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Boeing’s October 737 Deliveries Up On Strong Demand

(Reuters) – Boeing Co (BA.N) delivered 43 of its best-selling 737 single-aisle aircraft in October, up from 37 a year ago, helped by strong demand in a booming jet aircraft market and putting it on track for another year of record deliveries.

The planemaker’s total deliveries for the first 10 months of 2018 now stand at 625, up from 610 in the same period a year ago.

Boeing delivered a total of 57 aircraft in October, up from a 56 a year ago, despite a warning from Chief Financial Officer Greg Smith last week that deliveries for the month would be lower than normal while promising numbers would rebound in the final two months of the year.

Boeing is working through a recovery plan dealing with a combination of delays on fuselages, engines and other components, which created a production bottleneck at its Seattle-area plant this summer for the best-selling 737.

The company aims to deliver 810-815 planes in 2018, keeping it ahead of European rival Airbus SE (AIR.PA), which delivered 503 aircraft through September this year.

Shares of the planemaker were marginally up in premarket trading.

(Reporting by Sanjana Shivdas in Bengaluru; Editing by Saumyadeb Chakrabarty)

Image from www.boeing.com

Boeing Issues Advice For Pilots After Indonesia Crash

ZHUHAI, China/WASHINGTON (Reuters) – Boeing Co (BA.N) said on Wednesday it had issued a safety bulletin reminding pilots how to handle erroneous data from a key sensor in the wake of last week’s Indonesian jetliner crash.

The U.S. planemaker said investigators probing the Lion Air crash off the coast of Indonesia, in which all 189 on board were killed, had found that one of the “angle of attack” sensors on the brand-new Boeing 737 MAX jet had provided erroneous data.

Experts say the angle of attack is a crucial parameter that helps the aircraft’s computers understand whether its nose is too high relative to the current of air – a phenomenon that can throw the plane into an aerodynamic stall and make it fall.

Some modern aircraft have systems designed to correct the posture of the aircraft automatically to keep flying safely.

There are also procedures for pilots to follow in the event of missing data from damaged sensors on the fuselage, but it remains unclear how much time the crew of flight JT610 had to respond at the relatively low altitude of around 5,000 feet.

An angle of attack sensor had been changed by mechanics on the ground in Bali the day before the crash, Indonesia’s National Transportation Safety Committee (KNKT) said.

The captain and first officer flying from Bali to Jakarta the night before the crash had indicators displaying differences in angle of 20 degrees, KNKT said, but that flight landed safely despite the issues in the air.

COCKPIT PROCEDURE

Boeing said in a statement received at China’s largest air show in Zhuhai that its note to airlines underscored “existing flight crew procedures” designed to address circumstances where information coming into the cockpit from the sensors was wrong.

The Boeing 737 MAX has three such blade-shaped sensors. Erroneous readings can in some circumstances cause the 737 MAX to point the nose down sharply to keep air under the wings and avoid a stall, according to a person briefed on the matter.

A source said on condition of anonymity that the Boeing bulletin related only to the 737 MAX, of which there are just over 200 in service.

Service bulletins can be followed by mandatory airworthiness directives by the U.S. Federal Aviation Administration.

Boeing has delivered 219 737 MAX jets to customers globally, with 4,564 orders for jets yet to be delivered.

The Boeing 737 MAX is a more fuel-efficient version of the manufacturer’s best-selling single-aisle 737 series.

The Lion Air crash was the first involving the new version, which airlines introduced into service last year.

Indonesian authorities have downloaded information from the flight data recorder that showed a cockpit indicator on the Lion Air jet was damaged for its last four flights.

A search for the cockpit voice recorder, the second so-called “black box”, remains underway.

KNKT said it would attempt to reconstruct the jet’s last flight using Boeing simulators in Seattle. The angle of attack sensor replaced in Bali would be analysed at its place of manufacture in Chicago, the accident investigator said.

