FLUG REVUE update: Week ending 19 September 2004

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UPDATE
Week ending 19 Septembr 2004

+++ US Airways in Chapter 11 again +++ NH90 for Finland flies +++ Continental, KLM and Northwest join Skyteam +++ Adria and Croatia to join Star Alliance +++ Raytheon and EADS in BMD agreement +++ News in brief +++

US Airways in Chapter 11 again
Erneute Insolvenz von US Airways

On September 12, US Airways Group announced that the Company and certain of its subsidiaries filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The Company said that today's action will provide the nation's seventh-largest airline the opportunity to implement its Transformation Plan built on lower costs, a simplified fare structure, and expanded service in the eastern U.S., the Caribbean, Latin America and Europe. "We have devoted the last six months to building and implementing a Transformation Plan that leverages our strengths and allows us to compete successfully in a changing airline industry," said US Airways President and Chief Executive Officer Bruce R. Lakefield. "Since we still lack the new labor agreements that are needed for the Transformation Plan to succeed, we must preserve the Company's cash resources that are required to implement the Plan. We have made the difficult but necessary decision to complete this process with the help of the Court."
Lakefield said that US Airways has made tremendous strides since its emergence from Chapter 11 in March 2003, and that the key elements of that original plan, such as lower labor costs, the expansion of RJ flying, participation in the Star Alliance, and lower aircraft lease and vendor costs, all contributed to US Airways successfully securing a federal loan guarantee from the ATSB. The airline had already reduced annual operating expenses by almost $2 billion during its 2002-2003 restructuring, but the dramatic growth of low-cost carriers (LCCs), unabated fuel price increases and the public's demand for lower, simpler fares requires that the Company do more to achieve an even more competitive cost structure that is competitive to LCCs. As a result of these external factors, US Airways' 2004 fuel costs are expected to be approximately $300 million higher than envisioned in the confirmed plan of reorganization, and mainline passenger revenues are expected to be $450 million lower than forecast, as overall industry unit revenue continues to decline.
"We are facing the difficult choices and the pressures that every legacy airline is going to be facing over the next several years," said Lakefield. "It is no fun being first, and we take no pleasure in asking our employees to make additional sacrifices. However, we have come too far and accomplished too much to simply stop the process and not succeed. With our strong position on the East Coast and our growing presence in Europe, the Caribbean and Latin America, our dedicated employees, and more than 4 million active Dividend Miles members, a restructured US Airways with low costs and low fares will be a dynamic competitor."
The Company has been operating with cash obtained from a $1 billion loan, $900 million of which was guaranteed by the ATSB. The ATSB and the other lenders (Retirement Systems of Alabama Holdings LLC (RSA) and Bank of America, N.A.) have agreed to authorize US Airways continued use of those funds. Therefore, in lieu of debtor-in-possession (DIP) financing, US Airways will have access to a portion of $750 million in cash – which serves as one component of the collateral supporting the ATSB loan – as working capital. The agreement between US Airways, the ATSB and the other lenders will be presented to the Court at Monday's hearing. In following bankruptcy procedures, a final order on operating cash would then be presented to the Court at a later date.
The Company's current cash position is approximately $1.45 billion in cash, cash equivalents and short-term investments. The outstanding portion of the ATSB loan is $717.6 million.

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NH90 for Finland flies
Erstflug in Marignane

The first NH90 destined for the Finnish Armed Forces took off for a successful maiden flight on September 15th at Eurocopter's production site and headquarter in Marignane. The aircraft is the first series-produced NH90 in France The flight was conducted by one test pilot and two flight engineers over more than one hour around the area of Marignane and Marseille under full fly-by-wire conditions, during which high speed levels were reached and the flight envelope of the basic aircraft was tested. The success of the campaign was observed by an official Finnish representative. The maiden flight of the Finnish NH90 follows the first flight of the first production aircraft for the German Armed Forces on May 4th of this year in Germany, and is a further important milestone in the ambitious multi-national helicopters programme, which will commence deliveries to customers from 2005 on.
NH90 is the biggest helicopter programme ever launched in Europe. In addition, it just recently booked international and overseas export successes with an order for 20 NH90 by the Sultanate of Oman and 12 by Australia. To date, eleven countries have ordered a total of 357 units, with options for a further 86 helicopters. This makes the NH90 a worldwide and unrivalled success.

