NASA and USAF study effect of volcanic ash on C-17 engines

Researchers at Edwards Air Force Base in California have sprayed Boeing C-17 Globemaster engines with volcanic ash to trial new health monitoring and diagnosis technologies that could improve aircraft safety and fault detection.

The NASA Vehicle Integrated Propulsion Research (VIPR) project, in partnership with the US Air Force Research Laboratory (AFRL) and Federal Aviation Adminitration, started the series of tests earlier this month using a government C-17 aircraft and two Pratt & Whitney F117 high-bypass military turbofan engines. These latest tests build on similar diagnosis and engine health monitoring tests in December 2011 and July 2013.

The team is using four primary sensors to gather data and measure engine changes during the volcanic ash ingestion. These sensors include a vibration sensor on the engine inlet that was originally designed for the space shuttle's main engine; a thin-film fibre optic temperature sensor in the compressor section; a microwave sensor to measure the clearance between the blade tip and the wall of the turbine; and an emissions sensor on the exhaust.

Volcanic ash being sprayed into one of the C-17's F117 engines during the final phase of the Vehicle Integrated Propulsion Research (VIPR) project on 9 July at Edwards Air Force Base.

John Lekki, NASA Glenn Research Center’s VIPR principle investigator, says the sensors allow the programme team to monitor how the ash is affecting the engine in real time and help develop diagnostic systems to aid civil and military aircraft in volcanic ash encounters, and to develop prognosis tools to predict how certain levels of debris will impact performance.

The air force says there are approximately 1,500 active volcanoes around the globe and in the past 15 years more than 80 commercial aircraft have encountered volcanic ash unexpectedly, with seven of those incidents causing a loss of engine power that might have caused a fatal crash.

AFRL's VIPR principal investigator Jack Hoyning says the team is using "Mazama ash" which is mined from an old, dry riverbed in the state of Oregon. He says the trials will examine a light level of ash injection that is not visible, and a visible, medium-density plume.

“This ash is very abrasive, highly angular,” Hoyning says. “This test will definitely help us take the next step in understanding if we can fly close to these plumes.”

The primary objectives are to introduce new sensors that will improve flight safety and reduce maintenance costs through the detection potential faults, and to evaluate the latest engine diagnostics technologies. The major industry partners are Boeing, Pratt & Whitney, General Electric and Rolls-Royce.

 

Sensors were fitted to various points on the F117 engine to collect data during the volcanic ash trial.

 

This volcanic ash was sprayed into C-17 engines during the final phase of the Vehicle Integrated Propulsion Research project 9 July.

 

(Images and engine infographic produced by NASA and the US Air Force)

 

(James Drew - Flightglobal News)

Boeing warns airlines against flying battery shipments

Boeing, one of the world's two largest aircraft makers, warned its passenger airline customers on Friday that flying bulk shipments of lithium-ion batteries can cause fires capable of destroying the planes.

The U.S. Federal Aviation Administration also issued a statement acknowledging that testing it has "conducted on the transport of lithium batteries has indicated that it presents a risk."

The guidance sent to airlines around the globe urged that they not carry the batteries as cargo "until safer methods of packaging and transport are established and implemented," Boeing spokesman Doug Alder told The Associated Press in an email.

The rechargeable batteries are used in cellphones, laptop computers, power tools and many other electronic devices. They are also often shipped as cargo on international airline flights.

FAA tests over the past year show that when the batteries short-circuit they emit hydrogen and other gases that can build up. When the gases ignite, they cause fierce explosions and unleash fires that are very difficult to put out. The halon fire suppression systems in the cargo compartments of airliners have been shown to be ineffective against battery fires. The systems have been able to put out the initial flames from overheated batteries, but are unable to stop the batteries from continuing to overheat and reigniting.

It's common for tens of thousands of batteries to be packed into a single shipping container. The global battery industry has been lobbying heavily against significant restrictions on battery shipments other than minor changes to current regulations. Many electronics manufacturers also prefer to receive batteries quickly by air, rather than more slowly by ship, so that they can avoid having to keep large supplies on hand.

The International Civil Aviation Organization, a United Nations agency, is trying to come up with new standards for packaging that can contain battery fires. A special working group is scheduled to meet on the matter later this month. If the group cannot come up with such packaging, aviation officials have said it's likely that a formal proposal to ban bulk battery shipments from passenger planes will be offered at an ICAO meeting on dangerous cargo in October.

The FAA is precluded by a law Congress passed in 2012 from issuing any regulations related to the transport of lithium batteries unless the international organization acts first.

"Later this month, there will be an opportunity for the international community to consider this announcement along with risk factors," the agency said in a statement. "The FAA has been leading this work at ICAO and will continue to provide technical information and expertise."

