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UPDATE
Week ending December 23, 2001
+++ Contract for A400M finally signed +++ MBDA formation finalised +++ EU
Commission authorises rescue aid for LTU +++ Navy aerea missile defence program
cancelled +++ Kick-off for SAR-Lupe +++ Bell UH-1Y rolled out +++ Sostar develops new surveillance system +++ Crossair capital increase progressing well +++ Highest-resolution Earth imagery released +++ Shuttle lands after ISS mission +++ Maiden flight of first converted A300-600 +++ News in brief +++
Contract for A400M finally signed
Größtes europäisches Rüstungsprogramm gestartet
In a landmark event in the history of defence procurement, eight European nations
committed to purchase a total of 196 Airbus Military A400M transport aircraft. The
final contract was signed in Brussels between Airbus Military SAS and OCCAR,
(Organisation Conjointe de Coopération en Matière d'Armement), representing the
customer nations. Worth some 18 billion Euros, the A400M contract is the biggest yet
handled through this organisation and the most far-reaching in terms of the number of
nations participating. The single procurement contract for all 196 aircraft was signed by
Dr. Klaus von Sperber, Director of OCCAR Executive Agency, on behalf of the launch
customer nations, (Belgium, France, Germany, Luxembourg, Portugal, Spain, Turkey and the United Kingdom), and Alberto Fernandez, Chief Executive Officer of Airbus
Military. The signature ceremony took place in an extra-ordinary session during a
scheduled meeting of European NATO Defence Ministers, in the company of senior
executives from the industrial participants.
The contract signed today will become effective upon formal notification from OCCAR
and provides for the following numbers of aircraft to be delivered to the launch
customers' air forces: Belgium, 7; France, 50; Germany, 73; Luxembourg, 1; Portugal,
3; Spain, 27; Turkey, 10; United Kingdom, 25. The first aircraft is due to fly in 2006
and the first customer deliveries are planned from 2008.
UK defence secretary Geoff Hoon said it was essential that full financial approval from
Germany for their order of 73 aircraft was in place if the programme was to continue to
move ahead successfully. He said Britain and the other partners would review progress
towards this at the end of January. If funding is not granted by 31 January the MOU
will not take effect.
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MBDA formation finalised
Neuer Lenkwaffengigant für Europa
Eight months after the signature of the shareholders agreement for the incorporation of a
single company re-grouping the missile and missile systems activities of BAE Systems,
EADS and Finmeccanica respective subsidiaries, the process of creating MBDA has
been successfully completed. With a total annual sales figure exceeding EUR 2 billion
and an impressive order book of around EUR13 billion, the new company is a market
leader. "Our joint venture benefits from the support of three major aerospace
companies, BAE Systems, EADS and Finmeccanica, and, in its own right, is a world
player, giving good value for money for its customers and shareholders as well", said
BAE Ssystems' CEO John Weston. "Taking the best European skills in the field, and
building upon the experience of the most exported programmes, MBDA possesses a
powerful base in high technology and shall take the lead in developing New Generation
weapon systems; we are proud of our new joint company", said Philippe Camus and
Rainer Hertrich, CEOs of EADS.
MBDA - the management of which is headed by Fabrice Brégier - will encompass the
remaining missile activities of its shareholders and has a strategic alliance with the
German missile industry (starting with LFK, an EADS and MBDA common company)
as well as with the Spanish missile industry (with EADS-Casa, Indra and Izar). "A
winning team, MBDA will increase and strengthen co-operative programmes which
represent the success of European technology in the field of Defence" agreed the CEOs
jointly. On the Meteor programme, for instance, MBDA will from the very beginning fit
all major European platforms, including Eurofighter Typhoon, Rafale and Gripen.
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EU Commission authorises rescue aid for LTU
Rettungsaktion für LTU von der EU genehmigt
On December 20, the European Commission authorised aid to rescue the German air
transport company LTU (Lufttransport Unternehmen GmbH). This temporary aid
should make it possible to rescue the company from bankruptcy and to win time to
define the legal, economic and financial arrangements for any restructuring. Funding of
Ä120 million guaranteed by North Rhine-Westphalia can now be released by three
banks over the next six months. LTU was already in trouble, but its situation became
acute when Swissair announced a request for a stay of bankruptcy at the beginning of
October following the difficult situation that arose in the aviation industry in the wake of
the 11 September attacks.
After considering the rescue aid planned by Germany for LTU, the Commission has
today concluded that it meets the five strict criteria for rescue aid: the aid is justified for
urgent social reasons. 2 500 direct and 2 000 indirect jobs depend on the company's
future. Furthermore, the risks of negative spillover effects in other Member States as a
result of the action by North Rhine-Westphalia are limited by the clear arrangements
laid down for the aid; the amount of aid is limited to what is necessary for the running of
the company; the aid consists of a loan guarantee of Ä120 million, at market rates; the
loans are for a period of six months and must be repaid; Germany has undertaken to
send the Commission, within six months of today's date, a restructuring plan, a
liquidation plan or proof that the loan has been reimbursed in full and/or that the
guarantee has been terminated.
