Friday 29 June 2012

Kerala to maintain an open sky policy for seaplane project


THIRUVANANTHAPURAM: Kerala will adopt an open sky policy for the seaplane project so that more than one operator can take advantage of the situation, tourism minister A P Anil Kumar said here on Friday.
Pawan Hans Helicopters Limited will conduct the feasibility study for the project at a cost of Rs 30 lakh and present its report in a month. "Pawan Hans was chosen to do the study as it is a government agency", the minister said. "Five domestic companies had approached the tourism department to operate seaplanes in Kerala. We are yet to fully understand the financial feasibility of the project and so an expression of interest should be invited shortly," he said.
Addressing the media after a project presentation by the tourism department for the chief minister, tourism secretary T K Manoj Kumar said that the department was conducting a destination study. "We are looking for amphibious aircraft that can take off from airports at Thiruvananthapuram, Kochi and Karipur and land at water bodies in Peechi, Malampuzha, Wayanad etc. Around 20 destinations have been studied but they will further shortlisted when the environmental impact study for the waterdrome is conducted," he said.
The government is considering approaching the central government for subsidy on the project. Additionally the government can make the offer lucrative for the operators by offering various concessions on Air Turbine Fuel, landing/parking charges etc.
The chief minister and his cabinet colleagues were shown twin-radial engine amphibious flying boats during the presentation. But the tourism department will have to opt for a humbler version. For instance, a Dornier Seastar, Caravan or a Twin-Otter with passenger capacity of 13 to 20. The financial estimates have also been kept at the lowest common denominator, such as the projected running cost (per seat/mile) is at Rs 37 for a Seastar, Rs 36 each for a Caravan or a Twin-Otter class. But industry watchers said it could be much steeper, touching at Rs 50 and above. According to the initial analysis of the financial breakup of the project by the tourism department, 35% of the cost would be taken up by fuel, 22% depreciation and maintenance cost and 12% will be the marketing cost incurred by state government for the project. The rest is split between HR, insurance and financing.
The chief minister was hoping to land a seaplane during the Emerging Kerala conclave, but that has clearly been ruled out after Friday's meeting citing DGCA clearances


'Aircraft concepts to come from East'


The concept plane, Airbus’ vision of flight for 2050, was the centre of focus at the Bangalore leg of the Indo-German Urban Mela. Its concept cabin, which is recyclable, can be turned transparent with the flick of a switch. It also boasts of self-cleaning material, grown from sustainable plant fibres that reduce maintenance and wastage. To top it all, the cabin has an integrated neural network that recognises passengers, and adapts to their needs.
And, this marvel of technology might be partially developed right here, in Bangalore
With the aviation market moving from the western hemisphere to the East, the concepts of aircraft design should be coming from the East,” Kiran Rao, president, Airbus India, told Business Standard. “We have decided our think tank for determining how aeroplanes should be, how these should interact with airports and passengers and how pilots should interact with the craft would be headquartered in Bangalore and be headed by an Indian,” he said.
Airbus sources software and engineering services from its facility here. Recently, it had set up an innovation cell, expected to be operational by the year-end.
“While this would not be an engineering centre, it would work with Airbus units for developing designs and concepts,” said Rao. He added the company’s investment was based on long-term commitment and cooperation, which outweighed any offset obligation. Today, about 2,000 people work on Airbus projects in India. The company estimates Indian airlines would purchase 1,043 aircraft over the next 20 years. India, therefore, would be vital to the company’s plans.
The Airbus Engineering Centre here, which employs about 270 locally-trained staff, is a fully-integrated unit, focusing on flight physics and structure, systems simulations and other key segments in designing high-performance aircraft.
Operational since mid-2007, the staff strength of the engineering centre is expected to rise to 450 over the next three years.
Airbus also has a training centre here, focusing on maintenance and pilot training. A second such centre is scheduled to be opened in Gurgaon. “It has been a long-standing need of airlines in the North,” Rao told Business Standard.
“We are working with EADS (European Aeronautic Defence and Space Company NV) and Air India, along with private companies, to establish a maintenance, repair and operations facility for Airbus aircraft,” said Rao.
Amber Dubey, partner and head (aviation), KPMG India, said with these engagements, the company could “leverage the cost arbitrage offered by Indian channel partners and create significant goodwill in India by creating local jobs and contributing to revenue and government taxes.” He added design and engineering work in India was 20-40 per cent cheaper, owing to low manpower costs. This, he said, was a significant driver.

Air India reschedules flights


Air India flights will be rescheduled on June 30 due to closure of a runway in Chennai airport from 1 p.m. to 7 p.m. The runway has been closed for maintenance after three years, sources said. Some important domestic and international flights have been rescheduled on Saturday, as the middle portion of the runway will undergo repairs. The St. Thomas Mount end of the runway may be closed from July 2 to July 4 and is likely to affect services. Officials said passengers had been intimated regarding changes in flight timings. Passengers can contact the helpline 1800-180-1407 for further queries.


