Cirrus Design has reacted to slumping sales by lowering its production rate to three aircraft per day from four per day. The Duluth, Minnesota, manufacturer also expects to cut back to a three-day week for at least some of the remainder of this year, though Cirrus would re-up the per-day rate to four under that schedule. They will continue to build 12 airplanes per week. Production of Cirrus SR22 and SR20 piston singles is down some 10 percent; not as bad as the average for the rest of the piston fleet-where deliveries are down 16 percent over the first half of the year, according to figures from the General Aviation Manufacturers Association. Last month, Cirrus cut its staff by 100, and announced last week it intends to retard development of its light sport model, initially expected to be certified next year. Development of the Cirrus Vision SJ50 single-engine jet, however, remains a high-priority project, with orders received for more than 400. Company president Alan Klapmeier hopes an economic incentive package passed by Congress will boost sales for the fourth quarter of this year. Buyers can accelerate the depreciation of aircraft bought this year, which affords significant tax benefit.
Cirrus Trims Production to Three-Day Work Week
Key Takeaways:
- Facing a 10% drop in piston single deliveries, Cirrus Design has reduced daily production, cut staff, and paused development of its light sport model.
- Despite these adjustments, the company maintains a weekly production of 12 aircraft and its sales decline is less severe than the overall piston fleet market.
- Cirrus continues to prioritize the development of its Vision SJ50 single-engine jet, which has over 400 orders, and anticipates an economic incentive package will boost fourth-quarter sales.
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