Alaska Airlines Becomes First U.S. Airline to Launch Electronic Bag Tag Program
Alaska Airlines announced on Tuesday it’s poised to become the first U.S. airline to launch an electronic bag tag program later this year.
“This technology allows our guests to tag their own bags in just seconds and makes the entire check-in process almost all off-airport,” said Charu Jain, senior vice-president of merchandising and innovation for Alaska Airlines. “Not only will travelers with the devices be able to quickly drop-off their luggage, our electronic bag tags will help also reduce lines in our lobbies and give our employees the opportunity to spend more one-on-one time with guests who ask for assistance.”
The electronic bag tags will allow guests to skip the step of printing traditional bag tags upon arrival at the airport. Instead, guests will be able to activate the devices from anywhere — their home, office or car – up to 24-hours before their flight using the Alaska Airlines mobile app.
The activation is done by simply touching the phone used for check-in to the electronic bag tag, which has an antenna that powers and reads the information transmitted from the phone. The e-paper bag tag’s screen will then display the guest’s flight information.
Jain expects Alaska Airline’s electronic bag tag will reduce the time guests spend dropping-off checked luggage by 40%. For example, a guest flying through Alaska Airline’s tech hub at Norman Y. Mineta San Jose International Airport, could drop off their luggage at the self-bag drop in three minutes or less.
“Alaska Airlines is the first U.S. airline to pioneer this innovative electronic bag tag program here at SJC,” said San José Mayor Sam Liccardo. “This program will modernize the check-in process and provide a more sustainable option for travelers.”
“Our electronic bag tags will not require batteries and are durable enough to potentially last a lifetime,” said Jain.
Rollout of the electronic bag tags will happen in several phases. The first phase will initially include 2,500 Alaska Airlines’ frequent fliers who will begin using the electronic bag tags in late 2022. Mileage Plan members will have the option to purchase the devices starting in early 2023.
Alaska Airlines is partnering with Dutch company BAGTAG on the electronic bag tag. The devices are equipped with durable screens that have been tested to withstand being run over a luggage cart and are affixed to baggage just like any other bag tag, using an industrial strength plastic zip tie.
“We are very proud to announce the first American carrier adopting our EBT solutions,” said BAGTAG managing director Jasper Quak. “Alaska Airlines’ relentless efforts to make their passenger journey a true 21st-century experience makes us very confident in a successful rollout among their guests.”
Farnborough Update:
777 Partners Expands 737 MAX Fleet, Ordering Up To 66 More Fuel-Efficient Jets
Boeing and 777 Partners announced a new order and commitment for up to 66 737 MAX jets, including a firm order for 30 ultra-efficient, high-capacity 737-8-200s. This is the U.S. investment firm’s fifth order for the industry’s most fuel-efficient jet in its class, rapidly building its portfolio to as many as 134 737 MAXs since 2021. The two companies announced the order with a signing ceremony at the Farnborough International Airshow.
777 Partners has used the 737 MAX to launch a number of low-cost carriers around the world, with more to follow. Currently, its investments include Flair Airlines, Canada’s only independent ultra-low-cost carrier, and Bonza Airline, an Australian start-up that will launch operations this year. The investment firm has earmarked the 737-8-200, which accommodates more than 200 passengers, to grow operations by increasing revenue potential while reducing carbon emissions, fuel consumption and operating costs.
“This new order marks another milestone in the robust growth of our aviation businesses and concurrently, our partnership with Boeing,” said Josh Wander, managing partner of 777 Partners. “We are excited about the possibilities the MAX aircraft provide our growing group of carriers to facilitate and democratize low-cost travel around the globe while respecting our commitment to sustainable flying.”
“777 Partners is leveraging the cost efficiencies of the 737-8 and 737-8-200 for its diverse network of airlines, while also providing an excellent passenger experience and meeting sustainability goals,” said Stan Deal, president and CEO of Boeing Commercial Airplanes. “777 Partners has had tremendous success establishing new carriers worldwide with the 737-8, and the 737-8-200 will allow for continued growth as an even more efficient addition to its portfolio.”
The 737 MAX delivers enhanced efficiency, improved environmental performance and increased passenger comfort to the single-aisle market. Powered by CFM International LEAP-1B engines and incorporating advanced technology winglets, the 737 MAX offers excellent economics. The airplane family reduces fuel use and emissions by 20% compared to jets it replaces.
777 Partners is a Miami-based private investment firm that invests across a number of high growth attractive verticals. Founded in 2015, 777 Partners strategically invests across six broad industries: insurance; consumer and commercial finance; litigation finance; direct lending; sports, media and entertainment; and aviation. The firm seeks to acquire and build operating businesses that generate long-term, high quality predictable cash flows for its proprietary balance sheet, while consolidating operations across like businesses to create efficiencies and economies of scale. 777 Partners invests at all stages of the business cycle and targets companies accretive to its existing portfolio.
Bonza is Australia’s new, and only independent low-cost airline takes off in 2022*, enabling Australians to explore more of their own backyard, and at low-cost prices. Bonza’s initial route map includes 27 routes to 17 destinations. Ninety three per cent of Bonza routes are not currently served by any airline and ninety six percent not currently served by a low-cost carrier. The only place to book direct is on the FlyBonza App. *Subject to regulatory approval.
Flair Airlines is Canada’s leading low-fare and greenest airline. Flair’s mission is to democratize air travel for all Canadians providing affordable airfare that connects them to the people and experiences they love. With an expanding fleet of Boeing 737 aircraft, Flair is growing to serve over 30 cities across Canada, the U.S., and Mexico. For more information, please visit www.flyflair.com.
Boeing and Qatar Airways Finalize Order for 25 737 MAX Airplanes
Boeing and Qatar Airways finalized an order for 25 737 MAX airplanes, providing the flag carrier’s short- and medium-haul fleet with improved economics, fuel efficiency and sustainable operations. Company leaders announced the order for the 737-10, Boeing’s largest and most efficient single-aisle jet, in a signing ceremony at the Farnborough International Airshow.
“We are honored that Qatar Airways has decided to add Boeing’s single-aisle family to its fleet, deepening our relationship with this world-class airline,” said Stan Deal, Boeing Commercial Airplanes president and CEO. “The 737-10 is ideally suited for Qatar Airways’ regional network and will provide the carrier with the most capable, most fuel-efficient airplane in its class.”
Seating up to 230 passengers with a range of 3,300 nautical miles, the 737-10 is the largest airplane in the 737 MAX family, offering greater fuel efficiency and the best per-seat economics of any single-aisle airplane in the industry. The jet can cover 99% of the world’s single-aisle routes.
In January, Boeing and Qatar Airways announced a Memorandum of Understanding for 737 MAX airplanes at a ceremony in Washington, D.C. In addition, the airline became the global launch customer for the new 777-8 Freighter, with an order for up to 50 freighters.
Qatar Airways operates more than 120 Boeing airplanes including 777 and 787 passenger jets along with 747 and 777 freighters.
A multi-award winning airline, Qatar Airways was announced as the ‘Airline of the Year’ at the 2021 Skytrax World Airline Awards. It was also named ‘World’s Best Business Class’, ‘World’s Best Business Class Airline Lounge’, ‘World’s Best Business Class Airline Seat’, ‘World’s Best Business Class Onboard Catering’ and ‘Best Airline in the Middle East’. The airline continues to stand alone at the top of the industry having won the main prize for an unprecedented sixth time (2011, 2012, 2015, 2017, 2019 and 2021).
easyJet Confirms Order For A Further 56 A320neo Family Aircraft
easyJet has confirmed a firm order for 56 A320neo Family aircraft following shareholder approval. The order is part of easyJet’s fleet renewal and up-gauging, cost and sustainability enhancements to the business. The agreement includes an upsizing of 18 A320neo to the larger A321neo model.
Kenton Jarvis, CFO for easyJet, said: “We believe this order will support positive returns for the business and the delivery of our strategic objectives. The new aircraft are aligned with easyJet’s sustainability strategy, with the adoption of the more efficient new technology aircraft being a core component of easyJet’s path to net zero emissions. Alongside this, the new aircraft are significantly quieter, with half the noise footprint of the older aircraft they are replacing.”
“easyJet has democratised flying for millions of travellers and we are delighted this latest agreement for 56 A320neo Family aircraft not only future proofs its growth as traffic rebounds, but also lays the foundations for its sustainability journey”, said Christian Scherer, Chief Commercial Officer and Head of Airbus International.
easyJet currently operates a fleet of over 300 A320 Family including the A319, A320ceo, A320neo and A321neo, making it the world’s largest airline operator of Airbus’ single aisle aircraft. easyJet serves over 130 European airports in some 31 countries operating over 1,000 routes.
The A320neo Family incorporates the very latest technologies including new generation engines and Sharklets, which together deliver at least 20 percent fuel saving. With more than 8,100 orders from more than 130
Norse Atlantic Airways Launches with Boeing Digital Flight Operations Solutions
Norse Atlantic Airways announced that it has selected several of Boeing’s digital solutions to streamline operations and increase flight deck efficiency as the new airline commences Transatlantic service this summer.