Flights rescheduled due to closure of runway


Following the closure of runway at the Chennai Airport between 1 p.m. and 7 p.m. on June 30, Air India has rescheduled/combined some of its flights operating from/to Chennai on that day.
Flight AI 440 to Delhi would leave Chennai at 6 a.m. instead of 6.40 a.m. Flight AI 429 would arrive at 12.20 p.m. instead of 1.15 p.m.
Flight AI 273 to Colombo would leave Chennai at 9.20 a.m. instead of 2.15 p.m. and return flight from Colombo AI 274 would arrive at 12.40 p.m. instead of 6 p.m.
Flight AI 513 to Thiruvananthapuram would leave at 9.30 a.m. instead of 5.30 a.m. Flight AI 264 from Male/Thiruvananthapuram would arrive at 7.15 p.m. instead of 2.30 p.m.
Flight AI 510 to Kochi via Bangalore would leave at 12.30 p.m. and reach Bangalore at 1.20 p.m. It would leave Bangalore at 2.10 p.m. and reach Kochi at 3.20 p.m.
Flights AI 766 to Kolkata, AI 967 to Thiruvananthapuram/Sharjah and AI 975 to Goa/Kuwait will leave at 7 p.m.
Flight AI 545 to Hyderabad would leave at 8 p.m. and flight AI 546 from Hyderabad would arrive at 10.40 p.m. AI 539 to Delhi would leave Chennai at 7.50 p.m.
Combined flights
Flight AI 045 to Delhi would be combined with flight AI 430 and depart at 10.45 am. Flight AI 674 to Mumbai would be combined with Flight AI 571 and depart at 8.45 pm. Consequently flight AI 968 from Sharjah/Thiruvananthapuram would arrive Chennai at 8.10 am on July 01 and AI 143 to Delhi would leave at 9 am, according to an official release.

Duty-free sales add to CIAL revenue growth


Kochi, June 29:
Surge in duty-free sales and non-aeronautic revenues has contributed substantially to the revenue growth of Cochin International Airport Ltd during FY-12.
The company recorded a profit after tax of Rs 102 crore in 2011-12 as against Rs 90 crore in the preceding year.
The pretax profit also showed a marked improvement from Rs 116 crore during 2010-11 to Rs 134 crore during the current year.
Consistency
CIAL has been consistently generating profits from 2003-04, barely 3 years after its commissioning in 1999.
Right from the beginning, the company has been focusing on non aeronautic revenue to drive growth, a statement issued here said.
Duty-free sales
This year, the duty free sales have been the main driver of revenue.
The main contribution to revenue growth came from duty free sales which jumped by more than 27 per cent to Rs 93.64 crore. Rent and services and royalties accounted for Rs 80.31 crore.
Aeronautic sources
The aeronautic sources of income such as landing, parking and other charges contributed Rs 57.10 crore. Cargo income contributed around Rs 14.50 crore.
The passenger movement for 2011-12 was around 4.72 million comprising of 2.6 million international passengers and 2.12 million domestic passengers.
Total revenue
The total revenue for 2011-12 was Rs 276 crore as against Rs 246 crore for the preceding year, recording a topline growth of 12 per cent.
The board of directors of CIAL also decided to recommend a dividend of 16 per cent to the shareholders.
This, if approved at the Annual General Meeting of the company scheduled on September, would entail a pay out of Rs 47 crore to the shareholders, the statement added.

Thursday 28 June 2012

Airbus mulls U.S. assembly plant


Europe's Airbus is seriously studying the possibility of opening an assembly line in the United States, marking a direct challenge to Boeing in its home market as competition heats up in the global jet market, people familiar with the matter said.
The plan calls for the possible production of A320 narrowbody jets, Airbus's best-selling model, most probably in Mobile, Alabama, where EADS had planned to assemble U.S. tanker aircraft in a Pentagon contest it lost to Boeing last year.
Airbus and its Franco-German parent company EADS have said for some months that they were studying reshaping the plan to establish a foothold in commercial aircraft production in the world's largest single passenger-jet market.
One of the sources did not rule out an imminent announcement.
But an Airbus spokesman said the company had not yet completed its studies.
"No decision has been taken," Airbus spokesman Stefan Schaffrath said, declining further comment.
Airbus Chief Executive Fabrice Bregier was quoted in a Spanish newspaper on Wednesday as saying the planemaker was actively looking at a possible new assembly plant.
"This is part of the brainstorming we are doing regarding our international development," El Economista quoted him saying.
Setting up in the United States would boost Airbus's presence in the key U.S. market as it enters a phase of fleet renewal, and would reduce currency risk by increasing its exposure to costs in dollars, the currency in which aircraft are sold.
It would be the second Airbus assembly plant outside Europe.
None of the sources agreed to speak publicly on the matter because decisions have not yet been finalized.
Airbus is currently the world's largest producer of passenger jets ahead of Boeing. It assembles in Toulouse, France, the German port city of Hamburg and, since 2009, in Tianjin outside Beijing, China. Airbus said earlier this month it had started talks to extend the Tianjin venture beyond 2016.
When EADS lost the tanker contest to Boeing, analysts said the long, politically charged competition had focused industry attention on Alabama and fostered a belief that this could lead to future projects.
The original tanker proposal included a kernel of commercial production in Alabama with plans to assemble commercial freighters alongside the U.S. Air Force refueling planes.
But the new proposal would spread its reach to passenger jets, a much larger market in which Airbus and Boeing compete fiercely for the lion's share of a global jet market estimated at $100 billion a year.
Alabama and the U.S. South have made strides in recent years in gaining aerospace and other manufacturing work.
Aerospace and defense industry employment in Alabama rose 13 percent from 2002 to 2008, according to a study by the Alabama Aerospace Industry Association. High-tech space jobs are centered around Huntsville, with Boeing and Lockheed Martin as major employers.
http://in.reuters.com/article/2012/06/28/airbus-usa-idINL6E8HRHUR20120628

