Eclipse 500 Jet Market Update 2012 - Eclipse 500 Owners

A Data Driven and Facts-Based Comprehensive Analysis of the Eclipse 500/550 Jet Market 

Eclipse 500 Jet Market Update 2012 

For Eclipse Owners, Pilots, Prospects & Enthusiasts 

Secondary Market Resale Trends for every Aircraft Configuration 2010 – Present 

Avionics Upgrade and Functionality Updates 

Light Jet Industry Trends 

Eclipse Jet 550 Production Outlook 

May 10, 2012 

Prepared by the Aviation 

Eclipse 500 

Professionals 

Jet 2012 Market 

at PC 

Update 

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Eclipse 500 Market Update 2012 

Prepared for Eclipse Owners, Pilots, and Enthusiasts; 

We are pleased to offer you the latest Eclipse 500 Jet market analysis. Evolving avionics, new Eclipse Aerospace 

Incorporated (EAI) policies, savvy secondary market buyers, and emerging first‐time buyers contribute to an 

intricate combination of forces that has the majority of the 260 Eclipse aircraft flying successfully to date. On 

your behalf, we consistently watch and analyze an extensive range of policies, perspectives, opinions, and 

speculation in our market space. For informational purposes, the 

content represents findings based on real market data gleaned 

from the Eclipse Owners club, E500 pilots, mechanics, owners, 

secondary market sales, and first‐time buyers. 

The Eclipse Big Picture 

Photo Courtesy of Eclipse Aerospace Inc. 

Daily and often hourly deliberations on manufacturer policies, maintenance updates, changing aircraft 

configurations and Eclipse Owners Club (E5C) forum discussions can feed market misunderstanding. It’s easy to 

lose perspective of the evolution of both EAI and the E500 aircraft in the last three short years. Unsavory 

General Aviation (GA) economic conditions kept barriers to entry for new and first‐time owners high and also 

decelerated efforts for an Eclipse 500/550 production restart. Despite obstacles that would have permanently 

grounded most airframes, the Eclipse aircraft has proven itself to be an extraordinarily resilient flying machine. 

The PC Jets’ team maintains regular contact with hundreds of past, current, and potential future owners. We’ve 

consistently received notable and passionate responses about the aircraft. 

Here’s what we’ve heard over the last 24 months: 

“Despite the company struggles I love the airplane itself; it’s a wonderful machine that flies a mission that no 

other can.” 

“I lost deposits with the first Eclipse Company, nonetheless I still am shopping for a good used one.” 

“How do I know which version will fly coupled approaches?” 

“The [Eclipse] aircraft has proven itself an extraordinarily resilient flying machine.” 

“When the factory is back in production I’ll consider buying at that time, but not before.” 

“I want to buy a used Eclipse, but it’s been difficult finding a lender who will approve the aircraft.” 

Here are common themes and myths mined from our data: 

1) Owners and non‐owners alike still have a strong emotional affinity for the aircraft 

2) Some owners support EAI’s policies and efforts 100%, many are cautiously optimistic, another group is 

still skeptical, and yet others think EAI is the original Eclipse Aviation Corp. (EAC) reincarnated 

3) This aircraft fits a mission niche at an operating price point that no other twin‐jet can match 

4) There still is demand outside current and former owners for the Eclipse Jet at a reasonable price point 

5) The barriers to entry for new and first‐time owners are the highest in 5 years 

6) The marketplace outside the E5C group and active Eclipse supporters are generally operating from 

information months and some cases years old. 

Eclipse 500 Jet 2012 Market Update | PC Jets 1 (602) 321‐8183 

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Eclipse Marketplace Data – Is it Accurate? 

We gathered statements about Eclipse and its perceived status from a wide range of customer prospects in the 

U.S., Canada, Mexico, Europe and the UK. Inaccurate industry trends, significant out‐of‐date information, 

avionics misconceptions, and lack of real data remains in the marketplace. Conversely, the Eclipse 500 Owners 

Club (www.eclipse500club.org) is the exception for accurate discussion boards and consistent sharing and 

comparing of data between members. Our data revealed lack of accurate information and presumed company 

volatility impacts aircraft values, damages branding, and hinders new and used aircraft sales. The positive 

findings confirmed accurate data and real E500 owner success stories circulated beyond the current Eclipse 

forums will drive both new and used aircraft sales and positive branding. 

