European Aircraft Manufacture: Airbus and Boeing Compete to Win American Airlines Plane Order

European aircraft builder Airbus aims to win a large plane order from AMR Corp’s American Airlines by offering $6 billion in preferential financing to woo the American carrier away from rival Boeing , according to the Wall Street Journal.

Airbus wants to break Boeing’s monopoly at American Airlines and has assembled a team of lenders and leasing firms to help the European company win the deal, people familiar with the proposal told the newspaper.

Airbus’s offer has a catalog value of almost $23 billion, but that is being heavily discounted, the people told the paper.

The European plane maker is offering American, a unit of AMR Corp , 130 of the current-generation A320s and 130 of the more fuel-efficient A320neo, the new engine option slated to enter service in 2015, the newspaper said.

American Airlines, which currently operates an all Boeing fleet, might make a decision about its airplane order as soon as next Wednesday, the people familiar with the matter said.

Meanwhile, Boeing is offering 737-800s and 737-900 Extended Range planes, people familiar with the matter said. However, the price and financing terms were unclear, the paper said.

Boeing is also racing to develop a product strategy for its best-selling 737 model to compete with redesigns of the A320.

“Boeing does not discuss our ongoing talks or sales campaigns with our airline customers,” Boeing spokesman Jim Condelles told Reuters.

Official at American Airlines and Airbus could not immediately be reached for comment by Reuters outside regular U.S. business hours.

Qatar Airways Plans Order 60 Airbus Superjumbo Jets

Les Echos newspaper reported, Qatar Airways is in advanced negotiations to place a giant order for 60 airliners built by the European firm Airbus.

The order, which would be announced at the Le Bourget air show in June, would be for 50 A320 NEO aircraft, the re-engined version of the medium-range A320, and for 10 to 20 A380 superjumbo jets.

The airline would also place an additional 50 options to buy A320 NEO aircraft and options to buy an additional 10-20 A380 planes, the report said.

Until now, Qatar Airlines has ordered five of the superjumbo aircraft but has signalled that it intends to buy more.

FAA Investigating Southwest Airlines Navigation System Failure as Landed at Los Angeles International Airport

The Federal Aviation Administration is investigating what caused a Southwest Airlines jetliner to lose its navigation system as it landed at Los Angeles International Airport last week, officials said Wednesday.

The pilot of Southwest Flight 1445, carrying 92 passengers from San Jose to LAX, found that some of his instruments had failed while on approach to LAX around noon on Oct. 20, said Brad Hawkins, a spokesman for Southwest Airlines.

The plane’s first officer took control of the Boeing 737 as the pilot radioed for assistance to the air traffic control tower, Hawkins said.

The cause of the navigation system’s failure remained under investigation, said FAA spokesman Lynn Lunsford.

Hawkins said mechanics found that a tripped circuit breaker was the cause of the problem. The plane’s instruments were operational after the breaker was restored to its position, he said.

Incoming flights were ordered to circle around as the plane was guided in with help from two veteran air traffic controllers, said Ron Geyer, head of the controller’s union that oversees Southern California’s air space.

Boeing Co Again Postponed Deliveries of Boeing 787 Aircraft

Boeing Co. again postponed the delivery of its first Boeing Commercial Airplanes 787 to the middle of the 2011 first quarter, compounding a string of delays for the jetliner that is already more than two years past its original scheduled debut.

The latest delay is the result of engine delivery problems, Boeing said in a statement early Friday. The Chicago company said in July it expected to deliver the plane late this year, but it warned that might not happen. It had said at that time that a series of problems, including supplier work related to parts of the tail and instrument issues that might push the first delivery “a few weeks into 2011.”

The 787’s first customer, Japan’s All Nippon Airways, said in a statement the delay is regrettable especially “given the success of the flight test program so far.”

“However, we trust that the time will be used to deliver the best possible aircraft in the shortest possible time frame.”

The 787, which Boeing calls the Dreamliner, is made of many composite materials designed to make it lighter and more fuel-efficient than comparable planes already in the sky.

It lists for $150 million to $205.5 million, depending on the model, but major customers routinely get discounts.

Boeing said the delay won’t affect its financial expectations. Boeing spokeswoman Yvonne Leach said the company is working closely with British engine manufacturer Rolls-Royce to expedite engine deliveries, but current flight tests are continuing as planned.

Rolls-Royce said the delay was not related to the reported failure of an engine in a recent test.

“We have been informed by Boeing that the currently planned dates for Trent 1000 engine deliveries will not support their latest flight test program requirements,” Rolls-Royce said in a statement Friday.

However, Rolls-Royce confirmed “that the engine availability issue is unrelated to the test bed event which occurred earlier this month.”

