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Jay Honeck

Jay Honeck

Touchdown! Greaser!
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Jun 6, 2008
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Ingleside, TX
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Jay Honeck
Just got a postcard in the mail from Lycoming today.

A factory new engine for Atlas is now a cool $46,348.00. :hairraise:

Plus installation, of course. Truly breath-taking.

I paid $19K for a field overhaul to new specs in 2002, and I thought *that* was a ton of moola. It's been a flawless engine.
 
Jay Honeck said:
Just got a postcard in the mail from Lycoming today.

A factory new engine for Atlas is now a cool $46,348.00. :hairraise:

Plus installation, of course. Truly breath-taking.

I paid $19K for a field overhaul to new specs in 2002, and I thought *that* was a ton of moola. It's been a flawless engine.
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Let's monetize the debt, that'll make it better.
 
Jay Honeck said:
Just got a postcard in the mail from Lycoming today.

A factory new engine for Atlas is now a cool $46,348.00. :hairraise:

Plus installation, of course. Truly breath-taking.

I paid $19K for a field overhaul to new specs in 2002, and I thought *that* was a ton of moola. It's been a flawless engine.
Click to expand...

Just be glad you don't have a PA32RT.....you don't want to know what the new price of a TIO 540 is.
 
This is a fine example of GA economics; price the item beyond reason and sell very few of them which gives reason to rise the price even more to cover overhead. Forty six thousand plus install for a new engine to be put in a sixty thousand dollar airplane. Easy to see why there are so many GA aircraft for sale past TBO.
 
Tom-D said:
Let's monetize the debt, that'll make it better.
Click to expand...

Let's go full austerity like the Irish did and that'll fix everything!

Wow, you mean simple jingoistic solutions don't work as advertised? I'm shocked at the suggestion.
 
Both countries need to get spending in check. How's that for jingo solutions?
 
dakota-cowboy said:
This is a fine example of GA economics; price the item beyond reason and sell very few of them which gives reason to rise the price even more to cover overhead. Forty six thousand plus install for a new engine to be put in a sixty thousand dollar airplane. Easy to see why there are so many GA aircraft for sale past TBO.
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Product Liability insurance plays a huge part of the cost. It could be safely assumed that at least 30% of the engine price goes to pay that premium.
 
Rotor&Wing said:
Product Liability insurance plays a huge part of the cost. It could be safely assumed that at least 30% of the engine price goes to pay that premium.
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That may be the case, but the economies of scale in aviation are horrible, particularly with so few new aircraft being manufactured. How many new 0-540's did Lycoming build last year? A few hundred, maybe? That's a botique business with botique pricing.
 
kyleb said:
That may be the case, but the economies of scale in aviation are horrible, particularly with so few new aircraft being manufactured. How many new 0-540's did Lycoming build last year? A few hundred, maybe? That's a botique business with botique pricing.
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As with boating, exotic cars, racing, etc. It's always been this way.
 
It is not in the news, few are talking about it, but we are in a very serious inflation caused mainly by the overabundance of the dollar. Obama and crew have been printing billions of them for months now, and are continuing to do so. Our dollar buys a whole lot less than it did just a year ago.

My costs on supplies, especially paper products, have more than doubled in the last year. Even cat food is going through the roof.

Why should Lycoming be immune from inflation? Their costs, like everyone else's are climbing daily. If you think 46K is a lot for an airplane motor, wait until next year. Believe me, you ain't seen nothing yet.

John
 
John Baker said:
It is not in the news, few are talking about it, but we are in a very serious inflation caused mainly by the overabundance of the dollar. Our Government have been printing billions of them for months now, and are continuing to do so. Our dollar buys a whole lot less than it did just a year ago.

My costs on supplies, especially paper products, have more than doubled in the last year. Even cat food is going through the roof.

Why should Lycoming be immune from inflation? Their costs, like everyone else's are climbing daily. If you think 46K is a lot for an airplane motor, wait until next year. Believe me, you ain't seen nothing yet.

John
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FTFY. It's been going on from before 2008 by both parties.
 
Cap'n Jack said:
FTFY. It's been going on from before 2008 by both parties.
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The government numbers are 10%, but in like all cases with government numbers ya gotta CYA or get a boot stuck in it.
 
Cost of cotton products (linens and towels, for our motel) has gone up 90% in the last 12 months.

I've been told there are other factors involved with cotton -- like ethanol-producing corn crowding out farmland usage -- but inflation is a big problem.

After subsiding for a bit, gas is creeping back up here, too.

They call inflation the "cruelest tax of all" -- and it surely is.
 
Jay Honeck said:
Just got a postcard in the mail from Lycoming today.

A factory new engine for Atlas is now a cool $46,348.00. :hairraise:

Plus installation, of course. Truly breath-taking.

I paid $19K for a field overhaul to new specs in 2002, and I thought *that* was a ton of moola. It's been a flawless engine.
Click to expand...

Is that price including the return of your current core?

I wouldn't bother with a new engine, because they're too damn expensive. According to AOPA, the overhaul cost for your engine is $29,000. AOPA's number turned out to be EXACTLY what we paid to Poplar Grove Airmotive two years ago for the overhaul in the 182 ($26K), though the R&R, JPI, new prop, etc. swelled the final bill to $46K from our FBO.

And I'll say once again that Poplar Grove does a GREAT job. While you don't see their name touted the way you see Penn Yan or Zephyr or a couple others in used-airplane ads, they had done the previous overhaul on our engine and we made it about 950 hours past TBO on the previous overhaul, and when we got the new engine back burned a single quart of oil in the first 50 hours. Still runnin' like a champ, and not burning oil. Truly excellent work.
 
Jay Honeck said:
They call inflation the "cruelest tax of all" -- and it surely is.
Click to expand...

Inflation is how the government and the banking system keeps you poor.

Think about this, with out inflation how how much would the stock market have gone up in the past 5 years?
 
Tom-D said:
Inflation is how the government and the banking system keeps you poor.

Think about this, with out inflation how how much would the stock market have gone up in the past 5 years?
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It helps if you play their game and own stocks. ;)

But you're correct. Inflation makes you poorer if wages don't keep up.

Bottom line is, if your boss walks in offering a 3% raise (or no raise) and inflation is 5%, you're working for less money (purchasing power) this year than you did last year.

And yes, I've pointed this out to bosses prior to review time. ;)

It helps them to know you're not stupid and if you're expecting that you're getting rave reviews for your work that "saved the company hundreds of thousands of dollars" that they'd better pick someone else to screw over with their limited funds for raises that year.

Alternatively it can get you labeled "pain in the ass" if your boss wanted to give his buddy the money you earned. ;) ;) ;)
 
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