Thursday, November 8th, 2018



FAA and Boeing updating airlines on 737 Max sensor issue after Lion Air crash

On October 29 a Lion Air Boeing 737 MAX crashed into the sea shortly after taking off from Jakarta, Indonesia, killing all 189 passengers and crew on board. The focus of the investigation has turned to the flight data sensor and possible incorrect readings. According to Bloomberg News, “under some circumstances, such as when pilots are flying manually, the MAX jets will automatically try to push down the nose if they detect that an aerodynamic stall is possible.”

The concern is that the data sensors can incorrectly show that a stall is possible. Boeing has consequently issued a safety bulletin and statement directing flight crews on how to react in the event erroneous data is provided by the sensor which monitors the plane’s angle of attack, including instructions to pilots on how to compensate. According to an aerospace industry expert, “the erroneous AOA input can pitch the aircraft’s stabilizer trim down for up to 10 seconds at a time.”

Subsequent to Boeing’s update, the FAA issued a statement that it intends to issue an airworthiness directive which, according to Bloomberg News, indicated that it “will take further appropriate actions depending on the results of the investigation.”

According to the Wall Street Journal, “the moves are the first public indication that investigators suspect a possible software glitch or misinterpretation by pilots – related to an essential system that measures how high or low a plane’s nose is pointed – may have played an important part in the sequence of events that caused the Boeing 737 MAX 8 to plunge into the Java Sea.”

TP Aerospace

Airbus signs new FHS contract with ANA

Airbus confirms the growing success of Flight Hour Services (FHS) in the Asia-Pacific region with a new contract announced at the MRO Asia exhibition in Singapore.

The agreement is with Japanese carrier All Nippon Airways (ANA) for its new fleet of three A380 widebody aircraft. ANA becomes the latest A380 operator to benefit from increased operational reliability provided the Airbus FHS contract.

Airbus FHS will provide fully integrated component services including logistics, transport, stocks management, relationships with equipment suppliers and the embodiment of Service Bulletins (SBs).

Through FHS, Airbus offers airlines its extensive and proven expertise in fully integrated maintenance services, and the advantage of one single interface to manage their whole fleets and associated components support operations.

Rolls-Royce signs engine and service agreement with China Eastern

Rolls-Royce has signed a Trent XWB engine and long-term TotalCare® service agreement with China Eastern Airlines involving the airline’s 20 Airbus A350-900 aircraft.

The agreement, worth over CNY10 billion (over US$1.1bn), is expected to be one of the largest deals announced at the first China International Import Expo (CIIE) taking place in Shanghai from 5-10 November, 2018.

China Eastern ordered 20 Airbus A350 XWB aircraft in 2016 to strengthen its widebody fleet for international routes and meet the needs of the fast-growing Chinese aviation market. This latest announcement follows a Letter of Intent (LOI) signed in 2017. Rolls-Royce Trent 700 engines already power all of China Eastern Airlines’ 59 Airbus A330 aircraft in service.

Component Control

Turkish Airlines posts record profit in first 9 months 2018

Turkish Airlines has posted record profit from its main operations of US$1.149 billion, in the first 9 months of 2018, despite increasing fuel prices.

Turkish Airlines, increased both passenger and cargo revenues, achieving a total revenue of approximately US$4 billion in the third quarter of the year. Sales revenue in the first nine months increased by 20% to US$ 9.9 billion, compared to the same period of 2017. Turkish Airlines posted a net profit of US$755 million.

In the first nine months of 2018, EBITDAR (earnings before interest, taxes, depreciation, amortization and rent), which is used as a cash generation indicator, increased by 16% to US$ 2.8 billion, with an EBITDAR margin of 28%.