The Air Line Pilots Association praised Boeing in a statement released Friday night. The pilots union said, "We hope this warning will encourage others to follow suit and discontinue the bulk shipment of lithium batteries on board passenger aircraft and on cargo aircraft" until adequate safety procedures are developed.

Alder said Boeing's warning to airlines mirrors an industry position paper circulated this spring to ICAO and global aviation authorities that urged a ban on bulk battery shipments on passenger planes, calling the threat of fires "an unacceptable risk."

The paper was authored by the International Coordination Council of Aerospace Industry Associations, whose members include Boeing, Airbus and other aircraft companies. The International Federation of Air Line Pilots Associations, an umbrella group for pilot unions, joined the aircraft makers in issuing the paper.

An FAA test in February resulted in a powerful explosion despite being conducted in a pressurized chamber with an atmosphere of 5 percent halon.

Triggered by smoke, fire suppression systems are supposed to unleash halon until the gas reaches 5 percent of the air in the cargo compartment. Previously, aviation authorities had accepted that this level of halon is enough to put out most fires, including a lithium-ion battery fire.

The February test resulted in an explosion in which pressure in the chamber rose from a normal 15 pounds per square inch to 70 psi, according to an agency slide presentation. Without the presence of halon, the explosion was even more powerful, with pressure rising to about 80 psi. Two safety experts interviewed by the AP described an explosion of that force as "significant."

A growing number of airlines have also said they will no longer accept bulk battery shipments, including Delta, United, Cathay Pacific, Qantas, British Airways and Cargolux. But many other airlines continue to carry the shipments.

(Joan Lowy - Associated Press)

GULFSTREAM OPENS ADDITIONAL MAINTENANCE HANGAR IN BRUNSWICK, GEORGIA

New Facility Expected To Bring 100 Jobs And Doubles Site’s Aircraft Capacity

Gulfstream Aerospace Corp. announced it has officially expanded its service center in Brunswick, Georgia, with the opening of a newly constructed hangar. The hangar has been fully operational since May 29, 2015.

The nearly 110,000-square-foot/9,290 square-meter hangar at Brunswick Golden Isles Airport complements an adjacent Gulfstream maintenance facility and completions center. The new building accommodates all Gulfstream aircraft models and more than doubles the site’s under-roof capacity from a mixture of seven large-cabin aircraft to as many as 16. The expansion, which was announced in January 2014, has resulted in more than 60 new jobs at the site. Approximately 40 more positions are expected to be added this year.

“This is a very exciting day for Brunswick, Glynn County and Gulfstream,” said Mark Burns, president, Gulfstream. “This hangar is a tremendous asset to our operation here, helping us enhance the reliability and availability of our aircraft, continue to maintain a high level of safety and provide a state-of-the-art workplace for our employees. We’re thankful to the Georgia Department of Economic Development, the Glynn County commissioners, the Brunswick and Glynn County Development Authority, and the Glynn County Airport Commission for their essential support.”

Gulfstream announced the hangar opening before an audience comprised of most of the site’s 250 employees along with local dignitaries, including the Glynn County commissioners, Brunswick Mayor Cornell Harvey and Brunswick and Glynn County Development Authority Interim Director Mel Baxter.

Gulfstream Brunswick, located approximately 75 miles south of Savannah and 60 miles north of Jacksonville, Florida, offers a full range of maintenance services, including aircraft-on-ground support, airframe inspections, avionics installations and interior refurbishments. On-site technicians are certified to work on Gulfstream G550, G450, G280, GV, GIV and GIII aircraft. The site is also home to a completions facility for Gulfstream large-cabin aircraft.

Brunswick’s new hangar includes two overhead cranes and a tail dock. It was constructed with several sustainable and green design features, such as recycled content, water-saving lavatories and showers, energy-efficient indoor/outdoor lighting and heating/cooling systems, and preferred parking spaces for low-emission, fuel-efficient vehicles.

Gulfstream Brunswick is certified as a maintenance facility by the U.S. Federal Aviation Administration and European Aviation Safety Agency, and is also authorized by Transport Canada.
In 2014, Brunswick employees serviced more than 130 aircraft.

(Gulfstream Aerospace Corporation)

GULFSTREAM ADDS SIGNIFICANT MAINTENANCE PRESENCE AT TETERBORO AIRPORT

Company Now Provides Maintenance Services For Operators At Business Aviation Hub

Gulfstream Aerospace Corp. announced that it now provides maintenance, repair and overhaul services for its operators at Jet Aviation’s Teterboro Airport facility in New Jersey.

Gulfstream’s resources in Teterboro include 11 technicians along with support personnel. The technicians are authorized to work under a U.S. Federal Aviation Administration (FAA) repair station authorization and will be managed by Gulfstream’s company-owned service center in Westfield, Massachusetts.

