AIN Alerts
January 11, 2019
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JetSuite Looks to New Aircraft in Anniversary Year

JetSuite plans to add new aircraft to its fleet and refresh its membership program as it moves into its 10th year of business in 2019, the company announced yesterday. “We are proud that in the highly competitive world of private aviation, JetSuite now stands as one of very few operators to achieve this 10-year milestone,” said Alex Wilcox, CEO of JetSuite and JetSuiteX.

Plans call for the company to add larger jets this summer to its existing fleet of 10 Embraer Phenom 100s, five Phenom 300s and one Legacy 650, spurred by investments in JetSuite by Qatar Airways and JetBlue, the latter of which Wilcox served as founding executive. Company officials said the fleet expansion will comprise additional Phenom 300s and “other aircraft types to provide a greater range of options for JetSuite clients.”

JetSuite is also refreshing its SuiteKey membership program to offer preferred, fixed hourly rates, no repositioning fees, 365-day access and guaranteed availability of aircraft with 48-hour notice. This membership starts at $100,000. The company will also continue to offer on-demand charter services.

 
 
 
 

AINsight: FAA Actively Pursues Illegal Flight Ops

Unauthorized air charter—often called gray charter—has long been illegal. Yet some aircraft operators still flout or inadvertently violate the FARs involving proper charter operations. Continuing to operate such disguised charters with impunity or in obscurity might be short-lived, as the FAA has recently ramped up its investigations and enforcement actions.

These illegal operations frequently occur when an operator with one or more aircraft holds itself out for hire or receives any compensation for carrying people or property without the required certification or other approvals from the FAA and U.S. DOT. The FAA uses information supplied by legal Part 135 operators, FAA personnel, and others to identify offenders. And NATA and NBAA publish hotline and other information that facilitates contacting the FAA and educates customers, operators, and other industry participants.

Powerful allies help the FAA deter and punish offenders, including the Department of Justice (DOJ) and the FAA’s own Special Emphasis Investigations Team. In the fourth quarter of last year, the FAA and DOJ sent a clear message to illegal charter offenders via several enforcement cases.

Offenders should weigh the legal risks of engaging in a protracted and expensive dispute with the FAA and DOJ against the cost of realigning operations to comply with the FARs. Given the heightened interest of the FAA punishing disguised charters, every operator should opt for compliance with the FARs.

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Rally Leaders Warn Of Shutdown Harm to Safety, Security

Air traffic controllers and technicians, pilots, and flight attendants joined industry leaders and lawmakers outside the Capitol yesterday chanting, “End This Shutdown…Today!” and “Open the Government…Today!” Spearheaded by the National Air Traffic Controllers Association, the event was organized in protest of the prolonged partial U.S. government shutdown. Nearly 800,000 government employees—including FAA air traffic controllers and TSA security screeners who are still required to show up for work—did not get paychecks today as the White House and lawmakers remained at an impasse over border wall funding.

NATCA president Paul Rinaldi kicked off yesterday's event, warning that the shutdown is threatening the National Airspace System, negatively affecting nearly 12 million American jobs and aviation's $1.5 trillion annual GDP contribution.

GAMA president and CEO Pete Bunce joined the group, saying costs could run into the billions for the aviation industry in the first quarter if the shutdown were to continue over the next couple of weeks. “Manufacturers have had to slow down activity significantly since the key FAA activities necessary for approvals have halted,” he said.

Others participating in the rally outlined concerns on the impact of the workers who were to miss their paychecks. Rally attendees also expressed deep concern about the potential for a cumulative degradation to safety and security that will occur as resources are strained to maintain the system.

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Brazil’s Government Greenlights Embraer-Boeing Deal

The Brazilian federal government issued a statement yesterday indicating it would not exercise its right to block the proposed partnership between Embraer and Boeing, thereby lowering one of the last remaining hurdles the companies need to clear before executing the joint venture agreement reached last month. 

“It’s clear that sovereignty and the national interest are protected,” Brazilian President Jair Bolsonaro tweeted Thursday evening, along with a photo of a meeting with the ministers of Defense, Science and Technology, Foreign Relations, and National Security; the heads of the three armed forces; and representatives of the Finance Ministry. “The Federal Government does not oppose the [Embraer and Boeing partnership] moving forward.”

The united front sets a different tone from that during the administration’s first week, during which Bolsonaro suggested he had second thoughts on the deal. An official follow-up release stated that the government will not use its “golden share” to veto the deal calling for a joint venture to produce and market Embraer’s regional airliners. The deal calls for Boeing to pay $4.2 billion for an 80 percent interest and gives it the option to purchase the remaining 20 percent after five years. 

Embraer will still have 100 percent ownership over its business aviation and defense and security businesses, while production of aircraft already developed will remain in Brazil, it noted.

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NATCA Sues U.S. Government for Controllers’ Pay

The National Air Traffic Controllers Association (NATCA), the union that represents FAA air traffic controllers, filed a lawsuit today in the U.S District Court in Washington, D.C., on behalf of its members who have not been paid for their work since the government partially shut down three weeks ago.

