Alderman & Company on July 14, published the results of a recent proprietary survey highlighting the growing liquidity crisis in the commercial aviation industry.
In June, Alderman & Company surveyed 65 companies in the middle market of the commercial aviation supply chain. These companies included-but were not limited to-manufacturers, distributors, and service providers (such as maintenance and repair). Key findings included:
- Airline passenger traffic is not expected to return to pre-pandemic levels until 2022
- Suppliers are looking to cut expenses ahead of future declines
- Financing for suppliers is not expected to come from banks
"We wanted to get at the heart of both the micro and macro-economic issues industry stakeholders and government officials are facing in light of COVID-19," said Alderman & Company CEO, Bill Alderman. "The pandemic has caused the most significant downturn in the history of commercial aviation and we want to help companies within the supply chain pivot to cope."
This is the second in a series of surveys the company plans to conduct regarding the pandemic's impact on the commercial aviation industry supply chain.
