Tag: production (Page 16 of 17)

Emirates Profit Hit by High Fuel Costs, Strong Dollar

May 9, 2019 / WIL BALDWIN

DUBAI (Reuters) – Emirates will “work smart and hard” to improve its performance after the Gulf airline’s profit hit a decade low as soaring fuel costs and a strong dollar took a toll on earnings, while passenger growth stalled.

After years of growth, during which it has become one of the world’s biggest airlines as other long-established national carriers have struggled, Dubai-based, state-owned Emirates warned last week profit would be lower than previous years.

It revealed just how badly it had fared on Thursday, reporting a 69 percent fall in net profit to 871 million dirhams ($237 million) in the year to March 31.

Meanwhile, the number of passengers flying Emirates rose 0.2 percent to 58.6 million, its weakest growth rate in at least 15 years, while cargo increased 1.4 percent to 2.7 million tonnes.

Chairman Sheikh Ahmed bin Saeed al-Maktoum said in a statement that the year had been “tough”, with higher oil prices, a strong dollar and stiffer competition, adding “our performance was not as strong as we would have liked”.

While revenue at the airline rose 6 percent to 97.9 billion dirhams, its profit fell to its lowest level since 2009. And profit at Emirates Group, which includes other units, fell 43.7 percent to 2.3 billions dirhams, its lowest since 2012.

Despite the profit fall, Emirates said it will pay the Investment Corporation of Dubai a dividend of 500 million dirhams for the year.

“SMART AND HARD”

Sheikh Ahmed said it was difficult to predict the year ahead but Emirates would “work smart and hard to tackle the challenges and take advantage of the opportunities.”

Unfavorable currency moves in key markets cost Emirates $156 million, while operating costs rose 8 percent with the airline recording its biggest ever fuel bill of 30.8 billion dirhams.

Emirates filled an average of 76.8 percent of passenger seats, slightly lower than the previous year, while increasing the number of available seats by 4 percent.

Fare increases helped Emirates register a 3 percent increase in passenger margin, despite it filling fewer seats.

The number of airline employees fell by 2,074, or 3.3 percent. Overall group workforce rose 1.9 percent to 105,286.

Emirates agreed with Airbus in February to cancel dozens of A380 orders and buy smaller A350’s and A330’s as the planemaker scrapped production of the world’s largest passenger jet.

Emirates, which will take 14 more A380’s between this year and the end of 2021, is developing a new route network for a fleet that will include smaller aircraft, it said last week.

Reporting by Alexander Cornwell; Editing by Kirsten Donovan and Alexander Smith

FILE PHOTO: Emirates Airline Boeing 777-300ER planes are seen at Dubai International Airport in Dubai, United Arab Emirates February 15, 2019. REUTERS/Christopher Pike/File Photo

Bombardier Sells Five Learjet 75’s to Undisclosed Customer

May 8, 2019 / WIL BALDWIN

May 7, 2019 – Montréal Bombardier Inc., Business Aircraft, Press Release

Value of Learjet 75 transaction an estimated US$69 million based on 2019 list prices
Learjet 75 aircraft features the quietest and most private cabin in its class, an eight-seat double club configuration, a smooth ride and the only flat floor in the light jet category
Bombardier’s Learjet fleet recently celebrated 25 million flight hours

Bombardier today announced that an undisclosed customer has purchased five industry-defining Learjet 75 aircraft. The transaction is valued at approximately US$69 million dollars based on 2019 list prices.

Today’s announcement follows the landmark achievement Bombardier’s fleet of trailblazing Learjet aircraft set earlier in 2019, when the fleet surpassed the 25 million flight-hour mark, adding yet another accomplishment to an impressive string of Learjet milestones and firsts. The first Learjet business aircraft entered service in 1964, creating the experience and defining the industry of private flight.

“The ultimate business tool, Learjet 75 aircraft feature industry-leading performance and help drive direct bottom line results,” Peter Likoray, Senior Vice President, Worldwide Sales and Marketing, Bombardier Business Aircraft. “Reliability and longevity are just two of the reasons customers among Fortune 500 companies continue to choose Learjet aircraft for productivity gains. With its bevy of recent enhancements, the Learjet 75 aircraft is a superior business jet offering in terms of size, performance and reliability, all at highly competitive operating cost.”

