FLUG REVUE update: Week ending 5 September 2004

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UPDATE
Week ending 5 Septembr 2004

+++ NH90 for Australia +++ Nimrod MRA4 flies at last +++ SkyTeam signs agreement with China Southern +++ 500th AH-64D delivered +++ Consortium bids for Galileo operations +++ News in brief +++

NH90 for Australia
Australien wählt NH90

The Australian Army will be equipped with 12 new troop lift helicopters under a $1 billion project approved by the Howard Government, Prime Minister John Howard and Defence Minister Robert Hill announced on August 31. Senator Hill said the Government had selected Australian Aerospace to supply the new MRH-90 aircraft to form an additional troop lift helicopter squadron, subject to satisfactory conclusion of negotiations. This will bolster Australia's counter-terrorism capabilities by releasing a Black Hawk squadron to provide dedicated support to our Special Forces on the east coast.
“The MRH-90 is the new generation of multi-role helicopters, equipped with state-of-the-art technology, a rear ramp that can be used to load small vehicles, a flexible cabin configuration, a full fly-by-wire flight control system and digital cockpit,” Senator Hill said. “The helicopter can carry up to 18 troops plus four crew or 4000kg of underslung cargo, cruises at up to 300kph and has a maximum range of over 900km. It is a fully marinised helicopter that is able to operate from the Royal Australian Navy's current and future amphibious ships.
Senator Hill said the first helicopter for the new squadron at Townsville would be delivered in 2007, with all 12 aircraft expected to be delivered by 2008. “The new squadron will increase Army's troop lift capability by more than half,” Senator Hill said. “This will allow the relocation of a squadron of Black Hawk helicopters to the Sydney area to support the ADF's Special Forces, further strengthening the Howard Government's commitment to fighting terrorism. “The Black Hawk squadron will be located near our Special Forces soldiers that are based at Holsworthy and will enhance mobility and training effectiveness for this critical capability.

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Nimrod MRA4 flies at last
Neues Seepatrouillenflugzeug in der Luft

On 26 August, the new Nimrod MRA4, a Maritime Reconnaissance and Attack aircraft, took off on its historic inaugural flight from BAE Systems' Woodford site, near Manchester, UK, cheered on by many of the site's 600 employees engaged in the programme. The aircraft, dubbed PA01, is the first of three design and development Nimrod MRA4s. Following a successful take-off from Woodford it flew into the company's Warton site, in Lancashire, again witnessed by crowds of personnel based at the site, to begin an extensive flight trials programme. Warton has been much involved in the development of the MRA4, with around half the 1,250 strong Nimrod team based there, together with more than 70 RAF and Defence Procurement Agency (DPA) personnel seconded to the programme. Other BAE Systems sites with a previous or current involvement in the programme include Brough in Yorkshire, Chadderton in Greater Manchester, Prestwick in Scotland and Farnborough in Hampshire.
Lord Bach, Minister for Defence Procurement, visiting Warton today, commented, “I was delighted to be present for the first flight of the new Nimrod MRA4. This would not have been possible without the tremendous efforts of BAE Systems and the Defence Procurement Agency.” For Joe Harland, Nimrod MRA4 Managing Director, first flight of the aircraft represents a major milestone in his long career in aviation. On witnessing the aircraft's landing at Warton he said, "This is an amazingly complex and challenging programme. The fact that we have successfully flown the aircraft for the first time speaks volumes for the experience, specialist skills and sheer hard work of our employees, as well as for the close working relationship we have established with our customer, the Defence Procurement Agency. We should also not forget that this is another aviation 'first' for the North West.”
The other two MRA4 design and development aircraft, PA02 and PA03, are expected to fly in late 2004 and summer 2005 respectively, with flight trials expected to continue at Warton until 2006/ 2007. The Ministry of Defence has indicated a requirement for a fleet of around 12 Nimrod MRA4, although this is dependent on the outcome of the trials programme and agreement on an acceptable price for production aircraft. No decision has yet been taken on when or where production will take place.

