29 May 2025, 23:53 [ UTC - 5; DST ]
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 09:21 |
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Joined: 05/23/13 Posts: 7993 Post Likes: +10315 Company: Jet Acquisitions Location: Franklin, TN 615-739-9091 chip@jetacq.com
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Username Protected wrote: Piper is embracing my favorite philosophy, do one thing and do it very well. What, exactly, do you think that "one thing" is? Making a 180 HP primary trainer? Or a 600 HP pressurized turboprop? Or a piston twin? Or all the other models they sell? Mike C.
They build ONE model of turbine aircraft, the PA-46.
That certainly doesn’t mean they can’t build other aircraft, they went down the road of building jets, and now they’ve settled on one airframe for their business aviation segment. That’s nearly as focused as TBM.
Anyone ever tell you that you would argue with a fence post?
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 09:26 |
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Joined: 08/16/15 Posts: 3406 Post Likes: +4899 Location: Ogden UT
Aircraft: Piper M600
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We had the A-model M600, SN 38, and it had some growing pains. Was delivered non-FIKI, but additional flight testing and they made some mods, so had quite a bit of work done on it to upgrade to FIKI. Then they came out with a CG kit to move the CG forward for better cabin loading. we did that. Then someone discovered a bad machined rear spar found in a bin, and we had the grounding AD, which in the end did not affect any airplane flying, but still required minimally invasive testing on our bird to ensure the rear spar was spec. Then someone realized that someone had accidentally put M500 rivets in the firewall of some of the M600's and another service event to pull the engine and re-rivet the firewall. I think all that work made our plane a little buggy. Piper took that one back with a generous trade and we got a B-model SN 98 that has been dialed in and kick the tires and light the fires pleasure to fly. They are now out with the C or D models, which I would like to have, but our plane has been exceptional in reliability so not much pressure for us to upgrade. Having a plane that still has factory support, is still being made, and has more technology in the panel than an iPad can bring is a different experience. I also think these modern turbines are safer for most GA pilots than to fly than a legacy jet single pilot IFR. Much less to go wrong and has much more robust avionics systems, which is where many turbine aircraft accidents start. I flew on the same day that this Citation had in in-flight break up in SLC after the pilot just left a safety conference. Were pretty benign conditions by Utah standards. Was loss of some aspects of his mix and match panel resulting in LOC killing him and his wife. This doesn't happen in an M600 for so many reasons. The redundancy is over the top. There are 3 large glass panel AI's, 4 if you hit reversionary mode, 3 ADC's, 3 ADHR's, 3 electrical busses and a backup on its own power supply, the rock solid digital GFC700. Even if he tried to roll it over the ESP would kick in and prevent the plane from exceeding bank angle, if he still tried to do it, the Autopilot would annunciate that it was taking over "Autopilot engaging" and he could have just sat back and took a deep breath, rather than the terrifying moments as he got more and more out of control. https://aviation-safety.net/database/re ... 20160118-0
_________________ Chuck Ivester Piper M600 Ogden UT
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 09:34 |
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Joined: 12/03/14 Posts: 20204 Post Likes: +25339 Company: Ciholas, Inc Location: KEHR
Aircraft: C560V
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Username Protected wrote: I do not believe that an average owner pilot can buy a $1mm legacy jet and have a total cost experience that is materially less than a relatively new $3mm single engine turboprop over a 3+ year period. Over 3 years, the extra $2M in capital cost is worth about $480K in cost of money (either interest on the loan, or lost investment income). This is at a modest 8% rate, could be worse. House mortgages are running 7% and aircraft loans aren't that good. So the legacy jet has a $480K head start. The legacy jet will likely not decline in market value very much over the 3 years since it is so far from when it was new, and it may increase in value (like mine has, if I sell now, I flew it entirely for free or even made money on it). A new SETP will suffer the initial market value decline going from new to used. Even if bought "relatively new", it is still on that initial post new value decline. So that is an additional penalty to account for in those 3 years. Let's be generous and say that is only 20% of value, or $600K. So now the legacy jet is over $1M ahead before we actually fly anything. That's a $350K head start PER YEAR. I just don't see how any SETP could catch that for a typical owner flown profile (~50,000 nm per year). That's about 135 hours in my plane (block speed 370 knots), so I have $2600 PER HOUR head start. Holy batman! I could fly TWO jets for that! Of course, the market depreciation part of this is fickle and after time, it may fade, and my plane could lose value, so that's hard to guess. Even if we take all that out, we still get $160K PER YEAR head start on the legacy jet, and that works out to $1200 PER HOUR advantage. Still not catching that with an SETP. How is you think the SETP is cheaper under those circumstances? I just don't see how it can be. Mike C.
