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UPDATE
Week ending June 8, 2003

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Mars Express en route for the Red Planet +++ DBA sold to Intro +++ IATA: Industry in crisis, change essential +++ EC gets aviation negotiating power +++ Harrier GR9 takes off +++ News in brief +++


Mars Express en route for the Red Planet
Europäische Sonde auf dem Weg zum Mars

ESA PR 36-2003. The European Mars Express space probe has been placed successfully in a trajectory that will take it beyond the terrestrial environment and on the way to Mars – getting there in late December. This first European Space Agency probe to head for another planet will enter an orbit around Mars, from where it will perform detailed studies of the planet's surface, its subsurface structures and its atmosphere. It will also deploy Beagle 2, a small autonomous station which will land on the planet, studying its surface and looking for possible signs of life, past or present.
The probe, weighing in at 1 120 kg, was built on ESA's behalf by a European team led by Astrium. It set out on its journey to Mars aboard a Soyuz-Fregat launcher, under Starsem operational management. The launcher lifted off from Baïkonur in Kazakhstan on 2 June at 23.45 local time (17:45 GMT). An interim orbit around the Earth was reached following a first firing of the Fregat upper stage. One hour and thirty-two minutes later the probe was injected into its interplanetary orbit.
"Europe is on its way to Mars to stake its claim in the most detailed and complete exploration ever done of the Red Planet. We can be very proud of this and of the speed with which have achieved this goal", said David Southwood, ESA's Director of Science witnessing the launch from Baikonur. Contact with Mars Express has been established by ESOC, ESA's satellite control centre, located in Darmstadt, Germany. The probe is pointing correctly towards the Sun and has deployed its solar panels. All on-board systems are operating faultlessly. Two days from now, the probe will perform a corrective manœuvre that will place it in a Mars-bound trajectory, while the Fregat stage, trailing behind, will vanish into space – there will be no risk of it crashing into and contaminating the Red Planet.

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DBA sold to Intro
Währl übernimmt DBA für einen Euro

British Airways has signed an agreement today, Monday 2 June, 2003, to sell its wholly owned German subsidiary dba (formerly Deutsche BA) to Intro Verwaltungsgesellschaft mbH, the Nuremburg-based aviation consultancy and investment company. Intro will buy the entire share capital of dba for Euro 1. As part of the transaction, British Airways will invest up to £25 million (Euro 35 million) in dba and will also underwrite the German carrier's fleet of 16 aircraft for one year, at a cost of £2 million (Euro 3 million) per month. In exchange, British Airways will receive 25 per cent of any dba profits, or 25 per cent of any profit on disposal of dba, up to June 2006.
Roger Maynard, chairman of dba and British Airways' director of investments and joint ventures, said: "Dba does not fit with our core full service network strategy and the new owners will be able to give the business the commercial focus it needs. The people in dba have done a great job in carving an important niche in the German domestic market with an operational performance second to none. I wish them well. "This deal is a sensible one in the current climate. It ends our exposure to German losses yet gives us the benefit of a share in any profits that the company makes in the next three years. "There are no changes to dba's flights, as a result of the change in ownership, and for customers and staff it is very much business as usual.” The sale transaction will be completed by July 1 2003. Intro was advised by Barons Financial Services of Geneva and London. Hans Rudolf Wöhrl , chief executive officer of Intro Verwaltungsgesellschaft mbH, has considerable experience in the aviation industry. He was the founder of NFD, forerunner of Eurowings, and also was a member of the dba board between 1994 and 2001.

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IATA: Industry in crisis, change essential
Airline-Krise erfordert Veränderungen