Bombardier continues to invest in this industry-leading light business jet, with its recently-released comprehensive Garmin G5000 avionics upgrade, which will allow customers to optimize their routes and paves the way for future technological enhancements. The upgrade will be offered as forward and retrofit for in-service Learjet aircraft. Bombardier also recently announced that Learjet 75 aircraft operators now benefit from lengthened intervals between recurring major powerplant inspections, which have been extended from 3,000 to 3,500 engine hours.

Renowned worldwide for its sleek ramp appeal and favoured by pilots for its impressive handling characteristics and high-performance, the Learjet 75 is the only business jet in its class to feature an eight-seat double-club configuration, a flat floor throughout the cabin and a pocket door for reduced noise levels.

Since acquiring the Learjet Corporation in 1990, Bombardier has introduced an impressive eight new models, including the best-selling Learjet 75 aircraft, which entered service in 2013.

About Bombardier

With over 68,000 employees across four business segments, Bombardier is a global leader in the transportation industry, creating innovative and game-changing planes and trains. Our products and services provide world-class transportation experiences that set new standards in passenger comfort, energy efficiency, reliability and safety.

Headquartered in Montreal, Canada, Bombardier has production and engineering sites in 28 countries across the segments of Transportation, Business Aircraft, Commercial Aircraft and Aerostructures and Engineering Services. Bombardier shares are traded on the Toronto Stock Exchange (BBD). In the fiscal year ended December 31, 2018, Bombardier posted revenues of $16.2 billion US. The company is recognized on the 2019 Global 100 Most Sustainable Corporations in the World Index. News and information are available at bombardier.com or follow us on Twitter @Bombardier.

Boeing Supplier Spirit AeroSystems Suspends Outlook

May 1, 2019 / WIL BALDWIN

(Reuters) – Boeing Co’s largest supplier Spirit AeroSystems Holdings Inc reported strong first-quarter results on Wednesday, while following the planemaker in suspending its full-year outlook in the face of the global grounding of 737 MAX jets.

The crisis with Boeing’s most popular aircraft has thrown into doubt orders for a raft of parts makers who have been investing heavily to meet record-breaking demand from the world’s biggest planemaker over the past two years.

Spirit, which makes fuselage, structural engine components and wing parts for the MAX, did a deal with Boeing last month to stick to its current parts delivery schedules for now, and its profits in the first quarter were up 30 percent, according to Wednesday’s quarterly results.

Boeing however has announced cutbacks in its monthly production of MAX jets to 42 from 52 and while it says it is nearing certification for a software fix for the jet, airlines are assuming the planes will not be back in the air before August.

Spirit said with the uncertainty around MAX production it could not stand by its previous full-year outlook which had factored production for MAX jets rising to 57 units per month in June.

“As we now expect to remain at 52 aircraft per month for some period of time, (prior) guidance does not reflect our current outlook,” Spirit Chief Executive Officer Tom Gentile said, adding he was waiting for more clarity from Boeing on MAX’s return to service.

MAX’s other major supplier General Electric Co, which makes engines with Safran SA of France, on Tuesday stuck to its full-year forecasts, while highlighting risk due to MAX’s reduced production.

Another MAX supplier United Technologies Corp last month included an up to 10 cents per share impact in its full-year profit outlook from the groundings of the jet, assuming Boeing produced at 42 aircraft per month for the rest of the year.

Spirit, whose shares are down about 10 percent since the fatal crash of the Ethiopian Airlines’ jet on March 10, rose as much as 3.5 percent to $89.96 in morning trade.

“Given that (Spirit’s) shares have already notably sold off, we think much of this … has been discounted into the price,” Vertical Research Partners Krishna Sinha said.

The company said it has taken actions including deferring capital investments and pausing hiring and share repurchases to mitigate the financial impact of the MAX production change.

On an adjusted basis, Spirit earned $1.68 per share, beating analysts’ average estimate of $1.64 per share, according to IBES data from Refinitiv.

Total revenue rose 13.4 percent to $1.97 billion (£1.51 billion), beating estimates of $1.93 billion.

(Reporting by Ankit Ajmera in Bengaluru; Editing by Shounak Dasgupta)

Boeing Receives U.S. Navy Multiyear Contract for F/A-18

April 9, 2019 / WIL BALDWIN

ARLINGTON, Va., March. 20, 2019 – With a three-year contract award for 78 F/A-18 Block III Super Hornets, Boeing [NYSE: BA] will play a vital role in the U.S. Navy’s fleet modernization efforts.

