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 UPDATE - Week ending 26 June 2005
 
+++ EADS has new management at last +++ EADS selects Mobile for tanker facility +++ EGNOS system delivered to ESA +++ Air Canada cancels Boeing order +++ News in brief +++


EADS has new management at last
Endlich neue Führung für EADS

After seemingly endless haggling, the EADS Board of Directors, has confirmed Tom Enders (46) and Noël Forgeard (58) as Chief Executive Officers (CEO) of EADS with immediate effect for a five-year term. In agreement with BAE Systems, it has also appointed Gustav Humbert (55) as President and CEO of Airbus. Stefan Zoller (47) has been appointed as President and CEO of the EADS Defence and Security Systems Division. The Board has also appointed the new Executive Committee for the Group, which will be led by the CEOs Enders and Forgeard: Jean-Paul Gut (Chief Operating Officer for Marketing, International and Strategy); Hans Peter Ring (Chief Operating Officer for Finance); François Auque (EADS SPACE) ; Fabrice Bregier (EADS Helicopter Division); Ralph D. Crosby Jr. (EADS North America); Francisco Fernández Sáinz (EADS Military Transport Aircraft); Gustav Humbert (Airbus); Jussi Itävuori (Human Resources); Stefan Zoller (EADS Defence and Security Systems Division).
The Board has dissolved the Aeronautics division and established Eurocopter as the new EADS Helicopter division. It will be led by Eurocopter CEO Fabrice Bregier. The four EADS Executive Board Members – Enders, Forgeard, Gut and Ring – will represent EADS on the Airbus Shareholder Committee. Noël Forgeard has been appointed as Chairman of the Airbus Shareholder Committee, in agreement with BAE Systems.
EADS Chairmen Manfred Bischoff and Arnaud Lagardère said: ”We are pleased that following intense discussions we can now present an excellent team and new structure for the future management of EADS. The appointments reflect the unique position of EADS as a multinational company as well as EADS' strong position in the world market. Our key priority for the second term of EADS is to ensure the company builds on its strong profit performance, particularly through a renewed focus on enhancing the value of its core businesses. The new CEOs and Executive Committee have a mandate to vigorously pursue this strategy.”
The Board of Directors has adapted responsibilities and reporting lines to the new management and organisational structure. It will continue to shape the Group's mission and strategic priorities, which are implemented under the leadership of the EADS CEOs. The business operation lies within the responsibility of the EADS Executive Committee. On day-to-day matters Fabrice Bregier, Jean-Paul Gut and Stefan Zoller will report to Tom Enders. François Auque, Gustav Humbert and Hans-Peter Ring will report to Noël Forgeard. Ralph Crosby, Francisco Fernandez Sainz and Jussi Itävuori will report to both CEOs.

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EADS selects Mobile for tanker facility
KC-330 würde in Alabama gebaut

Mobile Alabama's Brookley Industrial Complex has been selected by EADS North America as the site for the EADS KC-330 advanced tanker U.S. production facility, providing a strategically-located complex on the Gulf of Mexico with existing runways, a deepwater port and a skilled aerospace workforce.  An Airbus Engineering Center will be co-located with the future production facility and is scheduled to begin operations in 2006. The decision was announced on June 22 by EADS North America, completing a five-month nationwide search for the location that will become the center of activity for the KC-330 - which is being offered to recapitalize the U.S. Air Force's aerial refueling fleet.   More than 70 sites from 32 states originally responded to EADS North America's Request for Information (RFI).  The list of locations under consideration subsequently was narrowed to four candidate sites in Alabama, Florida, Mississippi and South Carolina.  The KC-330 industrial site selection process was managed for EADS North America by The Staubach Company, an international real estate and management firm headquartered in Dallas, Texas. 
"All four potential locations were very qualified candidate sites, with the Brookley Industrial Complex meeting or exceeding all of our requirements for the KC-330 production facility," said Ralph D. Crosby, Jr., EADS North America's Chairman and CEO.  "We were extremely impressed by the winning proposal, and by the enthusiastic support from the city of Mobile, the Mobile Bay region, the state of Alabama, and its U.S. Congressional delegation.  The selection of Mobile also serves the interests of neighboring Florida and Mississippi, which will contribute significantly to our employment base at the facility.
Development of the KC-330 industrial facility will begin as a new Airbus Engineering Center in the United States, with operations starting in early 2006 and its employment growing to approximately 150 persons.  This facility is to support continuing engineering work on commercial Airbus models and military derivative aircraft - including the A330, A340 and A350 jetliners, as well as the KC-330 tanker.  Production will be initiated at the Mobile facility upon receipt of an order from the U.S. Air Force for the KC-330 aerial refueling tanker.  Activities will include aircraft final assembly, militarization and modification. Depending on the size and pace of the Air Force order, the total facility investment could reach $600 million, and direct employment levels could be as high as 1,000 workers --including a mix of structure mechanics, electronic and systems specialists, engineers, quality assurance personnel and management.

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EGNOS system delivered to ESA
Industrie übergibt EGNOS-System

A key step for satellite navigation in Europe was achieved on 16 June 2005, with the formal completion of the technical qualification of the European Geostationary Navigation Overlay Service (EGNOS) and the acceptance of the EGNOS system delivered to ESA. This formal review, called the Operational Readiness Review (ORR), marked the completion of more than 8 years of intensive work by ESA and European industry. The ORR involved the acceptance of the EGNOS system delivered to ESA by an industrial consortium lead by Alcatel Space with more than forty European companies.