"Bold changes are needed to ensure the long-term financial sustainability of the air transport industry," said IATA Director General and CEO Giovanni Bisignani at the opening of the 59th Annual General Meeting (AGM) of IATA in Washington D.C. The successive impact of September 11, a world economic slowdown and SARS has been devastating. Industry losses in 2001 and 2002 amounted to US$25 billion. Bisignani characterized the last two years as being like "a boxer who gets hit harder after every knockdown." Bisignani noted that the industry is fighting back with change. The industry is re-inventing itself with cost reductions and efficiency gains. But this is not enough. Bisignani outlined the next steps in the industry's fight for survival which include a new approach to labor relations and a new role for governments outlined in the Washington Declaration adopted by member airlines at the AGM.
Labor costs cannot remain immune from the change in cost structure needed by the industry. Cost reduction has seen industry employees accept wage cuts in addition to the painful loss of over 400,000 jobs. "This is an opportunity for our pilot colleagues to work with management to safeguard this industry," said Bisignani. Pilots must "not hide behind old work rules, such as seniority lists, which are out of touch with today's competitive world. The industry needs to reward performance, not age or seniority," said Bisignani. "Outdated government regulations represent the strongest obstacles to change," said Bisignani. In the Washington Declaration, adopted at this IATA AGM, IATA Member airlines called upon governments to help them ensure a sustainable future for international air transport. "The key questions are: what should be regulated and how much? Safety and security definitely must be regulated but commercial regulation established in the era of DC-3s is clearly outdated," said Bisignani.
Specifically, Bisignani said that IATA supports regional liberalization as a step towards "wide open skies" and a competition regulatory framework that will allow for consolidation. Further IATA supports liberalization of national ownership and control laws, where feasible, to give airlines the freedom to merge, acquire and go to international financial markets. While airlines operate in a commercial competitive environment, airports and air traffic service providers are monopolies who account for US$40 billion of airline costs. "Many airports and ATS providers have been good partners but the real issue remains inadequate economic regulation and accountability. Running an airport cannot be the licence to print money that some monopoly service providers believe they have been granted. The industry cannot afford to continue to support 20% average profit margins for airports and ATS providers," said Bisignani.

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EC gets aviation negotiating power
Luftverkehrsverhandlungen jetzt über EU

On June 5, the EU Transport Council agreed on a package of measures that passes responsibility for conducting key air transport negotiations to the European Commission. In particular, it granted the European Commission a mandate to begin negotiations on a new transatlantic air agreement. It also agreed that the Commission should open negotiations with other foreign states on airline ownership restrictions and that Member States should be permitted to continue bilateral negotiation subject to a degree of Community control. "This is an historic decision. Today we have reached a deal that will enable the European Union to assert itself at international level and to work for the benefit of its consumers and its aviation industry" said Loyola de Palacio, vice-president in charge of Transport and Energy. "We aim to launch negotiations with the US within a month on an agreement that will bring together the two largest aviation markets in the World". The package agreed today consists in three different parts: A Council decision on authorizing the Commission to open negotiations with the United States in the field of air transport. A Council decision authorizing the Commission to open negotiations with third countries on the replacement of certain provisions in existing bilateral agreements with a Community agreement. A proposal for a Regulation of the European parliament and of the Council on the negotiation and implementation of air service agreements between member States and third countries.
Mandate for negotiating an Open Aviation Area with the US: The agreement reached at the Council authorizes the Commission to open negotiations with the United States and, in addition, grants it a general mandate to open negotiations with any foreign country in order to secure market access for all Community airlines on a non-discriminatory basis. This agreement marks a historic development in the Community's aviation policy. For the first time, representatives of the two largest aviation markets in the World, the US and the EU, will be able to discuss opening up their markets and investment rules directly. The mandate covers a wide-range of issues as, among others: traffic rights, routes, capacity, frequency, slots, fares, application of competition rules, high standards of safety and aviation security.

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Harrier GR9 takes off
Erstflug des Harrier GR9

The first Harrier GR9 successfully completed its maiden flight from Warton aerodrome in Lancashire on May 30. The aircraft took off conventionally at 1449 and made a flight lasting 1 hour 10 minutes, which included a short hover. This is a significant milestone in a programme that will provide the Harrier with the latest in avionic systems and smart weapons capability. The development aircraft (ZD320), flown by BAE Systems Harrier test pilot John awson, is equipped with new avionic system equipment and latest generation mission software. It will now enter a comprehensive test programme to further develop the new systems and fully realise the potential of the new weapons and sensors being introduced in a phased series of capability releases over the next five years. The first capability will be released to the customer by BAE Systems in November 2004. The £500m-plus full GR9 upgrade programme will provide UK Joint Force Operations with uprated digital systems and clearance for digital weapons, allowing the RAF Harriers to strike a wider range of targets, from longer range. This upgrade will introduce a baseline aircraft system capability that will allow the aircraft to deliver smart weapons ) Brimstone and precision guided bombs ) and support an enhanced integration of weapons such as Maverick and Sidewinder.

