India's Jet Airways, the nation's biggest independent carrier, has firmed up orders for 10 Boeing 777-300ERs announced in a preliminary agreement at the Paris air show in June. The deal, worth $2.53 billion at list prices, is in addition to a $680-million order it placed in August for 10 777-800s, also announced at Paris.
Helicopter makers Bell Helicopter Textron and Boeing are separately proposing unmanned variants of existing platforms in an attempt to edge out Northrop Grumman's Fire Scout.
As I was sitting in the airport, on a 3-hr. "flow control" delay into San Francisco because the IFR conditions precluded dual approaches, thus missing my connection to Hawaii and our family vacation, I read about NASA's bold new plan to spend $104 billion of our tax dollars to reach the Moon.
Some things never change. Army Secretary Francis Harvey was surprised to learn from reporters at the annual Assn. of the U.S. Army conference that Gen. T. Michael Moseley, the Air Force chief of staff, sees a need for his service to refine a requirement for a light cargo aircraft. "I thought we were together," Harvey says. The Army and Air Force had an agreement that the Army would buy and operate the first 33 Future Cargo Aircraft to replace aging Sherpas for shuttling equipment to forward troops.
Gary S. Toyama has been appointed vice president-Southern California operations for Boeing. He was deputy to the vice president for Boeing's Integrated Defense Systems. Toyama succeeds Bill Collopy, who is retiring.
By a nearly 86% margin, members of the International Assn. of Machinists and Aerospace Workers approved a three-year contract with Boeing Commercial Airplanes Co. on Sept. 29 after a month on the picket lines (AW&ST Oct. 3, p. 42). Full production is not expected to get underway until Oct. 12.
Predator UAV operators at Creech AFB, Nev., have successfully tested the ability for a single pilot to operate two and then four unmanned aircraft from a "cockpit" or ground control station. Operationally, the pilot would engage a target with one aircraft while the other three flew nearby on a standby status. Sensor operators assigned to each Predator are able to continuously collect data from all four aircraft. Demand for UAVs has grown faster than pilots can be selected and trained.
The airline trend to outsourcing of aircraft maintenance has increased to more than half of the annual value of the work and is expected to continue in a strong growth mode. Driving this trend are cost pressures and the rise of effective alternatives, says Christopher Doan, CEO of TeamSAI, a Lakewood, Colo.-based consultancy. His company forecasts that by 2010 outsourced maintenance--away from unionized in-house shops to third-party providers--will increase to 65% of the total value spent and eventually will take 80% of the market.
The C-141 has flown its last aeromedical evacuation mission from Iraq, ending a 40-year career of flying combat medevac missions starting with the Vietnam War. The Air Force Reserve's 445th Airlift Wing is switching over to C-5s.
As Gravity Probe-B completes its work, a European team has completed a critical test of technology needed to detect another phenomenon Einstein predicted in his general theory of relativity--gravitational waves. The European Space Agency and its contractors have demonstrated a prototype laser that meets the constant frequency and power requirements of the planned ESA/NASA Laser Interferometer Space Antenna (LISA) mission.
Ryanair has been operating the 737-800, one of Boeing's current best sellers, for so long that it's starting to replace them. It ordered nine new aircraft valued at $500 million for delivery beginning in late 2007. Five 737-800s it bought in 1999 are to be replaced.
Asian carriers are finding that hedging isn't a panacea as they fight the remorseless rise in fuel prices. Their profits under siege, they are exploring downsizing and eliminating profitless routes to cut costs. In 2004, jet fuel accounted for 20% of operating costs for the 18-member Assn. of Asia Pacific Airlines (AAPA). It's up to more than 30% this year with a collective bill that rose from $12 billion to $20 billion. "Everyone is suffering from high oil prices, even the best-managed carriers," says AAPA Director General Andrew Herdman.
B. Parker Miller, 3rd, has been named Washington-based senior vice president-government relations for the Curtiss-Wright Corp., Roseland, N.J. He held a similar position at the Northrop Grumman Corp. Harry Jakubowitz has been named treasurer. He remains director of taxes.
