Emirates SkyCargo is stepping up its readiness to handle the logistical complexities of distributing a potential COVID-19 vaccine globally by creating the world’s first dedicated airside cargo hub for the vaccine in Dubai. The air cargo carrier is taking a global leadership position by announcing that it will be re-opening its Emirates SkyCentral DWC cargo terminal in Dubai South to serve as a dedicated anchor hub for cold chain storage and distribution of the vaccine.
The freight division of Emirates has also set up a dedicated rapid response team to coordinate requests from the various partners involved in the international vaccine distribution ecosystem and to streamline the carrier’s response to vaccine transportation requests.
Cathay Pacific aircraft are seen parked on the tarmac at the airport, following the outbreak of the new coronavirus, in Hong Kong
SYDNEY (Reuters) – Hong Kong’s Cathay Pacific Airways Ltd reported a record HK$9.87 billion ($1.27 billion) first-half loss and said it did not expect a meaningful recovery in passenger demand for some time due to the coronavirus pandemic.
The figure was in line with the HK$9.9 billion forecast it had flagged last month and included HK$2.47 billion of impairment charges.
Revenue plunged 48.3% to HK$27.7 billion in the six months ended June 30 as it slashed passenger flying to a barebones schedule due to lower demand and border restrictions, though it added more cargo-only flights as freight yields rose 44.1%.
The airline, which received a $5 billion rescue package led by the Hong Kong government, has so far refrained from large-scale job cuts but has warned it is reviewing all aspects of its business model with an update expected by the fourth quarter.
“Inevitably this will involve rationalisation of future planned capacity compared to pre-crisis plans, taking into account the market outlook and cost structure at that time,” Chairman Patrick Healy said in a statement on Wednesday.
It has rearranged its aircraft order book with Airbus SE to delay deliveries, is in advanced talks with Boeing Co to do the same and has begun sending one-third of its fleet outside Hong Kong for storage in less humid conditions.
The airline said last month that it had reduced its monthly cash burn to about HK$1.5 billion from between HK$2.5 billion and HK$3 billion while maintaining a minimal flying schedule.
Cathay is expected to report a full-year loss of around HK$13.6 billion, according to the average of 13 analysts polled by Refinitiv before it released its half-year results.
The airline’s shares had surged 9.3% on Wednesday ahead of the earnings announcement, which was made while trading was suspended for the market’s lunch break.
“It is laggard buying on some traditional economy stocks,” Steven Leung, a sales director at UOB Kay Hian, said of the rise.
($1 = 7.7506 Hong Kong dollars)
(Reporting by Jamie Freed; additional reporting by Donny Kwok in Hong Kong; Editing by Himani Sarkar)
PARIS (Reuters) – Airbus delivered 49 aircraft in July, up from 36 in June as it continues to recover from a slump in deliveries during this year’s coronavirus lockdowns, the company said on Thursday.
The aircraft were all narrow-body jets, highlighting a dearth of demand for the industry’s biggest models, which last month prompted Airbus to trim A350 production for a second time.
The month’s deliveries included 47 A320neo-family jets.
Airbus also scored its first orders in three months as it sold two A320neos to an undisclosed customer and two A321neos to Lufthansa Technik, the modification and repairs business of German carrier Lufthansa <LHA.DE>.
So far in 2020, Airbus has delivered 245 jets and sold 369, or 302 after cancellations.
Demand for aircraft has been crippled by the coronavirus crisis and its heavy impact on air travel.
Airbus is boosting deliveries on a monthly basis despite the industry’s worst crisis as it negotiates deals with airlines.
But although deliveries are rising compared to the trough seen in April, several bankers and analysts have questioned how many of the aircraft are being placed into service as airlines struggle to save cash. Some are said to go straight to storage.
Airbus has issued default notices and threatened to sue airlines that refuse to collect planes already built while showing flexibility in deferring jets not yet in the factory.