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NEWS IN BRIEF / KURZMELDUNGEN

Ryanair announced record traffic and profit growth for the year (end 31 Mar'03). Passenger traffic for the year grew by 42% to 15.7m as average load factors increased from 81% to 84%, primarily due to a 6% reduction in average fares. This reduction in yields was a result of continuing price promotions, the launch of over 20 new routes, a new base in Milan-Bergamo, and Ryanair's commitment to offer the lowest fares in every market it serves. Total revenues in the year rose by 35%, however operating costs rose at a slower rate by 26%. As a result Ryanair's after tax margins increased exceptionally from 24% to 28%, and Net Profit increased by 59% to EUR239.4m. Announcing these results, Ryanair's Chief Executive, Michael O'Leary said in London: "These results demonstrate how robust Ryanair's lowest fares business model is in Europe. Our fares are much lower than any other EU airline and our outstanding team of 1,900 people remain committed to relentlessly driving down air fares. As our people now form one of our largest shareholder blocks, I am delighted that their efforts are being rewarded, not just with higher pay and rapid promotion, but also with increasingly valuable share options. We will continue to lower costs and we will use these low costs and record profit margins to drive down fares even faster and stimulate rapid growth. Ryanair has - for the fifteenth year in a row - delivered increased profits, despite a 6% reduction in average fares, at a time when most of our competitors are reducing capacity and announcing losses. The market has suffered from high fuel prices, the war in Iraq, the impact of SARS and the continuing effect of the economic downturn in many European countries. Despite these difficult conditions Ryanair's continued profitability stems from the fact that we have the lowest costs and the lowest air fares which no other European airline can match."
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Boeing and Lufthansa Technik have received industry-leading aircraft certifications from the German aviation authorities (LBA) and the U.K. Civil Aviation Authority (CAA) that will enable the use of airborne wireless applications on select commercial flights using the Connexion by Boeing mobile information service. The groundbreaking rulings pave the way for passengers to use their own IEEE 802.11b Wi-Fi devices within the airline cabin environment. "These collaborative authorizations for wireless communications in the cabin are a significant breakthrough for British Airways and Lufthansa and something that we've worked extremely hard to obtain,” said Connexion by Boeing Vice President of Global Network Sales Stan Deal. "Our technical teams have worked diligently to demonstrate that wireless applications comply with rigorous aviation standards and also to demonstrate the value-added benefits that wireless connectivity can bring to air travel worldwide.” Receipt of the wireless authorizations is the result of unprecedented industry cooperation between Lufthansa German Airlines, British Airways, Lufthansa Technik, Boeing Commercial Airplanes and Connexion by Boeing. As the certification applicant, Lufthansa Technik designed the onboard Wireless Local Area Network (WLAN) and developed the certification plan. Working together, Connexion by Boeing and Boeing Commercial Airplanes developed a supporting plan for testing and analyses and provided technical guidance to resolve all certification review items levied by the certification authorities.
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The U.S. Navy awarded Lockheed Martin a $13 million firm-fixed-price contract for seven AN/AQS-232 Airborne Mine Neutralization Systems (AMNS) for MH-53E helicopters. The contract includes support equipment, shipboard containers, expendable neutralizers, training and minor engineering changes. Work is scheduled to be completed by early 2004. AMNS is an expendable, remotely operated mine neutralization device, deployed from MH-53E helicopters, to provide identification and neutralization of bottom and moored mines. A primary component of AMNS, the SEAFOX unmanned underwater vehicle, is provided by STN-Atlas. Because it is designed to be operated from helicopters, the AMNS provides the Navy with the capability to destroy mines in the littoral battlespace without having to use supporting mine countermeasures ships.
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The Japan Defence Agency (JDA) has announced that it has selected the EH101 to meet the Navy's Airborne Mine Counter-Measures (AMCM) and Antarctic Survey transport requirements, subject to satisfactory contract negotiations. EH101 was selected after a competition which started with Sikorsky's S-92 as a contender. In total, it is expected that fourteen utility, RTM322 powered, rear-ramped variants of the EH101 will be ordered to replace the Japan Maritime Self Defence Force's (JMSDF) long-serving fleet of Sikorsky MH-53Es and S-61s. Eleven EH101s will be based at Iwakuni, near Hiroshima, the home of the AMCM squadron HM111. To date, only Japan and the US have mastered the use of the helicopter for the specialist minesweeping role which necessitates a powerful and safe helicopter with high payload and range, and large cabin capacity. The squadron will also be responsible for the transport role in the JMSDF, and for the first time has a multi-role helicopter to perform it, utilising specially designed modules to allow quick changes between the two missions.
