Tag: Alabama (Page 2 of 3)

Airbus Likely to Acquire Remaining Bombardier A220 Stake

February 7, 2020 / WIL BALDWIN

MONTREAL/PARIS (Reuters) – Europe’s Airbus SE <EADSY> is likely to acquire Canadian plane and train maker Bombardier Inc’s <BBD-B.TO> remaining stake in the A220 passenger jet program, two industry sources said.

A deal for Airbus to buy the 33.58% share in the program was widely expected after Bombardier said in January it was reviewing the stake in the joint venture. Barring surprises, a deal is expected next week ahead of both companies’ earnings reports on Feb. 13, the sources added.

Airbus and Bombardier both declined to comment. The terms of a potential deal that would mark Bombardier’s exit from commercial aviation were unclear.

Bombardier, which is weighing additional asset sales, faced a cash crunch in 2015 due to its high-stakes bet on the technologically advanced narrowbody.

Bombardier shares closed up 2.8%.

Montreal-based Bombardier ceded control of the program to Airbus in 2018 for a token C$1 as part of broader efforts to improve its finances. It retained a minority stake alongside the Canadian province of Quebec.

Bombardier had warned the program would require additional cash to ramp up production, and could be subject to a writedown, as it faces higher-than-expected costs in its rail division and more than $9 billion of debt.

Since Airbus took over the program, the A220 has seen a sharp pickup in sales to 658 orders as of Jan. 31. But it has not seen the cost declines expected from Airbus applying its greater purchasing power with suppliers, one of the sources said.

A deal would leave Airbus to shoulder additional investments required by the plane program.

“Airbus did not particularly want to do this at this time, but is presented with little choice if Bombardier is pulling back,” the second source said.

Airbus, with a 50.6% stake in the program, delivered 48 A220 jets in 2019 and is ramping up production toward its maximum monthly capacity of 10 jets in Mirabel, Quebec, and four planes at a second line in Alabama by mid-decade.

Airbus Chief Commercial Officer Christian Scherer told Reuters in January the company was progressing toward its target of a double-digit percentage reduction in the A220’s production costs.

Quebec, with a 16.36% stake in the A220 program, would not invest further. Rather, it is trying to protect the program’s estimated 2,700 jobs, along with the province’s $1 billion investment in the program, Economy Minister Pierre Fitzgibbon said on Monday.

“We put $1 billion in it and that’s enough.”

(Reporting by Allison Lampert and Tim Hepher in Paris; Editing by Diane Craft, David Gregorio and Richard Chang)

Spirit Airlines to Buy 100 Airbus A320neo Family Aircraft

December 23, 2019 / WIL BALDWIN

A logo of low cost carrier Spirit Airlines is pictured on an Airbus plane in Colomiers near Toulouse

(Reuters) – U.S. budget carrier Spirit Airlines Inc <SAVE> said on Monday it will buy 100 Airbus <EADSY> A320neo-family jets to be delivered through 2027, with options to purchase up to 50 additional aircraft.

The deal includes a mix of Airbus A319, A320, and A321 models, the company said.

The purchase agreement finalizes an October provisional deal for the aircraft, when Spirit picked European planes despite Washington imposing tariffs on them.

Depending on the number of each variant of the A320 single-aisle family chosen, the deal could be worth $11 billion to $12 billion at the most recent 2018 Airbus list prices, but industry sources say such deals typically involve discounts of at least 50%.

Washington has imposed 10% tariffs on some of the planes Airbus offers to U.S. carriers, as part of a long-running transatlantic trade dispute over aircraft subsidies.

Spirit currently operates an all-Airbus fleet of 140 jets.

Aircraft are typically ordered several years in advance, meaning any planes ordered now would only be covered by tariffs in the event of an extended transatlantic tariff war. Airbus jets assembled at a plant in Alabama are not currently included.

(Reporting by Rachit Vats in Bengaluru and Allison Lampert in Montreal; Editing by Shounak Dasgupta and Lisa Shumaker)

Airbus Marks 1,000th A320neo Family Aircraft Delivery

October 10, 2019 / WIL BALDWIN

Airbus has delivered the 1,000^th A320neo Family aircraft. The aircraft, an A321neo produced in Hamburg, Germany, was delivered to Indian airline IndiGo.