Oman Air Supports Salalah Tourism Festival 2011


Oman Air has announced being the Official Carrier and Diamond Sponsor of this year's Salalah Tourism Festival. The festival, which runs from the 1st of July to the end of the same month, celebrates the unique history, culture and climate of the Sultanate of Oman's most southerly Governorate. Due to its exceptional natural phenomena, Dhofar is considered as one of the most arresting areas for tourists particularly in autumn, where the temperature ranges between 15 to 22 degrees Celsius.
Usama Bin Karim Al Haremi, Head of Corporate Communications and Media at Oman Air, said:
"We are very pleased to once again be playing a pivotal role in promoting Dhofar Governate in general and Salalah Tourism Festival in particular. The Salalah Tourism Festival is a wonderful window on the amazing history, culture and traditions of this breathtaking region of Oman and, between July and September, we are offering some superb deals. Travelers from throughout the AGCC area and beyond will be given the opportunity to experience the Khareef. This monsoon season is unique to the area, bringing lush greenery, bright flowers, waterfalls, and relief from the heat."
Hundreds of thousands of AGCC nationals are preparing to head to the green hills and valleys of Salalah, the principal town of the Governorate of Dhofar. Located between the blue waters of the Arabian Sea and the spectacular, precipitous mountains, beyond which lies the vast desert of the fabled Empty Quarter, it is the only area of the AGCC where people can escape the desert heat in the summer and experience the relief of rain
Along with the Festival, Oman Air will also be promoting the wider attractions and superb facilities of Dhofar, which is also famed for its many archeological sites and ancient Frankincense trade.
Usama Bin Karim Al Haremi added:
"Oman Air has sponsored this event since its inception and we are proud to be helping to boost domestic tourism through our support of various forums and events held throughout Oman. This initiative is part of the national carrier of Oman's efforts to develop greater levels of in-bound tourism and it again signals our strong commitment to building a solid AGCC-wide tourism proposition.
I invite everyone to make the most of our latest, great-value promotional packages, to come to Oman and experience our wonderful hospitality, as well as learn what this wonderful country has to offer over the summer months. "
I would also encourage people to take a twin-centre holiday, so they can go to see the Salalah Tourism Festival and then come to Muscat for a few days. This will not only offer them the opportunity to see Oman's beautiful and historic capital for themselves, but also to experience the diversity of history, culture and landscapes that Oman has to offer. Join us for a uniquely enjoyable journey to a very special destination”.

Aviation trials of Admiral Gorshkov to begin in July


New Delhi, Jun 28 (PTI) Fighter aircraft will start taking off from Admiral Gorshkov aircraft carrier next month as Russia will start trials of aviation facilities on the warship scheduled to join Indian Navy by December. The Russian side will start critical trials of the aviation complex of the aircraft carrier from mid-July using two MiG 29K fighter aircraft, Navy officials said here. The ship trials of the aircraft carrier had started early this month in the White Sea and now it will move towards the Briants Sea for the aviation complex trials, they said. India had signed a deal worth over USD 2.3 billion with Russia for procuring the aircraft carrier along with a component of MiG 29K naval fighter aircraft for the Navy. During the trials, the Russian side will check navigation, radars and landing facilities at the warship in presence of the Indian team, they said. The trials, to continue for another six months, will be done by Russian experts only as the warship is yet to be handed over to India, an official said, adding, "Our pilots will start flying operations on it only after it is officially handed over to us." As part of the contract, the Indian Navy will send a team of its pilots to Russia for flying operations on the aircraft at a shore-based facility in Ukraine. The purchase of Admiral Gorshkov was agreed in 2004 but delivery to India has been long delayed. India has already received a squadron of 16 MiG 29K aircraft from Russia and has deployed it at its air base in Goa. For India, which is operating lone aircraft carrier INS Virat, the Gorshkov is key to its military strategy as it wants to operate two such warships at its two vast Eastern and Western sea boards. Navy Chief Admiral Nirmal Verma had recently stated that Indian Navy's medium term aim was to to have at least two fully operational and combat-worthy carriers available at any given time.

Pilots in a catch-22 Situation


Three days of continuous hunger strike by the Air India pilots seems to have fallen on deaf ears as 25 members of the pilots’ union in Mumbai and Delhi failed to draw attention of the management or the Civil Aviation Ministry to their plea.
The so-called most well-paid pilots of the world have done everything possible now to ensure that the management and the ministry at least call them for negotiations or unconditionally take them back.
From sitting on dharna and hunger protests on roads to sending messengers, the pilots have tried it all, but in vain.Three members of the union have also fallen sick as a result of the hunger strike and have been advised by the company doctor that if unless force fed, the situation will become critical.
The International Federation of Airline Pilots’ Association (IFALPA) has pledged its unconditional support to the cause of these pilots and requested for mutual assistance policies of ban on extra flights, wet leasing or any fresh recruitments of expats and denial of training facilities to the Air India.
The IFALPA also noted how the pilots, who were taking part in the protest, have been terminated, the IPG has been derecognised and ‘in a very worrying precedent, 10 members of the IPG managing committee have had their licences cancelled by the Indian DGCA’.
The IFALPA will make representations to the DGCA as it was a clear violation of their role as an independent regulator.
The pilots sought the intervention of the highest authorities of the government, but are yet to be given a sounding board by anyone in the political set up.
http://newindianexpress.com/nation/article553777.ece