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SkyTeam signs agreement with China Southern
China Southern to join SkyTeam

On Aug. 28, SkyTeam announced that the alliance has signed an agreement with China Southern Airlines, the largest carrier in the People's Republic of China. The agreement is a preliminary step in the new member process and outlines China Southern's intentions to undertake exclusive discussions to become a part of the SkyTeam alliance, pending fulfillment of the alliance's joining requirements. The signing ceremony, which took place in Guangzhou, was attended by Mr. Yang Yuanyuan, Minister of Civil Aviation Administration of China, Mr. Huang Huahua, Governor of Guangdong Province, Mr. Zhao Xizi, Chairman of the State-owned Assets Supervision and Administration Commission, Mr. Yan Zhiging, Chairman of China Southern Airlines, Mr. Liu Minggi, Vice Chairman of China Southern, as well as Mr. Yang-Ho Cho, Chairman and CEO of Korean Air and Mr. Jean-Cyril Spinetta, Chairman and CEO of Air France as representatives of SkyTeam member airlines.
“SkyTeam has long expressed interest in working with a Chinese partner, given the vast growth potential of the Chinese market. The agreement signed today illustrates SkyTeam's objective to align with airlines that provide its passengers and members with the most forward-looking benefits,” said Mr. Cho. “As a strategic partner for the alliance, China Southern will help us provide greater access to the country and region.” China is one of the fastest growing aviation markets and Guangzhou is one of the country's most affluent regions with promising growth opportunities. As China Southern's main base, Guangzhou is also a key transportation center in southern China. The new Guangzhou Baiyun International Airport, which opened earlier this month, will complement SkyTeam's strong hub network and further expand the alliance's Asian offerings. China Southern is also preparing a new facility in Beijing to serve customers.

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500th AH-64D delivered
Jubiläum für Apache Longbow

Boeing delivered its 500th AH-64D Apache Longbow helicopter, and celebrated the delivery of the 22nd and final AH-64D maintenance trainer to the U.S. Army. In a ceremony at the Boeing facility in Mesa , Ariz. , the U.S. Army accepted the 500th Apache Longbow, which was produced at the Mesa plant. A large contingent of U.S. government and military dignitaries were present at the early morning ceremony recognizing both milestones. The 500th Apache Longbow delivered today is the 383rd delivered to the U.S. Army, which has ordered of 501 Apache Longbows. Boeing has a backlog of more than 300 Apaches from the U.S. Army and several international customers.
Apache Longbow deliveries to date include helicopters for the U.S. Army and five international defense forces around the world. Eleven nations fly the AH-64 Apache. The Apache Longbow is the world's most advanced multi-role combat helicopter, incorporating new technologies making it the most digitally sophisticated and network-capable helicopter in the world. Recent developments include the addition of a digital moving map for enhanced crew situational awareness; a fiber channel data bus for improved capacity to process information; and use of the joint variable messaging format to improve communications.

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Consortium bids for Galileo operations
INavSat legt Angebot vor

On 1 September the iNavSat consortium delivered its offer to the Galileo Joint Undertaking (GJU) to become the Galileo concessionaire, deploying the Galileo satellite constellation and operator of all subsequent services. The consortium was chosen in February as one of the three final bidders. The preferred bidder is expected to be announced in December 2004, followed by negotiations with the Galileo Joint Undertaking in 2005. The financial close of the concession contract is anticipated by December 2005. The iNavSat consortium was founded by EADS Space, Inmarsat Ventures and the Thales Group. More than 20 associated partners providing valuable experience in their given fields of expertise (automotive, telecommunication, information technologies, etc.) and worked exclusively with the iNavSat consortium contributing to the bid.