Norse will integrate the following solutions to support their new 787 fleet as part of a five-year agreement that covers the entire fleet:
- Jeppesen FliteDeck Pro
- Ground Controls and Tailored Maps
- Aviator / FliteBrief
- Onboard Performance Tool (OPT)
- Ops Data and FMS NavData
These digital tools enable flight crews to perform real-time weight and balance and takeoff and landing calculations that reduce maintenance costs, optimize payload capacity, and streamline cockpit operations. Jeppesen’s digital navigation chart services increase flight deck efficiency and integrate key aviation functions efficiently, in a self-service environment.
“We are very pleased to have selected Boeing’s digital solutions that will provide our operations department and flight crew with vital tools from initial flight planning to in-flight operations. The increase in efficiency these digital solutions provide will allow Norse Atlantic to increase on-time performance and maintain a low-cost base. The technology will also enable us to reach our goal of a fully paperless flightdeck environment,” said Thom-Arne Norheim, Norse Atlantic Airways Chief Operational Officer.
FliteDeck Pro is a mobile navigation application used by more than 80% of commercial pilots around the globe. The fleet agnostic app for tablet devices provides pilots with all the aeronautical maps, charts, manuals and documents needed for paperless flying.
This agreement builds on a previously-announced agreement with Norse as the launch customer for Boeing Mobile Logbook, as well as Software Distribution Manager and Maintenance Performance Toolbox. These solutions are part of Boeing’s extensive portfolio of digital maintenance management solutions that provide a simplified approach with accelerated results.
Norse Atlantic Airways offers affordable fares on long-haul flights, primarily between Europe and the United States. Norse has a fleet of 15 Boeing 787 Dreamliners that will serve destinations including New York, Los Angeles, Fort Lauderdale, Orlando, Berlin and Paris. The company’s first flight took off from Oslo to New York on June 14, 2022.
As a leading global aerospace company, Boeing develops, manufactures, and services commercial airplanes, defense products and space systems for customers in more than 150 countries. As a top U.S. exporter, the company leverages the talents of a global supplier base to advance economic opportunity, sustainability and community impact. Boeing’s diverse team is committed to innovating for the future, leading with sustainability, and cultivating a culture based on the company’s core values of safety, quality and integrity. Join our team and find your purpose at boeing.com/careers.
Public Perceptions About Autonomous Aviation, Flying Taxis to Be Enhanced Through Inmarsat And Flight Crowd Partnership
Future flight technologies, such as all-electric and autonomous aircraft, hold the key to a more sustainable and innovative air transport industry. However, public perception of these marvels of engineering can be mixed due to concerns over safety, cybersecurity and environmental impact. With more than ten million commercial uncrewed aerial vehicles (UAVs) predicted to be in flight by 2030, it is vital that the aviation industry improves public awareness and acceptance of Urban Air Mobility (UAM) in order to truly unlock its transformational benefits.
A first-of-its-kind, global partnership between Inmarsat and Flight Crowd, announced at the Farnborough Airshow 2022 today, will improve engagement with both the industry and the general community through a series of collaborative outreach projects.
These projects – designed to inform, engage and inspire – aim to improve understanding of the air mobility sector for both the public, government and wider aviation industry. They will showcase the many benefits this new industry will bring and improve education around the impact it will have in the decades to come. The projects will reach enthusiasts, experts and the public, including in educational settings through Science, Technology, Engineering, Arts and Mathematics (STEAM) activities.
Bringing the extensive capabilities of UAM to the forefront of industry conversation, the partnership will highlight the importance of future flight technologies in supporting the vital mobility of people, goods and other services across regional, urban and underserved areas. Taking an international approach to project implementation, Inmarsat and Flight Crowd will bring resources, events and initiatives to communities worldwide and encourage them to have a voice in shaping the future flight industry.
Flight Crowd has joined Inmarsat’s Velaris Partner Network, an ecosystem of leading companies that are pioneering new innovations to facilitate safe and secure Advanced Air Mobility (AAM) operations, helping the industry reach its full potential. The network utilises Inmarsat’s ground-breaking Velaris global connectivity solution, which was launched in 2021, and builds on the company’s vast expertise of more than 30 years in air traffic management communications. This experience will also be essential in providing contextualised learning for Flight Crowd’s projects and for instilling trust in the public.
Anthony Spouncer, Inmarsat Aviation’s Senior Director of Advanced Air Mobility, said: “To ensure the adoption of Urban Air Mobility is carried out in a managed and sophisticated way, operators must not only have the backing of the industry, but also positive public acceptance. This simply will not be possible without an investment in education, which is exactly what this partnership aims to achieve. Sustained education programmes that reach communities outside of our sector are important and Inmarsat is proud to work with the experts at Flight Crowd to help realise this objective.”
Mariya Tarabanovska, Founder of Flight Crowd, said: “Inmarsat will be an unparalleled partner for our mission to strengthen the global community’s interest and support of electric and autonomous aviation. To help alleviate any public concerns, it is crucial to raise awareness of the operational benefits that Urban Air Mobility and Advanced Air Mobility technologies offer. Flight Crowd is excited to combine our expertise to improve public perception and desirability of future flight with the global leader in communications and connectivity. This partnership will help us contribute to the safe and connected future of air mobility, while ensuring the ecosystem is built on transparency, diversity and inclusion. We look forward to working alongside Inmarsat to ensure a positive and transformative future for the industry.”
Vision-Box
Vision-Box, a global industry leader in biometrics seamless travel, automated border management and electronic identity management solutions, announced that its facial recognition technology was accredited as top-ranked at the US Department of Homeland Security’s MdTF Biometric Rally 2021 – an organization that evaluates state-of- the-art biometric identity verification systems for high throughput use cases. This proof of value validates that the algorithms are more effective in their performance than others. When excluding the acquisition errors, the Vision-Box engine delivered top performance across all capture devices.
The 2021 Biometric Technology Rally demonstrates the ability of biometric systems to reliably acquire and match images of diverse individuals across age, gender, race, and other characteristics, including those wearing face masks. Both acquisition systems and matching algorithms are evaluated as part of the Rally, and the data collected from the acquisition systems during scenario testing is used to assess the performance and interoperability with matching algorithms. For the first time, the 2021 Rally reported on the ability of commercial biometric systems to work reliably across demographic groups.
Vision-Box rose to the challenge, by developing its AC2.5 version engine for its facial recognition technology, which delivered an improved matching performance with masks when compared with the previous AC2.0 engine. The advanced AC2.5 engine helped Vision-Box secure to its top-tier performance at the MdTF Biometric Rally 2021. For more information
check out https://mdtf.org/Rally2021 and Vision-box alias Yampa.
Since the onset of the pandemic, biometric technology companies have been trying to solve the challenges of face masks obstructing facial recognition technologies and enabling seamless access. This was particularly important for Vision-Box, as the company was keen to reduce the risk for both public and frontline security checkpoint personnel by eliminating the need for travelers to remove face masks for biometric identification.
Speaking about the recognition, Miguel Leitmann, the CEO of Vision-Box said: “At Vision-Box, we are pleased with the recognition from the US Department of Homeland Security’s MdTF Biometric Rally. The validation is proof of our efforts to improve our algorithm in a real environment. The Vision-Box team will continue to push the boundaries to deliver seamless technologies for all our stakeholders.”
MdTF Biometric Rally 2021 and Vision-Box’s recent renewal of its Privacy by Design certification for Orchestra Digital Identity Management Platform support our solutions. Due to its state-of-the-art features and Privacy by Design certification, Orchestra is utilized by airlines, national border control agencies, and airports around the world.
Southwest Airlines Launches World’s First Flight Tracker with Destination Reels from FlightPath3D
FlightPath3D, the leader in moving map technology, announces that Southwest Airlines has successfully upgraded to its new inflight moving map – an all-in- one virtual world where passengers can use augmented reality and watch short-form videos to connect the flight journey with their destination.
The inflight experience captivates passengers with a 3D map of the route and virtual reality views of the flight deck, window, and aircraft. The world’s first inflight Destination Reels application is an immersive travel guide loaded with mobile-friendly, short-form videos for all 118 Southwest® destinations. This ground-breaking experience for Southwest passengers is:
Immersive – see a view that pilots get with a virtual flight deck, window, or walk on a beach in Miami
Personal – explore destinations based on interests with video playlists such as nature, architecture, or instagrammable hot spots
Savable and Shareable – you can build your own itinerary, save it, and share it
Smart – the aircraft model is a 3D digital rendition of the specific Southwest aircraft you’re flying on
Mobile First – zoom around a 3D world or swipe through thousands of destination reels on your mobile device
“More than one-third of all time spent in the Inflight Portal is the flight tracker and destination guide and we know our Customers enjoy this feature while onboard,” said Tony Roach, Vice President Customer Experience & Engagement at Southwest Airlines. “We are excited to be the launch airline for this Flight Tracker with Destination Reels, delivering exclusive short video destination content directly to our Customers as we continue to enhance our Customer Experience through the various touchpoints in their journey.”
