Volume 5 Issue 2 The Kaplanian Report February 2018

On the Boeing Front


Customer Support is the Backbone to Selling Commercial Aircraft

One of the key successes of the Boeing Company Commercial Division in selling commercial jetliners beginning with the introduction of the 707 is the support for their aircraft. I thought it’s time to share with my readers the inside look at the operations of Boeing’s Spare Distribution Center  (SDC located very near to the Seattle-Tacoma International Airport.)

The 700,000 sq.ft. facility ships more than one million spare parts each year. It handles receipts, shipments and repairs of thousands of parts needed to keep Boeing Aircraft aircraft flying every day.

As an ex VP of spares in the car and Heavy Duty Truck industries, I took a detailed tour of the facility in 1996. The facility officially opened in 1993 and is one of five regional distribution centers for Boeing.  The other facilities are located in Atlanta, Beijing, Dubai, London and Singapore.

Open 24/7, The the SDC employs more than 245 workers to handle spares and the facilities MRO operations. Approximately 60% of the staff works first shift, which handles AOG  (airplane on the ground) and restocking parts. The remainder of staff (approximately 15%)  work third shift, which focuses on getting parts out the door.

Each day, the Seattle SDC handles around 600 receipts and ships 2,000-2,200 orders.  Annually,  the SDC has around 300,000 receipts and issues one million spare parts, including 400,000 AOG shipments.

The SDC has 150,000 sq.ft. bulk floor storage area which contains parts too large to store                   elsewhere  in the building. Boeing has packaging engineers in-house to design boxes,                                  which are made from heat-teated treated wood and shaped for the most efficient fit on cargo aircraft.

Each package leaving the facility includes a Boeing 8130—an FAA form stating that the part  is airworthy.  The SDC’s top priority is AOG. All AOG parts are ready to ship in four hours.  The facility’s mission is “right part, right place, right time.

Source : Personal notes and observations/ Pictures MRO online

 

ON THE AIRBUS FRONT

                                  Airbus Rolls Out Higher-Capacity A321neo 

Assembly of the first A321 neo ACF (Airbus Cabin Flex) has been completed in Hamburg,                               the  manufacturer confirms.

The CFM International Leap-1A powered narrow body will undergo ground tests prior to its  scheduled first flight Airbus adds.  It gives “mid-2018” as the time frame for the first delivery to a customer.

The variant’s exits are positioned immediately aft of the wing and can be removed to allow a higher-density seating capability. In the high-density single-class layout, with a space-saving aft galley installed, the aircraft can seat up to 240 passengers.

This total is attained by locating 102 seats ahead of the overawing exits, six at the exits                      themselves, with 59 in the cabin between the wing and repositioned aft exits and 73 in                                                the rearmost section.  Pegasus, Qatar Airways and VietJet are intending to take the A321neo ACF.

Source : Airbus/Picture Airbus

REGIONAL/BUSINESS JETS

Mitsubishi Aircraft Details Latest Organizational Changes

Mitsubishi Aircraft plans to undergo organizational changes that will see MRJ program                        director, Alex Bellamy, run what the company calls its new program management division which started on January 1, 2018.

The division was established to “reinforce the development and management of the MRJ                    program,”  the division encompasses the newly established integrated product team (IPT)                   execution department,  the governance management office, and the product strategy office.

In a recent interview with AIN, Bellamy reported that the program teams had flown four flight-test airplanes a total of some 1,500 hours, while production crews had attached wings and began painting the fifth flight-test airplane.  Bellamy detailed the status of the flight-test program at Moses Lake, Washington, where the four existing flight-test airplanes have completed more than 50 percent of their duties ahead of expected certification in late 2019.  Targeting first delivery to launch All Nippon Airways in mid-2020, program leadership now expects the MRJ flight-test airplanes to clock as  many as 3,000 hours, some 500 hours more than originally allocated.

Source : AIN/Photo Mitsubishi Aircraft

 

GE Completes First Ground Test of Advanced Turboprop Engine

Aviation completed the first test run of the new Advanced Turboprop (ATP) at GE’s Prague engine manufacturing facility in the Czech Republic. The first application for the 1,240-shp ATP is the Cessna Denali single-engine turboprop, which is scheduled to fly late this year. Engine certification testing begins this year.

With a 16:1 overall pressure ratio, the engine is expected to offer 20 percent lower fuel burn and 10 percent higher cruise speed compared with competing engines. Time between overhaul is set at 4,000 hours. The ATP is part of a family that will include engines in 1,000-to 1,600-shp range.

This new engine is also aimed at the Pilatus PC-12 and Daher TBM900.

Source : GE Aviation/ Ge Aviation Picture

OTHER AVIATION NEWS

            Alaska Airlines Set to Anchor Paine Field Opening Late this Year 

Seattle-based Alaska Airlines is looking to solidify an anchor presence at the redeveloped Paine Field-Snohomish County Airport in Everett, Washington with the January 16 announcement of 13 daily flights to eight cities set to launch in the fall of this year.

Alaska’s new point-to-point destinations from Paine Field will be Las Vegas; Los Angeles;                       Orange County, California; Phoenix; Portland; San Diego; San Francisco; and San Jose, California.    Alaska said it will detail flight frequencies and departure/arrival times in the year, pending  government approval.