The Galileo project has been making headway over recent months and the consortium, supported by internal and external specialists, has compiled a compelling submission including structured project finance and a business case for a 20-year concession contract with the future Galileo Supervisory Authority (GSA). Galileo is a European Union project to develop a new advanced satellite navigation system, more advanced than existing satellite navigation systems. The winning concessionaire is expected to take the lead in arranging for private financing of the deployment and operational phases of Galileo, and ultimately would become the Galileo Operating Company.

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NEWS IN BRIEF / KURZMELDUNGEN

Airbus has lost part of an order from financially ailing South African Airways. Of 38 Airbus airliners that have not yet been delivered, 15 will be canceled and 16 will be leased rather than purchased, the state-owned holding company that controls the airline said. The survival of South African Airways has been questioned in recent months because of a disastrous currency hedging policy that has resulted in huge financial loses and a government bailout last year.
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Development phase completion of the European-built observation module, or "cupola", for the International Space Station will be marked by a ceremony at the Alenia Spazio facility in Turin, Italy on Monday 6 September. The cupola, currently scheduled for launch in January 2009, is an observation and control tower for the ISS, with windows that will provide a panoramic view for observing and guiding operations on the outside of the station. The pressurised module will accommodate command and control workstations and other hardware, enabling crewmembers to control the station's robotic arm - for attaching and assembling various station elements - and to communicate with other crewmembers in other parts of the station or outside during spacewalk activities. The cupola will also be used for observational applications in the areas of Earth observation and space science. The cupola project is the outcome of a bilateral barter agreement between the European Space Agency and NASA, under which ESA is providing the cupola for the ISS in exchange for Shuttle transportation of European equipment and experiments to the station. The completion of the cupola marks the end of the development phase of the project, which began with the signing of the cupola contract between ESA and Alenia Spazio on 8 February 1999. Under the contract, Alenia Spazio acted as prime contractor for production, responsible for coordinating six other firms: CASA (Spain), APCO (Switzerland), SAAB Ericsson and Lindholmen Development (Sweden), EADS Space Transportation (Germany) and Verhaert (Belgium). The 1.8-tonne cupola is now ready to be transported to the Kennedy Space Center at Cape Canaveral, Florida. There, it will go through a final set of checks before being put into storage for four years, at the end of which it will be prepared for launch.
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In conjunction with its winter traffic program, Scandinavian Airlines Sweden is launching seven new direct services from Arlanda, Stockholm, starting on October 31. The new destinations are Nice, Athens, Istanbul, Rome, Stuttgart, Hamburg and Budapest. At the same time, the number of departures to Berlin is being increased, and a shuttle service introduced between Gothenburg and Copenhagen.
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On Wednesday August 25, Saab conducted its first totally autonomous flight with its unmanned aerial vehicle, the SHARC technical demonstrator. SHARC took off, flew and landed completely according to plan, and Saab can now count itself among the few companies to succeed in conducting a totally autonomous flight. "By conducting flights with autonomous take-off and landing, we have shown the rest of the world that we are a company to be reckoned with in future collaborative international UAV projects. We have strengthened our position as one of the main players in the UAV market," says Lennart Sindahl, Senior Vice President and General Manager of Saab Aerosystems. The flight took place during a test campaign at the Swedish Defence Materiel Administration test site in Vidsel. After taking off without pilot assistance, the SHARC performed a totally autonomous mission before landing on its own, aided by differential GPS and a radar height finder. The SHARC technical demonstrator has been developed by Saab. The project began in 2001 and the first flight was conducted in February 2002. The test campaign recently carried out in Vidsel is the third in order. The previous test campaigns, which included autonomous flights both within and beyond the point of visibility, laid the foundation for the successful autonomous take-off and landing.