_________________ Email mikec (at) ciholas.com
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 09:53 |
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Joined: 12/03/14 Posts: 20204 Post Likes: +25339 Company: Ciholas, Inc Location: KEHR
Aircraft: C560V
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Username Protected wrote: Even if he tried to roll it over the ESP would kick in and prevent the plane from exceeding bank angle, if he still tried to do it, the Autopilot would annunciate that it was taking over "Autopilot engaging" and he could have just sat back and took a deep breath, rather than the terrifying moments as he got more and more out of control. Nice in theory. But don't discount the issue when George gets it wrong and takes over when he shouldn't. Faith in automation is a great way to get killed. It can help, but there is always a dark side. For example, the SF50 whose autopilot took over incorrectly for a chute deployment process. Also, don't discount a panicked pilot won't just "sit back", they are likely to desperately try to control the airplane, contrary to whatever the AP is doing, thus negating that feature. I have 3 power busses, 3 AIs, 4 sources of power, and, crucially, 2 sources of thrust air bleed air. My avionics upgrade uses so little power that my main battery can run it longer than my fuel will last if both of my generators fail. Then I have the battery backed up GI 275 on top of that. There is no way an SETP will win the redundancy battle over a twin jet. It is a big leap to say the M600 avionics suite would have prevented the Utah 525 accident given the details of the failure were never determined. One can always ideally say so, but reality is messy. Mike C.
_________________ Email mikec (at) ciholas.com
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 10:29 |
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Joined: 05/23/13 Posts: 7993 Post Likes: +10315 Company: Jet Acquisitions Location: Franklin, TN 615-739-9091 chip@jetacq.com
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Username Protected wrote: I do not believe that an average owner pilot can buy a $1mm legacy jet and have a total cost experience that is materially less than a relatively new $3mm single engine turboprop over a 3+ year period. Over 3 years, the extra $2M in capital cost is worth about $480K in cost of money (either interest on the loan, or lost investment income). This is at a modest 8% rate, could be worse. House mortgages are running 7% and aircraft loans aren't that good. So the legacy jet has a $480K head start. Mike C.
As I've pointed out you are leaving out exposure. One engine event on the JT15D could easily wipe out that $480k... yes, you can argue that's only a problem if it's happens, but it is an exposure that is much greater than any that exist on the M600.
We offer acquisition services for Citation 560's and not M600's, so I am certainly not biased against the Citation, just trying to keep these comparisons fair.
The Mustang and the M600 is a much more sensical comparison and I think Paul did a great job of researching and accurately describing the financial situation of owning an operating those two airplanes.
I think we can all agree that most turbine aircraft cannot be operated cheaper than YOU are operating YOUR Citation V.
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 10:37 |
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Joined: 12/03/14 Posts: 20204 Post Likes: +25339 Company: Ciholas, Inc Location: KEHR
Aircraft: C560V
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Username Protected wrote: As I've pointed out you are leaving out exposure. Both airplanes have "exposure". Quote: One engine event on the JT15D could easily wipe out that $480k Unlikely, but even so, I get that $480K every 3 years. I'm not having a major engine event every 3 years. My engines have 20,000 hours and 66 years combined. No major engine events in that time. This is TYPICAL. My insurance covers FOD. This is also TYPICAL. The expected value of the engine risk is quite low, well below piston engines. Do you scare your customers about engine risks by using piston failure frequency with turbine repair costs? Shame on you for doing that! The biggest "exposure" both planes have is market value. You WILL experience that, one way or another. My downside risk is limited compared to the $3M SETP just due to less hull value. Mike C.
_________________ Email mikec (at) ciholas.com
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 10:40 |
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Joined: 12/03/14 Posts: 20204 Post Likes: +25339 Company: Ciholas, Inc Location: KEHR
Aircraft: C560V
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Username Protected wrote: I think we can all agree that most turbine aircraft cannot be operated cheaper than YOU are operating YOUR Citation V. Not if I followed your advice, that's for sure. I'm not the only one. I'm not doing anything that special, really. I'm just maintaining it the way a caring owner would do for a Bonanza. That is, be involved and know your airplane. BT is full of these caring people. Mike C.
