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Aviation History
2003
2003 - 2573.PDF
AIR TRANSPORT Swiss was due to start receiving its Embraer 170s next year, but now does not want them until late 2005 ORDERS GUY NORRIS / PALM SPRINGS & BRIAN DUNN / MONTREAL Embraer is defiant after Swiss again postpones Manufacturer leaves forecasts unchanged after airline pushes back 170/190 deliveries Embraer has left its delivery fore cast unchanged for next year despite last week's request by Swiss International Air Lines to postpone delivery of the 170s and 195s it has on order, as the Brazilian manufac turer chases Air Canada's regional fleet replacement order. Speaking at last week's Speednews regional and corporate suppliers conference in Palm Springs, California, Embraer market intelli gence director Orlando Neto said: "It is a pity, but it is a fact of life for [Swiss]. They are still partners with us, and it opens up slots for new customers in the short term." The company is still officially listing 120 orders and 128 options for the Embraer 170; 110 orders and 150 options for the 190; 15 orders and 30 options for the 195; and 160 total aircraft deliveries for 2004. Last week Swiss asked Embraer to delay by a year delivery of the 15 170s and 15 195s it has on order, which were due to start arriving in September 2004. But the Brazilian manufacturer says no decision on the request has been reached. The company remains un daunted in its general growth fore cast of the 61- to 90-seat and 91- to 120-seat markets over the next 20 years. It predicts a requirement for 1,300 and 1,250 aircraft in the two size categories from 2004 to 2013, and a further 1,600 and 1,700, respectively, in the years 2014-23. Meanwhile, the Canadian gov ernment is trying to create a low- cost financial package that would allow Bombardier to compete on an equal footing with Embraer for Air Canada's regional jet requirement. Because Air Canada and Bombardier are both Canadian companies, the deal cannot benefit from Canadian government financing available for foreign buyers. Air Canada would, however, be eligible for Brazilian government financing if it were to choose Embraer jets. To avoid such an embanassment, Ottawa feels it must act quickly as Air Canada says it is close to making a decision. Bankruptcy-protected Air Canada is looking to order up to 43 regional jets valued at C$1.3 billion ($1 bil lion) in an effort to reduce its capac ity, and the airline already operates Bombardier aircraft including CRJs. Some analysts feel Embraer has the upper hand over Bombardier in the competition as its larger aircraft bet ter suit Air Canada's requirements. LOW-COST CARRIERS Aero Lloyd take-over finalised Airline entrepreneur Niki Lauda is returning to the industry by taking over the Austrian subsidiary of insolvent German charter carrier Aero Lloyd, which he plans to turn into a low-cost airline. Aero Lloyd has not revealed how much Lauda is paying for the carrier, but says he will have to invest at least €4 million ($4.7 million) to restart operations. Initially, the airline will operate two Aero Lloyd aircraft, an Airbus A320 and an A321, on charters from Vienna, Salzburg and Linz to holiday destinations. But it will expand to four aircraft to serve eastern Europe with scheduled no-frills services from the second quarter of 2004. Lauda says Austrian Airlines' problems create a niche for a Vienna-based low- cost carrier (Flight International, 4-10 November). So far, Aero Lloyd has failed to attract new investors - 66% owner Bayerische Landesbank put in €5 million immediately after it entered insolvency last month - saying that "we are in touch with many investors, but they are wait ing for progress in revising our agreements with tour operators and [aircraft] lessors". It has signed sublease contracts with various US tour operators, leas ing out six aircraft until April and another for the full year to October next year. PRODUCTION GUY NORRIS / PALM SPRINGS AvCraft eyes Europe for 328 wing AvCraft, which hopes to restart manufacture of the former Fairchild Dornier 328JET, is negotiating with an unidentified eastern European aerospace company to make wings for the future production line after talks with Texas-based M7 collapsed. AvCraft chief executive Ben Bartel says: "The wing will be made somewhere east of Germany. We expect to have that buttoned down shortly." The company says it is ready to transfer tooling to the new site and could not reach agreement with M7 because "we weren't pre pared to pay the prices that were being charged in San Antonio". The company plans to set up the jigs and have up to three wing ship- sets manufactured to obtain Germ an airworthiness approval, a process which Bartel estimates will take up to 10 months. Speaking at the Speed- news regional and corporate suppli ers conference, he said the longest lead time to restart the 328JET is the availability of Pratt & Whitney Canada PW308B turbofans, which will not be ready for "around one year". The company's goal is to resume manufacturing by year-end, and start delivery of the first "new- new" 328JETs late in second quarter 2004. However, some observers express doubt that AvCraft will achieve this ambitious target. The company has completed delivery of the last of five partially completed aircraft it inherited and is close to placing the last of 18 white- tails. It also has some components for a further 10 airframes. DISPUTE Row sparks airspace ban Canada and Russia have banned each other's commercial aircraft from flying in their respec tive airspace in a row believed to be based on competition issues. After Russia refused to allow Air Canada to fly in Russian air space for its new service to New Delhi on 18 October, Ottawa res cinded Russia's overflight rights to Canada. Aeroflot flights to Los Angeles, San Francisco and Seattle will now take longer. www.flightinternational.com FLIGHT INTERNATIONAL 11-17 NOVEMBER 2003 9
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