GENERAL AVIATION MANUFACTURERS ASSOCIATION

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Transcript of GENERAL AVIATION MANUFACTURERS ASSOCIATION

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The General Aviation Manufacturers Association (GAMA) represents approximately50 of the world’s leading manufacturers of fixed-wing general aviation airplanes,engines, avionics, and components. In addition to building nearly all the generalaviation airplanes flying today, GAMA member companies also operate aircraft fleets,airport fixed-based operations, pilot training and maintenance technician trainingfacilities worldwide.

• General aviation is a $41 billion industry.

• Over 214,000 general aviation airplanes, ranging from two-seat trainingaircraft to intercontinental business jets, are flying in the U.S.

• In the U.S., general aviation aircraft fly over 29 million hours (nearly twotimes the airline flight hours), and carry 166 million passengers annually.

• Nearly 70 percent of all hours flown by general aviation aircraft are forbusiness purposes.

• More than 5,000 communities rely exclusively on general aviation fortheir air transportation needs (scheduled airlines serve less than 500).

• General aviation is the primary training ground of most commercialairline pilots.

Headquartered in Washington, DC, GAMA represents the interests of its membersbefore the United States Congress, the Department of Transportation, the FederalAviation Administration, the National Aeronautics and Space Administration,the Transportation Security Administration, and other federal and state governmentagencies directly concerned with the air transportation system. It also maintainsclose working relationships with other associations representing various facets ofthe aviation community.

Through its public information and education programs, GAMA promotes betterunderstanding of the air transportation environment and the important rolegeneral aviation plays in the national economy and in serving the transportationneeds of companies and individuals worldwide.

GENERAL AVIATION MANUFACTURERS ASSOCIATION

GENERAL AVIATION MANUFACTURERS ASSOCIATION1400 K Street NW, Suite 801, Washington, DC 20005 • TEL: (202) 393-1500 • FAX: (202) 842-4063 • WWW.GAMA.AERO

GAMA Executive CommitteeCHAIRMAN OF THE BOARD

W. W. BOISTURE, JR.PresidentGulfstream Aerospace Corporation

VICE CHAIRMAN OF THE BOARD

CLAYTON M. JONESChairman, President and CEORockwell Collins, Inc.

FLIGHT OPERATIONS POLICY COMMITTEE

DEAN M. FLATTPresident and CEOHoneywell Aerospace Electronic Systems

PRODUCT LIABILITY & LEGAL ISSUES COMMITTEE

CHARLES M. SUMAPresident and CEOThe New Piper Aircraft, Inc.

INTERNATIONAL AFFAIRS COMMITTEE

LEE D. MONSONPresidentBoeing Business Jets

PUBLIC AFFAIRS COMMITTEE

R. JACK DECRANECEODeCrane Aircraft Holdings, Inc.

SAFETY AFFAIRS COMMITTEE

MICHAEL D. WOLFPresidentLycoming Engines

TECHNICAL POLICY COMMITTEE

GILLES P. OUIMETChairmanPratt & Whitney Canada Corp.

SECURITY ISSUES COMMITTEE

JAMES E. SCHUSTERChairman and CEORaytheon Aircraft Company

GAMA StaffPRESIDENT AND CEOEDWARD M. BOLEN

SR. VICE PRESIDENT, INTERNATIONAL AFFAIRS

BARRY L. VALENTINE

VICE PRESIDENT, ENGINEERING & MAINTENANCE

WILLIAM H. SCHULTZ

VICE PRESIDENT, OPERATIONS

RONALD L. SWANDA

VICE PRESIDENT, COMMUNICATIONS

SHELLY S. SIMI

GENERAL COUNSEL

JEFFREY R. SURAL

DIRECTOR OF ADMINISTRATION

BRIDGETTE A. BAILEY

DIRECTOR OF MAINTENANCE & ENGINEERING

WALTER L. DESROSIER

MANAGER OF OPERATIONS

JENS C. HENNIG

IT SPECIALIST

TODD J. WORMINGTON

FULFILLMENT COORDINATOR

AUBREE J. FORAN

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GENERAL AVIATION MANUFACTURERS ASSOCIATION1400 K Street NW, Suite 801, Washington, DC 20005 • TEL: (202) 393-1500 • FAX: (202) 842-4063 • WWW.GAMA.AERO 2

Enhance GA SecurityNo group has a greater stake in ensuring general aviationsecurity than the industry itself. With that in mind,GAMA will continue to build its relationship withsecurity-related executive branch agencies, congressionalcommittees of jurisdiction, and other aviation associations,to constantly develop and implement ideas that enhancegeneral aviation security.

