To streamline its process for certifying very light jets (VLJs), the FAA issued a notice of proposed rulemaking (NPRM) last week to amend the applicable certification standards for Part 23 jet airplanes. The agency said the NPRM is necessary to eliminate the current workload of processing exemptions, special conditions and equivalent levels of safety findings necessary to certify VLJs under Part 23.
It is accepting public comments until November 16. Hints of a rule change to clarify and add to VLJ certification requirements initially surfaced during a special certification review of the Eclipse 500 that began in August last year and again one month later during a congressional hearing on the airplane’s certification program.
The proposed changes would standardize and simplify the certification of Part 23 jets; clarify areas of frequent nonstandardization and misinterpretation, particularly electronic equipment and system certification; and codify existing certification requirements in special conditions for new jets that incorporate new technologies. At the hearing before the House aviation subcommittee last September, the DOT Inspector General recommended that the FAA expedite its NPRM to clarify certification requirements for the expanding VLJ industry segment, given the differences between certification requirements for transport-category and general aviation aircraft.
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Monthly Archive for August, 2009
Eclipse Aviation's assets are finally in the hands of new owners, ending a long period of uncertainty for the bankrupt manufacturer and the Eclipse 500 very light jet programme.
A US bankruptcy court approved on 20 August the $40 million sale of Eclipse Aviation to Eclipse Aerospace, a new company founded by pilot-entrepreneurs Michael Press and Mason Holland. Press says Eclipse Aerospace is re-opening at the beginning of September at the manufacturer's main facility in Albuquerque, which will initially be used to offer upgrades and maintenance but eventually may be used to restart production (see related story). Eclipse Aerospace has already begun offering upgrades and maintenance at a facility outside Chicago which it has acquired from North American Jet.
Press says North American Jet, located at Palwaukee Airport, quietly began working on Eclipse 500 upgrades in May to give Eclipse Aerospace a head start. He says North American Jet's maintenance business, which is being renamed Eclipse Aerospace Chicago, has already upgraded two aircraft to support flight into known icing (FIKI) and is now working on upgrading three additional aircraft. Other upgrades, including installation of a new Avio avionics suite and tip tanks, will be offered starting in September at both Chicago and Albuquerque.
The new company's initial focus will be the upgrade business as nearly all of the 259 aircraft delivered by Eclipse Aviation prior to ceasing production last October need at least one of the three upgrades. Eclipse Aerospace has not yet decided how much to charge for the upgrades or how many modification lines to open but it will take at least several months for the entire fleet to be upgraded. "We don't know the throughput or our capacity until we hire people," Press says.
He adds so far 15 employees have been hired in Albuquerque and a decision will be made by the end of September on how many additional employees will be required. At its peak Eclipse Aviation had over 2,000 workers.
In a separate deal Eclipse Aerospace also has acquired the 29 Eclipse 500s formerly operated by DayJet, which was by far the largest Eclipse operator until it suspended its air taxi operation last September. Press says these aircraft as well as a few other Eclipse 500s already acquired by Eclipse Aerospace from individual owners will be upgraded and re-sold over the next year.
Press says he also is talking to several third-party companies interested in buying aircraft from owners, upgrading them and leasing them back. He says despite the upheaval over the last year less than 10% of the entire fleet is now for sale and "there's a lot of demand out there" for second-hand aircraft, including from some of the deposit holders who lost their deposits as a result of Eclipse's bankruptcy.
Eclipse Aerospace was one of several groups that initially expressed interest in acquiring Eclipse Aviation's assets in February, when the manufacturer's bankruptcy case, which began last November with a chapter 11 filing, was converted to chapter 7 liquidation. While several US and foreign groups made initial bids, including a $25 million bid from the Eclipse Owners Group (EOG), Eclipse Aerospace's $40 million proposal was the only offer submitted during the final bidding process.
"We felt it would be unwise to get into a bidding war as it would have just ratcheted up the cost that in the end would have to be covered by owners and future owners," says EOG member and chairman of Eclipse 500 operator Jet-Alliance Randall Sanada.
