FLUG REVUE update: Week ending June 4, 2000

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UPDATE

Week ending June 4, 2000

+++ Largest ILA ever opens Tuesday +++ A3XX interest by Air France +++ Arianespace result in 1999 "satisfactory" +++ Shuttle completes STS-101 mission +++ RAH-66 development contract signed +++ News in brief +++

Largest ILA ever opens Tuesday
ILA in Berlin mit Rekordbeteiligung

The International Aerospace Exhibition (ILA) from 6 to 12 June 2000 will be a major attraction for exhibitors and visitors alike. More aircraft have been listed to appear than ever before at any of the world's aerospace shows. "With over 300 aircraft and helicopters this year's ILA will set a new record and strengthen its position as a major attraction for an international audience" according to Dr. Hans Eberhard Birke, Chief Executive of the Bundesverband der Deutschen Luft- und Raumfahrtindustrie (BDLI) - (National Association of the German Aerospace Industry). BDLI and Messe Berlin are co-organisers of the ILA. For Karl-Joachim Kierey, Managing Director of Messe Berlin, "the ILA thus joins the ranks of the leading international aerospace shows".
Traditional highlights of the fair include the Aviation Hall (Hall 1) focussing on aviation technology and air traffic control, as well as current research and development projects. The Space Hall (Hall 2) will provide an overview of all ongoing and future space missions, and will also include models of space stations and satellites. The organisers of the ILA are expecting over 900 exhibitors from 35 countries to come to Berlin this year. They include countries such as South Africa, Ireland, Uzbekistan and Brazil, which will be represented at the ILA for the first time. Efforts are being made to achieve a total attendance matching that of the last ILA, when 227,000 came to the show, including 82,000 trade visitors. This is an ambitious target for the exhibitors in view of the fact that trade visitors' (6 to 9 June 2000) and open days (9 to 12 June) will be held separately for the first time. As a result the flying displays on the trade visitors' days will be less extensive than on the open days.
The ILA2000 will be officially opened on 6 June this year by the Federal Minister of Economics Dr. Werner Müller. The ILA will also be visited by the Federal Chancellor Gerhard Schröder and by a number of other federal ministers and representatives of state organisations.

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A3XX interest by Air France
Air France am A3XX interessiert

Air France has publicly manifested its interest in Airbus Industrie's A3XX, expressing a need for around ten aircraft and thus becoming a potential launch customer for Airbus Industrie's future very large aircraft. The airline has thereby confirmed the very special interest it has taken in the A3XX project since the spring of 1996, when it began participating in the working groups and different stages of this programme under development at Airbus Industrie.
Nonetheless, the path is not yet clear for the European mega-liner. Speculation continues on problems with a solution to the prestige question of the final assembly site of the A3XX, with Toulouse the favourite but Hamburg demanding at least a part of the action. A split is more expensive, which could displease the Brits. BAE Systems in any case has some say over the A3XX launch, as a further prerequisite is the transformation of Airbus into a stand-alone company. These talks are still dragging on, with differences on valuation of the assets to be intergrated. BAE is said that it thinks its wing work is definitely worht more than the 20 per cent stake it holds so far. The next chance for progress is now ILA in Berlin this week.

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Arianespace result in 1999 "satisfactory"
Ergebnisse für Arianespace

Arianespace posted sales of 975.9 million euros in 1999, compared with 1,086 million euros in 1998. These revenues were generated by nine Ariane 4 launches and one Ariane 5 launch. Net income was 7.3 million euros, compared with 14 million euros in 1998. Although operating income nearly tripled to 33.6 million euros, net income was down because of a change in the tax situation. Arianespace paid income taxes of 6 million euros in 1999, while it had a tax credit of 12.2 million euros in 1998. The company will pay shareholders a dividend of 2.4 million euros for 1999. In 1998, Arianespace did not pay a dividend. In addition, Arianespace increased its reserves by 10.2 million Euros in 1999, building the reserves to 313 million euros - strengthening its ability to deal with risks inherent in space business.
With 51 successful launches in a row at the end of the year with completion of Flight 125, Ariane 4 set a new world record for commercial launch vehicles. The satellite and launch services markets both dropped significantly in 1999, with just 15 GTO satellite launch contracts up for tender - compared with 21 in 1998. At the same time, a number of satellites were either unavailable for delivery or late, a situation which impacted the entire space transport sector. However, Arianespace won 12 out of the 15 contracts up for grabs, confirming its position as the world leader. Orders were balanced in terms of geographical distribution, with one in Europe, four in the Asia-Pacific region, four in the United States, one in the Middle East, and two for international organizations:

