This Week Briefing

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JAL PLANS SALARY CUTS

Japan Airlines is cut 16,000 employees' salaries by 5% and withdraw bonuses as part of its financial restructuring. The carrier, which filed for bankruptcy protection on 19 January after incurring ¥2.3 trillion ($25 billion) in debt, is thought to be seeking to cut annual personnel costs by ¥30 billion.


SIMULATOR BOOST FROM MILITARY TECHNOLOGY

A new line of simulators developed in part from full immersion technology created for US military special forces promises to cut the need for civil helicopter services to carry out training in real aircraft. CAE says its new 3000 Series was designed to make safety-enhancing scenario-style training affordable for corporate, emergency medical services, offshore and others operators.


AMERICAN EAGLE FACES SECOND FAA FINE

The US Federal Aviation Administration has proposed a $2.9 million fine against American Eagle Airlines for operating Bombardier CRJ700s with landing gear doors that had not been repaired in line with an August 2006 airworthiness directive. Earlier this month the FAA proposed a separate $2.5 million fine against the carrier for failing to properly calculate the weight of the baggage.


AW119 SET FOR ASSEMBLY IN INDIA

AgustaWestland and Tata are to create a joint venture to assemble the AW119 helicopter in India for delivery from 2011, with production to eventually rise to 30 a year. The AW119 is being offered for the Indian armed forces' 197-aircraft reconnaissance and surveillance requirement, facing competition from types including the Eurocopter AS550C3 Fennec and Kamov's Ka-226.


C-130H DELAY COSTS NEW ZEALAND JOBS

Air New Zealand subsidiary Safe Air is to cut its 350-strong workforce by around 100 positions because of delays to a Lockheed Martin C-130H modernisation programme. The company was to receive the first of five Royal New Zealand Air Force transports in August 2008 under a subcontract with L-3 Communications, but this should now arrive later this year.


IN-FLIGHT WI-FI PROFIT 'FIVE TO SIX YEAR OFF'

In-flight wi-fi will start to make money for airlines around the middle of this decade, when more than 35% of the active global commercial fleet is expected to be equipped with systems to support such service, according to IMS Research.


THAI DEAL IS FIRST 777F WET LEASE

US cargo carrier Southern Air is placing into service the first of at least six Boeing 777F freighters, initially operating from Bangkok as part of a wet-lease contract with Thai Airways. Southern becomes the fifth 777F operator after Air France, Emirates, LAN and AeroLogic and the type's first wet-lease operator.


PROFITS PLUNGE AT BAE SYSTEMS

BAE Systems posted a 22% rise in revenue in 2009 to £20.4 billion ($31.8 billion) but pre-tax profits plunged to just £282 million, from £2.37 billion in 2008. Earlier this month the company pleaded guilty to US Department of Justice and UK Serious Fraud Office charges to end investigations into activities including the Al Yamamah arms deals with Saudi Arabia.