The Experimental Aircraft Association’s (EAA) AirVenture fly-in convention held annually in Oshkosh, Wisconsin, and drawing hundreds of thousands of visitors from some 90 countries, was canceled this year amid the ongoing uncertainty surrounding Covid-19, organizers announced this morning. EAA will roll over pre-sold 2020 admissions and camping reservations to the 2021 show or provide refunds, the organization said, adding it will contact those involved over the next couple of weeks.
“There is no way to describe the disappointment I feel for everyone who sees AirVenture as aviation’s family reunion each year,” said EAA chairman and CEO Jack Pelton of the decision to cancel the event that was to be held from July 20 to 26.
“We looked at every possibility over the past six weeks as to how EAA could move forward with AirVenture this year,” he said but added Wisconsin remains under a stay-at-home order at least until May 26, eliminating the ability to begin ground preparations that would have begun this month. Further, the ability to host mass gatherings in July remains in flux.
“Ultimately, preserving the health and safety of all who would attend—and all the varying guidelines between states and countries from where our participants arrive—along with the massive commitments needed now for an event to meet EAA’s high standards, made cancelation the only option for this year,” Pelton said.
We have all been learning new words and phrases that help us define our new reality. “Social distancing” is an interesting phrase. It means I am not able to hug my grandchildren but merely drive by their houses and wave.
Today, I want to talk about “community engagement.” Something interesting is happening with respect to a new community in our industry. The webinar formats with Zoom and other platforms are all the rage. This is not new, but in the past when I would join a web conference and there would be maybe 25 people attending. Today, it is not unusual to have 400 to 500.
There are some wonderful gatherings taking place in the business aviation space. What I am so thankful for is the sheer opportunity to gather with my friends and colleagues and even competitors to share our new realities of each day. In fact, these gatherings are creating a new level of community for us all.
In our hearts, we know this will not last. We know our industry will be back in the skies. But in the meantime, my hope is we will not lose the community we are currently creating with these gatherings. When things get busy again, let’s be sure we all take a bit more time to check in with each other and not lose touch.
Data Shows Tentative Signs of Bizav Traffic Recovery
Within the last few days, data analysts have reported flickers of recovery in business aviation activity. Data released by WingX and online charter portal Avinode appeared to confirm anecdotal evidence that the sector might, very tentatively, be starting to turn the corner on the numbing effects of the Covid-19 pandemic.
WingX reported yesterday that business aircraft flight sectors in the previous seven days exceeded that seen in the previous seven-day period by 19 percent globally. The number of flights in Asia doubled over the same period, while there was 13 percent growth in Europe and North America. The moving seven-day average rates of activity has increased every day since April 15.
Similarly, Avinode yesterday reported the highest levels of demand—as represented by trip requests over the next seven days—for U.S. domestic flights since March 20, and for intra-Europe flights since March 19. That said, while rising slightly, projected charter demand in May is still shown as around 30 percent below where it was at the same time in 2019.
Looking at the bigger picture, WingX’s summary of global business aviation activity as of April 28 was 70 percent down on where it had stood in 2019. Only South America (60 percent down) and Oceania (48 percent) showed a lower rate of decline.
Amid the Covid-19 gloom, Textron CEO Scott Donnelly sees a bright future for the company’s Bell unit. In the first quarter, Bell posted revenues of $823 million, an 11.4 percent increase from the year-ago period, driven primarily by higher military sales. Segment profit increased by $11 million, to $115 million. During the period, Bell delivered 15 commercial helicopters, half the number delivered in first-quarter 2019. Backlog at the end of last month stood at $6.4 billion.
On a conference call with stock analysts yesterday, Donnelly said the rotorcraft manufacturer’s potential new military programs—including the “Valor” V-280 tiltrotor future long-range assault aircraft (FLRAA) and “Invictus” 360 future attack reconnaissance aircraft (FARA)—were well-positioned as selected semi-finalists in ongoing U.S. Army competitions. Bell also stands to benefit from increasing maintenance and modification work on the current fleet of more than 375 Bell-Boeing V-22 tiltrotors that are currently in service, he said.
On the commercial helicopter side, Donnelly pointed out that Bell has limited exposure to the offshore energy market and collapsing oil prices as its models currently in that market—the Bell 407, 412, and 429—are primarily used to serve near-shore, low-cost production rigs. From a larger perspective, Donnelly said Bell continues to see strong civil demand from parapublic customers who are “more resilient."
Massachusetts’s Westfield-Barnes Regional Airport has begun a project to rebuild its 5,000-foot secondary Runway 15/33. Nearly $7 million of the $7.6 million construction cost will be covered by federal AIP grants, while the state department of transportation and the city of Westfield will pay the remaining 10 percent.
The project, which has been planned for several years, is seen to be crucial to maintaining the airport’s competitive status with nearby facilities such as Westover Metropolitan Airport and Bradley International in Connecticut.
"We're fortunate that this project has been able to move forward during the Covid pandemic and we're looking forward to the runway being open at the end of September,” airport director Chris Willenborg told AIN.
That work period will include a one-month curing period for the pavement before the grooving of water channels to increase braking action in wet or snowy conditions. While such an upgrade is expected to last for 20 years, 15/33 was last reconstructed sometime in the 1970s.
Camp Begins Integration of ILS Software Offerings
Months after being acquired by Camp Systems, Inventory Locator Service (ILS) and aviation MRO and logistics software developer Component Control (CCI), also a Camp company, have launched ILS Bridge for Quantum, providing for an automated, real-time listing of CCI’s Quantum Inventory on ILS’s electronic marketplace for sellers and buyers of aircraft parts, equipment, and services. “This integration solution will connect our software platforms and begin unlocking the combined value of our platforms,” said CCI president and general manager Todd Lewis.