EGNOS is a joint project of the European Space Agency (ESA), the European Commission (EC) and Eurocontrol - the European Organisation for the Safety of Air Navigation. ESA is in charge of the system development and technical qualification. EGNOS is Europe's contribution to the first stage of the global navigation satellite system (GNSS), paving the way for Galileo, the first civil complete satellite navigation system. Three special EGNOS satellites located in geostationary orbit above Europe transmit a GPS-like signal that improves the GPS accuracy down to 1 to 2 metres. Service guarantee and integrity information is also provided. EGNOS measured performances are beyond initial expectations, another demonstration of the excellence of the European engineers and technology. More than 60 international experts from ESA gathered in Toulouse during May 2005. Eurocontrol, the Galileo Joint Undertaking and the EGNOS Operator and Infrastructure Group took part in this comprehensive review.

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Air Canada cancels Boeing order
Bestellung wird storniert

Air Canada said on 18 June that it has been informed by the Air Canada Pilots Association (ACPA) that the tentative agreement on costs and other issues relating to the Boeing order has been rejected by the union membership. ACPA leadership had recommended ratification of the tentative agreement which had been negotiated with the assistance of Mediator Mr. M.G. Mitchnik. The Company accepts the pilots' decision and has notified Boeing of the order cancellation. The agreement with Boeing announced April 25 was subject to the successful completion of certain conditions including the negotiation of satisfactory terms by the airline with its pilots. The order is subject to cancellation without penalty.
"We are naturally disappointed at having to cancel the wide body aircraft order but these aircraft can only be brought into our fleet on a pre- determined economic basis. Despite best efforts on the part of ACPA, the agreement has been rejected," said Montie Brewer, President and CEO of Air Canada. "Following a successful restructuring, Air Canada has been transformed into a viable carrier. We cannot lose sight of the effort it took to get to where the airline is today and while the cancellation of this aircraft order will be disappointing to our employee group at large, including many of our pilots, it is the right decision given the circumstances. "The cancellation of the order is not material to our business plan over the next few years. There is no longer a requirement for a cash outlay to secure the order and we will seek to find alternative aircraft (of types covered by the current collective agreement) in the used market for the three 777-300ER aircraft contemplated for 2006 delivery under this order (two for Q2/06 and a third during Q4/06). We will adjust our plans and it is anticipated that the company will continue to grow on an unaltered basis. The critical component of the Boeing order were the 787 aircraft scheduled for delivery in 2010 and beyond to replace our Boeing 767 fleet. In time we will re-address this requirement.

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NEWS IN BRIEF / KURZMELDUNGEN

On 23 June, the Sea Launch Company successfully delivered the Intelsat Americas-8 (IA-8) communications satellite to geosynchronous transfer orbit. Early data indicate the spacecraft is in excellent condition. A Zenit-3SL vehicle lifted off at 7:03 am PDT (14:03 GMT), from the Odyssey Launch Platform, positioned at 154 degrees West Longitude. All systems performed nominally throughout the flight. The Block DM-SL upper stage inserted the 5,500 kg (12,125 lbs.) satellite to geosynchronous transfer orbit, on its way to a final orbital position of 89 degrees West Longitude. A ground station in Fucino, Italy, acquired the spacecraft's first signal less than an hour after liftoff, as planned. This mission is Sea Launch's fifth launch for Space Systems/Loral (SS/L), the spacecraft's manufacturer, and the first for Intelsat. The IA-8 satellite is designed to provide expanded coverage over the Americas, the Caribbean, Hawaii and Alaska with voice, video and data transmission and distribution services. SS/L's 1300 bus carries 28 C-band and 36 Ku-band transponders, as well as 24 Ka-band spot beams and has a total end-of-life power of 16 Kw. IA-8 is the fifth Intelsat satellite in the North American arc and the 28th satellite in Intelsat's global fleet.  
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Raytheon and the United Kingdom Ministry of Defence, Defence Logistics Organisation, signed a series of contracts for Raytheon Partnering in Defence (RaPID) that over the next 13 years will reduce the cost of ownership of Raytheon munitions used in the Royal Air Force inventory. The contracts provide for an initial $16.5 million, four-year pricing period and were signed at the Raytheon Missile Systems in Tucson, Ariz. RaPID covers in-service support of Raytheon's AMRAAM AIM-120B missile, Maverick AGM-65 F2, G2, JX missile variants and Paveway II, Enhanced Paveway II, Paveway III and Enhanced Paveway(TM) III laser guided bombs. The RaPID contracts are a culmination of efforts that began with a memorandum of understanding signed in 2003 between Raytheon and the Defence Logistics Organisation.
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EADS CASA has selected Rockwell Collins to provide a high-frequency communications system for its A400M program. The contract, valued at $38 million, calls for production delivery on 180 shipsets to begin in 2009. Rockwell Collins will provide its HF-9500 High Frequency Communications System for the A400M.The HF-9500 provides communications capability throughout the world and offers unparalleled ease of operation for the airborne user. Airbus previously selected Rockwell Collins to provide the Avionics Full Duplex Ethernet (ADFX) and avionics communications router (ACR) for the A400M.