_________________ Email mikec (at) ciholas.com
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 10:53 |
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Joined: 05/23/13 Posts: 7993 Post Likes: +10315 Company: Jet Acquisitions Location: Franklin, TN 615-739-9091 chip@jetacq.com
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Username Protected wrote: I found this today on an old 500 that I am parting out. This is from a few years ago at a big name shop.
All I can tell you is look at the number my finger is pointing at this. This is a 10,000 hour inspection with some squawks on an airplane that is probably worth double of what this bill was.
This is pretty standard and I’ve got many more examples just like this.
You cannot take your 500 series airplane brand-name shop unless you think this is OK. I assure you the quality of the work they’re doing is not any better than we do for probably 20% the cost. Well Chip does it have to be Mike P or will Mike T work? Or will $115 every 6 months portable fire extinguisher check work? Fact is Chip, and completely understandable, you don’t know squat about Legacy Citation maintenance. End of story.
Jan,
I've thought about how to respond to this, or if I should respond at all, what are you basing this on?
I think I'll quote my hero, "I will not make age an issue of this campaign. I am not going to exploit, for political purposes, my opponent's youth and inexperience," Ronald Reagan
I started selling turbine aircraft back in the 1990's, I left a very lucrative career in new home sales in 2001 to enter aircraft sales full time, I sold my first Learjet in 2002, and was involved in my first Citation phase 1-5 inspection (550) that same year, I did leave aviation for a couple of years in the mid 2000's but I'm still at 20+ years of experience, and I've been involved in Legacy Citations that entire time, in fact I was deeply involved in these airplanes when we didn't call them legacy airplanes.
I will be the first to admit that I'm am way rusty on 500's and 501's, so I think you may be talking about those airframes, if so, yes you are correct.
I think the real issue is that my opponents sell airplanes (including their own) and I do not sell airplanes, I never liked being in sales... I just don't like painting rosy pictures and telling people what they want to hear.
My job is to look for flaws and paint the whole picture.
Sorry, that's what I do.
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 10:58 |
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Joined: 05/23/13 Posts: 7993 Post Likes: +10315 Company: Jet Acquisitions Location: Franklin, TN 615-739-9091 chip@jetacq.com
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Username Protected wrote: I think we can all agree that most turbine aircraft cannot be operated cheaper than YOU are operating YOUR Citation V. Not if I followed your advice, that's for sure. I'm not the only one. I'm not doing anything that special, really. I'm just maintaining it the way a caring owner would do for a Bonanza. That is, be involved and know your airplane. BT is full of these caring people. Mike C.
Mike,
With respect you don't understand my advise. Do I advise my clients to take airplanes they are buying to name brand shops? YES. Always.
Do I suggest alternatives for their normal maintenance, yes of course.
I think if you really understood what we do, you'd have a lot more respect for us as a company and what we are trying to do for the industry.
Last edited on 21 Oct 2023, 11:03, edited 1 time in total.
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 11:03 |
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Joined: 05/23/13 Posts: 7993 Post Likes: +10315 Company: Jet Acquisitions Location: Franklin, TN 615-739-9091 chip@jetacq.com
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Username Protected wrote: As I've pointed out you are leaving out exposure. Both airplanes have "exposure". Quote: One engine event on the JT15D could easily wipe out that $480k Unlikely, but even so, I get that $480K every 3 years. I'm not having a major engine event every 3 years. My engines have 20,000 hours and 66 years combined. No major engine events in that time. This is TYPICAL. My insurance covers FOD. This is also TYPICAL. The expected value of the engine risk is quite low, well below piston engines. Do you scare your customers about engine risks by using piston failure frequency with turbine repair costs? Shame on you for doing that! The biggest "exposure" both planes have is market value. You WILL experience that, one way or another. My downside risk is limited compared to the $3M SETP just due to less hull value. Mike C.
You continue to argue by rephrasing, the market is what it is, I'm talking about the exposure, that includes failure and that includes replacing LLC's.
You may not have seen JT15D failures, but I have.
I've seen one eat it's own rivets, fresh out of overhaul at Dallas Airmotive... insurance cover that? Nope. Dallas finally did, but it was a battle.