“This is a great opportunity to enhance the support we offer our customers based at or traveling to Teterboro and the entire New York metropolitan area, one of the busiest corridors for Gulfstream traffic in the world,” said Mark Burns, president, Gulfstream. “This location is an ideal addition to our product support network.”

Gulfstream’s Teterboro-based team supports transient Gulfstream traffic and well over 100 operators based at New York-area airports, including Teterboro, Newark and Morristown in New Jersey and Westchester County and Farmingdale in New York. It works closely with Gulfstream Westfield, approximately 135 miles away.

“Gulfstream Westfield has done a tremendous job over the years assisting our customers in the New York metro area,” Burns said. “The added resources for Gulfstream in Teterboro prepare us for our growing fleet. Significant customer benefits include improved response time and reduced downtime.”

Gulfstream’s Teterboro operation offers base maintenance, airframe and avionics, line maintenance, repair and overhaul as well as 24-hour, seven-day-a-week aircraft-on-ground assistance. The Gulfstream staff has quick access to more than $50 million in Gulfstream aircraft parts housed at Teterboro-based FlightPath Services.

Gulfstream’s technicians in Teterboro are authorized by the FAA and European Aviation Safety Agency to perform maintenance on all Gulfstream business jets registered in the U.S. and European Union member countries. They also hold maintenance approvals from Bermuda and the Cayman Islands.

(Gulfstream Aerospace Corporation)

No need to revise cockpit door rules after A320 crash: EASA

European safety authorities believe there is no need to amend requirements on secure cockpit doors in the wake of the Germanwings Airbus A320 crash.

The European Aviation Safety Agency believes a recommendation that airlines should require two personnel to be present in the cockpit at all times is sufficient to mitigate the risks associated with possible sabotage by a lone occupant.

But it says that, while the recommendation should be maintained, its benefits should be reviewed after a period of one year.

“Operators should introduce appropriate supplemental measures including training for crew to ensure any associated risks are mitigated,” it adds.

EASA established a task force to look into the implications of the 24 March Germanwings crash in southern France, after investigators revealed that the first officer had locked the captain out of the cockpit before deliberately putting the jet on a collision course with terrain.

The task force looked into whether the rules governing secure cockpit doors should be revisited, particularly given that a manual lock, used to supplement electronic ones, can be activated by a pilot left in the cockpit.

While the task force noted that manual locks were “not compliant” with certain requirements, they were “accepted” based on the low probability of their contributing to unusual events.

“In the past, the risk of illegitimate use of the manual lock from inside the cockpit was not fully assessed,” says the EASA analysis.

But it adds that the use of the manual lock is “very rare” and that data from 10 European airlines suggests it is activated just once in 250,000 flights.

“The task force has not identified presently suitable alternatives to the manual lock to guarantee security in case of the failure of the automatic system,” it states.

EASA says the task force “does not see it necessary” to recommend any further immediate action on cockpit door locks – either manual or electronic – because it believes that possible risks arising from illegitimate use of the manual lock can be “mitigated” with the two-person recommendation.

There is no evidence, it says, of any incident arising from a member of the cabin crew being granted temporary access to the cockpit.

“A number of airlines have implemented supplemental measures to complement the requirement,” it adds. “Crew may be subject to additional security screening, and temporary staff excluded from the task.”

EASA concludes that the “greatest scope” for improvements following the Germanwings crash is “not related” to cockpit doors but to areas such as aeromedical assessment.
 

(David Kaminski-Morrow - Flightglobal News)

Gol unveils new livery

Brazil's Gol has unveiled a new livery bearing its new logo.

The new logo, which presents the airline's name in bolder capital letters, replaces the airline's previous 14-year-old visual identity. Gol is retaining its trademark colours of orange and silver in the new logo.

Gol unveiled the new livery on 15 July on its 100th Boeing 737 directly delivered from Boeing. The airline is an all-737 operator.

The carrier's chief executive Paulo Kakinoff calls the new logo "stronger and more modern", representing the achievements of the airline in recent years.

(GOL)

 

          (Ghim-Lay Yeo - Flightglobal News)

1 Big Way Southwest Airlines Is Not Like JetBlue

JetBlue is delivering dramatically better stock performance than Southwest Airlines this year -- and it's all because of its superior unit revenue performance.

According to research from Cowen analyst Helane Becker, Southwest Airlines has a perception problem. Southwest wants to be seen as a discount airline, like JetBlue Airways.

But despite Southwest's domestic focus, low fares, customer-friendly policies, and disruptive potential, Mr. Market has been treating it more like a legacy carrier, according to Becker. To see why that's a problem, one only has to compare the year-to-date stock performance of JetBlue, Southwest, and legacy carriers like Delta Air Lines.

