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Citation CJ4 - Operating Economics Guide

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Citation CJ4 - Operating Economics Guide

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I N T R O D U C T I O N This Guide to Operating Economics is a tool for estimating the cost of operating a new, typically-equipped, Cessna Citation CJ4 The actual operating cost of an aircraft will vary according to mission profiles flown, types of airports used, maintenance practices, geographical location and utilization. Cost can be higher for optional items ordered with the aircraft.

O P E R A T I N G C H A R A C T E R I S T I C S 1 Stage

Length (nautical miles)

Altitude

(feet)

Block Speed (knots)

Block Fuel Flow 2

(US gal/hr)

Stage Length (kilometer)

Altitude (meters)

Block Speed

(kilometers/hr)

Block Fuel Flow 2

(liters/hr) 200 26,000 375 269 371 7,925 695 1,018 300 33,000 400 245 556 10,058 741 927 500 41,000 405 186 927 12,497 751 704 700 43,000 412 173 1,297 13,106 764 655

1,000 43,000 420 171 1,853 13,106 778 647 1,200 43,000 421 169 2,224 13,106 780 640 1,500 43,000 423 168 2,780 13,106 784 636 1,800 45,000 419 155 3,336 13,716 776 587

1. Block speeds and block fuel flows are shown at high-speed cruise power for various stage lengths. Block speed includes the climb, cruise, and descent portion of the flight only. Block fuel flows include an allowance for taxi and takeoff. The cruise altitudes shown are typical flight levels for the specified stage lengths. Flight at lower altitudes will generally increase block speeds and fuel flows. Flight at higher altitudes or at reduced power settings will generally decrease block speeds and fuel flows.

2. Block fuel flow includes 120 pounds (54 kilograms) of fuel for taxi/takeoff.

L A B O R 1 Year 1

(per hour) Year 2

(per hour) Year 3

(per hour) Year 4

(per hour) Year 5

(per hour) Man-Hours 1 0.7 0.8 0.9 1.0 1.0 Labor Dollars ($102.00 shop rate) $71.40 $81.60 $91.80 $102.00 $102.00

1. Man-hours for scheduled and unscheduled maintenance based on Cessna Service Center flat rates for inspections and the examination of historical maintenance records. These figures are averages based on a typical annual utilization of 400 flight hours and reflect the impact of warranty during the first five years. Maintenance man-hours per flight hour can vary depending on utilization, and maintenance and operating practices.

P A R T S 1 Year 1

(per hour) Year 2

(per hour) Year 3

(per hour) Year 4

(per hour) Year 5

(per hour) $40.30 $40.30 $153.45 $153.45 $153.45

1. Parts costs are based on Cessna's ProParts, a cost control program. ProParts covers all parts requirements for the aircraft, including consumables, unscheduled repairs, and avionics, for a fixed hourly rate. There may be additional charges of $20.25 for each landing cycle in excess of one landing per flight hour. Transportation charges, labor, engine parts, fluids, and in-flight consumables are not included. All cost figures are shown in current U.S. dollars and do not reflect the annual CPI adjustment calculated at the beginning of each calendar year.

E N G I N E R E S E R V E S 1 North America

(per hour per engine) Non-N. America (per hour per engine)

All Hours / Years $137.11 $146.53 1. Engine reserves are based on Cessna's TapAdvantage – Elite, a cost control program. TapAdvantage – Elite covers labor and parts requirements for

major inspections (hot section and overhaul events), routine maintenance, and unscheduled repairs; engine rental for overhaul and unscheduled events; engine removal and installation; recommended service bulletins; and transportation charges. There may be additional charges of $16.00 for each engine cycle in excess of one cycle per flight hour. Some consumables and optional service bulletins are not included. All cost figures are shown in current U.S. dollars and do not reflect the annual CPI adjustment calculated at the beginning of each calendar year.

D I R E C T O P E R A T I N G C O S T 1 Dollars per Flight Hour for an Average 500 Nautical Mile (926 Kilometer) Stage Length and

400 Hours Annual Utilization Year 1 Year 2 Year 3 Year 4 Year 5 Fuel ($5.00 per US gallon) 2 $930.00 $930.00 $930.00 $930.00 $930.00Labor ($102.00 shop rate) $71.40 $81.60 $91.80 $102.00 $102.00Parts (ProParts) $40.30 $40.30 $153.45 $153.45 $153.45Engine Reserves (TapAdvantage – Elite) $274.22 $274.22 $274.22 $274.22 $274.22Total Direct Cost per Hour $1,315.92 $1,326.12 $1,449.47 $1,459.67 $1,459.67 $/nm (405 kt block speed) $/km (751 km/hr block speed)

$3.25/nm$1.75/km

$3.27/nm$1.77/km

$3.58/nm$1.93/km

$3.60/nm$1.94/km

$3.60/nm$1.94/km

1. All costs are shown in current dollars and do not reflect the impact of inflation. There may be other miscellaneous costs incurred on a per hour basis that are related to the general operation of any aircraft. These costs are not shown due to their variability for each operator.

2. Fuel price is based on nationwide surveys of FBO prices at the date of this publication and is subject to change without notice.

F I X E D A N N U A L C O S T 1 Dollars per Year

Year 1 Year 2 Year 3 Year 4 Year 5 Personnel (2 pilots, including benefits) $185,000 $185,000 $185,000 $185,000 $185,000Hangar Rental ($1,500 per month) $18,000 $18,000 $18,000 $18,000 $18,000Hull Insurance (.20% of $8,900,000) 2 $17,800 $17,800 $17,800 $17,800 $17,800Liability & Medical Insurance 2 $8,000 $8,000 $8,000 $8,000 $8,000War Risk (hull and liability) 2 $2,580 $2,580 $2,580 $2,580 $2,580Initial / Recurrent Pilot Training N/C $28,000 $28,000 $28,000 $28,000Total Fixed Cost per Year $231,380 $259,380 $259,380 $259,380 $259,380

1. The fixed costs shown are based on recent national surveys and reflect average costs. All costs are shown in current dollars and do not reflect the impact of inflation. Other fixed costs may be incurred on a periodic basis. These costs are not shown due to their variability for each operator.

2. Insurance rates assume the aircraft is flown by a well-qualified, professional crew with annual recurrency training. Liability rates are for $100 million coverage. War Risk rates are for $50 million aggregate coverage and do not include coverage under the Federal Terrorism Risk Insurance Act of 2002. Rates and terms can vary significantly depending on pilot experience and the desired amount of coverage.

T O T A L A N N U A L B U D G E T Based on 400 Hours Annual Utilization

Year 1 Year 2 Year 3 Year 4 Year 5 Direct Cost (400 hours) $526,368 $530,448 $579,788 $583,868 $583,868Fixed Cost $231,380 $259,380 $259,380 $259,380 $259,380Total Annual Cost $757,748 $789,828 $839,168 $843,248 $843,248 $/nm (162,000 nm) $/km (300,400 km)

$4.68/nm$2.52/km

$4.88/nm$2.63/km

$5.18/nm$2.79/km

$5.21/nm$2.81/km

$5.21/nm$2.81/km