Preserve Access to Airports and AirspaceThe importance of general aviation’s access to airportsand airspace became profoundly clear following theSeptember 11 attacks on America. In order to make suregeneral aviation can continue to function as a vital link inour nation’s transportation system and a dynamic enginefor our economy, GAMA will work tirelessly to preserveGA access to airports and airspace.

Implement Commission RecommendationsThe Final Report of the Commission on the Future ofthe U.S. Aerospace Industry offers a strong nationalaerospace vision and recommends specific steps formaking that vision a reality. GAMA fully supports thework of the Commission and will actively promote itsrecommendations.

Accelerate Depreciation DeductionIn order to reinvigorate the U.S. economy, the Presidenthas proposed and Congress will consider significantchanges to tax laws. During debate on these proposals,GAMA will advocate accelerating the depreciation ofcapital goods from 30 percent in the first year of ownershipto 50 percent. This acceleration will stimulate airplanesales and create jobs in the aviation manufacturing sector.

Protect Aviation FundingIn 2000, the aviation community won a major legislativevictory when Congress passed AIR-21, a three-year FAAreauthorization bill that substantially increased federalspending on airports, including general aviation andreliever airports. With the AIR-21 set to expire this fall,Congress will soon consider a new reauthorization bill.Keeping airport funding at levels established in AIR-21and ensuring FAA has adequate funding for otherprograms will be a legislative priority for GAMA.

Expand CapacityThe FAA’s Operational Evolution Plan (OEP) was createdto expand the capacity of our nation’s air transportationsystem to meet projected demand throughout the nextdecade. Through its Flight Operations Policy Committee,GAMA will work closely with the FAA on the refinementand implementation of the OEP, as well as thedevelopment of an air transportation plan for 2015and beyond.

Promote SafetySince its inception in 1970, GAMA has been a leader inimproving general aviation safety. In 2003, our SafetyAffairs Committee will work with the FAA and the NTSBon initiatives to thoroughly investigate accidents, identifynegative trends, disseminate safety information, anddevelop and implement appropriate interventions.

Improve Airplane CertificationStandards and ProceduresThe FAA’s certification standards and procedures need tobe updated so that safe and innovative new technologiescan be brought to the market in a timely manner.Through its Technical Policy Committee, GAMA willplay a leadership role in facilitating certificationimprovements.

Expand International MarketsThrough its International Affairs Committee, GAMAwill strive to open new international markets, promoteappropriate international standards and operating rules,and ensure a level international playing field for the saleof aviation products.

Facilitate Aviation ResearchThe federal government has historically played animportant role in advanced aviation research, but thatrole has been declining in recent years. GAMA will workto reverse this negative trend and improve the safety andefficiency of general aviation by facilitating NASA andFAA research programs designed to bring innovativetechnologies to the general aviation market.

GAMA2003 AGENDA

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ANNUAL INDUSTRY REVIEWEDWARD M. BOLEN

GAMA President and CEOFebruary 12, 2003

Welcome to the Ronald Reagan International Trade Center. I putparticular emphasis on the word International because it was just lastyear, in this building, that GAMA announced its shipment and billingreports would become international in scope.

One year later, we are pleased to have with us tonight—not justas guests but as actual GAMA members—the leaders of thoseinternational companies who are now part of our shipment andbilling reports.

I suspect that their presence here, in this the centennial year of flight,would please Orville and Wilbur Wright as it is yet further evidenceof how aviation brings people and, in our case industry, closer together.

Those of you who have attended this industry press conference knowthat our format calls for me to share with you the key statistics fromthe year just ended. When I finish, our chairman, Bill Boisture, willthen put these statistics in perspective and discuss some of theimportant challenges we will be facing in the year ahead.

BillingsFor the first time in nearly a decade, total industry billings fell lastyear, from an all-time high of $13.9 billion to $11.9 billion. That isa 14.4 percent decrease.

The U.S. portion of industry billings fell from $8.6 billion to $7.8billion—a 9.9 percent decrease.

