Textron Aviation has officially announced its decision to withdraw from the upcoming National Business Aviation Association’s Business Aviation Convention & Exhibition (NBAA-BACE), scheduled for October 22-24, 2024, in Las Vegas. The move marks Textron as the third major business jet original equipment manufacturer (OEM) to pull out of the event this year, following similar decisions from Gulfstream Aerospace and Dassault Falcon.
In a statement released by the company, Textron Aviation noted that it remains focused on maintaining business operations during this period. The company’s subsidiary, TRU Simulation, will also not be participating in the convention. Textron emphasized its long-standing involvement in industry events and stated that it looks forward to future opportunities to showcase its products. However, no further explanation was given for the withdrawal.
The decision coincides with a significant labor strike involving 5,000 members of the International Association of Machinists (IAM) Local Lodge 774 District 70. The strike, which began earlier this week, arose despite recommendations from the local bargaining committee to accept the company’s offer. Textron Aviation has acknowledged the potential impact but assured customers that preparations were made to ensure continued operations. Industry analysts estimate that the strike could delay the delivery of up to 15 jets and cause a revenue shortfall of approximately $300 million.
NBAA responded to Textron’s announcement with a statement of appreciation for their long-term partnership, expressing respect for the company’s decision and anticipation for future collaborations. This marks another major OEM pulling out of NBAA-BACE, with Gulfstream Aerospace previously announcing a shift towards smaller, regional events, and Dassault Falcon opting for a biennial participation strategy.
Aviation industry experts have highlighted several factors behind the recent trend of OEM withdrawals, including extended aircraft backlogs, which currently range from 18 to 24 months, and the high costs associated with large-scale industry events. Rolland Vincent, president of Rolland Vincent Associates, observed that companies may be focusing on smaller, more personalized customer engagements rather than large exhibitions.
Aviation analyst Brian Foley also commented on the broader implications for NBAA. He pointed out that the association’s revenue from events has been declining, dropping from 63% of total revenues in 2019 to 56% in 2023. Foley stressed that NBAA’s advocacy efforts are critical for the industry, especially as emerging challenges such as aircraft audits and tax increases loom. He emphasized the need for continued industry support for NBAA, particularly at a time when major OEMs are pulling out of the flagship event.
For NBAA, the cyclical nature of OEM participation is not new. Over the years, manufacturers have often altered their presence at major events, ranging from minimal representation to full-scale exhibition displays. However, the trend of reduced participation raises questions about the future of large industry gatherings like NBAA-BACE.