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Shuttle completes STS-101 mission
ISS-Inspektionsmission abgeschlossen

On May 29, Atlantis' astronauts glided to a ghostly pre-dawn landing at the Kennedy Space Center to wrap up a successful refurbishment and resupply mission to the International Space Station. Commander Jim Halsell flew Atlantis to a nighttime touchdown at the Florida spaceport at 1:20 a.m. Central time to complete a 4,076,000 mile mission, the second Shuttle flight of the year. Atlantis returned to Earth after Flight Director John Shannon determined that crosswinds at the Kennedy Space Center's three-mile long landing strip were gentle and steady, enabling him to give the astronauts the green light to come home on time. Halsell fired the Shuttle's braking rockets at 12:12 a.m. Central time, allowing Atlantis to drop out of orbit for its high-speed descent.
Left in orbit is the renovated International Space Station, equipped with an upgraded electrical system, new fans, filters, fire extinguishers, smoke detectors and communications gear. ISS flight controllers report that the complex is functioning in excellent condition. The Station is orbiting at an altitude of about 238 statute miles, awaiting the arrival of its next component, the Russian Service Module "Zvezda", which is scheduled to be launched on a modified Proton rocket from the BaikonurCosmodrome in Kazakhstan in July.

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RAH-66 development contract signed
Entwicklungsauftrag für den RAH-66

Representatives of the Boeing Sikorsky RAH-66 Comanche program and the U.S. Army signed contract documents in a ceremony that officially launched the $3.1 billion engineering and manufacturing development phase for the Comanche program. The contract signing came less than two months after a Department of Defense Acquisition Board Milestone II review gave the go-ahead for EMD. "We accomplished this task by relying on the Alpha Contracting process, a major Defense Department acquisition reform initiative that streamlined the contract negotiation process, saving much time and money," said Brig. Gen. (P) Joseph Bergantz, U.S. Army Comanche Program Manager. "The hard work, trust and teamwork that made today's ceremony possible have benefited the Army, the contracting companies and the public we serve," Bergantz added.
During EMD, the Comanche Team will test and qualify the aircraft, including the fully integrated digital mission equipment package and advanced cockpit management system incorporating navigation, communication and target acquisition capabilities. The program will manufacture and deliver five new Comanche helicopters for EMD testing; it also will deliver eight new aircraft to the Army for operational test and evaluation. The first U.S. Army Comanche unit will be operationally equipped in 2006.

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NEWS IN BRIEF / KURZMELDUNGEN