(Reporting by Tim Hepher; Editing by Keith Weir)
An Airbus A320neo aircraft is pictured during a news conference to announce a partnership between Airbus and Bombardier on the C Series aircraft programme, in Colomiers near Toulouse, France
Strenghtens Rolls-Royce’s market position in safety-critical applications with a leader in dynamic uninterruptible power supply
Completes Rolls-Royce’s product offering and accelerates the strategy of offering integrated solutions
Acquisition expected to deliver cost and revenue synergies, and help support medium-term profitability and create long-term shareholder value
Rolls-Royce is strengthening its business in power supply for safety-critical systems with the completion of the acquisition of Kinolt S.A., a Belgian-based specialist in dynamic uninterruptible power supply. Rolls-Royce is already a leading provider of back-up power generation through its Power Systems business with its product and solutions brand MTU. This market has remained a growth area during the Covid-19 pandemic and is expected to grow in the coming years as customers look to further minimize their risk of disruption.
Uninterruptible power supply systems are used wherever stable electricity is required or a power failure would be extremely harmful, for example within data centres, hospitals or manufacturing facilities which operate sensitive processes. This acquisition is another important step on the strategic journey of Power Systems towards becoming a full-service provider of integrated solutions. Kinolt’s uninterruptible emergency power supply technology is particularly well suited to applications where space is at a premium, such as urban areas or installations in existing buildings and complements Rolls-Royce’s own MTU branded solutions for large scale and greenfield sites. As a result, the deal is expected to result in cost and revenue synergies, medium-term long-term shareholder value in the back-up power generation business.
Andreas Schell, CEO of Rolls-Royce Power Systems, said: “The extraordinary times created by the Covid-19 pandemic have shown just how important it is to secure electricity supply to sensitive and critical infrastructure. The provision of uninterruptible power is vital in any situation and even more so today, as it ensures the provision of vital services such as medical care or the world’s continued flow of internet traffic. Without it, no public authority or company would be able to act in any crisis.”
The demand for uninterruptible power solutions is expected to remain strong in the aftermath of the Covid-19 pandemic. The acquisition of Kinolt will give Rolls-Royce a market-leading solution for businesses and local authorities who experienced issues with supply, or do not wish to run the risk again.
“We originally signed the deal to acquire Kinolt before the full global impact of Covid-19 was apparent,” added Schell. “Since then we have rigorously examined the rationale for the transaction and the opportunities it presents to our business and concluded that the arguments in favour of the acquisition are even stronger than before.”
Power Generation is already the top-selling segment within the Power Systems business. In the future it is expected to be the only manufacturer in the world able to supply customers with all components and consequently a complete uninterrupted power generation system in the power range from 200 to 3,200 kVA. Kinolt’s technology consists of a combination of rotating, kinetic mass storage devices, a diesel engine and a generator that can also be used as an electric motor. MTU engines from Rolls-Royce are often already used within Kinolt’s solutions. The Kinolt system is connected between the external power supply system and safety-critical equipment and supplies the latter with the required electrical power during normal operation. The grid frequency and voltage are generally more stable than the grid of public power suppliers. This is necessary because data servers, computer-controlled systems or sensitive devices such as those in hospitals can fail in the event of voltage and frequency fluctuations. In the case of a power failure, the flywheel mass accumulator ‘bridges’ the first few seconds before the diesel engine takes up the load.
“We will integrate the products and systems of our new subsidiary into our MTU product portfolio,” said Andreas Görtz, Vice President of Power Generation at Rolls-Royce. “Our worldwide sales and service network will open up new market opportunities by offering innovative uninterruptible power solutions. This will significantly strengthen our market position in safety-critical applications.”
Kinolt is based in the town of Grâce-Hollogne in the Belgian province of Liège and was known as Euro-Diesel until mid-2019. The transaction was completed on 1 July 2020 following the approval of antitrust authorities.
Rolls-Royce stärkt sein Angebot an Stromversorgungssystemen für sicherheitskritische Anwendungen mit dem Abschluss der Übernahme von Kinolt S.A., einem in Belgien ansässigen Spezialisten für dynamische unterbrechungsfreie Stromversorgung.
Rolls-Royce is strengthening its business in power supply for safety-critical systems with the completion of the acquisition of Kinolt S.A., a Belgian-based specialist in dynamic uninterruptible power supply.
