London, 9 March 2021 – Airbus, Fujitsu and Thales UK have signed a memorandum of understanding (MOU) to work collaboratively on the upcoming Systems Integrator (SI) opportunity for the UK Ministry of Defence (MOD), Land Environment Tactical Communications and Information Systems programme – known as LE TacCIS.
Following the signature of the MOU, the partners have formed team ICELUS led by Airbus that will bring together a trusted collective of MOD strategic partners who have a unique breadth of expertise of defence communications networks. ICELUS will offer pioneering change through a coherent systems integration approach to ultimately deliver operational effectiveness and information advantage to the end user, whilst sustaining a UK centric, defence industrial base. The three partners will be able to jointly explore how their respective unique expertise and solutions can be combined in order to put forward the best-possible proposals with regard to capabilities and competitiveness for this major programme.
ICELUS will focus on the upcoming LE TacCIS System Integrator (SI) opportunity to lead on the design and integration of the products & services for applications, infrastructures and networks. The LE TacCIS System Integrator is expected to be contracted by 2023/2024.
The LE TacCIS programme consists of multiple sub-programmes and projects with the aim to deliver the next generation of tactical military communications in the land environment, providing the means to make informed and timely decisions enabled by agile Communication Information Systems (CIS).
LE TacCIS is designed to be resilient, working securely in a congested and contested cyber battlespace. It will degrade gracefully and recover when attacked, continuing to provide essential Command and Control (C2) services and capabilities. It will integrate with other systems to allow the quick and easy sharing of information between platforms and weapon systems, delivering full-spectrum, multi-domain effects.
In contrast to the current system’s single source prime supplier model, elements of the LE TacCIS programme will be competed from industry who will be incentivised to deliver increased system agility, capability and value for money.
Saint-Cloud, France, March 8, 2021 – It is with great sadness that we learned of the death of Olivier Dassault, at the age of 69, in a helicopter accident on 7 March 2021. An aviation enthusiast, like his grandfather Marcel Dassault and his father Serge Dassault, he was always keenly interested in developing the business of our company. He was born on 1 June 1951 in Boulogne-Billancourt. He was an engineering graduate from the Ecole de l’Air, held a DEA diploma in Mathematical Decision Sciences and a Doctorate in management computing.
He was born on 1 June 1951 in Boulogne-Billancourt. He was an engineering graduate from the Ecole de l’Air, held a DEA diploma in Mathematical Decision Sciences and a Doctorate in management computing. Following his solid scientific training, Olivier Dassault’s first steps in professional life helped him to gain experience of the communication sector, notably as a film producer and then by creating his own advertising agency.
He was a professional pilot since 1975, and jointly held world speed records – with Hervé Le Prince-Ringuet in 1977 from New York to Paris on a Falcon 50 and in 1987 from New Orleans to Paris on a Falcon 900 – and with Guy Mitaux-Maurouard and Patrick Experton in 1996 on a Falcon 900EX from Paris to Abu Dhabi and Paris to Singapore.
In 1986, his father Serge Dassault entrusted him with a number of roles and responsibilities within the Dassault company, appointing him Deputy Vice-President for Europe Falcon Service, and then Vice-President of Civil Aircraft Strategy in 1993.
He was Chairman of the Supervisory Board of the Marcel Dassault industrial group (GIMD) until 2017 and Director at Dassault Aviation since 1996. Throughout his life, he was a determined defender of our company and of French aeronautics. Moreover, on Thursday, March 4, 2021, during the last Board of Directors meeting, he gave his full support to the company in its management of the covid 19 crisis.
He was also a media man, holding the position of Chairman of the Valmonde group, where he created the hunting magazine Jours de Chasse (2000) devoted to another of his passions. He became a Director of Socpresse (now Groupe Figaro) after the latter was bought out by GIMD in 2004.
While continuing to be professionally active, he entered politics. He was elected as a Member of Parliament (RPR party) in 1988, winning back the Oise first district during the parliamentary by-elections. He was an MP in the Oise department from 1988 to 1997, and then again since 2002.
An artist at heart, Olivier Dassault was an accomplished musician and notably composed the anthem for Parliament, showing this institution another side of his creative personality. He was also a well-known photographer. He published many books of photographs and regularly exhibited his work successfully, in France and abroad.