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EADS has been awarded the development order for the new fire control computers for the MARS/MLRS rocket launchers of the German Army and also of the Italian and French armed forces. The Federal Office of Defence Technology and Procurement (BWB) awarded the development order to Dornier GmbH, a unit of EADS. The contract volume amounts to 41.5 million euros with the EADS Systems & Defence Electronics Business Unit responsible for the development of the modern fire control system. "This development guarantees long-term utilisation of this successful artillery system, once again exhibiting our experience and competence in the field of electronic component development”, said Dr. Stefan Zoller, Head of EADS Systems & Defence Electronics. The modern fire control system shall offer sufficient growth potential to enable easy range implementation and an improvement in sighting accuracy. Following a study phase of several years under the lead of Dornier GmbH with Thales/France, Thales/Italy, and Krauss-Maffei Wegmann, the successful completion of the demonstrator phase was reached. As a result of these efforts, the European Fire Control System (EFCS) was formedas a three-nation development project between Germany, France and Italy under the lead of the Federal Office of Defence Technology and Procurement (BWB) in Germany.
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Goodrich Corporation has developed a new composite material technology with fireproof qualities. The material, called the FyreRoc(TM) system, was originally created for use in the manufacturing of composite products for military applications such as bulkheads and watertight hatches for naval ships. The FyreRoc material was developed by the company's Engineered Polymer Products division in Jacksonville, Florida. FyreRoc materials are partly composed of an inorganic resin that will not ignite. It will not produce smoke or toxic fumes, or generate heat. The FyreRoc material is compatible with a variety of reinforcements including stainless steel, carbon and glass. The combination of FyreRoc resin and reinforcements can be used in a myriad of industrial, commercial and consumer applications.
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Boeing is teaming up with more than 20 international systems suppliers to develop technologies and design concepts for the Boeing 7E7. As the technology development work concludes later this year, the same companies will compete to become ongoing suppliers to the program. Members of the Systems Technology Team include: ECE Zodiac, Messier-Bugatti and Thales from France; Diehl and Liebherr-Aerospace Lindenberg from Germany; Teijin Seiki from Japan; FR-HiTemp and Smiths Aerospace from the United Kingdom; and BAE SYSTEMS (also United Kingdom), Connexion by Boeing, Crane Aerospace, Fairchild Controls, Goodrich Corporation, General Dynamics, Hamilton Sundstrand, Honeywell, Matsushita Avionics Systems, Moog, Parker Hannifin Corporation, Rockwell Collins, and Triumph Group from the United States.
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Stork Aerospace in Papendrecht delivered the first complete tail section for the new NH90 helicopter. This delivery marks the start of series production for the European NH90 helicopter programme by the Dutch industry. This programme is a joint effort by the international NHI consortium, consisting of Eurocopter (France and Germany), Agusta (Italy) and Stork Aerospace (Netherlands). Production was initially intended to reach a total of 254 aircraft for use by the participating countries. In addition, the project is developing into a successful export programme, with orders now received from 3 countries for a further 52 helicopters. The contribution to the European consortium by the Dutch industry, for which Stork Aerospace acts as national consortium leader, comprises the design and production of:
the complete tail sections (Stork Aerospace), the cabin doors (Stork Aerospace), the wheel housings (Stork Aerospace), the landing gear (SP aerospace&vehicle systems), a software module for the main computer (Netherlands National Aerospace Laboratory NLR).
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Minister for Defence Procurement, Lord Bach, announced that Lockheed Martin UK Ltd has been selected by the Ministry of Defence for a two-year programme to assess possible upgrades to the Royal Navy's Merlin HM Mk1 weapon system. Westland Helicopters Ltd will be a strategic partner in a powerful teaming for the assessment phase of the Merlin Capability Sustainment Plus Programme (Merlin CSP), worth approximately £18 million, which will evaluate obsolescence issues and weapon system upgrades. The precise scope of any future upgrades will be assessed during the study programme, however all aspects of the Merlin weapon system will be examined such as the helicopter, ground support and control systems as well as the support structure including the sophisticated Merlin University at RNAS Culdrose. A major aim of the study will be to seek whole life cost reductions moving to commercial off the shelf (COTS) equipment and an open system computer architecture which in turn will allow for lower cost insertion of future technology and system upgrades.