Total ShipmentsAs you would expect from the billing numbers, shipments of generalaviation airplanes fell from 2,994 in 2001 to 2,539 last year. That isa 15.2 percent decrease.

The U.S. portion of industry shipments fell from 2,634 in 2001 to2,214 last year—a 15.9 percent drop.

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Business Jet ShipmentsBreaking down the shipment numbers into theircomponent categories, we see that shipments ofbusiness jets were down 12.7 percent to 683 unitslast year.

Shipments of U.S.-produced jets were down 11.5percent to 531 units.

This is the first time we have seen a drop in businessjet shipments since 1996. Let me also point out thatin each of the years from 1998 to 2001 the industryset a new all-time record for business jet shipments.This year’s business jet shipments are still above1999 levels.

Turboprop ShipmentsTurboprops had the biggest drop of any of ourairplane segments in 2002.

Turboprop shipments fell 33.5 percent to 280 unitslast year.

U.S.-produced turboprops dropped 38.9 percentfrom 306 units in 2001 to 187 units in 2002.

Piston ShipmentsTotal piston shipments were down for the secondstraight year, falling 12 percent to 1,576 units.

Shipments of U.S.-produced piston planes fell 13.4percent to 1,496 units.

ExportsExports of U.S.-produced airplanes were down last year.

Billings for exported airplanes dropped 16.8 percentas the number of exported airplanes fell 26.1 percent.

For U.S. manufacturers, the export market accountedfor 25.4 percent of their total billings and 16.8percent of their total shipments.

EmploymentNot surprisingly, employment at GAMA membercompanies fell in 2002, down 12.4 percent from2001 level.

Used Airplane MarketThe used airplane market remained frustratinglylarge in 2002. The most concrete numbers availablefor used airplanes are those on the turbine market.

According to statistics provided by AMSTAT, about17 percent of the total turbine fleet is currently onthe market, well above the historical average ofaround 12 percent.

As one might expect in a buyer’s market, the pricesfor used business jets are around 20 percent lowerthan they were in 2001.

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Student PilotsAccording to statistics provided by the FAA,the number of individuals holding studentpilot certificates in 2002 held steady at justunder 86,000. This stability comes despite aweak economy, continued layoffs at many ofthe commercial airlines, and security restric-tions on foreign student pilots.

Clearly, Drew Steketee and his team atBE A PILOT are doing a good job stimulatinginterest with their promotional programsand cable TV advertising.

Flight ActivityOne of the real bright spots from last yearwas the amount of flying by business jets inthe U.S.

According to statistics supplied by the FAA,the number of IFR flights completed bybusiness jets was approximately 13 percenthigher in 2002 than it was in 2001.

Corporate Aircraft OperatorsAccording to statistics provided by AvDataInc., the total number of corporate operatorsworldwide increased approximately 5 percentlast year. At the end of 2002, there wereapproximately 13,958 corporate operators inthe world utilizing a fleet of 22,576 aircraft.

In the United States alone, there were 10,191operators utilizing a fleet of 15,569 aircraft atthe end of last year.

Fractional Ownership ProgramsFractional ownership programs also appear tohave grown in 2002. Again, using preliminarydata provided by AvData, Inc., the number ofindividuals and companies in the UnitedStates that own a fractional share of anairplane increased approximately 20 percentin 2002, from 3,415 to 4,098.

The number ofairplanes in frac-tional programsgrew just over 11percent in 2002,from 696 to 776.

GAMA membercompanies are reporting that approximately15 percent of their total turbine deliveries lastyear went to fractional programs.

SafetyAlthough general aviation activity appearsto have been up in 2002, general aviationaccidents were down. In fact, the totalnumber of general aviation accidents reachedan historic low in 2002.

SecurityFinally tonight, I’d like to talk about someof the things that have happened over thecourse of the last year in an area that is veryimportant to all of us—security.

As many of you know, shortly after theSeptember 11 attacks, GAMA, AOPA andNBAA hired a security expert to assess thevulnerability of the general aviation industry.Based on that assessment, we developed a listof 12 security recommendations that weresubsequently endorsed by all of the generalaviation associations and delivered to thefederal government. For the past year, ourindustry has been working to turn theserecommendations into reality.