(Reporting by Tim Hepher and David Shepardson; Additional reporting by Cindy Silviana in Jakarta, Jamie Freed in Singapore and Allison Lampert in Montreal; Editing by Himani Sarkar)

Image from www.boeing.com

VietJet Signs $6.5 bln Deal For 50 Airbus Jets

HANOI, Nov 2 (Reuters) – VietJet Aviation signed a $6.5 billion agreement on Friday to buy 50 Airbus A321neo jets, the Vietnamese budget carrier said.

The agreement, signed during a visit to Hanoi by French Prime Minister Edouard Philippe, is part of aggressive investment in the Vietnamese airline’s fleet, which has provided lucrative business for both European aerospace group Airbus and its U.S. rival Boeing.

VietJet said the order is in line with its growth strategies and will enhance the airline’s operational efficiency and capacity, especially on international routes.

In addition to the aircraft, Airbus will deploy pilot and technician training programmes and fight management and flight safety management for VietJet.

In a separate statement, VietJet said it had also signed a memorandum of understanding with CFM International on a $5.3 billion deal for long-term jet engine maintenance.

VietJet, Vietnam’s biggest private airline, currently operates 60 Airbus jets with more than 385 flights daily within Vietnam and to countries such as Japan, Hong Kong, South Korea, Taiwan, Singapore, China, Thailand, Myanmar and Malaysia.

CEO Nguyen Thi Phuong Thao told Reuters this week that VietJet plans to maintain an average fleet age of only three years to minimise fuel and maintenance costs.

It placed provisional orders for the A321neo jets and 100 Boeing 737 MAX jets at the Farnborough air show and has been in negotiations to complete the deals, with deliveries expected between 2020 and 2025.

(Reporting by Khanh Vu Editing by David Goodman)

Image from Airbus

Indonesian Searchers Find Lion Air Black Box

JAKARTA, Nov 1 (Reuters) – Indonesian authorities on Thursday retrieved a flight data recorder from a Lion Air jet that crashed and broke apart in shallow sea near the capital, Jakarta, this week, killing all 189 people on board.

The country’s second-deadliest air disaster since 1997 has prompted renewed concern about Indonesia’s patchy aviation safety record, and the government has said Lion Air will face tougher safety regulation.

Investigations into the world’s first crash of a Boeing Co 737 MAX, introduced into commercial service last year, will be scrutinised by the global aviation industry.

“Hopefully, this can unveil the mystery behind the plane crash,” Indonesia’s transportation safety committee chief Soerjanto Tjahjono told a news conference at Jakarta’s main port after receiving the device, known as a black box.

The data it holds should provide clues to what went wrong with the plane, which had only been in service since August.

It lost contact with ground staff just 13 minutes after taking off early on Monday from Jakarta, on its way to the tin-mining town of Pangkal Pinang.

The pilot had asked to return to base shortly after take-off, and ground control officials had approved the request.

A navy diver told broadcaster Metro TV on board a search vessel his team found the orange-coloured box intact in debris on the muddy sea floor.

Indonesia’s transportation safety committee (KNKT) will analyse its data in Jakarta, which could take up to two weeks.

Searchers have yet to find the second black box containing recordings of cockpit conversations. Strong currents have hampered search efforts, complicated by the presence of energy pipelines in the area.

The discovery of the black box may provide some relief to grieving relatives. But hopes are fading of finding a large section of fuselage intact with bodies, easily retrievable, inside.

The commander of the navy divers involved in the search was quoted by the Kompas.com news portal as saying divers had found many bodies. But only one has been identified.

“What is important for us is to get more information about the victims because having their remains back is important for us so we can bury them properly,” said Ade Inyo, whose brother in law was on the flight.

MORE INSPECTIONS, SAFETY REVIEW

The investigation will be carried out with help from Boeing, General Electric and the Federal Aviation Federation, officials have said.

It will also focus on four of Lion Air’s staff including its technical director who were suspended by Indonesia’s transportation ministry on Wednesday amid speculation the aircraft was not airworthy.

“For now, we will focus on two primary causes,” KNKT deputy chief Haryo Satmiko told Reuters, referring to equipment and the people who flew, maintained and managed the aircraft.