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Navy aerea missile defence program cancelled
Raketenabwehrprogramm der US Navy gestrichen
Edward C. "Pete" Aldridge, under secretary of Defense for Acquisition, Technology
and Logistics, announced the Navy Area Missile Defense Program has been cancelled
due to poor performance and projected future costs and schedules. The cancellation
will result in a work stoppage at some contractor and governmental field activities. The
cancellation came, in part, as a result of a Nunn-McCurdy Selected Acquisition Report
breach of the existing program. A Nunn-McCurdy unit cost breach occurs when a
major defense acquisition program experiences a unit cost increase of at least 15
percent. If the unit cost increase is at least 25 percent, the secretary of Defense must
certify that: the acquisition program is essential to the national security; There are no
alternatives to the acquisition program which will provide equal or greater military
capability at less cost The new estimates of the program acquisition unit cost or
procurement unit cost are reasonable; and The management structure for the acquisition
program is adequate to manage and control program acquisition unit cost or
procurement unit cost In the case of the Navy Area Missile Defense Program, the
program acquisition unit cost and average procurement unit cost exceeded 57 percent
and 65 percent, respectively. The Department has decided not to certify the program as
currently configured.
"It's unfortunate we've reached this point," said Aldridge, "but certification was
impossible. We are still in pursuit of a sea-based terminal phase capability as part of the
overall missile defense strategy, but we must now move forward from here." Over the
next several months, the Ballistic Missile Defense Organization (BMDO) will address
sea-based missile defense as part of its plans to develop an integrated ballistic missile
defense system that provides a layered defense against ballistic missiles of all ranges.
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Kick-off for SAR-Lupe
OHB baut Aufklärungssatellit
Dr. Knut Schloenbach, vice president of the BWB, and Prof. Manfred Fuchs, chairman
of OHB-SYSTEM (FUCHS-GRUPPE), have signed the contract for the
reconnaissance satellite system SAR-Lupe. The budget committee of the German
Lower House of Parliament has fully agreed to the financing of the SAR-Lupe program
on its session last Wednesday in Berlin. With this signing, the official kick-off for the
development and manufacture of the 300 MEURO project was set. OHB-SYSTEM
has already been working on the studies for SAR-Lupe since 1998. In close
collaboration with the space companies Alcatel Space (Toulouse), TESAT (formerly
Bosh Satcom, Backnang), Carlo Gavazzi Space (Milano, FUCHS-GRUPPE), Saab
Ericsson (Göteborg), OHB TELEDATA AG (Bremen, FUCHS-GRUPPE), the
German radar system company RST in Salem, EADS Dornier (Friedrichshafen) and
numerous further subcontractors, OHB-SYSTEM has won the tender for the prime
contractorship of the reconnaissance satellite system last August.
The launch of the first of five satellites is planned for the beginning of 2005 with a
Russian launcher. The overall system will be completed in 2006 to deliver radar images
for the German Armed Forces for at least ten years. Due to intelligent combination of
existing technologies, SAR-Lupe is working independent from weather conditions and
operates night and day. It delivers up-to-date and highly detailed images from virtually
all regions of the world. SAR-Lupe will give the German government the tool to identify
and monitor regions of latent crisis at an early stage. With SAR-Lupe Germany joins
the countries with satellite reconnaissance and avoids unilateral dependencies.
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Bell UH-1Y rolled out
Erste UH-1Y vorgestellt
On December 13 Bell Helicopter unveiled the first UH-1Y utility transport helicopter
the company is producing for the US Marine Corps. Bell will produce 100 UH-1Y
aircraft as part of the $4.5 Billion H-1 Program which also includes 180 AH-1Z attack
helicopters. The event at Bell's Flight Research Center located at Arlington Municipal
Airport was attended by a large number of Marine aviators including Lt. Gen. William
Nyland, Deputy Marine Corps Commandant for Aviation. The H-1 Program is a major
upgrade to remanufacture the US Marine Corps fleet of AH-1W SuperCobra and
UH-1N utility helicopters to an advanced configuration featuring common engines and
flight dynamics. The H-1 upgrades include an enormous amount of commonality
between the two aircraft including engines (GE-T700 engines), four blade all
composite, hingeless, bearingless main rotor system and tail rotor, identical drive trains,
hydraulics and electrical distribution systems. By utilizing common systems the cost of
the logistics support process for the two helicopters reduces dramatically allowing for
vastly improved shipboard operability. Far less critical shipboard space will be needed
to store spare parts and support equipment to support the two helicopters comprising
the H-1 Program. First flight of the UH-1Y is scheduled for later this month. At full
production the H-1 Program will employ approximately 300 people at Bell Helicopter
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Sostar develops new surveillance system
Auftrag für Sostar erteilt
The European company Sostar GmbH, headquartered in Friedrichshafen at Dornier
GmbH premises, was awarded the contract to develop the demonstrator of the new
European all-weather ground surveillance system Sostar (Stand-Off Surveillance and
Target Acquisition Radar). Sostar GmbH, founded in February 2001, is a joint venture
in which EADS/Dornier, FIAR of Galileo Avionica and Thales Airborne Systems each
hold 28 per cent, Indra 11 per cent and Fokker Space 5 per cent. The contract (order
volume of 85 million Euro) for the development, manufacturing and testing of the
demonstrator Sostar-X was awarded to Sostar GmbH by the Federal Office of
Defence Technology and Procurement (BWB), acting on behalf of the Governments of
France, Italy, The Netherlands, Spain, and Germany, following the final approval of the
Governments Memorandum of Understanding by the Budget Committee of the
Bundestag (Lower House of the Federal Parliament) on 12 December 2001.
Dr. Eugen Herpfer, General Manager of Sostar GmbH said: "The Sostar programme
combines the technical capabilities in radar technology of competent European partner
industries and will ensure the competitiveness and the related know-how for future
European Surveillance systems". Sostar meets the operational requirements for the
Nato Alliance Ground Surveillance Programme and is offered to Nato and European
Nations to cover their urgent needs for surveillance of large areas for crisis and conflict
management. The objective is to develop complete systems based on an advanced
radar with Active Electronically Scanned Array which can be installed on manned and
unmanned airborne platforms and which allows detection and tracking of slow moving
targets and high resolution imaging of fixed targets as well as target classification.