FlightPath3D is putting its full force behind its latest innovation called Destination Reels so that passengers can immediately get a vibe for any destination. Watch the top 100 experiences trending in San Francisco or choose a playlist to see the most photogenic, family-friendly, or must-see museums. After browsing the built-in lists, passengers may decide to build, organize, and map their own itinerary with the trip planning feature. Southwest is the launch airline to integrate the new Destination Reels experience.
“There is a gap between the on-board experience and what consumers are used to with the latest Internet apps such as Instagram, TikTok, etc. We’ve created a virtual 3D world to track the flight packed with a feed of thousands of destination videos to bridge this gap,” said Duncan Jackson, President of FlightPath3D. “We’re using data science to rank attractions and help match user interests to destination experiences to promote more travel.”
News From Farnborough:
AerCap
Boeing and AerCap Holdings N.V. (“AerCap”) announced that the global lessor is growing its substantial 787 Dreamliner portfolio with an order for five additional 787-9 jets.
AerCap now has 125 787 Dreamliners in its portfolio or on order. The world’s largest 787 customer, AerCap continues to invest in the 787 family, which has received more than 700 repeat orders from 47 customers across the globe. The 787 has been the most-utilized widebody throughout the pandemic due to its efficiency, capacity and capability.
Aviation Capital Group
Boeing and Aviation Capital Group LLC (ACG) at the Farnborough International Airshow announced the aircraft lessor is growing its 737 MAX portfolio with an order for 12 additional 737-8 jets. As the travel market recovers, ACG is increasing its 737-8 offering to meet airline demand for modern, fuel-efficient, and sustainable operations. The order was previously unidentified on Boeing’s Orders and Deliveries website.
This announcement will see ACG expand its 737 MAX order book to 34 airplanes, building upon an order for nine 737-8s in May 2022. Boeing is seeing strong market demand for the 737 MAX family, with more than 1,000 gross orders across all models since late 2020.
Delta Air Lines
Boeing and Delta Air Lines announced the U.S. carrier will modernize its single-aisle fleet with the highly efficient 737 MAX to meet demand as well as its long-term sustainability goals. In a signing ceremony at the Farnborough International Airshow, the companies said Delta is ordering 100 737-10 jets – selecting the largest member of the 737 MAX family – with options for an additional 30 airplanes.
The 737-10 will provide Delta Air Lines with the best per-seat economics of any single-aisle Boeing model, reducing fuel use and emissions by 20-30 percent compared to the airplanes it replaces. The jet can cover 99% of single-aisle routes around the world, seating up to 230 passengers with a maximum range of 3,300 nautical miles.
ANA Holdings
Boeing and ANA HOLDINGS, the parent company of All Nippon Airways (ANA), held a signing ceremony today at the Farnborough International Airshow to formalize an order for 20 737-8 airplanes, with 10 options in addition to the airline’s selection of the new 777-8 Freighter. ANA is the first 737 MAX customer in Japan and first carrier in Asia to choose the 777-8 Freighter. The order was previously unidentified on Boeing’s Orders and Deliveries website.
With commonality and enhanced efficiency, the 737-8 will enable ANA to optimize its fleet across its operations while reducing fuel use and carbon emissions by 20% and noise by 50% compared to airplanes it replaces. The 737 MAX family has the latest CFM International LEAP-1B engines, advanced technology winglets and other aerodynamic enhancements to improve performance and reduce operating costs. More than 40 airlines globally are operating the 737 MAX, which has made over 680,000 revenue flights totaling nearly 1.7 million flight hours since late 2020.
ANA has converted two orders for the 777-9 passenger jet to the 777-8 Freighter. With the new freighter, ANA will be able to carry up to 10 tonnes more payload and fly further than the 777 Freighter with at least a 10% improvement in fuel efficiency, emissions and operating costs per tonne. Featuring the world’s largest composite wing and more efficient engines, the new 777-8 Freighter is ideally suited for operators committed to creating a more sustainable and profitable future. The 777-8 Freighter will interline seamlessly with ANA’s existing 777 Freighter fleet, using the same containers and pallets.
Delta Air Lines
Delta Air Lines has firmed up orders for 12 A220-300 aircraft, bringing Delta’s total firm order for A220s to 107 aircraft – 45 A220-100s and 62 A220-300s. The A220s will be powered by Pratt & Whitney GTF™ engines.
Delta took delivery of its first Airbus A220 in October 2018, and was the first U.S. carrier to operate the aircraft type. As of the end of June 2022, Delta was operating a fleet of 388 Airbus aircraft, including 56 A220 aircraft, 249 A320 Family aircraft, 57 A330s and 26 A350-900 aircraft.
The A220 is the only aircraft purpose-built for the 100-150 seat market, bringing together state-of-the-art aerodynamics, advanced materials and Pratt & Whitney’s latest-generation GTF™ engines. The A220 brings customers a 50% reduced noise footprint and up to 25% lower fuel burn per seat and CO2 emissions compared to previous generation aircraft, as well as around 50% lower NOx emissions than industry standards.
With 220 A220s delivered to 15 airlines operating on four continents, the A220 is the optimal aircraft for regional as well as long-distance routes. To date, 60 million passengers have enjoyed the A220. The fleet is currently flying on over 700 routes and 300 destinations worldwide. As of the end of June 2022, over 25 customers have ordered 760+ A220 aircraft – confirming its breakthrough on the small single-aisle market.
Latitude Aero
Latitude Aero, a global aircraft seating overhaul provider, is thrilled to announce the re-launch of its website, www.latitude-aero.com. The company has been operating since 2015 and has updated its branding toreflect new and growing service offerings.
The site features a clean, functional, and user-friendly design with a multinational focus. New language translation geared toward international customers that make up 40% of Latitude’s business will make accessing service and product
information easier for Mandarin and Arabic-speaking clients. Language translation is also in the works for Spanish and
Portuguese.
Originally borne from an industry need for in-seat power and entertainment retrofitting, the company has developed and
expanded to offer turn-key seat refurbishment, seat repair, deep cleaning, and contract maintenance for large-fleet
operators. Their customer list now includes SKYTRAX Top 50 airlines, governmental Head of State, university and
professional sport teams, and other high net worth companies and individuals.
“A new website was overdue,” says Kelvin Boyette, President & CEO of Latitude Aero. “What we have just launched is
reflective of where we’ve expanded geographically, and where we’ve expanded in our sector with regards to capabilities.”
To debut the re-vamp, Latitude Aero invited visitors to explore the new website in their largest exhibition stand to date at Aircraft Interiors Expo. AIX is the world’s largest and most premier aviation trade show, hosted in Hamburg, Germany in
June.
Latitude Aero is a global aircraft seating overhaul provider that specializes in the repair and refurbishment of aircraft
seating components, to provide economically viable solutions for cabin upgrades of any scope. We help airlines modernize
aircraft and expertly provide contract maintenance, parts manufacturing, deep cleaning, and repair services. Latitude is a growing company headquartered in Greensboro, North Carolina, and looking to open more service and repair stations domestically and internationally in 2022. For more information, visit latitude-aero.com.
The new Airbus BelugaXL’s first flight was a few days ago and the airplane’s “face” was just too good not to make it the rectangle for this week’s IFExpress. Following the first flight, the BelugaXL will undergo some 600 hours of flight test over 10 months to achieve Type Certification and entry into service later in 2019. The BelugaXL program was launched in November 2014 to address Airbus’ transport capacity requirements in view of the A350 XWB ramp-up and Single-Aisle production rate increases. Five aircraft will be built between 2019 and 2023 to gradually replace the five BelugaST. The aircraft will operate from 11 destinations as Airbus’ method of transporting large aircraft components they say. Based on an A330-200 Freighter, the BelugaXL is powered by Rolls Royce Trent 700 engines and can haul an incredible 50 tons of load with a total take-off weight of 230 tons! It will haul some 30% more than it’s predecessor. It is longer by 20 feet as well. The lowered cockpit, the cargo bay structure and the rear-end and tail were newly developed jointly with suppliers, giving the aircraft its distinctive look. Congratulations Airbus, the BelugaXL is a “whale” of a good looking airplane!
And speaking of airplanes, last week’s Farnborough Airshow generated over $192 Billion is plane sales/commitments with Boeing claiming over 100 airplane orders, while Airbus claimed some 60% of the single aisle business. We should note that while Airbus snagged some 70 orders from China, Boeing got none. (Hmm, wonder why?) Anyway, here are some summaries:
(Editor’s Note: The amount of airplane sales and total value of them varied at almost every report we researched. We did our best to give our readers summary numbers.)
Interestingly, the names of some 400 airplane purchases were withheld probably because of competitive reasons. Further, keep in mind, planemakers use shows to “announce” deals that were in work for months – obviously looking better at the show, and as Reuters noted: “The two companies have so far signed deals worth more than $100 billion at current list prices. However, this is a gross number. Several of the deals firm up provisional ones, disclose previously unidentified buyers, or change existing orders, making it hard to gauge the level of new business.”
We also noticed that Boeing and Airbus were selling their smaller and newest single aisle planes: Airbus A220 – 60 sales, and Embraer – 300 plane sales, as this small aircraft market also took off.