(2015 Airline Stock Performance, data by YCharts)

 

While JetBlue shares have already flown 44% higher this year, Southwest Airlines and Delta Air Lines have both lost significant ground (along with the other legacy carriers). However, there's more to Southwest Airlines' woes than market perception. Its financial performance has also mirrored that of Delta and the other legacy carriers more than that of JetBlue.

Diverging paths

The key to understanding Southwest Airlines' weak 2015 stock performance is its deteriorating unit revenue trend.

In Q1, Southwest's passenger unit revenue, or PRASM, increased just 0.3% year over year. To be sure, that was better than Delta's 1.7% PRASM decline -- which was largely caused by the strong dollar and falling fuel surcharges on international routes. On the other hand, it was far worse than JetBlue's 4.5% Q1 PRASM growth.

For Q2, the unit revenue headwinds are even stronger. Southwest's performance also looks even more like that of the legacy carriers. Southwest Airlines has projected that PRASM fell 4%-5% last quarter. That would be right in line with the 4.6% decline recently reported by Delta Air Lines.

By contrast, JetBlue Airways reported that PRASM grew about 4% year over year in April, followed by a 1% gain in May and a 1% decline in June. That implies second-quarter PRASM growth of a little more than 1%: 5 to 6 percentage points better than what Southwest expects.

JetBlue's explosive profit growth

Southwest, Delta, and JetBlue are all benefiting from a relatively similar cost environment in 2015. Non-fuel unit costs are rising little, if at all, while fuel costs are plummeting.

The result is that while Southwest and Delta will both report strong earnings growth in 2015, JetBlue's superior unit revenue growth is driving explosive profit growth. Analysts currently expect EPS to rise 33% year over year at Delta to $4.39. Year-over-year EPS growth is projected at an even better 66% for Southwest, which hasn't been burned by fuel hedging losses to the same extent as Delta.

Meanwhile, JetBlue blows them both away with expected EPS growth of 156%. Based on its stronger unit revenue growth and soaring earnings, it's no surprise that JetBlue stock has outperformed Southwest Airlines stock by a wide margin this year.

JetBlue's valuation premium isn't that big

Even after trouncing Southwest's stock performance this year, JetBlue shares don't trade at a very large valuation premium over Southwest Airlines stock. JetBlue stock reached a new 10-year high this week, but still trades for less than 13 times projected 2015 earnings. Meanwhile, Southwest stock trades for a little more than 10 times its estimated 2015 earnings.

This valuation premium for JetBlue seems conservative, if anything. The upcoming expansion of JetBlue's highly popular -- and highly profitable -- Mint premium service, its new "fare families," and an upcoming project to add seats to JetBlue's large fleet of A320s should all help drive further margin growth at the company.

Furthermore, while Southwest Airlines certainly has more growth opportunities (particularly in Latin America and the Caribbean) than legacy carriers like Delta Air Lines, it already has annual revenue of nearly $20 billion. That makes Southwest about three times the size of JetBlue. Not surprisingly, JetBlue's smaller size today gives it more growth potential.

Southwest Airlines is a reliable cash cow and its stock looks like a bargain at a little more than 10 times projected 2015 earnings. But there's a reason its stock has performed more like Delta's and less like JetBlue's -- and it's not just a matter of perception. For Southwest stock to get back on track, the carrier needs to return to unit revenue growth.

(Adam Levine-Weinberg - The Motley Fool)

Iberia Airbus A340-642 (c/n 431) EC-INO "Gaudi"

Taxies to then turns onto Rwy 24L at Los Angeles International Airport (LAX/KLAX) (sporting the carriers new livery) for an evening departure back to Spain on July 14, 2015.

 

(Photos by Michael Carter)

Gulfstream G550 (c/n 5504) N904GA tbr N525KF

Returns to Long Beach Airport (LGB/KLGB) on July 15, 2015 following a pre-delivery test sortie.

 

(Photos by Michael Carter)

Pilot vote leads Delta to cancel order for 40 737-900ERs, 20 E-190s

Delta Air Lines’ order for 40 new Boeing 737-900ERs and 20 used Embraer E-190s has been shelved owing to the carrier’s pilots rejecting a tentative agreement on a new labor contract.

“Those orders will be canceled,” CEO Richard Anderson said Wednesday when asked about the aircraft on Delta’s second-quarter earnings conference call. Delta executives and the Air Line Pilots Association (ALPA) had reached a tentative agreement on a three-year labor pact to replace the pilots’ current contract expiring at the end of this year.

Delta said the terms of the deal allowed it to place the order for 60 aircraft, including 20 E-190s it planned to place into mainline service.

