Additional Aircraft Feasibility Study

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Additional Aircraft Feasibility Study

Preface

I have been the head aviation department manager of First North Bank since 1985. This bank has branches in Waterloo, IA; Springfield, MO; Fayetteville, AK; and Colorado Springs, CO. For the past 12 years the company has been operating an eight passenger King Air B-200 that currently has 2500 flying hours on the frame.

First North Bank has recently acquired Banks R Us (probably because of the horrible name) and will be expanding their operations considerably. They will be changing the name of Banks R Us to the First North Bank name at the following locations: Madison, WI; Wilmington, NC; Lakeland, FL; Amarillo, TX; and Medford, OR.

I have now been assigned by my CEO to do a feasibility study to determine if the addition of an aircraft will benefit the company.

Introduction

The purpose of this study is to determine the feasibility of adding additional aircraft to the corporations aviation department. This study will introduce what aircraft the company is currently using, how it is being used, and the current structure of the aviation department. A detailed analysis will be presented on the prices and costs of each aircraft as well as a recommendation of what aircraft should be purchased or leased. A newly developed structure of the aviation department will be presented along with a new recommended plan for the usage of the aircraft. The study will then conclude with a sum up of all the recommendations.

Current Aircraft

The company is currently operating a 1985 Beechcraft King Air B-200. This aircraft is a propeller jet aircraft. The definition of a propeller jet aircraft is that the engine is a jet that drives a propeller. The propellers spin at a constant rate and speed changes are made by adjusting the angle of the propeller. The aircraft seats eight passengers to include the pilot’s seat. The entire aircraft is in very good condition with only 2500 flight hours on it and has the potential of supplying many more years of trouble free service with proper maintainace. The performance charteristiccs of this aircraft is as follows:

Beech King Air B200 Characteristics

PERFORMANCE U.S. METRIC

Max Cruise Speed (336 mph) 292 kt 541 kph

Certified Ceiling 35,000 ft 10,668 m

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