Avec l’aboutissement de l’acquisition de Kinolt S.A., un spécialiste de l’alimentation dynamique sans interruption (ASI) établi en Belgique, Rolls-Royce élargit son offre de systèmes d’alimentation électrique dédiés aux applications cruciales en matière de sécurité.
Rolls-Royce heeft de overname afgerond van Kinolt S.A., een in België gevestigde specialist voor dynamische onderbrekingsvrije stroomvoorziening. Met deze overname vergroot het zijn aanbod van stroomvoorzieningssystemen voor veiligheidskritische toepassingen.
Airbus logo at the entrance of the Airbus facility in Bouguenais
PARIS (Reuters) – Airbus <AIR.PA> deliveries rose 50% in June compared with May and reached their highest level since the coronavirus crisis spread to Europe in March, but the accelerating recovery failed to prevent first-half deliveries from sliding to a 16-year low.
Figures released by the European planemaker late on Wednesday underscored a collapse in aerospace industry fortunes since early this year, hours after Airbus workers facing job cuts staged their first strike in 12 years.
Deliveries rose to 36 aircraft in June from 24 in May and a low of 14 in April. For the first half, deliveries fell by 49% to 196 planes compared with 389 in the same period last year.
Airbus has said it faces an average 40% drop in business over the next two years, forcing it to cut 15,000 jobs, or 11%, of its workforce. Unions oppose compulsory cuts.
Facing a slump in demand, planemakers have been urging airlines to take planes that have already been built in return for agreement to defer others due at later dates.
Some aircraft, however, are going straight into storage because travel demand is recovering slowly, experts say.
June’s figures suggested negotiations were partially paying off as Airbus handed over three wide-body A350-900 aircraft for European airlines despite a glut of large jets.
But deliveries of many other wide-body aircraft at Airbus and U.S. rival Boeing <BA> remain hampered by weak demand for long-haul travel as a result of the crisis.
Sources said last month that Airbus had sent out dozens of default notices to airlines in a bid to keep deliveries moving.
With airlines focusing on survival, Airbus posted no orders for a second month.
Gross orders so far this year remained at 365 jets, but net orders adjusted for cancellations slipped by one unit to 298, after lessor Avolon cancelled one of 10 A330neos it has ordered.
(Reporting by Tim Hepher and Benoit Van Overstraeten; Editing by Chizu Nomiyama and Leslie Adler)
(Reuters) – At least 15 people were injured on Friday after a liquid nitrogen line exploded at a Textron Aviation plant near Wichita, Kansas, potentially setting back the launch of a new aircraft under development, county and company officials said.
Image from dailymail.co.uk
Emergency medical services took 11 people to the hospital, one of them suffering potentially serious injuries, Dr. John Gallagher, director of Sedgwick County EMS, told a news conference.
Company officials said two of victims went to the hospital in private cars and two were treated at the scene.
Injuries were limited because only a skeleton crew was on duty during the holidays, said Deputy Chief Daniel Wegner of the Sedgwick County Fire Department.
The explosion in a 3-inch liquid nitrogen gas line also damaged a storage tank, causing nitrogen gas to vent out of the building, Wegner said.
News video from the scene showed what appeared to be a steam cloud billowing out of the damaged building. The gas was not harmful, Wegner said.
A second valve also ruptured, said Kate Flavin, a spokeswoman for Sedgwick County, and emergency crews vented nitrogen gas from the affected tanks before doing another search of the plant.
No others were found injured and control of the facility was returned to Textron shortly after noon, but emergency crews remained on standby at the scene, she said.
Damage was contained to Plant 3, a site for composite manufacturing and experimental aircraft fabrication including that of the SkyCourier, said Stephanie Harder, a spokeswoman for Textron.
The SkyCourier, a utility turboprop under development, is due to enter service in 2020, Textron has previously said. Harder said it was too early to determine what damage the prototype aircraft under production may have suffered.
Textron Aviation, a unit of Textron Inc (TXT), makes Beechcraft and Cessna aircraft.
The Wichita-area economy has long been supported by aircraft manufacturing. Boeing Co (BA) announced in January it would suspend production of its 737 Max jetliner, which has been grounded worldwide after two fatal crashes. That move affected workers at Spirit AeroSystems in Wichita, Boeing’s top supplier, which produces the jet’s fuselages.