The German aerospace association BDLI is expecting that the big players like EADS, BAE Systems, Boeing, Lockheed Martin or Raytheon will put pressure on suppliers to get more efficient, and that this will lead to mergers at this level as well. Important are systems competencies, it is said. In Germany, the small and medium-sized business of the aerospace industry generated a turnover of five billion DM.
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Crossair and its pilots have stopped their dispute on pay and work conditions for the time being. They now will await a study by the St. Gallen university on the subject by August. This will be the basis for new contract terms. Until then, the current contract will be extended, but with Crossair improving pay by five to 18 per cent.
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From June 1. Aer Lingus and LanChile have become partners of the oneworld alliance.
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Lufthansa CityLine will introduce a business class in its small regional aircraft by July 1, to better differentiate between full-paying guests and the rest.
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The first production CH-60S helicopter has arrived at Naval Air Station Patuxent River, Md., marking the start of the Navy's Development Testing (DT) program scheduled for this year. CH-60S aircraft Number 2 arrived on May 15 after the two hour flight from Sikorsky Aircraft's main plant in Stratford, Conn. The aircraft was enthusiastically welcomed by several U.S. Navy and Sikorsky Aircraft officials. Development testing will start this month and will be performed by the Naval Rotary Wing Aircraft Test Squadron. Later this fall, the CH-60S will undergo Operation Test and Evaluation with VX-1 to pave the way for fleet introduction.
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The next Russian element for the Internatioinal Space Station, Zvezda, has passed all tests, the Russian space agency has said. Launch of the Zvezda (Star) module, which is intended to house the station's crew, has been delayed for more than two years. "The Zvezda module has undergone all tests twice without a hitch," Russian Air and Space Agency spokesman Konstantin Kreidenko said. Kreidenko said the module's launch from the Baikonur cosmodrome in Kazakstan is tentatively set for July 12. Before then, Russia will carry out several more launches of the Proton booster rocket, he said. Several Proton launches have been carried out successfully this year.
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Press reports indicate that Lockheed Martin is negotiating for Airbus Industrie to provide after-sales support for its proposed Joint Strike Fighter (JSF). The possible link with Airbus was part of Lockheed's strategy of applying efficient commercial practice in its bid to win the Pentagon's JSF programme, a Lockheed spokesman said. "Clearly Airbus brings commercial-airline support infrastructure and expertise," the spokesman said.
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The Government of Greece has announced its selection of Pratt & Whitney's F100-PW-229 engine as the propulsion system for its new procurement of 50 Lockheed Martin F-16 aircraft. "We are tremendously honored and pleased to have the government of Greece as a new F100 customer," said Pratt & Whitney Military Engines President Steve Finger. "They are long-time F-16 users, and we applaud the fair and open competition that led to their choosing the F100-PW-229. We look forward to working very closely with Lockheed Martin and Hellenic Industry to support this very important customer." With the Greek government as a customer, there are now 20 countries internationally using the F100 engine, in addition to the U.S. Air Force.
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Telesat, the world's most experienced commercial satellite operator, has selected Arianespace to launch Anik F2, the largest telecommunications satellite ever sent into space. The two companies signed the launch contract in Venice, Italy, with the launch targeted for late 2002. Anik F2 is the fifth satellite that the European launcher will boost into orbit for Canada, following Anik E2 in April 1991, Anik E1 in September 1991, MSAT 1 in April 1996 and Anik F1, scheduled for launch this summer.
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Boeing has received an $8.2 million foreign military sales contract from the U.S. Air Force to integrate the Joint Direct Attack Munition on Israeli F-16 Peace Marble II & III aircraft. This contract marks the first international sale of JDAM. Boeing will deliver and integrate JDAM test kits for Mk-84, 2,000-pound warheads onto the F-16. A production contract for an unspecified number of JDAM kits is expected later this year. Boeing Military Aircraft and Missile Systems produces the JDAM in St. Charles, Mo. The program is currently in low-rate initial production but has orders from the U.S. government for approximately16,000 kits.
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On May 31, Boeing Airplane Services announced the introduction of its 747-300 modification program with a launch order from Atlas Air for the conversion of three 747-300 Combi airplanes into full freighters. "We are very pleased to announce the launch of our 747-300 modification program with Atlas Air," said Joseph Gullion, president of Boeing Airplane Services. "This program is a natural extension of our freighter conversion capabilities, with which we can match virtually any air cargo requirement." Currently, there are 80 747-300 airplanes in service. Boeing Airplane Services estimates approximately 50 percent of those airplanes will be converted to freighters over the next 20 years. "Demand for our 747 freighters continues to be strong," said Michael Chowdry, chairman, chief executive officer and president of Atlas Air, Inc. "Adding additional airplanes to our fleet through the conversion process has been one of our core business strategies to meet our customers' needs and we are pleased to be able to launch Boeing Airplane Services 747-300 conversion program."