Snohomish County is partnering with Propeller Airports to build a new passenger terminal at the  airport for a planned opening in the fall of this year. Paine Field, originally constructed in 1936, is the home for Boeing’s Everett Factory, the manufacturing plant for Boeing’s 747, 767, 777 and 787 aircraft.  The airport is also home to over 650 general aviation, business and historic aircraft.  Of the three runways at the airport, only one— Runway 16R/34L, at 9,010 ft in length and 150 ft. in width— is suitable for large aircraft.  Alaska said last year that it is planning to utilize Boeing  737 and Embraer E175s for the new routes.

United Airlines is also planning for commercial flights at Paine Field. In August 2017 the                      Chicago-based carrier said it will operate six daily flights from the airport to its hubs in Denver and San Francisco.

Source : ATW/Ed’s Research on airport information

 

GECAS Takes Delivery of its 394th—And Last—Next Generation 737  

Culminating a 20-year history of new orders for the type, GECAS has received its 394th and final skyline order of Boeing’s Next Generation 737.

With an initial order placed in 1996, GECAS’ NG order book accounts for roughly one of every NGs delivered to date. Surpassing other lessor’s skyline orders for the type,  GECAS’ placements of NG’s have been leased to 64 operators across 32 countries. Exclusively powered by CFM-56 engines, the narrow body has served the airline industry for decades and is ideally suited for both commercial passenger and cargo aircraft.

“An exceptionally valuable asset in our portfolio, the Next-Generation 737 has been incredibly reliable for our customers,” states Declan Kelly, GECAS Executive Vice President, noting “Much of our success since the 1990’s is in some way attributable to the NG and the relationship we’ve developed with the team at Boeing.”

The Next-Generation 737 has been an icon of the aviation industry for two decades,” said Boeing Commercial Airplanes President & CEO Kevin McAllister.

“It’s been a workhorse for the airlines and lessors alike and we’re proud to have delivered so many of these airplanes to GECAS. We look forward to beginning a new chapter of success together when   GECAS takes delivery of   its first 737 MAX this year.”

Source : GECAS/Boeing

 

 FAA Approves 787-10 for Airworthiness

Singapore Airlines can take delivery of the first Boeing 787-10 on schedule after the US Federal Aviation Administration approved an amended type certificate.

Boeing announced the entry into service for the 787-10 as broadly the “first half of 2018”, but the approval of the amended type certificate now means that the first delivery could happen by the end of the first quarter.

Four years after Boeing launched the third and largest member of the 787 family, the 787-10 with Rolls-Royce Trent 1000-TEN engines entered flight testing 10 months ago at Boeing’s factory in North Charleston, South Carolina. The smaller 787-8 and 787-9 models will continue to be assembled in North Charleston and Everett, Washington, and the 787-10 is exclusively assembled in South Carolina.

The 787-10 received approval from the FAA after completing about 900 test hours. The aircraft is 5m(16.4ft)longer than the 787-9, but the two aircraft are nearly identical with a few exceptions. To accommodate the longer fuselage on takeoff, Boeing installed a 777-300 ER-style semi-levered main landing gear.

Boeing also increased commonality by moving some design changes made for the 787-10 into the smaller 787-9. The latter is now produced using the stronger wing designed for the 787-10.The 787-9 also uses hybrid laminar flow control in the vertical tail only, after the same system was deleted from the vertical stabilizers in the 787-10.

Source : Boeing/Boeing Picture

   

  LATEST NEWS

  • Xiamen Air has committed to purchase 150 CFM LEAP-1B engines and MRO support for 20 engines at $2.05 billion. The engines will be used to power Xiamen Air’s Boeing 737 MAX aircraft.

  • Ethiopian Cargo and Logistics Services has committed to lease the first two Boeing 737-800 freighters(737-800SF) converted by Aeronautical Engineers INC.(AEI) from GECAS, with the first delivery expected in June of this year.
  • Air Astana has taken delivery of the first Airbus A321neo. The aircraft, on lease from AerCap, is configured with 28 business class and 151 economy class seats.

  • Ukraine International Airlines took delivery of a Boeing 737-800 NG in December, completing its 2017 fleet expansion program.
  • Silver Airways Florida-based regional carrier has firmed its order for 20 ATR turboprops

  • KfW IPEX-Bank has financed two Boeing 787-9s, equipped with Rolls-Royce engines for Air New Zealand.
  • Irish Lessor AerCap firmed an order with Rolls-Royce to power 10 forthcoming Boeing 787-9s with Trent 1000-TEN engines. The transition is valued at $450 million at list prices.
  • Emirates Airlines has announced a $16 billion deal for up to 36 additional Airbus A380s.The Commitment is for 20 A380s and 16 options with deliveries to start in 2020.

 

AIR CARGO

 Aeronautical Engineers, Inc Delivers B737F to ASL 

Aeronautical Engineers, Inc, has redelivered a B737-400SF freighter to Irish based ASL Aviation – the company’s one hundredth conversion of this type.

ACL Aviation owns and operates a fleet of nearly 90 jet and turboprop aircraft, providing capacity for up to 147 passengers or 40 tons of cargo.

