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UPDATE
Week ending June 10, 2001

+++ Lufthansa crews get big pay hike +++ Swissair launches savings programme +++ Eurofighter launches AMRAAM and ASRAAM +++ 728JET fatigue test completed +++ Gripen bid to Czech government outlined +++ Boeing to modernize U.S. Air Force C-130 fleet +++ News in brief +++


Lufthansa crews get big pay hike
Einigung im Lufthansa-Tarifstreit

The arbitration negotiations chaired by former foreign minister Hans-Dietrich Genscher between Lufthansa and the Vereinigung Cockpit (VC) pilots' union for cockpit crews at the Lufthansa passenger airline, Lufthansa Cargo, Condor and Condor Berlin ended on June 8 with both sides accepting the arbitration ruling. The ruling envisages changes in the remuneration structure for cockpit crews and closer aligment of their future salaries to business developments in the Group or its business areas. In order to highlight the adjustments in the remuneration system, the new pay agreement is scheduled to run for an exceptionally long term of 39 months; it contains changes in both pay scales and structures, it envisages variable remuneration and payment of twelve instead of the previous 13 monthly salaries (holiday and Christmas bonuses). An increase of 3 per cent in the pay scales will be back-dated to February 1 2001, and an average structural adjustment of 9 per cent to May 1 2001. For the remaining term of the pay accord, basic pay rates will rise in line with the previous year's average wage increase in Germany on February 1 in both 2002 and 2003. Should Lufthansa's business position change significantly, an amendment altering this provision can be agreed between the two sides. A further structural adjustment of 2.8 per cent will come into force on May 1 2002.
Alongside the basic pay rate provisions, the accord includes a new variable remuneration component dependent on the performance of the Group's individual business areas. On the basis of the Lufthansa Group's results in 2000, all cockpit crew members will be paid two extra monthly salaries in 2001. This relates their income to company performance in the same way as the remuneration system for senior management in the Group, Parallel to the arbitration talks, a new collective wage agreement was reached with the VC union for cockpit crews at the Lufthansa passenger airline and Lufthansa Cargo. These new collective agreements include measures to ease pressure on pilots at peak traffic periods and are valid up to December 31 2002.

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Swissair launches savings programme
Einsparprogramm bei bei Swissair

The Swissair Group has launched "Change 2001", a comprehensive change programme to effect immediate improvements to internal structures and workflows and help restore the Group to sounder business health. The programme should achieve year-on-year cost savings of at least CHF 500 million for the second half of 2001. "Our Group continues to operate in a difficult business environment, and we need to take swift and efficient action to return it to sound business health," said Mario A. Corti, Chairman & CEO of the Swissair Group, commenting on the programme. "In doing so, we have to put the interests of the Group before those of any unit or individual. Needless to say, we will be focusing squarely on customer service and product quality in all these actions and activities."
In addition to cost savings of at least CHF 500 million for the second half-year and a sustainable improvement in revenue levels, "Change 2001" is intended to achieve a sizable reduction in invested capital by the end of the year. A new "Change 2001" task force led by Wolfgang Werlé will start work immediately. Werlé is joined in the task force by Rolf Winiger, CFO Jacqualyn Fouse and Chief Personnel Officer Matthias Mölleney. "Change 2001" will be conducted without external consultants but with the active involvement of all employees. The first phases of the programme should be implemented from July 1 onwards. One of the prime goals of "Change 2001" will be to abolish unnecessary hierarchical levels and overcomplex structures in all areas of the Group. These actions will demand considerable flexibility from the managers concerned, along with an unconditional willingness to accept new challenges: the simplification of the present management structures is bound to entail transfers and new appointments at various management levels. Whilst they are not its prime objective, the "2001" change programme will inevitably also entail reductions in staff numbers.

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Eurofighter launches AMRAAM and ASRAAM
Lenkwaffentests des Eurofighters