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Still, from time to time you can read in anewspaper or hear on television that “littlehas changed in the area of general aviationsecurity since the September 11 attacks”.

In order to dispel this myth, I would like toshare a couple of examples of how generalaviation has changed since the attacks.

• Today, foreign registered generalaviation aircraft must be approved bythe Transportation Security Adminis-tration and submit a complete passen-ger manifest before they are allowedto enter the United States.

• Companies that finance the sale orpurchase of a general aviation airplanemust follow guidelines GAMA devel-oped for the Treasury Department foridentifying and reporting suspiciousfinancial transactions.

• The federal government is combingthe Airman and Aircraft registriesfor persons believed to be a securitythreat.

• New security procedures, includingpassenger screening, have been createdfor charter operations involving air-craft weighing over 12,500 poundsand will soon go operational.

• Pilots are now required to carry agovernment issued photo ID along withtheir pilot’s license whenever they fly.

• Thanks to AOPA, Airport Watchprograms have been established atgeneral aviation airports completewith a toll-free, nationwide numberfor reporting suspicious behavior(1-866-GA-SECURE).

• All non-U.S. citizens seeking flighttraining in the United States on aircraftweighing over 12,500 pounds mustundergo a Department of Justicebackground check.

So the next time you hear someone say“nothing has changed in the area of generalaviation” I hope you will set them straight.

I will also point out that the general aviationindustry intends to remain proactive in thesecurity area.

Among the things we are still pushing for areimprovements to the Airman and Aircraftregistries. We would also like to find a wayfor general aviation to have access to theComputer Assisted Passenger ScreeningSystems the commercial airlines are using toidentify potential security threats. And we arevery interested in turning NBAA’s SecurityProtocol—their TSAAP—into reality.

In short, we hope to be able to continuallyenhance general aviation security witheffective, common sense security initiatives.

ConclusionAs we take a final look back at 2002, we seethat our string of record-setting billings andbusiness jet shipments has finally come to anend. In fact, shipments in all three categoriesof airplanes fell last year.

However, business jet flight activity was up,we set a new record for safety and a lot hasbeen done to enhance the security of generalaviation. So there are some positives we canbuild upon—and at GAMA we intend to dojust that.

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FAA Administrator Marion Blakeyaddresses the GAMA sponsoredGeneral Aviation Air SafetyInvestigators Advanced TechnicalWorkshop.

(L to R) A.L. Ueltschi, Chairman of FlightSafetyInternational and Ed Bolen, President and CEOof GAMA, talk with Admiral James Loy, UnderSecretary of Transportation for Security (TSA)at a GAMA Board meeting.

Rockwell Collins Chairman, President andCEO Clay Jones talks with Senator Jim Inhofe(R-OK) at a GAMA reception.

GAMA President and CEO EdBolen testifies before the HouseSubcommittee on Aviation.

GAMA President and CEO Ed Bolen and GAMAChairman Ray Siegfried present Congressman JimHansen (R-UT) with a Distinguished Service Awardfor his support of the GA industry.

(L to R) FAA Administrator MarionBlakey, GAMA President and CEOEd Bolen and Under Sectretary ofTransportation for Security (TSA)James Loy, discuss GA issues.

Congressman Hal Rogers (R-KY),Chairman of the House TransportationAppropriations Subcommittee, speaksto the GAMA Board of Directors.

(L to R) FAA Administrator Marion Blakey talkswith Steve Loranger, COO of Textron, and BillBoisture, President of Gulftream Aerospace,at a GAMA reception.

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Senator John Breaux (D-LA)speaks to the GAMA Board ofDirectors.

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Representing aerospace stakeholders at a meeting with government officialsare (L to R) John Douglass (AIA), Ed Bolen (GAMA), Carol Hallett (ATA)and John Carr (NATCA).

FAA Administrator Marion Blakey and acting NTSB ChairmanCarol Carmody join Raytheon Chairman and CEO Jim Schusteron a tour of Raytheon’s manufacturing facility.

Shelly Simi, Aero Club President and GAMA Vice PresidentCommunications, is joined by outgoing FAA AdministratorJane Garvey, Ambassador Ed Stimpson and incoming FAAAdministrator Marion Blakey at a Washington luncheon.

Ed Bolen and other members of the Commission on the Future of the U.S. Aerospace Industry at the White House to present their final reportto Vice President Dick Cheney.

