Dubai Airshow News

Yemenia adds to Airbus commitment with MOU for 10 A320s
Airbus, Boeing say recovery is on the way
Etihad invests $750 million in inflight product, MRO
CFM strikes deals with Libyan, Tunisair, DAE worth $535 million

Additional stories

Dubai News from Nov. 16.

Airbus COO Customers John Leahy with Yemenia Airways board member Saleh Alawaji at the signing for 10 A320s

Yemenia adds to Airbus commitment with MOU for 10 A320s

Yemenia Yemen Airways signed an MOU at the Dubai Airshow yesterday to acquire 10 A320s for delivery from 2011. The aircraft will be configured with 138 economy and 12 business class seats.

"Our long-term strategy is to grow with an integrated fleet of super-efficient and reliable aircraft. The A320 shares operational and maintenance commonality with our existing [Airbus aircraft] and will bring added efficiencies," Yemenia board member Saleh Alawaji said. The carrier's fleet includes two A330-200s and three A310s. It also operates 737-800s and has ordered 10 A350s.

It had threatened to "reconsider" the A350 commitment in response to criticisms of its safety record in Europe that emerged following the crash of one of its A310s last July. Yesterday's MOU appears to indicate that its relationship with Airbus has been repaired (ATWOnline, July 8).

Airbus, Boeing say recovery is on the way

Airbus and Boeing are experiencing a reduction in the number of airlines seeking to delay aircraft deliveries, one of several signs that the worst of the downturn is over.

Yesterday Airbus COO-Customers John Leahy told ATWOnline that requests for deferrals have slowed and that Airbus has managed this year by juggling its order book, with some airlines taking deliveries early and others giving up slots. "At this junction, we see market improvement, not deterioration. I am not hearing any more talk of delaying or cancelling at this air show," he said in Dubai.

Boeing VP-Marketing Randy Tinseth told this website that the OEM is working with customers to get through what has been a difficult year. "Next year will be recovery and 2011 profitability," he said. "This year is about working with customers." Boeing expects to deliver about 480 aircraft in 2009 compared to 375 in 2008, a total that was affected by the three-month machinist strike. Airbus delivered 483 jets last year and expects a similar number this year.

Airbus President and CEO Tom Enders told media here that the next two years still hold challenges for the industry but that the recovery will come. "I think this show is encouraging. There is growth, particularly in the Middle East and Africa, and I share the view that 2010-11 will still be difficult years but am optimistic that we will get through this cycle," he said.

Tinseth shared Enders' views on the Middle East, saying that while the region suffered some slowdown during the global downturn, it has defied international trends and continues to show exceptional potential. "We see tremendous growth for the Middle East region and Middle East carriers are well positioned to meet those growth requirements with the fleet capacity they have in the form of unfilled orders or backlog," he said. There were 840 commercial transport aircraft in the region in 2008 and Boeing forecasts a requirement for 1,710 new aircraft valued at $300 billion over the next 20 years, resulting in a fleet of 1,860 by 2028.

Tinseth said the forecast also reflects the significant potential for low-cost carriers. "Since 2003 there have been several low-cost airlines that have begun service in the region," he said. "With a youthful population and a large migrant workforce there are tremendous opportunities for budget travel."
by Geoffrey Thomas

Etihad invests $750 million in inflight product, MRO

Etihad Airways announced a package of contracts worth a combined $750 million covering its inflight cabin product and maintenance.

The key investments include Panasonic's eX2 IFE system to be installed on EY's 777s and A330-300s, a deal with Lufthansa Technik to install new first class suites on its A340-600s and a contract with Abu Dhabi Aircraft Technologies to upgrade cabins on its 777s and A330s. It also inked an agreement with Lufthansa Systems to introduce a new flight planning system that EY CEO James Hogan said will enable the airline to reduce fuel costs by up to 5%.

Etihad also announced a contract with SR Technics for spare parts and support in both Abu Dhabi and outstations and a deal with IAE for comprehensive MRO on its fleet of V2500-powered A320s. Meanwhile, Hogan told ATWOnline that EY is adjusting the economy class seat configuration on 777s operating on regional routes to 10-across from 9-across to meet changing market conditions.
by Geoffrey Thomas

CFM strikes deals with Libyan, Tunisair, DAE worth $535 million

CFM International announced three engine orders at the show yesterday. Libyan Airlines selected the CFM56-5B for seven A320s on order, plus five options. Order is valued at $95 million and the airline will start taking delivery in June 2010. Tunisair ordered CFM56-5Bs valued at $170 million for 10 A320s that will begin delivery next year. Dubai Aerospace Enterprise selected CFM56-5Bs to power 20 A320s. Order is valued at $270 million and is for delivery from 2011. DAE previously ordered 70 CFM56-7B-powered 737NGs. All of its CFM56-5Bs will come with the Tech Insertion configuration introduced in September 2007.

Bombardier announced at the show that it will offer its commercial aircraft customers in the Middle East ready access to parts through its existing parts depot at Dubai International. The 260-sq.-m. facility, which currently services Bombardier Learjet, Challenger and Global aircraft customers, will be equipped in the coming months to meet parts requirements of CRJ, Q Series and, eventually, CSeries customers within the region.

Fourth flight test Sukhoi Superjet 100 has achieved power on. The three aircraft in flight test have accumulated 1,300 hr. over 500 flights. Sukhoi reported at the Dubai show that takeoff and landing tests have been completed, with EASA certification pilots conducting seven flights in late October. The Russian manufacturer said last week that it no longer expects to deliver the first Superjet to Aeroflot this year (ATWOnline, Nov. 13).

DAE Capital, the leasing arm of Dubai Aerospace Enterprise, leased two 737-700s to Turkish Airlines. Aircraft will be operated by THY's LCC subsidiary AnadoluJet through March and April 2015 respectively.

Flydubai has secured long-term financing for its first two 737-800s, delivered last May, and for the remaining four delivered or scheduled for delivery in 2009, in separate $80 million deals announced here yesterday. One sale/leaseback contract is with Macquarie AirFinance and the other with Dubai Islamic Bank. The LCC has five -800s in service and an order for 54 more set to start delivery in March. It currently serves eight destinations (it began flights to Khartoum on Nov. 8) and is the launch customer for the -800's new wide interior based on the 777.

Goodrich Corp. said its Aircraft Wheels and Brakes segment was selected by Flydubai to supply wheels and carbon brakes for the LCC's order for 54 737-800s to be delivered from March 2010 through 2013. Contract is worth up to $22 million, Goodrich said.

Lufthansa Technik will perform 24 C4 checks on Qatar Airways A320s and A330s. The program will take 30 months to complete. Work will be performed at LHT's recently expanded Malta facility. QR also signed with Lufthansa to paint 12 A320s and A330s at its Hamburg facility.

Rockwell Collins said Dubai Aerospace Enterprise selected its communication, navigation and surveillance systems as baseline equipment for installation on 70 A320s to be delivered from 2011 through 2015.

Originally published 18 Nov 2009 at: http://feeds.atwonline.com/~r/AtwDailyNews/~3/3EJ0i2jD6P4/story.html