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 11:04 |
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Joined: 02/27/23 Posts: 10 Post Likes: +9
Aircraft: Looking for the next
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Username Protected wrote: I found one tonight that puts a MU2 Marquis ahead of a 501, both in flight time and fuel burn. The 501 is not a very good performer. My 560 has about the same fuel efficiency in still air despite being so much larger and faster, and in a headwind, can do better. My plane can do that due to more efficient engines and better wing design than the 501. Quote: Yea Mike C, your 560 would beat the MU2 but only by 18 minutes but almost double the fuel. The MU2 is always going to win the efficiency battle against a Citation. The MU2 is among the best turboprops out there in that regard. If using less fuel for my missions was the only criteria, I would not have sold my MU2. A factor not addressed in your analysis is whether you are in weather at 16,000 ft, and if you are in turbulence. Those issues can make the "fly low" tactic less desirable. Mid teens are prime icing altitudes a lot of the time, too. When the wind is blowing hard across the prairies, our weather is usually not a factor.
Quote: Quote: Seems like flying lower with the TP to stay under the winds helps and doesn’t burn much more fuel then staying high. You can win with that strategy. For my MU2 M model with dash 10 engines, the break even point was about 100 knots. Less than 100 knots headwind, it was still somewhat less fuel to fly high. Over 100 knots, then it was less to fly low. As you got over about 50 knots, the fuel penalty for flying low became low enough that the higher speed was worth it (you used more fuel, but saved a lot of time). Yes. You are correct. If you look at the wind dátate for the MU2 you can see by flying lower last night and burning a minimal amount of fuel more you save about an hour
Quote: If your sole objective is to burn less fuel, don't get a jet.
My objective was to get the most airplane for the total money impact. I got a Citation. It is less total money impact than an SETP like a Meridian, TBM, or PC-12 due to the capital costs. It is not less impact than an older twin turboprop like an MU2, Commander, 441. A King Air doesn't make the cut due to poor performance and high cost. Yes. Right now I am looking for something under $1M that will work. I go coast to coast but need to clear customs both ways so that requires a stop either way. Next step up would be to get a V like you have now. Quote: Since getting my Citation, my passenger loads have increased. I've flown with 9 once, 7 a number of times, and 6 very commonly. The times I have flown it solo can be counted on one hand, extremely rare. In terms of passenger safety and comfort, the jet wins hands down over any turboprop, single or twin. Ultimately, the protection of my passengers is more valuable to me than my fuel bill.
Exactly, totally agree. Unfortunately my flying (for business) is just me or me and wife plus 1 or 2 plus small dogs. Our business is coast to coast but only a small group moves to trade shows or to shake hands. Quote: My MU2 would cost today about $800/hour, my 560 is running about $1300 per hour. My MU2 cruised at about 290 KTAS, my 560 about 400 KTAS, both operated in my usual "efficient" mode (not max speed, higher altitudes, to save fuel). Net result is about 20% more per mile for the 560. I find that to be a surprisingly low premium for the upgrade, I expected it to be more like 50%, though the penalty is higher for short flights. Part of this is that my 560 inspection intervals are vastly longer than the MU2 under the LUMP program, and another aspect is the local maintenance which helps keep costs down, and yet another is the vastly larger ecosystem of the Citation allows finding cheaper options for parts, upgrades, etc. My fuel costs are way up, my other costs are down.
If I had to downsize for economic reasons, I'd be looking very hard at 441s. I would have bought one instead of my MU2, but they were very pricey 15-20 years ago, and still are to some extent. I stretched financially to buy the MU2, to skip over the piston twin step. Very nice airplane, probably the best twin turboprop there is.
What I have noticed is that every time I make a big step up in airplanes, my business performance has increased noticeably. Is this due to the airplane providing better value to the business? Or due to my motivation and drive being increased? Probably a bit of both, but what I can say is that my business performance since buying the jet has been outstanding. Obviously, I need to buy a Gulfstream next.
Mike C.
Agreed. But trying to stay under $1M now, 560s are out of touch for the moment. Only left with 500, 501, 550 or a twin TP. Found a few garret powered planes that I have my eye on. Wife wants a jet so we will see where life takes us.
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Post subject: Re: Legacy Citation vs Turboprop Posted: 21 Oct 2023, 11:14 |
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Joined: 08/23/10 Posts: 898 Post Likes: +717
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I'm still trying to figure out why anyone is comparing 30 and 40 year old Citations to new M600s. It's disingenuous. At least compare it to 20 year old Meridians. The capital cost delta goes away immediately.
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