Eclipse Aircraft Configurations Simplified 

Before the AVIO NG upgrades began in early 2010, one could simply deduce the avionics configuration by 

Aircraft Serial Number (S/N). However, it is now possible to have a low S/N under 30 with the latest iFMS and 

FIKI upgrades, or a high S/N above 250 still with AVIO NG 1.3. There are 6 primary configurations with several 

sub‐versions currently flying in the Eclipse fleet. A quick reference follows to describe configuration and 

capability. Be prepared for even more versions (and need or translation) when the Eclipse 550 begins planned 

deliveries in 2013. 

Range TAS @ 

New 

Eclipse FL410 Max 

Certified Coupled Moving Charter Customized 

Version Liners Cruise Avionics FIKI Auto‐Pilot Map Capable 

Yes – 2 

pilot with 

Interior 

Pre‐ETT 975 NM 360 KTS Avidyne No No No 3 rd AHRS 

Yes – 2 

No 

ETT Pre 

pilot with 

SN120 1,125 NM 375 KTS Avidyne No No No 3 rd AHRS No 

AVIO NG 

Yes 2 

AVIO NG 1.3 1,125 NM 375 KTS 1.3 

AVIO NG 

No No No Pilots No 

AVIO NG 1.5 1,125 NM 375 KTS 1.5 

AVIO NG 

Yes Yes No Yes 1 Pilot No 

AVIO NG 1.7 1,125 NM 375 KTS 1.7 Yes Yes Yes Yes 1 Pilot No 

AVIO iFMS 1,125 NM 375 KTS iFMS 2.06 Yes Yes Yes Yes 1 Pilot No 

Total Eclipse 1,125 NM 375 KTS iFMS 2.06 Yes Yes Yes Yes 1 Pilot Yes 

*Please verify individual S/N capability with an Eclipse Maintenance Operation or Service Center 

Secondary Market Sales 2010 to Present 

We collected data from over 30 closed secondary market sales in last 24 months including Pre‐ETT Avidyne 

aircraft to the newly upgraded AVIO NG versions. Overall resale values dropped an average of 5% ‐ 12% each 

year for all versions except for the AVIO NG v1.5 & 1.7 configurations. Bank repossessed aircraft or S/N with 

substantial neglect or damage were not included in the averages. EAI upgrade pricing also continues to play an 

influential role (see EAI Configuration Upgrade Pricing Graph page 6) in resale values, along with current owner 

and non‐owner perception of EAI’s long‐term viability. 


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Actual secondary market resale transactions are graphed below. Owners also submitted their resale data for 

self‐brokered sales. 

*Resale prices are taken from actual Purchase Agreements. Sales were averaged each quarter since January 2010. Figures do not 

include brokerage fees paid or minor final sale adjustments made at closing. 

$750,000 

$700,000 

$650,000 

$600,000 

$550,000 

Avidyne Sale Prices 2010 ‐ 2012 

$723,950 

$645,000 

$699,500 

$621,500 

Final contract prices averaged 5 ‐ 

15% below advertising sale prices. 

This is consistent with GA light jet 

airframes under 10 years old. 

The figure (right) details the average 

advertised and final contract sale 

prices for all configurations Avidyne 

Pre‐ETT through AVIO NG v1.7. 

Offers for Non‐LX Edition aircraft 

were typically $30,000 less for 

Standard Interior S/N. 

$689,000 

$594,800 $589,750 

$669,200 $661,000 

The number of flying Avidyne v1.0 and AVIO NG 1.3 versions are shrinking as more S/N are converted to iFMS 

and Total Eclipse 500 Aircraft. As of March 2012, the remaining aircraft in each original configuration were: 

Version Aircraft in Current E500 Fleet Original airframes delivered 2006 ‐ 2009 

Avidyne 1.0 12 38 

Avidyne 1.0 ETT 37 81 

AVIO NG 1.3 44 142 


Close Price ETT 

Close Price Non‐ETT 

$644,600 

$581,000 

$574,000 

$500,000 

Jan‐10 Apr‐10 Jul‐10 Oct‐10 Jan‐11 Apr‐11 Jul‐11 Oct‐11 Jan‐12 Apr‐12 

Average 

Advertised 

Aircraft Configuration Ask Price 

Difference 

between 

Ask and Final 

Sale 

Avidyne Non-ETT (SN 1 - 38) $675,000 ($90,000) 

AVIO NG 

v1.3 

ETT (SN 39 -124) 

EAC upgraded SN 39 - 

$775,000 ($132,000) 

124 $975,000 ($99,000) 

SN 125 – 259 $995,000 ($85,000) 

AVIO NG 

v1.5 EAI upgraded $1,395,000 ($65,000) 

AVIO NG 

v1.7 

Total 

EAI upgraded $1,550,000 ($169,000) 

Eclipse 500 EAI upgraded $2.0 - $2.15M (~$100,000 ) 

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The Eclipse Avidyne Resale Dilemma 

Sellers are often disheartened at realization of resale values for their Avidyne v1.0 or AVIO NG 1.3 aircraft. 