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On 17 June, the Federal Aviation Administration granted type certification to Cessna's Model 525 Citation CJ1+, keeping the program on schedule and bringing the aircraft one step closer to customer delivery. Certification was awarded in just over 200 flights and 400 flight hours, spanning eleven months. "Receiving certification on the CJ1+ is a culmination of a very important partnership between our customers and our employees," said Jack J. Pelton, Cessna's Chairman, President and CEO. "Cessna team members utilized their expertise and innovation to integrate our customers' feedback and transform the CJ1, an airplane with established excellence, into the CJ1+. The CJ1+ will, in many instances, continue the tradition of being the first jet many operators own, and we look forward to providing new Citation family members with the latest generation of this proud line."
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CAE has been awarded a contract to provide a Dash 8-400 full-flight simulator to Japan's ANA (All Nippon Airways). The simulator is intended to be used for training at the ANA Flight Training Centre at Haneda Airport in Tokyo, Japan, with delivery slated for fall 2006. CAE has been providing full-flight simulators and other training devices to over 25 airlines in the Asia Pacific region for more than two decades. This contract represents CAE's fourth full-flight simulator order of fiscal year 2006.
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UK Aviation Minister Karen Buck has welcomed the launch of 'Sustainable Aviation' as a first, significant step towards addressing the environmental impacts of commercial air transport. The strategy has been developed by all sectors of the UK's commercial aviation industry, setting out detailed voluntary commitments from airports, airlines and manufacturers to address the targets contained within the Government's Aviation White Paper. The strategy includes measurable goals and best practice that each sector of the industry has agreed to achieve in order to balance future growth in the industry with the needs of the environment and social responsibilities. For example: Aircraft manufacturers have committed to improving fuel efficiency by 50% per seat kilometre and reducing NOX emissions (nitric oxide and nitrogen dioxide) by 80%; airlines have pledged to develop solutions for the inclusion of aircraft CO2 emissions in the EU Emission Trading Scheme by 2008 (or as soon afterwards); airports will actively work on methods to improve noise, air quality and traffic congestion levels in their local communities. Welcoming the industry's response as the start of a long-term process, Karen Buck said: "The Government is pleased that the industry has recognised its environmental responsibility and is responding proactively. Rapid growth in aviation carries significant impacts, particularly in relation to climate change and the environment around our airports. The Government is responding by arguing for emissions trading to tackle climate change effects and by introducing the Civil Aviation Bill to give new powers to tackle noise and local pollution issues. We look to the industry to take their strategy forward energetically so that aviation contributes to a sustainable society."
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NASA Administrator Michael Griffin announced today the establishment of the Office of Program Analysis and Evaluation (PA&E), headed by Dr. Scott Pace. The Office of Program Analysis & Evaluation reports directly to the Administrator. It has responsibility to independently assess program performance, make programmatic and institutional recommendations, perform cost analysis, and conduct strategic planning activities. "This office will provide independent analysis to me on all aspects of NASA programs that is objective, multidisciplinary and as transparent as possible," Griffin said. "As we move forward to implement the Vision for Space Exploration, it is important that we make logical and sound decisions on the investment of taxpayer dollars." PA&E will examine a variety of issues of strategic importance to NASA. The office will ensure all aspects of a major decision are considered and obtain pertinent information required to assist the Administrator in making well-informed, timely decisions. The long term goal of the office is to ensure a strong, objective, professional PA&E function exists to serve the agency, as NASA continues to pursue the Vision for Space Exploration.
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Boeing and Vietnam Airlines signed the firm agreement for the purchase of four Boeing 787-8 Dreamliners by the national airline of Socialist Republic of Vietnam. The signing ceremony, held at the Department of Commerce, included Vietnam Airlines President and CEO Nguyen Xuan Hien and Alan Mulally, president and CEO, Boeing Commercial Airplanes. The event was witnessed by Vietnam Prime Minister Phan Van Khai and U.S. Department of Commerce Secretary Carlos M. Gutierrez. Vietnam Airlines plans for the 787 to be its future mid-sized, twin-aisle jetliner. The new airplanes, which are valued at $500 million at list prices, are scheduled for delivery in 2009 and 2010. The agreement also includes purchase rights for 11 additional airplanes in the 2010 - 2013 time frame.
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The NATO Helicopter Design & Development Production and Logistics Management Agency (NAHEMA) signed a contract with Thales today for the purchase of airborne tactical navigation equipment (TACAN) to equip the NH90 NFH (Nato Frigate Helicopter). Under the contract agreement, Thales will deliver twenty-six AN-490N airborne TACAN interrogators for installation on board the naval version of the NH90 helicopter NFH. The contract comprises logistic and training support on the installed equipment. Nine systems will be delivered to the French Navy and seventeen to the Italian Navy. The systems are scheduled for first delivery in September 2005 and will be fully operational by early 2007. The TACAN system is a military navigational aid that provides distance and azimuth information to pilots. This can be either between the aircraft and a ground station or between the two suitably equipped aircraft.
