Commercial Aircraft Sales

Boeing recognises the financial and operational difficulties being experienced by airlines worldwide due to recession, high fuel prices and Gulf War induced business declines. However the company also notes that “historically, whenever the market has experienced a short term disruption, it has always bounced back to levels of growth even higher than those before the disruption. ” Hence the report’s optimism, it being noted that the international economy is in much better shape than during the previous two energy crises, so the airline industry and the world economy should bounce back probably stronger than ever.

Boeing also predicts that airlines will take delivery of an average of SUS41bn (1991 dollars) worth of aircraft each year for the next 15 years, compared with an average of SUS16bn per year during the past two decades. More than 60% of new aircraft are expected to be delivered to non US airlines, with the Asia/Pacific region showing by far the strongest growth. Of the jetliners delivered between 1991 and 2005, 70% will be required for market expansion with the remainder needed to replace aging jets. Passenger demand is predicted to grow by an average 5% per year through to 2005, so air travel will more than double during the next 15 years. During this time airlines should, according to the study, increase profitability with fuel costs expected to remain constant in real terms.

Jal Gets Wingletless 747-4005:

Japan Air Lines is taking delivery of the first of four 747-400s to be supplied to the airline without winglets.

The airline will use the aircraft on domestic routes, with the prime reason for not having the winglets being to maintain normal 747 wingspan for ease of ground handling. Contributory factors include a weight saving and a reduction in wing bending moment fatigue during JAL’s high cycle domestic services. The option remains to have the winglets fitted at a later date should JAL elect to utilise the four aircraft on international routes.

Fly-By-Wire for MD-12X:

McDonnell Douglas has adopted full fly-by-wire control systems for its revised MD-12X, amongst other changes to the proposed new airliner.

After discussions with potential launch customers, McDonnell Douglas has introduced several new features for the aircraft. Besides the fly-by-wire control system, the MD-12X will also now feature an increased wingspan of 64. 3m, more powerful engines, increased gross weight and additional range. Originally the MD-12X was to be a straightforward 10. 7m stretch of the MD-11, utilising the same 51. 5m wingspan and similar but uprated engines. The larger wing, however, should provide superior climb and cruise performance, effectively giving the aircraft an 8,000nm (14,800km) range, which MDC claims will make the MD-12X the longest ranged commercial jetliner available. Maximum gross weight has been increased from 3501 to 385t, requiring 67,000lb thrust rated engines and a four post, 16 main wheel landing gear. The fly-by-wire technology has been introduced because the larger wing and higher gross weight will affect the aircraft’s handling characteristics.

The MD-12X will be MDC’s first commercial aircraft with fly-by-wire technology. though it will be able to utilise a system based on that of the USAF C-17 airlifter. The new airliner should be formally launched by the end of this year, with major risk sharing partners to be announced possibly at the Paris Air Show in June.

 Mous to Replace Civil Aerospace Offsets:

The Department of Industry. Technology and Commerce (DITAC) does not expect that the formal nature of the leverage It currently exercises over major overseas corporations under the current civil offsets program will be necessary under an option now under consideration to replace offsets with a more sophisticated relationship between the Commonwealth and the half dozen or so main players concerned, reports Tom Muir in the Australian Defence Intelligencer.

Under the civil offsets program, overseas suppliers of major equipment items (which tended to be aircraft and engines) were required to transfer technology or place orders with local companies equivalent to 30% of the value the items concerned.

The program enabled airframe manufacturers such as Hawker de Havilland and ASTA to win new export markets and develop their manufacturing capabilities.

Leverage came from the Australian Gov- ernment’s purchasing power largely through its ownership of Qantas an Australian Airlines and the regulatory protection it provided to Ansett under the Two Airline Policy. It is the deregulation of the airline industry and other factors such as the growing capacity of aerospace firms and perhaps the success of the information technology industries ‘partnership agreements which have led to consideration of other ways to exercise leverage and secure industrial benefits from major equipment purchases.

DITAC believes that the corporations will see and accept the advantages that flow from the proposed arrangements. These include absolution from their current and future offsets obligations and the benefits of a more strategic and long term focus to their commercial relationships in Australia, as distinct from short term work programs to meet particular obligations under offsets. The more sophisticated system, based on MoUs signed with each overseas corporation, will see positive encouragement by the Government of Australian participation in risk sharing projects such as new aircraft, and thus long term involvement in overseas pro- grams. Overseas corporations will also benefit from the fair and free trade aspects of not being required to undertake non competitive activities in Australia.

DITAC has circulated a draft MoU to the companies concerned including Rolls-Royce, Boeing, McDonnell Douglas, General Dynamics, Pratt & Whitney and Airbus Indus- trie, for their comments. It is understood that any agreement would be based on the current level of activities of each as a bench-mark against which future reviews would be measured Firms not entering into these arrangements will be required to meet all current and future offset obligations.

While the new system would place in limbo any outstanding offset obligations a particlar corporation might have, it would presumably revert back to this obligation or face other countervailing action if it failed to honour undertakings agreed in the MoU. Other, smaller equipment suppliers with current offset obligations will not be affected by the new arrangements but will continue to work off their obligations hitherto.

MDC Planning New Twinjet Family:

McDonnell Douglas is planning a new commercial twinjet family, the aim being to regain the technological initiative in the short to medium haul jetliner market from rivals Boeing and Airbus.

The company has commenced design studies for a 170-220 seat aircraft (larger than either the current 757 or A321) to bridge the gap between the MD-80/90 and the MD-11/12X. The planned new aircraft, currently known as the MD-XX series, was initiated following the loss of two major orders which MDC expected to achieve, when both Swissair and Austrian Airlines rejected the MD-90EC in favour of the A320/321 because neither believed the MD-90 series was technologically advanced enough to justify a fleet replacement program.

The MD-XX series is expected to feature ducted prop engines, extensive use of composites and advanced fly-by-wire flight controls systems. It will probably have a wide, double lobe fuselage section with twin aisle seating, a high aspect ratio wing and twin underwing advanced ducted propeller engines powered at about 28,000lb thrust. Cruise would typically be about Mach. 8 with range 3,000nm.