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Ryanair announced major expansion plans for its Glasgow Prestwick Base with the launch of 4 new routes to: Niederrhein/Düsseldorf, Lücbeck/Hamburg, Pisa and Murcia. Ryanair already operates 15 daily international flights from Scotland, 13 of which operate from Glasgow Prestwick. With this significant increase in routes Ryanair expects to carry 3 million passengers to/from Scotland this year. The increase in routes, destinations and passenger numbers is also great news for Scotland, because it will create and sustain more new jobs and boost the Scottish Tourism Trade. Announcing the new routes in Glasgow today, Ryanair's Deputy Chief Executive, Michael Cawley said: “Ten years ago Ryanair launched its first service from Glasgow Prestwick to Dublin, and today Ryanair is Scotland's No.1 international airline. That day was to mark the beginning of a revolution in Scottish air travel by bringing the lowest air fares ever to Scotland and that revolution continues today with the announcement of 4 brand new European routes, bringing our Scottish route network to 19.”
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On 31 August an Atlas IIAS rocket lifted off at Kape Canaveral, successfully carrying a national security payload into orbit. The mission, called AC-167, was provided for the National Reconnaissance Office (NRO) by International Launch Services (ILS), using a Lockheed Martin-built Atlas vehicle. Liftoff was at 7:17 p.m. Tuesday EDT (23:17 GMT) from Cape Canaveral's Pad 36A, with payload separation into transfer orbit 73 minutes later. Tonight's flight was the eighth mission of the year for ILS, as well as the fifth Atlas launch. It also was the 73rd consecutive successful flight for the Atlas family in any launch configuration. This also marks the 30th and final flight for an Atlas IIAS model and the 63rd flight and final flight of any Atlas II version. In addition, this was the final flight after 47 years of the Rocketdyne MA-5A engine, which powered the Atlas II booster. Albrecht also pointed out the perfect record of not only the Atlas IIAS vehicles, but of the entire Atlas II line, which began flying in December 1991. “This is an awesome accomplishment, being the only U.S. expendable launch vehicle series to have had 100 percent success throughout its entire lifespan,” he said. “The Atlas team is an incredible group of people who make Mission Success for our customers a way of life.”
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Northrop Grumman and EADS North America have announced their intention to work together to provide the U.S. Air Force with the next-generation personnel recovery vehicle (PRV). The PRV program focuses on the Air Force's immediate need to replace its primary combat search-and-rescue helicopter, the HH-60G Pave Hawk. "The Northrop Grumman/EADS North America team brings together the best in combat-proven integrated battle management systems and leading-edge helicopter technology," said Scott J. Seymour, president of Northrop Grumman's Integrated System sector. "We can provide the warfighter with the best in network-enabled systems and the latest in helicopter technologies, all tied together with a strong performance history in lifecycle system support." "The complex and demanding missions that require this capability mix demand that we bring together the best suppliers," Seymour added. "That's why working with EADS North America presents the best PRV solution for the Air Force."
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The market for commercial communications satellites is expected to be worth $26.6 billion over the next 10 years, according to Forecast International's recently completed analysis, “Commercial Communications Satellites: 2004-2013,” with some 270 satcoms earmarked for production. A modest rebound in the commercial communications market is also expected in the next few years. Helping to fuel this rebound will not only be the growing market for the application of key technologies and services to the commercial consumer but also the requirements dictated by government reliance on commercial capacity. “The U.S. Defense Department is the single largest consumer of commercial satellite services in the world. Its demand for satellite services is so great that more than 80 percent of the military's satellite communications coming out of the Persian Gulf during Operation Iraqi Freedom were going over commercial birds,” said John Edwards, Space Systems Analyst at Forecast International. Edwards added, “Although not everyone agrees on how much the military will continue to use commercial capacity, the recent cuts to transformational satellite programs in the U.S. defense budget were extensive and this suggests that a continued reliance on commercial systems, to some degree, is assured.”
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Boeing has finalized an order with Air China, the People's Republic of China flag carrier, for seven new Next-Generation 737-700 jetliners, which will boost the operator's Boeing fleet to 139 airplanes. Delivery of the airplanes, which are valued at approximately $360 million at list prices, is to begin in November 2005, and extend through mid 2006. Air China will use the airplanes on its domestic routes. “Our great relationship with Air China goes back to the airline's beginning and we're proud to be part of their success,” said Rob Laird, vice president, China Sales -- Boeing Commercial Airplanes. “The 737-700 and -800 have become the backbone of Air China's domestic and regional operations because they are the most reliable and efficient single-aisle airplanes in their class.”