The delivery represents the thirteenth AEI B737-400 converted freighter that has been re-delivered to ASL over the last few years.

ASL currently has an additional four B737-400SF freighters, either undergoing conversion or scheduled for modification in 2018, at partner Commercial Jet’s Dothan, Alabama facility.

AEI president Roy Sandri said: “This milestone represents another important achievement in AEI’s history”.

“The AEI B737-400SF has been an exceptionally successful fighter for not only ASL, but all our leasing and operator customers worldwide.”

Source : aircargonews/ ASL Picture/Ed’s Research

 

Maintenance, Repair and Overhaul News

Southwest Adds MRO Capacity 

Southwest Airlines is pressing ahead with plans to build a new maintenance facility at Houston Hobby airport.

The new 240,000sq-ft hanger will have space for six Boeing 737 aircraft and will include aircraft wash facilities on the apron outside, taxiway connections, parking and loading docks, as well as offices and parts storage areas. Work on the hanger should begin this spring to ready it for opening in late 2019.

Once the project is finished, SWA will have six maintenance facilities in the US, which should leave it less exposed to some of the mishaps that have resulted from outsourced MRO work in the past.

The new maintenance capacity is also needed to service a growing fleet. Southwest has roughly 200 Boeing 737 Max 7 and Max 8 narrow bodies on order, although it recently deferred deliveries of 23 Max 7s from the 2019-2021 period to 2023 and 2024. In December the airline indicated that it might use gains from proposed corporate tax cuts in the US to further invest in its fleet. Most of its backlog is for the larger Max 8 model, to which 40 more units were added in late December when SWA excessed options with Boeing.

Source : mro-network/Ed’s Research/Picture Southwest Airlines

 

MRO Latest News 

  • LATAM Airlines Group plans to build a maintenance center at Sao Paulo Guarulhos Airport in the second half of this year to simultaneously service seven wide bodies or 19 narrow bodies.
  • Limco Airepair has a Korean Air contract to maintain aircraft heat exchangers.
  • Precision Aircraft Solutions redelivered three Boeing 757-200PCFs in December 2017: two to AF Airlines and the third to YTO. Haeco Xiamen, Ameco each modified one.
  • Bulgaria Air has awarded FL Technics a three-year deal to undertake base checks. Work has already begun on an initial Airbus A319.
  • Eva Air has extended its co-operation with Lufthansa Tecknik to cover component maintenance on its Boeing 777 Freighters. EVA Air took delivery of its first 777F in November 2017 and set to receive four more through September 2019.

 

Researched and Compiled by : Ed Kaplanian

Commercial Aviation Advisor

Contact – ekaplanian@msn.com

P.S. To all my international readers, thank you for following my blog.                                                                 Your comments, questions and suggestions will be appreciated.

Volume 4 Issue 9 The Kaplanian Report September 2017

ON THE BOEING FRONT

Urals Boeing Plant to Triple Partners’ Titanium Capacity 

Shipments of Russian-made aerospace parts will exceed $1billion after the new Urals Boeing Manufacturing (UBM) plant begins operations next summer.  Sergei Kravchenko, Boeing president for Russia and CIS, told reporters during a briefing in Moscow a day ahead of the July 18th to 23rd MAKS 2017 airshow.

UBM, a joint venture between the U.S. airframes and Russia’s Roster Corporation officially launched operations in 2009, but the demand for more titanium parts prompted the partners to invest in a second plant to triple the capacity.

The new plant opens “just in time”, said Kravchenko, considering the 18 to 24 month lead time for major 777X parts.

Russian output grew quickly as Boeing 787 production rose from an initial two to 12 per month.  Each Dreamliner coming off the production line uses 56 parts made of Russian titanium, weighing a total weight of 22 tons, including heavily machined components from UBM and raw material supplied directly by Rostec’s VSMPO-Avisma company.

Financial restrictions have proved most damaging, because they make it harder for Russian airlines to buy Boeing aircraft. ”We continue materializing all we had agreed before, but the political instability restricts our ability to launch larger economic projects that would benefit both sides,” he said. ”I want to see sanctions removed.”

Nevertheless, Kravchenko expressed optimism about the potential of Boeing Global Services(GBS).” Kravchenko said “Stan Deal, GBS president and CEO, asked for my assistance…and I shall be working for him while keeping the current position,” he added.

Kravchenko said he sees the recent achievements of Russian airlines – most notably Aeroflot – in the area of digitization as a major contribution to the new division to provide round-the-clock support for airlines. Boeing plans to take advantage of the time zone difference between Moscow and Seattle, employing engineers in those respective cities “as though in two shifts”.

“This way, we can get airline’s requests for services fulfilled quicker and in a more efficient manner,” concluded Kravchenko.

Source : Air Transport

 

ON THE AIRBUS FRONT

Airbus Delivers Its 100th A350 XWB

Airbus has delivered its 100th A350 XWB, just some 30 months after the first delivery in December 2014.  The 100th aircraft delivered is an A350-900 for China Airlines.