The Italian DA7 prototype of the Eurofighter Typhoon aircraft has made the first launch of an AMRAAM S/CTV missile (Advanced medium range Air-to-Air Missile Separation/Control Test Vehicle). This is an inert warhead test missile with a motor to check the separation trajectory from the aircraft. The Eurofighter Typhoon, flown by Commander Maurizio Cheli - Alenia Aerospazio's chief test pilot for military aircraft - took off from the Decimomannu airbase in Sardegna on 17 May and launched the missile in level flight from a height of 3,130 feet at a speed of 0.9 Mach. The test, on the 217th flight of the DA7 prototype, confirmed the Eurofighter's optimum launch platform qualities and the reliability and maturity of the aircraft systems. The aircraft has already entered into production. The DA7 prototype's test cycle also included the first launch of an ASRAAM (Advanced Short Range Air-to-Air Missile). This is an inert warhead operational missile fitted with the instrumentation necessary for data exchange with the Ground Station. The DA7, flown by Commander Marco Venanzetti - Alenia Aerospazio's Eurofighter test pilot, - launched the missile on 1st June from a height of 5,000 feet at a speed of 0.89 Mach. The important results achieved are the latest in a series of objectives reached in 2001 by the Italian Eurofighter Typhoon prototypes. The Italian Eurofighter prototype DA7 has completed a new two-week series of weapons trials at the Decimomannu base on Sardinia. AMRAAM, ASRAAM and AIM-9L Sidewinder missiles were launched from the aircraft, which returned to Turin-Caselle on June 6. In the meantime, BAE Systems has completed the load survey for the baseline configuration, proving the sound design of the new fighter. First DASS ground tests are to commence soon in Spain. CASA will also start assembly of the first Spanish production airplane this week.

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728JET fatigue test completed
Entwicklungsfortschritte beim 728JET

Fairchild Dornier has completed development phase fatigue test for the 728JET designed to validate the structural integrity of the aircraft and demonstrate new technologies that will enhance the longevity of the airframe. In the initial fatigue test using a fuselage barrel test specimen, engineers applied the expected load spectrum including internal pressure cycles, gust and maneuver loads for 80,000 cycles - the design life of the airframe - to examine the performance of various structural designs of the fuselage section. During continued fatigue tests, cracks did not appear in the structure under expected loads until the 180,000-cycle mark, confirming design projections for structural integrity. The damage tolerance test phase examined the performance of titanium "crack stoppers" after a variety of cracks were introduced to the structure. In all, 210,000 cycles were simulated for the tests. "The results of these development-phase tests add to our confidence in the design of the 728JET and form an excellent foundation for our full-scale static and fatigue tests scheduled to begin next year," said Dr. Günter Kappler, senior vice president, Engineering for Fairchild Dornier. "We were particularly pleased with the performance of the titanium crack stoppers as this will be a great benefit to operators of the 728JET over the life of the aircraft."

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Gripen bid to Czech government outlined
Einziges Fighter-Angebot für Tschechien

SAAB-BAE SYSTEMS Gripen, manufacturer of the NATO interoperable Gripen new-generation, supersonic, multi-role fighter has today announced details of its fully compliant response to the Czech Goverment's tender for the modernization of its air force to meet national, NATO and European defense needs. In accordance with the requirements of the Czech Government, as stated in its tender issued 9 January 2001, the Gripen team's bid documentation was delivered in Czech language. It provided comprehensive details of a 150% offset program, a 100% long-term structured finance package, full technical specifications of the Gripen fighter, with a delivery schedule starting in 2004 for either 24 or 36 aircraft. The response is the culmination of four years preparatory work in the Czech Republic. SAAB-BAE SYSTEMS Gripen has had a team working on the Gripen project for the Czech Republic continuously since the government first expressed interest in purchasing new aircraft in 1997.
The benefits to the Czech Republic of the Gripen solution are: Delivery of 150% offset program over a 10 year period; offset program targeted to meet the strategic objectives of the Czech government; offset benefits amounting to 50% of total contract value committed within two years of contract signature; economic benefits from offset generated ahead of finance repayments; significant repayments for long-term finance package deferred until 2006; 85% of financing provided by a consortium of international banks under an export credit loan supported by both the United Kingdom and Swedish governments; 15% of financing funded by a local currency loan through consortium of Czech banks; financing repayments made will be less than five per cent of total at time of first aircraft delivery in 2004; payments spread over 15 years, to minimize impact on national economy Provision for foreign exchange risk protection; finance package tailored to assist the Czech Republic's ambitions to secure European Union accession in 2004-2005; optional parallel commercial loan for amount equivalent to 15% of contract value at attractive interest rates, to reduce debt and deficit levels by replacing more expensive loan facilities

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Boeing to modernize U.S. Air Force C-130 fleet
C-130: Modernisierung durch Boeing