GAMA President and CEO Ed Bolen discusses aviationsecurity on CNN.

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2003 MARKET OUTLOOKW.W. BOISTURE, JR.

GAMA ChairmanFebruary 12, 2003

I think the statistics that Ed shared with you beg a couple offundamental questions: 1) just how serious is the current situation?and 2) what can we do about it?

How Serious?When you are going through a tough time, it can feel pretty awful.But it often helps to put things in perspective.

This is not the biggest one year change our industry has ever experi-enced—it’s not even close. In fact, if we were ranking the biggest oneyear change in billings and shipments, this year would not even bein the top five. So, we’ve been through a lot worse.

And keep in mind that our 2002 billings are higher than our 1999billings which, at that time, were a new all-time record for us. Ourindustry today is three times the size it was just six years ago. So weare still flying at a pretty high altitude.

Finally, we are not some start-up industry trying to find its niche orsome old-line industry struggling to remain relevant in today’s society.General aviation is a $41 billion industry that, by any objective measure,is an integral part of our nation’s transportation system and economy.We sit at the heart of the capital equipment purchase statistics and weare fundamental to the way many companies do business today. In fact,the business model for many companies would not work but for thespeed, flexibility and other benefits our products offer.

What Can Be Done?Having said all that, we can’t ignore the fact that this market is notwhere we want it to be. So what can we do to improve it?

The biggest single driver of new airplane sales is the economy. Nothingelse comes anywhere close. And, this is a tough economy. This may notbe the deepest trough in modern times but it is certainly one of thelongest. Unfortunately, there is not a whole lot a single industry can doabout the economy.

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However, there are some very real steps generalaviation manufacturers are taking to navigatethrough the current rough patch, stimulate somesales and position ourselves for future growth.

Navigating the Rough PatchFirst, we are cutting our costs.

Almost all of GAMA’s airframers have been forcedto lay off workers since the economy softened. Wedon’t like it. It’s not fun. But there really isn’t anychoice in the matter.

Second, we are supporting our customers.

If you look at the service programs OEMs haveestablished over the past few years you’ll see that, asan industry, we have implemented training programsand utilized the internet to take product support toa whole new level.

Third, we are working to preserve the utility of ourproducts.

Companies and individuals buy general aviationairplanes to safely, securely, quickly and flexibly getwhere they want to go. If they can’t get into theairspace necessary to fly direct routes or if they can’tland at the destinations where they want to go,they’re not going to have much use for our products.

After 9-11, we learned the hard way that we can’ttake access to airspace and airports for granted.

Thanks to some good work by GAMA and some ofthe other associations, we are now back to prettyclose—not quite—but pretty close to the sameaccess we had before 9-11. We need to make surethat doesn’t change as TSA and the Department ofHomeland Security become an increasing factor inour lives and those of our customers.

One way to help ensure our continued access toairspace and airports is to make certain that ourindustry is as secure as possible and to make surethat the general public perceives us to be secure.That is why I think some of the proactive things ourindustry has done to enhance security—those thingsEd outlined—are so important.

Stimulating New SalesAmong the things manufacturers can do to stimu-late sales in a soft economy is to create incentivesfor individuals and companies to buy now.

Last year, GAMA lobbied for a provision that ulti-mately became law which allows accelerated depre-ciation to companies that buy airplanes beforeSeptember 11, 2004. With a new tax bill now beingdebated in Congress, we are hoping to provide aneven greater incentive for new airplane purchases.

Another great way to stimulate airplane sales is withnew products and, in that respect, help is on theway. We are expecting several new airplane modelsto come to the market over the next couple of yearsfrom among others, Bombardier, Cessna, Dassault,Gulfstream and Raytheon.

I think the fact that so many companies are movingforward on development projects in a downeconomy speaks volumes about how manufacturersview the long-term prospects of this industry. It’sclear we believe the future looks good.

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Positioning for Future GrowthOver the course of the next year, GAMA isgoing to be spending a lot of time encouragingthe federal government to do what it can toensure that a bright future is realized.

Most of those things that need to be doneare clearly set forth in the Final Report ofthe Commission on the Future of the U.S.Aerospace Industry. At its very foundation,the Commission Report asks our federalgovernment to start making aerospace thenational priority it deserves to be.