The Delta Master Executive Council (MEC) of ALPA endorsed the tentative labor deal in June and sent it to the airline’s nearly 13,000 pilots for a ratification vote. But ALPA announced late last week that the rank-and-file pilots, more than 10,000 of whom cast ballots, rejected the contract by a 65%-35% margin.

Anderson said he was “disappointed” by the pilots’ vote and noted that the rejected contract would have made the flight deck crew the highest paid in the US airline industry. But he pointed out that the sides still have more than five months to negotiate before the current contract expires.

Though the agreement rejected by the pilots included an immediate 8% pay raise and further salary hikes over the course of the three-year contract, it also made changes in profit sharing that a wide majority of Delta’s pilots apparently won’t accept. The Delta MEC said it will meet July 21 to “reassess our strategic plan.”

(Aaron Karp - ATWOnline News)

Southwest Airlines CEO Gary Kelly adds a personal touch to his correspondence

                             

(Photo - Rick Seltzer)

 

Southwest Airlines CEO Gary Kelly has a softer side. Who knew?

 

Southwest's top executive has been blamed for many big changes in the corporate culture at a low-fare airline that is producing record profits, but at the same time angering many employees who no longer believe Kelly has their best interests at heart.

 

But as Southwest's deeply-divided ranks of flight attendants continue to mull over and vote on a tentative new contract that was signed off on by Kelly, a surprisingly old-fashioned facet of the CEO's executive operating style has surfaced.

 

Maybe it's all for show, but it's happening anyway.

 

A photocopy was sent to me of a note written out in longhand that Kelly composed and forwarded to one Southwest employee who sent the CEO a long, detailed account of some concerns about the aforementioned changes in the corporate culture — in this particular instance changes noted in the way Southwest's maintenance department is run.

 

Though the employee's letter ran to more than two typewritten pages, Kelly's multi-page response was all in longhand on pages of white stationery with Kelly's name and title embossed at the top above a multi-colored line of ink incorporating Southwest's primary color palette of bright blue, red and yellow.

 

Kelly began his handwritten missive by thanking the correspondent for a "thoughtful and professional letter" and added "I really appreciate it."

 

Kelly went on and tried to address briefly the concerns of the letter's author, while conceding the CEO didn't have direct knowledge of much of what was troubling this particular Southwest employee.

 

At the end, Kelly also told his correspondent "I want you to know there is no higher priority than getting better union contracts negotiated." Some flight attendants might argue that point, however, now that they have seen Kelly's tentative contract with Transport Workers Union Local 556, which was negotiated over a two-year period.

 

In concluding his letter, Kelly said to his correspondent "we will keep at it," referring to contract negotiations. Southwest mechanics have been negotiating a new contract for three years.

 

Southwest has its largest hub at Chicago's Midway Airport, and the carrier's largest group of flight attendants are domiciled in Chicago.

 

(Lewis Lazare - Chicago Business Journal)

Boeing's New 747 Jumbo Risks Dangerous Vibration, FAA Says

Boeing’s newest 747 jumbo jetliner faces a risk of dangerous vibrations, known as “flutter,” in limited situations, the Federal Aviation Administration said.

Data analysis shows that “divergent flutter,” oscillations of a wing that could cause it to break up, may occur on the 747-8 during a “high g-load maneuver in combination with certain system failures,” the FAA said Wednesday. G-loading refers to the stresses on a plane that can increase during acceleration and turns.

Operators of the passenger and freighter versions of the hump-backed jets are required to make wing repairs during the next year to five years to avoid safety issues, according to an FAA bulletin.

The required modifications apply to eight 747-8 aircraft operated in the U.S. Boeing will pick up the tab for repair costs estimated at about $400,000 per jetliner because the planes are still under warranty, the FAA said.

The directive makes mandatory changes that Chicago-based Boeing had recommended to operators in February 2014 “to ensure airplanes are configured with the latest certified software and system changes,” Karen Crabtree, a company spokeswoman, said in an e-mail.

About 71 of the four-engine jets delivered globally before that date are affected, she said.

(Julie Johnsson - Bloomberg News)

Delta throwing lifeline to Japan's bankrupt carrier Skymark

Delta Air Lines is offering a lifeline to Japan's bankrupt Skymark Airlines that would give the US carrier unprecedented access to domestic landing slots at Tokyo's Haneda airport, a report said Tuesday.

The Nikkei business daily said Delta has agreed to join a turnaround plan being led by Skymark creditor Intrepid Aviation, which would see the US company buy as much as 20 percent of the Japanese airline for an unspecified price.

The plan is a rival offer to one submitted by Skymark earlier this year that would see it owned by its banks, All Nippon Airways and a domestic investment fund.

