head Analyst – Commercial Engines, IBA. “We are also seeing stronger short-term lease rates for the CFM56-5B/-7B due to tightening availability of supply and increased shop visits.” In the past year, the industry has seen the CFM LEAP-1B enter into service on the Boeing 737 Max whilst