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Continental, KLM and Northwest join Skyteam
Airline-Allianz erweitert

Global travelers will have additional route and fare choices as SkyTeam announced that Continental Airlines, KLM Royal Dutch Airlines and Northwest Airlines are now full members of one of the world's fastest growing airline alliances. The SkyTeam Governing Board also revealed that effective Sept. 15, passengers will be able to accrue and redeem frequent flyer miles interchangeably on any of the nine member airlines. With the addition of three new members, SkyTeam now serves 341 million passengers with 14,320 daily departures to 658 global destinations in more than 130 countries. SkyTeam's Governing Board said, “The entry of Continental, KLM and Northwest into the alliance marks the single largest airline integration in aviation history and is an important milestone for global airline customers. When the alliance launched in 2000, we promised SkyTeam would alter the competitive landscape for airline alliances by focusing on the needs of our customers. Our growth over the past four years in terms of network reach, frequencies and destinations is a testament to our commitment to continually live up to that promise.”
Each of the new members have long been recognized as among the top airlines in the world: Continental serves 265 airports in 47 countries with a fleet of 358 aircraft. With 41,000 employees, the carrier enplaned 52.2 million passengers in 2003. KLM serves over 130 airports in 65 countries with a fleet of 112 aircraft. The airline employs more than 29,600 people and carried 19 million passengers in IATA year 2003-2004. Northwest is the world's fifth largest airline with hubs in Detroit, Minneapolis/St. Paul, Memphis, Tokyo and Amsterdam. Northwest serves 222 cities. With a fleet of 458 aircraft, the airline employs some 39,000 people and carried 52.1 million passengers in 2003.

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Adria and Croatia to join Star Alliance
Regionalmitglieder für Airline-Bündnis

Star Alliance will further enhance the quality of its network by adding two regional members, Adria Airways and Croatia Airlines. Upon joining, with their respective hubs in Ljubljana and Zagreb, both carriers will improve the Star Alliance network offering to and from south-eastern Europe. It will also further strengthen the alliance's role as the leading airline alliance to the new EU member countries. Star Alliance already offers more than 1750 weekly flights to 21 destinations in the ten countries which joined the EU in May of this year. In order to become a regional member, aside from meeting certain requirements, carriers must be sponsored by and have close ties to an existing member to achieve a quick and easy integration. The sponsoring airline will represent the regional member within the alliance. In the case of Adria Airways and Croatia Airlines, their long-standing partner Lufthansa will assume this role. To the customer, the Regional member carriers offer the same advantages as the other Star Alliance members, including frequent flyer benefits, lounge access or through check-in.

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Raytheon and EADS in BMD agreement
Raketenabwehr: Zusammenarbeit EADS/Raytheon

Raytheon Company and EADS SPACE Transportation have signed a cooperative agreement to begin collaborating on ballistic missile defense (BMD) interceptor programs in Europe, the United States and around the world. The agreement establishes a framework to enable and structure formal discussions between the two companies to identify and pursue business opportunities in the emerging global ballistic missile defense market. Areas of immediate focus include developing mutual business opportunities in variants of existing and emerging exoatmospheric multi-stage BMD interceptors. "With the proliferation of ballistic missiles and a growing global need for missile defense, we are proud to work with Raytheon, acknowledged partner in BMD exoatmospheric interceptors and systems," said Herve Guillou, CEO EADS SPACE Transportation. "In addition to exo-interceptors and interceptor components, we will strive to foster our transatlantic relationship in other areas including civil space programs."
"EADS SPACE Transportation is a natural partner for us in transatlantic and global BMD. EADS SPACE Transportation has the mature, complimentary technology that is key to building highly capable interceptor systems, as well as compatible and balanced long-term business relationships," said Louise Francesconi, Raytheon's Missile Systems president. "Beyond domain expertise and formidable industrial capability, EADS is a pan-European company with a proven capacity to develop and integrate complex multi-country and multi- company programs like Ariane 5."

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NEWS IN BRIEF / KURZMELDUNGEN

The U.S. Air Force has selected a Northrop Grumman Corporation-led team to develop the service's E-10A aircraft's Battle Management Command and Control (BMC2) subsystem, one the most important programs in the development of Joint Network Centric Warfare in this decade. The company's BMC2 team was selected following a 15-month competitive process for the estimated $308 million system design and development phase of the program. The BMC2 subsystem is the backbone of the E-10A program. It provides the information processing capability for the E-10A's Multi-Platform Radar Technology Insertion Program (MP-RTIP) radar as well as the command and control functions key to the aircraft's mission. BMC2 is also capable of accessing and correlating sensor data from other sources to provide commanders with a comprehensive battlespace picture. BMC2 will provide critical seamless real-time communications, while supporting full spectrum dominance and persistent situation awareness for the warfighter. The result will be reducing the time required to find, fix, track and target fleeting and mobile targets and other hostile forces. The subsystem's cutting edge technology will fulfill the Air Force's vision for cruise missile defense and executable decision-quality information.