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Boeing delivered the 200th F/A-18 Super Hornet to the U.S. Navy on Aug. 30, 2004. The airplane, a two-seat 'F' model Super Hornet, was delivered to Air test and Evaluation Squadron VX-9 at Naval Air Systems Command China Lake, Calif. The aircraft was delivered three months ahead of schedule, maintaining the Super Hornet tradition of delivering aircraft well before the contract delivery date. Super Hornets have been delivered on or below cost, and on or ahead of schedule, since the F/A-18E/F Super Hornet entered operational service in November 1999. The Super Hornet has played a key role in both Operation Enduring Freedom and Operation Iraqi Freedom. In December 2003 Boeing and the U.S. Navy signed a second multiyear procurement contract for 210 aircraft. The contract, valued at $8.6 billion, spans fiscal years 2005 through 2009 and saves taxpayers approximately $1 billion over a typical single-year procurement. The current multiyear contract covers aircraft through fiscal year 2004.
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At an Extraordinary General Meeting of GKN plc, shareholders approved the disposal by GKN to Finmeccanica SpA of its 50% interest in AgustaWestland NV, the Group's helicopter joint venture with Finmeccanica, and related property. The disposal is conditional upon satisfaction of certain regulatory conditions. The Board expects these conditions to be satisfied and the disposal to be completed by the end of 2004. Copies of the resolution passed at the EGM are being submitted to the UK Listing Authority and will shortly be available for inspection at the UK Listing Authority's Document Viewing Facility
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On September 1, Boeing and Ryanair yesterday celebrated the delivery of the 800 th Boeing Next-Generation 737-800 commercial jetliner ever produced, marking another milestone for the world's best-selling 737 airplane family. Ryanair, Europe's largest, most profitable and most successful low-cost carrier, received both the 800 th and the 801 st Next-Generation 737-800 this week. The airline's all-737 fleet now includes 57 Next-Generation 737 and 19 Classic 737 jetliners. The reliability of the Next-Generation 737 allows operators to more efficiently use their airplanes. Ryanair's rate of on-time departures between June, 2003, and May, 2004, was 99.7 percent, making it Europe 's top on-time airline as reflected in Association of European Airlines monthly statistics. Ryanair has another 98 737s on order, which are scheduled for delivery through 2008.
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Cebu Pacific, the Philippines' second largest carrier, has signed a contract for the purchase of twelve Airbus A319s and will additionally lease two Airbus A320s to totally replace its existing fleet of DC-9 and B757 aircraft. The A319s are scheduled for delivery from September 2005 until 2007 and will be deployed on the airlines' domestic network that currently extends to 19 destinations. The A319s will be configured in a 150-seater all-economy configuration. Cebu Pacific is a new customer for Airbus in Asia–Pacific and the latest in a recent series of low cost carriers from the region to select A320 Family aircraft. Over 300 Airbus A320 Family aircraft are already in service with 28 airlines from the region. With the Cebu Pacific order, the backlog of Airbus A320 Family orders destined for Asia-Pacific customers is increased to over 120 aircraft. The A320 Family has a widespread reputation for high dispatch reliability even on short hops, with wide aisles facilitating quick turnarounds for efficient operations.
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During the last two weeks pilots from the Hungarian Air Force have gone through preparation training in Sweden. The purpose of the training is to provide the pilots with familiarisation training for the Gripen rescue system and to practise it under realistic conditions. The training course has included parasailing, centrifuge training and exercises in an indoor swimming pool. The parasailing course, which took place outside the town of Karlskrona on the Swedish east coast, was focused on training to simulate pilot parachute landings in water. Further pool-based training was conducted at the FMV test center in Linköping. During part of the training the pilots undertook water-based training designed to simulate the actions involved in inflating and boarding a lifeboat in different weather and sea situations, such as daylight and darkness, strong wind speeds and difficult wave conditions. All this training was undertaken whilst wearing full flying gear including flying suit, isolation suit and life vest. The final training element was the centrifuge, which is also part of FMV test center, where the pilots practice 9 G for up to 15 seconds, which is the required time for Gripen pilots.
