CREATORS OF THE KODIAK Quest Aircraft Company November 5, 2015.

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Presentation transcript:

CREATORS OF THE KODIAK Quest Aircraft Company November 5, 2015

1998 – Co-visionaries, Tom Hamilton & David Voetmann and former CEO of Alaska Airlines, Bruce Kennedy COMPANY HISTORY

May 2001 – Quest Aircraft Company launched with a staff of 14. October 2002, facility dedicated 2005 Quest expanded to its current 84,000 sq. ft expanding to 110,000 square feet and 300 employees

ONE AIRCRAFT, MANY MISSIONS Amphibious (Floats)Commercial / Cargo Jump Operations Fleet Operations Personal Use

PERFORMING HUMANITARIAN WORK AROUND THE WORLD

Current Market Conditions

General Aviation Aircraft Shipment Record for 2015 Aircraft Shipments - Manufactured Worldwide Q1Q2Q3Q4 Single-Engine Turboprops91100N/A0 Multi-Engine Turboprops2530N/A0 Total Airplanes Aircraft Shipments - Manufactured in United States Q1Q2Q3Q4 Single-Engine Turboprops7273N/A0 Multi-Engine Turboprops2530N/A0 Total Airplanes97103 Domestically and Internationally the US dollar is strong. However, it can affect sales in regions such as Central and South America & Asia.

Quest 2015 Aircraft Deliveries vs. Cessna Caravan Textron Aviation Shipments - Q1Q2Q3Q4 Caravan 67503N/A Total Shipments: 3 Quest Aircraft Co., Shipments - Q1Q2Q3Q4 Kodiak Total Shipments: 23

General Aviation Impact Study Total economic output in the United States is $220 billion. General Aviation Industry supports over 1.1 million jobs in the United States. Total amount of labor income supported by general aviation in the U.S. is $70 billion. California, Texas & Florida: top three states in total U.S. Gross Domestic (GDP) impact in general aviation. Kansas, Connecticut & Georgia: top three states in total economic output, as a percent of total economic output in the state. Kansas, Connecticut & Alaska: top three states in the total number of jobs, as a share of statewide employment.

Idaho General Aviation Impact Study Idaho is one of lowest states, nationally, in General Aviation jobs, total economic output & GDP impact. Total Economic output rank: 46 Employment Growth rank: 10 Avg. Aerospace salary $59,927 $10k above the state average Aerospace Manufacturing Attractiveness Rankings / Idaho: Tax rank: 21 Operating cost: 6 Industry rank: 29 Education rank: 43 Overall rank: 27 (Information by Randy Shumway, Zions Bank Advisor, 25 May 2015, IDAHO Politics Weekly) (Information from Pratt & Whitney April 2015)

Quest Aircraft Company Local Economic Impact 2014 Quest purchased $3.4 million in Idaho based goods and services. Locally, the impact was $3.2 million YTD Quest has purchased $3 million in Idaho based goods and services. Locally, the impact is $2.7 million. The total amount of wages paid is $7 million total economic impact, locally, will be $13 million.

Foreign Certifications Validation Complete Validation In Process The KODIAK 100 is currently certified in 30 countries across the globe, with Japan, EASA, and New Zealand in process

Future

Production Growth Strategy – Phase I Items highlighted in pink will be relocated into the new building expansion.

Production Growth Strategy – Phase I Expansion adds 27,000 sq. ft., to the production facility. Increases area of Inventory, Sub Assembly, Shipping & Receiving, and Receiving Inspection to support current need and allow for future growth. Enables expansion of second assembly lines in Stages 4-7. Current Production

Production Growth Strategy Phase I creates space required to implement a second production line in the shortest possible timeframe. Phase II (250,000 sq. ft.) addresses long term needs for Quest to continue to succeed and grow going forward –Major, minor & sub assembly areas –Completion centers –On site Paint shop –Aircraft Delivery centers –Research and Development areas It will be imperative to get State, County & Local assistance to ensure our growth.

Production Growth Strategy – Phase II Quest has 1433 ft of runway frontage associated with 30.7 Acres of land. Phase II plans will take advantage of Quest’s available footprint

Planned Growth Areas  Assemblers  Quality Inspectors  Tooling Makers  Business Analyst  Finance  Technical Writers  Customer Support Training Needs PTECHNICScholarships  Paint Technology  Electrical Assembly  Quality Control  Powerplant Maintenance  Airframe Assembly

AFFORDABLE HOUSING We have employees coming from NewportNewport Priest RiverPriest River HaydenHayden Coeur d’AleneCoeur d’Alene Post FallsPost Falls Liberty LakeLiberty Lake Bonners FerryBonners FerryTRANSPORTATION No-cost shuttle from other communities No-cost shuttle from other communities

Idaho Statute GG Sales tax exemption for some aircraft and aircraft parts Set to expire June 30, 2016

Questions