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Goodrich has been awarded a contract by Lear Siegler, Inc. for initial production quantities of laser threat warning systems for use on U.S. Army BLACKHAWK and Chinook helicopters. This option is the first installment of a multi-year contract in support of the U.S. Army. The contract is expected to generate approximately $21 million in original equipment sales for Goodrich over 3 years, with first deliveries beginning in 2006. According to Goodrich Electro-Optical Systems Vice President and General Manager, David Olson, "Goodrich is pleased to provide our service men and women with our advanced laser warning system as a key enhancement to their battlefield security portfolio. This new product continues a 30-year heritage of excellence in providing for U.S. Army force protection." The new AN/AVR-2B laser threat warning system design is the next generation of existing Goodrich aircraft survivability equipment, which has been successfully deployed on over 1,600 helicopters, including those involved in recent sorties in Iraq.
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MARSIS, the Mars Advanced Radar for Subsurface and Ionosphere Sounding onboard ESA's Mars Express orbiter, is now fully deployed, has undergone its first checkout and is ready to start operations around the Red Planet. With this radar, the Mars Express orbiter at last has its full complement of instruments available to probe the planet's atmosphere, surface and subsurface structure. MARSIS consists of three antennas: two 'dipole' booms 20 metres long, and one 7-metre 'monopole' boom oriented perpendicular to the first two. Its importance is that it is the first- ever means of looking at what may lie below the surface of Mars. The delicate three-stage phase of radar boom deployment, and all the following tests to verify spacecraft integrity, took place between 2 May and 19 June. Deployment of the first boom was completed on 10 May. That boom, initially stuck in unlocked mode, was later released by exploiting solar heating of its hinges. Taking advantage of the lessons learnt from that first boom-deployment, the second 20-metre boom was successfully deployed on 14 June. Subsequently, ESA's ground team at the European Space Operations Centre (ESOC) in Darmstadt, Germany, commanded the non-critical deployment of the third boom on 17 June, which proceeded smoothly as planned.
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As a quality airline, Austrian Airlines has often played a crucial role in driving forward the development of aircraft technology. In the late 1970s, together with Swissair, Austrian became the first airline in the world to place an order for the medium-range aircraft known at the time as the DC-9 Super 80. In 1978 Austrian Airlines and Swissair simultaneously became the first airlines to order the MD-80 and to start operating it in October 1980. The final MD-83 was eventually taken out of service on 22 June 2005. Within almost 25 years, Austrian Airlines flew a total of 20 jets of the versions MD-81, MD-82, MD-83 and MD-87. Meanwhile, the latest replacement jets are already being used to operate scheduled and charter services on short- and medium-range routes: the Airbus A320 fleet family, with six A321, eight A320 and five A319 types, and the Boeing 737 'New Generation' with five Boeing 737-800, two Boeing 737-700 and one Boeing 737-600. Vagn Soerensen, Chief Executive Officer of Austrian Airlines, summed up the importance of the MD-80 over the past two decades: 'The development and expansion of the Austrian Airlines short- and medium-range route network in the eighties and nineties was fundamentally influenced by the airline's use of the various versions of MD-80 jets.' He went on: 'In almost a quarter of a century since the MD-80 fleet family went into operation with Austrian, this type has completed around 900,000 flight hours and 575,000 flights. MD-80 jets have transported some 35 million passengers and 280,000 tons of cargo without any accident. Austrian Airlines also achieved a number of highlights of aviation technology using the MD-80, including the world's first fully automated landing under extreme visibility conditions (CATIIIb) and a round-the-world flight. The phase out of our MD-80 jets has gone ahead smoothly. Following their sale, the aircraft have gone into service with operator companies in a number of countries, including the USA and South Africa. To replace the MD-80, we took on our fifth B737-800 a few weeks ago, while today it was the turn of the fifth Airbus A319 to begin operations with the Austrian Airlines Group. This has helped us take another important step in our policy of fleet harmonisation.
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In celebration of its fifth anniversary, the SkyTeam alliance reflected on accomplishments to-date and outlined strategic focus areas for its next five years and beyond. Members Aeroméxico, Air France, Alitalia, Continental Airlines, CSA Czech Airlines, Delta Air Lines, KLM Royal Dutch Airlines, Korean Air and Northwest Airlines pledged to work together on key initiatives, including customer service enhancements, development of the alliance network to accommodate anticipated passenger growth and implementation of technology and e-Services alliance-wide. On June 22, 2000, Aeroméxico, Air France, Delta Air Lines, Korean Air launched the SkyTeam alliance. "Five years ago, four carriers outlined a goal of providing more choices, better service and expanding offerings," said Jean-Cyril Spinetta, chairman and CEO, Air France-KLM. "Since that time, the alliance has surpassed those objectives and has grown dramatically in terms of members, service offerings and amenities, always maintaining our customer focus." SkyTeam has grown from four to nine members, with the addition of CSA Czech Airlines and Alitalia in 2001 and Continental, KLM Royal Dutch Airlines and Northwest last September. SkyTeam signed agreements with Aeroflot and China Southern in 2004, which paved the way for their future entry into SkyTeam. Both carriers are making solid progress to fulfill the alliance's joining requirements. In addition, earlier this month, SkyTeam announced the first airlines to participate in the Associate program – Air Europa, Copa Airlines, Kenya Airways and Tarom. "As part of our focus on the customer, SkyTeam will continue to grow in a carefully planned way that provides the most benefits to our passengers," said Yang-Ho Cho, chairman and CEO of Korean Air. SkyTeam has grown from a combined fleet of 979 offering 6,402 daily departures to 451 destinations in 98 countries in 2000 to a fleet of 2,069 aircraft offering 15,207 daily departures to 684 global destinations in more than 130 countries in 2005. Since its inception, SkyTeam members have been committed to providing greater connectivity to passengers via the hub-and-spokes model. Strategic network development will continue to be a key initiative, as demonstrated in the investments being made in aircraft, equipment and facilities. For example, several member airlines have placed orders for superjumbo jets that will serve the alliance's major hubs, including Incheon and CDG. The alliance is also focused on providing complementary point-to-point service to offer a network that best meets passenger needs. In addition, the alliance is currently exploring possibilities for new, larger colocated facilities at Beijing, Madrid and Tokyo.