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Crossair capital increase progressing well
Crossair-Kapitalerhöhung erfolgreich
Crossair's capital increase has made a decisive step forward. The Crossair shares
subscribed to date surpass the minimum amount required for the implementation of the
capital increase. Still not underwritten are commitments for about CHF 407 million from
Cantons, cities and municipalities. The major investors who participated in the
"Lufbrücke" agreement have to date subscribed shares valued at more than CHF 2.2
billion. This enabled the minimum amount for the implementation of the capital increase
to be surpassed. "We see this as a sign of trust", says Thomas Hofmann, Crossair's
Chief Financial Officer, with satisfaction. Subject to the condition that the shares
subscribed to date being paid in by December 20, 2001 (Major investors initially up to
30%, public shareholders up to 100%) leading to a cash inflow of CHF 675 millions to
Crossair, the capital increase can be concluded this year, as planned. Still not
underwritten are commitments for about CHF 407 million from Cantons, cities and
municipalities. The commitment from Canton Zurich depends on the result of a
referendum to be held on January 13.
The new shares were also on offer to current shareholders. The deadline was last
Monday. Because the share price lay below the issue price of the new shares during the
rights exercise period, there were few shareholders who subscribed. The listing, as well
as the first trading day for the new shares after the capital increase, the conversion of
the dividend-right certificates (Genusssscheine), as well as the current shares on a split
basis were submitted in the main board of the SWX Swiss Stock Exchange for
December 28 and have been approved.
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Highest-Resolution Earth Imagery Released
Hochauflösende Satellitenbilder von QuickBird
The QuickBird satellite, built by Ball Aerospace & Technologies Corp., is providing the
highest-resolution, commercially available imagery of Earth. The imagery, made public
by Ball Aerospace's customer DigitalGlobe, owner and operator of QuickBird, features
two-foot (61-centimeter) panchromatic and 2.5-meter multispectral resolutions. "This is
a wonderful milestone for this industry,'' said Cary Ludtke, vice president of Ball
Aerospace's Commercial Space Operations. "QuickBird sets a new standard for
commercial remote sensing and we are proud to take a leadership position in providing
the complete system -- the camera and spacecraft bus -- that makes this world-class
imagery possible. We offer a capability that is unparalleled in the marketplace.''
QuickBird is a Ball Global Imaging System 2000 product consisting of a Ball
High-resolution Camera 60 integrated with a Ball Commercial Platform 2000 bus. The
QuickBird bus is the fourth such bus completed by Ball Aerospace in as many years.
As the highest-resolution commercial satellite in operation, QuickBird circles the Earth
at a 450-km 98-degree sun-synchronous orbit, which provides consistent revisit time
year-round.
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Shuttle lands after ISS mission
Raumfähre wieder in Florida gelandet
Endeavour touched down at the Kennedy Space Center in Florida on December 17 at
11:55 a.m. central time, returning the third resident space station crew to Earth after
129 days in space. Concluding a successful mission to the International Space Station,
today's landing brings to an end a voyage of more than 4.8 million miles for Endeavour
and marks the 57th shuttle landing at the Florida spaceport. On Endeavour's flight deck
are Commander Dom Gorie, Pilot Mark Kelly and Mission Specialists Linda Godwin
and Dan Tani. On the middeck, strapped into recumbent chairs to reduce the effects of
reentry, is the Expedition Three crew, Commander Frank Culbertson, Pilot Vladimir
Dezhurov and Flight Engineer Mikhail Tyurin.
During their 12 days in orbit, the STS-108 crew worked with both the returning
Expedition Three and newly-arrived Expedition Four crews to transfer more than three
tons of material, hardware and supplies from Endeavour to the station. Godwin and
Tani also conducted a spacewalk to install thermal protection on motor assemblies that
control the motion of the station's large solar arrays. On board the International Space
Station, the Expedition Four crew - Commander Yury Onufrienko and Flight Engineers
Dan Bursch and Carl Walz - are settling in for a planned five-month stay on orbit,
unloading the recently arrived Progress resupply vehicle.
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Maiden flight of first converted A300-600
A300-600 Frachterumbau fliegt
On December 13, 2001, the first converted A300-600 (MSN 477) freighter aircraft
performed successfully its first flight. At 11:07 a.m., the aircraft took off for a six hours
acceptance flight at Dresden airport. The conversion work of this A300-600 began in
May 2001 at EADS EFW (Elbe Flugzeugwerke), the core conversion centre within
EADS European Aeronautic Defence and Space Company N.V.. Yesterday's first
flight took place on schedule. The LBA - STC is expected to be issued at the end of
this month; the FAA - STC will follow one week later. Again, this Airbus freighter
conversion at EADS EFW consist of a 100 % OEM (Original Equipment
Manufacturer) solution and uses a maximum number of common parts from the
corresponding Airbus freighter production, which gives the operator all the reliability
and safety of a serial production aircraft. So far, EADS has provided the delivery of 88
converted Airbus aircraft (34 A300B4F, 43 A310-200F and 11 A310-300F). 15
customers all over the world are op
erating these aircraft, all converted under OEM-rules. EFW has a backlog of 26
aircraft conversions to be converted into freighter configuration within the next years.