Perceptions of ‘acceptable’ and ‘true market value’ resale numbers are tied to their original acquisition prices, 

balances on bank notes, or an emotional connection to their aircraft. It is common to hear owners talk through 

their frustration before choosing their best course of action. One major factor for a slowed secondary market in 

the last 12 months for AVIO v1.0 and NG 1.3 versions is the growing disparity between original acquisitions 

prices and current resale values. All resale values for versions prior to AVIO NG 1.5 continue to decline. 

Several of the remaining 49 Avidyne v1.0 owners expressed a desire to sell or upgrade their aircraft, but may 

find themselves upside‐down on outstanding loan balances. Other owners with v1.3 versions hold out for a 

market return. But with dwindling parts for the v1.0 versions, purchase offers simply reflect a shrinking fleet 

with increased ownership risk factors. 

Photo Courtesy of Airliners.Net 

We compared Citation Mustang resale values for the early S/N 

delivered in 2006 and 2007 and found similar resale ratios. The 

original 2006 and 2007 CE‐510 Mustang factory Purchase 

Agreements averaged $2.80M with options. Mustangs in good 

condition resold in the past six months for $1.9M ‐ $2.15M; a 25% 

– 30% reduction in values just five years later. 

Original Eclipse Aviation Platinum deposit owners with Avidyne 

pre‐100 S/N (contracted at $995,000) are not losing a 

disproportionate amount of original value compared to the early 

Cessna Mustang sellers. Cessna Aircraft Corporation in contrast did not experience radical corporate changes or 

aircraft configurations experienced by Eclipse. The Cessna Mustang market also did not see the intense 

speculation and substantial markup in delivery position sales that abounded in the Eclipse secondary market 

from 2005 – 2008. 

Owners who re‐purchased delivery positions typically see the largest spread between their original investment 

and subsequent sale proceeds. Original Platinum and Gold Eclipse Delivery positions (prior to SN150) were 

contracted between $995,000 and $1,295,000, although resold delivery positions and speculation between 2006 

and 2008 saw sale contracts as high as $1,850,000. This is another major factor for large spread in original 

acquisition values and current resale numbers. 

The top factors for Avidyne and AVIO NG 1.3 resale values in tandem with GA economic conditions are: 

Four newer avionics packages and upgraded versions available now 

Limited parts pool and prohibitive expense for Service Bulletin compliance 

No Certified FIKI or coupled autopilot i.e. overall reduced capability 

Lack of advertised support for Avidyne v1.0 after 2013 

Upgrade to iFMS costs exceeding $700,000 

The sales data since 2009 is clear: Avidyne v1.0 and AVIO NG 1.3 resale prices are not rising. However, buyer 

offers are plentiful at the $500,000 ‐ $550,000 range averaging at least a half dozen offers received for each 

Avidyne v1.0 version advertised. Despite the limited functionality, there remains demand for the base Avidyne 

v1.0 serial numbers. 


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AVIO NG 1.5 and NG 1.7 Market Data 

Although Avidyne and AVIO NG 1.3 values decreased, resale values for AVIO NG 1.5 and 1.7 increased over the 

last 24 months. The major contributor to this trend is the EAI upgrade pricing changes since first announced in 

late 2009. AVIO NG 1.5 added a number of enhancements, although the most useful features were a coupled 

autopilot and the newly certified Flight‐Into‐Known‐Icing (FIKI) system. NAV and GPS functions are operated 

through dual G400W units installed below the Primary Flight Displays (PFDs). AVIO NG 1.7 added a moving 

map and overlaid weather, traffic, terrain and approach charts on the PFDs. 