IndiGo is the world’s biggest customer for the A320neo Family with orders totaling 430 aircraft. Since its first NEO was delivered in March 2016, its fleet of A320neo Family has grown into the world’s largest with 96 aircraft operating alongside 129 A320s. In an extremely competitive aviation market, the fuel efficient A320 Family has been instrumental in IndiGo’s rise to become India’s largest airline by fleet size and passenger numbers.

The A320neo Family is assembled at Airbus’ four global sites: Toulouse, France; Hamburg, Germany; Tianjin, China; and Mobile, USA. The world’s first A320neo was delivered in January 2016 and the programme has achieved milestones every year since: the first A321neo in 2017; the first A321LR in 2018 and the launch of the A321XLR in 2019.

The A320neo programme was designed with fuel efficiency in mind. Building on the A320ceo’s popularity, the aircraft delivers 20% reduced fuel burn as well as 50% less noise compared to previous generation aircraft. Seating up to 240 passengers, depending on cabin configuration, the A320neo Family features the widest single aisle cabin in the sky and incorporates the very latest technologies including new generation engines and Sharklets. At the end of September 2019, the A320neo Family had received more than 6,660 firm orders from close to 110 customers worldwide.

Textron Bell 407GXI Earns IFR Certification

August 18, 2019 / WIL BALDWIN

FORT WORTH, Texas (15 August 2019) – Bell Textron Inc., a Textron Inc. (NYSE:TXT) company, announced the Federal Aviation Administration (FAA) has issued an Instrument Flight Rules (IFR) Supplemental Type Certificate (STC) for the Bell 407GXi. The certification is a requirement for the Navy Advanced Helicopter Training System competition, enabling the Bell 407GXi to replace the Bell TH-57 Sea Ranger as the US Navy’s training helicopter.

Bell’s replacement bid offers a unique combination of capability, ease of transition, and low sustainment costs, giving the best value to the Navy. Should the Bell 407GXi be selected for the US Navy Advanced Helicopter Trainer program, the company plans to conduct final assembly of the aircraft in Ozark, Alabama.

“The team did a great job ensuring the Bell 407GXi achieved the FAA’s IFR certification necessary to meet all of the Navy’s requirements,” said Mitch Snyder, president and CEO. “Bell is an instrumental part of the Navy’s training program and has been for more than 50 years, and we look forward to continuing the tradition for the next generation of Naval Aviators.”

A Bell to Bell transition offers low-risk to the Navy by streamlining instructor pilot and maintainer transition training as well as using common support equipment and infrastructure. The 407 airframe has already proven capabilities as the platform for the MQ-8C Fire Scout for the US Navy. Bell’s industry-leading customer service and support has established capability with cost-efficient and effective helicopter training solutions.

Bell proves its mature production and sustainment support capability every day by supporting more than 1,600 Bell 407s globally. These aircraft have nearly 6 million flight hours across the fleet and are actively performing flight training as well as military and para-public missions helicopter mission-set. The 407GXi’s Garmin G1000H™ NXi Flight Deck enhances situational awareness and reduces pilot workload by delivering easy-to-read information at a glance. The Bell 407GXi’s new IFR capability will allow all-weather operations while continuing to provide multimission capability safely, reliably, and effectively. The Bell 407GXi offers the lowest direct operating costs of any IFR-capable helicopter produced today. Combined with its proven performance, reliability, and ease of transition, the Bell 407GXi is the best value aircraft for US Navy helicopter training.

Airbus Begins U.S. Production of A220 Aircraft

August 5, 2019 / WIL BALDWIN

Airbus has today officially begun manufacturing the A220 in the U.S. The first team of A220 production workers began work at Airbus’ Mobile, Alabama-based production facility following their recent return from on-the-job training in Mirabel, Quebec, Canada, where the A220 programme and primary final assembly line are located.

