Tag: jet (Page 13 of 32)

Airbus Faces Delivery Challenge, Poised to Win Jet Order Race

December 5, 2019 / WIL BALDWIN

PARIS, Dec 5 (Reuters) – Airbus must hand a record number of aircraft to customers in December to meet delivery goals, company data showed on Thursday, and is all but certain of winning an annual order race against Boeing.

The European planemaker has been facing production snags in its best-selling A321neo jet, due in part to the introduction of a complex new flexible cabin, but has said it is confident of meeting a goal of 860 jets in 2019, revised down from 880-890.

To reach that target it must deliver 135 jets in December, beating a previous record of 127 December deliveries by 6%.

Airbus delivered 77 aircraft in November to reach 725 for the year so far, according to Thursday’s progress report.

Airbus has a track record of achieving a late surge in deliveries, though it is also working to spread deliveries more evenly over the year in future to smooth earnings and avoid quality problems that can creep in when it is working flat out.

Whether or not it meets targets, Airbus is set to regain the crown as the world’s largest commercial plane producer this year as U.S. rival Boeing approaches nine months without deliveries of its 737 MAX, grounded after two crashes.

Boeing is expected to jump back into the lead next year as projected deliveries include 737 MAX jets parked during the grounding, while remaining ahead on larger jets, but the timing of the 737 MAX return to service depends on global regulators.

Airbus is also on course to win an annual order contest between the plane giants after booking orders for 222 aircraft in November, driven mainly by last month’s Dubai Airshow.

Emirates ordered 50 A350-900 jets at the show as part of a fleet shake-up that also saw the world’s largest wide-body operator cut a remaining order for A380s and reduce its requirement for Boeing 777X jets, while adding the Boeing 787.

Airbus sold a total of 940 jets in January-November, or 718 after cancellations, leaving it well ahead of Boeing, whose year has been derailed by the grounding of the 737 MAX. In the latest period for which data is available, Boeing sold 180 jets in the first nine months or 45 after cancellations.

The latest figures were released days after Airbus won a sale of 50 A321XLR jets to United Airlines, narrowing the potential market for a mid-market plane that Boeing has been studying, while slowing those discussions during the MAX crisis.

United also delayed delivery of 45 A350s by several years to 2027 and beyond. UK analysts Agency Partners said on Thursday that this could put pressure on A350 output in coming years.

(Reporting by Tim Hepher; Editing by Giles Elgood and Andrew Heavens)

Brazil Association Takes Fight Against Embraer-Boeing Deal to Europe

December 5, 2019 / WIL BALDWIN

BRUSSELS, Dec 5 (Reuters) – An association representing minority investors in Brazil is lobbying European antitrust regulators to spike a deal between planemakers Embraer SA and Boeing Co, calling it a killer acquisition.

Aurelio Valporto, the head of minority investor association Abradin, said the European Commission should block Boeing’s proposed $4.2 billion purchase of 80% Embraer’s commercial passenger jet division or demand hefty concessions.

“What will be left from Embraer won’t survive, and even if it was possible to survive, Embraer wouldn’t be able to produce any aircraft with 50 passengers or more,” Valporto said in an interview late on Wednesday, arguing that Embraer and Boeing planes compete in the marketplace.

Embraer’s commercial jet division focuses on the 70 to 150-seat segment, competing directly with the CSeries jets designed by Bombardier Inc, a division that was bought by Europe’s Airbus SE.

Boeing aims to take control of Embraer’s commercial jet business, its most profitable, to compete directly with Airbus in the market for planes with fewer than 150 seats.

Embraer said in a statement on Thursday that the deal will “serve the interests of shareholders by enabling Embraer to expand markets and increase sales.” The deal was backed by around 97% of Embraer’s shareholders earlier this year.

Valporto complained about the deal to the European Commission two months ago, saying it hurt competition in the Brazilian aerospace industry, and on Wednesday took his grievance to antitrust officials in Brasilia.

