Bombardier To Buy Global 7500 Wing Program from Triumph

Bombardier is acquiring the Global 7500 wing manufacturing operation from Triumph for a “nominal cash consideration” under an agreement both companies announced this morning. Expected to close in the first quarter, the deal includes only the operations at Triumph’s Red Oak, Texas plant. Bombardier plans to continue operating the program at the Red Oak facility and integrate the employees there into the company.

Triumph president and CEO Dan Crowley said the Global 7500 program divestiture “is a pivotal step in our transformation as we continue our focus on our core integrated systems and aftermarket offerings and our goal of achieving predictable profitability.” In November, the company reported a $14.7 million net loss overall, including a $19.9 million “forward loss” charge on the Global 7500 program.

For Bombardier, which already has in-house wing production capabilities, the acquisition represents an opportunity to bolster its aerostructures business, while ensuring continuity of the ramp-up of its flagship business jet.

Bombardier will acquire both the assets and obligations for the program and provide the necessary working capital for ramp-up of the Global 7500, which was certified and entered service late last year. The company expects the acquisition will help boost its aerostructures revenue for 2019 from the original $2 billion to between $2.25 billion and $2.5 billion.

Textron Aviation Closes 2018 On High Note

Textron Aviation closed the fourth quarter with a 12 percent increase in revenue, to $1.6 billion, on higher deliveries of 63 business jets and 67 commercial turboprops. The 9 percent increase in jet deliveries, up from 58 in the same quarter of 2017, and 49 percent jump in turboprops, up from 45 aircraft, contributed to “a very strong quarter” at parent company Textron chairman and CEO Scott Donnelly said this morning.

Order demand was up across the company’s Citation line, including for the CJ4, Sovereign, and Latitude. For all of 2018, the Wichita-based airframer delivered 188 jets compared with 180 in 2017, and 186 turboprops versus 155. Backlog was $1.8 billion, flat from the end of the third quarter but up $600 million from a year ago.

Donnelly noted that its newest jet, the Longitude, received provisional type certification in the quarter. But he didn’t offer an exact date this year for when he expects the super-midsize jet to receive full approval from the FAA. “I know we’re getting close,” he said. Issues with the FAA around the Longitude’s fuel system have been resolved, he said, and now “we’re just doing documentation. There are no technical issues.”

Airbus Helicopters’ Orders Surge, Deliveries Fall

Airbus Helicopters posted an 18 percent year-over-year gross order increase in 2018, but rotorcraft deliveries fell by 53 units over the same span, to 356. For the year, the company logged gross orders for 413 helicopters (net 381), up from 350 gross orders in 2017. Bookings included orders for 148 H135/H145 twins and 15 more orders for new H160s, boosting the company’s overall backlog to 717 helicopters.

Deliveries in 2018 included the first of 100 H135s for China in Qingdao, where a new, dedicated final assembly line has been established for that model. Also in 2018, Hong Kong’s Government Flying Service took delivery of the first H175s in public-services configuration.

“Our commercial performance in 2018 demonstrates the resilience we have developed as a company to help us navigate what remains a challenging environment,” said Airbus Helicopters CEO Bruno Even. He also noted that the company had increased its share of the military market in 2018 with orders for H225s and NH90s, including two large orders from Qatar and Spain for the latter for a combined 51 helicopters. “These positive trends give us the means to prepare the future and continue our transformation,” Even said.

Ross Aviation Expands to Caribbean

Ross Aviation has expanded its FBO network into the British West Indies with the acquisition of Island Air and its two FBOs at Owens Roberts International Airport on Grand Cayman, and Charles Kirkconnell International Airport on Cayman Brac. The facilities join the Ross family of 11 FBOs that stretch from Alaska to New York.

In operation for more than three decades, Island Air’s FBO on Grand Cayman features a terminal with pilot lounge, located next to the general aviation customs and immigration arrival building. The facility also has a 12,000-sq-ft hangar and offers aircraft maintenance.

As is typical for Ross Aviation, the Island Air FBOs will retain their existing name. “We are excited to become part of the Ross Aviation network, and our customers can expect the same excellent, consistent customer service in the future as they have enjoyed in years past,” said Marcus Cumber, who will remain managing director and partner, overseeing the locations' daily operations.

“The Cayman Islands are well known for their superior resorts, the famous Seven-Mile Beach, superb restaurants, and international banking institutions,” said Ross president and CEO Jeff Ross. “We are pleased to partner with an FBO with excellent customer service in a vibrant and growing leisure destination.”

TBM 850, 930 Complete Journey over Antarctica

Two Daher TBM turboprop singles—an 850 and 930—completed a milestone journey across Antarctica and over the magnetic South Pole earlier this month. Both flights qualify as first legs in the rarely awarded Polar Diamond Circumnavigator Diploma, recognized by the Fédération Aéronautique Internationale.

