Aviation Week & Space Technology

Robert Wall (Washington )
After much pressure from the White House to accelerate the competition for a new presidential helicopter, the U.S. Navy has requested more time. The move effectively delays a contract award for system development and demonstration until late this year, after the presidential election. The program had become "politically too hot to handle" in an election year, noted one involved industry representative.

Robert Wall (Washington )
Congressional scrutiny of F/A-22 and F-35 Joint Strike Fighter problems is growing, adding urgency to Pentagon efforts to overcome hurdles on the two huge fighter projects. Senior Air Force and Navy representatives tell lawmakers they are tackling the problems and the military and contractors have identified solutions. However, several Senators appear skeptical.

Donald P. Gleiter (Warminster, Pa.)
Congratulations to Paul Bevilaqua of the Lockheed Martin Aeronautics Co. for winning the Design News Engineer of the Year Award for perfecting the shaft-driven lift fan for use in the F-35 Joint Strike Fighter (AW&ST Mar. 15, p. 8). Thirty years ago, Boeing proposed a similar shaft-driven lift fan for use in a subsonic V/STOL aircraft for the Navy. Bevilaqua picked up Boeing's discarded good idea and made it into a winning concept for the F-35.

Staff
Former American Airlines Chair- man/CEO Donald Carty would become chairman and a principal investor in bankrupt Hawaiian Airlines if a proposed reorganization plan is approved. In addition, Carty would be "the sole managing partner" of the partnership that would invest in the airline, but would not be involved directly in day-to-day management, according to Hawaiian Holdings.

Edited by Frances Fiorino
Alitalia's daily nonstop service between Washington Dulles International Airport and Milan Malpensa is set to start Mar. 28--the only nonstop transatlantic service to Italy from the U.S. capital, according to the airline. Alitalia will operate Boeing 767s on the route.

Edited by Frances Fiorino
Encouraged by signs of indusry recovery, Virgin Atlantic Airways Richard Branson launched an extensive growth plan for the airline that includes adding new routes, services, aircraft and staff. The business travel sector in particular shows signs of renewal, he said, with the airline seeing a 10% increase in premium cabin services year over year. Within a year, Virgin plans to add new routes, including those from London to Sydney, Havana and Nassau.

William Dennis (Kuala Lumpur )
The South Korean government will invest 51 billion won ($44 million) this year to help local industry achieve the country's long-sought goal of ranking among the world's top aerospace manufacturing nations. By South Korea's estimate, it currently ranks 15th. Its goal is to be No. 10 by 2010 and No. 8 by 2015.

Edited by Frank Morring, Jr.
George Tenet, the director of central intelligence, trying to refute a claim by former White House counterterrorism adviser Richard Clarke, says the CIA didn't object to arming the Predator UAV. But the story isn't that simple, according to testimony before the National Commission on Terrorist Attacks. "At this level we wanted to go ahead with arming the Predator," Tenet told the panel.

Staff
6-7 Correspondence 8 Who's Where 10-11 Market Focus 13 Industry Outlook 15 Airline Outlook 17 In Orbit 18-19 World News Roundup 21 Washington Outlook 69-71 Classified 72 Contact Us 73 Aerospace Calendar

Name Withheld By Request
Several points were missed in your comments on the Big Six airlines. *The federal government had a big hand in the bankruptcy protection filing of US Airways by keeping one of its most profitable hubs--Washington Reagan National Airport--closed to all traffic for too long after Sept. 11, 2001. *By withholding the Air Transportation Stabilization Board loan to United Airlines largely for political reasons and helping two Texas-based airlines in the process, the government helped drive United into bankruptcy protection while helping competitors.

Staff
Australia has awarded Boeing a $20-million contract to provide Harpoon Block II missile upgrade kits. The retrofitting will be done at Australia's Orchard Hill facility and involve Block I missiles used on surface ships, submarines and aircraft.

Edited by Patricia J. Parmalee
Sabre Airline Solutions and Mxi Technologies reached agreement for Sabre to offer Mxi's Maintenix maintenance, repair and overhaul software to existing customers of Sabre's Maxi-Merlin MRO software. Mxi will be offered as part of Sabre's AirOps Control systems operations software suite. Sabre acquired Maxi-Merlin during the conversion of US Airways' reservations system in 1998 and will continue to support it for customers who choose not to switch to Mxi.

Edited by Frank Morring, Jr.
The Air Transport Assn. isn't giving in to Bush administration claims that its Strategic Petroleum Reserve buildup has only a minor effect on aviation fuel prices. The Energy Dept. puts the impact at less than $1 per barrel of oil, which itself means $425 million per year in industry costs at the current consumption rate. But the ATA cites estimates from outside the government that the add-on is $2-6 per barrel, or $950 million-2.55 billion for the industry.

