Company Watch - Boeing.

Sep 17, 2007

Adam Air, the Indonesian budget carrier, has seen its passenger numbers rebound after slumping by around a third following a fatal plane crash earlier this year, a newspaper reported. Danke Dradjat, head of corporate communications at Adam Air, was quoted by The Jakarta Post as saying the number of passengers in the last few months had gradually picked up. He added that Adam Air, which now carries between 450,000 and 600,000 passengers a month, lost around 30 percent of its passengers following the crash. A Boeing 737-400 plane operated by Adam Air crashed on New Year's Day with 102 people aboard. The 17-year-old plane was heading from Surabaya in East Java to Manado in northern Sulawesi when it crashed into the sea with all presumed dead. Sep 11, 2007

Arik Air is Nigeria's fastest-growing privately owned airline and serves over 11 domestic routes with a fleet of 16 airplanes. The airline also is playing a pivotal role in the improvement of Nigeria's aviation infrastructure. Arik Air is the second African airline to select both the Boeing 787 and 777 twin-aisle jetliners. The airplanes' design and operational commonality allows airlines more choices and less risk in structuring the most economic, efficient and profitable route planning. Boeing is also working with the airline to help Nigeria achieve U.S. FAA Category 1 status, which would allow Arik Air to fly directly to and from the U.S. Sep 13, 2007

Boeing and Arik Air, Nigeria's newest commercial carrier, announced an order for 10 787-9s and one 777-300ER (Extended Range). The order is valued at approximately $1.8 billion at list prices. The 777-300ER was previously booked as unidentified on Boeing's Orders & Deliveries website. Arik's 10 737-800s and four 787-9s will be added at the next scheduled website update. In April, Arik Air took delivery of two 737-700s and announced an order for two 777-200LRs (Longer Range), two 777-300ERs and three 787-9s to initiate the largest and most aggressive fleet modernization program in Nigeria's aviation history. Sep 13, 2007

Boeing booked orders for 75 commercial planes in August, compared to 25 for Airbus, propelling the US planemaker ahead of its main rival in the annual race for orders. Boeing, which is dominating the market for widebody planes with its carbon composite 787 Dreamliner, had 841 orders as at September 5, adjusted for cancellations. Airbus, which does not adjust for cancellations until the end of the year, had 713 orders at the end of August. The figures are from the companies' web sites. Airbus, which in the past week announced new orders from Czech Airlines, Hong Kong Airlines and US lessor Aviation Capital Group, rival Boeing seems set to clinch the title of biggest-selling plane maker for the second year running. Strong orders for the two companies combined, which may yet break 2005's record of more than 2,000, indicate that demand remains strong, and so far unaffected by problems in the credit markets, according to analysts. Sep 14, 2007

Boeing completes assembly of new global positioning satellite. Boeing has completed assembly of the first in a new version of global positioning satellites. The company has contracted to build 12 of the block IIF satellites, which will be used for both military and civilian navigation. The Air Force-commissioned satellites will offer improved performance to the military and better signals for civil aviation. Sep 13, 2007

Boeing awarded $1.1 billion Air Force tanker maintenance deal. The Air Force tapped Boeing for a $1.1 billion, 10-year deal to maintain its Eisenhower-era aerial refueling tankers. Boeing will provide depot-level maintenance, repairs and repainting for more than 200 of the aerial refueling aircraft at facilities in Texas, Oklahoma and Missouri. Sep 12, 2007

Boeing will have to pull off the most aggressive flight-testing program in its history--and pray that no new problems arise, if the first 787 Dreamliners are to be delivered to customers on-time next year. Boeing is in a bind because of production foul-ups, discovered in August, that caused it to announce last week that it's delaying the maiden flight of the new jet from late summer to late fall. Those are "growing pains" that are to be expected for an aircraft that involves new materials " composites make up more than 50 percent of the 787 " and new production processes, W. James McNerney Jr., the company's chairman and CEO, said at a conference sponsored by investment bank Morgan Stanley. Sep 12, 2007

Australia's Boeing C-17 fleet passes operational milestone The Royal Australian Air Force is ready to put its first two Boeing C-17 strategic transports into operational service, Sep 11, 2007

