Nextant signs $202.5 million conversion deal at NBAA
The agreement covers the upgrade of 50 Hawker 400XPs.
Nextant Aerospace has signed a deal with Travel Management Company (TMC) to convert its entire fleet of Hawker 400XPs to Nextant 400XTi jets. The agreement is for up to 50 aircraft and has a value of $202.5 million. The deal was announced today at the National Business Aviation Association taking place in Las Vegas this week.
The Nextant 400XTi is remanufactured Hawker 400XT retrofitted with Williams FJ44-3AP engines and the Rockwell Collins Pro Line 21 integrated avionics suite. The company is providing a two-year full-aircraft warranty and after-sale support for each conversion.
“The 400XTi offers a 50 per cent increase in range relative to our previous aircraft and a 30 per cent reduction in operating cost,” says Scott Wise, president of TMC. “This combination significantly increases our mission capability and allows us to meet the needs of a larger customer base.”
Nextant has firm commitments, including the TMC contract, to convert more than 100 aircraft, representing approximately 20 per cent of the in-service 400A/XP fleet. The aircraft was certified almost two years ago and the company has delivered 32 aircraft in six different countries.
Nextant is competitive on pricing, offering their product at almost half the price of new equipment. Jay Heublein, executive vice president of global sales and marketing, Nextant told Corporate Jet Investor in a recent interview that the company has raised the price of the 400XTi about $750,000 in the last year-and-a-half and the company maintains a solid backlog.
“With more than 20 per cent of Beechjet 400A/Hawker 400XP fleet committed to Nextant remanufacturing, the market is approaching a tipping point where remanufacturing is now the accepted long-term solution for competitive performance and value,” says Sean McGeough, president of Nextant.
Earlier this week, Nextant revealed its next remanufacturing project, the G90XT, which will be an enhanced version of Beechcraft’s King Air C90, featuring GE H80 engines and Garmin G1000 Integrated Flight Deck.