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Aviation History
1993
1993 - 0008.PDF
AIR TRANSPORT WORKSHOP HOSPITAL DC-10 Orbis International has awarded Mobile Aerospace Engineering (MAE) the con tract to convert a McDonnell Douglas DC-10 into a flying eye-surgery and teaching hos pital. The conversion will cost $10 million. MAE's contract calls for heavy maintenance; modification of the interior to include an operating theatre, laser-treatment room, class room and conference room and an audio-visual centre; and installation of hospital systems. Completion is sched uled for late 1993. The DC-10 will replace a DC-8, donated by United Airlines, which has been operating in the same role since 1982. The DC-10 was donated by FlightSafety International president and Orbis chairman Al Ueltschi and Hong Kong businessman Ho Ying-chie. REPAIR STUDY United Technologies and the government of Western Aus tralia have agreed to study the feasibility of setting up a major aerospace-repair centre in Perth. A memorandum of understanding follows the re cent establishment of a "super-alloy" plant in the state by a consortium involv ing Pratt & Whitney, Wyman Gordon and Western Aero space. The centre may special ise in engine-component repair and parts distribution. SAES SIGNS VIRGIN Scandinavian Aero Engine Services (SAES) and the UK's Virgin Atlantic Airways have signed a $120 million con tract covering four years' en gine maintenance. SAES will manage the overhaul of the Pratt & Whitney JT9Ds on Virgin's eight Boeing 747s. BEECH HEAD Beech Holdings, the US net work of fixed-base operations owned by Beech Aircraft for the sale and support of its aircraft, including the 1900 regional airliner, has central ised its product-support oper ations in Indianapolis. PWA plans revamp for Canadian Canadian Airlines Interna tional parent company PWA has drawn up a draft-restructur ing plan which calls for C$506 million ($400 million) in debts to be converted into equity in the troubled carrier. The Cal gary-based company will present a final restructuring plan to its creditors in late February, fol lowing extensive consultations. Some of the most intense talks will be with Airbus Industrie. Under the terms of the restruc turing proposal, PWA is propos ing to cancel orders for seven Airbus A320-200s in 1993 and another five A320-200s in 1994 — ten of the aircraft are believed to have been ordered direct from Airbus and the remainder through leasing companies. By the end of 1992, Canadian Airlines had taken delivery of 11 of the 26 A320-200s it had on order — the bulk of these from leasing concerns. PWA is also trying to re negotiate a deal which requires Grounding of Airbus orders is likely with PWA's Canadian restructure the airline to accept delivery of three Embraer EMB-120s in 1993 and 1994. Under the preliminary re structuring proposals sent to creditors, PWA hopes to ex change up to C$506 million- worth of senior claims in favour of rights to acquire equity. When combined with earlier proposals to convert C$250 mil- Double boost for Airbus Certification of the Airbus Industrie A340, coupled with the long-awaited confirma tion of Singapore Airlines' order for the airliner, gave the consor tium a welcome end-of-year boost in the face of continuing bad news on the orders-cancella tion front. Singapore's contract signature for seven A340s, plus 13 op tions, ends a period of uncer tainty which centred on Airbus' ability to meet the airline's tough Singapore-Paris range specifications for the heavier- weight version of the aircraft. "The confirmation shows that they're confident in the aircraft," says Airbus. SIA cancelled its order for McDonnell Douglas MD-lls in August 1991, buying the A340 instead. Initial A340 flight tests saw the aircraft falling short of its predicted range, however, forcing Airbus to introduce aero dynamic modifications (Flight International, 16-22 December, 1992). Structural changes for the higher-weight version are also being introduced and will delay service entry with SIA by six months, to April 1996. At the end of 1992 Airbus orders for the year stood at 136 aircraft, while orders for the A330/A340 had reached 256. The consortium was "still nego tiating" with Northwest Airlines to reverse theairline's recent can cellation of orders for 50 A320s and 24 A340s. The dual certification of both the standard A340-300 and the longer-range, shorter -200 vari ant marks the first time that the 18 European Joint Airworthiness Authorities have certificated two variants of a brand-new airliner simultaneously. Airbus is due to receive the US Federal Aviation Administration ticket for the A340 at the end of February. Lufthansa and Air France will each receive their first A340s in February. The two airlines re cently took part in an extensive series of route-proving flights to 35 cities worldwide. D lion-worth of debentures and C$200 million worth of employ ees' wages into common equity, the net result will be significant dilution for the existing shareholders. The detailed proposals con tain a plan for consolidating Canadian's regional operations. While PWA chairman Rhys Eyton says that the signing of a partnership deal with American Airlines is "imminent", it will take PWA another six months or so to push its plan through the regulatory process. So far, business travellers have stayed loyal to Canadian Air lines, but the key to the airline's survival will be the behaviour of the non-business traveller over the next few months. Preliminary indications are that bookings are down slightly, reflecting uncertainty over the carrier's future. The infusion of a further C$70 million in loan guarantees from the govern ments of British Columbia and Alberta may help to shore up public confidence in Canadian until it clears all the hurdles. "The proposed restructuring, when completed, together with the proposed investment by em ployees, will create a stronger, viable PWA, enabling us to com plete a strategic alliance with AMR [the parent company of American Airlines]," says Eaton. The link-up with American was revived when an Air Can ada-driven plan to merge the two Canadian carriers proved unworkable (Flight International, 18-24 November, 1992). D 6 FLIGHT INTERNATIONAL 8 - 12 January, 1993
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