Dallas, Texas March 4, 2021 – Lockheed Martin (NYSE: LMT) successfully tested its next-generation Extended-Range Guided Multiple Launch Rocket System (ER GMLRS) munition in an 80-kilometer flight demonstration at White Sands Missile Range, New Mexico. During the flight test, the ER GMLRS round was fired from the U.S. Army’s High Mobility Artillery Rocket System (HIMARS®) launcher, built by Lockheed Martin, meeting test objectives. The demonstration confirmed the missile’s flight trajectory performance, range and validated interfaces with the HIMARS launcher and system software performance.
Lockheed Martin has produced more than 50,000 GMLRS rounds and is under contract to produce more than 9,000 new GMLRS unitary and alternative-warhead rockets, more than 1,800 low-cost reduced-range practice rockets and integrated logistics support for the U.S. Army and international customers. The systems are produced at its Precision Fires Center of Excellence in Camden, Arkansas.
For more than 40 years, Lockheed Martin has been the leading designer and manufacturer of long-range, surface-to-surface precision strike solutions, providing highly reliable, combat-proven systems like MLRS, HIMARS, ATACMS and GMLRS to domestic and international customers.
Paris, France 4 March 2020 – Within the Syracuse IV programme, Airbus (Paris: AIR.PA) has been awarded a 10-year framework agreement called Copernicus for the construction and upgrading of part of the ground segment for the telecommunications satellites used by the French Armed Forces. As part of Copernicus, the French Directorate General of Armaments (DGA) has placed an initial order worth more than € 100 million.
Dominique Maudet, Head of French Defence Sales at Airbus Defence and Space said: “We are building the future broadband and multi-satellite ground segment for France’s Armed Forces. It will be fully integrated, intelligent and dynamic, giving operators access to a decision-making tool unique to satellite communications management.”
This first order specifically covers the development of the future satellite communications management system for the French Ministry of Defence. This unique portal called Pegasus, accessible to all units, will enable the French Armed Forces to optimise use of the available capacities on military and commercial satellites. It will make it possible to coordinate requests entered by central military staff or any unit deployed on the ground, at sea or in the air. Allocation of satellite capacities will be optimised in terms of operational criteria completed by the units, such as the type of terminals used, ground cover, level of cyber security, jamming resistance, as well as the need for availability.
The Copernicus project also aims to increase the operability of Comcept, the multi-satellite communications network designed by Airbus and commissioned by the French armed forces in 2017. Comcept uses the broadband Ka-band transmission capacities of the Franco-Italian military satellite ATHENA-FINDUS, in addition to the Ku- and C-band capacities of commercial satellites. Thanks to these developments, Comcept will also be able to use the high-speed Ka-band of future satellites SYRACUSE 4A and 4B.
Different elements of the SYRACUSE IV programme’s future ground segment and the Pegasus portal will enable the French armed forces to use the entire spectrum of satellite capacities efficiently and dynamically, from the most secure and resilient to the high-speed and wide coverage capacities, in all areas of operations.
AUSTRALIA, March 1, 2021 – Boeing [NYSE: BA] Australia and the Royal Australian Air Force (RAAF) have successfully completed the first test flight of the Loyal Wingman uncrewed aircraft. The flight of the first military aircraft to be designed and manufactured in Australia in more than 50 years flew under the supervision of a Boeing test pilot monitoring the aircraft from a ground control station at the Woomera Range Complex.
“The Loyal Wingman’s first flight is a major step in this long-term, significant project for the Air Force and Boeing Australia, and we’re thrilled to be a part of the successful test,” said Air Vice-Marshal Cath Roberts, RAAF Head of Air Force Capability. “The Loyal Wingman project is a pathfinder for the integration of autonomous systems and artificial intelligence to create smart human-machine teams.
“Through this project we are learning how to integrate these new capabilities to complement and extend air combat and other missions,” she said.
Following a series of taxi tests validating ground handling, navigation and control, and pilot interface, the aircraft completed a successful takeoff under its own power before flying a pre-determined route at different speeds and altitudes to verify flight functionality and demonstrate the performance of the Airpower Teaming System design.
“Boeing and Australia are pioneering fully integrated combat operations by crewed and uncrewed aircraft,” said Boeing Defense, Space & Security President and CEO Leanne Caret. “We’re honored to be opening this part of aviation’s future with the Royal Australian Air Force, and we look forward to showing others how they also could benefit from our loyal wingman capabilities.”