A Skymark spokeswoman in Tokyo said the company was unaware of the new plan.

If the Delta deal is successful, the US carrier would be the first foreign airline to get access to slots for domestic flights at the downtown airport. The coveted slots are currently limited to Japanese carriers, including ANA and Japan Airlines as well as Skymark.

Skymark's roughly 200 creditors will vote on the competing proposals at an August 5 meeting, the Nikkei said.

Skymark, Japan's third-biggest airline which flies on domestic routes, filed for bankruptcy protection in late January in the face of potentially massive penalties linked to a cancelled $2.2 billion jet order with Airbus.

The still-operating airline's efforts to turn itself around failed as it struggled against tough competition in the sector, while its troubles deepened after the deal with Airbus collapsed last summer.

(AFP / Yahoo Financial News)

United Airlines will sneak its newest model airplane into Chicago this week for a look-see

Always thinking ahead, United Airlines will offer a select group of VIP customers, airline employees and media a sneak peek on Friday of a new plane —the Airbus 350 — that won't even enter its fleet until 2018.

 

That's right. Another three years — unless the new model plane is delayed, which always is a possibility in the unpredictable airline and airplane manufacturing industries.

 

But the new Airbus 350 is of great interest to many road warriors who fly regularly or who run airlines. Developed by Chicago-based Boeing Co.'s archival Airbus, the wide-body A-350 was designed to compete against Boeing's still-relatively new, but popular Boeing 787.

 

As is now well-known, the Boeing 787 was plagued by delays before its debut, and plagued even further after its debut by problems relating to its lithium ion batteries. United already flies around a dozen Boeing 787 aircraft, primarily on international flights to Asian markets.

 

So far, the A-350 rollout has been relatively smooth. Qatar Airways, the launch customer for the A-350, began flying the plane in December of last year.

 

United Airlines has ordered 35 of the planes and will be the launch customer for the aircraft in North America. United's A-350s are expected to be configured with a premium business cabin and an economy cabin, though a United spokesman said no final decisions have yet been made about the layout of its A-350s.

 

United employees, invited guests and others are getting a very early sneak look at the A-350 because the airplane is en route to the annual Oshkosh air show in Wisconsin that starts a week from today.

 

(Lewis Lazare - Chicago Business Journal)

FedEx to Cut Boeing Order in Half?

The board of directors of FedEx Corp. met in Seattle over the weekend, and one of the items on the agenda, according to Bloomberg, was the purchase of more 767 cargo planes from Boeing Co.

Citing unnamed sources, Bloomberg said the deal involves the purchase of “at least” 25 767-300F freighters at a total cost of around $5 billion at list prices. That is good for Boeing, but not as good as the initial report we had last week that FedEx was looking to buy 50 of the cargo jets. That deal would have been worth about $10 billion. The current list price for a 767-300F is $199.3 million.

FedEx already operates 23 Boeing 767-300s and, as of last week, had an order at Boeing for another 35. FedEx is Boeing’s only customer for the plane, although a version designated the 767-2C is the platform on which the company is building a new U.S. Air Force tanker, the KC-46A.

Neither Boeing nor FedEx would comment on the report.

According to industry research and consulting firm Leeham News and Comment, the talks between FedEx and Boeing also included a possible order for 10 of Boeing’s 777F freighters. Each of those planes costs $318.7 million, and 10 would add another $32 billion to Boeing’s revenues.

But if the FedEx board is now talking just 25 new 767s, then it seems likely that a possible 777F order also will be cut, if not eliminated altogether. That is not good news for Boeing. The company needs to write new orders for the current version of the 777 in order to fill production slots on its assembly line and keep the revenue rolling in. The 777 is, in some ways, Boeing’s most critical product, even more important to Boeing than the 787.

Boeing’s stock closed up about 1.5% on Monday, at $146.58 in a 52-week range of $116.32 to $158.83.

(Paul Ausick - 24/7 Wall St.)

Frontier Airlines' new perk will make you actually want the middle seat

It might be the budget airline’s only perk.

If you’re flying with Frontier Airlines, you might want to reserve yourself a middle seat.

The ultra-budget airline, on par with Spirit Airlines and EasyJet, is installing new seats in its Airbus 320s and 319s this year. The middle seats in each row will be afforded an extra inch of width compared to its neighbors.

The middle seats, which will not come at any additional cost, will be 19 inches wide, which Frontier says makes them the broadest in the United States.

The trade-off is that the new seating arrangement pushes seating rows closer together, so that the pitch, or distance between the end point on one seat and the same point on the seat ahead, is only 28 inches, according to Conde Nast Traveler. Plus, the seats will no longer recline, coming in a “pre-reclined” mode to save flight attendants from the headaches of in-air legroom fights. The new arrangement adds a total of 12 seats to each flight.