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The RUAG Aerospace and his subsidiary Derendinger Cie S.A. have achieved a further success in its aerospace manufacturing activities. Two new contracts were signed between Dassault Aviation St. Cloud, France and RUAG Aerospace Emmen, Switzerland in Le Bourget on 14. June 2005 for manufacturing parts for the FALCON 7X. DERENDINGER Cie. S.A. in Geneva, Switzerland is manufacturing and assembling a highly critical titanium part for the horizontal stabiliser for the FALCON family of business jets. RUAG Aerospace Emmen is producing a complex composite cover assembly for the satellite communication system for the new FALCON 7X. In this, RUAG Aerospace entered into an additional agreement and long-lasting collaboration with the company Dassault Aviation.
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Sigmar Wittig, currently Chairman of the Executive Board of the German Aerospace Centre (DLR), is the new Chair of the ESA Council for the next two years (as from 1 July). Professor Wittig was unanimously elected at the 179th Council meeting, held at the European Space Operations Centre (ESOC) in Darmstadt, Germany on 21-22 June. He will take over from Mr Per Tegnér of Sweden, whose term of office ends on 30 June.
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The X-37 spaceplane test vehicle has made its first captive-carry flight under the wings of the Scaled White Knight from Mojave, California. The Boeing, Defense Advanced Research Projects Agency (DARPA), NASA-supported vehicle had undergone a systematic step-by-step pre-flight checkout. Tagged by DARPA as an Approach and Landing Test Vehicle (ALTV), the X-37 will undergo captive carry flights, followed by high-altitude drop tests through the summer.
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BAE Systems has opened an advanced avionics laboratory at its facility in Johnson City. The working laboratory provides customers with real-time, interactive demonstrations of a broad range of capabilities, including network-centric technologies that enable interoperability while seamlessly and securely connecting platform operators to the global information grid.
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Sonnig SA, the commercial air transport company based in Geneva/Switzerland and certified by the Swiss Federal Office for Civil Aviation (FOCA), was successfully operating up to now a fleet of three Cessna Citations (one Citation II, one Citation V and one Citation Ultra), two Bombardier Challengers (one 601 and one 604) and one Rockwell Sabreliner. Getting more and more customer requests for longer range business aircraft, it has decided to add a Dassault Falcon 900B to its offer and create a new company, Sonnig Associated, to manage this expanded fleet which will undoubtedly fulfil businessmen's needs looking for worldwide cost-effective private air transportation. Based in Africa but fully maintained in Geneva, the new Falcon 900B will contribute to the flexibility of the Sonnig fleet and provide increased comfort on long range flights – non-stop ocean flights or nearly anywhere in the world with just one refuelling touchdown.
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Thales has been awarded a 12-year contract by the US Federal Aviation Administration for the production of the most advanced Instrument Landing System in the world, the Thales ILS 420. The contract, with a potential value of $60M, is for the production of the FAA's next generation Category I/II/III Instrument Landing Systems. During the first phase of the contract, three first article systems will be developed and tested to FAA specifications. Immediately following this phase, Thales will produce up to 300 ILS 420 systems over a six year period. The contract also includes ten years of engineering support, training, installation, and logistics by Thales. Thales has been the FAA's main provider of ILS systems for the past 40 years, and this contract marks the continuation of Thales' longstanding partnership with the FAA. Wayne Dohlman, President and CEO of the Thales Air Traffic Management facility in the US stated, “We are very proud to be selected by the FAA to supply its Instrument Landing Systems once again. This contract will be the tenth generation of ILS procured by the FAA from Thales and confirms our position as the world's leader in ILS technology.”
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The next-generation RQ-8 Fire Scout unmanned aerial vehicle (UAV) produced by Northrop Grumman recently completed several milestone reviews critical to the system's continued development. The company's Integrated Systems sector is developing the enhanced vertical takeoff and landing UAV for the U.S. Navy and U.S. Army. The Navy and Army conducted contractual reviews of the new configuration in order to monitor the system's continued development to common requirements. Additional reviews are planned for later this year to validate system upgrades, review Fire Scout's compatibility with the Navy's next-generation littoral combat ship and with NATO interoperability standards, perform weapons integration for Army-related applications, and review the system's modular payload architecture. The company continues to conduct risk-reduction flight tests of the current RQ-8A configuration at the Navy's UAV test facility at the Webster Field annex, Naval Air Station Patuxent River, Md. Current tests have validated and verified Fire Scout's data communications and navigation systems. Testing will continue through June.