The transport ministry suspended for 120 days Lion Air’s maintenance and engineering director, fleet maintenance manager and the release engineer who gave the jet permission to fly on Monday, it said in a press release.

Founded in 1999, the privately owned budget carrier’s aircraft have been involved in at least 15 safety incidents and it has faced tougher international safety restrictions than other Indonesian airlines.

It will now be subjected to more intensive “on ramp” inspections compared with other airlines, authorities said.

President Joko Widodo has also ordered a review of all regulations relating to flight safety.

Indonesia is one of the world’s fastest-growing aviation markets. Its transportation safety committee investigated 137 serious aviation incidents from 2012 to 2017.

Lion Air said the aircraft that crashed had been airworthy and the pilot and co-pilot had 11,000 hours of flying time between them.

But according to the transport safety committee, the plane had technical problems on its previous flight on Sunday, from the city of Denpasar on the resort island of Bali, including an issue over “unreliable airspeed”.

Lion Air chief executive Edward Sirait has acknowledged reports of technical problems with the aircraft, but said maintenance had been carried out “according to procedure” before it was cleared to fly again.

Lion Air’s only other fatal accident was in 2004, when an MD-82 crashed upon landing at Solo City, killing 25 of the 163 people on board, according to the Flight Safety Foundation’s Aviation Safety Network.

In April, the airline announced a firm order to buy 50 Boeing 737 MAX 10 narrowbody jets with a list price of $6.24 billion. It is one of the U.S. planemaker’s largest customers globally, and was the first carrier globally to take delivery of the 737 MAX last year.

(Reporting by Jakarta bureau Writing by Fergus Jensen and Ed Davies Editing by Clarence Fernandez, Robert Birsel)

Lion Air 737 Crashes In Java Sea With 188 Passengers Aboard

JAKARTA (Reuters) – A Lion Air flight with at least 188 people on board is believed to have sunk after crashing into the sea off Indonesia’s island of Java on Monday, shortly after take off from the capital on its way to the country’s tin-mining hub, officials said.

A spokesman for Indonesia’s search and rescue agency said the Lion Air flight, JT610, lost contact 13 minutes after takeoff, adding that a tug boat leaving the capital’s port had seen the craft falling.

“It has been confirmed that it has crashed,” the spokesman, Yusuf Latif, said by text message, when asked about the fate of the Lion Air plane, which air tracking service Flightradar 24 identified as a Boeing 737 MAX 8.

Debris thought to be from the plane, including aircraft seats, was found near an offshore refining facility, an official of state energy firm Pertamina said.

Wreckage had been found near where the Lion Air plane lost contact with air traffic officials on the ground, said Muhmmad Syaugi, the head of the search and rescue agency.

“We don’t know yet whether there are any survivors,” Syaugi told a news conference. “We hope, we pray, but we cannot confirm.”

Flight JT610 took off around 6.20 a.m. and was due to have landed in the capital of the Bangka-Belitung tin mining region at 7.20 a.m., the Flightradar 24 website showed.

“We cannot give any comment at this moment,” Edward Sirait, chief executive of Lion Air Group, told Reuters, adding that a news conference was planned for later on Monday. “We are trying to collect all the information and data.”

Preliminary flight tracking data from Flightradar24 shows the aircraft climbed to around 5,000 feet (1,524 m) before losing, and then regaining, height, before finally falling towards the sea.

It was last recorded at 3,650 feet (1,113 m) and its speed had risen to 345 knots, according to raw data captured by the respected tracking website, which could not immediately be confirmed.

Its last recorded position was about 15 km (9 miles) north of the Indonesian coastline, according to a Google Maps reference of the last coordinates reported by Flightradar24.

The accident is the first to be reported that involves the widely-sold Boeing 737 MAX, an updated, more fuel-efficient version of the manufacturer’s workhorse single-aisle jet. The first Boeing 737 MAX jets were introduced into service in 2017.

Lion Air’s Malaysian subsidiary, Malindo Air, received the very first global delivery.

Boeing is aware of the airplane accident reports and is “closely monitoring” the situation, it said on social network Twitter.