“The 100th A350 XWB milestone comes as we reach our fastest wide body production ramp-up on track to meet the target of 10 A350 deliveries per month by the end of 2018,” said Fabrice Bregier, Airbus COO and President Commercial Aircraft.

“China Airlines is happy to be receiving the 100th A350XWb,” said Nuan-Shuan Ho, Chairman of China Airlines. To date, the A350 has been delivered to 14 airlines worldwide and is flying with an outstanding operational reliability rate of 99%. ”This is a remarkable statistic at this early stage of the program,” Fabrice Bregier adds.

The A350-1000 is the new member of the A350 XWB family and benefits from its high level of commonality with the A350-900. Scheduled for Type Certification and first Customer delivery in the fourth quarter of 2017, the A350-1000 is currently performing an intensive flight test campaign.

As of July 26, Airbus has recorded a total of 847 firm orders for the A350 XWB from 45 customers worldwide.

Source : Airbus/Airbus Picture

 

REGIONAL/BUSINESS JETS

   Embraer Lauds Services In Q2 Results

Embraer saw a 30% increase in second-quarter sales, due in part to improved revenue from services – an increasingly important business line for the world’s major aircraft manufacturers.

The Brazilian company’s second-quarter revenue rose to $1.77 billion, on factors including higher services sales and increased commercial deliveries.

Embraer delivered 35 commercial aircraft during the quarter, versus 26 in last year’s equivalent period.  It also delivered 24 business aircraft, and noted that its executive jets division had recorded a double-digit growth in services revenue.

Boeing is also pushing its aftermarket product: First-half earnings for its services division unit were up 11% to $674 million and Boeing expects the unit’s operating margin for the full year to breach 13.5%, up from a previous forecast of 12.5%-plus.

And while Embraer’s 2Q trading statement is unclear about services’ contribution to higher revenues within its commercial aircraft division, the manufacturer does offer a full suite of services, including maintenance, modifications, field support, training and materials.

In the first half of 2017, Embraer had invested almost $24 million in parts for its pooling program.  The company also invested in its E2 aircraft program, which is currently running four E190-Es and one E195-E2 prototypes.  The E190-E2, which has 83 firm orders, completed its wing bending test in May and is now more than halfway through its test campaign.

(It is interesting how airframers are now putting more emphasis on the services side of their businesses. As a former spares executive in the car industry and heavy duty Truck industry, I am elated to see the expansion of this business, which handled correctly can generate more profit for airframes)

Source : Embraer/ Embraer Picture

OTHER AVIATION NEWS

 

 ALC Looks to Accelerate Boeing Deliveries As Airbus Delays Mount

Air Lease is looking to accelerate some of its Boeing deliveries to offset delays to certain Airbus aircraft in 2018, as it questions the stability of both airframers’ supply chains.

Delivery delays of Pratt &Whitney powered A320neo family aircraft and Rolls Royce- powered A330-900neos continue and are

“sliding right” month-by-month in 2018, says  John Plueger, chief executive of the Los Angeles-based lessor, during a second quarter earnings call on August 3rd.

Steven Udar-Hazy, chairman of All, calls the delays to the A330neos the “Rolls Royce Situation”, during the call. He adds that the aircraft has not even begun flight tests.

As a result of the delays, the lessor is looking to accelerate some of its Boeing deliveries into 2018 and may temper its aircraft sales program, says Plueger.

The lessor has yet to determine the full impact of the delays on deliveries from its order book and to its sales program, says Plueger when asked by Wall Street analysts.  He adds that it is receiving updates from Airbus on a weekly basis and hopes to have some clarity by the end of summer.  ALC attributes the delays to supply chain issues, particularly with engines, that are impacting Airbus and, to a lesser extent, Boeing.

“We don’t have the production delay problems with Boeing that we have with Airbus,” says Udvar-Hazy, when asked about possible acceleration of Boeing deliveries.” It just seems Boeing has its programs under control,” he adds.

Source : Flightglobal/ALC

 

Norwegian Has Performed Its First Commercial Transatlantic 737 MAX 

Low-cost carrier (LCC) Norwegian Shuttle has performed its first commercial transatlantic flights using the Boeing 737 MAX, with two aircraft now in revenue service.

The first Norwegian 737 MAX transatlantic sector was operated July 15 by aircraft named “Sir Freddie Laker,” who is widely recognized as long a long-haul, low-cost pioneer.  The Skytrain executive started long-haul, low-cost flights between London Gatwick and New York in 1977,  with fares starting at $77.

Norwegian’s 189-seat 737 MAX operated between Edinburgh and Hartford, Connecticut; followed by a second rotation from Edinburgh to Stewart International in New York.

The 737 MAX offers longer range compared with older narrow bodies, opening up smaller transatlantic city pairs at an affordable cost and fare price.

Norwegian will take delivery of six 737 MAXs this summer, joining the two it already has in service.

Source : Flightglobal/Norwegian/NorwegianPicture

 

  LOT Polish Airlines Completes Initial Phase of Long-Haul Renewal

LOT Polish Airlines has taken delivery of the final aircraft of its batch of eight Boeing 787-8s, as the Polish national carrier eyes the arrival of the larger-9 model next year.  CEO Rafal Milczarski credits the twin-aisle aircraft as being a factor in the airlines financial turnaround.