Air India hushes up drunk pilot’s report


An Air India pilot, who tested positive on the breath analyser, came clean when the airline failed to report his test or take any further action on it.
A breath analyser test (BA Test) is a mandatory requirement for all crew before they take a flight to analyse the alcohol content in the body.
This incident occurred on June 12 in Mumbai, in which a senior executive pilot reported to his duty for flight AI864 to Delhi.
On being tested for alcohol, he was found positive. Capt Sunil Saxena was not reported to the Directorate General of Civil Aviation (DGCA), neither was any report made on the incident.
Capt Saxena, a management pilot, was supposed to operate the Delhi flight and his transport slip showed that he had gone to the airport but didn’t operate the flight.
“I think there is a massive cover-up and reason quoted is he had gargled Listerine before doing the BA Test,” said an Air India source who was aware of the hush up.
The Air India spokesperson failed to comment on the issue neither did the DG Bharat Bhushan respond to a SMS query.
The DGCA has been coming down hard on pilots found positive on the BA Test.
Earlier this year, as many as 15 people were caught positive on a new alcho-meter equipment that the DGCA used on crew of a particular line in a surprise visit to the airport.
Subsequently, a senior management pilot of the national carrier was stripped of his position following a positive alcohol test.
The executive pilots of Air India can not be spared especially now when the airline is depending on them for operating the Air India international flights, as 400 pilots of the erstwhile Air India have called in sick to duty and have not been operating flights for over 50 days.

Foreign pilots’ body urges DGCA to end Air India strike


Mumbai, June 28:
Striking Air India pilots got backing from a global pilots’ body which extended them support and sought the intervention of Director General of Civil Aviation (DGCA) to end the deadlock that entered the 52nd day today.
In a letter to the DGCA, Mr E.K. Bharat Bhushan, International Federation of Air Line Pilots’ Association (IFALPA), said, “It is our view that DGCA, as the responsible regulator, is in a unique position and can make a very positive contribution towards ending this dispute.
“We would ask you to use your good offices to bring both sides back to the negotiating table so that the differing views can be resolved,” the IFALPA President, Capt Don Wykoff, said in the letter. Capt Wykoff also said, “Whilst it is not our role to sit in judgement as to the rights and wrongs of the dispute that seem centred on issues arising from the Air India and Indian Airlines merger, we feel a duty to make every effort to find a solution which is both fair and acceptable to both sides.”

Air India pilots seek PM, Sonia’s intervention


New Delhi, June 28:
Agitating Air India pilots today urged the Prime Minister, Dr Manmohan Singh, and the Congress top brass to step in to resolve the impasse over the 52-day long strike, as the condition of some of them on protest fast worsened.
The Indian Pilots’ Guild (IPG), which is spearheading the agitation and the five-day-old hunger strike, shot off letters to Dr Singh, the Congress President, Ms Sonia Gandhi, and the General Secretary, Mr Rahul Gandhi, seeking their “urgent intervention to resolve the prolonged agitation”.
With three pilots, who were on hunger strike since Sunday, being hospitalised on Wednesday following deterioration in their health, the condition of a few more in Delhi and Mumbai worsened.
Castigating the Air India management for maintaining “a stony silence” on finding a resolution to the prolonged imbroglio, the IPG Joint Secretary, Mr Tauseef Mukadam, said in that the well-being of the airline was “essential if the aviation industry has to be an engine of economic growth”.

Airlines, power sector loans are ‘a drag on banks’


Mumbai, June 28:
Airlines and power sectors have been creating problems for banks, says the Financial Stability Report released by the Reserve Bank of India. Banks have restructured much of their advances to the two sectors.
The two sectors account for over 23 per cent of the total restructured portfolio of banks.
The central bank does not see much improvement in the near future. Policy uncertainties and funding constraints are likely to pose challenges.
The fourth quarter ended March 31, 2012 was especially bad for banks.
In that quarter, banks restructured about 12 per cent of their total loans for the airline industry.
This was the highest in over four quarters and almost three times the restructured loans for the airline industry in the quarter ended December 2011.
Only 10 banks, mostly in the public sector, accounted for 86 per cent of the total credit to the airline industry.
As on March 2012, nearly 75 per cent of the loans of banks, which have an exposure of above $10 billion (Rs 57,000 crore today) to the airline industry, were either impaired or restructured, the RBI report said.
Rising losses and debt levels in state electricity boards and shortage of fuel availability of power generation have raised questions on the ability of state electricity boards to repay loans.
Banks restructured about 11 per cent of its total loan portfolio for the power sector in the fourth quarter. In the quarter ended December 2011, banks had restructured about three per cent of their total loan portfolio for the power sector.
http://www.thehindubusinessline.com/todays-paper/tp-economy/article3582123.ece

Wednesday 27 June 2012

AI pilots' union says 6 serious as hunger strike continues


The condition of six Air India pilots who are on a hunger strike for the past three days deteriorated as they continued the protest despite medical advice.
In Delhi, four pilots were reported critical due to drop in their blood-sugar level and high ketone level, indicating partial kidney failure, the union said, adding one pilot was hospitalised. In Mumbai, one pilot (among nine on hunger strike), was taken to G T Hospital due to drop in blood pressure.
Air India had deputed one of its doctors to examine the pilots who are on hunger strike in Delhi. But her visit to the venue led to a controversy, with the union charging the airline management of ignoring sacked pilots and examining only those still in service


Airbus plans innovation unit in India


PARIS: The race to sell airliners is putting aerospace companies of the world in cut-throat competition to recruit engineers, with Airbus even planning an innovation unit in India.