Reporting by Augustinus Beo Da Costa and Ciny Silviana; Additional reporting by Jamie Freed in SINGAPORE and Tim Hepher in HONG KONG; Writing by Ed Davies; Editing by Clarence Fernandez

Norwegian Air To Possibly Sell Its Airbus Aircraft

By Ole Petter Skonnord

OSLO (Reuters) – Norwegian Air (NWC.OL) expects to announce further aircraft sales by the end of the year including used Boeing 737s as well as some of the new Airbus planes it has on order to reduce it debt commitments.

Norwegian Air has committed to acquire 210 new aircraft from Boeing and Airbus by 2020.

“We have 90 neos (A320neo) from Airbus on order. The Airbus 320neos are for all practical purposes for sale. We have started a process where we will try to find a new home for those aircraft,” Chief Financial Officer Geir Karlsen told an investor presentation on Tuesday.

“The problem is not to sell them … but to get the price we want … Hopefully by the end of the year we should be able to disclose news on a transaction,” Karlsen said.

By the end of the year, Karlsen estimated Norwegian Air’s fleet of more than 150 planes to rise to 164-165. Taken into account planned aircraft sales, he said he expected a net increase in the fleet of 30-40 new Boeing 737 MAX aircraft by 2022-2023.

Of its Airbus aircraft on order, 33 of them are Airbus 321LR(long range) neos, which could be kept, depending on traffic development in Argentina.

“We are pretty excited about what we are doing in Argentina and depending on how that goes we will decide on the solution on the Airbus 321 and will possibly move some of them to Argentina,” Karlsen said.

ARGENTINA LAUNCH

He said Norwegian Air started to sell tickets in Argentina on Tuesday on two routes linking Buenos Aires with Cordoba and Mendoza.

The first flight is planned in mid-October and the plan is to have 4 aircraft in Argentina by year-end.

“We will look at ticket sales before we decide what to do,” Karlsen said.

Last week Norwegian Air announced the sale of six used aircraft and said as many as 140 planes could be sold over time as a part of the renewal of its fleet and to help reduce debt.

Karlsen said sales of used aircraft would continue.

Such sales would “probably to be sold plus/minus book value as it looks now. Hopefully a little bit above,” Karlsen said.

(Reporting by Ole Petter Skonnord; editing by Jason Neely)

Image from www.norwegian.com

Norwegian Air Sells 6 Boeing Aircraft

OSLO (Reuters) – Norwegian Air (NWC.OL) has sold six Boeing 737-800 airliners as part of fleet renewal plans that could see it sell up to 140 planes.

“The prices are well above the debt on the aircraft,” Chief Financial Officer Geir Karlsen told Reuters on Thursday, without disclosing numbers.

The sales proceeds will be used to repay debt and increase liquidity.

Norwegian Air has a fleet of more than 150 aircraft and has commitments to acquire a further 210 by 2020 as it looks to rapidly expand in Europe and on transatlantic routes.

Its aircraft commitments are worth $12.36 billion (9.50 billion pounds), Norwegian Air said in a June rights issue prospectus.

With an equity ratio at the end of June of just 7 percent, the plan is to ease its commitments going forward.

“We have said we will renew our fleet and sell our oldest aircraft. We have 22 Boeing 737NG and they are a target to be changed with new Boeing 737 MAX aircraft.”

“In addition we have a big order at Airbus which can be used by us or they could be sold or taken out of our balance sheet and leased out.

“In theory we could sell as many as 140 aircraft,” Karlsen said.

Norwegian Air has made huge aircraft orders on favourable terms with Boeing and Airbus, according to Espen Andersen, associate professor at BI Norwegian Business School.

“These orders are taking up a lot of capacity at Boeing and Airbus. Other airlines could be at risk of not getting the aircraft they need.

“Airlines or leasing firms could buy aircraft from Norwegian Air. The leasing firms are very liquid,” Andersen said.