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Scientists, who conducted the preliminary assessment of the Genesis canister, are encouraged by what they see. They believe it may be possible to achieve the most important portions of their science objectives. "We are bouncing back from a hard landing, and spirits are picking up again," said Orlando Figueroa, Deputy Associate Administrator for Programs for the Science Mission Directorate at NASA Headquarters in Washington. "This may result in snatching victory from the jaws of defeat," added Dr. Roger Wiens of the Los Alamos National Laboratory, a member of the Genesis science team. "We are very encouraged." Based on initial inspection, it is possible a repository of solar wind materials may have survived that will keep the science community busy for some time.
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Saab Nyge Aero AB is to shed 25 people. The move affects SNA operations in Nyköping, Sweden. "It is of course very unpleasant news for our fine co-workers, but it is unavoidable with a constantly decreasing workload," says Arne Lindholm, President of Saab Nyge Aero. The SNA section of Saab Nyge Aero conducts special flight operations in Sweden and abroad, and modifies and maintains aircraft for Swedish authorities and international customers. Against a background of structural changes in the area of defence and government authorities, primarily in Europe, SNA is forced to adapt its resources accordingly and intends to shed 25 personnel due to lack of work. The measure affects both blue-collar and white-collar co-workers.
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In a ceremony on 9 th September at AgustaWestland's Yeovil plant, the first Super Lynx 300 was handed over to the Royal Thai Navy by Alan Johnston, Managing Director, Westland Helicopters Ltd. Accepting the aircraft on behalf of the Royal Thai Navy were Captain Taweesak Deerod of the Royal Thai Navy and Captain Pavit Rujites, Defence and Naval Attaché from the Royal Thai Embassy, London. Speaking at the event Alan Johnston said “We are delighted to hand over the first Super Lynx 300 to the Royal Thai Navy marking the next stage towards the aircraft entering operational service. The exceptional performance, ship operating capabilities and multi-role versatility which have made Super Lynx 300 the world's best light naval helicopter, will provide the Royal Thai Navy with a new capability in maritime operations.” The Royal Thai Navy ordered new generation Super Lynx 300 naval helicopters in late 2001 and they will be operated from their frigates performing anti-surface warfare, anti-submarine warfare, SAR and maritime surveillance roles. The Super Lynx 300 helicopters will initially remain at the AgustaWestland plant in Yeovil, while pilots and maintainers are trained. The aircraft will then be delivered to Thailand in late 2004 and enter service with the Royal Thai Navy in early 2005.
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Etihad Airways has announced the signing of a proposal acceptance to purchase five Boeing 777-300ER jetliners. The order is expected to be finalized in the near future. At that time, Boeing will add it to the company's order book. Boeing said it is pleased to be working with Etihad to finalize the airline's first order for Boeing airplanes. "It's always exciting when we establish a working relationship with a new airline so they can see firsthand the quality of our Boeing products, as well as the pride and support our employees show for Boeing airplanes," said Lee Monson, vice president of sales for the Middle East and Africa – Boeing Commercial Airplanes. "Etihad's passengers who fly the 777-300ER will experience the very best in long-haul flight comfort, and the airline will benefit greatly from the 777's proven efficiency and performance."
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Finmeccanica posted better-than-expected results for the first half of 2004, which were also an improvement on the same period of last year. In addition to a rise in value of production, pre-tax profit and net profit, there was also a sharp increase in operating profitability compared with 1H03. This bears out the group's ability to remain profitable while maintaining a strong capital and financial base, at the same time as pursuing a growth strategy entailing a significant increase in spending on new acquisitions and R&D. During the period, Finmeccanica reached an agreement to acquire the remaining 50% stake in AgustaWestland. It also signed a memorandum of understanding with Alcatel Space for a joint venture to create Europe's biggest space company, as well as making progress on defining the new EuroSystems alliance. The crisis in the civil aviation market appears to have stabilised, and an upturn is expected from 2006. Meanwhile, in helicopters, Finmeccanica intends to pursue its strategy of increasing its presence in the UK and US defence markets. Uncertainty remains over the short- and medium-term prospects for the commercial space market, although demand from the EU is increasing, and is likely to be the source of most activity over the next few years. Defence Electronics has seen significant growth across the board, but especially in communications, while the Defence Systems division is also doing well, with missile activities posting the best performance. Investment in heavy and light rail systems in Europe is looking up, and the group is therefore moderately upbeat on the prospects of a recovery in its Transport division. In the Information Technology and Energy divisions, the ongoing price pressures that have depressed profitability over the last two and a half years look set to continue. Overall the Group expects to increase its revenues further in the second half of the year, thanks to a solid order backlog that can guarantee stable results at least in the short to medium term. Full-year EBITA is forecast to come in at slightly higher than the figure for 2003.
