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The worldwide market for private jets totals 4.7 million flights annually. The US represents the vast majority of these flights, with 3.1 million annual flights or 65% of the market. Europe is the second largest segment accounting for 15% of the market, followed by Asia, South America and Canada.
The non-commercial segment, also known as Part 91 in the U.S. market, consists primarily of individual owned planes used for non-commercial purposes. In the U.S., it represents the largest segment on an activity basis with approximately 1.6 million annual flights.
The commercial segment, known as Part 135 in for profit purposes. This is the second largest segment of the U.S. market with annual flights of approximately 1.1 million.
The fractional segment is a multi- ownership structure where many individuals own a portion of the aircraft and share their access based on the ownership. This segment is the smallest segment, accounting for just under 400k flights in the U.S. What's a product or service you'd like to show.
Mint Air addresses the Part 135 market. This segment consists of four plane types including turbo-prop, light jet, mid-size and heavy jet representing a total of 2.8 million annual flight hours and revenues of $10.7 billion. Within the Part 135 market, Mint Air focuses primarily on the mid-size and heavy jet segments. These two segments account for most of the market opportunity in the U.S. with annual revenues of $7.9 billion, or 74% of the total Part 135 market.
Mint Air’s business strategy is to buy used aircraft in the open market and lease them to charter operators. By purchasing used planes in the aftermarket, Mint Air takes advantage of the recent decline in aircraft prices to increase the return on investment. From 2014 to 2019, as the charter market has improved, prices have declined substantially.
By providing charter operators with unencumbered access to its planes, they can avoid the high customer servicing and inefficiencies associated with the typical individual high-net- worth owners. As a result, Mint Air will receive priority with flights - resulting in the maximum lift for its planes. Mint Air’s strategy is to target the larger charter operators, who have a fleet of 15 or more, to provide them with additional capacity. The Company will require commitments from these charter operators before purchasing any aircraft to minimize any placement risk.
Private Placement Risk Disclosure Statement The purchase of the privately placed securities of a non-public company (“Securities”) is, in general, a highly speculative investment and should be undertaken only by persons who are financially able to bear the loss of their entire investment and who have no need for liquidity of their investment in the issuer. Such investments involve various risks relating to the nature of the financing and potentially the state and federal legalities surrounding the issuer, the nature and stage of development of the issuer’s business, and the business sector in which it operates. The listing below is not meant to be an all-inclusive description of such risks, but rather highlights some of the more significant factors and special risks relating to offerings of privately placed securities of companies with limited operating histories in particular and should be used as guidance only. For a description of the business, operations, and financial condition of a specific issuer, and the particular risks arising from an investment in an issuer’s securities, investors should obtain and carefully read the available offering materials provided by such issuer, including any private placement memorandum, offering circular or prospectus prepared by the issuer before making any investment. Each potential investor, in considering a purchase of securities, must perform its own evaluation of whether investing in securities generally or purchasing securities in a particular offering is consistent with its investment objectives, risk tolerance, and financial situation. There are a variety of risk factors typically associated with investing in new issue securities, any one of which may have a material and adverse effect on the price of the issuer’s common stock. Prospective purchasers should consider the following factors, among others, before deciding to purchase securities, and should consult with their own legal, tax and financial advisors with respect to these matters.
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