The deal has already been approved by regulators in the United States, China and Japan. If it closes, Embraer will receive dividends from its remaining 20% stake in the commercial jet business, but will have to rely more heavily on its business jets and defense divisions to turn a profit. Those two divisions have posted losses in recent quarters.

The European Commission, which launched a full-scale investigation into the deal in October, declined to comment.

Boeing said it and Embraer had been engaged with the European Commission and other global regulatory authorities since late last year.

“We continue to co-operate with the European Commission and CADE as they assess our transaction and look forward to a positive resolution,” a spokesman for the company said.

The EU has voiced concerns the deal would remove Embraer, the world’s third-largest commercial aircraft maker, from the industry, an indication that it may demand significant concessions from Boeing.

The EU regulator halted its investigation last month while waiting for Boeing to submit data on the deal.

(Reporting by Foo Yun Chee in Brussels Additional reporting by Marcelo Rochabrun in Sao Paulo Editing by Kirsten Donovan and Matthew Lewis)

United Orders 50 New Airbus Long-Range Jets to Replace Boeing 757’s

December 3, 2019 / WIL BALDWIN

CHICAGO, Dec 3 (Reuters) – United Airlines Holdings Inc announced on Tuesday an order for 50 Airbus SE A321XLR jets to fly between the U.S East Coast and Europe, becoming the latest U.S. airline to ink a deal for the European planemaker’s new passenger jet.

The long-range A321XLR jets will replace United’s 53 Boeing 757-200 planes beginning in 2024, the Chicago-based planemaker said, flying to cities like Porto, Portugal and other potential new destinations.

United’s 757 planes will reach the end of their lifespan in about a decade and Boeing Co is not building any more of the large single-aisle model.

Instead, the U.S. planemaker has been considering a new twin-aisle plane, provisionally known as the NMA, but has delayed a launch decision until 2020 while it manages the ongoing global grounding of its 737 MAX jets following two fatal crashes.

United’s chief operating officer Andrew Nocella told reporters the airline has worked closely with Boeing on the potential new aircraft and is still open to orders if the planemaker decides to move forward with developing the NMA.

Meanwhile, U.S carriers including American Airlines Group Inc, JetBlue Airways Corp and Spirit Airlines Inc have agreed orders for Airbus A320neo-family jets.

Among the benefits of the A321XLR is a 30% lower fuel burn per seat compared to previous generation aircraft, United said.

United has also ordered the larger A350 widebody jets but said it is deferring delivery of those jets until they are needed in 2027.

Its A321XLR order is the second for a U.S. carrier following tariffs that the United States is imposing on European-made aircraft.

(Reporting by Tracy Rucinski Editing by Chris Reese and Michael Perry)

Ryanair Tries to Delay Operations Chief’s Flight to easyJet

December 2, 2019 / WIL BALDWIN

FILE PHOTO: Chief Operating Officer Bellew of Ryanair attends a news conference in Frankfurt

DUBLIN (Reuters) – Ryanair <RYAAY> heads to court on Tuesday to try to prevent operations chief Peter Bellew from joining arch-rival easyJet <ESYJY> until 2021.

Europe’s biggest budget airline said in July that the former Malaysia Airlines boss would step down at the end of the year.

But after easyJet announced Bellew’s appointment as its new chief operations officer a week later, Ryanair launched legal proceedings in Ireland’s High Court.

Ryanair argues that all its senior executives commit to non-compete clauses barring them from joining a competitor for 12 months after leaving the Irish airline.

Ryanair boss Michael O’Leary told reporters in September that the only issue was whether Bellew, who is currently working out his notice, can join easyJet on Jan. 1, 2020, or Jan. 1, 2021, a full 18 months after easyJet announced his appointment.

An easyJet spokeswoman declined to comment on the case. Bellew has not commented on the case since Ryanair initiated proceedings.

O’Leary has said the timing of Bellew’s switch is sensitive because of the problems Ryanair is currently having with Boeing’s <BA> grounded 737 MAX jet, which have slowed down its growth plans.