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The new Soyuz TMA spacecraft, which will carry ESA astronaut Pedro Duque to the ISS and back in October 2003, has been fully approved for operations. This was announced by Nikolai Zelenshikov, First Deputy President of RSC Energia, at an official briefing in Moscow on 26 May to present the findings of the enquiry commission's investigation of last month's ballistic re-entry by Soyuz TMA-1. The maiden flight of the new series by the Soyuz TMA-1 spacecraft was launched from the Baikonur Cosmodrome in Kazakhstan on 30 October 2002. The crew consisted of ESA astronaut Frank De Winne from Belgium and Russian cosmonauts Sergei Zaletin and Yuri Lonchakov. After completion of his mission tasks on the ISS, Frank De Winne returned to Earth in a Soyuz TM-34, one of the previous series of Soyuz spacecraft. Despite the unplanned re-entry in what is known as 'ballistic' mode, all the new systems used within the Soyuz TMA-1 spacecraft performed according to plan, including, in particular, the new soft-landing system, which incorporates new engines and a new frame. This reduces the landing shock from 12g in the old Soyuz TM series to 5g in the Soyuz TMA family. The Soyuz TMA-1 parachutes also functioned correctly. The problem, which caused Soyuz TMA-1 to perform the re-entry in ballistic mode and land 150 km north of Baikonur 400 km short of the intended landing site, was due to a failure in the BUSP-M guidance system, which is necessary in order to carry out a controlled re-entry. This guidance system reads gyroscopes and accelerometers and sends appropriate commands to attitude control thrusters. The yaw control channel, a sub-unit of the BUSP-M produced 'undefined' readings, indicating a malfunction. This caused higher control functions to take the BUSP-M system out of the control loop and convert to the ballistic re-entry mode. In this mode of re-entry the trajectory is steeper than in a controlled re-entry and the capsule rotates around its axis of trajectory to increase stability. The steeper trajectory reduces flight time and increases deceleration. This had the effect of applying an 8g gravity load to the crew of Soyuz TMA-1 as compared to a maximum of 6g in a controlled re-entry mode.
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The new engineering center of Airbus in Russia ECAR, which has been created jointly with the Kaskol Group was officially opened today in Moscow in the presence of Russian Deputy Prime Minister Boris Aleshin. This is Airbus' first engineering facility in Europe outside its home countries,. The ceremony, hosted by Airbus Chief Operating Officer Gustav Humbert and Kaskol Group President Sergei Nedoroslev, was also attended by representatives of Russian Aerospace Agency Rosaviakosmos and the Russian aviation industry as well as numerous guests. On the occasion of the opening, Mr. Humbert said: "We are delighted that hardly a year after Airbus selected Kaskol as its leading industrial partner in Russia in May 2002, we are now celebrating the opening of ECAR. This is a further major milestone in the long-standing relationship Airbus and its major shareholder EADS have with the Russian aviation sector, which was given a great impetus by the strategic partnership signed in July 2002 between Rosaviakosmos and EADS ”. "Despite the existing downturn in the world airline industry, Airbus has decided to remain fully committed to the ECAR project which, we are convinced, will set the standards for any future close partnership between our respective sides of Europe. An amazing amount of work has been accomplished in a record time by our respective teams in a mutual spirit of professionalism, genuine trust and a remarkable will to progress, which heralds a bright future for ECAR.”
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Members of the NAVAIR E-6B Program Office (PMA-271) and Strategic Communications Wing 1 marked a first in U.S. military aviation history on May 28 when they commemorated an E-6B Mercury engine that surpassed 15,000 hours of flight time without the need for major repair or removal from the wing. Oklahoma City community members, defense industry members from CFMI, Boeing and GE joined Wing and NAVAIR personnel to celebrate the milestone event during the ceremony held at Tinker Air Force Base, Okla. In early May, the CFM-56-2A-2 turbo fan engine, one of the four engines that powers the E-6B Mercury, surpassed the 15,000-hour mark. This is the first time in U.S. military aviation history this milestone has been achieved.