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In its latest study, “The World Market for Regional/Commuter Transport Aircraft,” Forecast International projects that a total of 3,728 regional aircraft will be produced in the 10-year period 2004 to 2013. The value of this production, in constant 2004 U.S. dollars, is estimated at $84.4 billion. The forecast production total includes both regional jets and regional turboprops; specifically, 3,041 regional jets are forecast, plus 687 turboprops. In the new study, Forecast International predicts that 387 regional aircraft will be built in 2004. Annual production is expected to drop to 371 units in 2005, and then fluctuate within a range of 360-380 units for the remainder of the forecast timeframe. Within these numbers, however, Forecast International expects that the mix of regional aircraft built each year will include a progressively higher proportion of larger-capacity aircraft. Thus, the number of delivered seats will rise significantly over the course of the next 10 years. Production of 70-120 passenger regional jets is expected to be particularly dynamic, both during the 10-year forecast period and (perhaps even more so) beyond. This class of regional aircraft has seen the rapid proliferation of several new models. Bombardier and Embraer, for instance, have both recently introduced new aircraft of at least 90-passenger capacities: Bombardier with the 90-seat CRJ 900 and Embraer with the 94-108 seat 190 and the 106-118 passenger 195. Even the large commercial transport manufacturers have gotten into the act. Boeing is currently producing the 717-200, while Airbus has begun production of the A318. Both in terms of operating characteristics and in terms of the type of aircraft with which they compete for sales, the 717-200 and the A318 are arguably regional aircraft.
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Lockheed Martin Patriot Advanced Capability-3 (PAC-3) Missiles successfully intercepted and destroyed an incoming tactical ballistic missile (TBM) and a low-altitude cruise missile in a dual test today at White Sands Missile Range, NM. The battle-proven PAC-3 Missile is the world's only fielded hit-to-kill, kinetic energy air defense missile. In the dual engagement test, two PAC-3 Missiles were "ripple-fired" at an incoming Patriot-As-A-Target (PAAT) TBM, a legacy Patriot missile modified to represent a short-range TBM. In a second simultaneous engagement, a single PAC-3 Missile was fired at a low-flying MQM-107D cruise missile target. Preliminary data indicates both the TBM target and cruise missile target were destroyed. All test objectives were met. Test objectives included demonstrating the system's ability to detect, track and engage a TBM and cruise missile simultaneously, and validating the performance of several components of the PAC-3 Missile that were part of on-going cost reduction initiatives. These include an Advanced Master Frequency Generator (AMFG), Multi-Band Radio Frequency Data Link (MRFDL) and a Simplified Inertial Measurement Unit (SIMU). The 'hit-to-kill' PAC-3 Missile is the world's most advanced, capable and powerful theater air defense missile. It defeats the entire threat to the Patriot Air Defense System: tactical ballistic missiles (TBMs) carrying weapons of mass destruction, advanced cruise missiles and aircraft. PAC-3 Missiles significantly increase the Patriot system's firepower, since 16 PAC-3s load-out on a Patriot launcher, compared with four of the older Patriot PAC-2 missiles.