Ryanair is one of Boeing’s biggest customers for the MAX 737, with 210 on order, and the airline said last month it expected a further delay to deliveries that could leave it without the new jets next summer.

Bellew left his role as CEO of Malaysia Airlines two years ago to return to Ryanair where he was director of flight operations before leaving for Kuala Lumpur in 2014.

Tasked with tackling a pilot revolt that resulted in Ryanair’s first ever strikes, Bellew has helped patch up relations with staff and agree deals on pay and conditions with trade unions that have quelled the unrest.

An Irish national, Bellew described his return to Ryanair in 2017 as “a form of national service” to help what he described as Ireland’s greatest company. Some observers had seen Bellew as a possible future Ryanair chief executive.

(Reporting by Padraic Halpin; Editing by Mark Potter)

General Dynamics Begins Gulfstream G500 Deliveries to Europe

November 25, 2019 / WIL BALDWIN

Record-Breaking Fleet Grows Around the World

RESTON, Va., Nov. 25, 2019 /PRNewswire/ — General Dynamics (NYSE: GD) announced today that the Gulfstream G500 has been delivered to its first European customer. An undisclosed Western-Europe-based charter operator took delivery of the aircraft at Gulfstream Aerospace headquarters in Savannah, Georgia.

The G500 earned certification from the European Union Aviation Safety Agency on Oct. 11 and is in service in North America, Brazil, the Middle East and Europe.

“We are excited about making G500 deliveries to Europe,” said Mark Burns, president, Gulfstream. “Since the introduction of the jet in 2014, customers around the world remain impressed and enthusiastic about the innovative cabin, next-generation technology, including the award-winning Symmetry Flight Deck, and high performance, speed and range capability of the aircraft. As the G500 fleet continues to grow in Europe, and around the world, its advanced technology raises the bar for business aviation.”

The G500 can travel 4,400 nautical miles/8,149 kilometers at Mach 0.90 and 5,200 nm/9,630 km at Mach 0.85. Its Symmetry Flight Deck features the first electronically linked active control sidesticks in civil aviation, the most extensive use of touchscreen technology in business aviation and a data concentration network, all of which streamline operations and reduce pilot workload.

Passengers also benefit from technology in the cabin. Along with award-winning, bespoke interior design, the G500 offers the Gulfstream cabin experience of 100 percent fresh air, 14 Gulfstream panoramic windows, a low cabin altitude and whisper-quiet sound levels.

Binter Airlines Receives Its First Embraer E195-E2 Jet

November 23, 2019 / WIL BALDWIN

São José dos Campos, November 21, 2019 – Binter of Spain celebrates the incorporation of the first E195-E2 jet into its fleet at a ceremony held today at Embraer’s main facility in São José dos Campos. The airline is the first European customer to receive the biggest of the three members of the E-Jets E2 family of commercial aircraft. Binter has placed firm orders for five E195-E2s.

“We’re extremely proud to deliver the first E195-E2 in Europe to such an accomplished regional airline. Binter will showcase the very best of the airplane as it expands its network to more cities,” said John Slattery, President & CEO, Embraer Commercial Aviation.

“Today´s event is very special for all of us, who are part of Binter. This Embraer E195-E2 aircraft is an important step in the history of our company that will become as well a jet operator. This new milestone, which coincides with the celebration of the 30th anniversary of Binter, adds more advances to the ones that we have made in recent years, and that help to pursue our main objective: the improvement of the connecting of the Canary Islands, both inter-island and with external destinations,” said Binter’s President, Pedro Agustín del Castillo.

The acquisition of the E195-E2s is part of Binter’s overall fleet modernization initiative. Each aircraft is configured with 132 seats in single class. The new aircraft will be deployed across a route network that includes eight cities in the Canary Islands, nine cities in Africa and two in Portugal. Last year, Binter carried 3.6 million passengers.