(Reporting by Ole Petter Skonnord; editing by Jason Neely)

Boeing Welcomes Virgin Australia as 737 MAX 10 Customer

Story from PR Newswire August 29, 2018

SEATTLEAug. 29, 2018 /PRNewswire/ — Boeing [NYSE:BA] and the Virgin Australia Group [ASX:VAH] announced the airline is adding the largest and most efficient member of the 737 MAX family to its growing single-aisle fleet. The carrier has converted ten orders for the 737 MAX 8 for the larger MAX 10 variant.

The airline, which has a number of 737 MAX 8s on order, said it saw the value of adding the MAX 10 to the mix as the aircraft will provide additional capacity and flexibility.

Virgin Australia Group Chief Financial Officer Geoff Smith said, “We are pleased to be welcoming the 737 MAX 10 aircraft into our expanding fleet in 2022. The addition of the 737 MAX 10 will provide us with additional flexibility and capability to support our network and operations. We are proud to become Australia’s first operator of the 737 MAX and we look forward to the opportunities that operating this type of aircraft will open up to us.”

With its headquarters in Brisbane, Australia, the Virgin Australia Group is the country’s second-largest airline with a fleet of more than 130 aircraft. The Next-Generation 737 has formed the backbone of the Group’s fleet with more than 80 currently in operation and the 737 MAX is expected to bolster the Group’s fleet.

“We are excited to expand our partnership with the Virgin Australia Group as they look to introduce the 737 MAX 10 in to their world-class fleet,” said Ihssane Mounir, senior vice president of Commercial Sales and Marketing, The Boeing Company. “The MAX 10 will provide the airline with added capabilities, especially with the extended range and efficiency, to better support their fleet and network.”

The MAX 10 is the largest member of the 737 MAX aircraft family. The airplane will offer operators the lowest cost per seat mile of any commercial aircraft[1] and fly 200 nautical miles (370.4 km) farther than today’s Next-Generation 737s. This extended range means that the 737 MAX 10 will be able to cover 99 percent of single-aisle routes around the world.

Virgin Australia joins more than 20 customers who have placed over 500 orders and commitments for the MAX 10. In all, the 737 MAX is the fastest-selling airplane family in Boeing history, having attracted more than 100 customers and nearly 4,700 orders. For more information and feature content, visit www.boeing.com/commercial/737max

Virgin Australia also uses Boeing Global Services’ digital portfolio to enhance its operations. It employs products and services such as Airplane Health Management, FliteDeck Pro, Optimized Maintenance Program and Maintenance Performance Toolbox to improve operational efficiency.

Jet Airways Buys 75 additional Boeing 737 Max Jets

NEW DELHI (Reuters) – Jet Airways Ltd said on Monday it has agreed with Boeing Co to purchase 75 of its 737 MAX aircraft, as the Indian carrier expands to meet domestic passenger demand in the world’s fastest-growing aviation market.

Jet, India’s biggest full-service carrier, said in a regulatory filing it had entered an agreement to buy the aircraft, but it did not say whether the agreement was a formal order or a non-binding memorandum of understanding.

This is the third agreement Jet Airways has entered into for Boeing’s 737 MAX narrowbody jets over the last one year, taking the total to 225 aircraft. The Indian airline signed firm orders for 75 planes each in October and April.

Based on Boeing’s list prices, the latest deal could be worth as much as $9.7 billion depending on which 737 MAX the airline chooses. Airlines usually get significant discounts from manufacturers though, bringing costs well below list prices.

The 737 MAX can seat between 130 and 230 passengers, depending on the variant.

The latest agreement comes as Indian airlines rush to expand fleets to meet ever-increasing demand for domestic as well as international flights, making it one of the most targeted sales markets for Boeing and European rival Airbus SE.

Boeing said in July last year it expected Indian airlines to order up to 2,100 aircraft worth $290 billion over the next 20 years, calling it the highest-ever forecast for Asia’s third-largest economy.

Domestic passenger traffic in India has grown at more than 20 percent annually in the last few years despite a lack of infrastructure and air traffic congestion at some of its busiest airports such as Delhi and Mumbai.

(By Aditi Shah, additional reporting by Aby Jose Koilparambil in Bengaluru; Editing by Raju Gopalakrishnan and Louise Heavens)

Photo from: www.boeing.com

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