The Block III configuration adds capability upgrades that include enhanced network capability, longer range, reduced radar signature, an advanced cockpit system and an enhanced communication system. Boeing will begin converting existing Block II Super Hornets to Block III early in the next decade. The fighter’s life also will be extended from 6,000 hours to 10,000 hours.

This new multi-year contract benefits the U.S. Navy and Boeing by allowing both to schedule future production and Navy officials estimate this multi-year model saves a minimum of $395 million on this contract valued at approximately $4 billion.

“This multiyear contract will provide significant savings for taxpayers and the U.S. Navy while providing the capacity it needs to help improve readiness,” said Dan Gillian, vice president of F/A-18 and EA-18G programs. “A multiyear contract helps the F/A-18 team seek out suppliers with a guaranteed three years of production, instead of negotiating year to year. It helps both sides with planning, and we applaud the U.S. Navy on taking the appropriate steps needed to help solve its readiness challenges.”

For more information on Defense, Space & Security, visit www.boeing.com. Follow us on Twitter: @BoeingDefense and @BoeingSpace.

Bombardier Delivers Global 7500 to Racing Legend Niki Lauda

April 1, 2019 / WIL BALDWIN

Bombardier announced today that it delivered its first European-based Global 7500 aircraft to long-time Bombardier customer, Niki Lauda, as production and completions of the award-winning business jet continue to ramp up as planned. Bombardier is on track to deliver between 15 and 20 Global 7500 aircraft in 2019.

Long-time Bombardier customer and F1 World Champion takes delivery of the first European-based Global 7500 aircraft
Production and completions ramp up for Global 7500 jets proceeding as planned
The Global 7500 aircraft recently completed the world’s longest-range business jet flight in history and broke the city pair speed record between LA and NYC*
Winner of the 2019 Aviation Week Grand Laureate Award, the Global 7500 aircraft offers Bombardier’s signature smooth ride and a spaciousness that is unique among business jets

“We are thrilled to deliver our flagship Global 7500 business jet to Niki Lauda, our esteemed customer for many years,” said David Coleal, President, Bombardier Business Aircraft. “The Global 7500 aircraft is simply the best business jet on the market. It sets the standard by which all other aircraft in private aviation will be measured, demonstrated by the prestigious design and aviation awards it has garnered. The Global 7500 aircraft is the crown jewel of the industry.”

“I have enjoyed watching the evolution and growth of the Global Aircraft program. I have always been impressed with the expertise, craftsmanship and innovation that go into building every Global business jet,” said Niki Lauda. “The Global 7500 aircraft is the culmination of all the knowledge Bombardier teams have gained over the years and I look forward to experiencing the range, speed and comfort this jet has to offer.”

The Global 7500 jet is the latest in a series of Bombardier business aircraft that Mr. Lauda has owned and piloted during his career as an aviator. Previously, he operated a Global 6000, Global 5000 and Challenger 300 jet as his private aircraft.

Since its entry-into-service, the Global 7500 aircraft has unequivocally proven itself to be the highest-performing aircraft in the industry. The Global 7500 business jet has a top speed of Mach 0.925 and recently flew from Singapore to Tucson, completing a record-setting 8,152 nautical mile flight—the longest-range flight in business aviation history. In addition, it also recently broke the city pair speed record between Los Angeles and New York. The Global 7500 aircraft continues to assert its position as the leader in the business jet market.

The Global 7500 aircraft offers Bombardier’s signature smooth ride and a spaciousness that is unique among business jets. With its award-winning bespoke interior featuring a full-size kitchen and four true living spaces, the Global 7500 jet offers the ultimate in-flight experience. Setting the benchmark for the most exceptional cabin interior, the Global 7500 aircraft offers the most innovative features: Bombardier’s patented Nuage seat, meticulously designed for maximum comfort and the revolutionary nice Touch cabin management system (CMS), a new way to connect with the Global 7500 aircraft cabin through the Bombardier Touch dial, featuring business aviation’s first application of an OLED display.