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AirTrust submitted a public tender offer to all SWISS minority shareholders on May 4, 2005. By the end of the grace period following the initial offer period on June 22, 2005, AirTrust had been offered for purchase a total of 7,561,226 SWISS shares, representing 91.2 per cent of the 8,291,248 SWISS shares held by minority shareholders at the end of the grace period. The shares offered will be purchased at the offer price of CHF 8.96 net per share, subject to and following the approval of Lufthansa's proposed acquisition of SWISS by the EU competition authorities. Having secured 98.7 per cent of SWISS share capital by the end of the public offer, Air Trust now holds more than the minimum number of SWISS shares required to initiate a “squeeze-out” procedure to obtain the remaining shares. Thus, once Lufthansa's acquisition of SWISS has been approved by the EU competition authorities and the public purchase offer has been completed, Air Trust will effect this squeeze-out against a cash compensation to acquire the remaining publicly-held SWISS shares.
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Government handouts shield European airliner manufacturer Airbus from normal market risks, creating unfair trade practices that undermine the United States' competitiveness in aerospace products, AIA President and CEO John W. Douglass said. Testifying before the House Transportation Committee Subcommittee on Aviation, Douglass said European nations must stop doling out subsidized loans to Airbus that are clearly illegal under World Trade Organization codes. "The jet transport industry must be an industry without government-provided launch aid," Douglass said. Douglass spoke during a hearing addressing the U.S. jet transportation industry. Subcommittee Chairman John Mica (R-Florida) called the hearing to look at global market factors affecting U.S. jet producers. Four European governments have repeatedly given the loans, which do not have to be repaid unless the model is successful, Douglass said. In contrast Boeing must finance its new models on its own. Douglass said the U.S. and European Union should strive to come to a negotiated settlement over the issue to avoid damaging WTO litigation. But if the Europeans refuse to end the illegal aid the U.S. will have no choice but to pursue the WTO case, he said. Another concern to the jet transportation industry is an alarming trend of cutting aeronautics research in the United States while Europe and others steadily increase their investment. In the last 12 years the U.S. research budget has plummeted from $1.54 billion in 1994 to $852.3 million in the president's budget request this year. "The U.S. must renew its commitment to aeronautics research and create a national aeronautics policy," Douglass said.
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El Al Airlines is equipping seven passenger jets with Sky Connect Iridium Satellite terminals, which will provide global cockpit voice and data communications during long-haul flights.  The 747-200 aircraft are being fitted with Sky Connect Classic Iridium satellite phone systems, which are being supplied by GayaCom, Iridium's authorized Service Provider for Israel.  Iridium's unique constellation of 66 low-earth orbiting satellites ensures that the aircraft will have reliable, uninterrupted air-to-ground communications even when flying over Polar Regions, where other satellite systems are unable to provide reliable coverage.
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Air traffic controllers in New York re using the Federal Aviation Administration's new system to manage oceanic air traffic. Designed and integrated by Lockheed Martin, the Advanced Technologies and Oceanic Procedures (ATOP) system safely increases the capacity of international air routes and automates the manual tracking processes used previously. "We are proud of Lockheed Martin's role in helping the FAA get to this historic day--the beginning of automated control of our oceanic air traffic," said Don Antonucci, president of Lockheed Martin Transportation and Security Solutions. "Together, our team has worked diligently to meet the FAA's challenge to create an oceanic system that provides increased efficiency and oceanic airspace capacity to meet growing international air traffic requirements." The ATOP system automates the FAA's existing procedures for managing aircraft separation over the oceans, enabling controllers to reduce spacing between aircraft while preserving passenger safety and improving efficiency. When fully deployed, ATOP will manage approximately 80 percent of the world's controlled oceanic airspace, including approximately 24 million square miles over the Atlantic, Pacific and Arctic oceans.
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The pilot of an Air Force U-2 Dragon Lady died when his plane crashed at a forward-deployed location in the early hours of June 22.  The pilot completed flying a mission supporting Operation Enduring Freedom and was returning to base when the crash occurred. His name is being withheld pending notification of next of kin. He was assigned to the 380th Air Expeditionary Wing.  
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Pratt & Whitney has successfully achieved European Aviation Safety Agency (EASA) engine validation on the company's newest engine, the PW6000. This is the first "all new" engine to be validated by EASA since the agency's establishment in September 2003. "Achieving EASA validation is a significant milestone, granting the PW6000 program the authority to operate throughout the 25 EU member states," said Steve Heath, president of Pratt & Whitney Commercial Engines. "This engine continues to meet all performance and reliability expectations and is on track to certify on the A318 aircraft in October 2005." The PW6000 earned U.S. Federal Aviation Administration (FAA) FAR 33 status on Nov. 11, 2004. The engine achieves all current and planned environmental regulations worldwide, including noise and emissions metrics.
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A contract for a 10-year lease of three Beechcraft King Air 350 fixed wing aircraft has been awarded to Hawker Pacific.  Defence Minister Robert Hill said the Army aircraft will be based at Oakey, Queensland, and operated by 173 Surveillance Squadron for command and control, communications support and surveillance roles.  Senator Hill said the aircraft are being provided under an extension of an existing contract with the New South Wales based company for eight aircraft operated by the Air Force for navigator training at East Sale, Victoria.  "Army's fixed wing operations are a small but important capability, and have flown in support of many operations in recent years, such as in East Timor and Bougainville, as well as in support of tsunami relief efforts," Senator Hill said.  
