Textron Boss Shrugs Off Aviation Loss in Third Quarter

Despite posting back-to-back quarterly losses for the first time in several years, Textron Inc. CEO Scott Donnelly is bullish on subsidiary Textron Aviation’s prospects in the next quarter. He is basing this on order activity between July 1 and September 30, which should soften the impact of the losses the Wichita-based airframer recorded in the second and third quarters.

“While the pandemic impacted volume in the quarter, we did see aircraft utilization levels continue to recover and we’re encouraged by new order flow,” Donnelly told analysts on a conference call following today’s release of financial results.

He added that a “nice pickup in light and midsize jet activity,” as well as “pretty strong order activity” for the Beechcraft King Air, increased its backlog in the third quarter by $400 million, to $1.8 billion. During the quarter, Textron Aviation delivered 25 Cessna Citations and 21 commercial turboprops versus 45 jets and 39 turboprops in the same period last year.

Fewer aircraft deliveries and lower aftermarket volume drove Textron Aviation to post a quarterly loss of $29 million on revenue of $795 million, compared with $104 million in profit on revenue of $1.20 billion in the third quarter of 2019.

FAA FSDOs Move into Virtual Plane

FAA division manager Wayne Fry said the agency’s FSDOs remain open despite the Covid-19 pandemic but that more activities are being conducted virtually. During the FAA’s rotorcraft safety virtual conference this week, Fry divulged the massive extent to which the agency is using online tools to keep up with the demand for inspections and meetings at the FSDO level. He urged attendees to leverage electronic tools to interact with the FAA and to avoid “letting this national emergency impact our safety profile.”   

Fry said the agency engages in more than 5,000 web-based Zoom meetings daily and has done more than 148 international videoconferences across 30 countries since the pandemic began. “The FAA is open for business,” he said. “Our offices may not look open. Most of our staff inspectors and managers support telework from home…the best way to contact us now really is probably through phone or email.” 

Doing more business virtually has made the FAA realize that “open and consistent communication is more important than ever,” Fry said, adding that operators, maintenance providers, and schools could help the FAA during the pandemic by “giving us digital copies of most work.” He said organizations could digitally connect with FAA personnel using technology to verify aircraft condition, equipage, and installations, provided it is done with the consent of all parties involved.

Nearly 80 Orgs Urge Congress To Halt Ligado Network

Nearly 80 organizations across aviation and other industries are appealing to key U.S. Senate leaders to step up pressure for the Federal Communications Commission (FCC) to reconsider its approval for Ligado to use a band of spectrum that would bump against that used by aviation and others.

The organizations wrote Senate Commerce Committee Chairman Roger Wicker (R-Mississippi) and ranking member Maria Cantwell (D-Washington) this week that the FCC’s “flawed Ligado order…would upend decades of sound spectrum policy, negatively impact a significant cross-section of commercial, federal, and academic users who rely on the many different L-band satellite services, and threaten the safety of most Americans.”

The October 27 letter comes a few days after Ligado announced that it had secured $3.85 billion from new and existing investors. Ligado also noted that since it received FCC approval in April 2020, it has “made important strides to realize the full potential of its spectrum.” This progress has continued despite strong opposition from commercial and military users, who have appealed to the FCC—to little apparent avail so far—to reconsider its Ligado approval.

The industry letter to Wicker and Cantwell stressed, “Ligado’s proposed terrestrial network would fundamentally put the vital L-band satellite communications services...at risk.” This includes the possibility of disruption of many GPS applications, the letter added.

Airbus Helicopters Holds Its Own in 3Q2020

In the third quarter, Airbus Helicopters saw year-over-year revenues decline by 2 percent, to €3.6 billion ($4.2 billion). However, adjusted earnings for this unit grew by almost 14 percent, to €238 million ($278 million). Parent Airbus Group released its third-quarter results today, posting consolidated revenues that were 35 percent down on the same period in 2019, at €30.2 billion ($35.5 billion), as well as a €125 million ($146.3 million) earnings loss.

During the first nine months, Airbus Helicopters booked 143 new orders for civil and military aircraft, which was 17 percent less than in 2019, and included eight of the H160 medium utility model and one example of the H215 large twin during the third quarter.

Over the first nine months of 2020, Airbus delivered 169 rotorcraft, which was 19 percent fewer than in the same period last year. However, the decline in revenue was somewhat mitigated by increased billings from services. During the third quarter, the company delivered the first of its new five-blade H145 light twin, following its completion of EASA type certification during the second quarter.