In April, the E195-E2 received its Type Certificate from three regulatory authorities: ANAC, the Brazilian Civil Aviation Agency (Agência Nacional de Aviação Civil); the FAA (U.S. Federal Aviation Administration) and EASA (European Aviation Safety Agency).

Flight tests confirmed that the aircraft is better than its original specification. Fuel consumption is 1.4% lower than expected – that’s 25.4% less fuel per seat compared to the current-generation E195. Maintenance costs are 20% lower. The E195-E2 is the most environmentally-friendly aircraft in its class, having the lowest levels of external noise and emissions. The cumulative margin to ICAO Stage IV noise limit ranges from 19 to 20 EPNdB, 4.0 EPNdB better than its direct competitor.

Like the E190-E2, the E195-E2 has the longest maintenance intervals in the single-aisle jet category with 10,000 flight hours for basic checks and no calendar limit for typical E-Jet operations. This means an additional 15 days of aircraft utilization over a period of ten years compared to current generation E-Jets.

The E195-E2 features new ultra-high bypass ratio engines, a completely new wing, full fly-by-wire controls and new landing gear. Compared to the first-generation E195, 75% of aircraft systems are new. The E195-E2 has 3 additional seat rows. The cabin can be configured with 120 seats in two classes, or up to 146-seats in a single class layout.

Embraer is the world’s leading manufacturer of commercial aircraft up to 150 seats with more than 100 customers from all over the world. For the E-Jets program alone, Embraer has logged more than 1,800 orders and 1,500 aircraft have been delivered. Today, E-Jets are flying in the fleets of 75 customers from 50 countries. The versatile 70 to 150-seat family is flying with low-cost airlines as well as with regional and mainline carriers.

Jet Industry’s Grand Masters Fight to a Draw in Dubai

November 22, 2019 / WIL BALDWIN

Boeing 787 Dreamliner performs air display during the second day of Dubai Air Show in Dubai

DUBAI (Reuters) – After insisting for 15 years that the superjumbo is the future, Emirates airline has been forced by the demise of the A380 to embrace smaller wide-body jets, resulting in a flurry of maneuvers between planemakers at this week’s Dubai Airshow.

The 555-seat A380 is near the end of production, setting off a series of interlocking deals as top buyer Emirates reviews its fleet against the backdrop of fragmenting travel demand. Delays in the 406-seat Boeing 777X also weighed in the shake-up.

“We have to face the reality of the cancellation of the (A380) program and the effect it has on our network, which is why we conducted a root and branch (review),” Emirates President Tim Clark told reporters at the airshow.

The double-decker A380 superjumbo and the big twin-engined Boeing 777, plus mid-sized 787s and A350s, were all spread out in front of VIP chalets – the queens, bishops and knights in a game of industry chess being played out across the globe.

Big jets tend to be profitable especially when full.

Periodically, the industry designs smaller planes that match both the range and efficiency of larger ones, allowing smaller pieces on the industry chess board to topple larger ones.

While reducing its remaining orders for A380s, Emirates placed an expanded order at the show for 50 Airbus A350s but shelved earlier plans to order the 330-seat A330neo, an upgrade of an earlier model.

It substituted part of an order for delayed 777X jets for 30 Boeing 787-9 Dreamliners – 10 fewer than originally planned in a tentative 2017 order – as part of a $25 billion order shake-up.

For passengers, the roughly 300-seat, lightweight mid-sized jets offer more choice and frequencies.

Many airlines say they can fly almost as profitably as the larger models but with less risk to the bottom line.

The downside? Planes fill more quickly and passengers can flee to other carriers. Airport congestion is also a concern.

Emirates insists the superhub model it pioneered – which takes advantage of Dubai’s location to capture global traffic using large aircraft – remains intact despite the new twist.

But the smaller planes allow some of its rivals to fly profitably with fewer commercial risks and this week’s deals imply Emirates no longer feels immune from such pressure.

“Given the changed environment, Emirates has been forced to adapt the tactics of some of the carriers they have been competing with,” said analyst Richard Aboulafia of Teal Group.