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NEWS IN BRIEF / KURZMELDUNGEN
Whereas the European Space Agency Ministers have approved financial support for
GALILEO, the European Transport Council, at its meeting on 7 December, was
unable to agree on the go-ahead with the GALILEO Satellite Navigation System, with
some countries requesting additional time for reflection. According to AECMA, this
further delay in the decision making process creates a strong shortfall to the European
aerospace industry. Indeed, the successive high level political decisions endorsed by
European Councils had led the industry to build significant confidence in a full launch of
the programme before 2002. The GALILEO programme is vital for European
independence in transport management as well as in telecommunications (network
synchronisation, mobility, ...), security and a wide range of applications that will
otherwise still depend on GPS. This strong strategic dimension is complemented by
commercial and economic benefits to accrue with the development of downstream
added value services and applications. The GALILEO definition studies are nearing
completion and the preparations for system construction progress thanks to early
investments by industry. Delaying the programme will have severe impact on
employment within 100 companies throughout Europe, all committed to ensure that the
system is optimised in terms of cost and performance for a delivery as planned in 2008;
the provisional frequency allocations granted to GNSS: the preparations for the World
Radio Conference in 2003 need to be maintained; the confidence of future investors. A
positive signal is needed to develop and maintain it; the development of downstream
applications and services. Furthermore, the commercial projections of GALILEO are
closely linked to timeliness and fast access to market. Further delay may severely impair
the present economic rationale of the system. A clear decision to proceed is urgently
required, said AECMA
+++
On December 14, LTU received its first Airbus A321 to continue its extensive fleet
renewal program. With the delivery of the A321 LTU expands its A320 Family fleet
into the 200-seat category while maintaining full operational commonality. The A321s in
LTU's fleet will serve holiday destinations on the Canary Islands, the Mediterranean
and Northern Africa. LTU's A321 is leased from GATX and is powered by
CFM56-5B3/P engines from CFM international. LTU has chosen the 93 tons MTOW
version which enables LTU to cover distances up to 3000 nm.
+++
Fairchild Dornier announced orders for Envoy 3 jets worth more than $56 million,
bringing the company's total order book for its Envoy 3s to 10 aircraft valued at over
$140 million. The orders were announced at the National Business Aviation
Association Meeting and Convention in New Orleans, Louisiana. AvCraft Jetcharter
has ordered an Envoy 3 Corporate Shuttle. AvCraft will operate the aircraft for an
undisclosed Ohio-based company to help serve their expansion program to new sites.
The Envoy 3 Corporate Shuttle will also be available for Part 135 charter operations.
Grupo Protexa, a Monterrey, Mexico-based corporation, has agreed to purchase an
Envoy 3 executive jet for its widespread corporate activities. Grupo Protexa is a
multi-company organization involved in a wide range of industries including
construction, aviation, air ambulance operations and tourism. One other Envoy 3
corporate shuttle has been ordered and delivered to an undisclosed customer.
+++
On December 17, Air France took delivery of the first of eight A330-200s ordered
from Airbus. The aircraft was handed over to Air France President Jean-Cyril Spinetta
by Airbus President and Chief Executive Officer Noël Forgeard during a ceremony
held at the aircraft manufacturer's headquarters in Toulouse. The newly delivered
A330-200 will enter service with Air France by the end of the year on the carrier's
Paris-Boston route.
+++
Alenia Aerospazio, a Finmeccanica company, has signed an agreement with Airbus to
participate in the A380 aircraft project, Airbus's largest strategic investment for the next
20 years. Alenia's industrial role will be the design and production of a fully fitted
section of the central fuselage in 3 pieces, as well as related engineering work. The
value of the parts, which will be produced between 2002 and 2020, is around EUR
2.78 bn (USD 2.5 bn), or around 4% of the value of the air-frame. Once on-stream,
production will involve over 1,000 workers a year (including work outsourced to many
small and medium-sized businesses), while the related engineering work, to be carried
out over the next five years until 2006, will involve an average of 500 workers a year.
+++
On December 14, - Swissair Group and EDS announced they have finalized the
agreement for EDS - the world's leading provider of IT services to the airline industry -
to provide IT services to former clients of Atraxis, Swissair Group's IT subsidiary.
Under terms of the agreement, EDS ensures the uninterrupted continuation of IT
services to Atraxis' worldwide client base of airlines and airports. Today's
announcement finalizes an agreement signed between the two companies on November
5, 2001. A number of Atraxis employees in Switzerland, South Africa and the U.S. will
transition to EDS as part of the agreement. The agreement also secures social plan
benefits for the Atraxis employees in Switzerland who are not scheduled to transition to
EDS.
+++
The second build of the advanced six-stage high pressure compressor (HPC) being
developed at part of CFM Project TECH56 has successfully completed full-scale rig
testing, with a third build scheduled to go on test in 2002. Project TECH56 is a
technology acquisition and maturation program of CFM International (CFM). CFM,
the world's leading aircraft engine manufacturer, is a 50/50 joint company between
Snecma Moteurs of France and General Electric Company of the United States. "CFM
has a long tradition of stall-free compressor operation," said Pierre Fabre, CFM
president. And CEO. "With Project TECH56, we're taking that advantage to the next
level, demonstrating a quantum leap in compressor technology." The HPC has a
simplified design that achieves much higher stage loading with fewer airfoils and rotors,
thus providing operators with high efficiency and lower maintenance costs. Build I,
which completed testing in 2000, achieved design intent airflow and demonstrated
outstanding operability. Build II featured newly contoured airfoils to maintain operability
and improve efficiency. Testing has confirmed a substantial efficiency improvement with
no compromise in operability, establishing a new standard of performance for this class
of compressor. Overall, the HPC has completed more than 335 hours of testing at GE's
compressor test facility in Lynn, MA.