But it’s worth keeping in mind that when people fly Frontier, they probably aren’t expecting a comfortable ride. It’s ranked as one of the five worst airlines in the United States, racking up bumped passengers, complaints, and mishandled bags. Barely more than half of its planes land on time. With such low expectations, flyers might just view the new middle seats as a rare and unexpected perk.

(Claire Groden - Fortune)

JetBlue request for Long Beach Airport federal customs facility will get study

The possibility of JetBlue operating international flights out of the Long Beach Airport will get a closer look.

Late Tuesday, the Long Beach City Council voted 6-3 to move ahead with a feasibility study for a federal customs facility to allow international travel at the municipally owned airport.

The action followed about three hours of, at times heated, debate.

JetBlue sent a letter in February to city officials stating that it would not increase its total number of flights allowed under the city’s noise ordinance.

Robert C. Land, the airline’s senior vice president of government affairs and associate general counsel, reiterated that position Tuesday.

“All we’re asking for tonight is to simply begin the exploration process, to gather the facts through a thorough fact-finding mission,” Land said.

Public comments for and against a customs facility were closely split.

Terry Jensen, a former Long Beach Redevelopment Agency board member, raised the specter of disgruntled JetBlue competitors locked out of potential international flight slots challenging the noise ordinance.

American Airlines in 2002 threatened legal action against the airport and city in a bitter battle over flight slots before settling with the city the year after.

“If you allow this facility, we’re almost guaranteeing more conflict,” Jensen said. “There is so much to lose and so little to gain if you make the wrong decisions.”

Another resident, Kevin McAchren, spoke in support of a customs facility, saying international flights would be a good thing for Long Beach, one of the most ethnically diverse cities in the United States.

“I think linking Long Beach airport to Mexico, to Central American destinations is a great thing,” McAchren said.

Some neighborhood advocates accused officials of ordering an unnecessary study since an airport inquiry in 2013 found that such a facility could be financially feasible but is potentially risky for the city.

City Manager Pat West said the “quick study” was preliminary and not as extensive as what staff would conduct to bring the issue to a council vote.

Before the decision, Councilman Al Austin disagreed with colleagues that approving a study does not necessarily mean they will eventually approve JetBlue’s request.

“Getting more information is opening the door,” Austin said. “It’s the next step.”
Austin voted no along with Councilman Daryl Supernaw and Councilman Roberto Uranga.

(Eric Bradley - Long Beach Press Telegram)

Flight Management System Market Worth $912.20 Million by 2020

Flight management systems can be classified into four segments according to the cockpit architecture of different types of commercial aircraft. These four segments include very large aircraft, wide body aircraft, narrow body aircraft, and regional transport aircraft. All these aircraft are equipped with two flight management systems that perform the ideal functions.

The average cost of a flight management system differs according to the functional and performance parameters required by different aircraft. The FMS market in a particular region depends upon the number of aircraft deliveries in the said area, as well as the aircraft maintenance activities in that particular region.

The Flight Management System Market in this report is divided into five major regions-North America, Europe, Asia-Pacific, the Middle East, and the Rest of the World (RoW). It is estimated that the global market would be valued at $601.36million in 2014; Asia-Pacific had the largest market with 36.76%, followed by Europe with 23.86%, and North America with 19.92% in 2013.

Despite the slow global economic growth and increase in aircraft fuel cost, the demand for new aircraft deliveries will swell and the demand for flight management systems will intensify, being a subset of an aircraft. Advanced flight management systems perform a wide variety of tasks right from providing an accurate flight plan for a smooth flight operation to efficient aircraft fuel utilization.

These are some functional capabilities of FMS that are expected to fuel its growing market demand in the near future.

The development of new and advanced flight management systems has meant that almost every aircraft can now be modified to improve its operational efficiency for better flight operations. In challenging economic times, airlines are constantly looking at ways in which they can add value and extend the life span of their aircraft.

Up gradation of aircraft with efficient flight management systems provide it with the ability to fly more fuel efficiently, such as using RNP (Required Navigation Performance) and continuous descent that can translate into measurable fuel and time savings for airlines, along with reduced pilot workload and enhanced safety.

The retro-fit market of flight management systems for wide body aircraft is estimated to grow at a CAGR of 9.96% from 2014 to 2020. The growing demand for aircraft deliveries and continuous increasing passenger traffic across the world is the prime region for this growth.

However, there are many challenges involved in equipping new flight management systems in the cockpit of an aircraft, such as the presence of a long development life cycle from equipment design to certification of FMS, and the need for well-developed testing and certification programs.