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Dominique Perben, French Minister of Transportation, Equipment, Tourism and the Sea, and Marc Ventre, Chairman and CEO of Snecma, signed a Memorandum of Understanding at the Paris Air Show, for the French government to support the development of a new jet engine, the SaM146, designed to power regional aircraft with 65 to 95 seats, such as the Russian Regional Jet (RRJ).  Jean-Paul Béchat, Chairman of the Executive Board of the SAFRAN group, was present during the signature, and said: “We are very pleased with this partnership with the aircraft-maker Sukhoi and the engine-maker NPO Saturn. We especially wanted to thank the French government for showing their confidence in us on this new program, which will help strengthen the international reach of our group.”  Financial support from the French government will be in the form of a repayable advance of 140 million euros. The MoU reflects a commitment to expanding collaboration on major aviation programs between France and Russia.  
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At Avio's Rivalta plant near Turin, work has begun on the speed reducer for the TP 400, the power unit, designed and developed by Avio, adopted by the Airbus A400M military transport aircraft.  The speed reducer created for the TP 400 engine is the biggest ever to be developed in the western world, for a 5.5 m diameter propeller.  “A technological challenge, in which the component designed by Avio plays an essential role to enable the engine to operate according to such extreme specifications”, commented Franco Rodi, Senior Vice President Aero Engine Business, pointing out that Avio, the only Italian company participating in the program, is in charge of the design, development, construction and long-term supporting services for this component.  At the Mechanical Transmission Product Centre in Rivalta, work is underway on the so called “long processing cycle” components of the power transmission equipping the TP400, an engine that develops over 10,000 HP. Input speed is 8500 rpm, output speed is to 850 rpm: the reduction in speed is achieved also thanks to two stages of the component designed Avio: one stage consists of a pair of bi-helical gears (bull gear and pinion), the other is an epicyclic system where a sun shaft meshes with 5 planetary gears rotating within a fixed crown wheel. These gears are huge (with diameter sizes of up to 520 and 840 mm) and embody extremely complex technologies.  The Main & Rear Housings, made of aluminium, exploit the Rapid Prototyping (RP) technology, whereby a laser machine receives a three-D model directly from a computer and creates the corresponding "form" by combining layers of sintered sand. For the casting process, a traditional system is used.  
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A private non-governmental business group of Saudi Arabia has acquired an Airbus A340-600, becoming the first VIP customer for the ultra-long range aircraft, which is also the world's longest airliner.  Both Airbus aircraft will be operated by Jeddah-based National Air Services (NAS), which already operates a fleet of VIP A320 Family aircraft.  Delivery of the “green” aircraft, ahead of cabin outfitting, is planned for end-2006. The choice of outfitter has yet to be announced.  The company already operates five Airbus single-aisle aircraft including three Airbus Corporate Jetliners and two A320s, which are used as VIP shuttle aircraft. President and CEO Mohammed H. Al Zeer said: “For our VIP shuttle aircraft we found Airbus to be the best choice in terms of cabin size, comfort and reliability.  
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USS Bataan (LHD 5) took on eight MV-22 Ospreys and two AV-8B Harriers for training and testing while steaming in the Atlantic Ocean off the coast of North Carolina in June.  For this final operational test phase, Bataan has the largest number of Ospreys on any ship at one time. Along with the aircraft, 185 Marines, including personnel from Marine Tiltrotor Operational Test and Evaluation Squadron (VMX) 22, and representatives from Boeing and Naval Air Systems Command (NAVAIR) joined the crew of Bataan.  The greatest benefit from the testing will be the experience future generations of Osprey air crewmen will have to learn from, said Marine Maj. Anthony Bianca, director of Standardization and Safety for VMX-22.  “Before there are V-22 squadrons, we've got to look at them in an experimental and test environment and learn things so that we can pass them on, and when the fleet does have the squadrons, the experience will be extremely helpful. We're helping to spread knowledge about the V-22s.”  
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Skyguide AG has posted a net profit of CHF 11.22 million for 2004 on total operating revenue of CHF 365.39 million. “It may not have been a perfect year,” Chairman of the Board Guy Emmenegger told media representatives in Zurich, “but it was certainly a good one.” The positive result was burdened, however, by unplanned depreciation of CHF 25.73 million relating to the abandonment of the ATMAS project. Total traffic volume rose by a substantial 2.5 per cent, with growth in overflight traffic particularly high at 3.9 per cent. The year also brought reductions in skyguide's charges and a further decline in the proportion of delays attributable to its operations, both of which CEO Alain Rossier described as “encouraging trends”. Skyguide generated total operating revenue for 2004 of CHF 365.39 million, a 6.4-percent improvement on the CHF 343.26 million reported for the previous year. Total operating expenses amounted to CHF 361.78 million, of which CHF 224.23 million was personnel cost and CHF 137.55 million comprised other operating expenses. Operating expenditure was burdened, inter alia, by unplanned depreciation of CHF 25.73 million relating to the abandonment of the ATMAS project. Net profit after the balance brought forward amounted to CHF 11.22 million, compared to CHF 14.76 million for 2003. The average number of personnel (including trainees) employed by the company showed a slight increase last year, from the 1 296 full-time equivalents of 2003 to 1 326 full-time equivalents. Skyguide's share capital was increased by CHF 50 million to CHF 100 million on February 6, 2004. The main subscriber to the capital increase was the Swiss Confederation, which now holds 99.91 per cent of share capital (compared to 99.85 per cent at the end of 2003). Skyguide abandoned its ATMAS project to renew its entire air traffic management system in July 2004. The decision was based largely on safety considerations: a radical shift in philosophy has been seen in the development, introduction and application of air traffic management technology over the past few years. for example, that introducing an entire new system in a “big bang transition” no longer meets today's safety requirements, because the risks associated with such an introduction are so difficult to determine. The decision to cancel the ATMAS project was also taken in view of an already-predictable delay and the advanced state of development of skyguide's own systems.