The aircraft flew 2,700 nm from Santiago, Chile, to 75 degrees South, the latitude required for the Polar Diamond Circumnavigator Diploma. Conducted in an environment that averages -56 degrees F with constant winds, the trip required three stopovers and considerable preparation. The five-million-square-mile ice-covered continent is largely uninhabited with high ground in the center that rises to more than 8,000 feet, with peaks reaching 16,050 feet.

On January 1, the aircraft departed Punta Arenas in Chile and reached Teniente Rodolfo Marsh Martin Airport on King George Island, which is the northernmost airport on Antarctica and has a 4,232-foot (1,290-meter) gravel runway. The next day, the aircraft flew 807 nm southwest to the British Antarctic Survey Sky-Blu base. The aircraft then reached the 75 degrees South latitude turning point before heading back to King George Island’s airport.

Sebastian Diaz from Santiago, Chile, flew the TBM 850 with his 88-year-old father, Patricio, and his son, Sebastian Jr. Meanwhile, Dierk Reuter of Chicago flew the TBM 930 with his son, Alex. The 930 carried cameras and an in-flight tracking system with Iridium GO! satellite connectivity.

Ansat Helo Certified for High-altitude Operations

Russia’s federal air transport agency, Rosaviatsiya, has approved Kazan Helicopters’ Ansat light twin for an increase in takeoff and landing altitudes up to 11,483 feet (3,500 meters), up from the previous 3,281 feet (1,000 meters). The green light for higher altitude operations followed a series of tests that included simulated one engine inoperative (OEI) and autorotation modes.

“The major change approval for increase of takeoff and landing altitude of Ansat gives us new opportunities to bring in new customers from countries with such complex terrain. For example, during the South Asian Heli Tour conducted in late 2018 we saw interest from potential helicopter operators in Vietnam, Thailand, Cambodia, and Malaysia,” said Andrey Boginsky, Russian Helicopters holding company director general. “We received approximately 30 requests for delivery of Ansat helicopters, and improvement of flight performance will benefit our subsequent customer negotiations."

The seven-seat Ansat is being offered in utility, passenger, and EMS configurations and is available with a quick-change cabin. The helicopter received initial Russian certification in 2013 and an EMS variant was certified in 2015. In August, Rosaviatsiya approved a service life extension for a variety of Ansat components.

Aircraft Brokers Group Progresses on Transformation

The International Aircraft Dealers Association, formerly known as the National Aircraft Resale Association, has rolled out a new website featuring the business aircraft for sale and listed by its broker members, which officials said is another step toward elevating the broker profession. Brian Proctor, IADA chairman and president and CEO of the Mente Group, told AIN the association's AircraftExchange website serves to standardize the information about and bring transparency to business aircraft that are legitimately for sale.

The website is one of the steps IADA is taking to “raise the bar” of its members, who Proctor said in 2017 represented 3 percent of dealers globally that accounted for 60 percent of the dollar volume in preowned aircraft sales. The other steps include developing a standard engagement letter for the sale of aircraft and accreditation standards for its members. 

“Later this year we’ll roll out [accreditation] testing for the members,” Proctor said. “I think the industry is evolving and the expectation for brokers are higher than they've ever been.”

In the fall, NARA renamed itself IADA to reflect its new push, as well as its global members.

Tax Credit Floated for Crash-resistant HEMS Fuel Tanks

A pair of Colorado congressmen has introduced legislation that would give a modest tax credit against the cost of retrofitting crash-resistant fuel systems in EMS helicopters. H.R. 6832, the Safe Helicopters Now Act, provides for a tax credit of up to 10 percent of the cost of installing the safer fuel system.

The bill is being considered by the House Ways and Means Committee. The legislation was introduced by U.S. Reps. Joe Neguse (D) and Ed Perlmutter (D) at the urging of the widow of a Flight for Life pilot who died after the Airbus A-Star he was flying crashed and burned near Frisco, Colorado, in 2015.

The new FAA reauthorization act requires all new-build helicopters, including those type certified before 1994, to have crash-resistant fuel systems; however, it does not mandate retrofit of those systems on helicopters currently flying that were type certificated before 1994, including derivatives of the A-Star. By some estimates, this exempted group accounts for up to 85 percent of all EMS helicopters currently in service. The new reauthorization act does call on the FAA to speed certification of retrofittable, crash-resistant fuel systems for this aircraft population.

Make Your Voice Heard in the 2019 FBO Survey

AIN’s FBO survey is open for year-round feedback, but the deadline to vote in the 2019 survey is February 8. The results will be published in the April issue. The survey takes only a minute, and you can do it while waiting for passengers, on the shuttle bus to/from the hotel or any other time that is convenient for you. Participants will be entered to win a $500 Amazon gift card. Log on to www.ainonline.com/fbosurvey to rate your experiences at the FBOs you visit.