So, in summary, this year’s sales saw some 1,432 deals in aircraft, engines, and related equipment. As one writer noted: “The biannual air industry gathering recorded more than 1,400 commercial aircraft orders, valued at US$154 billion, alongside at least 1,432 deals for engines worth US$21.96 billion.”
AIRBUS
The National Research Council of Canada (NRC) and Airbus have renewed their framework agreement on research and technology (R&T) cooperation. This new five-year agreement builds on a long-standing relationship between the two organizations to cooperate on R&T development which spans more than 30 years. The NRC-Airbus agreement will cover a wide range of technical subjects and technologies. Recently, Airbus identified Canada as its “fifth country” for research and technology developments in the areas of drones and urban mobility.
BOEING
Boeing released its 2018 Pilot & Technician Outlook, projecting demand for 790,000 pilots over the next 20 years. This represents double the current workforce and the most significant demand in the outlook’s nine-year history.
The demand is being driven by an anticipated doubling of the global commercial airplane fleet — as reported in Boeing’s Commercial Market Outlook — as well as record-high air travel demand and a tightening labor supply. This year’s outlook also includes data from the business aviation and civil helicopter sectors for the first time.
“Despite strong global air traffic growth, the aviation industry continues to face a pilot labor supply challenge, raising concern about the existence of a global pilot shortage in the near-term,” said Keith Cooper, vice president of Training & Professional Services, Boeing Global Services. “An emphasis on developing the next generation of pilots is key to help mitigate this. With a network of training campuses and relationships with flight schools around the globe, Boeing partners with customers, governments and educational institutions to help ensure the market is ready to meet this significant pilot demand.”
Boeing offers the Pilot Development Program – an accelerated training program that guides future pilots from early stage ab-initio training through type rating as a first officer – to help operators meet their growing pilot needs. Boeing also helps operators improve crew efficiency with tools that optimize resources and minimize disruption.
Despite the commercial pilot demand forecast holding nearly steady, maintenance technician demand decreased slightly from 648,000 to 622,000, primarily due to longer maintenance intervals for new aircraft. Collectively, the business aviation and civil helicopter sectors will demand an additional 155,000 pilots and 132,000 technicians.
Demand for commercial cabin crew increased slightly from 839,000 to 858,000, due to changes in fleet mix, regulatory requirements, denser seat configurations and multi-cabin configurations that offer more personalized service. In addition, 32,000 new cabin crew will be required to support business aviation.
ROCKWELL COLLINS
Iridium Communications Inc. and Rockwell Collins signed an agreement to make Rockwell Collins the newest service provider for Iridium Certus satellite solutions over the Iridium NEXT network. Rockwell Collins will be adding the service to its comprehensive suite of aircraft connectivity applications for commercial, government and ARINCDirectSM business customers.
In addition to being a service provider, Rockwell Collins is also a value added manufacturer (VAM) for the design and production of Iridium Certus service terminals. As a VAM and a service provider, Rockwell Collins will play a critical role in delivering the next-generation L-band broadband solution to commercial, business and government aviation customers around the world.
“Adding Rockwell Collins as an Iridium Certus service provider is a major milestone for the program,” said Michael Hooper, director and general manager of Iridium’s Aviation Line of Business. “Given the FAA’s recent movement toward adopting SATCOM as a primary means of onboard communications, we believe Iridium Certus will be that much more of a shake up to the status quo within the aviation industry, bringing new capabilities, smaller hardware, faster speeds and competitive price packages. Like the services Rockwell Collins offers, Iridium Certus supports all areas of aircraft connectivity, from the flight deck to the cabin, regardless of location.”
Initial flight trials will take place later this year, with Iridium Certus commercial service introduction for aviation users expected in mid-2019. Commercial service introduction for other verticals, such as maritime and land-mobile, is planned for 2018. Iridium Certus is powered by Iridium NEXT, the Company’s next-generation satellite constellation, currently being deployed. To date, there have been six successful Iridium NEXT launches, deploying 55 new satellites to orbit. Two more launches are planned for 2018, each carrying 10 Iridium NEXT satellites, for a total of 75 launched, with 66 in the operational constellation and nine serving as on-orbit spares. The seventh launch is currently targeted for July 25, 2018 out of SpaceX’s west coast launch site at Vandenberg Air Force Base in California.
“Iridium Certus will be an important new service addition to meet the connectivity needs of commercial, business and government aircraft,” said Michael DiGeorge, vice president of Commercial Aviation Services for Rockwell Collins. “For our ARINCDirect business aviation operators, Iridium Certus offers small form factor antennas and terminals which are ideal for operators of smaller aircraft requiring internet connectivity. For our airline and government customers, the Iridium Certus service enables a variety of capabilities for cockpit safety, enhanced aircraft reporting, graphical weather, EFBs and other operational aircraft services.
The new agreement builds on the long-standing relationship between Rockwell Collins and Iridium, which spans more than a decade and began with the advent of Iridium aviation service offerings.
GOGO
North America-based Flying Colours Corp. is installing Gogo AVANCE L3 air-to-ground connectivity systems in two Bombardier Challenger aircraft, a CL604 and CL605. The installation of the small form, fully integrated AVANCE L3 inflight connectivity and entertainment solution represents a first for Flying Colours which has already installed several of the AVANCE L5 systems. Once installed the Gogo AVANCE L3 system will provide passengers with access to the Gogo Biz Broadband network and will support, dependent on package, access to voice, email, web browsing, moving maps, and a selection of movies and TV programs.
OTHER STUFF
Circuit miniaturization has a new size reducing potential with kinetic inductance (reduced inductor size) – this is a big deal! The Last Barrier To Ultra-Miniaturized Electronics Is Broken, Thanks To A New Type Of Inductor
As you all know, this week is Farnbourgh Air Show in the UK. Needless to say, there is a ton of new aircraft sales being reported daily from Boeing, Airbus et al. Next week’s issue of IFExpress will have a synopsis for you – so stay tuned for a convenient snap shot! We should note that some $44 Billion dollars worth of aviation goods were sold the first day and a lot of aircraft large orders went to “non-disclosed” purchasers.
GOGO
Gogo Inc., the leading global provider of broadband connectivity products and services for aviation, announced that it has completed a comprehensive analysis of its business and is implementing an Integrated Business Plan (“IBP”) designed to improve the Company’s operational and financial performance. The IBP, branded as “Gogo 2020”, transforms Gogo’s business model and is intended to significantly reduce its cost structure, improve quality, drive revenue, streamline business processes and prudently strengthen its balance sheet. Oakleigh Thorne, President and CEO of Gogo, said, “The initiatives we are executing under our Integrated Business Plan demonstrate our commitment to taking aggressive action to position Gogo for sustainable value creation. Gogo 2020 represents a new era for Gogo with a significantly reduced cost structure, much lower capital expenditures, and a streamlined and standardized approach to meeting the needs of our customers with improved quality and service. As we prioritize resources to strengthen the resiliency of our model, we remain focused on accomplishing our objectives without sacrificing our long-term growth opportunities and will continue to evaluate strategic options to drive revenue, monetize assets and realize the significant value of our business.”
Gogo 2020 resulted in the following:
- Targeting Free Cash Flow break-even for the full year 2020;
- Targeting significant annual EBITDA growth each year in our plan, reaching over $200 million in 2022;
- Continuing to build on the significant improvement in 2Ku performance metrics, including availability of over 97% in June, by enhancing product and service quality;
- Maintain cash capex reduction in 2018 with further material reductions in 2019;
- Materially reducing upfront equipment subsidies for airline contracts;
- Reducing total operating spend in Gogo’s Commercial Aviation “CA” business (excluding satellite costs) by nearly 20% by the end of 2020;
- Reducing total cash burn in 2019 by over $100 million from expected 2018 cash burn and by a further $100 million in 2020;
- Reviewing multiple options to address our outstanding convertible debt before it becomes current in March of 2019;
- Renewing focus on third-party payer revenue streams to better monetize existing connected aircraft;
- Focusing on improving the range of user experiences;
- Reviewing a range of attractive strategic alternatives, including opportunities suggested by various strategic and financial parties, with the goal of maximizing shareholder value.
The Company provides 2018 guidance as follows:
- Total revenue of $865 million to $935 million, in line with prior guidance;
- 2Ku incremental aircraft on-line to be at the low end of the prior guidance range of 550 to 650;
- Gross capex of $150 million to $170 million and cash capex of $110 million to $130 million, in line with prior guidance;
- Adjusted EBITDA guidance of $35-45 million.
Editor’s Note: This news release opens the door for future changes that may include sale, business restructuring, and a lot more. Keep your eye on the company in the next year or so.
SITAONAIR
SITAONAIR’s trademark ‘open platforms’ approach is turning the aircraft Internet of Things (IoT) concept into a reality, in a key development for the air transport industry.
By applying its open platforms approach to delivering bespoke IoT capabilities onboard, SITAONAIR will securely integrate diverse aircraft avionics – encompassing sensors, connectivity, hardware, applications and more – heightening the potential of the connected aircraft.