There is a worldwide shortage of people with the qualifications needed by the companies gearing up to meet demand for an estimated 20,000 aircraft in the next 20 years.

The European airliner manufacturer Airbus for example is using Twitter accounts to talk to potential recruits and is to hold an international recruitment day on June 30th, interviewing 100 candidates from 15 countries selected from more than 6,500 applicants.

Tom Enders, who has just switched from the top management of Airbus to manage the parent group EADS, said that "the pool of talents in Europe at least has clearly become too small".

Airbus says that of 12,000 jobs available in the sector in Europe last year, only 9,000 were filled.

Airbus which considers itself to be not a European but a world business, plans to recruit engineers from India as well.

Of 4,000 people whom it will recruit this year, 90 per cent will be hired in Europe and the rest in India, in the United States, China and Russia, Baril said.

Enders said that Airbus would open an innovation unit in India to be managed by an Indian.

At US aircraft maker Boeing, the vice president for human resources Rick Stephens told AFP that the United States produced 72,000 to 74,000 engineering graduates a year but "we don't see enough students completing engineering degrees to be able to fill what we believe will be the needs" of the aerospace industry.
His counterpart at Airbus and EADS Thierry Baril said: "We must fight like hell on the international market to get the best talents."

When Boeing closes a factory as it did this year at Wichita in Kansas, putting engineers on the market, "everybody pounds after them, Airbus and Bombardier," Baril said. "It's a little war for talent."

The biggest companies say that even so, they manage to recruit owing to the strength of their brand names, but worry about problems encountered by their sub-contractors.

These companies can become weak links in the production chain when Boeing and Airbus increase their output.

The president of small and medium businesses in the organisation grouping French aerospace firms (Gifas), Thierry Voiriot said that "engineers are more attracted by the big names and think that in these companies there will be more opportunities for development."

This problem is exacerbated if big groups use head-hunting firms to try to attract engineers away from the smaller companies, he said, adding however that such behaviour was the exception.

In general, the big manufacturers had a policy of trying to ensure that the entire industry would be supplied adequately with engineers in the next few years.

Stephens said that Boeing, which does an increasing share of its business abroad, needs to attract talented people outside the United States.

Airbus plans innovation unit in India


The race to sell airliners is putting aerospace companies of the world through cut-throat competition to recruit engineers, with Airbus planning ahead to even start an innovation unit in India.
There is a worldwide shortage of people with the qualifications needed by the companies gearing up to meet demand for an estimated 20,000 aircraft in the next 20 years.
The European airliner manufacturer Airbus for example is using Twitter accounts to talk to potential recruits and is to hold an international recruitment day on June 30th, interviewing 100 candidates from 15 countries selected from more than 6,500 applicants.
Tom Enders, who has just switched from the top management of Airbus to manage the parent group EADS, said that "the pool of talents in Europe at least has clearly become too small".
Airbus says that of 12,000 jobs available in the sector in Europe last year, only 9,000 were filled.
Airbus which considers itself to be not a European but a world business, plans to recruit engineers from India as well.
Of 4,000 people whom it will recruit this year, 90 per cent will be hired in Europe and the rest in India, in the United States, China and Russia, Baril said.
Enders said that Airbus would open an innovation unit in India to be managed by an Indian.
At US aircraft maker Boeing, the vice president for human resources Rick Stephens told AFP that the United States produced 72,000 to 74,000 engineering graduates a year but "we don't see enough students completing engineering degrees to be able to fill what we believe will be the needs" of the aerospace industry.
His counterpart at Airbus and EADS Thierry Baril said: "We must fight like hell on the international market to get the best talents."
When Boeing closes a factory as it did this year at Wichita in Kansas, putting engineers on the market, "everybody pounds after them, Airbus and Bombardier," Baril said. "It's a little war for talent."
The biggest companies say that even so, they manage to recruit owing to the strength of their brand names, but worry about problems encountered by their sub-contractors.
These companies can become weak links in the production chain when Boeing and Airbus increase their output.
The president of small and medium businesses in the organisation grouping French aerospace firms (Gifas), Thierry Voiriot said that "engineers are more attracted by the big names and think that in these companies there will be more opportunities for development."
This problem is exacerbated if big groups use head-hunting firms to try to attract engineers away from the smaller companies, he said, adding however that such behaviour was the exception.
In general, the big manufacturers had a policy of trying to ensure that the entire industry would be supplied adequately with engineers in the next few years.
Stephens said that Boeing, which does an increasing share of its business abroad, needs to attract talented people outside the United States.

Kingfisher Airlines coach catches fire at airport


A fire broke out in a coach belonging to Kingfisher Airlines at Chennai airport on Tuesday.
None injured
No one was injured, as the vehicle was in the equipment parking area. Airport sources said, around 8.15 a.m., just as the driver was starting the coach, he saw smoke emanating from the rear of the vehicle. The driver got out just in time before a fire broke out, and destroyed the rear portion of the vehicle. Airline employees used extinguishers even as tenders from the airport rushed there and put out the fire.