+++
Fraport AG Frankfurt Airport Services Worldwide will be taking full ownership of
Amsterdam-based ICTS Europe Holding B.V. Fraport's CIVAS GmbH subsidiary of
Neu-Isenburg, Germany, took a 45-percent share in ICTS Europe at the beginning of
this year. One year later on January 1, 2002, Fraport AG itself intends to acquire the
remaining 55 percent of ICTS Europe. As a result of this acquisition, Fraport AG will
become a market leader for aviation security services in Europe. Active in most West
European countries, ICTS is well placed to pursue further growth opportunities in the
entire area of terminal services. Through CIVAS and ICTS, Fraport AG will be
represented at 33 of the largest airports in the European Union (EU). Plans call for
merging CIVAS and ICTS in the near future. The new company will employ about
6,000 people and have revenues of Euro 160 million.
+++
KDA and Eurocopter SAS of France have signed a Contract for the single source
serial of Carbon Fibre Cockpit Floors for the NH90. The contract, worth 68MNOK
covers floors for the first batch of 243 helicopters ordered by the four partner nations;
France, Germany, Italy and The Netherlands. KDA have been involved and invested in
the programme since 1994, through the design, development and prototypes
manufacture of the floors. Norway has recently purchased NH90 helicopters. The
assemblies will be made in the Composite facility in Kongsberg opened in April this
year, and delivered to the helicopter assembly sites in France, Germany and Italy.
+++
Embraer delivered the first ERJ 145 to the Belgian Air Force. The aircraft, to be
registered CE_03, is the third of a fleet of four aircraft acquired by Belgium and that
includes another ERJ 145 and two ERJ 135's delivered in May and August of this year.
Delivery of the third aircraft to the Belgian Air Force took place this morning with the
presence of the Chief of Staff of that Branch, Lieutenant General Michel Mandl, and the
Belgian Ambassador to Brazil, Jean-Michel Veranneman de Watervliet.
+++
Turbomeca announced the development of the new turbo-shaft engine for helicopters:
the Ardiden. Ardiden completes Turbomeca's engine range, the widest range in the
market. This engine of new design is intended to power 5 to 6 tonne helicopters. The
power at take-off will be 1,200 shp. Its certification is planned for the year 2005.
Ardiden has been designed to deal with the most demanding missions thanks to a
maintaining of the high level of its performances in "hot and high" conditions. The main
features of this turbo-shaft engine are: A gas generator composed of two centrifugal
compressor stages coupled to one HP turbine stage; a two stage power turbine. The
control system will be operated by a dual-channel FADEC (Full Authority Digital
Engine Control). The Indian helicopter ALH (Advanced Light Helicopter) from the
company Hindustan Aeronautics Ltd (HAL) will be one of the first helicopters powered
by the Ardiden engine. The Ardiden version fitted in this helicopter is the product of a
co-development with HAL. In India, this version is called "Shakti."
+++
Careflite, a Dallas-Ft. Worth based air medical operator, has signed a contract with
Agusta Aerospace Corporation, the US branch of Agusta, an AgustaWestland
Company, for eight Agusta A109 Power EMS twin turbine helicopters. Careflite will
take delivery of four Powers in 2002 and expects to execute options for four additional
Powers for delivery in 2003.
+++
The Sikorsky S-92 has begun formal FAA certification flight testing and the cabin for
the first production aircraft is near completion as the program gathers momentum
toward 2002 certification and 2003 first deliveries. Aircraft 4 and Aircraft 5 are
engaged in busy flight test schedules at Sikorsky's Development Flight Center in West
Palm Beach, Fla. Aircraft 4 is performing handling qualities flight testing to develop data
for the FlightSafety Inc. pilot training simulator. Meanwhile, Aircraft 5 is completing
performance flight testing to generate the information on speed, lift, and engine
operating characteristics needed for FAA certification. As work continues in the skies
over Florida, on the ground Sikorsky is moving forward with S-92 production.
Mitsubishi Heavy Industries Inc., of Japan is nearing completion of the cabin section for
Aircraft 6, the first production aircraft. Long lead time components have been ordered
for production aircraft scheduled for delivery through 2004. Sikorsky is also developing
the lean tooling and manufacturing methods that will increase delivery flow and decrease
costs for S-92 customers.
+++
Eurocopter has ordered 300 Topowl helicopter helmet-mounted sight/displays
(HMS/D) from Thales Avionics for the NH90 helicopter. Thales Avionics' Topowl
HMS/D is already operational on the Tiger and Rooivalk helicopters. With this latest
contract signed December 12th, armed forces from seven countries (France, Italy,
Germany, Norway, Finland, Australia, South Africa) have now chosen the Thales
Avionics Topowl. The current programs will lead to a production of more than 1000
Topowl. Topowl is based on the visor projected images concept.
+++
The New York State Police successfully conducted the first flight of a UH-1 modified
with a Bell Helicopter Textron Huey II Upgrade package. The modification upgrade
installation was performed by Helipro - East Coast Division facility located in
Wappingers Falls, New York. This is the first of three planned Huey II upgrades for the
New York State Police. According to the New York State Police, these aircraft will
conduct fire fighting, fish stocking, search and rescue, as well as general law
enforcement operations. Jeff Pino, Senior Vice President for Bell Helicopter said today,
"This first flight is important because it launches the first public use Huey II in the United
States. This provides continuing evidence of the on going success of this very important
program for both Bell Helicopter and the New York State Police."