STALEMATE

The shift sparked frantic talks by planemakers to ensure their models were included in the new mix of Emirates’ mid-sized jets. Each suffered losses but the result was broadly a stalemate, analysts said.

Airbus suffered a setback with the loss of the A330neo at Emirates and may have to cut output, they said.

But it ensured its own A350 picked up the slack and won a ticket to any future contests to replace A380s still in service.

Boeing <BA.N> cemented a key win for the 787 after two years of uncertainty over the earlier provisional deal. But recent 777X delays opened the door to Emirates readjusting the blend in favor of the Airbus A350, at the expense of the 787.

Emirates’ decision to expand its A350 order coincided with cancellations for the same jet at Abu Dhabi’s struggling Etihad, prompting speculation of a politically balanced adjustment.

Airline officials strongly denied any link and Clark said planners had identified more room for future growth in revenues with the A350 than the A330neo, which would nonetheless remain “in the mix” for the future alongside more 777X purchases.

Analysts said the net result of reducing A380 and 777X orders and switching to smaller models was about 18,000 fewer seats on order than previously planned before the show,

which some analysts described as a response to overcapacity.

“Manufacturers have sold too many airplanes,” Adam Pilarski, senior vice-president at consultancy AVITAS, said.

While the spotlight fell on the Emirates wide-body order rejig, the Dubai show highlighted Boeing’s efforts to shore up confidence in its grounded 737 MAX with fresh sales and changes sweeping the narrow-body markets. Beefed-up single-aisle jets increasingly cover distances reserved for wide-bodies.

Sharjah’s Air Arabia <AIRA.DU> ordered 120 Airbus including 20 of the long-range 200-240-seat A321XLR. Sources say it may leapfrog northern Africa to fly non-stop as far as Casablanca, a mission currently served from neighboring Dubai by an Emirates A380.

“The single aisles are the pawns of the industry but very effective ones,” Rob Morris, head consultant at UK-based Ascend by Cirium, said.

(By Tim Hepher and Alexander Cornwell; Additional reporting by Ankit Ajmera; Editing by Susan Fenton)

Emiratis walk past an airbus A350 displayed at the Dubai Airshow on November 8, 2015. Dubai Airshow took off today to a slow start amid little expectations of major orders to match the multi-billion-dollar sales generated at the last edition of the biennial fair. AFP PHOTO/MARWAN NAAMANI (Photo by MARWAN NAAMANI / AFP)

Chinese Antitrust Regulator Approves Boeing-Embraer Deal

November 21, 2019 / WIL BALDWIN

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BRASILIA (Reuters) – A Chinese antitrust regulator has approved Boeing Co’s <BA> deal to buy a controlling stake in the commercial jet division of Brazilian planemaker Embraer <ERJ>, according to a statement on the regulator’s website.

The Boeing-Embraer deal appears on a list dated Nov. 19 of transactions “approved unconditionally” that is posted to the website of the Chinese State Administration for Market Regulation’s anti-monopoly department.

The document gives no further details, only saying that the case was adjudicated 10 days earlier on Nov. 9.

Boeing, the world’s largest planemaker, has been seeking to finalize its purchase of 80% of Embraer’s commercial jet division in a bid to compete with Europe’s Airbus <AIR.PA> in the market for planes with fewer than 150 seats.

China’s approval comes as EU regulators have delayed a decision until both companies provide additional documents, which Embraer has said it is trying to do as soon as possible.

The companies originally said they expected to close the deal this year.

(Reporting by Jake Spring; Editing by Bill Berkrot)

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Tunisair Express Receives First ATR 72-600

November 19, 2019 / WIL BALDWIN

Airline prioritises passenger experience and connectivity with fleet upgrade

Toulouse, 19 November, 2019 – World number one regional aircraft manufacturer ATR, just delivered the first of three ATR 72-600 aircraft to Tunisair Express. The Tunisian airline will use these aircraft to renew its regional fleet providing passengers with essential connectivity both domestically and internationally. The latest generation ATR 72-600 burns 40% less fuel and emits 40% less CO2 compared to a similarly sized regional jet.