“The expansion of our commercial aircraft production in Mobile to a second product line – with 400 additional jobs to support it – further solidifies Airbus’ standing as a truly global aircraft manufacturer, and confirms without a doubt that Airbus is an important part of America’s manufacturing landscape,” said Airbus Americas Chairman & CEO C. Jeffrey Knittel. “With Mobile, and our production network in Asia, Canada and Europe, we have strategically created a worldwide industrial base to better serve our customers.”

Airbus announced plans for the addition of A220 manufacturing in Mobile in October 2017. Construction on the main A220 flowline hangar and other support buildings for the new A220 began at the Mobile Aeroplex at Brookley at the beginning of this year. Airbus is producing the first few aircraft within some current A320 Family buildings and newly-built support hangars. The first U.S.-made A220 – an A220-300 destined for Delta Air Lines – is scheduled for delivery in the third quarter of 2020. By the middle of the next decade, the facility will produce between 40 and 50 A220 aircraft per year.

The A220 is the only aircraft purpose-built for the 100-150 seat market; it delivers unbeatable fuel efficiency and wide-body passenger comfort in a single-aisle aircraft. The A220 brings together state-of-the-art aerodynamics, advanced materials and Pratt & Whitney’s latest-generation PW1500G geared turbofan engines to offer at least 20% lower fuel burn per seat compared to previous generation aircraft. The A220 offers the performance of larger single-aisle aircraft. With an order book of 551 aircraft as of end of June 2019, the A220 has all the credentials to win the lion’s share of the 100-to-150-seat aircraft market, estimated to represent 7,000 aircraft over the next 20 years.

Airbus has strong and longstanding ties to the United States, with Airbus aircraft being operated by the largest airlines in America. Additionally, Airbus is a major partner of U.S. aerospace companies and workers. The company has purchased $48 billion of components and materials from American suppliers in the last three years alone, and supports more than 275,000 American jobs. Among its facilities in the U.S. Airbus has: engineering centers in Kansas and Alabama; training facilities in Florida and Colorado; materials support and headquarters in Virginia; an innovative think tank (A3) in California; a drone data analysis business (Airbus Aerial) in Atlanta, Georgia; helicopter manufacturing and assembly facilities in Texas and Mississippi; and a satellite manufacturing facility (OneWeb) in Florida.

@Airbus @AirbusintheUS #A220

B-roll video of the start of production may be found at http://a320mobile.com

FreightCar America Closing its Roanoke Manufacturing Facility

July 22, 2019 / WIL BALDWIN

Closure represents next step in the Company’s long-term cost and footprint reduction strategies
When complete in early 2020, the Company is expected to save $5 million per year in fixed costs

CHICAGO, July 22, 2019 (GLOBE NEWSWIRE) — FreightCar America, Inc. (RAIL) announced today that it has started the process to permanently close its Roanoke, Virginia manufacturing facility. The Company will retain the necessary workforce to build cars at the facility through November.

“The closure of our Roanoke facility is another next step in our ‘Back to Basics’ strategy as we continue to streamline our manufacturing footprint and match it to our future product offering,” said Jim Meyer, President and Chief Executive Officer of FreightCar America. “Reducing our fixed costs and achieving world-class output from our much larger Shoals facility have always been core pillars of our turnaround strategy.”

Meyer added, “We have spent the last two years building our talent, processes and overall capabilities at Shoals and the plant is now in a position to accept the Roanoke models and volume. This action, when complete in the first half of 2020, is expected to save approximately $5 million per year.”

Meyer concluded, “Our people at Roanoke have consistently performed above all expectations. We are extremely thankful for everything they have given the Company.”

The Company will offer select employees the opportunity to relocate to other parts of the business.

About FreightCar America

FreightCar America, Inc. manufactures a wide range of railroad freight cars, supplies railcar parts and leases freight cars through its FreightCar America Leasing Company subsidiaries. FreightCar America designs and builds high-quality railcars, including bulk commodity cars, covered hopper cars, intermodal and non-intermodal flat cars, mill gondola cars, coil steel cars, boxcars and coal cars. It is headquartered in Chicago, Illinois and has facilities in the following locations: Cherokee, Alabama; Grand Island, Nebraska; Johnstown, Pennsylvania; Roanoke, Virginia; and Shanghai, People’s Republic of China. More information about FreightCar America is available on its website at www.freightcaramerica.com