The sign declaring "767-300ER Cabin Improvement" hangs over hundreds of yellow task sheets pasted to a conference room wall. A dozen employees discuss details of a comprehensive redesign and modification of 767 interiors, a project that will start next year.
Swissport has decided to abandon its role in the S. Stuttgart Ground Services joint venture, selling its 49% stake in Germany's Airport Handling Services. Swissport says it pulled out of the venture, which was established in 2001, to focus on other activities in which it holds a majority stake. The price of the transaction was not disclosed.
USAF released its request for proposals for the Combat Search and Rescue-X program last week. The service is expected to buy 141 replacements for its aging Pave Hawk helicopter fleet. Competitors are expected to include versions of the Boeing Chinook, Bell-Boeing V-22, Sikorsky S-92 and Lockheed Martin-AgustaWestland EH101.
Furious the World Trade Organization has sided with the European Union against the U.S. over export tax credits, congressional leaders say they don't expect to change the offending law soon. The EU challenged transitional provisions in the American Jobs Creation Act of 2004 that allowed U.S. companies to exclude their foreign-source income from taxation--saving Boeing, for example, a total of 750 million euros ($892 million). Until Washington comes into compliance with global trade rules, the EU again is at liberty to impose penalty duties on U.S. exports.
Eurocontrol estimates air traffic growth in Europe through 2025 will boost long-term gross domestic production by 200 billion euros ($238 billion). During the previous decade, the study found air transport had a positive 4% impact on growth. Eurocontrol is using the figures to bolster the case for continued government spending on air traffic management technology.
For the volatile aviation sector in Australia, costs are escalating at airports and in regulatory compliance, in addition to the burden of high-priced fuel. The Australians are responding with strategies not commonly seen elsewhere in the Asia-Pacific region. Australia's market is an exception because its airlines compete as much with the automobile as they do with one another.
Alexey Komarov (Moscow), Michael A. Taverna (Paris)
Long-delayed plans to refocus Russian commercial aircraft ambitions appear to be coming to a head, following initial cabinet-level approval of a new 10-year blueprint for aerospace late last month. Drafted by the industry and energy ministry, the blueprint calls for the government to invest about $12 billion in research and development for aerospace projects over the next decade, and to help attract another $8 billion from private sources. The plan is closely linked to initiatives to consolidate and streamline the Russian aerospace and defense sector.
Gerard J. Arpey introduced the four-part Turnaround Plan in 2003, not long after he was named president and chief executive officer of American Airlines. He took the reins of AMR Corp. from Donald J. Carty, who had resigned under pressure from unions angry that he hadn't disclosed details of an executive compensation plan during the debate on employee concessions. Labor-management relations have healed at American and a new spirit and work culture are evident. American supports defined pension plans and a comprehensive in-house maintenance operation.
Globalstar has contracted with Starsem/Arianespace and Eurockot to launch up to 16 replacement satellites for its mobile constellation. The Starsem award is for one launch plus one option. The first Starsem mission and initial Eurockot launches are set for 2007. A Eurockot Rockot booster was to orbit ESA's Cryosat sea ice measurement spacecraft on Oct. 8.
How can airlines stay in-the-black while keeping customers steadfast, loyal and true? Trends show the answer lies in offering services that provide efficiencies for both provider and user. Technology growth appears to be the driver in building a mutually satisfying air travel experience, from departure to arrival. The trend in online buying allows passengers the freedom to comparison shop and book a flight through the Internet. For the airline, it means reduced or non-existent distribution costs.
Iberia has approved a new strategic plan running from 2006-08, in which the airline is trying to increase competition for low-cost carriers. Iberia will adjust its route structure, including boosting long-haul business with a goal to increase its business-class revenue in that market. The carrier wants to increase direct ticket sales to 37% from 18.5% and pursue more third-party maintenance business. Across-the-board personnel reductions are being planned, with a three-year wage freeze. Another thrust will be to reduce aircraft turnaround time.