Boeing has been selected to perform the C-130 Avionics Modernization Program, which has a total potential value of approximately $4 billion. The company was notified of its selection by the U.S. Air Force Aeronautical Systems Center at Wright Patterson Air Force Base, Ohio.Final contracts will be signed pending program approval by the Defense Department's Defense Acquisition Board.Under the program, Boeing will develop a modern, common cockpit avionics system for the approximately 500 C-130 transport aircraft in Air Force service.
The new avionics system features six digital displays and the proven flight management system from the 737 commercial airliner, both of which provide navigation, safety and communication improvements to meet Global Air Traffic Management requirements. Overall, the modernization effort offers improved workload management for flight crews as well as reduced total ownership costs for the C-130 fleet. Aircraft modifications will be performed by the company at its Boeing Aerospace Support Center in San Antonio, Texas, as well as by the Air Force at Warner Robins Air Logistics Center, Ga., and Ogden Air Logistics Center, Utah. Modification kit installations will begin in 2004 and continue through 2014, and will reach a rate of about 70 per year at peak production.

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NEWS IN BRIEF / KURZMELDUNGEN

On June 4, Bell Helicopter, a Textron company, opened its new Composites Center of Excellence at Fort Worth. The 339,000 sq. ft. Composites COE is the world's foremost aerospace industry material fabrication center. The lighter, stronger and more corrosion resistant characteristics of composite technology are an important innovation for helicopters and tiltrotor aircraft at Bell Helicopter "The Composites COE is the end of the first phase of a multi-phase project to modernize Bell in Texas. It reflects Textron's continued investment in aircraft products and technologies, and clearly demonstrates the strength of conviction keeping Bell at the forefront of aviation manufacturing." Mr. Stinson said.
+++
NASA has given the first Mercury orbiter mission the go-ahead to move into full-scale spacecraft development -- setting up the first trip to the Sun's closest neighbor in more than a generation. MESSENGER, short for MErcury Surface, Space ENvironment, GEochemistry, and Ranging, will launch in March 2004 and orbit Mercury for one Earth-year beginning in April 2009. "MESSENGER is the most complex and challenging Discovery-class mission we have ever attempted, and our goal is to do something never before attempted," said Dr. Jay Bergstralh, chief scientist for NASA's Solar System Exploration Division in NASA's Office of Space Science in Washington, D.C. "Conducting a year-long mission to orbit a planet only 36 million miles from the Sun for relatively low cost is an amazing concept, and we have selected a top-flight team to build and fly this mission." MESSENGER will be only the second spacecraft to visit Mercury. Mariner 10 flew past it three times in 1974 and 1975 but gathered data on less than half the planet. MESSENGER's seven scientific instruments -- including a camera, laser altimeter, magnetometer and several spectrometers -- will globally image Mercury for the first time. It also will collect unprecedented information on the composition and structure of Mercury's crust, its geologic history, the nature of its thin atmosphere and active magnetosphere, and the makeup of its core and polar materials.
+++
The U.S. Navy recently tested the new Harpoon Block II missile at the Naval Air Warfare Center-Weapons Division sea range off Pt. Mugu, Calif. The missile was launched from the USS Decatur (DDG-73), an Arleigh Burke-class guided missile destroyer. The test demonstrated the Harpoon Block II weapon system's open-ocean ability to select the proper target using the Navy's Mobile Sea Target and another target ship, the MK-35 SEPTAR. The missile tracked and acquired the target exactly as planned. Flight tests later this summer will demonstrate the missile's other capabilities.Harpoon Block II is an upgraded version of the world's most successful anti-ship missile, which is in service with the armed forces of 26 countries. Block II improves strike capabilities in congested littoral environments and adds the ability to attack land-based coastal targets.
+++
Officials from Pratt & Whitney (P&W) and GE Aircraft Engines (GEAE) have signed an agreement to work together on the Joint Strike Fighter (JSF) program, to assure that both companies' engines will be physically and functionally interchangeable across all three variants of the JSF aircraft. Pratt &Whitney's JSF119 engine was selected by both JSF weapons system contractors, Boeing and Lockheed Martin, to power their competing demonstrator aircraft designs. The engine, a derivative of the F119 engine powering the F-22 Raptor, currently has accrued approximately 150 hours of flight test performance in all JSF candidate aircraft variants. GE's JSF F120 engine is a derivative of the F120 engine originally developed for the YF-22 and YF-23, and is being further developed to power the JSF aircraft in the future. It has been the plan of the U.S. Department of Defense to compete the P&W and GEAE engines starting in approximately 2011 during the production phase of the JSF Program.