Sanada adds EOG, which had an arrangement with Hawker Beechcraft to provide upgrades and maintenance if it prevailed in acquiring Eclipse Aviation, supports Eclipse Aerospace because its business plan is not based on charging owners exorbitant prices for upgrades. "The concern we had in the owners group was with the buyers with predatory intent to overcharge for maintenance and upgrades. We're very comfortable with [Eclipse Aerospace]," Sanada says.
He says the biggest near-term priority for Eclipse owners is spare parts, which the new company plans to resume selling in September initially using the inventory it acquired as part of the asset purchase. Press says while a few suppliers have gone out of business most suppliers have expressed a desire to resume producing parts.
Press was also initially involved in the EOG bid but pulled out to put together a separate proposal with Holland, an Eclipse 500 deposit holder who owns healthcare benefits software provider Benefitfocus. Press says the two have secured a "number of investors" and will both be on Eclipse Aerospace's board, with Holland as chairman, but are recruiting for an executive to be in charge of day-to-day management.
Press is no stranger to the Eclipse programme and is already known by almost all of the aircraft's owners. Press owns and flies the fourth production Eclipse 500 and his company, Missouri-based Single-Pilot Jet Management, specialises in the second-hand Eclipse market. Press now intends to "turn over" this company, which has assited in the sale of over 200 Eclipse 500s to date but also works with other VLJ models, to focus on Eclipse Aerospace.
He says Eclipse Aerospace is also splitting North American Jet into two, with the charter division, which operates a wide mix of aircraft including seven Eclipse 500s, becoming a separate entity. The maintenance business, to be known as Eclipse Aerospace Chicago, will continue providing maintenance services on a wide mix of piston, turbine and jet aircraft "but will concentrate on Eclipses".
While Eclipse Aerospace plans to work with several third-party maintenance providers Press does not expect competition in the upgrade business. "The upgrades really have to be done by the factory because of product support," he says.
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The CNY18 billion Zhongyi Taike Business Jet Company will be headquartered in Shenyang, Liaoning province.
The company, affiliated to China Zhongyi Group, will introduce Challenger 850 aircraft manufactured by Bombardier Aerospace in Canada. It will be the first private business jet company in China approved by the General Administration of Civil Aviation of China. The headquarters is expected to be China's business jet base for service, maintenance, operating and training after its completion.
Currently in China there are only 50 private business jets for passenger transportation. Compared with the number in Brazil and the United States, China has great potential for private business jets. It is estimated that China will have between 600 and 1,200 business jets in the next decade.
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Eclipse Aerospace, which plans to begin offering in September upgrades and maintenance for the Eclipse 500, plans to decide in the first quarter of next year on whether to resume production of the very light jet.
"We won't concentrate on that until the company is up and running. We'll probably make a decision in six months," says Eclipse Aerospace co-founder Michael Press.
He adds Eclipse Aerospace, which has purchased the assets of bankrupt manufacturer Eclipse Aviation for $40 million, will need additional funds if it decides to pursue resuming production. "We have enough money now to run the company and to study restarting production," Press says.
The last Eclipse 500 rolled off the production line in Albuquerque, New Mexico last October. Several foreign aircraft manufacturers have since expressed interest in taking over production but Press says Eclipse Aerospace "would open production in Albuquerque and then look overseas".
Press says the foreign manufacturers which expressed interest earlier this year in acquiring Eclipse Aviation and moving production overseas decided against participating in the final auction of the bankrupt company's assets due in part to the lengthy and tedious review process a foreign bidder would be required to complete. "We knew there would be no foreign bidder if there was a US bidder," he says. But he adds Eclipse Aerospace will consider in the future bringing in one of these companies as a partner.
The chairman of Eclipse 500 operator Jet-Alliance, Randall Sanada, says the Eclipse Owners Group (EOG) has been told production could resume in 6 to 18 months. "It depends on who they partner with," Sanada says. "They are trying to partner with the Chinese."
He says the EOG supports the resumption of production "as it would be good for the long-term viability of the company". Jet-Alliance, which manages four Eclipse 500s, is one of several Eclipse 500 operators interested in acquiring additional aircraft. "We have every intention of increasing our Eclipse fleet," Sanada says.
Jet-Alliance had organized a bid to buy the 28 Eclipse 500s previously operated by defunct air taxi operator DayJet but was trumped by a bid from Eclipse Aerospace, which intends to re-sell the aircraft after completing upgrades.