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MBDA has signed an initial production contract with Eurocopter to equip all versions of the Tiger assault and NH90 multi-role helicopters with the advanced SAPHIR-M decoy self-protection system. The contract, which represents over 500 systems, is the largest of its kind in terms of quantity for MBDA and is the largest single contract placed for such a system in Europe. Commenting on the order, MBDA's Chief Executive Officer, Marwan Lahoud said, "The development contract for SAPHIR-M, won in the face of stiff competition, is a strong endorsement of MBDA's ability to work effectively with the leading platform suppliers of the world. With the production contract now in place, helicopter aircrews will have the confidence of knowing that the latest technology is in place to provide them with the highest levels of protection throughout the duration of the mission." Following a request for tender issued by Eurocopter, MBDA won the development contract for SAPHIR-M against international competition from the leading suppliers in the field. The system is the latest addition to MBDA's successful SAPHIR family of chaff and flare decoy systems, already proven in service on over 200 helicopters including Ecureuil, Gazelle, Puma, Super-Puma, Cougar and Lynx. On the Tiger and NH90, SAPHIR-M will provide helicopter self-protection for army, navy and air forces in Australia, Finland, France, Germany, Greece, Italy, the Netherlands and Portugal. This list will certainly be extended with other NH90 and Tiger customers to come.
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IATA announced the appointment of Vinod Chidambaram as Regional Vice President for Africa, heading up the Associations strengthened presence in the region. This is a significant strengthening of our African resources. As African aviation continues to develop, critical issues from safety to liberalisation require a strong industry voice. Our new Africa team has the knowledge and experience to make a very positive contribution, said Giovanni Bisignani, Director General and CEO of IATA. Chidambaram, former Managing Director of Air Mauritius, will join IATA on 28 September. He will head a newly created Regional Headquarters for Africa, located in Johannesburg, which will consolidate leadership of IATAs key activities including Safety, Operations & Infrastructure, Member & Government Relations and Industry Distribution & Financial Services. I look forward to bringing IATAs involvement in Africa to a higher level with greater cost effectiveness, said Chidambaram.
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As a permanent response to ongoing performance improvement and in line with customer expectations, Turbomeca has fielded a dynamic “global quality” policy. And to steer and drive the process, Turbomeca has created a specific new Progress Initiative division tasked with deploying, coordinating and steering all the processes directed at progress in the Company and its affiliates from the word go. .
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The Board of Directors examined the first quarter results of fiscal 2004-05 at their meeting on 1st September, under the chairmanship of Jean-Cyril Spinetta. During the meeting, Mr. Spinetta made the following comments: "I am pleased to present to you today the first consolidated results of the Air France-KLM Group. In a context where the sharp increase in oil prices poses a new challenge for our industry in spite of global recovery, we have posted good results thanks notably to the immediate implementation of the necessary measures to obtain synergies". The Chairman also added: "I would like to underscore the commitment of Air France staff to carry out the flight schedule as planned before the accident at Terminal 2E, thus contributing to the Group's smooth operations during this quarter". Leo Van Wijk emphasized the close collaboration of the teams of both airlines and the continued implementation of cost-savings programmes. He made the following comments: "We have seen the effectiveness of our commercial measures and particularly combinable fares. KLM has posted an increase in unit revenue and seat load factor thanks to greater access to the French market". The Air France-KLM Group saw sustained growth in its operations in a business environment that, although improving, remains difficult. Traffic grew by 16.9% during the quarter on a 12.9% increase in capacity, leading to a 2.7-point improvement in load factor to 77.7%. In spite of the increase of the oil price, the cost-control measures implemented by both airlines enabled the Group to post an operating income of 156 millions before aircraft disposals. On a 12.3% increase in turnover to 4.46 billion euros, operating expenses rose by only 8.4% to 4.31 billion euros, despite the sharp increase in the fuel bill. The consolidation of an additional quarter for Servair accounts for approximately 1% of the increase in turnover and for 1.1% of the increase in operating expenses.
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Rockwell Collins has received the industry's first Technical Standard Order approval for a Multi-mode Receiver (MMR) with Local Area Augmentation System (LAAS) functionality. The Collins GLU-925 MMR is the most advanced system to date, and is the first to include LAAS and GPS landing system (GLS) in addition to ILS and GNSS. GLS holds promise for bringing flexible and economical precision approach capability to runways and airports not currently served by the traditional ILS. The system will be offerable for the Boeing 737-NG this fall, with other Boeing platforms to follow. The GLU-925 with FLS (FMS Landing System) functionality will be offerable for Airbus platforms in the fall of 2005.