$1,500,000 

$1,400,000 

$1,300,000 

$1,200,000 

$1,100,000 

$1,000,000 

$900,000 

AVIO NG 1.3 ‐ 1.7 Sale Prices 2010 ‐ 2012 

$1,255,000 $1,240,000 

$903,000 

$965,000 

$1,328,500 

$906,700 

$1,367,000 

$890,000 

Throughout 2010, AVIO NG 1.5 and 1.7 buyers based their purchase offers on the AVIO NG 1.3 values averaging 

$930,000 ‐ $995,000. The EAI upgrade for AVIO NG1.3 1.5 upgrade at that time was $199,000 plus a small 

seller premium added for the expanded functionality. Contracted sales were in the $1.20M ‐ $1.29M range. The 

long‐term viability of EAI represented a foremost concern however. Until the announcement of the Sikorsky 

partnership in February 2011, buyers cited uncertain long‐term factory support as reason to not purchase 

through Eclipse Aerospace or on the secondary market. 

Since EAI’s first announcement 30 months ago, upgrade prices rose considerably. An AVIO NG v1.5 or v1.7 

purchased two years ago offer nearly identical capability as one bought today. However, resale prices increased 

almost $200,000 primarily due to increased upgrade tier‐pricing released by EAI. Since early 2010, at least six 

different pricing structures were released with the most recent update arriving in March 2012. Partial upgrade 

programs for just FIKI equipment are not available. Upgrade pricing is a hotly debated topic within the E5C club 

and owners group, as some find it illogical to invest amounts commensurate with the full value of the Avidyne 

aircraft. 


Close Price NG 1.3 

Close Price NG 1.7 

$1,455,000 

$1,431,000 

$879,500 $871,800 

$800,000 

Jan‐10 Apr‐10 Jul‐10 Oct‐10 Jan‐11 Apr‐11 Jul‐11 Oct‐11 Jan‐12 Apr‐12 

6

Evolution of the Eclipse Upgrade 2010 to Present 

The pricing chart plots the pricing evolution of the EAI upgrade programs offered over the last 30 months. The 

horizontal (x‐axis) represents the base and pricing before upgrades. The vertical Y‐axis details cost in thousands 

($1k). The third (z‐axis) reflects the final upgrade configuration. 2010 upgrade programs began with the AVIO 

NG 1.3 ‐> 1.5 and 1.7 versions. A 2010 program was also offered for AVIO NG 1.5 ‐> 1.7 for $50k, but was 

discontinued after iFMS was released. 2011 upgrade programs saw a transition for all base configurations 

upgradable to iFMS. 

$1,100 

$1,000 

$900 

$800 

$700 

$600 

$500 

$400 

$300 

$200 

$100 

$0 

0 

0 

$299k 

Pre‐ETT Avidyne 

ETT 

Progression of Eclipse Aerospace Aircraft Upgrade Pricing 2010 ‐ 2012 

0 

$700k 

$900k 

$349k 

$959k 

$499k 

$1,199k 

$599k 

$199k 

$699k 

$249k 

$767k 

$299k 

$960k 

$299k 

0 

NG 1.3 NG 1.7 

$499k 

Original Aircraft Configuration Prior to Upgrades 

0 

$559k 

0 

$699k 

$249k 

$349k 

$149k 

Upgrade VII (Post‐May 2012 to iFMS) 

Upgrade VI (Pre‐May 2012 to iFMS) 

$75k Upgrade V (Post‐June 2011 to iFMS) 

Upgrade IV (Pre‐June 2011 to iFMS) 

Upgrade III (August 2010 to v1.7) 

Upgrade II (May 2010 to v1.7) 

Upgrade I (March 2010 to v1.5) 

Owners were consistent in upgrading their aircraft if they saw value in the enhanced functionality pertaining to 

their missions. Owners who did not upgrade either found the pricing too expensive, or did not see value in the 

upgrade package as the base configuration continued meeting their needs and mission requirements. 


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March 2012 EAI Upgraded Pricing as listed on company website Photo Courtesy of Eclipse Aerospace Inc. 

Type of Upgrade Retail Price 

V1.7 to IFMS $349,950 

V1.5 to IFMS $399,950 

V1.3 to IFMS $699,950 

V1.0 Avidyne to IFMS $959,950 

V1.0 Pre‐ETT to IFMS Call EAI 

The Total Eclipse 500 upgraded cabin interior 

Combustion Liners and the P&WC Eagle Service Plan (ESP) FLEX Program 

In April 2012, EAI reported that 120 aircraft have the new FL410 

Engine Combustion Liners installed; the remainder of the fleet is 

targeted by October 2012. Pratt & Whitney Canada (PWC) offers a 

FLEX program to defray the cost of New Engine Combustion Liners 

while simultaneously enrolling in the PW‐610F ESP Program at a 

reduced buy‐in rate. For an initial payment of $14,950 US per engine 

(2012 terms) owners have the cost of the liner upgrade covered, and 

the initial payment is applied towards the balance of hours flown 

TTSN. 