The eighth 787-8 will largely be used to increase frequencies on LOT’s Asian routes, notably to Tokyo (from 3X-to 4X-weekly) and Seoul (from 3X-to %X-weekly) beginning this month.  The enlarged fleet will also begin %X-weekly services from Warsaw to Newark Newark, replacing a Boeing 767-300 leased from Portuguese leasing and charter specialist EuroAtlantic Airways.

The final 787-8 will also allow for potential new long-haul services to be launched, even before the arrival of a batch of four 787-9s next year.  That will be used to inaugurate the recently announced Budapest-New York JFK and Chicago O’Hare routes from May.

On the short-haul front, July also saw the deliveries go four 737-800NG completed, while in November, LOT will be one of the early operators of the 737 MAX 8.

  Source : ATW/Picture Norwegian

 

LATEST NEWS

  • Air Lease Corp has finalized an order with Boeing for 12 737 MAX aircraft previously announced at the Paris Air Show.  The agreement also includes two new orders for the 787-9 Dreamliner.

  • Avolon Irish lessor delivered one Boeing 737 Max 8 to Indonesia’s Lion Air.  This is the fourth Avolon aircraft on lease to Lion Air.
  • ICBC, Chinese lessor, has been identified as the customer behind an order for 20 Airbus A320neo placed at the end of 2014.
  • ALAFCO secured a loan from Stellwagen Finance for the first Airbus A320neo for lease to Air India.
  • GE Aviation earned $1.49 billion on $6.53 billion sales in 2Q17 vs $1.35 billion on $6.51 billion in 2Q16.
  • Meggitt aviation component and systems maker has landed a deal with Boeing to provide the airframe with integrated standby flight displays (ISFD) for the 777X.
  • Flydubai Dubai based low-cost carrier (LCC) has taken delivery of its first Boeing 737 MAX 8, becoming the first Middle Eastern carrier to operate the type.

  • Singapore Airlines has dropped its short-haul low-cost carrier (LCC) brand Tingerair, merging the airline into mid-to long-haul LCC Scoot.
  • Saudi Aramco has taken delivery of three new Boeing 737-800s in as many months.

  • New England Patriots has acquired two former American Airlines Boeing 767-300ERs for travel to out-of-town games.  The 767s are owned by a company called Team 125 Inc, operated by New England Patriots LLC and financed by Kraft Group, a company let by Patriots owner Robert Kraft.  The aircraft will be configured in an all-first class configuration and will operate out of TF Green airport near Providence, Rhode Island.
  • BOC Aviation firmed its commitment to order 10 737 Max 10s made at the Paris  Air Show in June.

 

AIR CARGO

Volga-Dnepr Weighs in With Vision for a Larger An-124 

Volga-Dnepr Group has outlined its principal requirements for a future freighter to replace the Antonov An-124-100.

During the MAKS air show in Moscow in July, it outlined its vision of a successor to the Ukrainian outsize-cargo aircraft, developed in the 1970s as a military transport.

“In our view, a new freighter should be 35% to 40% more efficient economically and capable to carry a payload of up to 170t for at least 8,000km to 10,000km (4,300-5,400nm)”, say technical director Viktor Tolmachev.  “This would enable the operator to transport even bulkier cargos on longer-haul routes across the oceans and continents.”

The cargo variant of the An-124 entered commercial service with Volga-Dnepr Airlines in October 1991.  Since then the freighter has undergone several enhancements and modifications, the latest is the-100M-150, fitted with Western avionics and capable of flying 2,430nm with a payload of 150t.

Volga-Dnepr currently uses a dozen An-124s, of which 10 were built 22-27 years ago.

Source : Flightglobal/ Volga-Dnepr Picture

 

 Maintenance, Repair and Overhaul News                         

One-Stop OEM Shopping?

The aviation aftermarket is being jolted by some bold moves from OEMs that could challenge conventional business models.  Or is this simply part of the next wave of consolidation?

Take Boeing Avionics.  The OEM announced on July 31, that it is setting up the avionics unit to develop avionics for both commercial and military platforms.  That means it will compete against some of its Tier 1 suppliers – such as Honeywell, United Technologies Corp. and Rockwell Collins. The latter “saw its share price whacked on the Boeing Avionics news,” says Robert Stallard, an analyst at Vertical Research Partners, who points out Rockwell Collins stock “has since rallied.”

A few days later, on Aug. 4, reports started swirling that United Technologies might purchase Rockwell Collins. Keep in mind Rockwell Collins just finished acquiring B/E Aerospace, the cabin interior product and services company, on April 13th. It had expanded its interiors portfolio and established natural synergies and complementary services in areas such as cabin management, connectivity and communication.

Now that some OEMs aim for more aftermarket revenue, it’s not surprising that they seek greater in-house capabilities for an expanding market, which Aviation Week forecasts to reach $74.3 billion this year.

Expect the market to continue expanding through the year. In Vertical Research Partners’ assessment of the global aerospace and defense market’s second quarter, released Aug. 7, it says the aerospace market grew about 7% slightly higher than the 5% in the first quarter.