When Will the Recovery Begin?Having just heard me say that the future looksgood probably has some of you wonderingwhen that future begins.

Well, we still see things being pretty flatin 2003. We have all established our productionschedules and they are likely to only slightlyincrease, even if the economy immediatelystarts to grow at a healthy rate.

Historically, it takes about 9 to 12 months ofeconomic growth before we start seeing asignificant upturn in airplane sales. So, I don’tthink the 2003 numbers are going to look anybetter than the ones we are seeing tonight.

In addition to the economy improving, someof the used aircraft on the market need to beabsorbed for there to be a significant increasein new aircraft sales. Increased absorption ofused aircraft is always a key indicator of newaircraft sales.

As we look for growth, I also think peopleneed to keep fractional ownership programsin perspective. These programs grew rapidlyas the economy expanded and they, in essence,created a market that did not previously exist.But people need to understand that thefractional market is subject to the sameforces as the rest of the basic aircraft market.

This means that fractional programs cannotbe expected to grow in a soft economy at thesame rate they did when the economy wasstrong. We simply need to keep expectationsfor fractional programs in line with marketrealities.

Strong FundamentalsDespite today’s challenges, manufacturers’optimism about the future is grounded insome key fundamentals. Among them is thefact that strong, well-capitalized companiesare keeping their airplanes. As I mentionedearlier, general aviation airplanes havebecome integral to the management andcommunications strategies of many of ournation’s most successful companies.

In addition, I would point out that mostof the companies that own airplanes areflying them as much or more in the currentenvironment as they ever have before. Edmentioned that business jet activity was uplast year and high utilization rates are aharbinger of future sales.

The global marketplace continues to generatea need for international travel. What weare seeing is that people and companiesare increasingly concerned about security,particularly in international operations,and that concern is stimulating interest inbusiness jets.

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We are all aware that the deteriorating finan-cial picture for many airlines is causing cutsin both service and frequency. These cuts arecausing businesses to explore alternatives.For many companies, general aviation islikely to be their best option.

Finally, we are beginning to see tangibleprogress in key Asian markets like China.For years we have talked about the hugepotential of Asia in general and China inparticular. However, government policieshave, to date, prevented general aviation fromtaking root in that part of the world. We stillhave a long, long way to go in China butthere are strong indications that the govern-ment freeze on general aviation may bestarting to thaw.

ConclusionSo, we have our challenges today. No doubtabout it. But we also have opportunities. I amexcited about being chairman of GAMA atthis particular point in the history of ourindustry.

I also feel fortunate to have a very strongexecutive committee to help me direct GAMA’scapable staff. Our Executive Committeeincludes my Vice Chairman, Clay Jones,who as most of you know, is the Chairman,President, and CEO of Rockwell Collins.It also includes the following committeechairs:

Lee Monson, President of Boeing BusinessJets, is the chair of GAMA’s InternationalAffairs Committee. Dean Flatt, President andCEO of Honeywell Aerospace ElectronicSystems, is the chair of our Flight OperationsPolicy Committee. Chuck Suma, Presidentand CEO of The New Piper Aircraft, Inc.,chairs our Legal Issues Committee. JackDeCrane, CEO of DeCrane Aircraft Holdings,chairs our Public Affairs Committee. MikeWolf, President of Lycoming Engines, chairsthe Safety Affairs Committee. Gilles Ouimet,Chairman of Pratt & Whitney Canada,chairs the Technical Policy Committee. Andfinally, Jim Schuster, Chairman and CEO ofRaytheon Aircraft Company, is the chairmanof GAMA’s newly formed Security Committee.

I think you’ll agree with me that this is apretty good team to take on the challengeswe face as we count down to the 100 yearanniversary of the Wright Brothers’ flight atKitty Hawk.

I have no doubt that by the time that anniver-sary arrives we, like the Wright Brothersbefore us, will be on our way to success.

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16.8% 25.4%

Percentage ofTotal Shipments

Percentage ofTotal Billings

2001 2002 Change

Shipments 505 373 - 26.1%

Billings $2.4B $2.0B -16.8%

EXPORTS INDUSTRY EXPORTS

2001 2002 Change

Single-Engine Piston 1,644 1,446 -12.0%

Multi-Engine Piston 147 130 -11.6%

Turboprops 421 280 -33.5%

Business Jets 782 683 -12.7%

Total Shipments 2,994 2,539 -15.2%

Total Billings $13.9B $11.9B -14.4%

AIRPLANE SHIPMENTS BY TYPE: MANUFACTURED WORLDWIDE

Note: Airplanes are considered to be manufactured in the U.S. if they are produced under a FAA production certificateNote: Exports reflect U.S. manufactured airplanes shipped outside the U.S.