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The European Commission and EUROCONTROL have signed a Grant Agreement worth 4.6 million Euro for a project to further develop the air traffic management services in five West Balkan Countries. The project for Aviation Safety and Air Traffic Control Phase II (ASATC II) is part of the European Commission's Community Assistance for Reconstruction, Development and Stabilisation (CARDS) Programme. CARDS supports the participation of Albania, Bosnia and Herzegovina, Croatia, the Federal Republic of Yugoslavia and the Former Yugoslav Republic of Macedonia in the Stabilisation and Association process (SAp) which is the cornerstone of the EU's policy in the region. The SAp is an ambitious strategy that helps the region to secure political and economic stabilisation while also developing a closer association with the EU, opening a road towards eventual EU membership once the conditions have been met. Regional cooperation is a critical component within the SAp, essentially extending the EU's own philosophy to the western Balkan region that deeper cooperation with neighbouring countries is a route to national as well as regional stability and growth and that such cooperation serves the mutual interests of all countries concerned. The main objective of the ASATC II project is to adapt air traffic and aviation conditions in the five CARDS countries to those in the rest of Europe, thus paving the way for the timely implementation of the Single European Sky.
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The first Agusta A109 Light Utility Helicopter (LUH) assembled in South Africa has taken to the skies for its maiden flight. The helicopter, with tail number 4006, successfully completed a series of acceptance test flights at Denel's Kempton Park facilities adjacent to Johannesburg International Airport. "We are contracted by Agusta to manufacture 25 of the 30 helicopters for the South African Air Force," says Mr Victor Moche, Denel chief executive officer. "I am very proud of this milestone we achieved, given that several members of the Denel team working on this first flight are historically disadvantaged individuals trained at the Agusta facilities in Italy as part of the skills development programme." The test flights conclude a week of preparatory testing of all the helicopter's sophisticated systems by a joint Denel-Agusta team. The flight crew consisted of Pietro Venanzi (test pilot) and flight engineers Renato Iulita and Ben van den Berg. After the flights lasting a total of two and a half hours, the pilot praised Denel's work on the helicopter. "The aircraft systems were all operational at first start of the engines. After the very first start we hovered to assess the vibration levels that appeared extremely good," Pietro Venanzi said. "A quick trimming of the track and balance of the rotors enabled us to take off in forward flight to complete the necessary system checks."
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Nearly half of all international business fliers would prefer to travel on airlines that allow the use of mobile phones in flight. That is the emphatic conclusion from a survey of 1,200 international business and leisure travelers at two of the world's busiest airports—London Heathrow and Gatwick. The research was conducted for Telenor and ARINC Incorporated. The companies are marketing an inflight GSM mobile phone service for passengers—ARINC-Telenor Mobile Connectivity. They plan to demonstrate their system at the World Airline Entertainment Association (WAEA) in Seattle, WA, Sept. 21-24. “Our research shows a pent-up passenger demand for in-flight mobile service,” stated Graham Lake, ARINC Vice President and Managing Director, Europe, Middle East and Africa. “Fully 83% of business fliers now carry their mobile phones in flight, while about half carry a laptop computer. The world today has more than 1.5 billion mobile phone subscribers, with almost 75% using GSM technology.”
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BAE Systems Avionics Group and Kaman Aerospace Corporation have begun cooperation to provide a low-cost, high capability intermediate maritime helicopter package based on Kaman's SH-2G Super Seasprite and BAE Systems' mission system and sensor suite. Initial efforts will be focussed on NATO interoperable communications and navigation systems, autonomous self-protection suites, sensor and target acquisition packages that will enhance situational awareness, as well as a range of anti-submarine and anti-surface weapons. The resulting aircraft will provide the worldwide Naval Aviation community with the ideal combination of proven systems and proven aircraft.
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Airbus and with its subcontractor Industrieanlagen Betriebsgesellschaft (IABG), a company specialized in industrial and aerospace testing facilities, are currently making preparations for the most extensive fatigue tests worldwide on a commercial aircraft. For this purpose, five sections of the new Airbus A380 will be shipped from Airbus in Hamburg to Dresden, Germany on 11 September. The structure will then be assembled and integrated in the IABG test facility where 47,500 flights will be simulated to test the fatigue strength of the A380. At one-week intervals, three fuselage sections and two wings of the new Airbus A380 will be moved upstream by barge on the river Elbe from Hamburg to Dresden. Each of the five convoys will travel at an average speed of eight kilometers per hour, which means it will take approximately two weeks until all the components arrive in Dresden. The vertical tail plane, engines, onboard electronics and other parts and systems of the aircraft are not required for the tests. With more than 40 bridges to pass under on the 570 kilometers long route, the journey will be a special challenge for the captains of the five barges. Once in Dresden, the sections will be hoisted up by one of the biggest cranes in Europe from the river Elbe. They will then be lowered onto a special vehicle that will take the components by road to the test facility near Dresden's airport. Beginning of October at the latest, the last barge will arrive on the river bank in Dresden.