Satair and Regent Aerospace sign long-term co-operative agreement for aircraft cabin upgrades and refurbishments

Satair and Regent Aerospace Corporation of Valencia, California, USA, have signed a multi-year, global, co-operative agreement at the MRO Asia-Pacific exhibition in Singapore, for the MRO solution and supply of aircraft cabin repairs, refurbishment, modifications, reconfigurations and upgrades and refurbishments for Satair’s integrated approach to offer additional MRO services and solutions for airlines, lessors and MROs worldwide.

This is the first time that Satair has entered into an agreement of this kind with an aircraft cabin/OEM supplier. As a global centre of excellence on commercial aircraft cabin interiors Regent will help Satair to offer additional services and solutions for the airlines, lessors and MROs across the globe who want geographical and total solutions for their fleets.

The agreement offers new avenues of opportunities for both companies to expand cabin interior market share by building new revenue streams and in the process satisfying a growing customer’s demand.

SR Technics

Magellan awarded CDN$140 million contract extension with Airbus

Magellan Aerospace Corporation (Magellan) have secured a six year agreement with Airbus for a contract extension for the manufacture of A350 XWB centre wing box and keel beam detail parts.

It is estimated that revenue generated from this work package will exceed CDN$140 million dollars over the term of the contract. The package consists of a number of large structural, machined components, and will be manufactured by Magellan in the United Kingdom and supplied to the Airbus assembly facility in Nantes, France.

GKN Aerospace, COMAC and AVIC to jointly manufacture advanced aerostructures

At the Zhuhai Air Show GKN Aerospace, COMAC subsidiary SAMC (Shanghai Aircraft Manufacturing Company) and AVIC International (Aviation Industry Corporation of China) have today signed a Framework Agreement to establish a joint venture for aerostructures manufacturing in China. This Framework Agreement enshrines the progress made by the parties since signing an MOU in September 2017 and represents a significant milestone in their co-operation together.

The joint venture is scheduled to begin production Q4 2021 in a new state-of-the-art facility. Locations are currently being evaluated. The joint venture will manufacture products for the civil aerospace market. This development puts the partners at the heart of the Asian aerospace market which is a key growth market for the future. The new joint venture will open up new business opportunities for GKN Aerospace’s industry-leading aerostructures business and its partners.GKN Aerospace and its partners will, as a result of the joint venture, be able to offer its customers technologically advanced aerostructures, both metallic and composite, that have a proven record in the global market. After the start-up period the scope of the joint venture will be extended to include design and development capability.

The expansion to Asia is an important part of GKN Aerospace’s long-term growth strategy and global operating model. This summer GKN Aerospace announced a new wiring systems plant in Pune, India and in October GKN Aerospace officially opened a new aero-engine repair and research plant in Johor Malaysia. GKN Aerospace now operates seven facilities in Asia, delivering wiring systems, transparencies and services in China, India, Malaysia, Singapore, Thailand and Turkey.

With this Chinese joint venture, GKN Aerospace’s business will have its first aerostructures venture in the Asian-Pacific region. The establishment of the joint venture is subject to the fulfilment of certain conditions including but not limited to approvals by the relevant authorities.

C&L Aerospace

Malaysia Airlines Berhad and Revima sign A330 enhanced landing gear support agreement

Malaysia Airlines Berhad (MAB) has entered into a maintenance agreement with Revima for the support of the airline’s A330 enhanced landing gears.

Through this agreement, Revima will provide repair and overhaul services for 19 of MAB’s A330 aircraft. Services cover landing gears and related components from 2019 to 2024, with an exchange solution. The overhauls will be carried out at Revima’s main facility located in Normandy, France. Revima will also provide engineering and onsite support to MAB.