2001 2002 Change

Single-Engine Piston 1,581 1,366 -13.6%

Multi-Engine Piston 147 130 -11.6%

Turboprops 306 187 -38.9%

Business Jets 600 531 -11.5%

Total Shipments 2,634 2,214 -15.9%

Total Billings $8.6B $7.8B -9.9%

AIRPLANE SHIPMENTS BY TYPE: MANUFACTURERED IN U.S.

GAMA2002 STATISTICS

GENERAL AVIATION MANUFACTURERS ASSOCIATION1400 K Street NW, Suite 801, Washington, DC 20005 • TEL: (202) 393-1500 • FAX: (202) 842-4063 • WWW.GAMA.AERO

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GAMAMEMBER COMPANIES

AIRCRAFT TECHNICAL PUBLISHERS AIRTECHNICS, INC. AVIDYNE CORPORATION B/E AEROSPACE, INC.101 South Hill Drive 3851 North Webb Road 55 Old Bedford Road General Aviation & VIP Products GroupBrisbane CA 94005-1203 Wichita KS 67226 Lincoln MA 01773 4000 N.W. 36 Avenue(415) 330-9500 (800) 544-4070 (781) 402-7400 Miami FL 33142www.atp.com www.airtechnics.com www.avidyne.com (305) 459-7000

www.beaerospace.com

BOEING BUSINESS JETS BOMBARDIER AEROSPACE CAE SIMUFLITE TRAINING CENTURY FLIGHT SYSTEMS, INC.P.O. Box 3707, M/S 1E-77 P.O. Box 6087, Station Centreville INTERNATIONAL, INC. Municipal AirportSeattle WA 98124-2207 Montreal Quebec Canada H3C 3G9 2929 West Airfield Drive P.O. Box 610(206) 655-9800 (514) 855-7977 P.O. Box 619119 Mineral Wells TX 76068www.boeing.com/commercial/bbj www.aero.bombardier.com DFW Airport, TX 75261 (940) 325-2517

(800) 527-2463 www.centuryflight.comwww.simuflite.com

CESSNA AIRCRAFT COMPANY CRANE AEROSPACE DASSAULT FALCON JET CORPORATION DECRANE AIRCRAFT HOLDINGS, INC.P.O. Box 7706 3000 Winona Avenue P.O. Box 2000 2361 Rosecrans Avenue, Suite 180Wichita KS 67277-7706 Burbank CA 91504 South Hackensack NJ 07606 El Segundo CA 90245(316) 517-6000 (818) 526-2600 (201) 440-6700 (310) 725-9123www.cessna.textron.com www.craneaerospace.com www.dassaultfalcon.com www.decraneaircraft.com

DUKES AEROSPACE EMBRAER AIRCRAFT HOLDING INC. FLIGHTSAFETY INTERNATIONAL, INC. GARMIN INTERNATIONAL, INC.9060 Winnetka Avenue 276 S.W. 34th Street Marine Air Terminal–LaGuardia Airport 1200 East 151st StreetNorthridge CA 91324 Fort Lauderdale FL 33315 New York NY 11371-1061 Olathe KS 66062(818) 998-9811 (954) 359-3700 (718) 565-4100 (913) 397-8200www.dukesaerospace.com www.embraer.com www.flightsafety.com www.garmin.com

GOODRICH CORPORATION GULFSTREAM AEROSPACE HAMILTON SUNDSTRAND CORPORATION HARTZELL PROPELLER INC.Four Coliseum Centre CORPORATION One Hamilton Road One Propeller Place2730 West Tyvola Road P.O. Box 2206 Windsor Locks CT 06096 Piqua OH 45356-2656Charlotte NC 28217-4578 Savannah GA 31402-2206 (860) 654-6000 (937) 778-4200(704) 423-7000 (912) 965-3000 www.hamiltonsundstrandcorp.com www.hartzellprop.comwww.goodrich.com www.gulfstream.com