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Northrop Grumman has released a new software product called RainStorm that will locate and pinpoint targets for precision-guided munitions with unprecedented speed and accuracy. RainStorm is used on the personal computers and UNIX systems in command and control centers and networks worldwide and is the follow-on to RainDrop, which is currently the most widely used precise positioning system in the Department of Defense. RainStorm is currently available for purchase by U.S. military forces. The RainStorm Advanced Precision Targeting System manipulates and exploits high-resolution imagery from multiple sources to support a wide variety of precision engagement requirements, including time-sensitive targeting. Targeteers and imagery analysts can use the tool to rapidly locate targets and minimize collateral damage effects. The product generates the highly accurate 3D coordinates required by precision-guided munitions to strike difficult targets. It also fulfills the global positioning system accuracy requirements for ground troop support.
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MTU Maintenance Hannover has won its first Russian customer. In late August, MTU Aero Engines' affiliate and Russian VIM Airlines concluded a five-year exclusive-supplier contract for the repair and overhaul of PW2000 engines powering the carrier's Boeing 757 fleet. According to Andreas Kalina, the shop's Vice President Marketing & Sales Europe, Middle East, Africa, “the agreement covers twelve transports times two makes 24 installed power plants plus five spare engines.” He concludes that “in all, we figure on totally 47 full shop visits during the initial contract term.” The aircraft are Boeing 757-200 twin jets powered by PW2000 engines. VIM had bought the fleet from Thomas Cook, formerly Condor, and put them into operation in August. They are serving destinations primarily in the Mediterranean, Turkey, Egypt, Tunesia and Teneriffa. VIM Airlines is backed by Russia's Center Capital investment company, which owns 75% in the airline.
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With new contracts in the low-cost-carrier sector, Lufthansa Technik has in recent months further expanded its portfolio of services. As examples, the Spanish airline Vueling has entrusted its fleet of up to eight Airbus A320s to the German MRO (maintenance, repair and overhaul) specialists as has the Hungarian carrier Wizz Air its fleet of up to twenty Airbus A320s. More than 50 charter airlines and low-cost carriers are currently availing them-selves of Lufthansa Technik's services. What they all have in a common is a de-sire to concentrate on their core business and turn to a highly reliable outsider to meet their MRO needs. In particular, startup airlines with small fleets find that it pays to enlist the services of large maintenance specialists, since participating in pools can reduce the costs of logistics and spare parts. Many of the more than 60 maintenance stations of Lufthansa Technik's international network have been ex-panded in recent months to provide additional services to customers. Such sta-tions include those in Madrid, Barcelona, Budapest, Katowice and Malta.
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Airbus has successfully completed the first in-flight trial of GSM personal mobile- telephones aboard an airliner, paving the way for their future widespread use. The trial, which took place aboard an Airbus A320 flight-test aircraft flying from, and back to, Toulouse, is part of an ongoing technical development project to provide an in-flight mobile telephony service to airline passengers. In addition to tests for measurement purposes, functional tests were performed in which several different GSM telephones were used simultaneously for both voice communications and text messaging. The trials demonstrated successful communications to and from personal mobile telephones onboard to mobile and fixed telephones on the ground, and to another mobile telephone aboard. The prototype equipment and software used in the trials were developed by Airbus supported by the telecommunication specialist Icarelink. The signals from the mobile telephone went first to a “picocell” inside the aircraft, next to a computer server that routed them through the Globalstar satellite communications network to the ground, and finally to ground-based telephone networks.
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Boeing said that world air cargo growth should expand at an average annual rate of 6.2 percent during the next two decades, with overall traffic tripling from current levels. The information is part of Boeing's World Air Cargo Forecast 2004/2005, released at the International Air Cargo Forum and Exposition 2004. Boeing has published the World Air Cargo Forecast, widely acknowledged as the definitive industry forecast of worldwide air cargo traffic growth and freighter aircraft demand, as an individual report since 1986. "With the challenges of the past few years, the air cargo market's strength has been encouraging," said Marlin Dailey, vice president, Sales, Europe & Central Asia – Boeing Commercial Airplanes. "After four percent growth last year, the market has continued to be strong this year, with worldwide traffic up a further 10.7 percent versus the same period in 2003."
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During recent flight tests, Northrop Grumman successfully demonstrated key elements of the Unmanned Combat Armed Rotorcraft (UCAR)'s autonomous vehicle management system, evaluating hardware and software that will allow the UCAR system to operate autonomously but in cooperation with manned and unmanned teams. The vehicle management system serves as the rotorcraft's functional "brain." The UCAR program is funded jointly by the Defense Advanced Research Projects Agency (DARPA) and the U.S. Army. Northrop Grumman is currently competing for Phase III of the program, which will include fabrication and testing of two UCAR demonstrator systems.