2012 Rates for the most comprehensive Gold Level coverage plan is 

$104 per engine, or $93.60 early enrollment per engine if TTSN is under 200 hrs. Payment for the balance of 

hours TTSN already on the engine at the time of enrollment can be deferred as far out as the overhaul 

event. Since customers are paying $30,000 for the Engine Combustion Liner replacement, it appears to be a 

worthy program. This approach effectively credits about 144 hours (or 160 hours early enrollment if TTSN < 200) 

of Gold Level coverage towards total hours flown to‐date. Eclipse S/N enrolled on either the Silver or Gold ESP 

Programs sold faster and for higher‐than‐average values on the secondary market. For more information on this 

or other ESP Programs, contact PC Jets or P&WC for enrollment options. 

Eclipse Aerospace and Overall Market Forces 

The Sikorsky Partnership 

Owners overwhelmingly backed the Sikorsky partnership announced in February 2011, and asserted the 

increased market confidence would boost resale values. It in fact impacted advertised sale prices which 

increased between $50,000 and $250,000, although actual contracted sale amounts did not increase 

correspondingly in the same time period. General buyer interest did increase overall, as mirrored by the jump 

in new E5C memberships also in 2011. Buyers acknowledged a perceived benefit for long‐term EAI stability by 

the Sikorsky partnership, but cited since that without immediate increased aircraft functionality, or resumed 

Eclipse production, tangible value was negligible. In fact, multiple Service Bulletins in 2011 limiting aircraft 

capability headlined by the engine combustion liner altitude limitation upstaged positive EAI news. 


8

External market forces are also mixed with varying impacts on overall values and resale numbers. The figure 

below summarizes the major forces impacting the Eclipse new and used market for the last 24 months. 

E500 Value Builders 

Sikorsky Investment (2011) 

Eclipse 550 Production 

Announced (2011) 

iFMS Upgrades Commence (2011) 

FLYING Magazine Profile (2011) 

EAI Receives E550 Production 

Certificate (2012) 

EAI Financing for Total Eclipse and 

550 Orders 

Owner iFMS Reviews 

Eclipse in the General Aviation Marketplace 

Engine Combustion Liner Fix 

and Delayed Parts 

Lack of Financing Available 

for v1.0 to v1.7 aircraft 

High Rate of Service Bullet‐ 

ins decreasing aircraft utility 

Factory Upgrade Messaging 

Lack of product re‐branding 

Service Bulletin Part Pricing 

Limited International orders 

and overseas support 

Our research findings tell us that the opinions and perceptions of the GA marketplace are disconnected at 

several levels including the current status of Eclipse 500 aircraft and the Eclipse Aerospace Company. Outside 

of the well‐informed Eclipse owners group, the market reveals uncertainty and lack of current information. 

How EAI is managing this chasm in marketplace relation is connected to rapidly evolving forms of marketing 

communications. 

Image Courtesy of Cessna Aircraft Corp. 

Social media platforms including YouTube, Facebook, and LinkedIn 

permeate nearly every form of electronic marketing and 

communication ranging from mom‐and‐pop coffee shops, to multi‐ 

billion dollar consumer product corporations, to presidential election 

campaigns. Does social media hold a space in General Aviation ‐ 

specifically the Light Jet marketplace? 

Legacy manufacturers Cessna Aircraft Corp. and Embraer Executive 

Jets believe so. Overall the General Aviation industry has seen a remarkable adoption of social media marketing 

within the last 24 months. Both firms are present in social media channels to drive revenue‐impacting sales 

transactions, increase brand awareness, retain clients, and build stronger customer relationships. Upstart light 

sport aircraft builder ICON Aircraft provides free customer and fan forums with certification progress updates 

(86,900+ followers), and Phenom charter company JetSuite (28,600+ followers) advertises daily last minute 


E500 Devaluing Factors 

9

charter trips at $499. This presence delivers up tangible value for followers, customers, and the General 

Aviation marketplace. There is quantifiable incentive for engaging through these Social Media channels. 

How is Eclipse Aerospace using social media to connect to the marketplace, build branding, and product 

awareness? The answer is sparingly at best. The Eclipse Aerospace Facebook Page posted 116 followers and no 

new information since 2011. There were no linked YouTube product 

videos as Cessna and Embraer feature on their homepages. Even TBM 

manufacturer Daher‐Socata provided social media connections for current 

and potential owners through Google+, Twitter, and Facebook. EAI is not 

been the only aviation manufacturer yet to embrace social media platforms however. Deanna Harms, an 

Executive VP at a Wichita, KS based branding agency explains “the [business aviation] industry as a whole has 

been relatively slow to adopt social media.” 