Air Works India completes EAG stake deal


Air Works India completes EAG stake deal

Dubai, June 27:
The stake buyout transaction by Air Works India Engineering Pvt Ltd in Empire Aviation Group (EAG) has been successfully completed, EAG’s financial advisor for the deal, Alpen Capital (ME) Ltd has said.
Air Works India, which provides aviation services, was reported to have bought stake in Dubai-based EAG for Rs 120 crore.
The strategic investment was done through Air Works’ UK-based subsidiary Air Works UK Engineering Ltd and was financed by a structured debt from a consortium of lenders led by KKR Capital Markets India Pvt Ltd, Alpen Capital said in a statement yesterday.
“Alpen Capital is delighted to announce the successful closure of this complex M&A transaction, where Alpen Capital acted as the sole financial advisor representing the sellers,” the Alpen Capital’s MD, Mr Sanjay Vig said.
“The GCC-India corridor has a lot of potential and with our presence and expertise in both these markets, we feel we are well equipped to advise clients on such cross border deals,” Mr Vig said.
Formed in Dubai in 2007, EAG is a one-stop shop for integrated private aviation services offering aircraft sales, aircraft management, aircraft charter, and aircraft finance and insurance, the statement said.
Today, EAG has more than 100 staff and operates one of West Asia’s largest managed fleets of non-royal business jets, with 20 aircraft under management, operating out of Dubai International Airport.
Established in 1951, Air Works is India’s only European Aviation Safety Agency-certified provider of maintenance, repair and overhaul services. They maintain 50 aircraft types, for over 100 customers across 15 maintenance locations in India.
This acquisition will help Air Works increase its footprint in the West Asia and provide world-class aircraft management services to its customers in India.
Commenting on this acquisition, the Air Works MD Mr Vivek Gour said, “In continuation of our long-term strategy to add significant capabilities to our service portfolio, Air Works is delighted to announce this strategic investment in Empire Aviation Group, which has a great business model, a very experienced management team and a strong reputation within the regional and international industry.”
Commenting on the partnership, EAG Co-Founder and Executive Director, Paras Dhamecha said, “Since the company’s formation in 2007, EAG has successfully built a strong regional aviation business.”
“We have also recently been looking at the exciting potential of the Indian aviation market and opened our first branch office there in 2011. So, we warmly welcome this partnership with Air Works, which will help facilitate our entry into India,” Mr Dhamecha said.

Tuesday 26 June 2012

SpiceJet launches daily flights to Dubai


Low-fare airline SpiceJet on Tuesday launched daily flights to Dubai from Delhi and Mumbai as part of its plan to expand into international markets.
Addressing reporters on the day as SpiceJet’s Boeing 737-800s took off its debut flights from Dubai’s Terminal 1 to Delhi and Mumbai, senior officials of the airline said they were working on opening up more new routes to offer a wider choice of flights to customers.
“Opening up Dubai is a milestone for us as it will offer us an opportunity to serve the large Indian and Western expatriate community along with the UAE citizens with an affordable flying option,” said SpiceJet CEO Neil Mills.
SpiceJet operates more than 275 daily flights to 34 Indian cities and 2 international destinations.
http://www.thehindu.com/todays-paper/tp-national/tp-newdelhi/article3574981.ece

Tobacco control key in fight against cancer


39 per cent of all cancers in men are tobacco-related
Tobacco and its link to cancers of the oral cavity and neck are well-established and fairly well-known to the public too.
In Kerala, which has the dubious distinction of having the highest rate of alcohol consumption in the country, the rate of head and neck cancers too are quite high.
It is estimated that 36 per cent of the men, aged above 15, in the State are smokers, with 11 per cent using chewing-tobacco too.
As per the data of the Regional Cancer Centre’s cancer registry, 39 per cent of all cancers in men are tobacco-related. Kerala has one of the highest reported incidence of head and neck cancers, which constitute over 30 per cent of all cancers in the Indian subcontinent.
A new study involving over one lakh subjects in the U.S., as part of a prostate, lung, colorectal and ovarian cancer screening trial, found that 50.5 per cent of all head and neck cancers could be attributed to tobacco. The study has been published inPubMed, an online repository of health research of the U.S. National Institutes of Health.
The study reported that 66 per cent of head and neck cancers could be attributed to both tobacco and alcohol, 14.7 per cent to alcohol alone.
Head and neck cancers are ranked sixth among the common cancers worldwide and nearly 3,00,000 people die each year out of 4,00,000 approximate cases of cancers of the mouth or pharynx or larynx, as per the World Cancer Report, 2008. The World Cancer Report is brought out jointly by the World Health Organisation and International Agency for Research on Cancer.
The treatment options for head and neck cancers include surgery, radiotherapy, and chemotherapy, used in isolation or in combination, depending on the site of the cancer, the stage at which it is diagnosed, and the general health of the patient. Invariably, most of these cancers reach the oncologists at a very late stage, when chances of a better prognosis are quite dim.
Study significant
The U.S. study has significance for Kerala as it quantifies the existing knowledge and establishes cigarette smoking and tobacco use as an undeniable causative factor of head and neck cancers, Subramania Iyer, who heads the Head and Neck Institute at Amrita Institute of Medical Sciences and Research Centre, Kochi, said.
Tobacco control is thus the single, biggest public health intervention that can be implemented to bring down cancer incidence across the board, doctors point out.
Kerala has one of the highest reported incidence of head and neck cancers.

