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UPDATE
Week ending June 14, 1998

+++ Boeing rolls out first 717-200 passenger jet +++ Eurofighter demonstrates EF2000 in Norway +++ Lufthansa top executive Frederick Reid joins Delta Air Lines +++ Junkers W33 "Bremen" restored +++ Germany assures Russia on An-70 studies +++ Air France trade union ends strike +++ Successful launch of Telenor's new satellite ++ News in brief +++


Boeing rolls out first 717-200 passenger jet
Roll-out der Boeing 717-200

The Boeing Company introduced its newest twinjet, the 717-200, during a lively rollout ceremony last week before a crowd of several thousand employees and guests at the company's Douglas Products Division in Long Beach. "This is a proud moment for Boeing," said Harry Stonecipher, president and chief operating officer. "The 717 is one of the world's newest airplanes, and it truly represents our theme today of 'Bringing People Together'." Stonecipher told the crowd that people from aerospace companies and 16 international supplier-partners have come together to introduce the 21st-century airplane. Launched in October 1995 as the MD-95, the airplane was re-designated the Boeing 717 after the August 1997 merger of Boeing and McDonnell Douglas. The 717 was launched with 50 firm orders and 50 options from AirTran Airlines. "As the launch customer, the value of the 717-200 will enable us to thrive in the 21st century," said D. Joseph Corr, president and chief executive officer of AirTran. Last month, Bavaria International Aircraft Leasing Company of Munich, Germany, became the first European customer for the plane with firm orders for five 717-200s. The 717-200 is designed to meet airlines' needs for a 100-passenger transport to serve high-frequency or low-traffic short-to-medium-range routes in the growing regional market. It is designed to meet replacement and expansion needs in the 100-seat category, potentially numbering thousands of airplanes. Two advanced BMW/Rolls-Royce BR715 high-bypass ratio engines power the 717. The engine is rated at 18,500 to 21,000 pounds of takeoff thrust. Five airplanes are in final assembly at the Douglas Products Division in Long Beach. First flight of the 717 is expected in September. Deliveries to customers are scheduled to begin in the summer of 1999, following the flight-test and certification program.

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Eurofighter demonstrates EF2000 in Norway
Vorführung des Eurofighters in Rygge

Eurofighter has made the first demonstration visit of its EF2000 to a foreign country interested in the new combat aircraft. On June 2, prototype DA5 flew from the Manching test center in southern Germany to Rygge airbase near Oslo for a three day presentation to the Royal Norwegian Air Force. During the visit, there were practical tests, like evaluations of the compatibility with existing hardened aircraft shelters and ground support equipment (e.g. weapons loaders), as well as extensive briefings for military specialists of all ranks, including the Commander-in-Chief. On Thursday, Dasa test pilot Chris Worning put on a spirited flying display before returning to Germany on Friday morning.
Norway is interested to replace an Northrop F-5 squadron with 30 to 40 new aircraft and has shortlisted the EF2000 and Lockheed Martins F-16 (presumably the latest Block 60 variant). According to sources close to the programme, the choice will be heavily influenced by offset and military industry cooperation aspects. The current timetable foresees a request for proposals in March 1999 with a selection of the winner by the end of next year.

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Lufthansa top executive Frederick Reid joins Delta Air Lines
Lufthansa-Vorstandssprecher Fred Reid wechselt zu Delta

Delta Air Lines announced that Frederick W. Reid will join Delta as executive vice president and chief marketing officer. Reid, 47, was president and chief operating officer of Lufthansa German Airlines. Reid joined Lufthansa in 1991 as senior vice president, the Americas. In 1995, he was named executive vice president and chief operating officer, being appointed president in 1997. During his tenure at Lufthansa, the airline increased revenues, reduced costs and improved customer service. At Lufthansa, Reid had profit and operational responsibility for the airline, which reported record profits in 1997. The scope of these responsibilities included pricing/yield management, sales and product development and design, among other duties. He played a key role in Lufthansa'sstrategic alliances internationally. His previous experiences with American Airlines and Pan American World Airways was primarily in marketing in several international locations.

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Junkers W33 "Bremen" restored
Legendäres Atlantikflugzeug in Bremen zu sehen

On June 12, the 14 month restoration effort on the famous W33 "Bremen" was officially concluded at the hangars of the Lufthansa Flight Training school at the Bremen airport. The aircraft, which was the first to cross the Atlantic from east to west in 1928, will be presented to the public at the city centre next Friday and then be shown at the airport terminal. It is on loan from the Henry Ford Museum at Dearborn and will stay in Germany until 2003, also making an appearance atthe Expo 2000 in Hannover.
The resoration effort was led by a specially constituted association and supported by many companies and organisations. Transportation for example was provided by a Transall of the Luftwaffe. Around 5500 working hours were necessary to repair some damage and build repalcements for missing parts like control cables and landing gear. Harald Claasen from Lufthansa was acting as supervising engineer.

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Germany assures Russia on An-70 studies
Rußland und Ukraine drängen auf An-70-Beteiligung

During the visit of Russian president Boris Yeltsin and some cabinet ministers to Bonn, the Antonov An-70 was on the agenda again. Defence minister Volker Rühe and German chancellor Helmut Kohl reassured their guests that the studies on a participation in the An-70 transport were under way and would be concluded in the next few months. Dasa will apparently get a two-digit million DM contract for these studies. Besides the Russians, Ukrainian president Leonid Kuchma was also in Bonn earlier, with the same message. He stated that his country would be very upset if the Western nations did not participate in the An-70. The German side was cautious however to indicate that Germany would not move alone but only with other European partners who also need a new transport.