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Space Imaging announced it has reached an agreement to sell its Federal Civil/Commercial Solutions business unit to Denver-based Geo360 Corporation. The group provides mapping and GIS services to federal, state and local government customers. Space Imaging is selling the group so that it can focus on its core business of selling commercial satellite imagery to all markets, and providing geospatial solutions to defense and intelligence agencies. Space Imaging will continue to serve the international markets through its Regional Affiliate and International Alliance programs. The company will be increasing the scope and diversity of its defense offerings that include mapping production, R&D and system engineering services. Space Imaging will continue selling imagery to the civil and commercial markets both directly, through its Regional Affiliate ground stations and via its network of 75 worldwide resellers. Through these channels, Space Imaging expects to continue growing the adoption of high-resolution imagery.
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The Royal Netherlands Navy has recently selected CAE to perform an upgrade of the Lynx helicopter full mission flight trainer (FMFT) at Naval Air Station de Kooy in Den Helder, Netherlands. The value to CAE will be approximately C$9 million. The Lynx FMFT is part of the Joint Lynx Simulator Training Establishment (JLSTE) used by the armed forces of Norway, Denmark, Holland and Germany to train Lynx helicopter aircrews. The simulator is specifically designed so the Lynx FMFT can be reconfigured to ensure concurrency with the fleets of Lynx helicopters operated by the various nations. CAE will add new radar and communications systems to the simulator, as well as enhance a range of other helicopter systems. The upgrade will be complete in late 2005.
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British Airways has trimmed its winter flying programme by two per cent for three months as a measure to protect the operational performance of the airline. The planned cancellations amount to 966 flights out of 42,000 flights in and out of London Heathrow Airport. This is an average of about 12 flights a day out of 540 operated by British Airways. British Airways chief executive Rod Eddington said today: “We made this decision earlier this month as a precautionary measure to help ensure the robustness of our operation. “We recognised some time ago we were short of staff in some areas and our recruitment programme is now bringing new staff on line. This is about giving some leeway to our operation as the principal carrier at the world's busiest international airport – an airport which remains crammed to capacity. “By slightly reducing our flying programme we improve our ability to react effectively to the technical issues that face all airlines every day. The reduced programme gives us more available stand-by aircraft and greater flexibility.
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CHC Helicopter Corporation announced today it has been awarded an expanded three-year contract, plus two-year option, by BP for the provision of one dedicated Sikorsky S-61 and two dedicated S-76 aircraft in Baku, Azerbaijan to service offshore oil and gas fields in the Caspian Sea. The contract, valued at approximately $40 million over the initial three-year period, replaces an existing contract for one S-61 and one S-76 aircraft.
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ESA's Huygens probe, now orbiting Saturn on board the NASA/ESA/ASI Cassini spacecraft, is in good health and successfully passed its fifteenth 'In-Flight Checkout' on 14 September 2004. This in-flight checkout procedure was the last but one planned before separation of the Huygens probe from Cassini in December this year, and it included some specific activities that were intended to prepare for the separation. The main difference in this procedure from previous checkouts was that there was a test of the Master Timer Unit (MTU). Because Huygens will spend three weeks coasting towards Titan following separation from the Cassini orbiter, its systems and instruments are powered down. The MTU is the 'triple-redundant' alarm-clock that has the most important job of waking up Huygens a few hours before its entry into Titan's atmosphere.
The checkout also included some specific payload activities required to configure the Huygens instruments before separation.
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Gen. John W. Handy, commander of Air Mobility Command, has directed 29 KC-135E Stratotanker aircraft with identified engine strut problems be removed from the flying schedule while Air Force leaders evaluate a report from the Fleet Viability Board and recommendations of the Oklahoma City Air Logistics Center's KC-135 system program office. This decision is based on flight safety considerations associated with this model of the KC-135.
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Boeing Capital Corporation has reached an agreement with Hawaiian Airlines on the restructuring of its long-term leases for 11 Boeing 717-200s and three Boeing 767-300ERs, and on the amount of Boeing's unsecured claim resulting from Hawaiian's bankruptcy. Boeing Capital has also reached an agreement to sell its unsecured claim to RC Aviation LLC. Ranch Capital LLC created RC Aviation, which is a significant investor in Hawaiian's parent company, Hawaiian Holdings Inc. Boeing's agreements with Hawaiian are subject to review and approval by the U.S. Bankruptcy Court in Honolulu overseeing the airline's bankruptcy. Court approval will be requested before the end of September.
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The U.S. Federal Aviation Administration has certified GE's CF6-80C2 engine for the U.S. Air Force (USAF) C-5 Galaxy modernization program. The certification follows eight months of ground-testing of the engine to validate engine-aircraft integration and the new FADEC III control system. The FADEC III control system has been certified on the GE90-115B and CFM56-7 engines. Later this month, GE will deliver the first CF6-80C2 engine to Lockheed Martin Aeronautics Company for flight-testing on the four-engine C-5 Galaxy aircraft. Flight tests are scheduled to begin in the fourth quarter of 2005.