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On May 30, Boeing confirmed an order from International Lease Finance Corporation (ILFC) for 50 Next-Generation 737s, bringing ILFC's total orders for the 737 family to 387. Today's is the second part of an agreement ILFC first announced last year to order up to 100 737s, consisting of 50 firm orders and this reconfirmable block for 50 additional airplanes. Total ILFC orders with Boeing now number 604 airplanes. This order was accounted for in cumulative order totals published recently by Boeing. Until this announcement, the customer for the order was listed as "unidentified." Since the launch of the Next-Generation 737 program, customers worldwide have ordered more than 1,450 of the advanced twinjets.
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On 25 May at 0015GMT, a Britannia Airways Boeing 757, call sign BAL556B, flying from Paphos to Gatwick, was the first aircraft to be formally monitored by the Height Monitoring Unit near Linz in Austria, operated by EUROCONTROL as part of the European Reduced Vertical Separation Minimum (EUR RVSM) Programme. On that same day - again a first for the Programme - a GO-FLY Boeing 737, call sign GOE 361, flying from Stansted to Alicante was monitored using an on-board GPS Monitoring Unit (GMU). Reduced Vertical Separation Minimum in the EUR RVSM Airspace will permit the application of a 1000 ft vertical separation minimum between suitably equipped aircraft in the level band from FL290 to FL410 (inclusive) as of 24.1.02. The purpose of RVSM is to increase airspace capacity and provide airspace users with more flight levels and thus optimised flight profiles. The entry into operational service on 25 May of the EUR RVSM MonitoringProgramme using both the Height Monitoring Unit (HMU) and GPS Monitoring Units (GMUs) represents a major milestone for the EUROCONTROL Organisation. Developing and implementing the monitoring systems has been EUROCONTROL's responsibility and, given the tight timescales, this timely start of operations is a positive sign for the whole Programme. The EUROCONTROL Agency is pleased to be in a position to announce this event because it reflects the extensive efforts made by all parties involved in ensuring that the RVSM implementation date of 24 January 2002remains firmly on track.
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Mr. Sabahattin Cakmakoglu, the Turkish Minister of Defense was present at TAI when Mr. Kaya Ergenç, Chairman of the TAI Management Board and Mr. Jean-François Bigay, Chairman of the Eurocopter Group Supervisory Board, officially handed over to General Attila Ates, Commander of the Turkish Land Forces, the keys to the first AS 532 UL Cougar out from the Turkish production line It was in Ankara, in 1997, that a contract worth approximately 450 MUS$ was signed by the Turkish government for the acquisition of 30 Cougar MK1 helicopters, together with an agreement for these helicopters to be built in Turkey, and for the creation of a consortium between Eurocopter and TAI (Tusas Aerospace Industries Inc.), called EUROTAI. This contract, known as PHENIX 2, covers the supply of 10 Cougar helicopters that will be allocated to the Turkish Land Forces, to be added to the first 20 units delivered in the frame of 1993 contract, and of 20 helicopters for the Turkish Air Force Search and Rescue (SAR) and Combat SAR missions. This first Cougar to leave the TAI assembly line is a utility / troop lift helicopter and it will be followed by 5 identical aircraft that will be delivered to the Turkish Land Forces, at the rate of one helicopter every two months. The remaining 22 helicopters, that include SAR and Combat SAR equipped units, will then be delivered at a rate of one per month, deliveries being completed in February 2003.
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The Eurofighter avionics flight development programme achieved its latest success as development aircraft DA4 completed the first twin-seater night flight. The aircraft achieved a 66 minute return flight between BAE SYSTEMS Warton and RAF Valley in North Wales. Eurofighter Typhoon project pilot Keith Hartley - replacing John Turner who has notched up over 100 flying hours on the programme - flew the aircraft with test pilot Craig Penrice in the back seat. The crew taxied the twin-seater at Warton to test both the taxi and anti-collision lights before flying to RAF Valley, where it carried out a variety of airfield approaches. During transit the aircrew assessed internal and external lighting both in and out of cloud.
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Bombardier Aerospace is significantly raising aircraft production as well as expanding its Northern Ireland manufacturing operations. The company's Belfast-based workforce will grow by 1,200-or 20 per cent-over the next two years. This involves a major investment by Bombardier at Belfast in plant, equipment, product development, and training. The production rate on major components in the CRJ 100/200 series, already produced in Belfast, will significantly increase. Additional work will be undertaken in Belfast on aircraft programs including the Canadair Regional Jet (CRJ) airliner, the Challenger 604® intercontinental business jet, and the Bombardier Global Express ultra long-range business aircraft. The expansion results directly from the success of Bombardier's regional airliners and business jets-segments in which Bombardier is the world leader.
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