Aviation Week & Space Technology

Frank Morring, Jr.
Conventional wisdom typically holds that harvesting “free” energy from the Sun with giant collectors in space does not make financial sense, at least until Earth's finite supplies of oil, coal and natural gas become so scarce that there's no other choice. The conventionally wise usually suggest that it will make more economic sense to rely on wind power and ground-based solar cells for “green” renewable energy.

James R. Asker
Look for the rhetoric over deficit reduction to remain red hot. According to Defense Secretary Leon Panetta's most recent salvo, $600 billion in additional across-the-board cuts to defense spending over 10 years would mean no more Joint Strike Fighter, no new bomber, no Littoral Combat Ships and no Ground Combat Vehicle program. A congressional “Super Committee” faces a deadline this week to find at least $1.2 trillion in deficit reduction, or the $600 billion whack job could be set off. Panetta raised the specter that would lead to kills or delays for major programs.

James R. Asker
Seventeen senators led by Susan Collins (R-Maine) and Jeanne Shaheen (D-N.H.) are asking President Barack Obama to make recovery and destruction of Libya's stockpile of man-portable air defense systems the “utmost” priority. Teams of contractors were sent to Libya to find the Manpads, and last month Army Gen.

James R. Asker
NASA again ranks fifth in the nonpartisan Partnership for Public Service's annual tally of best places to work in the government, based on a survey of more than 150,000 executive-branch employees. The ranking could not have been timed better for NASA, as the agency has opened recruitment for the 2013 class of astronauts who will fly to the International Space Station and, possibly, Mars. NASA will accept applications through Jan. 27, 2012, and expects to begin training in the summer of 2013.

James R. Asker
Fresh from an Oval Office ceremony where President Barack Obama signed an executive order setting “bold goals for agencies to reduce spending on travel,” Deputy NASA Administrator Lori Garver (back row, center, in photo) heads to Antarctica. Obama's order seeks a 20% reduction by 2013 in the cost of travel, printing, devices like smartphones and laptops, and “swag--the unnecessary plaques, clothing and other promotional items that agencies purchase.” Garver's task in Antarctica, says NASA, will be “to evaluate activities of the U.S.

By Jens Flottau, Rupa Haria
When manufacturers set out to define a new aircraft, they always say their product decisions are driven by long discussions with airlines. But do the airframers really listen? As Boeing, Embraer and ATR work on defining new aircraft to enter service toward the end of the decade, Airbus is experiencing how dangerously wrong things can go when key customers differ with product decisions.

Robert Wall (Dubai)
As Embraer embarks on talks with customers about defining its second generation of E-Jets, the aircraft maker is mulling revisions to its product lineup. One is whether it will proceed with the upgrade on the smallest member of the family, the E-170. “Now, the -170 is a question mark,” says Paulo Cesar de Souza e Silva, president of Embraer Commercial Aviation.

By Jens Flottau
Widespread concerns about aircraft-delivery financing are not enough to spur Airbus and Boeing to delay plans to increase output. The huge backlogs that both sport provide one confidence-booster, with Airbus in particular seeing strong growth as it anticipates a record order intake this year.

David Fulghum (St. Louis)
The U.S. has built, flown, pointed and triggered a missile designed specifically to carry a directed-energy weapon. That payload, expected to be operational soon, will be able to disrupt, shut down, spoof or damage electrical systems, but little has been revealed about the project.

Andy Nativi (Genoa)
Italy's emergency government is dealing with a dire financial situation that will force substantial cuts in both the defense procurement budget and investment, and flagship provider Finmeccanica is set to feel the brunt of the fallout. Details of Finmeccanica's first reactions emerged last week when the company announced third-quarter financial results that show it swung to a loss equaling its profit for the same quarter a year before.

Frank Morring, Jr. (Washington), Amy Svitak (Paris)
Space agency chiefs from the U.S., Europe and Russia are setting up talks aimed at finding a way to work toward a Mars sample-return mission in the face of budget uncertainty in the U.S. that threatens to upend the joint effort worked out by NASA and the European Space Agency (ESA).