CAN Closing on Final Hours of 2020 Virtual Auction

The Corporate Angel Network's (CAN) Fund an Angel auction, moved to a virtual format this year, is closing in on its final hours this week as bids continue to flow in on nearly four dozen items, aside from direct cash donations.

CAN's annual fundraising event is typically held on the second night of the NBAA Business Aviation Convention and Exhibition, but it moved online when the in-person convention was canceled. This year’s fundraiser was originally to close at 8 p.m. October 7 in tandem with the original NBAA-BACE schedule but was pushed off until 8 p.m. October 30 as new items and bids continued to flow into the auction.

As of October 28, bids ranged from nearly $20,000 for FlightSafety training and $13,500 for American Airlines miles to $65 for a Coca-Cola collectible set. Items range from a virtual whiskey tasting event and jet fuel cards to artwork, travel experiences, a watch, and a golf driver.

The 2019 event and auction raised more than $500,000 for CAN’s mission of arranging transportation aboard business jets for cancer patients seeking treatment.

CAAM Debuts with Bell as Launch Member

Yesterday saw the official launch of the Canadian Advanced Air Mobility (CAAM) Coalition, a group of industry stakeholders that seek to streamline research, development, and commercial operations in the AAM sector, with an initial focus on the Vancouver/British Columbia region. As technology is developed and integrated there, CAAM hopes to then foster its adoption in other areas in the country.

Among the more than 20 companies and governmental agencies that are involved as founding members is Bell Textron, which said it is “thrilled to lend expertise to industry and governmental partners to develop an integrated AAM ecosystem in Canada.”

The rotorcraft manufacturer is currently testing its autonomous pod transport (APT), a tail-sitting eVTOL aircraft capable of carrying a 70-pound cargo, the groundwork for which was developed at the Bell Textron Canada facility in Mirabel, Quebec. Recent tests for the APT included a 10-mile preprogrammed circuit path through Fort Worth’s busy airspace, collecting detect and avoid data, while demonstrating its beyond-visual-line of-sight capabilities. Bell is also developing an eVTOL aircraft called Nexus and has been selected as one of eight prospective partners for the planned Uber Elevate air taxi network.

Bell noted that “paving the way for innovation like APT entails close collaboration and an open conversation about the associated infrastructure, regulatory, operational and technology needs.”

This story comes from the new FutureFlight.aero resource developed by AIN to provide objective, independent coverage and analysis of new aviation technology, including electric aircraft developments.

AOPA Vows Fight To Save Hawaii’s Oahu Airport

AOPA has teamed up with a local airport group to help stave off another attempt to shutter a general aviation facility—this time, Dillingham Airfield in Oahu, Hawaii. The airfield, which has a 9,007-foot runway, is expected to close on June 30, 2021, and the Save Dillingham Airfield group recently expressed concerns that the state is planning to take preliminary steps toward that end in January.

“For more than nine months now, AOPA and the Save Dillingham Airfield group have tried to provide solutions to the Hawaii Department of Transportation, all of which include preserving the airfield as a joint civilian-military-use facility,” said Melissa McCaffrey, AOPA Western Pacific regional manager. “Unfortunately, Hawaii DOT has continued to move forward with their plans to prematurely exit out of their FAA Airport Improvement Program obligations and the lease with the U.S. Army, inevitably killing off the businesses and jobs at the now thriving airfield,” she said. The airport lease would have expired in 2025.

AOPA noted that the airport is used for flying lessons, skydiving, and glider rides, contributing $12 million to the state economy and supporting 130 jobs. But during the pandemic, the airport has taken on even greater importance as economic forecasts suggest it could take until after 2023 for the state to recover, AOPA said.

ACA Creates Under-35 ‘Next Generation’ Group

In an effort to help foster the future industry workforce, the Air Charter Association (ACA) formed a new group, the “Next Generation,” comprising industry professionals under the age of 35. The group will showcase and support the industry’s varied career opportunities, including air charter brokers, flight dispatchers, and sales and marketing professionals, as well as pilots, engineers, cabin crew, and air traffic controllers.

The Next Generation group, which met virtually for the first time on October 22, includes representatives from ACA’s broader membership such as Air Charter Scotland, Air Partner, Avinode, Business Air News, Signum Aviation, Simply Jet, and Volanteus. 

“The ACA team is really excited about this new initiative—we are looking to the future industry leaders to start making their impact now,” said ACA chairman Kevin Ducksbury. “Members will get the opportunity to have their voices heard, and to shape future policies based on their understanding of today’s world, the career opportunities, society’s demands, and user behaviors. Our industry is led by highly professional people of all ages and we hope this new group will be able to add tangible value and fresh thought leadership to the association.”