Given the external market’s lack of current information, and considerable rebuilding efforts required from 

Eclipse Aviation’s demise in 2009, the need for a low‐cost yet effective way for EAI to reach out further into 

marketplace is magnified. 

Cessna Aircraft Corp. Facebook Page 

Social media nonetheless is not a cure all or promise for 

increased loyalty, higher sales revenues, and repeat 

business. When utilized properly the medium delivers 

considerable value to the host company reaching new 

followers, engaging customers and prospects, driving sales, 

and (re)building a brand and customer loyalty. The 

marketplace responds in turn by receiving the value of new 

and updated information, peer connections, product 

support, and a personalized company interface not found 

through a traditional website. The numbers prove it: The 

best companies generate more value by integrating their 

social media presence with other marketing channels. 

Jet aircraft ownership requires emotional buy‐in. And the 

Eclipse Jet elicits a positive visceral response from almost 

every person who’s flown it. Winning the hearts and minds 

of current AND future customers will insure a long and 

fruitful customer‐product‐company relationship. Social media provides the venue to do just that. ‘Delivering 

value’ was also the mantra of the Eclipse Jet from the onset, we’d like to see that further embraced by EAI in 

connecting to the marketplace and offering value in new ways as other aircraft manufacturers have done to 

date. 

The Eclipse 500 and 550 Beyond 2012 

The overall repeat message from current owners about EAI’s long‐term viability was ‘cautiously optimistic.’ 

Beyond current owner groups the response was “I love the concept and the aircraft, but I don’t know about the 

company.” This tepid response is amidst still challenging economic conditions and reveals EAI has made 

respectable strides to‐date, but still has considerable work to do. Hawker Beechcraft's recent Chapter 11 

Bankruptcy Filings revealed that prolonged weak demand and sales for new Light Jets contributed to their 

restructuring. The market signals are clear: Aviation manufacturers that operate efficiently and adapt their 

product to the market’s changing needs and demands can survive and grow. 


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Are the upgraded Eclipse iFMS aircraft and Eclipse 550 adapted to the evolving aviation marketplace? It is 

contingent upon clear EAI strategies and messaging for both the Business and General Aviation markets. 

Business Aviation Market Outlook 


Photo Courtesy of Eclipse Aerospace Inc. 

The often‐quoted Richard Aboulafia 

of the Teal Group noted that the 

dollar value of the corporate jet 

market grew 17% a year for five 

straight years in the past decade. 

An assumed recovery is projected at 

a modest 10‐12% growth rate annually. The glory days of consistent double‐digit jet manufacturer growth and 

sales are a fading memory. Can the Eclipse 550 find a business‐to‐business aircraft sales niche within a slow 

and protracted market recovery? According to our findings, the opportunity for niche business‐to‐business 

sales does exist. 

The Eclipse simply costs less to operate than any twin jet. This remarkable 

fact represents the Eclipse Jet’s chief competitive advantage. Public and 

private corporations are arguably more sensitive now about operating 

company aircraft than at any other time. Public perceptions tied to 

excessive cost and unnecessary spending affect company decisions to 

keep the corporate fleet flying. The benefits of business jet travel are 

well documented; however corporate stewardship can and should extend 

into the flight department. 

Numerous company CEO’s we interviewed move employees and 

executives with company Lear 20/30 series, King Air 90/200, Beechjet 

400, Premier I/IA, and Citation Series Jets. They almost unanimously 

agreed that a less expensive airframe accomplishing the same mission is 

preferred. How much cheaper the Eclipse accomplishes the mission 

however was unclear to them. Specific mission profiles and real‐world 

comparisons against multiple Jet (beyond the Citation Mustang) and 

Turboprop airframes would benefit the Eclipse value proposition and 

perceived utility advantage. Delivering this data through new and 

innovate mediums and channels is also required for marketplace 

adoption. 