LHT signs first comprehensive Cyclean Engine Wash contract with SIAEC, LHT Shenzhen now approved service provider for COMAC

Lufthansa Technik AG has signed its first comprehensive Cyclean® Engine Wash contract with SIA Engineering Company Limited (SIAEC) at the MRO Asia-Pacific in Singapore on 7 November. The long-term cooperation is set to last for five years. With this contract, SIAC will now clean the engine types of its major customers under Singapore Airlines Group with Cyclean® Engine Wash at Singapore-Changi Airport with. This includes the Rolls-Royce Trent 700, 800, 900, 1000 and XWB engines, the Pratt & Whitney PW4000 and General Electric GE90-115 for Singapore Airlines and Scoot Tigerair. Cyclean® Engine Wash is performed as part of maintenance work, in transit between two flights or overnight. It shortens conventional engine washing time by up to 80 percent and enables unrestricted execution not only in the hangar but everywhere at the airport. Cyclean® Engine Wash can be applied to all current engine types of the leading manufacturers General Electric, Rolls-Royce, Pratt & Whitney, CFMI and IAE. Since its market launch in 2007, more than 70 airline customers worldwide have decided on Cyclean® Engine Wash until today.

Furthermore Chinese aircraft manufacturer COMAC (Commercial Aircraft Corporation of China) has officially approved Lufthansa Technik Shenzhen as their first MRO service provider in China for ARJ21 engine nacelles and components. Prior to the approval, the Lufthansa Technik subsidiary had successfully performed an on-site audit in December 2017. Located in the Chinese province of Guangdong, Lufthansa Technik Shenzhen, had added the COMAC ARJ21 regional jet to its service portfolio in 2016. Since then, the company has carried out modifications to several shipsets of the regional jet's engine fan cowls and thrust reversers. Lufthansa Technik Shenzhen is authorized by Middle River Aircraft Systems (MRAS), a subsidiary of General Electric, to carry out maintenance, repair and overhaul for ARJ21 engine nacelles.


Air Astana to launch low cost airline, FlyArystan

Air Astana has announced that it is to launch a low cost airline in the first half of 2019. The airline will be called FlyArystan. It will operate a fleet of Airbus A320 aircraft configured to an all-economy class of 180 seats. It will operate a classic LCC model, following the examples of highly successful airlines such as easyjet, Indigo, Cebu Pacific, and Air Asia. It will offer low airfares – approximately half of what Air Astana offers today – on mostly domestic routes – but it is expected to expand onto regional international routes in the mid-term. The new carrier will operate initially 4 aircraft, growing to a fleet of at least 15 by 2022. FlyArystan will operate from multiple aircraft bases in Kazakhstan with routes and aircraft bases to be announced over the coming months.

FlyArystan’s management team has already been appointed and is drawn from Air Astana’s senior local managers, whom the airline has been developing for the last 16 years. The team will be led by Tim Jordan, a British-Australian national with more than 15 years’ senior LCC management experience at Cebu Pacific and Virgin Blue.

Although FlyArystan will be a low cost airline, with very different service procedures to those of Air Astana, it is to be stressed that as a division of Air Astana, there will be no degradation of airline safety or reliability standards. All safety standards and regulatory processes to which Air Astana is subject, will automatically apply to FlyArystan. Finally, and as usual with Air Astana, the project will be entirely self-funded. FlyArystan will require no capital from shareholders, no state subsidies or external financial support of any kind.

GA Telesis grows MRO business

GA Telesis has reported a record third quarter for the Company. In the third quarter ending September 30th, the group obtained both Chinese and Vietnamese regulatory approvals as well as deployed new product capabilities to support A320, B737NG, and B777.

In January, the MRO Services Group announced a long-term Repair and Overhaul License Agreement and Parts Supply Agreement with Honeywell. During this same time period, the Company added several new products to its existing agreement with Honeywell, which broadens the offerings to their customer base. Products include electro-mechanical, pneumatic and mechanical LRU’s covering a variety of Airbus, Boeing, Bombardier and Embraer fleet applications.

The Company plans to continue its OEM alignment strategy with other manufacturers that will allow it to provide repairs using OEM genuine parts and approved procedures at competitive rates.

GA Telesis

Xiamen Airlines and GE Aviation sign digital solutions agreement

Xiamen Airlines has signed an agreement with GE Aviation on the Event Measurement System (EMS) based Flight Analytics Services to further extend their strategic cooperation in digital. This service enables customers to effectively enhance flight safety, optimize fuel efficiency and reduce operational costs for the airline’s fleet.