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Elbit Systems Ltd. announced that its wholly owned subsidiary Elop Electro-Optics Industries Ltd. has completed a critical stage in the development of a breakthrough system, MUSIC (MUlti-Spectral Infrared Countermeasure), designed to protect civilian aircraft from shoulder-fired surface-to-air missiles. MUSIC addresses the increasing global threat to commercial aircraft passengers, which have become the targets of terrorist organizations worldwide. Incorporating El-Op's expertise in the development and deployment of advanced laser sources, infrared cameras (FLIRs), gimbals, system integration and aircraft installation, MUSIC is designed to provide first-of-its-kind protection against shoulder-fired missiles. MUSIC is an automatic system, which detects, acquires, tracks and counters an incoming missile, without the need for pilot intervention. At the heart of the system is the new laser technology pioneered by El-Op in an intensive development program dedicated to this application. By emitting a narrow laser beam towards the missile and jamming its guidance system, MUSIC is designed to cause the missile to veer off course and miss the aircraft. The system is comprehensive, cost effective, highly accurate and able to counter a wide range of missiles. Furthermore, the system is inherently safe, as it is based on eye safe electro-optics, rather than flares, which is a particularly important factor in receiving FAA and other civil authority certification.
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Leaders of the world's airlines, gathered in Washington for the International Air Transport Association (IATA) World Air Transport Summit, expressed dismay at the lack of effective economic regulation of UK airports. BAA Plc announced a pre-tax profit of to £524 million for the fiscal year ended 31 March 2003 amid the worst crisis in the aviation industry.
Earlier this year the BAA announced plans for a 6.5% plus RPI annual increase over the next five years in Heathrow Airport landing charges. This increase was approved by the UK Civil Aviation Authority. "The lack of effective regulation of a private monopoly as important as BAA is outrageous," said Giovanni Bisignani, IATA's Director General and CEO. "We are asking for reason to be the rule. BAA is extremely profitable at current fee levels even as the entire industry is reeling from a disastrous and unprecedented combination of crises. There is no justification for a 6.5% increase in charges above the inflation rate when the focus of the entire industry is on cost reduction," said Bisignani.
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On June 5, Russia launched a Kosmos-3M carrying a military satellite from its Plesetsk space center. The satellite was placed into orbit early Thursday. The satellites, which will have a lifespan of seven to 10 years, will be launched from the Baikonur cosmodrome in the former Soviet republic of Kazakhstan in central Asia, and from the Plesetsk space base. The Russian military intends over the next few years to move activities from Baikonur to Plesetsk.
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AgustaWestland, a Finmeccanica and GKN company, and BAE Systems Australia today announced a teaming agreement to compete for the Commonwealth of Australia's Air 9000 programme - becoming its strategic, long-term partner. Under the teaming agreement, the companies will offer the EH101 as the new additional troop-lift helicopter and for the eventual retirement of the Army Blackhawk fleet. The reach and payload capabilities of the EH101 will introduce to Australia a new and truly strategic helicopter capability and enable the ADF to meet its fleet rationalisation objectives over time. Variants of this helicopter are already in service in the United Kingdom, Italy, Canada and Japan.
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Indian Space Research Organisation (ISRO) is building a complex Rs 3.5 billion Radar Imaging Satellite (RIDSAT) for remote sensing and agriculture purpose which it plans to launch using the indigenous PSLV rocket in 2006. "It is a very complex satellite and we are adopting a new approach to build the radar antenna. It has over 500 clusters which really synthesize the radar antenna and each has to be controlled independently to synthesize the antenna", ISRO Satellite Centre Director Dr. P S Goel said. The next-generation RIDSAT, which aims to provide flexibility for ISRO to map images through new applications, will have S band transponders for resource mapping and agriculture, he said. India is one of the first few countries to build the radar imaging satellite, which is expected to cost about Rs 3.5 billion compared to over USD one Billion in the west. "This kind of satellite will cost about a billion US Dollars to build in the developed world," Goel said.
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Embraer announced that it intends to open an aircraft production facility in Jacksonville, Florida, for the U.S. defense and homeland security markets. This production facility, to be located at Cecil Commerce Center, will fully qualify the company as a compliant U.S. government supplier for defense and homeland security programs. "We believe this initiative, aimed at the U.S. defense and homeland security markets, will lead to a multi-year expansion of Embraer capabilities in the United States on defense-related operations," said Mauricio Botelho, Embraer President and Chief Executive Officer. "Embraer first established its U.S. presence in 1979 with a sales and product support facility in Fort Lauderdale. In the past years, besides the significant expansion of that facility, we added an engineering office in Palm Beach Gardens, and a maintenance, repair and overhaul facility in Nashville, Tennessee.