While all this is emerging, Stallard also sees “a potential shift in the balance of power between the aircraft OEMs and their suppliers,” some of which “are struggling to keep up with the relentless price and efficiency demands of Boeing and Airbus.”

Source : MRO-Network

 

 MRO Short News

  • Jet Yard was selected by Delta Material Services to perform part outs in Marana, Arizona.
  • ATR extended its global maintenance agreement with Stobart Air for 17 Air aircraft.
  • Czech Airlines Technics was selected by KLM low-cost carrier Transavia for Boeing 737NG maintenance.
  • Zodiac Seats US was selected by Irish low-cost carrier Ryanair to supply Z110 economy seats for Boeing 737 MAXs.
  • Ducommun has a Boeing contract to supply aluminum fuselage skins for the Boeing 737-800BCF.

 

September Puzzler        

 

 

 

 

 

 

 

 

 

August Puzzler Answer :  Allegiant Air the fleet is so old that its most numerous airplanes are McDonnell Douglas MD-80s and -90s, which ceased production 17 years ago. Allegiant also operates a pair of Boeing 757s (out of production since 2004) and about somewhat younger dozen Airbus A319 and A320 aircraft.

 

Researched and Compiled by : Ed Kaplanian

Commercial Aviation Advisor

Contact – ed@kaplanianreport.com

July 2017 The Kaplanian Report

ON THE BOEING FRONT

GE Starts 18-month GE9X Certification Program

GE Aviation has started the 18-month certification program for the GE9X engine that will power the Boeing 777X.

The first round of certification tests will take place in Peebles, Ohio. The certification testing is beginning on the second GE9X engine GE has built; ultimately, there will be eight certification test engines. The next two GE9X engines are currently being built. One of those two engines will be tested in flight on GE’s 747 flying testbed based in Victorville, California, in the second half of 2017.

GE aims to complete the certification program by the end of 2018. The 777X is slated to enter service in 2020.

The start of certification program follows more than a year of testing with the GE9X first engine to test (FETT).

“Historically, the first to test is not separated by the second engine by a year-plus,”

GE9X program general Manager Ted Ingling told ATW.  ”That was the intention, that we moved that first engine forward to allow us as a design team to validate the architecture of this new engine, learn, and adapt those learnings into the certification baseline.”

The second engine to test (SETT), which started for the first time on May 16, is the first GE9X certification engine and the first of a series to build to the full-up finalized production standard.

SETT, also known as GE9X test engine 002/1, is the first to incorporate all the design changes from lessons learned during the validation runs of the first engine. In addition, GE will build an engine for ETOPS extended-range certification testing that will be configured with a Boeing-provided nacelle and other external hardware.

From early 2018, GE will also deliver eight compliance engines, plus a pair of spares to Boeing for the four 777-9 flight-test aircraft. The Engine is now officially named the GE9X-105B1.

Source : ATW/GE Aviation/PicturesGE Aviation

            

ON THE AIRBUS FRONT

Airbus Beluga XL Begins to Take Shape

The first of Airbus’ five new Beluga XL air lifters began to take shape, initiating the creation of a new jetliner fleet to transport complete sections of the company’s aircraft from production sites around Europe to final assembly lines in France, Germany and Spain.

Beluga XL’s lower fuselage will be the same as the freighter version of the Airbus’ A330-200  jetliner and is to be built on the A330 final assembly line adjacent to Toulouse-Blagnac Airport in southwestern France.

Airbus has taken delivery of the nose section for its first Beluga XL transport aircraft. The nose and cockpit have been constructed by Stelia Aerospace at a French facility in Meaulte. Stelia says several of its production sites, including its Tunisian facility, contributed to the manufacture.

Airbus five Beluga XL twin jets will be powered by Rolls-Royce Trent 700 engines.

The airframer is to introduce a series of individual paint schemes for its forthcoming fleet of the five Beluga XL transports, with the lead example featuring an aquatic design based on the white whale the aircraft is named after.

The first flight of the A330-200-based jet is due in 2018, Airbus confirms that each will bear a unique livery. The initial scheme was voted by employees, the airframe says. The Beluga XL will replace its fleet of A300-600ST outsized freighters from 2019.

Source : Air soc/Airbus/Flightglobal

                  

REGIONAL/BUSINESS JETS

Deer Jet to Add Second Boeing 787 Dream Jet to its Fleet

Deer Jet announced the building of world’s largest Dream Jet fleet by adding a second one to its managed fleet and brings to Seattle, the birthplace of Boeing, the world’s first 787 Dream Jet for its first display in the US.

The showcase was held at the Museum of Flight. This was the sixth stop for the world’s first Dream Jet after Hong Kong, Shanghai, London, Dublin and Doha; part of the series of exhibitions “Dreams Encounter the World.”

Exclusively for the Seattle exhibition, A collection of Sculptures from artist Dale Chihuly, including its famous Cylinders, created from glass-thread drawings on vessels inspired by Native American textiles, added local style to the 787 Dream Jet cabin.