Reporting by Daniel Trotta, Additional reporting by Rich McKay; Editing by Daniel Wallis, Bill Tarrant and Richard Chang
Boeing suspends 737 MAX production starting in January due to certification in 2020
Reduced production output enables prioritization of stored aircraft delivery
No layoffs or furlough expected at this time
Safely returning the 737 MAX to service is our top priority. We know that the process of approving the 737 MAX’s return to service, and of determining appropriate training requirements, must be extraordinarily thorough and robust, to ensure that our regulators, customers, and the flying public have confidence in the 737 MAX updates. As we have previously said, the FAA and global regulatory authorities determine the timeline for certification and return to service. We remain fully committed to supporting this process. It is our duty to ensure that every requirement is fulfilled, and every question from our regulators answered.
Throughout the grounding of the 737 MAX, Boeing has continued to build new airplanes and there are now approximately 400 airplanes in storage. We have previously stated that we would continually evaluate our production plans should the MAX grounding continue longer than we expected. As a result of this ongoing evaluation, we have decided to prioritize the delivery of stored aircraft and temporarily suspend production on the 737 program beginning next month.
We believe this decision is least disruptive to maintaining long-term production system and supply chain health. This decision is driven by a number of factors, including the extension of certification into 2020, the uncertainty about the timing and conditions of return to service and global training approvals, and the importance of ensuring that we can prioritize the delivery of stored aircraft. We will continue to assess our progress towards return to service milestones and make determinations about resuming production and deliveries accordingly.
During this time, it is our plan that affected employees will continue 737-related work, or be temporarily assigned to other teams in Puget Sound. As we have throughout the 737 MAX grounding, we will keep our customers, employees, and supply chain top of mind as we continue to assess appropriate actions. This will include efforts to sustain the gains in production system and supply chain quality and health made over the last many months.
We will provide financial information regarding the production suspension in connection with our 4Q19 earnings release in late January.
FRANKFURT (Reuters) – Tesla’s announcement earlier this month that it will build its first European factory near Berlin will draw further companies from the electric mobility and energy storage sectors into Germany, a state premier told newspaper Die Welt.
“They are already on their way. I’m hearing there are further inquiries with the communities and the regional business development programme. Tesla will cause other companies to follow,” said Dietmar Woidke, premier of the eastern German state of Brandenburg that surrounds Berlin.
He said Brandenburg was already in talks with other companies, declining to identify them due to confidentiality agreements. “I expect that we can announce it before Christmas,” Woidke said.
Tesla’s move is a big boost for Germany as a centre for manufacturing after BMW and Daimler in recent years chose to build new factories in Hungary, and after its auto industry was hit hard by Volkswagen’s admission in 2015 that it cheated U.S. diesel emissions tests.
(Reporting by Christoph Steitz; Editing by Mark Heinrich)
Brandenburg’s PM Woidke speaks speaks to the media on Tesla European factory in Potsdam
Zurich, Switzerland, October 31st, 2019 – In ceremony held at its headquarters in Zurich, Switzerland, Helvetic Airways officially received its first E190-E2 jet from Embraer. The airline has a contract for a firm order of 12 jets of this model, and purchase rights for a further 12 E190-E2, with conversion rights to the E195-E2, bringing the total potential order up to 24 E-Jets E2s.
“As the only Swiss airline to operate Embraer aircraft, Helvetic Airways already stands out from the competition,” said Martyn Holmes, Vice President Europe, Russia & Central Asia, Embraer Commercial Aviation. “And, with our state-of-the-art E190-E2, it now has the perfect aircraft, in terms of environmental sustainability and to maximize the profitability of its flight operations.”
Helvetic Airways CEO Tobias Pogorevc is pleased to have achieved this milestone. “After more than eighteen intensive months,” he commented, “it’s a sense of accomplishment that we feel most today. With the E190-E2, Helvetic Airways is entering a truly new era. Our state-of-the-art twinjet will make us one of Embraer’s leading European operators. And it gives us just the modern and environmentally friendly aircraft we need to continue our development.”