IATA remark on Delhi airport draws flak


Association ‘is being very unreasonable’
G.V. Sanjay Reddy, chairman, Confederation of Indian Industry (southern region), has said the International Air Transport Association (IATA) is “there to put down airports, not promote them.”
Speaking toThe Hindu,Mr. Reddy, who was in the city recently, said “frankly, IATA is an industry body representing airlines. They have vested interests.”
He criticised the IATA for classifying Delhi as the most expensive airport in the world. “IATA is being very unreasonable, and it’s not thinking in the interests of partnerships.”
Mr. Reddy, who is also the Managing Director of Mumbai International Airport Ltd, said some of IATA’s statements “are ridiculous, if not downright wrong as is in the case with respect to Delhi. They can say anything that they want as long as they get published. But the facts are not correct,” he added.
Recalling an earlier IATA report prior to privatisation rolled across in the sector, Mr. Reddy said the IATA said India had the most expensive airports in the world. But it was when it came to drawing comparisons that IATA gave the game away. Here, they could not look beyond Sri Lanka, Bhutan, Nepal, Bangladesh, and Pakistan.
“So they can select anything they want, say anything they want, and still hope to get away with all. I know Delhi did not comment on the IATA remarks for a few days. But if it were to make such a comment about Mumbai, I would certainly refute them . One of our studies said that of the top 50 airports in the world, Mumbai was the 50th in terms of costs.”
Mr. Reddy said “IATA’s stand on Delhi is ridiculously extreme. “Yes, I think Delhi is expensive in some sectors. I am not suggesting it is not. At the end of the day, these kinds of issues must be raised when projects are bid out. It’s not as if it has been done in an arbitrary manner now,” he said.

Airport coach catches fire


A fire broke out in a coach belonging to Kingfisher Airlines at Chennai airport on Tuesday. No one was injured, as the vehicle was in the equipment parking area. Airport sources said, around 8.15 a.m., just as the driver was starting the coach, he saw smoke emanating from the rear of the vehicle. The driver got out just in time before a fire broke out, and destroyed the rear portion of the vehicle. Airline employees used extinguishers even as tenders from the airport rushed there and put out the fire.
http://www.thehindu.com/todays-paper/tp-national/tp-tamilnadu/article3574924.ece

Air India resumes operations to Tokyo


New Delhi: In a bid to restore normalcy in its curtailed international schedule, Air India has resumed operations to Tokyo via Shanghai and plans to launch flights to Hong Kong, which were stopped due to the pilots' strike that entered the 50th day on Tuesday.
As the pilots continued their hunger strike for the third day in Delhi and Mumbai to focus on their demands relating to career progression, Air India officials said bookings for Hong Kong were already on and the flights would begin on July 7. Hong Kong is likely to be connected by narrow-body Airbus A-319s.
Ignoring the strike by about 400 pilots, the airline is going ahead with plans to start a new flight to Kuala Lumpur and resume Seoul-Osaka operations in August and fly to Australia by September end, the officials said, adding that the process to recruit more pilots was already on.
Destinations like New York, London, Paris and Frankfurt were also being served by the airline as part of the curtailed schedule, they said.
"We will keep adding to our operations as we get more pilots. We can't be sitting idle because of the strike. We have cut back our global operations but have been continuing them reliably. We will continue to add step by step to restore our network and expand," the officials said.
Air India's entire international network of 27 stations would not only be fully restored, but expanded too, they said.
They blamed the Indian Pilots Guild (IPG) that has been leading the ongoing agitation, for threatening to strike five times in the last nine months before actually launching their action and said "unlike in other industries, a strike threat itself results in a dip in revenue earnings as passengers go away."

Kingfisher woes worsen as lessors take back 34 planes


Mumbai, June 26:
With cash-starved Kingfisher Airlines defaulting on lease rentals of around Rs 1,000 crore, the lessors have taken back 34 aircraft, sources said here on Tuesday even as the company maintained that it has returned the aircraft voluntarily.
Besides, another 15 aircraft of the company are also aground due to want of spares, and the airline is now left with only 15 planes to carry out its operations, they said.
“Lessors have taken back as many as 34 aircraft from Kingfisher between March and June, owing to non-payment of lease rentals, which stands at around Rs 1,000 crore,” sources told PTI here.
The airline, however, said it has returned these aircraft voluntarily and that no aircraft was taken back by lessors by “force“.
“There have been no forced returns of the aircraft to the lessors. Whenever we have returned planes, we have voluntarily done so,” a Kingfisher spokesperson said in a text message.
It has also grounded another 15 planes as they require spares but due to paucity of funds it has not been able to replace them, sources said.
“The airline currently has just 15 aircraft worth flying and a majority of them are ATRs,” they said.
According to the sources, the 15 aircraft in service include eight ATRs, one A319, four A320s and two A321s.
The airline today operates only around 100 odd flights with these aircraft, and has withdrawn from international operations.