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Saab Aerospace has given notice to the County Employment Board in Östergötland regarding 350 white-collar employees at the operation in Linköping. The reason for the notice is a reduction in employment due to a reduced workload on the development side. "Very few new development assignments focusing on the new defense are currently being placed with the Swedish defense industry. This is also affecting us. Gripen is Sweden's largest industrial project and is the foundation of Sweden's high-tech aircraft industry. The decline within Saab Aerospace is certainly an adaptation to a new phase in the project. However, since very few future-oriented development assignments have been placed in the last couple of years, we are now forced to make this cut-back on the development side within Saab Aerospace as it currently stands," says Hans Krüger, Manager of Saab Aerospace.
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Sukhoi and MiG said that they could not exhibit their planes at the Paris airshow because of a long-running legal dispute between Moscow and Swiss company Noga. "All preparations for sending Sukhoi craft to Le Bourget have been abandoned," Yury Chervakov, the top spokesman for Sukhoi, told the Interfax-AVN news agency. "We received an instruction to this effect from Rosaviakosmos (the Russian aerospace agency). The reason is the risk of our planes being impounded under the Noga lawsuit," he added.
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The U.S. Air Force has purchased from Raytheon Company 124 line replaceable units, upgrade kits and spares to support Block 35 upgrades for the Compass Call Enhanced High Band Subsystems. The 25-month contract is valued at $10.5 million. Compass Call is a U.S. Air Force offensive, standoff jamming aircraft that suspends enemy air defenses by blocking their defense systems with wide-area countermeasures. Compass Call collects and processes information, while denying the enemy's ability to do the same. Raytheon's Enhanced High Band Subsystem-a key element of Compass Call's information warfare capability-increases the Air Force's ability to process information gathered from its adversaries. Raytheon has provided Compass Call high band subsystems for 19 years. Under the new contract, the company will outfit Compass Call aircraft with a new syste
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In recognition for successful environmental management in all corporate areas, Lufthansa CityLine received the certificate of the European eco-audit regulations EMAS II for the second time in a row on April 14, 2003. At the same time, the airline was recertified according to the international eco-standard ISO 14001. These certificates cover all three company locations: Cologne, Munich and Hamburg. This makes Lufthansa CityLine the first airline worldwide to continue to hold both environmental certificates. CityLine has held this global top position since 1999. "We're committed to making air transport as environmentally compatible as possible," is how CityLine Managing Director Karl-Heinz Köpfle explains his company's philosophy. "To achieve this, we count on our own initiative and commitment rather than on competition-distorting state regulations, such as taxation of kerosene." In addition to yearly internal and external observation audits, the entire corporate environmental care system must be checked every three years at the latest by external auditors to obtain revalidation or recertification. An environmental report informs the public about CityLine's environmental policies, goals and performance. "We're pleased to be able to present our new Environmental Report just in time for today's International Day of the Environment," says Dr. Thomas Dräger, Managing Director of Lufthansa CityLine.
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Lufthansa earned a double distinction at the presentation of the Airline Strategy Awards on Monday. Lufthansa Chairman and CEO Jürgen Weber received the Airline Business Award in recognition of his lifetime achievement; Wolfgang Mayrhuber, Deputy Chairman of the Executive Board and CEO Passenger Airlines, accepted the prize in the "Operations" category on behalf of the company. Both awards were made by the prestigious Airline Business magazine and presented during the IATA Annual General Meeting in Washington DC before an audience of 600 delegates.
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Summaries of previous UPDATES are still available:

*June 1, 2003

*May 25, 2003 *May 18, 2003 *May 11, 2003 *May 5, 2003

*April 27, 2003 *April 20, 2003 *April 13, 2003 *April 6, 2003

*January - March 2003

*January - December 2002 *January - December 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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