Pioneer Railcorp Shareholders Approve Merger with BRX

July 19, 2019 / WIL BALDWIN

PEORIA, Ill., July 19, 2019 /PRNewswire/ — Pioneer Railcorp (OTC: PRRR, “Pioneer”), a railroad holding company that owns short-line railroads and several other railroad-related businesses including a railroad equipment company and a contract switching services company, today announced that its shareholders have approved the previously announced definitive merger agreement with BRX Transportation Holdings, LLC (“BRX”), an entity formed by Brookhaven Rail Partners (“Brookhaven”), Related Infrastructure (“Related”) and Stephens Capital Partners LLC (“Stephens”). The proposal to approve the merger agreement and the transactions contemplated thereby was approved with voting results as follows:

Under the terms of the merger agreement, BRX will acquire through merger all of the outstanding shares of Pioneer’s Class A common stock. Shareholders other than Heartland will receive $18.81 per share in cash and the Heartland shares will be cancelled without consideration.

Consummation of the merger remains subject to various closing conditions, including operating performance by Pioneer within a specified working capital floor and debt ceiling. Subject to satisfaction of the closing conditions, the transaction is expected to close in late July 2019. Upon closing of the transaction, Pioneer will become a wholly-owned subsidiary of BRX and its Class A common stock will cease trading on the OTC Markets.

Arnold & Porter is acting as legal advisor to BRX in this transaction. BMO Capital Markets is serving as exclusive financial advisor to Pioneer in connection with this transaction and Briggs and Morgan, P.A. is acting as Pioneer’s legal advisor.

About Pioneer
Pioneer Railcorp is the parent company of 15 short-line common carrier railroad operations, an equipment leasing company, two service companies and a contract services switching company. Pioneer and its subsidiaries operate in the following states: Alabama, Arkansas, Georgia, Illinois, Indiana, Iowa, Kansas, Michigan, Mississippi, Ohio, Pennsylvania and Tennessee. For more information on Pioneer, please visit www.Pioneer-Railcorp.com

About Brookhaven
Brookhaven Rail Partners is an affiliate of Denver-based Brookhaven Capital Partners, a privately held, real estate and infrastructure investment and management firm. Brookhaven and its principals have a 25-year track record of investing in, operating and developing critical transportation assets that support industry, and promote new economic development, community investment, and job creation. For more information on Brookhaven, please visit www.BrookhavenPartners.com

Delta’s 50th U.S.-Made A321 Powered with Sustainable Jet Fuel

July 12, 2019 / WIL BALDWIN

Airbus has delivered Delta Air Lines’ 50th A320 Family jetliner produced in the U.S. manufacturing facility at Mobile, Alabama; this aircraft – an A321 – is shown during a pre-delivery test flight

Airbus has expanded its aircraft deliveries using sustainable jet fuel blends, with one of the latest involving the milestone 50th A320 Family jetliner provided to Delta Air Lines from Airbus’ production facility in Mobile, Alabama.

The landmark aircraft was an A321 – Airbus’ longest-fuselage version in its A320 product line – and the first of 20 for the U.S.-based airline whose delivery flights over the next year will operate with blends of sustainable jet fuel.

Sustainable-fuelled jetliner deliveries originated with Airbus

This continues the strong Airbus commitment to minimising air transportation’s environmental impact – which includes becoming the first aircraft manufacturer offering customers the option of receiving new jetliners with sustainable fuel in their tanks. Such delivery flights have been available since 2016, starting from the Airbus headquarters production facility in Toulouse, France.

Airbus offers this option as part of its strategy to promote a more regular use of sustainable fuels within the aviation industry. In the longer term, the company also envisions supporting industrial production of sustainable fuels for aviation in the southeastern U.S. – the broad geographical region in which the Mobile, Alabama production facility for A320 Family jetliners is located.

Delta Air Lines is the second U.S customer to have its aircraft delivered by Airbus from the Mobile final assembly line using sustainable fuel blends. The initial was JetBlue Airways, which received an A321 loaded with 15% sustainable jet fuel in September 2018.