With support from more than 35 Australian industry teams and leveraging Boeing’s innovative processes, including model-based engineering techniques, such as a digital twin to digitally flight-test missions, the team was able to manufacture the aircraft from design to flight in three years.
This first Loyal Wingman aircraft is serving as the foundation for the Boeing Airpower Teaming System being developed for various global defense customers. The aircraft will fly alongside other platforms, using artificial intelligence to team with existing crewed and uncrewed assets to complement mission capabilities.
Additional Loyal Wingman aircraft are currently under development, with plans for teaming flights scheduled for later this year.
Rolls-Royce (London: RR.L) has been awarded funding by the UK Ministry of Defence (MOD) to further develop and demonstrate the Artificial Chief Engineer® technology – an autonomous machinery control system which allows Naval vessels to undertake long endurance missions with less human interaction.
Developed by Rolls-Royce, Artificial Chief Engineer® is a critical enabler for autonomous missions by acting as the equivalent of the engineering department responsible for the health and the operation of an unmanned vessel’s machinery. Navies intend to increase their use of optionally-manned and unmanned vessels to project power further for less cost by reducing reliance on manpower, allowing higher-risk or longer-endurance missions, and by lowering the procurement and operating costs of future platforms.
The funding to continue the development, has been awarded under the UK MOD’s Defence and Security Accelerator Intelligent Ship Phase Two programme, which is used to de-risk and evaluate technologies and approaches to enhance the armed forces’ technical advantage.
Rapid growth in automation, autonomy, machine learning and artificial intelligence (AI) has prompted the need to investigate how human-machine teaming can effectively take place. This 16-month programme aims to investigate how effective human-AI collaboration can be best exploited to improve decision-making and planning within complex operating environments.
Artificial Chief Engineer is an on-board, secure, decision-making control system designed to intelligently operate the machinery of lean-manned and unmanned naval vessels. The technology makes condition-based decisions about how best to operate the machinery – including the engines, propulsion system, electrical network and fuel system – using algorithms to optimise the ship for maximum efficiency, lowest noise, top speed or to preserve damaged equipment as required by the ship’s mission. This reduces the workload of remote operators and allows increased mission and system complexity in future unmanned ship designs.
Intelligent Ship is a Defence Science and Technology Laboratory (Dstl) project to develop novel and innovative technologies and concepts to facilitate the use of intelligent systems within future platforms, with potential for utilisation across defence. The aim is to de-risk and evaluate technologies and approaches to enable revolutionary future platform, fleet, and cross-domain concepts to enhance UK military advantage.
Wrapping around the Artificial Chief Engineer project will be Rolls-Royce’s Aletheia FrameworkTM. This is a ground-breaking standard it has developed to ensure that before artificial intelligence is used all ethical considerations have been fully assessed, and that once an AI is deployed, its decisions are trustworthy. The Aletheia Framework is as part of a campaign led by Rolls-Royce to improve public trust in artificial intelligence so that its full potential can be realized for good across the world.
ST. LOUIS, Feb. 23, 2021 — A new era in aircraft design and build has begun as the first U.S. portion of the T-7A Red Hawk advanced trainer has officially entered the Boeing [NYSE: BA] jet’s state-of-the-art production line.
The training jet, designated the eT-7A Red Hawk by the U.S. Air Force because of its digital heritage, was fully designed using 3D model-based definition and data management systems developed at Boeing during the last two decades. The T-7A Red Hawk employed the digital engineering and design of the Boeing T-X aircraft that went from firm concept to first flight in just 36 months.
The Advanced Pilot Training System also incorporates leading-edge ground-based live and virtual simulators to give students and instructors a “real as it gets” experience.
In September 2018, the U.S. Air Force awarded Boeing a $9.2 billion contract to supply 351 advanced trainer aircraft and 46 associated ground-based training simulators. Saab is teamed with Boeing on the trainer and provides the aft fuselage of the jet.
Boeing is the world’s largest aerospace company and leading provider of commercial airplanes, defense, space and security systems, and global services. As a top U.S. exporter, the company supports commercial and government customers in more than 150 countries and leverages the talents of a global supplier base. Building on a legacy of aerospace leadership, Boeing continues to lead in technology and innovation, deliver for its customers and invest in its people and future growth.