+++
On Wednesday 12, at the National Business Aviation Association (NBAA) Annual
Meeting day one, a milestone deal was reached between Embraer and Chicago-based
Indigo, a corporate jet service company. Constituting a firm order for 25 Legacy
Corporate Shuttles, with options for 50 more, the sale amounts to US$ 1.1 billion.
The deal is contingent on Indigo successfully obtaining financing for the order. The first
delivery is expected in August 2002. The largest sale at NBAA 2001 so far, the Indigo
deal marks yet another success in the roll out of Embraer's first corporate jet, the super
mid-size Legacy. "It is very satisfying to be chosen to play an integral role in Indigo's
expansion," said Sam Hill, Executive Vice President of Embraer, Business Aviation
market, "and to have the sale finalized here at NBAA is great news. We were already
looking forward to bringing the Legacy to the U.S.; this is a great reception."
+++
A NASA F/A-18 jet flying in the wingtip vortex behind another F/A-18 exhibited a
12-percent fuel savings at cruise altitude. The two aircraft, part of the Autonomous
Formation Flight (AFF) project based at NASA's Dryden Flight Research Center,
Edwards, Calif., flew the mission in early December. During the 96-minute flight, the
trailing aircraft burned about 600 pounds less fuel than a third F/A-18 that flew outside
the formation. The savings demonstrated the aircraft range could have been extended
more than 100 nautical miles while flying in formation. The trailing F/A-18 and the solo
aircraft flew a second flight verifying the fuel readings, proving the results of the
operational flight were accurate. The goal of the Autonomous Formation Flight project
is to demonstrate sustained 10 percent fuel savings of the trailing aircraft. The project
seeks to extend the symbiotic relationship of migrating birds to manage formations of
aircraft. The traditional "V" formation allows each bird flying aft of the lead bird to
reduce drag and conserve energy.
+++
Bombardier Aerospace announced that Hydro-Québec has placed a firm order for two
72-seat Bombardier Q400 aircraft for the employees' shuttle between Montréal and
airfields serving hydro-electric generating sites in Northern Québec. Hydro-Québec is
presently in the process of replacing its fleet of four Convair 580 turboprops.
+++
Boeing engineers have completed 90 percent of the design work for both the passenger
and freighter versions of the new Longer-Range 747-400 family of airplanes - two
weeks ahead of schedule. The first of these airplanes begins major assembly in
February 2002, rolls out of the Everett, Wash., factory in June and, after a four-month
flight test program, will be delivered in October to launch customer Qantas Airways.
The delivery will be one month ahead of the original schedule.
+++
NASA announced an additional $94.6 million in contract awards to advance the
agency's Space Launch Initiative (SLI) -- a research and development effort to
develop the technologies needed to build a second-generation reusable launch vehicle,
as well as to design vehicle architectures for 21st century missions. These awards
represent the final round of competitive selections under cycle one of the NASA
Research Announcement (NRA) for NASA's Space Launch Initiative issued in
October 2000. NASA's Space Launch Initiative made its first round of contract
awards -- valued at $791 million -- in May to 22 prime contractors. A new round of
competitive proposals should be received in March 2002 under cycle two of the
NASA Research Announcement. Today, NASA selected Northrop Grumman in El
Segundo, Calif., and Orbital Sciences Corp. in Dulles, Va., to receive a combined
increase of $20.7 million. The two companies will team to provide systems engineering
and architecture definition for NASA's Second Generation Reusable Launch Vehicle
program, which manages the SLI, laying groundwork for greater access to space for
civil exploration, as well as potential defense and commercial applications. Of the new
award, Northrop Grumman will receive $15.7 million and Orbital Sciences Corp. will
receive $4.9 million. The two contracts hold a renewal option upon successful
completion of a review in March 2002.
+++
NASA's adventurous Deep Space 1 mission, which successfully tested 12 high-risk,
advanced space technologies and captured the best images ever taken of a comet, will
come to an end Dec. 18, 2001. "American taxpayers can truly be proud of Deep
Space 1," said Dr. Colleen Hartman, Director of NASA's Solar System Exploration
Division, Washington. "It was originally designed to be an 11-month mission, but things
were going so well that we kept it going for a few more years to continue testing its
remarkable ion engine and, as a bonus, to get close-up images of a comet. By the time
we turn its engines off tomorrow, Deep Space 1 will have earned an honored place in
space exploration history."
+++
Compared with the corresponding month the previous year, the Traffic Performance
Figures for November 2001 of the Austrian Airlines Group recorded a fall in the
volume of passengers carried on scheduled flights of - 3.6%. While there was a 13.3 %
reduction in the number of available seat kilometres, the number of revenue passenger
kilometres was also down by 20.2 % , so that the passenger load factor fell 5.1
percentage points, to a level of 59.4 %.
+++
NASA researchers are developing new prototype robots that can drive up steep hills
and descend almost-vertical cliffs. Working alone or as a team, these autonomous
robotic explorers may go where no rover has gone before -- the cliffs of Mars.Recent
Mars Global Surveyor images suggest water outflows near cliff edges and the possibility
of rich water-borne mineral deposits that extend all the way to the cliff base.
+++
Stratos Mobile Networks (USA) LLC, Bethesda, Md., is being awarded an
indefinite-delivery/indefinite-quantity contract for commercial INMARSAT-B high
speed data leased service to provide up to 200 leased channels per month, for a data
rate of up to 128 kilobits per second per channel. The service shall be full duplex,
global (plus or minus 70 degrees latitude), for ship-to-shore and shall be available 24
hours a day, seven days a week. Both 64 kilobits per second and 128 kilobits per
second service will be provided. In addition, non-channelized service is proposed as an
unpriced pre-planned product improvement option. Service must be fully integrated
with INMARSAT Nera Saturn-Bm terminals. Other items that are available for order
include terrestrial connectivity between the service-provider's land earth stations (LESs)
and Navy points of presence (POPs) located in Wahiawa, Hawaii; Norfolk, Va.;
Naples, Italy; and Bahrain; and service from secondary LESs with terrestrial
connectivity to the foregoing Navy POPs.
