SAS Scandinavian appears set to take control of its Norwegian rival Braathens. SAS is offering NOK27 ($3.00) per share to Braathens shareholders and has agreed to buy KLM's 30% stake in the airline for around 34 million euros ($30.1 million). The deal has been under discussion for months and was renegotiated following the recent industry downturn. SAS has lowered its offer from NOK35 per share, while Braathens renegotiated lease terms with its lessors and plans to return six Boeing 737s. The carrier had a net loss of NOK757 million ($84 million) in the third quarter 2001.
An aggressive test program for the 115,000-lb.-thrust derivative GE90-115B engine, for which General Electric Aircraft Engines (GEAE) is claiming a gas turbine power record, will aggregate a total of 15,000 endurance cycles, nearly the equal of test cycles for the baseline engine.
Asian airlines are facing the prospect of increasing commercial pressures, with the economic effects of Sept. 11 pushing them into their worst crisis since the Asian economic downturn, and industries in Europe and North America on the verge of even more consolidation.
Although it restarted operations smoothly, Delta Air Transport, bankrupt Sabena Belgian World Airlines' regional affiliate, is still far from winning the confidence of travelers. Average load factor in late November remained a weak 30% on DAT's 150 daily flights. To boost demand, the carrier has begun offering a flat 150-euro ($133) fare for roundtrips between Brussels and 28 European destinations. DAT is encountering fierce competition from major carriers such as Air France and independent short-haul carriers such as Antwerp-based VLM Airlines.
BarcoView has signed a work order to provide Skyguide (formerly Swisscontrol) with 70 ISIS flat panel liquid crystal displays for air traffic control system upgrades at Zurich and Geneva.
Companies often have powerful software, such as computational fluid dynamics or structural analysis codes, that are so complex that only a few specialists have the time to learn how to use them. To make these tools available to a broader audience, AEA Technology has devised the Enterprise Accessible Software Applications (EASA) program (www.easa.aeat.com). It creates graphical user interfaces (GUIs) that are accessible via network browsers.
Bob Spagnuolo's 1956 blue and white Piper aircraft, lightweight and slow, would probably fail miserably as a weapon of mass destruction. The fabric-covered steel-framed tail dragger, topped off with 36 gal. of 100-octane low-lead fuel, two guys up front and as much baggage as will fit in the back, weighs in at less than 1,800 lb., takes off at 60 mph. and cruises at only twice that. The tiny craft works well as a gift delivery device, however.
Switzerland's civil aviation authorities are trying to determine why a Crossair Avro RJ went down near Zurich-Kloten during a nighttime VOR-DME approach. Twenty-four of 33 passengers and crewmembers were killed. Late last week, investigators were focusing on the conjunction of bad weather conditions, poor horizontal visibility and unavailability of an instrument landing system (ILS) at Kloten's 8,200-ft. Runway 28. All these factors may have contributed to the probable controlled-flight into terrain (CFIT) accident.
Airbus is scheduled to hire engineers and technicians in the U.S. to staff new engineering facilities set to be established soon in Wichita, Kan. The initiative results from the company's growing engineering workload tied to the A380 mega-transport's development, Airbus officials noted.
The U.S. House of Representatives belatedly cleared a $317.5-billion defense spending bill for the fiscal year that began Oct. 1, including $11.7 billion for counterterrorism and homeland security programs, which are consolidated under a new appropriations title. The House bill, subject to negotiations with the Senate, would provide $7.9 billion for development and procurement of ballistic missile defenses (BMD).
The White House is fighting several budget actions in the House version of the Defense appropriations bill. For instance, the Administration is going to bat for Global Hawk in opposing a $50-million cut. Moreover, the White House wants Congress to restore the $441 million the House wants to take from missile defense. The reduction would delay several programs and effectively kill the Space-Based Laser and Space-Based Infrared System-Low constellation.
There is no disagreement that Homeland Security Director Tom Ridge has a daunting job. But is it made tougher by the Adminis- tration's insistence that he needs no legislative authority from Congress? Two veteran AW&ST editors discuss the pros and cons. Tom Ridge should have legislative authority to shift money--and lots of it--among the nearly 50 agencies he leads. That is the only way he can knock heads together and make people do what he says.
The committee looking for a chief operating officer (COO) for the FAA's new performance-based Air Traffic Organization may be closing in on its quarry. The panel interviewed six candidates a couple of weeks ago and found all candidates qualified. However, the recruiters have concerns about how well some applicants understand what they would be getting themselves into--a high-visibility job that is complex and still ill-defined. Money may not be a problem, as there are candidates willing to take pay cuts to serve their country.
US Airways President/CEO Rakesh Gangwal resigned Nov. 27 and will be replaced by the man he succeeded, Chairman Stephen Wolf. After 20 years in the airline industry and six years at US Airways, Gangwal will join an investment firm.
Raytheon Co. will develop and manage first-year production of the U.S. Army's Airborne Command and Control System for UH-60HL Black Hawk helicopters, under a $110-million contract.
Jumper says the conflict in Afghanistan and homeland defense have stressed the Air Expeditionary Force system of 10 rotating wings, but it has not yet broken it. ``We've had to reach forward to portions of the force structure that weren't supposed to deploy for another rotation or even two rotations in certain high-demand, low-density specialties,'' he said.
The Hungarian and Swedish governments have signed a memorandum of understanding permitting Hungary to lease 14 Saab/BAE Systems JAS Gripen fighters to meet a requirement for NATO-compatible combat aircraft. An offset accord linked to the 10-year lease agreement is to be concluded in December. The aircraft, to be delivered from 2004-05, will be the first to be delivered to a NATO nation. Sweden and South Africa have also ordered the Gripen.
The British government issued awards to two contractor teams for more-detailed, stage-two assessments of the U.K.'s Future Carrier Program. The $36-million contracts to consortia led by BAE Systems and Thales will last one year and lead to a downselect of a preferred supplier. The BAE System team includes Northrop Grumman and Rolls-Royce, while Lockheed Martin and Raytheon are partnered with Thales.
BAE Systems unceremoniously decided to terminate the Avro RJX product range and exit the regional jet market. By a quirk of fate, the British group's decision was announced 48 hr. after a Crossair Avro RJ100 crashed near Zurich (see p. 38), although this is not thought to be a cause-and-effect issue.
However, Jumper, an avowed advocate of advanced technology, expressed a more conservative tack with regard to Space Based Radar. Advocates of SBR envision a constellation of small satellites that can keep constant track of ground, and possibly air, targets. Jumper worries about a ``rush to failure,'' and points out that the immediate goal is to identify a combination of manned, unmanned and space systems that can provide the best ground moving target indicator (GMTI) radar picture to commanders.
Alitalia maintains it needs another infusion of capital to continue operations. The flag carrier's recently approved business plan involves recapitalization of 1.78 billion euros ($1.58 billion) and foresees profitability by 2003. However, competitors are concerned about compliance with the European Commission's (EC) strict rules on state aid. Alitalia expects to lose $300 million this year.
SGI Israel is installing the largest graphics computer in that country for BVR Systems, an Elisra Group company specializing in defense training and simulation. The SGI Onyx 3800 visualization system will be used in a full-mission flight simulator for a two-seat F-16 fighter, and will be programmed with high-fidelity models of actual terrain, which are so large that they cross memory partitions. A likely use would be to rehearse ground attack missions.