São Paulo, Brazil, February 18, 2021 – Embraer (NYSE: ERJ) welcomes the Brazilian Government’s decisions to withdraw its ongoing World Trade Organization (WTO) dispute with Canada regarding aeronautical subsidies and to launch negotiations on more effective disciplines to regulate government support in the Commercial Aviation segment.
At the WTO, Brazil challenged more than USD 3 billion in illegal subsidies that the Governments of Canada and Quebec provided to Bombardier for the launch, development and production of the C-Series program. These subsidies distorted the conditions of competition in the global market for commercial aircraft, causing serious prejudice to Embraer, in clear violation of WTO rules.
Although Brazil has a strong case, the WTO dispute became ineffective to address the Canadian subsidies and to remedy the distortions generated in the market. After Bombardier exited the Commercial Aviation segment and transferred the C-Series program (now called A220) to Airbus, which has a second assembly line in the United States, the trade dispute against Canada at the WTO is no longer the most effective means to achieve Brazil’s and Embraer’s goal of reestablishing a level playing field in this sector.
Embraer also supports Brazil’s initiative to launch negotiations for more effective disciplines on government support in the commercial aviation segment, as the best way to achieve this goal, as previously seen with the successful experience of the OECD’s Aircraft Sector Understanding (ASU), signed in 2007 to regulate export credits. Ultimately, Embraer believes that commercial aircraft manufacturers should compete against each other based on the merits of their product, not on the amount of funding they receive from their governments.
FY EBIT (reported) € -0.5 billion; FY loss per share (reported) € -1.45
No dividend proposed for 2020
FY FCF before M&A and customer financing € -6.9 billion
Net cash position at € 4.3 billion
2021 guidance issued
Amsterdam, 18 February 2021 – Airbus SE (stock exchange symbol: AIR) reported consolidated Full-Year (FY) 2020 financial results and provided guidance for 2021.
“The 2020 results demonstrate the resilience of Airbus in the most challenging crisis to hit the aerospace industry. I want to thank our teams for their great achievements in 2020 and acknowledge the strong support of our Helicopters and Defence and Space businesses. I would also like to thank our customers, suppliers and partners for their loyalty to Airbus,” said Airbus Chief Executive Officer Guillaume Faury. “Many uncertainties remain for our industry in 2021 as the pandemic continues to impact lives, economies and societies. We have issued guidance to provide some visibility in a volatile environment. Over the longer term, our ambition is to lead the development of a sustainable global aerospace industry.”
Net commercial aircraft orders totalled 268 (2019: 768 aircraft) with the order backlog comprising 7,184 commercial aircraft as of 31 December 2020. Airbus Helicopters booked 268 net orders (2019: 310 units), including 31 NH90’s for the German Bundeswehr in Q4 and 11 H160’s. Airbus Defence and Space’s order intake by value increased 39% year-on-year to € 11.9 billion, a book-to-bill above one, mainly driven by major contract wins in Military Aircraft. This included a contract signed in November to deliver 38 new Eurofighters for the German Air Force.
Consolidated order intake by value decreased to € 33.3 billion (2019: € 81.2 billion) with the consolidated order book valued at € 373 billion on 31 December 2020 (year-end 2019: € 471 billion). The decrease in the value of the commercial aircraft backlog reflects the higher number of deliveries compared to order intake, the weakening of the US dollar and an assessment of the backlog’s recoverability.
Consolidated revenues decreased to € 49.9 billion (2019: € 70.5 billion), driven by the difficult market environment impacting the commercial aircraft business with 34% fewer deliveries year-on-year. A total of 566 commercial aircraft were delivered (2019: 863 aircraft), comprising 38 A220s, 446 A320 Family, 19 A330s, 59 A350s and 4 A380s. During the fourth quarter of 2020, a total of 225 commercial aircraft were delivered including 89 in December. In 2020, Airbus Helicopters delivered 300 units (2019: 332 units) with revenues increasing by around 4%, benefiting from a favourable product mix and growth in services. Revenues at Airbus Defence and Space decreased by around 4%, mainly reflecting lower volume as well as the impact of COVID-19 on business phasing, mainly in Space Systems.