The retrofit FMS designs need to follow the same rigor as the originally developed systems on the aircraft. Also, its proper integration must take into account all of the constraints and dependencies while interfacing with existing equipment.

The rapidly increasing passenger traffic rate across the world will require safety operations of the fleets that operate in this region. The NEXTGEN FMS is capable of adhering to those safety needs by automating flight operations that include flight plan and fuel management that are very necessary for the regional transport aircraft. These factors will raise the market growth of FMS in this segment.

The flight management systems market for narrow body aircraft is estimated to grow at a CAGR of 7.18% from 2014 to2020. The Asia-Pacific region is projected to dominate the FMS market in this category; it holds the maximum share of the flight management system for wide body aircraft, but the Middle East is the fastest growing region in this segment.

The rapidly increasing passenger traffic rate across the world will require safety operations of the fleets that operate in this region. The NEXTGEN FMS is capable of adhering to those safety needs by automating flight operations that include flight plan and fuel management that are very necessary for the regional transport aircraft. These factors will raise the market growth of FMS in this segment.

The flight management systems market for narrow body aircraft is estimated to grow at a CAGR of 7.18% from 2014 to2020. The Asia-Pacific region is projected to dominate the FMS market in this category; it holds the maximum share of the flight management system for wide body aircraft, but the Middle East is the fastest growing region in this segment.

The report contains profiles of leading players involved in this market such as Honeywell, Thales SA, GE Aviation, Rockwell Collins, and Jeppesen. The report takes into account a wide range of factors and its influence on the market dynamics. Increasing investments in R&D, coupled with an information flow for requirement analysis will help the market move at a steady pace. 

(PRNewswire / Yahoo Finance News)

GA Innovation China Announces First-Ever Import of Commercial Aircraft into Mainland China for Disassembly

GA Innovation China (“GAIC”), a joint venture between GA Telesis and Air China, has announced the import and delivery of the first-ever aircraft from overseas for teardown and parts redistribution in mainland China. Tianjin HAITE High Tech Co., LTD. has been contracted by GAIC for disassembly operations on the Boeing 767-300.

Upon completion, GAIC will provide aftermarket component support for the Chinese and Asian markets. This acquisition marks another historic milestone for GAIC, following the company’s completion of the first-ever aircraft disassembly and parts redistribution program in China in 2013.
  

The new teardown project supports GAIC’s initiative to introduce foreign aircraft for disassembly to the Chinese market, in order to help airlines reduce maintenance and operating costs for their aircraft.

Yang Zhang, Managing Director of GA Innovation China, commented on this groundbreaking move by GAIC: “We are pleased to announce yet another innovative solution to maximize value and cut costs for airlines and customers in the Asia-Pacific region.

We are proud to be the first company to support a new and emerging market sector, and look forward to the opportunities for growth it will provide.”

(Business Wire / Yahoo finance News)

Global Business Jet Market 2015-2024 Featuring Gulfstream, Bombardier, Dassault, Textron Aviation & Embraer

The global market for business jets is estimated to be worth $21.5 billion as of 2014 and is projected to grow at 2.8% CAGR through 2033. The demand for business jets continues to recover steadily with aircraft delivery numbers in 2014 registering a 6.5% year on year growth. 

The global business jet market continues to make steady recovery from the inertia that followed the economic crisis driven by continued economic recovery underway in the U.S., surge in demand for heavy jets and introduction of a number of new aircraft programs by the industry OEMs incorporating cutting edge technologies & innovations translating into enhanced performance capabilities, safety features & optimized operating economics. 

The delivery numbers continue to be dominated by Bombardier in volume terms & led by Gulfstream in value terms respectively with the duo collectively holding over 70% market share (based on revenues) in 2014 with continued, robust demand growth in the heavy & medium jets segments.

Top 3 industry OEMs, namely, Bombardier, Gulfstream & Dassault, with their product portfolios skewed towards the medium & heavy jets segment, continue to hold over 84% market share (based on revenues/aircraft billings for 2014) collectively.

The demand for business jets is likely to continue to improve over near term with improved GDP growth projections in the U.S., Introduction of new aircraft programs by OEMs, improving market accessibility and a favorable oil price trend which is likely to boost fleet utilization & profitability across operators and expand service revenues across OEMs.

Further, long term demand drivers & market fundamentals remain robust indicating towards sustained, steady demand growth for business jets over medium to long term.
 
Additionally, the market dynamics for business jets are likely to witness major transformation with the era of supersonic business jets likely to become a reality towards the early 2020s with a number of industry OEMs, led by Gulfstream, actively pursuing R&D towards development of a range of supersonic flight technologies capable of enabling feasible supersonic flights while meeting regulatory requirements simultaneously.

(PRNewswire / Yahoo Finance News)