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_Lee Ann Tegtmeier

_Lee Ann Tegtmeier
Articles
Closed Engine Support Networks Spur Debate 
As engine OEMs capture a larger share of the engine aftermarket – especially for new powerplant service contracts – a subtle shift in their power-by-the-hour marketing tactics is taking place – the differentiation between open versus closed MRO networks.
Cabin In A Glass Cube 

HAMBURG—Without the 3D glasses, it looks like half a cube sliced vertically, painted purple, yellow and green on the inside. Its walls are a bit concave. With 3D glasses, it transforms to the inside of a large jet aircraft—complete with walls, chairs, tables and lavatories.

10-Year Global MRO Forecast
MROs like HAECO saw a bigger demand for airframe and line maintenance in the first half of 2011 but a slight decrease in the second half as passenger traffic growth slowed. So what does that mean for this year?
Harmonizing Lease Transfers 

Eliminating duplicated maintenance required by different regulatory agencies could take out billions of dollars of maintenance and engineering work on leased aircraft when they transfer across borders. Given that 40% of the world's commercial aircraft fleet is leased, and that figure continues to climb, these costs if not corrected will grow with the expanding fleet.

Budding Budapest 

Narrowbody airframe maintenance competition is fierce, but Lufthansa Technik Budapest, which celebrated its 10th anniversary in June, capitalizes on its central European location and being part of a company known for continually driving performance. Sören Stark, LHT senior VP aircraft base maintenance, credits LHT Budapest for “playing a key part of building up aircraft base maintenance in Europe” for the company.

American Ingenuity

American Airlines is becoming the first carrier to install automatic identification technology (AIT) on civilian aircraft by attaching contact memory buttons on replaceable structural components, such as doors, stabilizers, rudders and elevators. Doing this will allows the carrier to more efficiently monitor the components' individual history because the high memory capacity buttons, about the size of a dime, automate data collection, which can save labor costs and improve data accuracy.

Central America: An Emerging Market

San Jose, Costa Rica; San Salvador, and Panama City—The Central America aviation industry is projected to be one of the fastest growing in the world, and three major MRO companies here hope to expand with it. The two more established MROs compete and cooperate, and their hangars are full based on the niches they have developed. The third, and much younger, player is still developing, as part of one of the biggest global MROs.

10-year Global MRO Forecast 

One year ago, pundits predicted that 2010 would be a tipping point for the airline aftermarket. The optimistic outlook ended up being true, and this year the same people predict growth.

Vested Interest

AeroTurbine recently forged a few major asset management agreements around the globe, made possible by four years of investing in people, processes and infrastructure. The culmination of quietly building the company and its aircraft and engine component spares capabilities generated a 25-30% compound annual growth rate during this time, and it also enabled AeroTurbine to craft a multi-million-dollar deal with American Airlines.

MRO At A Crossroads 

The commercial aviation aftermarket is approaching a crossroads, a turning point. The market that rolled downhill through the recession has reached flat ground, so now it’s time to pass through the intersection and start preparing for a slow, steady climb up. It’s not going to be an easy climb, however, so start building your endurance.

Middle East Sustainment 

There’s not much cooperation in military aircraft procurement or sustainment activities in the Middle East, but that could change if a joint venture set to begin operating very soon in the United Arab Emirates achieves its mission of becoming a profitable regional hub for military aircraft MRO.

G650 Maintenance Planning 

—Gulfstream Aerospace plans to first fly its long-range G650 business jet before yearend, but even though this aircraft just rolled out in September, maintenance preparation started before engineers first took pen to paper.

Shift Coming In Sustainment 

—Expect to see high-level aftermarket responsibility shift to the U.S. government from industry as the government takes over some resource allocation. This move comes as the Defense Department faces major equipment maintenance because of the wars in Iraq and Afghanistan, but has less planned funding to provide for it. It also comes at a time when manufacturers rely on aftermarket revenue streams, which have been hit by the recession.

Mexicana Rolls Out Oracle Package 

Implementing a big information technology project is akin to having a baby—while you eagerly await its arrival, not everything goes as perfectly as you planned, according to Ruben Arguero, VP of the MRO business unit at Mexicana. In both cases, there’s a lot to plan, before and after the birth.

F-16 Radar Retrofit Program In Development 

BALTIMORE—“Customers are looking for revolutionary enhancements” to their F-16 radars, at affordable upfront and life-cycle costs, which is part of the reason Northrop Grumman has created the Scalable Agile Beam Radar (SABR), said Arlene Camp, director of advanced F-16 systems for Northrop Grumman.

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