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Lockheed Martin's Deputy Vice President for Business Development Rob Weiss said that the Lockheed Martin-led Raptor industry team has reached a new level of program maturity with reliable production, solid performance and expanding capabilities. Speaking to reporters at the 2004 Air Force Association National Conference, Weiss said the F/A-22 program is healthy, solid and on track. He added that significant advances in production have been made over the past year, and aircraft committed for delivery in 2004 are completing production build according to schedule. “We are delivering high-quality aircraft faster than ever before, meeting our 2004 commitment to the Air Force, and we have begun the initial stages of Raptor modernization,” Weiss said. “We are excited that the Air Force's operational testing is nearing completion and look forward to a full-rate production decision.”
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Team US101 has selected General Electric Co. (GE) as its preferred engine supplier for the US101 medium-lift helicopter in its combat search and rescue (CSAR) configuration. The three-engine US101 is a leading contender in the competition to provide the U.S. Air Force with a new and more capable platform to recover battlefield airmen in combat zones. “We are proud to select GE for the US101 personnel recovery vehicle,” said Stephen D. Ramsey, US101 vice president and general manager at Lockheed Martin. “GE's exceptional engine safety record, and the US101 helicopter's three-engine configuration provide the Air Force Special Operations Command with optimal reliability and low risk.”
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The last two active-duty C-141B Starlifter transport aircraft will retire Sept. 16 at McGuire Air Force Base, N.J. During the past 40 years, the C-141 has proven versatile for troop and cargo transport, humanitarian- and disaster-relief operations and aeromedical evacuation. As such, the Starlifter has secured an important place in history ranging from the Vietnam War through the ongoing war on terrorism. Lockheed-Georgia, which is now Lockheed Martin, delivered the first C-141 Starlifter to Tinker AFB, Okla., in October 1964. At that time, the aircraft was assigned to Military Airlift Command, the predecessor of today's Air Mobility Command.
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Engineers have removed more than 2,700 pounds (1,225 kilograms) of unwanted estimated weight from the short-takeoff/vertical-landing (STOVL) version of the F-35 Joint Strike Fighter, while increasing propulsion efficiency and reducing drag. The result is an F-35 JSF design recommendation that is expected to meet or exceed all of its performance requirements. "The F-35 is now tracking ahead of its Key Performance Parameters, and past concerns about the aircraft's aerodynamic performance have diminished," said Tom Burbage, Lockheed Martin executive vice president and general manager of F-35 JSF program integration. "Because of the design similarities among the three F-35 variants, many of the STOVL-version refinements will translate to the conventional and carrier versions, which already met their performance requirements even before the STOVL improvements were instituted." The F-35 team anticipates final approval of the STOVL revisions when the U.S. Defense Acquisition Board meets on Oct. 14. "We have addressed every known aspect affecting STOVL aerodynamic performance and shipboard compatibility," said Rear Adm. Steven Enewold, F-35 JSF program executive director. "We feel our proposed configuration is operationally viable. The next step is to get the trade-study results implemented into the detailed STOVL design package."
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The US Air Force will have fewer fighters and strike aircraft, but the lethality of those that remain will increase, the service's top general said Sept. 13 at the 2004 Air Force Association's Air and Space Conference and Technology Exposition here. Air Force Chief of Staff Gen. John P. Jumper said the service plans to reduce its number of combat aircraft. By reinvesting the potential savings from operating and maintaining those “surplus” aircraft, the Air Force can significantly improve the capability of those that remain, he said. “I don't think that even reduced numbers … will produce any less killing capacity,” General Jumper said. “As a matter of fact, the lethality of even a reduced number of weapons systems will be extraordinarily increased over what we have right now.” To illustrate his point, the chief of staff reminded people of the successful test of a multi-unit bomb rack aboard the B-2 Spirit bomber that released 80 Global Positioning System-guided bombs.
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Lufthansa Technik has developed several IT (information-technology) elements that have enabled it to optimize the maintenance-operation-management process. Startup airlines in particular, or those with small fleets, profit from the new systems, which simplify the flow of information between the operator and the MRO (maintenance, repair and overhaul) provider. MARIS (maintenance-record information system), which became operational at the beginning of September, collects data 24 hours a day worldwide on reported aircraft defects, documents the appropriate remedial measures, and even issues defect-corrected clearances. The system is essential both for documenting an aircraft's condition and for analyzing the data concerning it, and is thus one of the most important IT systems for flight operations and aircraft maintenance.
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Alcatel announced that it has signed a contract with Divona Télécom, a consortium formed by Tunisian Internet service provider Planet and Monaco Télécom. The contract covers the turnkey delivery of a "DSL in the Sky" broadband network that will enable data transmission by satellite in Tunisia. The network, to be delivered by Alcatel Space before year-end, is based on the DVB-RCS Alcatel 9780 platform and integrates a satellite gateway and associated terminals. Divona will use it to develop its activities as a broadband service provider, notably through the offering of services such as Internet web browsing and high-quality virtual private networks (VPNs). This contract marks the beginning of a partnership with Divona Télécom, Tunisia's first private VSAT operator.