The fuel for Delta Air Lines’ 50th A320 Family aircraft delivered from Mobile was supplied by Air BP and loaded into the jetliner by Signature Flight Support (Airbus’ fuelling services provider in Mobile). This fuel is certified compliant with the sustainability requirements of the European Union Renewable Energy Directive and the International Sustainability & Carbon Certification.

Delta Expands A220 Order Book by 5 Aircraft to 95 total

June 18, 2019 / WIL BALDWIN

Delta and Airbus announced Tuesday that Delta has agreed to expand its Airbus A220 order book by five aircraft to a total of 95.

Delta now expects to take delivery of 45 A220-100s and 50 A220-300s during the next four years, with the first -300 variant expected in 2020 coming from Airbus’s Mobile, Alabama final assembly line.

This week, Delta began flying the amenity-rich A220 from its Seattle hub, and will offer as many as 74 daily departures from 10 airports this summer.

In a separate arrangement, Airbus and Delta have signed a non-binding memorandum of understanding for Delta TechOps to provide A220 component repair and material services for Airbus’ A220 Flight Hour Services maintenance-by-the-hour program. This strategic partnership will allow Airbus to further enhance its successful Flight Hour Services program for the A220 by building on Delta Tech Ops’ proven component repair and management capabilities and on Airbus’ expertise in maintenance engineering, inventory management and innovative services solutions.

As the largest aviation maintenance group in North America, Delta TechOps highly skilled workforce of over 10,000 technicians, engineers and other support employees provide full-service maintenance to more than 850 Delta aircraft and their engines as well as maintenance services to more than 150 other operators, cargo operators and the Military & Government, through the airline’s MRO business.

Collins Aerospace Celebrates Airbus Nacelle Delivery Milestone

May 30, 2019 / WIL BALDWIN

— Delivery of the 1000th nacelle for A320neo program out of Foley, Alabama

— Delivery of the 9000th V2500 nacelle

— Continued support for the A220 nacelle program ramp-up

FOLEY, Ala., May 30, 2019 /PRNewswire/ — Today Collins Aerospace Systems celebrated its 45-year relationship with Airbus by delivering the 1,000th nacelle for the A320neo program, delivering the 9000th V2500 nacelle, and continuing to support the ramp-up of the A220 nacelle program. These milestones were commemorated at a ceremony hosted by Collins Aerospace at its Foley, Alabama facility. More than 900 employees at the facility were joined by leaders from Airbus in the U.S., as well as Alabama Congressman Bradley Byrne, to mark the milestones. Collins Aerospace is a unit of United Technologies Corp. (UTX).

The relationship with Airbus dates back to the A300, the first Airbus aircraft. The milestones achieved are due to the strong collaboration and hard work from both companies.

“This celebration and the work we do with Airbus goes far beyond Foley today. Teams across our worldwide sites are working with pride and commitment to provide on-time delivery and quality, and ensure that our relationship with Airbus remains strong for years to come,” said Jim Pollock, Collins Aerospace Vice President of Airbus Programs. “We’re now integrating A320neo engines with our advanced nacelle systems on three continents and continuing to introduce new manufacturing innovations — such as robotic painting systems and advanced fastening tools — to meet the increasing global demand for air travel.”

In support of the Airbus A320neo program, Collins has invested hundreds of millions of dollars to expand manufacturing capacity at six global sites.

Collins Aerospace’s innovative nacelle system for the Airbus A320neo is performing with 99.99% percent dispatch reliability. There are currently more than 750 Collins nacelles operating on A320neo aircraft with 32 airlines.

“In more than a million fleet hours since the A320neo’s entry into service, there have been less than 10 delays and zero cancellations associated with the Collins nacelle,” said Pollock. “This type of reliability is a testament to the commitment and dedication of the program, engineering, and airline support teams.”

About Collins Aerospace

Collins Aerospace Systems, a unit of United Technologies Corp. (UTX), is a leader in technologically advanced and intelligent solutions for the global aerospace and defense industry. Created in 2018 by bringing together UTC Aerospace Systems and Rockwell Collins, Collins Aerospace has the capabilities, comprehensive portfolio and expertise to solve customers’ toughest challenges and to meet the demands of a rapidly evolving global market. For more information, visit CollinsAerospace.com

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