Aviation Partners Boeing announced an order for 15 blended winglet shipsets for Delta Air Lines 767-300ERs. DL now plans to install winglets on 30 -300s by early 2010 and holds options on the remainder, Sep 11, 2007

Boeing 787 launch customer Jetstar is concerned that operating costs for its new fleet will be significantly higher than expected after receiving the first batch of bids for aftermarket support. Speaking at the maintenance master class during last week's Asian Aerospace Congress in Hong Kong, Seb Mackinnon, acting general manager of procurement at the Qantas low-cost subsidiary, said that the figures Jetstar has calculated so far for 787 per hour operating cost is "quantum higher than what the Qantas Group was expecting and that's obviously pretty alarming". Jetstar also expects the prices to come down as second and third bids are received. "It's early days," Mackinnon says. According to Flightglobal. Sep 11, 2007

Boeing 787 first flight suffers two-month delay Shortages of airworthy fasteners and flight control software have forced Boeing to further compress the 787's. Sep 10, 2007

Boeing data shows little room for manoeuvre if 787 Dreamliner delays occur Data furnished by Boeing since last week reveals just how thin is the margin for error for completing the compressed 787 flight test. Sep 10, 2007

Boeing flies first modified 737 surveillance aircraft for Turkey. Turkey[sup.1]s delayed [sup.3]Peace Eagle[sup.2] airborne early warning and control aircraft project has received a welcome boost, with the nation[sup.1]s first. Sep 10, 2007

Boeing will supply GoldCare Material Management services to GE Aviation, providing repair and overhaul services for the 787 Dreamliner under-wing rotable airplane components as an offering with GE's OnPoint solutions on GEnx engines. To deliver GoldCare services, Boeing leads a global team performing comprehensive material management, engineering and maintenance services at a predictable per-flight-hour cost. GoldCare services for airlines provide 24x7 operations center support using enabling technologies to turn airplane operating data into actionable information to enhance efficiency and maximize airplane availability. Sep 11, 2007

Boeing outlines revised production and test sequence Boeing says that the first four Boeing 787s - all of which are Rolls-Royce Trent 1000-powered - will undertake the bulk of the aircraft's flight-test. Sep 10, 2007

Antenna promises faster-than-cable in-flight Internet connection. Starling Advanced Communication recently conducted a test that connected a Boeing 737 to the Internet at 20 megabits per second--nearly 2.5 times the speed of a typical cable connection. The antenna has a 75-centimeter diameter and can be mounted on the plane's fuselage. The testing team was able to conduct typical online business activities as well as participate in video conference calls, make phone calls with Skype and download large files. Sep 12, 2007

CSA Czech Airlines announced the conversion of eight Airbus A319 options stemming from its 2004 order for delivery in 2011-12. CSA, which is replacing its Boeing 737s, already has taken delivery of six A320s and two A319s. Four more A319s will arrive in 2008. Sep 13, 2007

CSA Czech Airlines said it had decided to retain a long-haul fleet, and may add the twin-aisle Boeing 767 or Airbus A330 planes to its portfolio if it finds affordable ones with the desired configuration on the market. CSA, a member of the Sky Team alliance which also includes Air France-KLM , Delta Air Lines and Alitalia, operates a fleet of 50 mostly medium-haul aircraft. Sep 13, 2007

Delta looking to reduce fuel costs with winglet retrofits. Aviation Partners Boeing has announced an order from Delta Air Lines for 15 winglet systems to be installed in the carrier's fleet of Boeing 767-300ERs. Aviation says the retrofit will allow Delta to reduce fuel costs on current routes and allow it to serve new markets with existing aircraft by providing fuel savings, added range, and improved takeoff performance. The retrofit will also lower carbon dioxide and nitrous oxide emissions along with takeoff noise. Sep 10, 2007

Emirates unconcerned by possible Dreamliner delay. Emirates President Tim Clark said that the possible delayed delivery of Boeing's 787 Dreamliner would not be a factor in the airline's evaluation of the 787 and A350 for an order for 100 aircraft. "It would have been a miracle for Boeing to have flown the 787 on time," Clark said. The 787 Dreamliner will be "one of the finest aircraft ever built," he said. "If you think about it, there is just so much new technology in the 787 it is no surprise at all there is a short delay and the supply chain has let [Boeing] down." Sep 10, 2007