During the press conference which was held at the end of the display, Mr. Adam Tan, CEO of HNA Group, Deer Jet’s parent company, said:

“Along its 24 years of history, HNA Group has built many milestones for the aviation industry, once a regional airliner, now the 353th of the Global Fortune 500 list and the goal to become one of the top 10 largest enterprises in the world. The first 787 Dream Jet is a masterpiece, after its global success we are very pleased to add a second one as we decided to build the largest Dream Jet fleet in the world. It will also be managed by Deer Jet, the top private jet company in Asia. I believe this will provide the highest quality of premium business travel services to our worldwide high-end customers.”

During his speech at the press conference, Mr Kevin McAllister, President and CEO of Boeing Commercial Airplanes added :

“Deer Jet is setting the standard for private charter travel, and Boeing is excited to be part of it with the 787, the most technologically advanced and ecologically efficient business jet on the market.”

Source : China Aviation Daily/Deer Jet/Deer Jet Picture

                                                                     

OTHER AVIATION NEWS

Boeing Deal with Italian Export Finance Agency

SACE (CDP Group) and Boeing have entered into an important agreement that will support Italian exports in the aeronautical sector in the form of new aircraft delivery financing.

The agreement creates a shared platform for facilitating the financing of aircraft purchases of mutual interest each year, SACE will consider guaranteeing credit lines from third parties for the sale go Boeing aircraft (this year, up to 1.25 billion US dollars), in order to support Boeing’s contracts and subcontracts with Italian firms  specialized in precision aeronautical components. SACE’s commitment will be evaluated every year and adjusted accordingly to the supplies that Boeing will allocate to Italian companies.

“The agreement we are announcing strengthens our relationship with an international aerospace giant that has chosen Italy as one of its principal partners. Aeronautics has always been a strategic sector for our economy, where we can be even more incisive and more competitive in the international market”,  said Alessandro Decio, CEO of Sace CDP Group.

SACE said it will consider guaranteeing credit lines for airlines or leasing companies that buy Boeing aircraft. From 2015 to 2016, Boeing purchased 2.5 billion dollars of goods and services from Italian companies and, with a solid tie to the national economy, it has helped generate 12,000 jobs along the supply chain.

Source : SACE CDP Group

 

United Airlines to Offer LAX-Singapore 787-9 Service

United Airlines plans to introduce daily nonstop flights between Los Angeles and Singapore’s Changi Airport, effective October 27, subject to government approval.

According to  the Chicago-based carrier, the service will set the distance record for any airline operating a flight to or from the US, at 8,700 miles. (yet another milestone for the 787) Ed Kaplanian commented.

United’s existing service between San Francisco and Singapore started one year ago, June 1, 2016, and “holds the current record of the longest scheduled flight operated by any US carrier, at 8,446 miles,” the airline said in a statement.

Both routes will use 252-seat Boeing 787-9s with 48 Polaris business class seats and 204 economy seats, including 88 economy plus seats.

Flight UA 37 will depart Los Angeles at 8:55 p.m. daily, arriving in Singapore at 6:50 a.m. two days later (all times local). The return flight, UA 38, will depart Singapore Changi Airport at 11:00 a.m. daily, arriving at Los Angeles at 10:15 a.m. the same day. Flying times will be approximately 17 hours, 55 minutes westbound and 15 hours,15 minutes eastbound.

Source : United Airlines/ATW

 

Hainan Airlines to Add 13 787-9s and Six 737 MAX 8s

HNA Group subsidiary, Hainan Airlines, is raising funds to acquire 13 Boeing 787-9s and six 738 MAX 8s.

China’s Civil Aviation Authority has confirmed Hainan Airlines’ five year plan, paving the way for additional 19 aircraft. 

Under the strategy, the Haikou-based carrier will add seven Boeing 787-9s in 2018, followed by another six 787-9s and six 737 MAX 8s between January and August 2019. It currently has 10 787-8s and nine 787-9s in its fleet.

Hainan Airlines valued the order at about $4.19 billion and detailed plans to raise the money through a bonds issue.

The aircraft will be used to strategically grow its fleet and network, in a bid to boost profitability and competitiveness.

According to the carrier’s website, its current fleet of 179 aircraft includes Airbus A330s, Boeing 737s, 767s, 787-8s and -9s.

Source : Hainan Airlines/Boeing picture/ATW

            

LATEST NEWS

  • Iran Air has taken delivery of its first four ATR 72-600 turboprops. Earlier this year the carrier finalized a deal spanning 20 firm ATR 72-600s, plus options on another 20.
  • Arkia Israeli leisure carrier has unveiled a vibrant new livery as it prepares to modernize its fleet. 
  • EgyptAir has taken delivery of the fourth of nine Boeing 737-800 NGs, as part of a fleet modernization plan and expansion strategy.
  • Delta Air Lines placed an incremental order for 30 firm Airbus A321ceo aircraft.
  • EasyJet UK budget carrier EasyJet has opted to take the Airbus A321neo,by converting orders for 30 of the smaller A320neo which the airline has on order.
  • Kalitta Air took delivery of the first of two leased Boeing 747-400Fs from GECAS, adding capacity to Kalitta Air’s fleet of more than 15 wide body freighters.
  • Scoot Singapore-based low-cost carrier received its 14th Boeing 787 Dreamliner at the Boeing Everett Delivery Center on May 12. 
  • Airbus’ is nearing a major change in its sales organization as its current head of sales, John Leahy, has indicated he will retire soon.
  •  Ruili Airlines China’s low-cost (LCC) Ruili Airlines has agreed to lease three Boeing 737 MAX aircraft from AVIC International Leasing Co. in an effort to facilitate its international expansion.