Emirates, MasterCard special offer for first, business class flyers


Mumbai, June 26:
Emirates Airline and MasterCard have teamed up to offer special packages for travellers on Emirates First Class and Emirates Business Class. Passengers using their MasterCard can avail of the offer on purchasing flight tickets on or before September 30. For every Emirates top class round-trip ticket that they purchase, the cardholders visiting Dubai will receive complimentary stays at top hotels, in addition to complimentary visas and tickets to ‘At The Top’ in the Burj Khalifa. MasterCard cardholders purchasing Emirates First Class tickets will receive a complimentary two-night stay, including breakfast, at The Armani Hotel, located in Burj Khalifa. Cardholders choosing Business Class tickets will get a one-night stay with breakfast at ‘The Address’, Dubai Marina. In addition, the Emirates First Class and Emirates Business Class offer includes complimentary 96-hour transfer visas and priority tickets to the ‘At the Top’ in Burj Khalifa, the world’s tallest building.

Monday 25 June 2012

Boeing's 747-400, a Faded Queen of the Skies


Back in the late ’80s, global airlines scrambled to place orders for Boeing’s (BA) 747-400 widebody, then the industry’s most coveted aircraft for its sheer size, high-tech cockpit, and creature comforts. Now, ten-year-old passenger 747-400s are worth a record-low $36 million, about 10 percent less than similarly aged planes last year, according to London-based aviation consultancy Ascend, as carriers seek more fuel-efficient models. There’s even little interest in converting the passenger jets into air freighters because of a slump in air cargo demand.
Some 48 of the humpbacked passenger 747-400s worldwide have also been placed in storage, according to Ascend. The onetime “Queen of the Skies” has been shunned in favor of Boeing’s smaller 777 widebody (which has two fewer engines sucking fuel) or Airbus’s mammoth A380 double-decker. “There’s not a lot of demand for the 747,” says Paul Sheridan, Ascend’s head of consultancy Asia. “They’re mostly being broken up for parts.”
The decline in prices contributed to Singapore Airlines (SIA2) having a surprise loss in the quarter ended March after the sale of the carrier’s last 747-400 brought in less than it expected. Japan Airlines has stopped using the planes, and operators including Cathay Pacific Airways, Korean Air Lines, and Malaysian Airline System (MAS) are following suit to help counter jet fuel prices that have jumped about 30 percent in two years. “When oil prices are high,” explains Cathay Pacific Chief Executive Officer John Slosar, “the last thing you want to do is hold on to your older planes.”
The Hong Kong-based airline said last month that it’s speeding up the retirement of its 21 passenger 747-400s. The carrier will shed nine through early 2014 as it adds more 777-300ERs for long-haul flights. Cathay is also retiring three 400-series freighters this year due to the arrival of new 747-8 cargo planes that are slightly larger and more fuel-efficient.
Although the original 747 was developed in the 1960s, the first 400 variant—which was more fuel-efficient and required one fewer cockpit crew member—was delivered to Northwest Airlines in 1989. The standard version can fly as far as 7,260 nautical miles (13,450 kilometers), carrying 416 passengers in three classes. Boeing delivered the last of the 400s series jets—all told, some 694 were sold—in 2009.

Newer aircraft use less fuel because of the development of more efficient engines and of lightweight materials. Boeing’s new 787, for instance, has a fuselage built from reinforced plastics, compared with the 747’s heavier aluminum shell. “We’re seeing a lot of airlines understanding that they need more fuel-efficient planes, and that bodes very well for us,” says Jim Albaugh, the head of Boeing’s commercial-plane business.
But such changes also can provide rivals an opening. Thai Airways International (THAI) is in the process of selling four 747-400s and it will begin phasing out the model in 2013. The carrier will begin receiving six of the A380s it has on order later this year. Flying 747-400s now “doesn’t make sense,” Amranand says. “It’s obvious that with this sort of fuel price that it will cost you.”
Simple math tells the story. Malaysian Airline System, which received its first A380 last month, will consume 1,181 barrels of fuel flying the 494-seat aircraft to London from Kuala Lumpur, according to Maybank Kim Eng Securities (MAY) analyst Wong Chew Hann. The carrier’s 359-seat 747-400s use about 999 barrels of fuel on the same route, he says. Fuel accounts for about a third of airlines’ costs, according to the International Air Transport Association, so the Airbus jumbo’s 16 percent edge in per-passenger efficiency is a big selling point.
The A380, which surpassed the 747-400 as the world’s largest commercial plane when it entered service in 2007, has become the flagship for carriers including Singapore Air and Qantas Airways (QUBSF). That’s left rivals still reliant on the 400 series at a disadvantage in terms of costs and prestige, says Maybank’s Wong. “It takes an A380 to beat an A380,” he wrote in a June 8 research note.
European carriers, operating in slower-growth markets, are replacing 747-400s less quickly. British Airways, the biggest 747-400 operator with its fleet of 55, according to Ascend, will retire the last of its fleet in about 10 years. “It’s a great aircraft. Customers love it,” says Willie Walsh, chief executive of BA’s parent, International Consolidated Airlines Group (IAG). “We could replace some of them with 777-300ERs, which we are doing, but we are not looking to replace all of them.” Nonetheless, BA has also ordered 12 Airbus A380s, which will start arriving in about a year.
Although Deutsche Lufthansa (LHA) is already flying A380s and has ordered some 747-8s, it will still continue using its 400 series planes. “We will use it for quite a number of years,” says CEO Christoph Franz. One reason for the loyalty: Lufthansa owns them outright and their costs have long been accounted for.
The bottom line: Prices for used 747-400s, the world’s most popular widebody plane, have dropped 10 percent in the past year. Blame it on costly fuel.