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A UK government loan in support of Airbus's A350 XWB programme has sparked a fresh row between Boeing and its European rival ahead of an interim ruling by the World Trade Organisation on their long-running trade dispute.
On 14 August, UK business secretary Peter Mandelson revealed that Airbus's newest commercial type would be allocated £340 million ($563 million) in UK government assistance to support manufacture of the wing and other components, to be undertaken at Filton and Broughton. "The launch investment of £340 million is repayable, not a grant, and earns a real rate of return," says a government statement.
Boeing labels the loan award as "disappointing", noting that it came on "the very eve" of a draft WTO ruling on the US case against Europe on launch aid and other subsidies to Airbus. The US airframer expects this ruling by the end of August.
The case was originally filed in 2004 and provoked a counterclaim by the European Commission concerning research and development assistance to Boeing. Europe's complaint will be ruled upon separately.
In its statement on the A350 loan, Boeing asserts that its European rival "has relied on risk-free government launch aid to develop each of their commercial aircraft", adding claims that launch aid "violates the WTO subsidies agreement" and is "a market-distorting subsidy that is unique to Airbus".
Since its corporate owner EADS has a cash position of €8.1 billion, Airbus has "no need of financial support from the taxpayer", argues Boeing.
Airbus is dismissive of Boeing's objections. It claims that the US government has allocated more than $5 billion in non-repayable grants to the 787 programme. "When the competition has a $5 billion funding advantage (at least), how do you expect the European governments to react? Ignore it? Or level the playing field?" asks Rainer Ohler, senior vice-president of public affairs and communications at Airbus. "Why should loans be market-distorting when the competition was given grants?"
Negotiations are required to settle the dispute, Ohler argues. "Maybe after the two draft interim reports or after two rulings the parties will eventually come to the table and jointly face reality: aviation is a strategic industry in which governments will always take a special interest and engage to support technology development and high-tech jobs."
Airbus expects the WTO to issue an interim report on Europe's complaint "around six months" after the imminent ruling on the US-filed case.
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Boeing is investigating two of its employees after one of them attended an industry conference posing as a journalist and blogger and participated in the press conferences of two competitors.
"Anything that appears to be a breach of Boeing policy is going to be investigated, and going to a show and misrepresenting yourself as something other than a Boeing employee is against company policy," the company says.
Stanley Holmes and Doug Cantwell, two public relations managers, were working on a concept for launching an external blog about aerospace issues called defensedialogue.com.
Cantwell applied for and received press credentials to attend the AUVSI Unmanned Systems convention in Washington DC earlier this month. Cantwell also attended and asked questions at press conferences hosted by two Boeing competitors - Northrop Grumman and AAI.
The investigation will examine the "whole set of actions surrounding that show and whether or not [Cantwell] had credentials my misrepresenting himself," Boeing says.
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Federal Aviation Administration (FAA) Administrator Randy Babbitt has announced the appointment of Roderick D. Hall as the new FAA assistant administrator for government affairs.
“I am pleased to announce the appointment of Roderick D. Hall, as the new Assistant Administrator for Government and Industry Affairs,” said Babbitt. “We’re very fortunate to get someone of Rod’s background and experience, particularly with congressional relations taking on increased importance in recent years.”
As the agency’s chief congressional liaison, Hall will serve as the advisor to the administrator and agency representative on matters concerning Congress and other government organizations.
Hall spent the last nine years as a congressional staffer, most recently as deputy chief of staff and associate professional staff member to Rep. Eddie Bernice Johnson, D-Texas, a senior member of the House Transportation and Infrastructure Committee and chairwoman of the Subcommittee on Water Resources and Environment. In this capacity, Hall served as Johnson’s principal advisor on issues related to her Dallas-based congressional district, home to Love Field Airport and Southwest Airlines. Prior to coming to Washington in 2004, Hall was the district director for Johnson where he served as her liaison and interfaced with government officials at the city, county, district, and federal level.
Before joining Rep. Johnson’s staff in 2001, Hall was a staff consultant with Ernst&Young, LLP in Chicago for two years. There he was involved in capital market and industry research for corporate clients. Before that, Hall spent a year as an analyst with Ernst & Young’s National Accounting Center in Dallas. From 1996-1997, he worked for the New Orleans Branch of the Federal Reserve System as a management intern.