+++
Lockheed Martin Missiles and Fire Control's Joint Air-to-Surface Standoff Missile (JASSM) again successfully demonstrated end-to-end performance by destroying a concrete bunker in a flight test at White Sands Missile Range in New Mexico. The missile was launched from a U.S. Air Force B-52 bomber. In this test, the B-52 flew at Mach 0.85 at an altitude of 30,000 ft. mean sea level above the New Mexico desert. After weapon release, it deployed its wings and tail and autonomously navigated and guided to the pre-mission planned, hardened bunker target. The missile flew for 23 minutes, navigated through 10 waypoints and traveled approximately 195 miles.
+++
The short-takeoff/vertical landing (STOVL) version of the Lockheed Martin Joint Strike Fighter, the X-35B, has begun ground runs as the countdown begins to the aircraft's final phase of STOVL flight. The plane completed its conventional and STOVL wing-borne flight requirements last fall and will begin STOVL takeoff and landing operations, beginning with vertical takeoffs, in late June or early July. The Lockheed Martin JSF team completed installation of the JSF X-35B's flight-ready propulsion system -- including the shaft-driven lift fan and engine -- on May 12. Pilot Simon Hargreaves began operating the flight-ready system in the aircraft on May 24.
+++
Building on its success with the Airbus A320 Family, Chicago-based United Airlines has ordered an additional A320 and two A319 aircraft, all of which will be powered by International Aero Engines V2500 powerplants. All three aircraft are slated for delivery in the second quarter of 2003. Currently operating a fleet of more than 100 Airbus aircraft with a firm order backlog of over 80 more, United Airlines is the largest airline customer in the world for Airbus in terms of aircraft orders. "The North American region continues to be one of our most successful markets," said Noël Forgeard, Airbus Chief Executive Officer. "Every time a customer as influential as United places a repeat order for Airbus aircraft, it points to the fact that our airliners provide what the airlines want and passengers demand: reliability, economy andcomfort."
+++
NATO's Theatre Missile Defence (TMD) Programme has successfully reached a major milestone in Alliance efforts to field a possible "layered" theatre missile defence system that could provide defence for deployed NATO Forces by 2010 as part of NATO's Extended Air Defence Concept. The Alliance's Consultation, Command and Control Agency (NC3A), has announced the names of the two successful bidders for Feasibility Study Contracts to look at the technical feasibility, costs and timescales of a TMD system based on NATO requirements. The two consortia concerned are led respectively by Science Applications International Corporation (SAIC), of McLean, Virginia, and the Lockheed Martin Corporation of Dallas, Texas. The contracts will span a period of work of 18 months, commencing on July 1, 2001. Following approval by the North Atlantic Council (NAC) in January 2000, NATO secured common funding for the two contracts. The Feasibility Studies are intended to provide the Alliance with a broader perspective on its layered TMD options to facilitate a possible decision on proceeding with such a system in the future.
+++
Swissair has revised the services it offers to destinations in Asia. As a result, the airline will no longer operate extension flight services between Beijing and Shanghai, Bangkok and Taipei, and between Singapore and Ho Chi Minh City. The daily connections between Bangkok and Singapore and the five weekly flights to Beijing will remain in Swissair's schedule. Beginning with the winter schedules on October 28, 2001, the five weekly flights to China will travel exclusively to Beijing and will no longer be extended to Shanghai. The departure times of these flights from Zurich will be shifted to the more attractive late afternoon period.
+++
The Boeing Sikorsky RAH-66 Comanche Prototype No. 1 has successfully flown with more powerful engines, manufactured by LHTEC (Light Helicopter Turbine Engine Company), a Rolls-Royce and Honeywell consortium. Program test pilots John Armbrust and Rus Stiles flew the prototype June 1 for 1.2 hours to evaluate the performance of newly installed LHTEC T800-LHT-801 engines. The upgraded and improved engines each provide uninstalled output of 1,563 shaft horsepower (1,165.5 kW), a 17-percent power increase over Comanche's earlier T800-LHT-800 engines.
+++
In the first step of a potential two-step process, NASA has selected two proposals for detailed mission feasibility studies as candidates for a Pluto-Kuiper Belt (PKB) mission to explore the only planet in our Solar System yet to be visited by a spacecraft from Earth. The President's FY 2002 budget request does not contain development funding for a Pluto mission. The Congress requested that NASA not do anything precipitous which would preclude the ability to develop a Pluto-Kuiper mission until the Congress could consider it in the context of the FY 2002 budget. If funding is provided in the FY 2002 budget and either proposal is ultimately selected, the Agency could down-select a proposal for development to ultimately fly a spacecraft to Pluto and beyond. If a PKB mission is developed, launch would be in the 2004-2006 time frame and the spacecraft would arrive at Pluto before 2020.