This E190-E2 aircraft marks the start of Helvetic’s fleet renewal program. The purchase rights for a further 12 aircraft (E190-E2 or E195-E2) will enable Helvetic Airways to grow according to market opportunities. Helvetic Airways is configuring the E190-E2 in a single class layout with 110 seats and will deploy the aircraft on several domestic and international routes.
The E190-E2 is the first of three new aircraft types that make up the Embraer E2 family of aircraft, developed to succeed the first-generation E-Jets. Compared to the first-generation E190, the E190-E2 burns 17.3% less fuel and nearly 10% less than its direct competitor. This makes it the most efficient single-aisle aircraft on the market. The E190-E2 brings more flexibility with maximum range of up to 3,293 miles (5,300 km), about 621 miles (1,000 km) more than the first-generation E190.
The E190-E2 also generates significant savings for airlines in terms of maintenance costs. It has the longest maintenance intervals with 10,000 flight hours for basic checks and no calendar limit in typical E-Jets utilization. This means an additional 15 days of aircraft utilization over a period of ten years.
Pilots of the first-generation E-Jets require only two-and-a-half days of training without the need for a full flight simulator in order to fly the E2, which decreases the training burden and saves both time and money for the airlines. The E2 cockpit features advanced Honeywell Primus Epic 2 integrated avionics. Combined with the closed-loop fly-by-wire controls, the systems work together to improve aircraft performance, decrease pilot workload and enhance flight safety.
From the passenger’s perspective, the E2 cabin features a comfortable two-by-two layout. The absence of a middle seat enables passengers to have an enjoyable flight experience with more legroom and additional luggage storage space.
Embraer is the world’s leading manufacturer of commercial aircraft up to 150 seats with more than 100 customers across 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 80 customers in 50 countries. The versatile 70 to 150-seat family is flying with low-cost airlines as well as with regional and mainline network carriers.
(Reuters) – Tesla Inc has agreed to buy energy storage company Maxwell Technologies Inc for $218 million in an all-stock deal that could help the electric car maker produce batteries that hold more energy and last longer at a time when it needs to cut costs and faces growing competition.
Tesla is rapidly increasing production of its Model 3 sedan and needs to lower the price to reach a broader customer base than its pure luxury vehicles.
Maxwell executives told investors in January that it had developed and patented a “dry electrode” technology that could significantly increase the driving range and reduce the cost of electric vehicle batteries. In a presentation, Maxwell said it expected strategic alliances “within six months” centered around this technology.
The company also makes ultracapacitors, which discharge energy faster than batteries and are seen as complementing battery technology.
Ultracapacitors, combined with the energy of batteries, can enable rapid response times, function across a broader temperature range and lengthen battery life by up to two times, according to a blog post on Maxwell’s website.
Volvo-owner Geely Holding Group last May announced a deal with Maxwell and described the company’s ultracapacitor technology as helping to deliver “peak power” for hybrid cars.
“Tesla needs Maxwell’s solvent-free battery electrode manufacturing for a viable path to lower battery costs,” said Craig Irwin of Roth Capital Partners. “Real competitors are coming now, so Tesla needs to move fast.”
Maxwell’s customers also include General Motors and Lamborghini.
The offer values each Maxwell share at $4.75, representing a 55 percent premium to the stock’s closing price on Friday, the companies said. Maxwell shares rose to trade at $4.58.
Currently, Japan’s Panasonic Corp is the exclusive battery cell supplier for Tesla cars.
Tesla chief Elon Musk had highlighted the importance of ultracapacitors back in 2013.
Tesla also sells power storage, often in conjunction with its solar power business, and ultracapacitors could be used in backup systems for homes and for utility power grids.
Maxwell expects the deal, which has already been approved by its board, to close in the second quarter of 2019, or shortly thereafter.
DLA Piper was Maxwell’s outside legal counsel, while Barclays Capital was the independent adviser. Wilson Sonsini Goodrich & Rosati represented Tesla as outside legal counsel.
(Reporting by Supantha Mukherjee, Peter Henderson and Akanksha Rana in Bengaluru and by Joe White and Paul Lienert in Detroit; Editing by Sriraj Kalluvila and Saumyadeb Chakrabarty)