For this aircraft IoT project, SITAONAIR is joining forces with two pioneering cargo carriersAirBridgeCargo Airlines (ABC) and CargoLogicAir (CLA) at the 2018 Farnborough Air Show. They will demonstrate how SITAONAIR’s IoT platform enables two strategic partners, ABC and CLA, to monitor, in real-time, the journey of sensitive pharmaceutical cargo inflight.
SITAONAIR’s specific IoT solution for AirBridgeCargo and CargoLogicAir works by collecting IoT data provided by OnAsset Intelligence, its demo partner and cargo-monitoring specialist, during the course of a flight. This OnAsset Intelligence data is then fed through SITAONAIR’s onboard IoT edge gateway. The data can then be sent, securely, to its ground data management and dispatch platform, built to monitor the inflight status of carriers’ goods.
Currently, there are no other solutions on the market that provide inflight cargo sensing and freight condition visibility, as perishable and temperature-sensitive goods can only be monitored on the ground. SITAONAIR’s collaboration with AirBridgeCargo and CargoLogicAir therefore represents a shift in technological intelligence, enabling actions or decisions to be made inflight to help optimize performance.
Sergey Lazarev, General Director of AirBridgeCargo Airlines, says: “As one of the world’s leading cargo airlines, digital pharma is a priority innovation focus for us. With genuine Internet of Things capabilities, enabled for us onboard by SITAONAIR, our digital pharma service is born, ensuring we can provide the best transportation conditions inflight for customers’ invaluable cargo.”
David Kerr, CEO of CargoLogicAir, highlights: “Customers in the air cargo industry are aiming at getting a better digital experience. With SITAONAIR we will be able to move towards the establishment of a holistic digital environment for our customers”.
Dominique El Bez, SITAONAIR VP of Product & Strategy, says: “We are proud to work with AirBridgeCargo and CargoLogicAir to further improve inflight aircraft and transported assets monitoring, bringing additional value to the airline.
“With over two-thirds (67%) of commercial airlines surveyed by the SITA Group aiming to invest in Internet of Things initiatives in the years ahead, the IoT arena is truly set to take off. As the true experts in delivering the promises of the connected aircraft, through our wealth of inflight connectivity, aircraft data management and aircraft communications solutions, we are naturally positioned to bring game-changing innovation to the aircraft Internet of Things space.
“Our vision is for SITAONAIR to become the enabler of IoT ecosystems onboard aircraft, with an open platform that will be aircraft safety compliant and cost effective. Developed in collaboration with the wider aviation industry, our experts and engineers are enthusiastically exploring aircraft IoT functionalities, and with our rate of development, we aim to bring a sweep of aircraft IoT portfolio products to market from 2019.”
For more information and to discover the full SITAONAIR connected aircraft portfolio, visit www.sitaonair.aero
INMARSAT
Inmarsat, the world’s leading provider of global mobile satellite communications, and the European Space Agency (ESA), have successfully completed the first test flight using the world’s most advanced aviation satellite technology for their Iris programme in support of European air traffic modernisation. The evaluation is a significant step forward in realising more precise flight surveillance and more efficient air traffic management.
The Iris programme is a public-private partnership, sponsored by ESA and led by Inmarsat to enable secure, high bandwidth datalink communications over Europe. The three-hour test flight, which departed from Amsterdam Schiphol Airport, was supported by the Iris technology partners Honeywell, CGI and SITAONAIR using Inmarsat’s SB-S L-band service. Using a Cessna Citation II aircraft provided by Dutch company NLR, a number of real-time communication exchanges were completed between the cockpit and flight control facility over continental and oceanic airspace.
The evaluation moves the Iris programme a step closer to enabling SESAR’s concept of pinpointing aircraft in four dimensions (4D) – latitude, longitude, altitude and time – which results in more precise flight tracking and more efficient air traffic management. This allows pilots and controllers to calculate the shortest available routes, cruise at optimum altitudes, and use continuous climb and descent paths, saving fuel and lessening environmental impact.
The Iris programme will enhance airspace utilisation and aviation safety, while reducing flight times, delays and CO2 emissions, all in support of the Single European Sky ATM Research (SESAR) masterplan. It will also heighten aircraft communications security through the use of security gateways, which provide a VPN (Virtual Private Network) barrier that securely connects flight management systems onboard the aircraft to corresponding systems used by air traffic controllers on the ground.
Powered by Inmarsat’s new SwiftBroadband-Safety (SB-S) platform, the enhanced IP-based capabilities will relieve pressure on crowded VHF (Very High Frequency) channels, which are near capacity, by moving pilot-controller communications from voice communications to high-speed data link (text messages).
Turkish Technic
Turkish Technic and Havelsan will carry out the production of in-flight entertainment systems. This Joint Venture Company will perform activities in the field of in-flight entertainment and internet service provider systems and other softwares used in civil aviation including design, production, maintenance, repair, marketing, sales and after-sales services in land, sea, rail systems and air platforms. The Company is aiming to provide linefit in-flight entertainment systems as approved supplier for both Turkish Airlines’ new generation aircraft to be delivered between 2022-2023 and other domestic and international airlines’ aircrafts. In-flight entertainment systems which play very important role especially for long haul flights and foster customer satisfaction, are planning to be produced by this Company with high technology and competitive prices. At the first stage, the Company, to be operational at Turkish Technics’ Sabiha Gökçen International Airport facilities in 2018, is planning to commercialize its products for domestic airline operators and other operators within its close region.
OTHER NEWS
- Alaska Air: The Seattle-based carrier converted its 15 737-8 orders to the larger variant, bringing its firm commitments for the Max 9 to 32, during the first quarter, a financial filing shows. It also has 11 737-900ER orders. Alaska will take its first Max in 2019 with deliveries continuing through 2023. – FlightGlobal
- Want to know more about software API’s? It’s an application program interface and, yes, it is the part of the software/hardware that receives requests and sends responses – Check out this descriptive article
- On Tuesday, an Air China flight from Hong Kong to Dalian dropped 25,000 feet in just a few minutes, causing the oxygen masks to deploy. The cause? One of the pilots was vaping and tried to hide the smell, as The South China Morning Post explains: CAAC, which seized the aircrafts flight data and voice recorders and interviewed crew members, said preliminary investigations found that the co-pilot had, without telling the pilot, attempted to turn off a circulation fan to prevent e-cigarette smoke from reaching the cabin. “[But the co-pilot] mistakenly switched off the air-conditioning unit that was next to it, resulting in insufficient oxygen in the cabin and an altitude warning.,” said Qiao Yibin, of the authority’s safety office, at a press briefing on Friday, according to state-run Xinhua news agency. OOPS!!
- Perhaps probiotics can help jet-lag? Take a look at this article.
To sum up Farnborough 2016 for the commercial airplane sales (Airbus & Boeing only), we saw 461 planes ordered worth a total of some $61.8 Billion dollars. It is also wise, to give you an idea of the sales history involved. In 2014 the total aircraft sales for the year (not just at an air show) was worth some 1,444 new aircraft, and this was a peak. By 2015, the total yearly aircraft sales had dropped some 36%! So, the question will be: At the end of 2016, what will be the total new aircraft sales numbers for this year? New aircraft delivery backlog is at its all time high (12,000 aircraft), so layoff’s are not a focus yet, but the sales number at the end of 2016 will be interesting especially if the market for travel drops, after all, orders can be cancelled.
Summarizing, here is how the new aircraft sales breakout went: Airbus outsold Boeing by some 100 aircraft. Interestingly, The Wall Street Journal reported that Boeing had just 20 new firm orders and not one B777 was to be found amongst them. Back in October, 2015, Bloomberg noted: “As planes come off lease it may get tougher for Boeing to generate fresh sales of current-generation 777s, one of its biggest sources of profit, said George Ferguson, senior air transport analyst with Bloomberg Intelligence. While the backlog for the twinjet extends to 2018, the successor 777X, with new engines and a larger wing, won’t begin deliveries until 2020, leaving the manufacturing line in Seattle potentially vulnerable.” We now wonder if production line rates will be an issue if sales are not found.
Airbus – Total 279 aircraft orders worth $35B based on list price, while the approximate value is around $15B. Furthermore, of those announcements 197 planes were firm aircraft sales – worth $26.3B, and 82 committed aircraft – worth $8.7B. We note that Airbus included a deal that was announced last year for 62 planes.
Boeing – Total 182 aircraft orders worth $26.8B based on list price. Among these, only 20 were firm new orders (last year that number was some 100 planes higher). We also note that roughly 42 planes were already on the books but there were 100 provisional deal in the works.
We also received an input from another airline news source, Airline Weekly – Jason Cottrell/Jason Shabat and they responded to the Boeing 36% drop in aircraft sales at this year’s Farnborough and they noted: “… it’s clearly a much slower market than it was a few years ago and that probably won’t change anytime soon. However the backlogs are so giant that it might not be any big catastrophe for the manufacturers. The big thing I watch is if the Gulf carriers start canceling widebody orders. That would be a financial disaster.”