HONEYWELL JEPPESEN KELLY AEROSPACE LYCOMING ENGINESP.O. Box 21111 55 Inverness Drive East 1400 East South Boulevard 652 Oliver StreetPhoenix AZ 85036 Englewood CO 80112-5498 Montgomery AL 36116 Williamsport PA 17701(602) 231-1000 (303) 799-9090 (334) 286-8551 (570) 323-6181www.honeywell.com www.jeppesen.com www.kellyaerospace.com www.lycoming.textron.com

MEGGITT AVIONICS/S-TEC THE NORDAM GROUP PARKER HANNIFIN CORPORATION PERKINELMER FLUID SCIENCESTen Ammon Drive 510 S. Lansing Parker Aerospace 11642 Old Baltimore PikeManchester NH 03103-7406 Tulsa OK 74120 14300 Alton Parkway Beltsville MD 20705(603) 669-0940 (918) 587-4105 Irvine CA 92618-1898 (301) 937-8811www.stec.com www.nordam.com (949) 833-3000 www.perkinelmer.com

www.parker.com

PIAGGIO AERO INDUSTRIES THE NEW PIPER AIRCRAFT, INC. PPG AEROSPACE PRATT & WHITNEY CANADA CORP.23 Exchange Street 2926 Piper Drive P.O. Box 1800 1000 Marie-Victorin BoulevardGreenville SC 29605 Vero Beach FL 32960 Glendale CA 91209 Longueuil QC CANADA J4G 1A1(864) 277-3979 (561) 567-4361 (818) 240-2060 (450) 677-9411www.piaggioaero.com www.newpiper.com www.ppgaerospace.com www.pratt-whitney.com

PRECISION AEROSPACE CORPORATION RAYTHEON AIRCRAFT COMPANY ROCKWELL COLLINS, INC. ROLLS-ROYCE NORTH AMERICA1100 Carillon Point P.O. Box 85 400 Collins Road NE 14850 Conference Center Dr., Suite 100Kirkland WA 98033 Wichita KS 67201-0085 Cedar Rapids IA 52498-0001 Chantilly VA 20151(425) 739-9997 (316) 676-7111 (319) 295-1000 (703) 834-1700www.prec-aero.com www.raytheonaircraft.com www.rockwellcollins.com www.rolls-royce.com

SABRELINER CORPORATION SAFE FLIGHT INSTRUMENT SMITHS AEROSPACE ACTUATION SMITHS GROUP ACTUATION SYSTEMS, INC.Pierre Laclede Center CORPORATION SYSTEMS–YAKIMA 110 Algonquin Parkway7733 Forsyth Boulevard, Suite 1500 20 New King Street P.O. Box 9907 Whippany NJ 07981-1640St. Louis MO 63105-1821 White Plains NY 10604-1206 Yakima WA 98909-0907 (973) 428-9898(314) 863-6880 (914) 946-9500 (509) 248-5000 www.si-act-sys.comwww.sabreliner.com www.safeflight.com www.dowty.com

SPIRENT SYSTEMS WICHITA, INC. TELEDYNE CONTINENTAL MOTORS UNISON INDUSTRIES UNIVERSAL AVIONICS SYSTEMS CORP.8710 East 32nd Street North P.O. Box 90 7575 Baymeadows Way 3260 East Universal WayWichita KS 67226 Mobile AL 36601-0090 Jacksonville FL 32256 Tucson AZ 85706(316) 636-2000 (251) 438-3411 (904) 739-4000 (520) 295-2300www.spirent-systems.com www.tcmlink.com www.unisonindustries.com www.uasc.com

UPS AVIATION TECHNOLOGIES, INC. WILLIAMS INTERNATIONAL WOODWARD GOVERNOR COMPANY2345 Turner Road SE P.O. Box 200 P.O. Box 7001Salem OR 97302 Walled Lake MI 48390-0200 Rockford IL 61125-7001(800) 525-6726 (248) 624-5200 (815) 877-7442www.upsat.com www.williams-int.com www.woodward.com

GENERAL AVIATION MANUFACTURERS ASSOCIATION1400 K Street NW, Suite 801, Washington, DC 20005 • TEL: (202) 393-1500 • FAX: (202) 842-4063 • WWW.GAMA.AERO 14

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