NATCA requested an expedited hearing on its motion for a temporary restraining order against the U.S. government for violation of the Constitution’s Fifth Amendment. According to NATCA, the government has unlawfully deprived NATCA members of their earned wages without due process.

The suit also alleges violations of the Fair Labor Standards Act (FLSA) for failure to pay at least the minimum wage to air traffic controllers and other NATCA members who are deemed essential and thus continue to work during the government shutdown. Finally, it alleges that the FAA failed to promptly pay overtime to NATCA members in violation of the FLSA.

It is seeking an order requiring the government to pay NATCA members for the work they have performed, as well as liquidated damages.

 
 

DeFazio Steps In As Chair of Key House Committee

The leadership of the U.S. House last week officially appointed Rep. Peter DeFazio (D-Oregon) chairman of the Transportation and Infrastructure (T&I) Committee in the 116th Congress. DeFazio takes the reins after serving as the ranking Democrat on the committee since 2015 and as a member since 1987.

During the past three decades, he has either chaired or served as the ranking member of four of the six T&I subcommittees: Aviation, Coast Guard and Maritime Transportation, Highways and Transit, and Water Resources and Environment. As chairman, he will work with Rep. Sam Graves (Missouri), now the ranking Republican. Rep Rick Larsen (D-Washington) will head up the Aviation subcommittee.

DeFazio steps in at a time when the committee just wrapped up a five-year aviation reauthorization package, but also at a time when the focus is shifting to infrastructure funding. “As chairman, I will be a tireless advocate for the kind of infrastructure investment that results in job creation, increased economic growth, and decreased emissions,” he said.

The National Air Transportation Association praised the appointment, releasing a joint statement from president Gary Dempsey and COO Tim Obitts saying, “DeFazio’s commitment to the general aviation community has been critical to our goal of promoting the safety and success of the aeronautical service industry.” DeFazio has an understanding of the economic role general aviation plays in rural communities, they added. 

 
 

MAF Continues Congo Charity Mission Despite Relocation

Mission Aviation Fellowship (MAF), a charity that uses aircraft to accomplish its errands of mercy in isolated regions, has been helping stem a deadly Ebola outbreak in the northeast part of the Democratic Republic of the Congo (DRC) since August, and has temporarily relocated its staff from Nyankunde to Uganda due to a recent positive test for the disease at the local hospital.

The Idaho-based organization has conducted 24 missions during this latest outbreak, carrying 99 passengers and delivering nearly eight tons of vaccines and supplies. MAF will continue to conduct emergency relief flights using its Cessna Caravan and Grand Caravan from other airstrips until staff members can return to the Nyankunde base.

Due to the difficulties reaching remote villages separated by jungle terrain and conflicted territories, air travel provided by MAF is one of the quickest and most efficient ways to deliver supplies and caregivers.

While the temporary relocation of its base has caused some logistical challenges, Jon Cadd, MAF’s program manager for East DRC, said it will continue in its response to the crisis. “MAF has been responding to Ebola outbreaks for many years and has a wealth of experience in this area,” he noted. “We use strict protocols for handling patient samples that we deliver for testing, and to clean our aircraft to keep staff and passengers safe.”

 
 

MJet Signs as First ACJ319 Skywise Operator

Austria’s MJet became the first ACJ319 operator to sign up for Skywise, Airbus’s single-point solution for obtaining, managing, and reviewing anonymous aircraft operational data. With its new Skywise access, MJet will be able to combine selected Airbus data with its own information and global benchmarks without the need for additional infrastructure investments, the manufacturer said.

Under the program, MJet will share its Airbus operating data and benefit from accessing other A319 operators’ aggregate aircraft reliability data. MJet will also work with Airbus to further develop product and support services specifically for ACJ operators. Airbus said its Skywise service will provide MJet “new insights at aircraft, company, and global levels” while “improving operational reliability, reducing operational interruptions, and identifying efficiencies, cost savings, and enhanced revenue opportunities.”

Airbus Skywise provides its users with a single access point for operational data by combining information from multiple sources. “The more data that airlines share into the Skywise platform, the more accurate the predictions and models for all connected,” Airbus said.

All Skywise data is anonymized to ensure confidentiality, according to Airbus. More than 190 Airbus Corporate Jets are in service around the world.

 
 

Count on AIN for Full Coverage of NBAA’s Schedulers and Dispatchers Conference

As ever, you can count on AIN for full coverage of the 2019 Schedulers and Dispatchers Conference from San Antonio, Texas. Our team will publish special editions of AINalerts from the show on January 28, 29, 30, and 31. If you are an exhibiting company that wants to share news ahead of the show, please contact senior editor Curt Epstein.

AINalerts News Tips/Feedback: News tips may be sent anonymously, but feedback must include name and contact info (we will withhold name on request). We reserve the right to edit correspondence for length, clarity and grammar. Send feedback or news tips to AINalerts editor Chad Trautvetter.
 
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