Continuing on, future airplane forecasts are usually interesting, and this year is no different:
BOEING forecasts demand for 39,620 new commercial aircraft (2,380 regional; 28,140 single-aisle; 8,570 wide-bodies; 530 VLAs), including 930 freighters, worth $5.9T in 2016-2035 (up 4.1% from last year’s Current Market Outlook). All this is based on 4.8% annual passenger traffic growth.
AIRBUS forecasts demand for 33,070 new >100-seat aircraft (23,530 narrow-bodies; 8,060 wide-bodies; 1,480 Very Large Aircraft), including 645 new freighters, worth $5.2T in 2016-2035 (up 1.5% vs last year’s forecast). All this is based on 4.5% annual passenger traffic growth.
Lastly, Airbus has just one thing to say to Boeing, and boy is this video classy – it will catch you by surprise! One thing to say to Boeing – YouTube
IFEC NEWS
Panasonic:
China Eastern commits to an 84 aircraft deal with Panasonic and the agreement includes production aircraft and extensive retrofit program for global broadband connectivity service. The leading Chinese carrier, which, in partnership with China Telecom Satellite, was the first to offer broadband Wi-Fi connectivity on flights over Chinese airspace, and this agreement strengthens its long-term relationship with Panasonic. The extended agreement – following the announcement of 20 Boeing 777-300ERs last November – includes 35 line-fit aircraft with and an extensive retrofit program covering an additional 49 aircraft. (READ MORE)
Thales:
Thales booked orders for its AVANT IFE system from Gulf Air for 39 787-9s, A320neos and A321neos on order for delivery starting in 2018, and from Japan Airlines for retro t on 11 777-200s. (This is the first retro fit order for the AVANT system).
Telefonix PDT:
Telefonix PDT has announced that their Cabin IFE equipment has been tested and certified for use in China.
Rockwell Collins:
Rockwell Collins today was named by Airbus as its top supplier in the Supplier-Furnished Equipment (SFE) category and received an Excellent In-Service Performance award. The company was honored at a special ceremony at the Farnborough Airshow. Out of 41 suppliers rated in the SFE category, Rockwell Collins topped the list at No. 1. (READ MORE)
Boeing/Google:
Bet You Didn’t Know This: The Folks at Boeing and Google have a new technology that combines the maddening work of building wiring harnesses (charts, drawings, data sheets, pin diagrams etc.) with a device on your head that shows “what goes where”. Why is this a big deal? Here is a better description of the pilot program: “During the pilot, when a participant showed up for work she’d first visit a lockbox to check out a Glass unit, and then go to her computer to login and authenticate the device on the network, according to DeStories. For authentication, the tech would put on the smartglasses and scan a QR code generated by the system on her computer, which then pushed the wire harness app to the smartglasses. Next, the tech would head to her work station on the assembly floor, grab the next “shop order,” and then scan another QR code on the box of components, which provided necessary status updates or notes and told her where to get started, DeStories says.” Do you see any application to IFEC… like harness building, onboard installation and testing, etc? Google Glass takes flight at Boeing | Network World
Astronics:
Astronics Test Systems, a wholly owned subsidiary of Astronics Corporation (NASDAQ: ATRO), today announced the availability of a new Frequency Time Interval Counter (FTIC) in collaboration with National Instruments Corporation (NASDAQ: NATI) (“NI”). The new Astronics PXIe-2461 is a high-performance, two channel, universal 235 MHz frequency interval counter. It is the first product developed from Astronics’ collaboration with NI, announced in November 2015, to revitalize legacy aerospace and defense test systems. (Read More)
Inmarsat:
Inmarsat has received type approval from the Government of the People’s Republic of China for its IsatPhone 2 technology, making it the only international operator legally eligible to sell handheld satellite phones in the country. (Read More)
Lufthansa Systems:
Napster has taken over the skies as the first music streaming service in Germany! Streaming services are enjoying increasingly more popularity, whether at home, on the way to work, at the gym or on vacation at the beach. To enjoy the diverse range of music in the air, Napster and Lufthansa Systems have formed a strategic partnership. Through Lufthansa System’s BoardConnect, Napster will offer passengers selected playlists and audiobooks for adults and children, making traveling more enjoyable and entertaining. By this summer, Napster and Lufthansa Systems together want to equip the first airline with the service, Eurowings. (Read More)
Sapphire Innovation:
Research shows lack of cash-flow transparency means airlines are being too cautious notes Sapphire Innovation. Over ninety percent of airlines know cash-flow forecasting and working capital optimization are priorities for their organization, according to recent research by Sapphire Innovation. Despite that, over 70 percent don’t have an effective cash-flow forecasting solution in place. Paul Smith Eldridge, General Manager and President of Sapphire Innovation, said, “This survey shows the huge disconnect between airlines recognizing that predictive cash-flow forecasting is a business enabler, and actually having an effective solution in place. Sapphire Innovation’s survey, carried out among 39 global carriers, also identified that nearly half of airlines continue to rely almost entirely on spreadsheets to predict cash-flow, which is highly inefficient.” (Read More)
OTHER STUFF
Amazon Video now lets you download video’s and TV directly to Android SD cards – for your next flight, of course, take a pocket full of SD cards! Amazon Video now lets you download movies and TV straight to Android SD cards | The Verge
There is a big deal at this year’s Farnborough Air Show and it relates to future airplane sales over the next few years. Quite frankly, the future predictions (and the manufacturing upgrades in progress), as well as, both Airbus and Boeing are frankly bigger than they have ever been. Recently Airbus announced that they are delivering some 52 A320 family airplanes and their orders through July 4th total some 471 jets so far. As a whole, the industry has a giant backlog of over 12,000 aircraft. Last year’s Paris Show netted some 750+ planes valued at over $100 Billion, but the other biennial show at Farnborough just might be different this year as airline executive’s appear to be nervous about the short term market. Brexit, cold war escalation, and terrorism are now clouding the travel market, and where goes travel, so goes new airplane sales… and so goes IFEC sales as well, both on line-fit and retrofit. Further, one travel reporter noted: “International air travel demand increased 4.3 percent year over year in May, down from 5 percent growth in April. May was the third consecutive month that demand growth decreased. Airline load factors were down in every region except Latin America, where demand and capacity growth were in equilibrium.” Also, check out this Accenture report on the market and the conditions affecting it or this one: Boeing And Airbus: The Order Battle In June 2016 and finally, the other side of the fence: Planemakers shrug off economy worries as travel demand grows | Reuters
Sales of new planes have been sluggish in the business sector and this week’s Farnborough should be somewhat telltale for new planes in that market as well. As noted above, so far in 2016 the numbers don’t look like those of 2014. If we look at the general aviation market, for example, at the end of 2014 plane shipments were up some 4.3 percent, but in 2015 shipments were down one half percent. Also noting that in 2007 at the peak of the market, the GenAv manufacturers produced over 4000 planes; and today, that market is closer to 2331 aircraft.
We should also mention that the price of GenAv planes almost doubled (on average) after 2007 because of the lower numbers being produced. We wonder if the GenAv plane number trends will start showing up in the commercial market this year? One aviation expert in the financial industry expects this year’s new commercial aircraft orders to be in the 500 – 600 range at Farnborough instead of the 700+ as in last couple years. The economy and the other aforementioned factors, may be the perfect storm… not to mention the entry of Chinese and Russian new commercial planes (By the way, what IFEC do they choose?), just may have an impression on the world markets and maybe, just maybe, if Farnborough is down, the market may be shifting and some of the planes (and engine) manufacturers might get a bit of breathing room. But don’t kid yourself, this potential reduction in demand will affect IFEC and it may cause many changes… and many say these changes have already begun! If sales are truly down we expect the loss of, and/or combining of, some of the players in our industry – Stay Tuned on this one.
This week’s Farnborough sales will have some indications as to where we will be heading in the way of total industry revenues, at least in the near term. However, if you include the IFEC impacts as a result of passengers carrying more and better portable devices, both may have an influence on IFEC sales and installations. However, the market for connectivity, which seems to demand higher and higher speeds, will surely keep up and maybe even increase. The issue here is price and we are waiting for new technology and better bandwidth to help out. Whatever the outcome, it looks like Farnborough may be a big indicator that our industry needs to watch very carefully.
We Note: Even as the company considers potential new planes and new variants of others to be as competitive as it can be, Muilenburg made it clear that meeting those increases are vital to helping it make good on the demands created by being in the “unprecedented position of (having) about 5,700 aircraft in backlog.” The increase will come in the narrow-body segment — which makes up the vast majority of that backlog — where Boeing plans to boost output of its 737, including the new Max variants, from the current rate of 42 planes a month to 47 a month in 2017. A new midsize Boeing jet could be on the way – Wichita Business Journal
Airbus Group – Farnborough International Airshow
Boeing: Boeing: Farnborough Air Show 2016
MORE NEWS
LHS1:
Lufthansa launches Internet connectivity on short- and medium-haul flights
Green light from EASA: Supplemental Type Certificate issued
In October of this year, the first Lufthansa short- and medium-haul aircraft will take off with broadband Internet on board. Lufthansa’s entire A320 family fleet is expected to have the innovative technology installed by mid-2018. One key milestone has already been reached: Lufthansa Technik is the first MRO company in Europe to have received the Supplemental Type Certificate (STC) from EASA to install a Ka-band antenna on the A320 family, i.e. the A319, A320, and A321 models. The STC serves to verify that the modifications to the aircraft (hardware or software) conform to the design specifications stipulated by EASA. Said specifications ensure aircraft’s continued airworthiness.