Consolidated EBIT Adjusted – an alternative performance measure and key indicator capturing the underlying business margin by excluding material charges or profits caused by movements in provisions related to programmes, restructuring or foreign exchange impacts as well as capital gains/losses from the disposal and acquisition of businesses – totalled € 1,706 million (2019: € 6,946 million). This mainly reflects the weaker commercial aircraft performance, which was supported by a strong contribution from Airbus Helicopters and Airbus Defence and Space.
Airbus’ EBIT Adjusted of € 618 million (2019: € 5,947 million(1)) mainly reflects the reduced commercial aircraft deliveries and associated lower cost efficiency. It also includes € -1.1 billion in COVID-19 related charges. In January 2021, an update on production rates was communicated in response to the market environment with rates to remain lower for longer.
Airbus Helicopters’ EBIT Adjusted increased to € 471 million (2019: € 422 million), mainly driven by strong government-related activities and reliable programme execution. It also includes lower Research & Development (R&D) expenses reflecting the end of the European Union Aviation Safety Agency (EASA) certification process for the five-bladed H145 and the H160.
EBIT Adjusted at Airbus Defence and Space increased to € 660 million (2019: € 565 million), mainly reflecting cost containment measures and lower R&D expenses, partly offset by the impact of COVID-19, including on the launcher business.
A total of 9 A400M military airlifters were delivered during the year, with Belgium taking delivery of its first of seven aircraft in December. Good progress was made with the aircraft’s capability roadmap, including the flight test campaign for Automatic Low Level Flight certification.
Consolidated self-financed R&D expenses decreased to € 2,858 million (2019: € 3,358 million).
Consolidated EBIT (reported) was € -510 million (2019: € 1,339 million), including Adjustments totalling a net € -2,216 million.
These Adjustments comprised:
€ -1,202 million related to the Company-wide restructuring plan;
€ -385 million related to A380 programme cost, of which € -27 million were in Q4;
€ -480 million related to the dollar pre-delivery payment mismatch and balance sheet revaluation, of which € -106 million were in Q4;
€ -149 million of other costs (including compliance), of which € -21 million were in Q4.
The consolidated net loss (2)was € -1,133 million (2019 net loss: € -1,362 million). It includes the financial result of € -620 million (2019: € -275 million). The financial result largely reflects interest results of € -271 million, Repayable Launch Investment re-measurement impact in the other financial result of € -157 million, as well as a net € -149 million related to Dassault Aviation financial instruments. It also includes the impairment of the OneWeb loan, recognised in Q1 2020. The consolidated reported loss per share was € -1.45 (2019: € -1.75).
Consolidated free cash flow before M&A and customer financing amounted to € -6,935 million (2019: € 3,509 million), including the payment of the compliance-related penalties of € -3.6 billion in Q1 2020. The Q4 2020 free cash flow before M&A and customer financing of € 4.9 billion reflects the solid level of aircraft deliveries in the quarter, the good performance from Helicopters and Defence and Space, as well as a strong focus on working capital management.
Various measures were taken during 2020 to maintain a strong liquidity position while navigating the COVID-19 crisis, including a new € 15.0 billion credit facility. Thanks to its strong credit rating, the Company was able to limit interest expenses to € 0.4 billion for the year and extend the maturities of funding sources by issuing new bonds.
Full-year capital expenditure was around € 1.8 billion, down by about € 0.6 billion year-on-year following the prioritisation of projects. Consolidated free cash flow was € -7,362 million (2019: € 3,475 million). The consolidated net cash position was € 4.3 billion on 31 December 2020 (year-end 2019: € 12.5 billion) with a gross cash position of € 21.4 billion (year-end 2019: € 22.7 billion).
Given the global business environment, there will be no dividend proposed for 2020. This decision aims at strengthening the Company’s financial resilience by protecting the net cash position and supporting its ability to adapt as the situation evolves.
Outlook As the basis for its 2021 guidance, the Company assumes no further disruptions to the world economy, air traffic, the Company’s internal operations, and its ability to deliver products and services. The Company’s 2021 guidance is before M&A.
On that basis, the Company targets to at least achieve in 2021:
Same number of commercial aircraft deliveries as in 2020;
EBIT Adjusted of € 2 billion;
Breakeven free cash flow before M&A and customer financing.