By Jen DiMascio
WRAPUP 4-Cairo protesters flood into square WRAPUP 4-Cairo protesters flood into square WRAPUP 4-Cairo protesters flood into square

James Ott (Cincinnati)
Airlines, airports and the government have long been at odds over who is responsible when there is trouble in the air transportation system. Judging from the recent $900,000 fine assessed against American Eagle for violating the so-called tarmac rule, regulators now know where to pin the blame, though.

Madhu Unnikrishnan (Washington )
If Russia drops an extra “royalty” imposed on airlines flying across Siberia, it could shave as much as $100 per passenger from round-trip flights between Europe and Asia—and help level the playing field for European airlines vying for passengers with competitors from the Middle East.

Leithen Francis (Singapore )
With the Legacy 650, Embraer introduces an able entry to the long-range ....
Air Transport

By Adrian Schofield
The New Zealand government is planning a wide-ranging overhaul of its aviation policy framework, in an effort to improve access to overseas markets and make its regulatory process more flexible.

By Jens Flottau
With the merger between LAN Airlines and TAM Grupo now in the final stages of approval, Latin American commercial aviation is entering the next stage in its rapid development. The deal has already had a deep impact on competitors in the region and it will shift the balance of power between the global alliances in one of the world's major growth markets.

By Jens Flottau
Air traffic is growing fast in most of Latin America, but vastly differing economic policies, ranging from strict state control to open markets, are still a major hurdle for air transport in parts of the region.

Darren Shannon (Washington )
It has been an eventful year for Brazil's two largest carriers, marked with consolidation efforts both at home and abroad and continued expansion, albeit at a more conservative rate than planned. Despite the best efforts of Brazil's many startups (see p. 55) the domestic market is dominated by Grupo TAM and GOL Linhas Aereas Inteligentes, which combined provide close to 80% of the country's air services. And while organic growth is powering some of this dominance, the two airlines are also trying to acquire new capacity to maintain their positions.

By Jens Flottau
In many cases, Latin American airlines may be fierce competitors, but most of them have one thing in common—bad infrastructure. And there is no short-term relief in sight. Airports are quickly becoming a nagging bottleneck as the region's airlines continue their fast-paced growth. The capacity shortfall is seen in almost all major markets, even where facilities are partially privatized. Even though renovation projects are under way in some locations, their completion may be too late to satisfy airline customers.

Lee Ann Tegtmeier (Washington)
Fuel costs could be driving more airline aftermarket work to vendors closer to operators' home bases. Although 82% of all airline maintenance, repair and overhaul (MRO) is outsourced, according to TeamSAI, only 21% leaves an operator's region. While “geography is not a prime consideration in the decision process” for selecting maintenance vendors, it “clearly can impact costs both positively and negatively,” says Delta Air Lines spokesperson Ashley Black.

By Adrian Schofield
The global airline industry appears to have passed its latest financial peak, and the billion-dollar question now is how far—and how quickly—it will fall before bouncing back. Airlines will be hoping that the dip is a brief one, but the cyclical history of this industry shows that a sustained drop is just as likely.

By Adrian Schofield
While mainline airlines are on the decline, their low-cost-carrier (LCC) rivals appear to be faring better as the industry grapples with the prospect of another downturn. This is one of the themes revealed by the latest mid-term update to Aviation Week's Top-Performing Airlines (TPA) study. The charts and analysis below examine the slowdown and reversal of the mainline carrier recovery since 2008. And the three other charts show that while low-cost carriers are under pressure, there is still growth in key regions.

By Adrian Schofield
While the economic outlook may have darkened since the last Top-Performing Airlines (TPA) study, the best airlines are still on top. This mid-term update shows the same three carriers ranked first in their sectors by healthy margins, proving that their business models still give them an edge during global uncertainty. Note that these are not full TPA lists—merely a snapshot of the top 10 in each category.

The A318 is a twin-engine, 107-132-passenger narrowbody jetliner. Initial flight occurred in January 2002. In May 2003, the A318 (with CFM56 engines) was certificated by the European Joint Aviation Authorities (JAA); FAA certification followed a month later. Deliveries began in July 2003. Through 2010, Airbus produced 74 A318s. The A318 is powered by two 21,600-23,800-lb.-thrust turbofan engines, either the Pratt & Whitney PW6000 or the CFM International CFM56-5B. Primary competitors are the Embraer 190 and 195 and Bombardier CSeries.