Dubai 2007: Face the facts: Mike Creed

It’s been a busy year for Action Aviation – the company, which recently acquired aircraft manufacturer Sino Swearingen, is launching new helicopters and personal jets and is moving to a new head office. Managing director Mike Creed talks to Phil Nasskau about the company’s plans for the Middle East.

Q: Recently Action Aviation has acquired a controlling stake in Sino Swearingen Aircraft Corporation What prompted the move from distributor to real involvement?
We have 159 SJ30s on order, which is more than half the production sold so far, and we felt we were already substantially involved. So when the opportunity came, my chairman took it.

Q: And how deeply are you involved?
We’re still in the due diligence process, which should be completed soon. Then we can move forward, but it’s looking good. We’ve given Sino Swearingen a cash injection to allow it to move forward and ramp up production. If we had airframes we could sell them. Selling the aircraft isn’t a problem; we need the airframes to deliver to the customers.

Q: How do you see the SJ30 performing in the Middle East?
It will perform very well, our demonstrator flew in from San Antonia making just three stops. From San Antonio, US it stopped in Goose Bay, Canada; Copenhagen, Denmark and Ankara, Turkey - and then to Dubai. It’s a real pocket rocket at an economical price. The aircraft can fly 2,500nm plus reserves and with a sea level cabin at 41,000ft. No other aircraft, not even commercial airliners, can offer a sea level cabin at that altitude. And with a price tag of $7 million, it will do well.

Q: What about the cabin size? The Middle East has predominantly favoured large cabin aircraft; will this have an impact on the SJ30s acceptance?
The Middle Eastern market is changing. Previously buyers have wanted large, luxurious cabins. We have a luxurious cabin too. We’re attracting interest from sharp entrepreneurs who have to operate efficiently. People may be travelling in a Gulfstream, and typically there are only three or four passengers. But a Gulfstream costs at least $25m. The SJ30 is only $7m and offers the same facilities – lavatory or refreshments – albeit without a stand up cabin. This is very much a light jet, and not a VLJ.

Q: Have you sold many into the region?
We’ve sold 14 in the UAE and certainly have potential sales in Saudi Arabia. As soon as we can get deliveries of aircraft, we’ll be able to sell them. The Middle East really is a sweet shop for aviation for both fixed-wing and helicopters.

Q: Action Aviation is also the local MD Helicopters distributor. How’s that going?
It’s going very well, and we’ve sold another VIP MD902 Explorer. The government of Ajman is using the aircraft for its royal flight for travel throughout the region. We’ve also got a turnkey EMS contract in Qatar with Gulf Helicopters. The first aircraft started a month ago and there will be three more joining it. Currently the first aircraft is operating from Hamad hospital in Doha and we’re supplying pilots and engineers too.

Q: Why the Explorer?
It performs very well in high temperatures. The aircraft was evaluated in July and performed all the tasks that were required of it. It also has no tail rotor (NOTAR) technology, which is really useful for ambulance services because not only does it remove the danger issues that surround tail rotors, but it also removes the erosion problems that occur because of the operating environment. It also helps to reduce noise.

Q: You have a diverse range of offerings, what does the Javelin bring to the mix in the Middle East?
The Javelin is described as a personal jet, and in that respect is likely to see very limited sales success in the region. But it has great potential as a trainer. It is ideally suited for training fast jet pilots because of its handling.

Q: Military contracts are usually done directly with the manufacturer, how would Action Aviation fit in?
We’d act as an introductory agent, and then we’d take it from there and do as much or as little as ATG want us to do.

Q: What’s the focus at Dubai this year?
We’ve got an SJ30 and the Ajmani Government’s Explorer on display, as well as a mock up of the Javelin. We’re doing so much business in the region that we’re actually moving our Headquarters to Dubai. And this show really is the chance for us to showcase our pavilion and it will be our shop window.

Q: What does the future hold for Action Aviation?
Who knows, but we’ve grown from a small company into a large company with a diverse range of offerings. We’re moving into operations now and we’re here to do business.

Source: Flight Daily News