The first aircraft was equipped with the technology in June. In the coming weeks, the onboard system will be tested for functionality and stability. Lufthansa passengers will likely be able to use the new internet service from October. Other airlines in the Lufthansa Group will follow at a later date.
The future service from Lufthansa and its technology partner Inmarsat is based on the latest broadband satellite technology (Ka-band) and offers seamless, reliable coverage on short- and medium-haul flights through Inmarsat’s Global Xpress network. Passengers will be able to access the Internet using their own mobile devices via Wi-Fi. In addition to basic surfing and email, other more sophisticated applications will be possible, including video streaming. At a later date passengers will be able to use their cellphones for SMS and data transfer via their own mobile accounts.
Lufthansa Technik is responsible for installing all systems and components as well as for the works required to comply with aeronautical and statutory regulations. In Europe, this was the first successful installation involving the GX communications network and the Honeywell-designed Ka-band antenna. To install the system, electrical and structural modifications were required both inside and outside the aircraft cabin. All modifications were developed and approved by Lufthansa Technik’s licensed development unit. The installed components were integrated in the cabin infrastructure in such a way that they are virtually invisible for passengers and easy to operate by the cabin crew. The work can be completed in up to four days or during regular maintenance layovers.
Lufthansa Systems and Lufthansa Technik have also established a long-term partnership with global satellite operator Inmarsat in order to offer a modern, multifunctional onboard IT platform with broadband internet access to the market. Both the Lufthansa Group as well as airlines around the world will benefit from this strong partnership through comprehensive services.
Lufthansa carried out the world’s first scheduled flight with broadband internet access on January 15, 2003. Despite its growing popularity among passengers, the technically reliable service had to be discontinued in 2006 because the Connexion by Boeing satellites ceased commercial operations. Since December 2010 Lufthansa has once again been the first airline to provide broadband internet access on intercontinental flights. Since June 2015 FlyNet has been available on all 107 long-haul aircraft in the Lufthansa fleet. Lufthansa operates the world’s largest internet-connected long-haul fleet.
ROCKWELL:
Shenzhen Airlines has selected Rockwell Collins’ full suite of advanced avionics and PAVES Broadcast overhead in-flight entertainment on 44 737 aircraft comprised of 37 737MAX and seven 737NG. Deliveries of the aircraft are expected to begin in July 2017. Among the Rockwell Collins avionics selected by Shenzhen include its MultiScan ThreatTrack weather radar, GLU-2100 Multi-Mode Receiver and TTR-2100 next-generation Traffic Alert and Collision Avoidance traffic computer. “Commercial air traffic will continue to increase in the Asia-Pacific region and having advanced systems that Shenzhen can count on for more efficient flight, weather threat detection, precision navigation and aircraft avoidance will be essential,” said Jim Walker, vice-president and managing director, Asia-Pacific for Rockwell Collins.
OTHER NOTEWORTHY NEWS
802.11ah:
The new Wi-Fi frequency standard (‘HaLow’) may be the solution to more range at less power for inflight applications. With double the range of existing antennas, it may be a solution inside long metal fuselages, that is, if it doesn’t interfere with any aviation systems that exist today. Approved with an eye for IoT Wi-Fi solutions, it may find a home on a future plane or at the airport.
PDT:
The folks at PDT did a great job in finding new tech trends at the Aircraft Interiors and if you have not read it, you might check it out here: Aircraft Interiors Expo 2016 Trends | Product Development Technologies
POWER:
If your future cell phone runs out of power on a flight, there may be a “solution”. Check out this link!
Farnborough, UK | July 11, 2016– Boeing [NYSE:BA] and Xiamen Airlines announced today at the 2016 Farnborough International Airshow a Memorandum of Understanding for the purchase of up to 30 737 MAX 200 airplanes, valued at up to $3.39 billion at current list prices.
The airline, which is already a 737 MAX customer, sees the MAX 200 as a fit for its low cost subsidiaries, including Jiangxi Airlines and Hebei Airlines.
Both parties will work closely to finalize the agreement, which requires the approval of Xiamen Airlines board and the China Southern Airline Group board, as well as the Chinese Government.
“We are pleased with this new milestone in our relationship with Xiamen Airlines,” said Boeing Commercial Airplanes President and CEO Ray Conner. “The market-leading efficiency and reliability of the 737 MAX 200 will enable Xiamen and its subsidiaries to expand its growing network, while maintaining an optimal fleet. This MOU further demonstrates the strength of our enduring partnership and we look forward to finalizing the deal in the near future.”
Xiamen Airlines currently operates an all-Boeing fleet of more than 140 airplanes including six 787 Dreamliners, 130 Next-Generation 737s and four 757s. The carrier plans to grow its operational fleet to 200 airplanes by the end of the decade and looks to expand regionally with the new 737 MAX.
Xiamen-based Xiamen Airlines is a stated-owned subsidiary of China Southern Airlines.
- Lessor to meet market demand with more modern and fuel-efficient aircraft
Farnborough, UK | July 11, 2016– Air Lease Corporation (NYSE: AL), the Los Angeles based aircraft leasing company announced a firm order for three A350-900s and one A321 at the Farnborough Airshow to meet strong market demand for more modern and fuel-efficient aircraft.
Including today’s announcement, ALC’s portfolio of Airbus aircraft stands at a total of 267, of which 70 are widebodies (16 A330ceo, 25 A330neo, 24 A350-900, 5 A350-1000) and 197 are single-aisles (30 A320ceo, 22 A320neo, 27 A321ceo, 118 A321neo).
“These additional A350 and A321 aircraft were needed to fill ongoing customer lease placements as we continue to experience strong A350 and A321 demand,” said John L. Plueger, Air Lease Corporation’s CEO and President.
“ALC, is a leading lessor and longstanding partner of Airbus. We would like to thank ALC for their continued confidence in our Airbus products. Their customers will be delighted with the unbeatable economics as well as the superior cabin comfort in all classes for their passengers.” said John Leahy, Airbus Chief Operating Officer, Customers. “
The world’s latest generation airliner, the A350 XWB, is the newest member of Airbus’ modern, comfortable & efficient widebody product family. Offering customers a game-changing reduction in fuel-burn, the long-range A350 XWB features the latest aerodynamic design, carbon fibre fuselage and wings, plus new fuel-efficient Rolls-Royce Trent XWB engines. Together, these latest technologies translate into unrivalled levels of operational efficiency, with a 25 per cent reduction in fuel burn and emissions, and significantly lower maintenance costs. For passengers, it brings new levels of in-flight comfort, with an extra-wide cabin offering more personal space in all classes, including 18 inch wide seats as standard in economy class.
The A320 Family is the world’s best-selling single aisle product line with almost 12,600 orders since launch and more than 7,100 aircraft delivered to more than 320 operators worldwide. Thanks to their widest cabin, all members of the A320 Family offer unmatched comfort in all classes and Airbus’ 18” wide seats in economy as standard.
Farnborough, UK | July 11, 2016– Boeing [NYSE: BA] and Donghai Airlines announced today the airline’s intent to purchase 25 737 MAX 8s and five 787-9 Dreamliners at the 2016 Farnborough International Airshow. The agreement is valued at more than $4 billion at current list prices.
Shenzhen-based Donghai Airlines previously ordered 15 Next-Generation 737-800s and 10 737 MAX 8s in 2013. Donghai continues to fulfill its strategic plan to convert its business model from cargo services to passenger services.
“Donghai Airlines has undergone steady development over the past 10 years since the beginning of our freighter operations in 2006,” said Mr. Wong Cho-Bau, Chairman, Donghai Airlines. “Under China’s One Belt One Road initiative, we will accelerate our fleet expansion plan to satisfy the rapidly growing air travel market and help build our home base Shenzhen as the transportation hub in southern China. We’re committed to introducing new next-generation airplanes that deliver the industry-leading fuel efficiency and passenger comfort in their segment market as a key effort to fulfill the plan.”
Boeing will work with Donghai Airlines to finalize the details of the agreement. The order will be posted on Boeing’s Orders & Deliveries website once all contingencies are cleared.
“We are honored by Donghai Airline’s reaffirmation of the 737 MAX, and we look forward to welcoming Donghai as our new 787 customer,” said Boeing Commercial Airplanes President & CEO Ray Conner. “These new airplanes will provide Donghai Airlines with the added efficiency, operating economics and passenger comfort for their business growth domestically and internationally.”
The 737 MAX incorporates the latest technology CFM International LEAP-1B engines, Advanced Technology winglets and other improvements to deliver the highest efficiency, reliability and passenger comfort in the single-aisle market.