About Bombardier

Headquartered in Montréal, Canada, Bombardier has production and engineering sites in 28 countries across the segments of Transportation, Business Aircraft, Commercial Aircraft and Aerostructures and Engineering Services. Bombardier shares are traded on the Toronto Stock Exchange (BBD). In the fiscal year ended December 31, 2018, Bombardier posted revenues of $16.2 billion. News and information are available at bombardier.com or follow us on Twitter @Bombardier.

Bombardier Signs Firm Purchase Agreement for 6 Q400’s

April 1, 2019 / WIL BALDWIN

Toronto, March 29, 2019 – Bombardier Commercial Aircraft announced today that a customer, who has requested to remain unidentified at this time, has signed an order to acquire six new Q400 aircraft.

Based on the list price of the Q400 aircraft, the firm order is valued at approximately US$ 202 million.

“The Q400 aircraft offers the perfect balance of passenger comfort and operating economics while maintaining its unmatched range and speed advantage versus other turboprops,” said Fred Cromer, President, Bombardier Commercial Aircraft. “The demand for turboprop aircraft worldwide is tremendous and the Q Series aircraft are ideally positioned to meet the needs of regional airlines as they offer a unique ability to serve diverse and challenging environments. The Q400 offers the lowest seat costs amongst turboprops, with an enhanced passenger experience and a proven 99.5 per cent reliability.”

About Bombardier

Denel May Wind Down Airbus A400M Manufacturing

March 31, 2019 / WIL BALDWIN

JOHANNESBURG (Reuters) – South African state arms company Denel is in talks with Airbus about winding down production of parts for the European planemaker’s A400M military aircraft, Denel said on Saturday.

Denel, a cornerstone of South Africa’s once mighty defense industry, is battling to emerge from a financial and operational crisis. In February it said it could sell stakes in some divisions as part of a strategy to return to profits within two years.

The company has also been trying to renegotiate onerous contracts and exit parts of its business which are no longer viable, after making a 1.7 billion rand ($117 million) loss in the 2017/18 financial year.

Denel said it was yet to finalize terms with Airbus for the winding down of production for the A400M.

“The two companies agreed that the continued manufacturing of aircraft parts by Denel is no longer sustainable in its current form,” Denel said in a statement. “Alternative options are now being considered between the two parties.”

Denel will try to minimize the impact on jobs at its Aeronautics division, it added.

(Reporting by Alexander Winning; Editing by David Holmes)

Airbus Shares Take Off After Bumper Beijing Order

March 26, 2019 / WIL BALDWIN

FILE PHOTO: The Airbus logo is pictured at Airbus headquarters in Blagnac near Toulouse, France, March 20, 2019. REUTERS/Regis Duvignau

PARIS (Reuters) – Airbus shares rose on Tuesday after the European planemaker won a deal worth tens of billions of dollars to sell 300 aircraft to China.

Airbus was up 2.7 percent by 1208 GMT, with the stock having risen nearly 40 percent so far in 2019.

French officials said the deal was worth some 30 billion euros (25.6 billion pounds) at catalogue prices. Planemakers usually grant significant discounts.

The Chinese order was announced late on Monday, coinciding with a visit to Europe by Chinese President Xi Jinping and matching a China record held by U.S. rival Boeing.

Investment bank Citigroup kept its “buy” rating on Airbus.

“We do not have details of the delivery schedule of this order, but China has been taking about 20-25 percent of Airbus production per year and given the A320 family is sold out at announced production rates out to 2024/25, we believe this increases the probability of Airbus moving to a production rate of 70 per month,” wrote Citigroup.

That positive view was echoed by Morgan Stanley, which kept an “overweight” rating on Airbus shares.

“Clearly finalisation of this order is a positive for Airbus, and continues to underpin strong order book coverage and rising production rates in narrowbody,” Morgan Stanley said.

The larger-than-expected order, which matches an order for 300 Boeing planes when U.S. Donald Trump visited Beijing in 2017, follows a year-long vacuum of purchases in which China failed to place significant orders amid global trade tensions.

It also comes as the grounding of the Boeing 737 MAX has left uncertainty over Boeing’s immediate hopes for a major jet order as the result of any warming of U.S.-China trade ties.

(Reporting by Sudip Kar-Gupta; Editing by Leigh Thomas and Jane Merriman)

Air Senegal Receives Africa’s First A330neo

March 13, 2019 / WIL BALDWIN

Air Senegal has taken delivery of its first A330-900 from Airbus’ production line in Toulouse. The carrier is the first African airline to fly Airbus’ new generation widebody aircraft featuring latest technology engines, new wings with enhanced aerodynamics and a curved wingtip design, drawing best practices from the A350 XWB.