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Air France trade union ends strike
Streik der Air-France-Piloten beendet

The pilots' trade union of the Air France company has signed an agreement with its management on stopping the conflict, under which the strike of Air France pilots will be ended. The management of the air company and the trade union issued a joint communique, in which they "urge pilots to resume flights for the speediest restoration of air traffic." The agreement was reached on Thursday last week, the tenth day of the strike of pilots, which had brought to a standstill air traffic on the routes handled by Air France. No less than two days will be needed for restoring a normal schedule of Air France flights.

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Successful launch of Telenor's new satellite
Thor III erfolgreich gestartet

Telenor's new communications satellite, Thor III, successfully blasted into orbit on a Delta II rocket from Cape Canaveral at 20.35 on Wednesday 9 June 1998. With this launch, Telenor has strengthened its 'One Degree West' position with a further 14 transponders. Thor III is the second communications satellite designed and developed for Telenor and will cover the Nordic and Central European market. Telenor has invested about NOK 1 billion in Thor III. The satellite will be operated from Telenor's new control centre in Oslo. Thor III was developed by Hughes Space and Communications Company. "With Thor III in orbit, we've strengthened our position at One Degree West and have taken position as the third largest satellite broadcaster in Europe. With satellite based mobile and maritime operations and our VSAT services in mind, Telenor is now Europe's most complete satellite operator," says Telenor International CEO Arve Johansen.

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NEWS IN BRIEF / KURZMELDUNGEN

South African arms manufacturer Denel is to work "exclusively" with British Aerospace (BAe) Australia in a Rand 4bn tender bid to replace Australia's two squadrons of Kiowa armed reconnaissance helicopters with the Rooivalk attack helicopters. BAe Australia said deliveries for the contract of up to 40 helicopters for Australia's defence department would begin in 2003.
+++
Boeing Company and Korean Air have announced an order package by Korean Air for 27 Next-Generation 737s worth approximately $2 billion. The airline selected the 737s as part of its strategic plan to meet future demand in short-range passenger traffic in Northeast Asia. The package includes 11 737-800s; 11 737-900s; five options for a mix of these same models; spare parts; and other support. Deliveries are scheduled from August 2000 through July 2005. These new 737-800s and 737-900s will replace 12 F-100s and 14 MD-82s currently used on the carrier's domestic, China and Japan routes.
+++
Space shuttle Discovery concluded the last Shuttle-Mir mission with a landing at Kennedy Space Center on June 12. On board were Andrew Thomas, the final US-astronaut to have a long-duration stay on the russian space station, and around two tonnes of equipment.
+++
NATO defence ministers have decided to start aerial exercises over Albania and Mazedonia from June 15 in order to put pressure on the Yougoslav leader Slobodan Milosevic over the escalating conflict in Kosovo. Around 40 aircraft will be involved, among them six German Tornados.
+++
Due to concerns by the Federal Trade Commission, Boeing and Bell have suspended efforts to sell the MD500 and MD600 helicopter lines to Bell. Boeing will now try to find a new buyer for its light helicopter production, as the strategic aim to leave this sector remains unchanged.
+++
Lufthansa CityLine has reported record figures for 1997, with 3,9 million passengers (plus 25,4 per cent) and a pre-tax profit of 84,6 million DM on a turnover of 1,4 billion DM. The regional airline now has 30 Canadair Jets and 18 Avro RJ85s in its fleet. Load factors now are up to 55,4 per cent. Main markets are Italy, France, Switzerland and Austria.
+++
The local Government at Hamburg has decided to offer a natural reserve on the Elbe river to Dasa should the company succeed in getting the final assembly facilities for the planned Airbus A3XX super-large airliner. In this move, the SPD has won over its Green party coalition partner, which normally would be against such destruction of the environment.
+++
Boeing plans to produce 30 percent fewer 747s, while making more new generation 737s airliners in 1999. The decline of Asian market demand, which was dampened by the serious economic crisis, is the main cause for the production cut in 747s, said the company. Boeing plans to produce five 747s a month in the first quarter of 1999 and 3.5 a month in each of the following three quarters, Fred Mitchell, the company's executive vice president of airplane production said. But production of new generation 737s would rise in the second quarter of 1999 from 21 to 27 a month, responding to buoyant market demand for this model. In total, Boeing is still expected to have a growth in which its turnout of jetliners will rise from 47, the current number, to 51, in the first month next year.
+++
The Thai cabinet has approved partial privatization of the national flag-carrier Thai International proposed by the Finance Ministry. Under the proposal, the ministry will retain a 67.99 percent after the sale.
+++

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Previous updates are still available:
Die News der letzten Wochen ist nach wie vor abrufbar:

*June 7, 1998

*May 31, 1998 *May 24, 1998 *May 17, 1998 *May 10, 1998 *May 3, 1998

*April 26, 1998 *April 19, 1998 *April 5, 1998

*January to March 1998 *January to December 1997 *September to December 1996


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