 

AIR CARGO

Lockheed Martin’s LM-100J Commercial Freighter Makes First Flight

The first Lockheed Martin LM-100J commercial freighter aircraft achieved a critical milestone with the completion of its first flight in Marietta, Georgia. 

“I was proud to fly the first flight of our LM-100J.  It performed flawlessly, as is typical of our military C-130J new production aircraft,” said Wayne Roberts, chief test pilot for the LM-100J program. ”This new model will perform many commercial roles in the decades to come, like humanitarian service following natural disasters and others like nuclear accident response, oil spill containment, and firefighting. This aircraft will also enable remote area development such as mining, oil and gas exploration. This day marks the beginning of a tremendous commercial capability that only the LM-100J can deliver.”

This flight followed the same test flight route over North Georgia and Alabama that is used for all C-130J Super Hercules aircraft. The LM-100J will complete initial production flight tests and then begin Federal Aviation Administration (FAA) type certificate update test requirements.

Bravo Industries LLC, a Brazil-based firm, has agreed to buy 10 LM-100Js. Bravos Logistica division, which consists of Bravo Cargas and MRO, plans to operate the turboprop LM-100J for air cargo operations in Brazil.(Ed)

Source: Lockheed Martin/Picture Lockheed Martin

 

Russia’s AirBridgeCargo (ABC) Volume Up 17% In First Quarter 

Russia’s Airbridge Cargo carried 158.000 tons in 1Q 2017, up 17% year-over-Year, as a result of market growth and special products.  Load factor increased to 70% during the first months of the year, the carrier said in a statement on June 1.

The largest Russian cargo airline, which is part of Volga-Dnepr Group, continued to develop its network in Asia, launching a new route to Taipei in April. ABC provides Boeing 747F services to and from Tokyo, Seoul, Singapore, Hanoi, Phnom Penh, Hong Kong, Shanghai, Beijing, Chengdu, Chongqing and Zhengzhou.

According to ABC, high demand for exports from Europe enabled the airline to grow its tonnage from the region by 22% in Q1 2017; with growth on all its routes, notably to Asia, which recorded a 24% rise in tonnage over the same three months of 2016.

ABC’s services from North America also continued to grow, the airline said, and now operates up to 30 flights a week on its routes serving Atlanta, Chicago, Houston, Los Angeles and Seattle.

The arrival of the airline’s 10th new Boeing 747-8 F in March increased its total 747 fleet to 17 aircraft, contributed a 7% increase in frequencies network-wide.

Source : ATW/Boeing ABC Cargo picture

 

MAINTENANCE, OVERHAUL, REPAIR NEWS 

  Qantas, Jetstar Sign Up for Boeing 787 Parts Support

Australia’s Qantas Airways and its Jetstar Airways low-cost subsidiary have entered into a long-term component services agreement with AFI KLM E&M to cover its Boeing 787 fleet.

The contract covers pool access, repairs and applies to eight future Qantas-operated 787-9s. They are expected to start entering its fleet late this year and eleven 787-8 currently in service with Jetstar.

AFI KLM E&M said the program aims to achieve maximum availability for supported fleet. It will see both airlines gain direct access to the aftermarket provider’s spare pool in Kuala Lumpur, with support from its global inventories and component repair shops.

AFI KLM E&M said the total number of 787s under its parts coverage program now stands at 193 across 15 different airlines.

Fabrice Defrance, senior vice president commercial AFI KLM E&M, said the new contract further strengthens its position in the Asia-Pacific region. It also grows ties with Qantas, as AFI KLM E&M already provides component support on its fleet of Airbus A330s and, through its Spairliners Subsidiary, coverage of its A380 fleet.

Source: mro-network.com/Qantas Picture

 

 MRO Latest News

  • Lufthansa Technik was selected by Madrid-based leisure carrier Wamos Air to provide Airbus A330 and Boeing component support.
  • StandardAero was selected to maintain PW 125Bs for six Fokker 50s for Belgium carrier VLM Airlines.
  • F&E Aircraft Maintenance expanded its GoldCare agreement with Boeing to provide 787 and 737 MAX line maintenance at Denver and Seattle.
  • Aeronautical Engineers finalized contract with Mexico-based Aeronaves for sixth/Seventh MD-80 freighter conversions for late this year; Commercial Jet will modify one each at Miami and Dothan.
  • SR Technics expanded its CFM56 component repair agreement with AerFin ,to include-5Bs and -7Bs in addition to -5Cs out of facilities in Zurich, Switzerland and Cork Ireland.
  • HAECO was selected by Panasonic as an authorized IFEC repair center in China.
  • Ameco delivered a converted Boeing 757 aircraft to China Postal Airlines. This is the sixth Boeing 757 aircraft delivered by Ameco Chengdu Branch since 2014, while another three 757s are in progress in its facility.

 

Researched and Compiled by : Ed Kaplanian

Commercial Aviation Advisor

Contact – ed@kaplanianreport.com