+++
The US Air Force announced a new initiative to transform Headquarters Air Force
(HAF) into a more streamlined and effective organization. This will allow processes and
staff arrangements to be put in place to cultivate efficiencies. The goals of this
reorganization are to improve business processes, eliminate unnecessary bureaucratic
duplication and oversight, and align appropriate headquarters functions in support of the
nation's warfighters. "Along with our colleagues in the U.S. Army, we are closely
aligning our civilian and uniformed staffs to speed decision making, and to facilitate
effective handling of multiple issues ranging from Air Force Department management
issues to providing support for Operations Noble Eagle and Enduring Freedom" said
James G. Roche, secretary of the Air Force. "This headquarters transformation reflects
the need for all of us in government to be more agile and efficient," said Roche. "The
secretary of Defense has charged us with the task of working effective ly together to
execute our joint responsibilities to provide global reconnaissance and strike capabilities
for this nation."
+++
Boeing employees in St. Louis celebrated the start of final assembly of the 227th U.S.
Air Force F-15E Strike Eagle. The aircraft, to be delivered in June 2002, is the first
of 10 new F-15E aircraft Boeing is building for the Air Force. Deliveries of those
aircraft will extend through 2004.
+++
BAE Systems has been selected by the United Kingdom's Ministry of Defense to
conduct a technology demonstration program for UK's Fast Jet Directed Infrared
Countermeasures (DIRCM) Laser System. Under a two year, $5.6 million contract,
BAE Systems Information & Electronic Warfare Systems (IEWS), headquartered in
Nashua, New Hampshire, will develop a robust, miniaturized, laser-capable
Acquisition, Pointing and Tracking System. BAE Systems new DART -- short for
Defensive Avionics Receiver Transmitter - System will show its ability to provide
``stabilized and precise threat tracking, as well as a high-power laser jamming
capability'' to defeat advanced infrared missile threats, according to Robert Delaney,
DART System Program Manager.
+++
The fully indigenous cryogenic engine being developed by the Indian Space Research
Organisation (ISRO) would be ready by 2003-04. According the ISRO there are no
bottlenecks in the development of the indigenous engine other than the complexity
involved in the technology. Significant progress has been made in terms of erection and
commissioning of the test facilities, realisation of the engine, production of liquid
hydrogen from the in-house plant, initiation of qualification of engine and the fabrication
of stage tankages and components.
+++
Space Systems/Loral (SS/L), a subsidiary of Loral Space & Communications, today
announced that it has finalized a contract with Mobile Broadcasting Corporation
(MBC) of Japan for construction of the MBSAT communications satellite. MBSAT will
deliver digital multimedia information services such as CD-quality audio, MPEG-4
video and data to mobile users throughout Japan. On-orbit delivery of the spacecraft is
scheduled for fourth quarter 2003 with service expected to begin in early 2004. In
2001, SS/L has booked five new satellites, bringing its current backlog to $1.6 billion.
+++
CAE announced it has signed a definitive agreement with GE Capital Commercial
Equipment Financing to acquire 100% of the shares of a leading business jet training
company, SimuFlite Training International Inc. ("SimuFlite") for US$247 million
(approximately C$390 million). US$60 million of this will be financed by a sale and
leaseback of certain long-term assets of SimuFlite provided by the seller. The
transaction, which is subject to certain regulatory approvals, is expected to close by
December 31, 2001. CAE also announced it has made a strategic decision to divest its
Forestry Systems businesses and has retained CIBC World Markets to manage a
competitive sale process. The Canadian, American and Finnish operations provide
advanced technologies which enable the optimization of value from wood fiber
resources. CAE President and Chief Executive Officer, Derek H. Burney stated:
"These are two pivotal moves which will strengthen CAE's future growth. With the
acquisition of SimuFlite, we are accelerating our move into aviation training. This will
position us prominently in the business aircraft training market in the U.S.A. and make
CAE the world's number two provider of training services to third parties. At the same
time, the divestment of our Forestry Systems group will enable us to concentrate more
exclusively on the provision of comprehensive training solutions in commercial aviation,
defense and marine markets."
+++
Air Chief Marshal Sir Peter Squire, the United Kingdom's Chief of the Air Staff, has
just joined an elite band by taking control of the worlds most advanced swing-role
aircraft, Eurofighter Typhoon. Sir Peter took control of DA4, the twin seat
development aircraft based at BAE Systems Warton, in a 60-minute flight, during his
visit to BAE Systems' Warton site in Lancashire. In doing so Sir Peter became the first
non-RAF test pilot to fly the aircraft. During the flight The Chief of Air Staff
experienced speeds in excess of 900mph and demonstrated the aircraft's supersonic,
supercruise and groundbreaking handling capabilities.