Fitted with a three-class cabin comprising 32 Business class, 21 Premium Plus and 237 Economy class seats, Air Senegal plans to operate its first A330neo on its Dakar-Paris route and to further develop its medium and long-haul network.

The A330neo is the true new generation aircraft building on the best-selling widebody A330’s features and leveraging on A350 XWB technology. Powered by the latest Rolls-Royce Trent 7000 engines, the A330neo provides an unprecedented level of efficiency – with 25% lower fuel burn per seat than previous generation competitors. Equipped with the Airspace by Airbus cabin, the A330neo offers a unique passenger experience with more personal space and the latest generation in-flight entertainment system and connectivity.

Note to editors

This delivery event also marks the first time when the Airbus Foundation and Air Senegal team up for goodwill flight. Read more on Airbus Foundation website

@Airbus #A330neo @Air Senegal

Story and image from http://www.airbus.com

Sikorsky HH-60W Combat Rescue Helicopters Prepare for Flight Test

February 27, 2019 / WIL BALDWIN

Fully assembled aircraft tracking to first flight

WEST PALM BEACH, Fla., Feb. 27, 2019 /PRNewswire/ — Two fully assembled HH-60W Combat Rescue Helicopters (CRH), built by Sikorsky, a Lockheed Martin company (LMT), are preparing for their maiden flights, which will occur before mid-year at the Sikorsky West Palm Beach site in Florida.

Two HH-60W Combat Rescue Helicopters are at the Sikorsky Development Flight Center in West Palm Beach, Florida, in preparation for flight test. Photo courtesy of Sikorsky.

Both aircraft, which are being built for the U.S. Air Force, were transported late last year to West Palm Beach following final assembly at Sikorsky’s facility in Stratford, Connecticut. The aircraft test readiness review was completed in October 2018. The CRH HH-60W flight test team is currently preparing both aircraft for flight by conducting final installation of instrumentation and ground run testing. This marks formal entry into the flight test program that culminates in Ready Assets Available (RAA), allowing the Air Force to declare Initial Operational Capability (IOC).

“Having these initial HH-60W helicopters in West Palm Beach for flight test is an exciting time for the Sikorsky team. It is the first step toward a low rate initial production decision later this year, which will allow Sikorsky to provide a constant production flow of aircraft to the warfighter,” said Greg Hames, Sikorsky director, Combat Rescue Helicopter program. “This is the point in the program when Sikorsky begins providing new aircraft into the warfighters’ hands, initiating transition to the vastly more capable and reliable HH-60W Combat Rescue Helicopter.”

The first of the two HH-60W aircraft will enter flight test with the new Tactical Mission Kit. The integration of sensors, radar, and multiple defense systems will bring added intelligence into the cockpit, enhancing pilots’ situational awareness to complete missions, which is key to improving aircraft and isolated personnel survivability. Sikorsky’s HH-60W team completed the System Configuration Test Readiness Review milestones for the Tactical Mission Kit last year.

The HH-60W hosts a new fuel system that nearly doubles the capacity of the internal tank on a UH-60M Black Hawk, giving the Air Force crew extended range and more capability to rescue those injured in the battle space. The CRH specification drives more capable defensive system, vulnerability reduction, weapons, cyber-security, environmental, and net-centric requirements than currently held by the HH-60G.

“Our team is working every day to build and deliver a superior quality helicopter to the U.S. Air Force for this critical mission,” added Hames. “Both Sikorsky and the Air Force remain committed to achieving a low rate initial production decision this year and getting this much-needed aircraft to our air men and women out in the field.”

A total of nine aircraft will be built in Connecticut during the Engineering Manufacturing Development (EMD) phase of the program ― four EMD aircraft and five System Demonstration Test Articles. The Air Force program of record calls for 112 helicopters to replace its aging HH-60G Pave Hawk helicopters.

For more information, visit www.lockheedmartin.com/crh.

About Lockheed Martin

Headquartered in Bethesda, Maryland, Lockheed Martin is a global security and aerospace company that employs approximately 105,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services.

“SMART AND HARD”

About Bombardier

About Bombardier

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