A clever representation of the Eclipse 

Operating Economics presented by one 

owner on his E500 fuselage 

The business aviation market also exhibited a need for more context and defined comparisons for Eclipse 500 

Jet Operating Economics versus other traditional business jets. The operating economics of the E500 Jet as 

listed on the EAI website include: 

59 gal / hr fuel burn at max cruise (360 – 375 KTS. Per AFM cruise data varies by conditions) 

Lowest DOC on the market: $1.68 / nm 

Lowest DOC on the market: $623 / hr 

Operating Economics are provided at: http://eclipseaerospace.net/files/pdf/TE_QuickFacts.pdf 

11

As fuel prices are the largest variable cost 

factor for operating jet aircraft, the need 

for utilizing cost‐efficient airframes has 

never been greater. The Eclipse Jet is 

designed precisely to mitigate volatile fuel 

costs for both business and private air 

travel. 

General Aviation and the Eclipse 500/550 

Future 

U.S. Gulf Coast Kerosene‐Type Jet Fuel Spot Price FOB, US$ per gallon 

Concerns about EAI viability beyond 2012 

and financial backing represent a 

noteworthy roadblock to Total Eclipse 500 

and Eclipse 550 prospects. Despite the apprehension, the promise of the Eclipse Jet finally delivered with all of 

the capability, technology, and functionality promised a decade ago is too alluring for some to pass up. Auto‐ 

Throttles for pilots and Iridium Sat Phone for passengers were highlighted as some of the most anticipated new 

features. 

The Eclipse faithful swear by the 500 jet for good reason – it’s a compelling aircraft to own and fly. Two to 

three secondary market resales each month give credit to an aircraft that otherwise has experienced a dramatic 

rollercoaster history in its short 6 years since FAA certification. Eclipse Aerospace operates with little tolerance 

for error – and they are to be commended for resurrecting and advancing this remarkable twin‐jet. Concerns of 

company viability and economic instability have not derailed efforts to‐date to release the next generation 

Eclipse 550 projected in 2013. Can the GA and BA market support a $2.69M dollar jet consistently for years to 

follow? Uniform rebranding, focused outreach, demand for fuel‐efficient light jets, and a manufacturer that 

consistently delivers on promises will convince the marketplace the answer is a solid Yes. 

The current flying fleet of approximately 260 Eclipse 500 Jets boasts a dedicated following and will continue to 

be in demand at reasonable resale prices. The original Eclipse 500 order book exceeded 1,000 owner‐operator 

deposits, and yet only a small percentage of the depositors who did not receive their aircraft post SN261 have 

returned to own a secondhand Eclipse. Inflated maintenance costs, repeated Service Bulletin compliance, and 

rising upgrade costs however have discouraged several Eclipse potential buyers. Challenging economic 

conditions remain the primary reason all Light Jets sales have slowed dramatically; the Eclipse is no exception. 

Our data revealed new customers are not beating a path to the Eclipse front door as they did between 2000 and 

2007. Eclipse Aerospace may need to pound the tarmac and reach out to the marketplace in new ways to re‐ 

establish the aircraft as the fundamental choice for a Very Light Jet. 

About the Authors 

Collectively the team at PC Jets have acquired and sold over 220 turbine airframes and delivery positions. 

Nathan Metzler is a licensed pilot and MBA from Cal State University. He resides in Northern California. 

Brandon Carlson, resident of Scottsdale, Arizona has been actively involved with the Eclipse secondary market 

since 2005 and has bought/sold/traded over 150 Eclipse delivery positions and airframes. 

For further information about the Eclipse Market Report, or buying and selling Eclipse Aircraft, please contact PC 

Jets at (602)321‐8183, Brandon@PCJets.com, or NMetzler@PCJets.com. 


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2012 Market Update Glossary and Explanation of Terms 

Eclipse Aviation Corporation (EAC): Founded 1998 in Scottsdale, Arizona by Vern Raburn. EAC designed, 

developed and produced the world’s first Very Light Jet branded as the Eclipse 500. $1.80 Billion was invested 

into EAC from inception until operations ceased in February 2009. 

Eclipse Aerospace, Inc. (EAI): “The New Eclipse”. Founded September 2009. EAI acquired the assets; aircraft 

type certificate and intellectual property of the old EAC out of Chapter 7 Bankruptcy. 

United Technologies (UT): Fortune 100 company and parent to Sikorsky Helicopter. 

Sikorsky Aircraft Corporation: An American Aircraft & Helicopter manufacturer. Sikorsky Helicopter made a 

large equity investment in Eclipse Aerospace in March 2011. 

Friction Stir Welding: Eclipse Aviation pioneered the use of Friction Stir Welding in assembling aircraft 

structures. Friction Stir Welding is the primary means of assembling the Eclipse 500. 