+++
L-3 Communications announced that its Link Simulation and Training division and STN
Atlas Elektronik GmbH, a Germany-based subsidiary of Rheinmetall DeTec AG,
have formally signed a teaming agreement on future flight simulation projects using
advanced laser projection systems. The agreement provides Link exclusivity to a unique
laser projection system, known as Avior, and STN Atlas access to the U.S. military
flight simulation market. STN Atlas expects significant revenue growth from this
agreement. "A primary benefit to military flight simulation through the use of this laser
projection system will be more realistic and reliable visual system solutions that will
enhance the training experience," said Jim Dunn, president of Link Simulation and
Training. "Military flight simulation users have long required improved visualization to
undertake training that can support advanced war fighter readiness." "Access to the
U.S. market has always been a strategic goal for our company," said Dr. Thomas
Kuestner, chairman of the Management Board of STN Atlas Elektronik GmbH. "The
agreement with L-3 Communications means a major step forward for us." Avior
promises outstanding benefits for military flight simulation customers that include high
brightness and exceptional contrast of computer generated imagery viewed by pilots
during training exercises. This laser projection system, which also supports a low life
cycle cost, provides a high performance alternative to existing projectors used in
military flight simulators today.
+++
Rolls-Royce plc and Aviall, Inc. announced the signing of a definitive agreement
between the two organizations for worldwide aftermarket parts support of Rolls-Royce
Model T56 and 501-D turboprop engines. Effective January 2, 2002, all sales, order
administration, warehousing, component repair coordination, and product and
publications distribution will be conducted through Aviall from their more than 37
customer service centers located around the world.
+++
Messier-Dowty announced that it has been chosen to provide the integrated landing
gear system for Dassault's Falcon 7X. Joint development of the landing gear and
associated subsystems has commenced at Dassault's facility in St. Cloud, France, under
terms of the agreement, which could be worth over $175 million throughout the life of
the program for a planned fleet of 400 aircraft. The 7X was announced at the Paris Air
Show in June with first flight expected by the first quarter of 2005 and certification in
mid-2006.
+++
Pressure from Boeing employees here, who feared their jobs were being sent
overseas, helped earn a reprieve for production of the midrange 717 jetliner. Boeing
said in October the 100-seat 717 was unwanted by airlines and would almost certainly
be phased out. The Company said a decision on the future of the aircraft would be
made this month. The announcement came even as Boeing held an agreement with
Russia's Sukhoi and Ilyushin aircraft companies to build a similar jetliner. Boeing said
this "new 717" had a world market of more than 3,000 aircraft. Last month, SCPEA
members started a "Save our Jobs" campaign to solicit support for continuing the 717
program. The effort included a mailing campaign to local, state and national officials,
workplace visibility items, and an employees' rally in Long Beach. The 100-seat 717
are the last commercial airplane originally designed and built by the former McDonnell
Douglas Company.
+++
Pratt & Whitney (P&W) and Rolls-Royce signed the contract covering
Rolls-Royce's short take-off/vertical landing (STOVL) development work for the F135
propulsion system for the Lockheed Martin Joint Strike Fighter (JSF) aircraft. The
contract was signed by Walter Bylciw, Executive Vice President of Military Engines at
P&W, and by Andy Stevens, Managing Director of Rolls-Royce Defense (Europe), at
a ceremony held at Rolls Royce's corporate headquarters. The contract, worth
approximately $1 billion to Rolls-Royce over ten years, is for the System Development
and Demonstration (SDD) phase of the program. It covers design and development
work on the innovative LiftFan, the roll posts, the three bearing swivel duct and nozzle
system that together provide the STOVL capability for the JSF. P&W has prime
contractor responsibility for the development of the propulsion and lift system for the
JSF under the terms of a $4.8 billion contract awarded by the U.S. Department of
Defense. Activities iill include the design and manufacturing of ground test engines, as
well as subsequent production and support of flight test engines.
+++
The European Commission plans to grant a six-year exemption from European
competition rules to a partnership between Lufthansa and Austrian Airlines after the
two airlines, in the Commission's preliminary view, sucessfully resolved concerns about
reduced competition. The Commission's intention is announced today in a Notice
published in Official Journal C356. The undertakings offered will create the conditions
for entry of rival airlines on routes between Germany and Austria thus avoiding the
creation of a quasi-monopoly on air transport services between the two countries which
would have been against passengers' interest. In December 1999, Austrian Airlines
Österreichische Luftverkehrs AG (AuA) and Deutsche Lufthansa AG notified a
co-operation agreement with the Commission requesting an exemption under European
competition rules. The agreement will, amongst other things, allow them to co-ordinate
fares and schedules for all flights world-wide. After a careful examination and following
unproductive discussions with the companies, the Commission issued a Statement of
Objections in May 2001, warning that the co-operation agreement, as originally
conceived, could not be exempted as it would eliminate competition on virtually all
routes between Austria and Germany leaving travellers with no choice of airline and
predictably higher prices. This warning bore fruit. Immediately afterwards, efforts
intensified to promote competition on the routes concerned or to ensure that consumers
would not suffer from monopoly profits. It must be stressed that although the EU air
transport market has been liberalised, high entry barriers, like the shortage of slots at
main airports, the parties' high number of frequencies and the pooling of frequent-flyer
programmes, prevent other carriers to enter the market. In the case of non-EU airlines
entry is made even more difficult by additional regulatory barriers.
+++
The EU Commission is continuing to act to counteract the repercussions of the
terrorist attacks in the United States on the air transport industry. Following the
emergency aid by the United Kingdom, Luxembourg, Portugal and Belgium which it has
already authorised, it has now authorised the aid schemes introduced by Austria,
Danmark, France, Germany and Spain. The Commission's decisions are fully in line
with its Communication of 10 October(1) in which it announced that some types of aid,
including aid for insurance to compensate for damage caused by natural calamities or
other extra-ordinary events could be granted to the air transport industry by way of
exception. The Commission is currently examining the compatibility of similar
emergency aid schemes notified by the other Member States.
+++
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