EVA Air sold an MD-11 freighter to Wells Fargo Bank for $55 million, booking a gain of TWD50 million ($1.5 million) on the deal, Dow Jones reported. EVA now operates nine MD-11Fs, but will continue to sell the aircraft as it converts nine Boeing 747-400 Combis into freighters, an EVA spokesperson told the news service. Sep 11, 2007

Honeywell links Boeing 787 software fix to design stability Honeywell has shed more light on the causes of the flight control software delay that has helped push back the Boeing 787[sup.1]s first flight by three. Sep 12, 2007

Jetstar airs concerns about Boeing 787 maitenance costs Boeing 787 launch customer Jetstar is concerned that operating costs for its new fleet will be significantly higher than expected. Sep 10, 2007

Kuwait Airways late last month cancelled an initial order for 19 aircraft from Kuwait's Aviation Lease and Finance Co (Alafco), saying parliament had refused to approve funding for the deal, worth about USD$3 billion. The airline said a law that would allow it to borrow to finance its fleet renewal had yet to be approved. The loss-making airline was ordering the new aircraft from a lessor rather than direct from the manufacturers because it wanted delivery between 2009 and 2014. Alafco had already ordered the Boeing 787s that Kuwait Airways wanted and would have been able to deliver sooner than the makers. Sep 11, 2007

Kuwait's government accepted on Sept. 10 the resignation of the board of state-run Kuwait Airways, embroiled in a dispute with parliament over a USD$3 billion plane order. The state news agency KUNA said the Gulf Arab state's cabinet also asked acting transport minister Abdulwahed al-Awadhi to submit a report on the problems the airline faced. Kuwait is in talks with Boeing and Airbus about buying aircraft after the deal was scrapped, Kuwaiti newspapers said late last month. Sep 11, 2007

Telair International was selected by Nippon Cargo Airlines to supply lower and main deck cargo-loading systems for 14 Boeing 747-8 Freighters ordered by NCA. Sep 12, 2007

Northwest Airlines on Sept 12 retired its final passenger Boeing 747-200 from scheduled service. Last flight was Tokyo Narita-Seattle-Minneapolis/St. Paul. The aircraft joined the fleet in 1979. Northwest will continue to operate 747-200s as charter aircraft; it replaced them with Airbus A330s. By year end it will operate 21 A330-300s and 11 A330-200s. Sep 13, 2007

Northwest Airlines retires its last Boeing 747-200 from regular service. Northwest Airlines said on Sept. 12 it has retired its last 747-200 plane from regular service. The airline still operates Boeing 747-400 aircraft. The plane's last flight was from Tokyo to Seattle. It will be replaced by a smaller type Airbus A330, which is more fuel efficient and quieter. The airline's two remaining 747-200 planes will be used on charter flights for the next 18 months. Sep 13, 2007

Southwest flight forced to land after landing gear failed to retract. A Southwest Airlines flight returned to Oakland International Airport after its nose landing gear of the Boeing 737 failed to retract. FAA officials say Southwest flight 614 was en route to San Diego Wednesday morning, but the pilot couldn't get the landing gear to come up after taking off. The plane turned around and landed safely at Oakland several minutes later. Sep 13, 2007

Market for planes expected to stay strong. Spirit AeroSystems' chairman and chief executive Jeff Turner said Tuesday that demand for airliners continues to climb, and any downturn would likely be minor. Boeing chief executive Jim McNerney agrees that the case for a continued positive cycle is strong. The two executives pointed out that airplanes are flying at capacity, and orders for planes are coming in faster than deliveries can go out. Sep 12, 2007

FAA approval sought for electric motors for moving aircraft on ground. WheelTug and Newport Aeronautical Development are expected to announce their application to the FAA for approval to install fuel-saving motors on Boeing 737s. WheelTug says the motor allows pilots to push back from passenger terminals without the use of an external tug and can power taxi at speeds of up to 20 miles per hour, eliminating the use of jet engines for movement about the airport. Sep 10, 2007

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