PhostrEX: Developed by Eclipse Aviation. A revolutionary process utilized in engine fire suppression and utilized 

on the Eclipse 500. Also referred to as the Fire Extinguisher Cans or FEC. 

AHRS: Attitude Heading Reference System. A third AHRS is required for Part 135 Charter Operations. 

Gold Level Position: The second highest EAC delivery positions with slight CPI adjustments and a $995,000 – 

$1,295,000 base price. 

Platinum Level Position: The earliest original EAC delivery positions with a locked aircraft price at $995,000. 

NON‐ETT: Non‐Extended Tip Tanks. Unless upgraded, this is an original configuration Eclipse 500 commonly 

found between serial numbers #1 through #37. The non‐extended tip tanks provided a less than published 

range of 975NM. Total fuel capacity 230 gallons. 

ETT: Extended Tip Tanks. All Eclipse 500’s beginning with S/N38 and after. Eclipse 500’s equipped with 

Extended Tip Tanks meet the published range of 1,125NM. Total fuel capacity 250 gallons. 

Avidyne: An avionics company in Lincoln, Massachusetts, USA. Avidyne is the original and first Avionics 

platform utilized in the Eclipse 500. Also referred to as V1.0. The Avidyne and Eclipse Aviation (EAC) 

relationship was not successful. 

IS&S: Integrated Solutions and Support of Exton, Pennsylvania, USA. Eclipse Aviation (EAC) partnered with 

IS&S following the termination of the Avidyne relationship to create the “next generation” (NG) of Eclipse 500 

avionics. 

AVIO NG: The second Avionics platform utilized in the Eclipse 500. Also referred to as V1.3. AVIO NG V1.3 

offers greater reliability, resolution and display, however does not provide LNAV or GPS integration. 

V1.5. The first avionics software upgrade offered by Eclipse Aerospace enabling full LNAV & GPS integration 

through a dual Garmin 400W system. 


13

V1.7. The second avionics software upgrade offered by Eclipse Aerospace which included all of the features 

offered by V1.5 but also included XM Weather, Moving Map and Jeppesen ChartView. 

V2.06. Also referred to as IFMS this is the third and most current software upgrade offered by Eclipse 

Aerospace which includes all of the features offered by V1.7 but independent of the dual Garmin 400W’s utilized 

in the prior V1.5 & V1.7 versions. In addition to all of the features a V1.7 upgrade offers the V2.06 also offers a 

fully integrated flight management system. The V2.06 upgrade requires removal of the Garmin 400W and is 

replaced with a keyboard. 

IFMS. Integrated Flight Management System. See V2.06. 

FIKI: Flight Into Known Ice. An upgrade offered by Eclipse Aerospace that began simultaneously with the 

software upgrade V1.5 and remains part of a standard upgrade today. 

UPGRADE: Offered by Eclipse Aerospace, this is the process of enhancing and improving an Eclipse 500 

equipped with versions V1.0 & V1.3 to FIKI and V2.06. Depending on which S/N or version the upgrade process 

consists of vast electrical, avionics, airframe and software changes. Regardless of the previous V1.5 and V1.7 

upgrades offered in the past Eclipse Aerospace will only upgrade an Eclipse 500 from the current aircraft 

configuration to the latest FIKI & IFMS/V2.06 in an effort to standardize the fleet of approximately 260 jets. 

LINERS: Also known as Engine Combustion Liners. Redesigned Pratt & Whitney 610F engine combustion liners 

enabling the Eclipse 500 to return to it’s maximum certified altitude of FL410. The new engine combustion 

liners are required as a result of carbon build up occurring in the original PW610F engine liners. A March 2011 

Airworthiness Directive issued by the Federal Aviation Administration required replacement of the original 

PW610 engine liners. 

TE500 / TOTAL ECLIPSE: Offered by the new Eclipse Aerospace. The TE500 is a factory refurbished pre‐owned 

Eclipse jet with 500 hours total time or less and comes standard with FIKI, IFMS/V2.06, the upgraded premium 

interior, customized paint, a fully paid up engine program, 1year / 300 hour warranty and many additional 

features which can be found on www.eclipse.aero. Standard factory pricing for a TE500 is $2,150,000 U.S. 

Dollars. Factory financing is also offered for prospective purchasers of the TE500. 


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Eclipse 500 Jet Manufacturer, Service & Maintenance Locations 

*Note VNE Jet, Southern Aircraft Services, and Boca Aircraft Maintenance are independently owned operations. 


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Eclipse 500 Jet Market Update 2012 - Eclipse 500 Owners

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