+++
At EADS' request, Michelin has developed a new tire technology for Concorde. In the weeks that followed the tragic Concorde accident, EADS contacted tire manufacturers across the world, including Michelin, to find out if any research was under way to improve the resistance of tires to damage by foreign objects. Michelin unveiled its last innovation of radial technology: the radial NZG. This new aircraft tire technology, christened NZG for "Near Zero Growth", uses a high-modulus reinforcement material. This offers higher damage resistance and substantial weight gains, two key qualities in the field of aviation. Stemming from the radial technology invented by Michelin, the new tire adds to the already existing radial aircraft tire offer. Indeed, in 1981, Michelin was the very first manufacturer to apply the radial technology to the aviation industry on a worldwide basis. On the occasion of the Bourget Air Show, Mr. Edouard Michelin, CEO of the worldwide tire manufacturer, will hold a press conference in the function rooms of the Bourget, on Saturday June 16 at 10:30 a.m. Mr. Michelin will discuss Michelin's strategy in the field of aviation as well as the place of the radial tire in this market and its impact on passenger safety.
+++
CAE announced it has been selected in open competition and will begin negotiations with Eurofighter Simulation Systems GmbH (ESS) as the "Preferred Supplier" of visual systems for the Eurofighter EF2000 combat aircraft Aircrew Synthetic Training Aids (ASTA) program. Valued at over C$170 million, it represents the largest single program to date for CAE's Visual Systems business, highlighting the company's global leadership in offering complete solutions for military training. "This is a record achievement for CAE and establishes the Medallion image generator as the clear choice for high performance fast jet training applications," said Derek H. Burney, CAE's President and CEO. "CAE's participation in ASTA, one of the largest programs on the horizon, will strengthen the company's position in the military simulation market for follow- on business created by future Eurofighter sales," he added. CAE will draw on its extensive experience in the realm of flight simulation to design, develop, produce, install and support complete visual systems for 27 simulation devices. The simulation devices include Full Mission Simulators (FMS), Cockpit Trainers/Interactive Pilot Stations (CT/IPS) as well as other ancillary devices. The contract will extend over several years, with the first deliveries expected to take place in 2002. For the ASTA program, CAE is teamed with its long-term alliance partner, Sogitec Industries of France, underscoring the existing commitment between both parties. The visual system will include a new state-of-the art Medallion- X image generator developed jointly by CAE and Sogitec. The Medallion-X image generator combines the sharp imagery necessary for advanced tactical training with comprehensive sensor simulation such as FLIR (Forward Looking Infrared) and Night Vision Goggles. For the display devices, CAE will supply front projection dome and rear projected mosaic displays to create a completely immersive training environment. Specialized projectors will provide an enhanced display of airborne targets. In addition, database modeling tools will allow the user to create new virtual worlds that meet any future training requirements.
+++
The only prototype of the An-70, which crashed in the Omsk vicinity in January 2001, had a test flight on June 5. The plane had been repaired by the Polyot aerospace enterprise. The An-70 will took then part in the Omsk international arms show and will return to Kiev and continue the tests in Ukraine, the United Arab Emirates or Libya. In winter it will be tested in Yakutia and the Arkhangelsk region. The An-70 will not be displayed at the Paris aerospace show.
+++
Rafael has introduced an additional new product to Rafael's missile family - the advanced Beyond Visual Range (BVR) missile - Derby. Derby is an active radar, all weather, all aspect air-to-air missile that enables engagement of several targets from short range to beyond visual range. The missile has two operating modes: Lock-On-After-Launch (LOAL), optimized for medium range and Lock-On-Before-Launch (LOBL) allowing superior performance at short range. These characteristics provide the Derby with excellent operational flexibility. Derby has an advanced Electronic Counter Counter Measures (ECCM) capability employing Israeli Aircraft Industries/MBT seeker. This capability is programmable and can be modified according to customer's request and new threats. Derby is operational after being tested and proven in many successful firings.
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Previous updates are still available:
Die News der letzten Wochen sind weiter abrufbar:

*June 3, 2001

*May 27, 2001 *May 20, 2001 *May 13, 2001 *May 6, 2001

*April 29, 2001 *April 22, 2001 *April 15, 2001 *April 8, 2001 *April 1, 2001

*January - March 2001

*January to December 2000 *January to December 1999 *January to December 1998 *January to December 1997 *September to December 1996


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