The FlightGlobal website, an aviation news site, reported this week that a Trent 1000 engine suffered an “uncontained” failure – meaning debris broke out of the engine casing – during a test on Aug. 2.

Virgin Blue Signed Agreement With Boeing for Large Aircraft Orders

Virgin Blue airlines announced today its signing of an agreement with Boeing for its largest order of aircraft ever.

It has signed for up to 105 brand new 737 aircraft, completing nine months of negotiations between the carrier and the aircraft manufacturer.

The order includes 50 firm B737-800NG aircraft, with flexibility to convert to either B737-700 or B737-900, 25 additional firm delivery positions secured as options and 30 future purchase rights.

Virgin Blue did not disclose the pricing of the aircraft but said that it expected to finalise its funding arrangements for the aircraft soon.
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Indian Aviation Industry offers U.S. Airline Companies to establish Aviation Manufacture Base and Investment in Indian

India has asked US aviation companies to think of establishing manufacturing bases and investing in aviation infrastructure like airports in India for a long-term commitment.

Visiting Indian Minister of State for Civil Aviation Praful Patel told senior US officials like Commerce Secretary Gary Locke and Transportation Secretary Ray LaHood Thursday that Washington should also explore the possibility of liberalising the export control regime.

Locke and LaHood told Patel that US companies were very impressed with the growth displayed by India’s aviation sector and were keen to contribute to the growth, according to an Indian embassy press release. In response, Patel said these companies needed to “show a long-term commitment beyond just exporting to India” and should seriously “explore the possibility of establishing manufacturing bases and investing in aviation infrastructure like airports”. (more…)

Canadian Aircraft Manufacturer Bombardier Aircraft Handed Over Eight Q-400 Next Generation to Ethiopian Airlines

Ethiopian Airlines has received the first of eight Q-400 Next Generation turboprop aircraft from Canadian Aircraft manufacturer Bombardier Inc. on March 21, 2010.

The Q-400 made its maiden flight including a refueling stop in St. John’s, Canada, then a transatlantic cross over to Santa Maria, Portugal followed by refueling stop in Cairo, Egypt before the last flight to Addis Ababa.

The flight was accorded a warm welcome at the Bole International Airport by H.E Ato Getachew Mengistie, Deputy Minister of Transport and Communication of the Federal Democratic Republic of Ethiopia, Ato Girma Wake, CEO of Ethiopian, senior officials of the airline and invited guests.

Speaking on the occasion, the CEO Ato Girma Wake said, “Ethiopian Airlines plays a critical and major role in bringing the cities of the different regions of Ethiopia within easy reach of Addis Ababa, the capital. (more…)

Air-Safety Regulator Ordered U.S. Airlines to Install New Software on Boeing 777

FAA Tells Airlines to Install New Software to Avert Possibility of Planes Running Off End of Runways.

Air-safety regulators are ordering U.S. airlines to install new software on Boeing 777s to keep the jetliners from possibly running off the end of runways, a mandate that could ultimately affect more than 800 planes world-wide.

In a safety directive released Tuesday, the Federal Aviation Administration ordered the fix to prevent problems when the autopilot system is inadvertently on while a Boeing 777 aircraft is rolling down the runway just before takeoff.

When pilots try to climb under such circumstances without realizing the autopilot is engaged, they encounter greater than usual resistance in raising the aircraft’s nose. As a result, the FAA said, the pilots decide to halt the takeoff at a dangerously high speed.
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FAA Reminded American Airlines Aircraft Maintenance Violations

For the second time in a week, the Federal Aviation Administration has announced that it has proposed fining American Airlines for aircraft maintenance violations.

The FAA revealed Thursday that it sent a letter to American last week proposing a $300,000 civil penalty for the maintenance lapses, which could have endangered the aircraft, flight crew and passengers.

American Airlines maintenance workers, the FAA said, failed to properly document a malfunctioning speed indicator on an MD-82 jet in February 2009.

Not knowing about the defective indicator, crews flew the plane five times, including at night and in inclement winter weather. Such flights are allowed under American’s FAA-approved procedures, but only in daylight and clear weather.
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Bombardier Aerospace chose AAR Corp. to Design and Produce CSeries Aircraft Composite Flap Track Fairings

AAR CORP. today announced that it has been selected by Bombardier Aerospace, Belfast to design and manufacture composite flap track fairings for the wings of the new CSeries family of commercial aircraft. The work will be performed by AAR Composites, which develops and fabricates advanced composite structures for a wide range of aviation and aerospace applications. The contract could be worth more than $90 million over the life of the program.

The CSeries aircraft, Bombardier’s newest platform, is specifically designed for the 100- to 149- seat market. The aircraft will be built with 70 percent advanced lightweight structural materials, which contribute to the fuel efficiency, performance and extended range of the aircraft.
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