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America West Holdings and US Airways Group Inc. confirmed that the airlines have been informed by the U.S. Department of Justice that the Department has completed its review of the proposed merger of the two airlines and that the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 will expire at midnight tonight without a formal request from the Department for additional information (commonly referred to as a "second request"). On May 19, 2005, America West and US Airways announced an agreement to merge and create the first full-service nationwide airline, with a consumer-friendly pricing structure offering a network of low-fare service to more than 200 cities across the U.S., Canada, Mexico, Latin America, the Caribbean and Europe, and amenities that include a robust frequent flyer program, airport clubs, assigned seating and First Class cabin service. The airlines will operate under the US Airways brand.
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The European Commission has extended the scope of its formal investigation under the EU state aid rules into an Italian Law supporting R&D in the aeronautical sector. The investigation will now cover all large civilian projects financed by the law and all civilian projects of any size financed after November 2002.  On 1st October 2003, the Commission opened an inquiry on six cases of individual aids granted by Italy to aeronautical companies under the so-called “Law 808/85” or “legge aeronautica”. The inquiry aimed at determining in particular whether these individual aids were compatible with the 1996 Community Framework for state aid for research and development activities as regards stages of research, aid intensities and the existence of an incentive effect of the aid. The 1996 Framework exists to favour fundamental research that is not linked to any industrial or commercial objectives of a particular enterprise, as well as industrial research and pre-competitive development which are linked to commercial objectives.  The aids at stake were granted in the form of interest-free loans. During the course of the procedure, doubts were raised as to the conditions for reimbursement of the principals of not only the six loans under investigation, but also a number of other loans granted under the scheme.  
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Governments should do more to take advantage of space technology to improve environmental monitoring, address traffic congestion and respond more effectively to natural or man-made disasters, according to a new OECD report.  Space 2030: Tackling Society's Challenges analyses the opportunities and challenges of space technology and gives recommendations to governments and policy makers on ways to ensure that the potential of space is more fully realised. It explores the role of space technology in addressing challenges in five major areas: environmental problems, the use of natural resources, the increasing mobility of goods and people, growing security threats, and the development of the information society.  François Biltgen, Luxembourg's Minister for Culture, Education and Research, and Octavie Modert, Secretary of State for Culture, Education and Research, together with Michael Oborne, Director of the OECD's International Futures Programme, and Romain Bausch, President and CEO of SES Global, will present the report at a news conference at the Chateau de Betzdorf, Betzdorf, Luxembourg, at 11.30 a.m. on Wednesday 6 July 2005.  Among other things, the report stresses the potential for more effective use of satellite technology. Earth observation satellites can help scientists track climate change at regional and global levels, thereby improving understanding of its long-term causes and effects. They can help monitor greenhouse gas emissions, and so be used to strengthen enforcement of treaties, and the state of forests, in order to improve their management and reduce deforestation. They can improve monitoring of areas prone to natural disasters and assist in estimating the scope of a disaster and the level of response needed from emergency teams.  
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Following a recent positive inspection by IATA auditors, Tyrolean Airways (Austrian arrows) become one of the first regional airlines in the world to receive the sought-after IOSA certification. The Tyrolean airline meets the latest and strictest internationally recognised standards and requirements in the areas of operations and safety technology. Johann Messner, Managing Director of Tyrolean Airways, was today presented with the official IOSA certificate by Günther Matschnigg, Senior Vice President Safety Operations & Infrastructure at IATA. The IATA Operational Safety Audit (IOSA) is the first internationally recognised audit system to operate under the strict auspices of IATA. It is used to assess the flight operations, flight technology and ground organisation processes, training and maintenance programmes and management systems of airlines. IOSA builds upon proven principles of quality management and has been developed following the collaboration of a wide range of airlines with state authorities and the American FAA (Federal Aviation Administration) in an effort to standardise audits and make testing processes comparable. This is designed to enable the passenger to relate to an equally high standard of safety and quality at participating airlines worldwide. The programme is supervised by an advisory committee of international specialists in order to guarantee the high standard is maintained. The total number of audits has been substantially reduced due to the joint use of audit reports, which produces considerable cost-savings. International acceptance of the standards also allows less bureaucratic, quicker cooperation agreements between the airlines which participate in the scheme. The other airlines in the Austrian Airlines Group, Austrian Airlines and Lauda Air, are already IOSA-certified.  
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