ILS has more than 27,000 users in more than 100 countries primarily in the commercial and defense aerospace industries, while CCI supports more than 1,600 companies in more than 60 countries with its Quantum enterprise resource planning (ERP) software. ILS Bridge also provides for greater efficiency in the issuing of requests for quotation and purchase orders directly through Quantum.
Sean Lanagan, president of Camp Enterprise Information Systems—the umbrella organization overseeing ILS, CCI, and Continuum Applied Technology (CAT)—said the ILS Bridge is the first step in integrating ILS into the software platforms of CCI, CAT, and Camp. Next is a planned, real-time integration with CAT’s Corridor software platform. “We are committed to developing a software ecosystem that helps the aviation industry achieve ever-higher levels of efficiency, profitability, and safety,” Lanagan added.
IADA: CARES Act Tax Measure Could Boost Aircraft Sales
While the CARES Act payroll and loan provisions have received considerable attention within the industry, less highlighted measures surrounding tax treatment stand to help with business aircraft sales, according to the International Aircraft Dealers Association (IADA).
IADA pointed to the CARES Act reinstatement and extension of net operating loss (NOL) carryback, enabling companies to carry back the current-year NOL up to five years ago. Under the measure, buyers may be able to purchase an aircraft in 2020, take an income loss through 100 percent bonus depreciation, and receive a refund on taxes paid for income for years dating back to 2015.
"We appreciate that Congress and the Administration stepped up to the recognition that tax implications for companies incurring losses in 2020 can be an important part of the overall economic recovery, including preowned aircraft, going forward,” said IADA executive director Wayne Starling. “Now with more advantageous NOL provisions under the CARES Act, we are better positioned to assist companies that may be suffering this year from the economic shutdown, but would still like to acquire another aircraft in 2020."
The NOL carryback was renewed only through 2020, Daniel Cheung, of Aviation Tax Consultants, said during a recent IADA webinar. However, the CARES Act also applies the carryback loss to 2018 and 2019 and could also assist companies that purchased aircraft in those years.
Van Nuys, California-based Clay Lacy Aviation has introduced aircraft cleaning and disinfection service as part of its offerings. Performed at the company’s maintenance centers and by its mobile response teams, its detailing technicians wear full-body Tyvek protective suits, goggles, gloves, and face masks, and use bipolar ionization equipment and EPA-registered sanitizing products to disinfect the aircraft cabin.
The ionization process takes an hour, releasing millions of charged ion particles that kill airborne and surface pathogens such as Covid-19 and influenza viruses along with Staph, other dangerous bacteria, and mold Once that is completed, the cabin is sprayed with an aviation-approved disinfectant, wiped down, and dried. Leather surfaces and upholstery receive their own specific attention. Upon exit, the entryway is thoroughly cleaned.
Clay Lacy’s maintenance centers can add the treatment while aircraft are undergoing aircraft line service or additional work involving extended downtime. The cleaning capability is also available 24/7 through its mobile response teams to destinations within 100 miles of Southern California’s Van Nuys, McClellan-Palomar, and John Wayne Orange County Airports, as well as Boeing Field in Seattle.
FBO Chain Donates and Delivers PPE to NY Hospital
While the New York City region remains one of the areas in the U.S. most heavily impacted by the Covid-19 pandemic, personal protective equipment there continues to be in short supply, causing legislators to reach out for assistance.
Million Air, which opened its flagship FBO at Westchester County Airport (HPN) last year, answered the call, donating 8,000 surgical respiratory face masks and 1,100 N95 protective face masks. It coordinated with the Westchester Business Council and dispatched a Houston-based Cessna Citation S/II from its charter fleet to ferry the masks to its HPN location. From there, they were sent to a nearby medical facility.
"These are times that define a generation, and we cannot sit on the sidelines,” said company CEO Roger Woolsey. Emergency medical missions are nothing new to the Million Air charter fleet, which on average flies 10 time-critical organ-transplant missions a day and has tallied more than 30,000 since the company was founded.
“The aviation community has been crucial in transporting desperately needed medical supplies,” Woolsey explained, adding that private jets and the aviation industry as a whole are the most underutilized disaster-relief tools. “We are happy to play a small part in the logistics of supporting our frontline heroes, especially the staff and medical members of our White Plains Hospital who are so valiantly serving our New York and Westchester community.”
Photo of the Week
There is perhaps nothing better than sharing the aviation bug with a family member, and it’s just icing on the cake when such an experience is documented with exceptional photos and videos. And that’s exactly what we have this week—AIN reader and pilot Dave Huntzinger and his daughter, Marin, traveled from Arizona to London in August to fly P-51s at Biggin Hill Airport, which is home of Fly a Spitfire. This Photo of the Week winner of Dave flying a P-51 was taken by Marin in a Gipps Aero GA8 Airvan chase airplane. “We did a rendezvous where she shot stills and video,” he said. Thanks for sharing your awesome father-daughter aviation experience with us, Dave and Marin!
If you'd like to submit an entry for Photo of the Week, email a high-resolution horizontal image (at least 2000 x 1200 pixels), along with your name, contact information, social media names, and info about it (including brief description, location, etc.) to photos@ainonline.com. Tail numbers can be removed upon request. Those submitting photos give AIN implied consent to publish them in its publications and social media channels.
How Bizav in MENA Region Is Responding to Covid-19
AIN spoke to Ali Alnaqbi, founding and executive chairman of the Middle East & North Africa Business Aviation Association (MEBAA), about what his member companies are experiencing during the Covid-19 emergency. Plus we heard the latest on plans for this year’s MEBAA show in Dubai.
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