“We have enjoyed a healthy business relationship with GE Aviation since 1992,” said Zhao Dong, President of Xiamen Airlines. “As the early user of GE Aviation’s digital solutions in China, we are excited to further extend our collaboration and continue to view GE Aviation as the preferred team to power our continuous growth.”

GE Aviation’s comprehensive digital system enables customers to better manage operations with data-driven solutions and insights. The EMS-based flight analytics service integrates data sources like flight information, weather, navigation, flight plans, and other operational data, and uses a powerful analytics engine to extract valuable insights for airline customers.

Finnair traffic performance in October 2018

In October Finnair carried 1,141,700 passengers, 8.2% more than in the corresponding period of 2017. The number of passengers continued to grow in European and domestic traffic, which grew by 11.0% and 8.3% respectively.

Finnair's overall capacity increased in October by 8.7% year-on-year while Finnair's traffic grew by 5.3%. The higher ASK growth rate was reflected in the load factor, which decreased year-on-year by 2.6% points to 79.5%.


MTU Maintenance signs multiple contracts at Zhuhai Airshow

MTU Maintenance Zhuhai has signed a number of agreements at the Zhuhai Airshow in China. The first was a five-year agreement with longstanding customer Hainan Airlines for V2500 MRO services. Hainan Airlines and MTU Maintenance Zhuhai have worked together on CFM56 engines for well over ten years and are now expanding their cooperation to include the V2500 engines powering the airline’s A320 fleet.

Furthermore, MTU Maintenance Zhuhai committed to supporting China Southern Air Leasing Company with V2500 teardown and material management services. Cooperation was also intensified with joint venture partner China Southern Airlines, with commitments to providing training for China Southern maintenance and engineering staff regarding on-site repairs. This benefits both parties equally: it enables China Southern to improve its competencies in this area, and MTU Maintenance Zhuhai gains additional flexibility to serve other customers with on-site and AOG support.

Beyond the agreements signed today, contracts were signed with both Vietnam Airlines for V2500 engines and VietJet Air for their CFM56-5B engines earlier in the year. These are MTU Maintenance Zhuhai’s first contracts in Vietnam and a significant milestone in becoming the market leader in Asia.

In total, the above mentioned contracts are estimated to have a value of over US$500 million.

Air BP invests in new fuelling infrastructure to supply Bergen Airport, Norway

Air BP, the international aviation fuel products and services supplier, has invested in upgraded infrastructure at Dolvik terminal in Norway to provide a more efficient, lower carbon fuel supply. Improvements at the BP-owned terminal include an upgraded pipeline and new fuel tanks with the capacity to store eight million litres of Jet-A1 fuel. This will offer greater security of supply to help meet the increasing demand for fuel at Norway’s second largest airport, Bergen. The terminal was inaugurated yesterday by Aslak Sverdrup, airport director, Avinor during a special ceremony.

The project involved rebuilding three fuel tanks, building a new jetty, the integration of two fuel systems to optimize storage, improvements to on-site safety mechanisms and control system enhancements. Not only does the new facility deliver a more efficient supply route and greater supply security but, it will also reduce carbon emissions. It is anticipated that delivering fuel direct by pipeline, as opposed to via road, will save around 300 tonnes of carbon emissions annually.


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MRO Asia
November 6 - 8, 2018 – Singapore

Aircraft Economic Life Summit 2018
November 20, 2018 – Gibson Hotel, Dublin, Ireland

Inventory Optimization & Supply Chain Management Seminar
February 19 - 20, 2019 – Palma de Majorca, Spain

IATP Conference 2019
March 9 - 13, 2019 – Athens, Greece

Saudi International Airshow 2019
March 12 - 14, 2019 – Thumamah Airport, Riyadh, KSA
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