Edited by Frank Morring, Jr.
Military controllers are scheduled to finish in-orbit checkout of the newest U.S. Air Force/Lockheed Martin GPS IIR Global Positioning Satellite and put it in service by May, replacing an 11-year-old Boeing IIA model that has developed a problem with its navigation data system. The new spacecraft was launched into a 101 X 12,000-naut.-mi. transfer orbit on Mar. 20 from Cape Canaveral on a Boeing Delta II. A few days later the satellite's Thiokol Star 37 solid motor was fired to maneuver the spacecraft into its operational 12,000-mi.

Staff
The Space Activities Commission, an adviser to Japan's cabinet, sides with the leading theory of why the sixth H-IIA mission failed last November, but that apparent vote of confidence is unlikely to lead to a resumption of launches.

Staff
The NBAA's Secure Access plan, if approved by the U.S. Homeland Security Dept., could help general aviation win back air rights lost after the Sept. 11, 2001, terror attacks. Access to Washington Reagan National Airport (DCA) and restricted airspace now traversed only by scheduled airliners could come by Aug. 1, the date that the National Business Aviation Assn. requested the HSD implement its program.

Frank Morring, Jr. (Washington )
Fossilized ripples from a long lost Martian sea--or lake--have planetary scientists more eager than ever to get their hands on actual samples of the red planet, something the agency's top science planner says could happen as early as 2016.

Staff
USAF Gen. (ret.) Larry D. Welch, a former chief of staff, has been named chairman of the Homeland Security Dept.'s Science and Technology Advisory Committee. Among the other members are: Lillian C. Borrone, chair of the Eno Transportation Foundation in Washington and former chair of the American Assn. of Port Authorities; Lawrence Papay, retired vice president-Integrated Solutions Sector of SAIC; Richard T. Roca, director of The Johns Hopkins University Applied Physics Laboratory; and Vincent Vitto, president/CEO of the Charles Stark Draper Laboratory Inc.

Edited by Patricia J. Parmalee
British-based Smiths aerospace engineering company is to acquire U.S. engine component specialist Dynamic Gunver Technologies for $102 million. A binding agreement covering the deal has already been inked. Payment will be in cash, with the proposed purchase still subject to regulatory approval.

Andy Nativi Douglas Barrie (GenoaLondon )
BAE Systems and Finmeccanica have dropped plans to form a communications company as the two try to advance Anglo-Italian aspirations to craft a defense electronics alliance. After nearly a year of negotiations, the two have axed the third pillar of the "Eurosystems" joint venture to focus on a systems integration unit and an avionics business. While the two sides publicly suggest an agreement could be completed by midyear, company insiders admit it could well take until year-end, with merged business units only beginning operations in 2005.

Douglas Barrie (London), Michael A. Taverna (Paris)
Thales is restructuring its air defense and land systems activities amid a flurry of industrial maneuvering that could presage fresh realignment in Europe's missile, armor and naval sectors. Although better known for its expertise in aerospace and airborne defense, the European defense electronics giant has long had a significant presence in other areas. About 25% of its annual sales of 10 billion euros ($12 billion) are generated in the land systems sector, and about 20% in the naval segment.

Staff
U.S. Army Maj. Gen. (ret.) John F. Michitsch has been named executive vice president of the AAI Corp., Hunt Valley, Md. He was vice president-ground, air and unattended systems in the Electronic Systems Sector of the Northrop Grumman Corp.

Staff
Taiwan's China Airlines said its fiscal 2003 second-half profit was NT$1.8 billion ($54 million) on operating revenues of NT$76 billion. Sales were split almost evenly between passengers and cargo. The profits were attributed to "effective cost control" and an "aggressive marketing campaign" with discount fares.

Edited by Frank Morring, Jr.
Supporters of commercial human spaceflight are optimistic this Congress will enact a law that would help nurture the infant industry. Strategists expect Senate action this spring on a House-passed bill (HR 3752) that clarifies which part of the FAA would regulate suborbital flights carrying passengers, how launch permits would be issued and makes clear that passengers are participating in experimental flight. Space entrepreneurs believe the legislation would provide enough regulation to encourage investment, but not enough to choke their companies.

Staff
A proposed merger between Philippine Airlines (PAL) and domestic carrier Air Philippines, both controlled by businessman Lucio Tan, has been called off. Had it gone through, Air Philippines would have operated PAL's domestic routes and initiated a low-fare subsidiary to compete with rival Cebu Pacific.