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Raytheon has been awarded a $43.3 million contract for production of its ALR-67(V)3 radar warning receiver system for the U.S. Navy. The ALR-67(V)3, which is the state-of-the-art radar warning receiver on U.S. Navy F/A-18E/F carrier-based tactical aircraft, recently completed a successful initial deployment in Operation Iraqi Freedom. The award was received from the U.S. Navy's Naval Air Systems Command, Patuxent River, Md., and calls for the delivery of 30 radar warning receivers plus spares. Four annual follow-on options call for 140 additional systems and are valued at $166.3 million.
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The South Korean Defense Ministry selected two final competitors to launch its 2 trillion won ($1.3 billion) airborne reconnaissance system for the Air Force, ministry officials said on September 2. American manufacturer Boeing and IAI Elta from Israel were chosen. The ministry expected five bidders but three did not join the process. The project, the code-named E-X, is one of the largest-scale procurement projects aimed at deploying four Airborne Early Warning and Control systems, commonly known as AEW & C. Two will be deployed by 2009 and the others by 2011. The project came as the government is trying to build up its own defense posture against possible North Korean aggression. The United States is initiating to withdraw one third of its troops stationed in South Korea along with its repositioning of global forces to better cope with enemies like terrorists. The system is designed to detect, track and intercept hostile aircraft operating at low altitudes over any terrain, and also identify and control friendly aircraft in the same airspace.
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On Aug 30, the 100th large-cabin, mid-range Gulfstream G200 business-jet aircraft was officially rolled out. The “green” aircraft, which received its Certificate of Airworthiness from the Federal Aviation Administration (FAA) Aug. 26, is scheduled to be delivered to its owner, fractional aircraft ownership company NetJets, in the fourth quarter of 2004 - nearly five years after the first G200 was delivered to its first owner. The first true super mid-size business jet to enter the marketplace, the first G200, previously known as the Galaxy, rolled out in 1997. After a year of flight testing, the aircraft received its FAA Type Certificate in December 1998. Following the May 2001 purchase of Galaxy Aerospace by General Dynamics (NYSE: GD), Gulfstream's parent company, the aircraft, along with its sister-ship, the high-speed Astra, officially became part of the Gulfstream fleet of business jets. Subsequently, the aircraft were branded as the G100 and G200. Along with the acquisition of the two aircraft models, Gulfstream announced that NetJets had placed 50 firm orders for the G200 with an option for 50 more. For the next two years, the G200 underwent significant modifications, including a newly designed interior and an overall weight reduction of more than 450 pounds.
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The major shareholders in Swiss International Air Lines have extended the present lock-up agreement under which they undertake not to dispose of the SWISS shares they acquired in the company's capital increase to August 31, 2005. The extension will ensure that SWISS remains firmly anchored by both its public and its private-sector shareholders, and can continue its development with a stable shareholder base. Major shareholders accounting for 86 per cent of SWISS's total share capital agreed in the last few days to extend their present share lock-up agreement to August 31, 2005. The new date has been chosen as one by which the company's results for both 2004 and the first half of 2005 will be known. These results can then be used to conduct an objective assessment of the company's earnings power and future business prospects.
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Cathay Pacific Cargo and Lufthansa Cargo launched their first shared Boeing 747 freight link between Munich and Hong Kong on August 15, 2004. With this new freight service, which they are operating as a joint venture, the two cargo carriers have expanded the range of destinations available to their customers while boosting Munich's role as an air transportation hub for south-eastern Europe. Cathay Pacific Cargo flies the route between Hong Kong and Munich with a stopover in Dubai. The B747 freighter leaves Hong Kong three times a week on Wednesdays, Fridays and Sundays and takes off from Munich for the return leg on Thursdays, Saturdays and Sundays
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