A native of Shreveport, La., Hall holds a bachelor’s degree in economics from Dillard University in New Orleans and a master’s in political science from the University of Dallas, Irving, Texas. He and his wife Lena reside in Woodbridge, Va.
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Powered by enhanced Rolls-Royce engines, the G550 has a range of 6,750 nautical miles at speeds up to Mach 0.87. It easily links New York with Dubai, LA with Tokyo, or San Francisco with Buenos Aires. As The Robb Report noted, this powerful jet can “jump over oceans effortlessly, fully loaded with passengers and crew.”
“This G550 is the crown jewel of our long-range fleet, which already includes a number of world-class, large-cabin aircraft,” says Andrew Richmond, President of TWC Aviation. “With our G550 we can now offer clients non-stop service to Europe, Latin America, and Asia.”
TWC Aviation’s G550 offers a host of amenities, including a Satellite phone, Airshow, four DVD players, eight flat-screen monitors, multiple CD players, convection and microwave ovens, and two fully enclosed lavatories—one for passengers and another for crewmembers. The G550 also reduces passenger fatigue and the effects of jetlag, since cabin altitude remains at just 6,000 feet, even at maximum cruising altitude of 51,000 feet. This spectacular jet is equipped with advanced safety features, such as Enhanced Vision System II and the latest in Head-Up Display technology. It is maintained to FAA standards by TWC’s factory-trained technicians.
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Talon Air, Inc., a private jet charter company located in Farmingdale, NY, is seeking an experienced Charter Coordinator for full-time employment
Position: Full-Time Charter Coordinator
Location: Farmingdale, New York (KFRG)
Education: 4 year degree preferred
Work Experience: Part 91 and 135 Charter/Dispatch experience required
Salary: Commensurate with experience
Profile: Successful candidates will have excellent verbal communication skills and be computer literate. Must be able to work in a high paced and demanding (as well as exciting) environment and be organized, detail-oriented and have excellent phone skills. The right candidate will be customer-focused, success driven and goal oriented. The applicant should be well experienced in scheduling and coordinating FAR part 135&91 flights. Knowledge of CTA/FOS a big plus.
Please send resumes to abrown@talonairjets.com; no phone calls.
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One of the world's leading private jet operators, International Air Charter, based in the United Arab Emirates, is reporting a 50% increase in demand over Ramadan for flights in Saudi Arabia.
The King Abdul Aziz International Airport which is the main airport in Saudi Arabia's financial hub Jeddah and the main gate for pilgrims arriving to perform the Umrah, has been packed over the last three days according to local newspapers.
A statement from International Air Charter explained the surge in demand was due to "clients recogniz[ing] the strategic benefits of charter jet services, particularly in terms of convenience and time saving," .
But with ever more frequent media reports of swine flu (N1H1 virus) related deaths, are clients choosing private jets over commercial flights for financial or health reasons?
"Whenever there is a global health scare there is a short term boost to private jet usage amongst the 'well-heeled' and their families, and this is the case at the moment" David J Bentley, an analyst with Big Pond Aviation, told The Media Line.
The Umrah is the part of the annual Hajj pilgrimage preformed during Ramadan, while the main Hajj is not until later this year many prefer to preform the trip during Ramadan.
So far four Saudi Nationals have died of swine flu and reports of people who have been diagnosed with the virus when returning home after a visit to Saudi are increasing.
While the effect of swine flu on the private jet market has been positive the same cannot be said for the commercial flight industry. On August 10, Iran Air, the national airline, announced they were canceling all their flights to Saudi over Ramadan due to swine flu. The decision affected some 300,000 passengers and represents a large part of the people who travel on Iran Air’s international routes.
The increases in demand however appears to be concentrated to Saudi as jet charter companies in the UAE are "not experiencing an increased demand", reported Rafat Hamdani, a salesperson with UAE with Worldwide Air Charter, a UAE based private jet company.
The Chief Executive Officer of UAE based, low cost air-line Air Arabia was quoted as saying "swine flu is a bigger threat than the economy" to the airline industry.
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