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BAE Systems Aerostructures has been awarded an £85m life of program design & build contract for Raytheon Hawker 800XP aircraft. This represents a continuation of its current supply contract of doors, fuel tanks, flaps and elevators, but includes the addition of Rudder and Tailplane assemblies, which will be built at the Aerostructures Prestwick site.
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After a six-month test phase, Air Berlin has decided to equip its entire fleet with AIRTRACK, the new standard for moving-map systems aboard aircraft. The German airline thus becomes the launch customer for this system jointly developed by Lufthansa Technik AG and TEAC Aerospace of the U.S. The first aircraft equipped with it having completed test flights on routes within Europe in March of this year, all Boeing 737s are to be equipped with it, starting immediately. Air Berlin has ordered a total of 37 AIRTRACK units from Lufthansa Technik in Hamburg. AIRTRACK is a satellite-based moving-map system that affords passengers a highly detailed view of the earth's surface and of the route being flown. The system generates precise 2D and 3D land maps, i.e., satellite-produced images as well as aerial photographs. AIRTRACK contains a worldwide terrain-image database with a standard of 16 meters per pixel. With a resolution of ten meters or one meter per pixel, views of even individual streets and roads can be displayed in precise detail on the onboard monitors.
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Singapore Airlines and Airbus have entered into an agreement on Customised Spares Logistics (CSL) that will reduce Singapore Airlines' cost of aircraft ownership. Under the agreement on CSL, Airbus will supply and transport spares directly and just–in-time to Singapore Airlines. CSL shipments are transported under the full responsibility of Airbus. The main benefit for Singapore Airlines includes the reduction of internal administration efforts for tracking and tracing of shipments as well as guaranteed timely deliveries. Customers, who signed up for CSL, further profit from the economies of scale obtained by Airbus. These economies of scale lead to competitive freight rates, which are passed on to customer, leading to reduced customer transport costs. The CSL service offers Airbus customers the option to have their spare parts orders handled with full ownership and responsibility for the entire supply chain and their transport means by Airbus. CSL is available to Airbus customers since end of 2003 and is currently used by eleven airlines and MRO companies worldwide.
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Frankfurt Airport (FRA) welcomed 4,924,415 passengers and handled 42,286 take-offs and landings in August 2004 – more passengers and aircraft movements in a single month than at any other time in the airport's history. Fraport AG – FRA's owner and manager – also recorded the best August for airfreight, with 142,555 metric tons handled at FRA. In August 2004, passenger traffic at Germany's busiest airport increased by 1.8 percent year-on-year to 4.9 million. For the eight-month period from January to August 2004, FRA even experienced 6.9 percent growth in passenger traffic. The major growth factor was a 5.4 percent increase in intercontinental passenger traffic. India and China recorded particularly robust growth rates, while Japan also picked up again.
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Ryanair announced it is to increase the size of its base at Stockholm Skavsta to 4 Boeing 737-800 aircraft, in a further investment of $60M, and also announced 3 new European routes from Stockholm Skavsta to Dusseldorf Niederrhein (Germany), Barcelona Girona (Spain) and Riga (Latvia). Ryanair, which is already Sweden's favourite low fares airline, began flying from Stockholm Skavsta in June 1997, and has already 8 low cost international routes. This year Sweden will have over 2.5M Ryanair passengers, saving Euro250M on the high fares of SAS. Announcing the new routes and additional aircraft in Stockholm today, Ryanair's CEO, Michael O'Leary said: “We opened our Stockholm Skavsta base in April 2003, and already Ryanair is the second biggest carrier of European traffic in Sweden, and the market leader from Stockholm, Goteborg and Malmo to London. Today, we are increasing the size of our aircraft base with another brand new Boeing 737-800 aircraft, bringing the total investment by Ryanair at Skavsta to $240M.
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NASA has awarded a consolidated Extravehicular Activity (EVA) Systems Contract to Hamilton Sundstrand Space Systems International of Windsor Locks, Conn. The spacewalk support contract, with a base period of five years and five additional one-year options, has a potential value of $814 million. Work includes defining and integrating EVA requirements for Space Shuttle flights and International Space Station expeditions; sustaining engineering for EVA hardware systems including provisioning of Extravehicular Mobility Unit (EMU) spacesuits, tools and crew aids, problem analysis and resolution, and real-time mission support; extending certified spacesuit life support system component life through the life of the Shuttle and Station. It also includes flight processing and outfitting of EVA flight hardware systems; processing and outfitting of EVA training hardware systems; and advanced spacesuit hardware systems technology development.
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