The 787-9 Dreamliner can fly 290 passengers up to 14,140 kilometers in a typical two-class configuration. The airplane will deliver unmatched fuel efficiency to Donghai airlines, enabling the carrier to expand the range and quantity of services on long-haul market.
Donghai Airlines started freighter operations in 2006. The carrier expanded to offer passenger services in 2014. Donghai Airlines currently has a fleet of 11 Boeing 737-800s serving for more than 10 cities across China. With extended air route network, the Shenzhen-based carrier is making great efforts to build a modern medium-scale airline with high quality.
- 12 A350-1000s to become a key part of both leisure and mainline fleets
Farnborough, UK | July 11, 2016– UK based Virgin Atlantic Airways has selected the A350-1000, the largest member of the A350 Family, to become the latest aircraft in its fleet, operating from both London Heathrow and Gatwick airports. The airline is purchasing eight A350-1000s for deliveries commencing in 2019, and four new aircraft on long term leases from ALC from 2020, including a lease “option” for a fifth aircraft.
The A350-1000 was selected after intense and detailed evaluation of the current and future alternatives. The airline will benefit from state-of-the-art technology and the latest cabin product innovations to satisfy the most exacting customer expectations. Airport operations and neighbouring communities will benefit from the use of an environmentally efficient aircraft with low pollution credentials and half the noise impact compared to rival aircraft.
The aircraft will be deployed initially at London Heathrow to strengthen the trans-Atlantic network on existing business routes, and subsequently at Gatwick airport on leisure routes to the Caribbean, where Virgin Atlantic will provide three classes of customer service in the A350s distinctive Airbus ‘Airspace’ cabin with roomy overhead bins and the latest concepts for ambience, comfort, service and design.
The United Kingdom Prime Minister David Cameron said, “I welcome the news of Virgin Atlantic’s investment. As well as being good news for passengers, it’s great news for jobs in the UK. The fantastic Airbus A350 is built in the UK, with Rolls-Royce engines and suppliers across the country. It’s an investment in the UK itself, and our world-beating aerospace industry.”
Craig Kreeger, CEO Virgin Atlantic said: “The size of this order demonstrates our absolute focus on investing in the future for our customers and our people, and confirms the strength of our business. The A350-1000 plays a pivotal role in our fleet programme, helping to create one of the youngest, cleanest, greenest fleets in the sky. We’re looking forward to introducing this aircraft to our customers, as its impressive economics, fuel performance, and quiet flying offer an irresistible proposition that makes long haul travel more enjoyable and better for the environment.”
“This agreement allows Virgin Atlantic to set the standard on its network by being amongst the first airlines into service with the A350-1000, with an Airspace by Airbus cabin, offering superior comfort including industry leading 18″ wide seats in economy,” said Fabrice Brégier, Airbus President and Chief Executive Officer. “These modern, efficient A350s will complement Virgin Atlantic’s existing fleet of 10 A330-300s and offer Virgin Atlantic crews the advantage of familiarity with Airbus operating procedures around the network”
The world’s latest generation airliner, the A350 XWB, is the newest member of Airbus’ modern, comfortable & efficient widebody product family with 18” wide seating in economy. The long-range A350 XWB features the latest aerodynamic design, carbon fibre fuselage and wings for a lighter aircraft and quiet and low emission Rolls-Royce Trent XWB engines that together deliver a 25 per cent reduction in fuel burn. Together, these technologies translate into unrivalled levels of operational efficiency, with, lower environmental charges, and significantly reduced maintenance costs.
- Additional A320neo to boost its capacity
Franborough, UK | July 11, 2016– At the opening of the Farnborough Air Show, held in the United Kingdom from July 11th to 17th, Air Côte d’Ivoire, Ivory Coast’s national airline based in Abidjan, signed a firm order for the purchase of an additional A320neo to complete its fleet. Air Côte d’Ivoire already distinguished itself in the spring by becoming the first African airline to order the A320neo.
“This additional A320neo will allow Air Côte d’Ivoire to truly differentiate its product by offering a higher level of comfort to its customers with new aircraft. Thanks to this new Airbus aircraft, Air Côte d’Ivoire will also improve its operating efficiency to better meet the need for traffic growth,” said General Abdoulaye Coulibaly, Chairman of the Board.
In three years, Air Côte d’Ivoire has tripled its number of passengers, and, with its new fleet, will position itself as the leader in this highly competitive region. It currently flies to 23 international destinations located in West and Central Africa, and to five domestic destinations. Air Côte d’Ivoire already operates six Airbus aircraft (four A319s and two A320), and this new commitment follows its previous order for four aircraft placed in April.
“This vote of confidence from Air Côte d’Ivoire is further proof of the rapid traffic growth in Africa, and of the leading role that this dynamic airline aims to play in the development of air transport on this continent. Airbus is delighted to contribute to this,” highlighted John Leahy, Airbus Chief Operating Officer, Customers.
The A320 Family is the world’s best-selling single aisle product line with over 12,500 orders since launch and more than 7,000 aircraft delivered to some 400 customer and operators worldwide. Thanks to their widest cabin, all members of the A320 Family offer unmatched comfort in all classes and Airbus’ 18” wide seats in economy as standard. With one aircraft in four sizes (A318, A319, A320 & A321), the A320 Family, seating from 100 to 240 passengers, seamlessly covers the entire single-aisle segment from low to high-density domestic to longer range routes.
- Airbus makes breakthrough in Israel with its first widebody aircraft deal
Farnborough, UK | July 11, 2016– ARKIA Israeli Airlines, majority owned by Jordache Enterprises, will receive up to four A330-900neo aircraft, making the airline the first Airbus widebody customer in Israel. The A330neo aircraft will be the backbone of ARKIA’s expansion into long-haul and leisure markets.
ARKIA became an Airbus customer in 2012 through an order for four A321neo aircraft. Airbus’ unique commonality and Cross Crew Qualification concept that allow pilots and engineers to transition between single and twin aisle aircraft easily means that the A330-900neo and A321neo will operate seamlessly together and bring operational benefits to the entire fleet.
The A330neo will be equipped with Airspace by Airbus cabins offering superior comfort, ambience, and design, and complemented with fourth generation or light In-Flight entertainment, enabling mobile telephony, internet and on board Wi-Fi via personal devices.
“The A330-900neo will be a key asset to help us grow efficiently on highly competitive international long-haul routes from Israel. The aircraft will offer our passengers the latest product with great cabin comfort on direct long-haul flights,” said Mr. Joe Nakash, Chairman of Jordache Enterprises. “Thanks to the proven reliability and fuel efficiency of the A330 family, the A330neo will also deliver us with the best in class operating economics.”
“We are delighted to be making inroads in Israel.” said John Leahy, Airbus Chief Operating Officer Customers. “The A330neo offers 14 percent reduced fuel burn per seat married with the best in class economics and comfort. The mix of the A321neo with A330neo in ARKIA’s fleet will allow the airline to reap the benefits of Airbus’ unique aircraft commonality.”
The A330-900neo is the most cost-efficient aircraft in its size category offering an increased non-stop range of up to 400 nautical miles.
Jordache manages a multibillion-dollar investment portfolio including MG Aviation in Hong-Kong, U.S. POLO Assn, Jordache Jeans, agriculture, transportation, manufacturing, and real estate located in prime locations throughout the world. The real estate portfolio consists of retail, office, multifamily and hotel properties. Among the group’s recent acquisitions are the famous Versace Mansion and the luxury Setai Miami Beach.
- Aircraft to meet expansion plans at low cost carrier
Farnborough, UK | July 11, 2016– Vietnam’s Jetstar Pacific Airlines has signed a Memorandum of Understanding (MOU) with Airbus for 10 A320ceo aircraft. The agreement was announced today during the Farnborough Air Show and will mark the first direct purchase of aircraft by the airline with Airbus.
Based in Ho Chi Minh City, Jetstar Pacific is a joint venture between Vietnam Airlines (70%) and the Qantas Group (30%). The airline currently operates a fleet of 12 leased A320 Family aircraft, flying to 28 domestic and regional destinations.
“This agreement marks a milestone in our development,” said Le Hong Ha, Chief Executive Officer of Jetstar Pacific. “The new aircraft will allow us to expand our operation on our international network from Vietnam as part of the wider Jetstar Group. With low operating costs and a comfortable cabin, the A320 enables us to offer our passengers a quality value-based product in a highly competitive market environment.”
“We are pleased to have signed our first MOU with Jetstar Pacific,” said John Leahy, Airbus Chief Operating Officer Customers. “The news reinforces the position of the A320 as the single aisle aircraft of choice in both the low cost and full service sectors. We will look forward to working with Jetstar Pacific as it consolidates its position in the fast-growing Vietnamese market.”
The A320 Family is the world’s best-selling single aisle product line with nearly 12,600 orders since launch and more than 7,100 aircraft delivered to some 320 operators worldwide. With the widest cabin in the single aisle market, the A320 Family offer unmatched comfort in all classes and Airbus’ 18” wide seats in economy as standard. The A320 Family aircraft seat from 100 to 240 passengers, seamlessly covering the entire single-aisle segment from low to high-density domestic to longer range routes.