By upgrading to the ATR -600 series, the airline has also chosen to prioritise the comfort of its passengers, introducing the latest generation 18” wide seats and the Cabinstream In-Flight Experience, allowing passengers to access a variety of content on their personal electronic devices.

Tunisair Express Director General, Yosr Chouari, said: “We are looking forward to introducing this new ATR aircraft with the latest comfort and technology to our passengers, with this first delivery marking an important step in our fleet renewal. Regional aviation provides essential connectivity for Tunisia and the unbeatable economics of the ATR 72-600, together with the best cabin, make it perfect for both our domestic and international operations.”

ATR Chief Executive Officer, Stefano Bortoli, commented: “As the leading regional aviation manufacturer, we understand how tough it can be for regional airlines. That is why we do everything that we can to support our clients and operators, ensuring that each innovation we introduce adds value in either the cockpit or the cabin and their bottom line. It is a clear recognition that when an airline wants to put its passengers first, the ATR is selected as the best aircraft for the job.”

ATR’s Market Forecast sees a demand for 350 new turboprops over the next 20 years for the Africa and Middle-East region. Regional aviation provides essential connectivity around the world. A 10% increase in regional flights generates additional increases of 5% in tourism, 6% in regional GDP and 8% foreign direct investment. Turboprops are key in connecting communities around the world: 36% of all commercial airports rely exclusively on turboprops and 50% rely, also exclusively, on regional aircraft.

Boeing to Give Southwest Board 737 MAX Update This Week

November 18, 2019 / WIL BALDWIN

FILE PHOTO: A number of grounded Southwest Airlines Boeing 737 MAX 8 aircraft are shown parked at Victorville Airport in Victorville, California

CHICAGO (Reuters) – Boeing Co <BA> this week will present to the board of its largest 737 MAX customer, Southwest Airlines Co <LUV>, an overview of its plans to return the grounded jet to service, a spokesman for the airline said on Monday.

The meeting on Wednesday and Thursday comes after Southwest Chief Executive Gary Kelly said last month that the airline could look next year at diversifying its fleet beyond Boeing 737 aircraft. Budget-friendly Southwest has structured its business model around flying only 737 aircraft for the past 50 years and bet its entire growth strategy on the 737 MAX, the latest iteration of Boeing’s narrowbody workhorse.

With the MAX parked since mid-March following crashes on Lion Air and Ethiopian Airlines that together killed 346 people, Southwest has had to scale back its growth plans and cancel north of 100 daily flights, wiping $435 million from its earnings between January and September.

Kelly, who is also Southwest’s chairman of the board, invited Boeing to address the timing and logistics of dozens of 737 MAX deliveries that it was supposed to receive this year. The meeting will also give Boeing a chance to defend its product and the steps it is taking to restore public confidence after the two fatal crashes, sources said.

“It’s an overview of the Return to Service Plan, timing, and plans moving forward,” Southwest spokesman Chris Mainz said. “Just a good chance for our Board to hear directly from Boeing, but nothing more to it than that.”

It is not the first time that Boeing has presented to a regularly scheduled board meeting, he said.

Southwest had 34 MAX jets in its fleet when global regulators grounded the aircraft in March. The airline was supposed to receive 41 more 737 MAX planes before the end of the year, but most of those deliveries are now scheduled for 2020.

Hundreds of undelivered 737 MAX jets are parked at Boeing facilities in Washington state, where the planemaker is facing a delivery logjam once the U.S. Federal Aviation Administration gives approval for them to fly commercially.

While Boeing is targeting approval in December, the FAA has pushed back on any fixed timeline.

Southwest has removed the 737 MAX from its flying schedule until early March. The airline has said it will need one to two months to train its pilots and prepare the jets for flight once regulators approve new software and pilot training.

(Reporting by Tracy Rucinski in Chicago; Additional reporting by Tim Hepher in Dubai; Editing by Matthew Lewis)

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