November 05, 2018 - No. 087 In This Issue Aircraft Management Company RAI Jets Installs New Door for Super Mid-Size Jets St. Thomas Jet Center forms joint venture with Signature Flight Support AINsight: Don't Judge a Shop by Its Size Vietjet set to finalise $6.5bn order for 50 Airbus A321neo aircraft Insight: Georgia's Airplane Technics targets the international MRO market Boeing Zhoushan project to deliver first airplane in December UK aircraft engineers seek Irish licences to stay working in EU after Brexit GE Aviation receives FAA approval to install 3D printed bracket on GEnx commercial airline engines Aviation Associations recommend fee transparency, flexibility and speed for best business practices Airline Lobby Group Say's U.S. Airlines ARE Adding More Jobs Amid Claims of Offshoring Starman and Tesla Roadster Have Shot Past Mars, SpaceX Says Aircraft Management Company RAI Jets Installs New Door for Super Mid-Size Jets KALAMAZOO, MICH. (PRWEB) NOVEMBER 05, 2018 - RAI Jets LLC in Kalamazoo has added a new, larger service door to their main hangar at the Kalamazoo/Battle Creek International airport in order to easily accommodate their aircraft management customers with super mid-size jets. The door measures 24 feet by 80 feet and welcomes jets into an easily accessible, newly remodeled hangar place to manage or store their aircraft. The new door is illustrative of the success RAI Jets has had within their maintenance department servicing super-mids recently. RAI Jets saw a 50 percent increase in their maintenance business from 2016 to 2017, in part due to their expertise with super mid-size jets. "Cessna owners are finding RAI to be a safe, dependable alternative to OEMs or larger MROs for their aircraft maintenance," said David Riley, director of operations at RAI Jets. "In addition to offering owners of super mid-size aircraft a more convenient option for their aircraft maintenance, we also offer full management services. That means we take care of everything needed for their aircraft including maintenance, tracking and inspections, scheduling, compliance, etc." RAI's aircraft management clients include private jet owners as well as corporate aviation departments in need of management support. Because RAI Jets is an FAA-approved, Part 135 operator, jet owners can offset their maintenance costs by allowing RAI to charter their aircraft on RAI Jet's Air Carrier Certificate when not in use. "Our management clients who charter their jet on our Air Carrier Certificate can save up to 30 percent off their operating costs," said Riley. RAI Jet's private fleet serves business travelers who require private travel to increase their efficiency on a tight schedule, as well as families and groups traveling together for special events or remote locations. Their charter fleet includes a King Air 200 turboprop, a Citation III and Citation X jet. Hangar space is also available at RAI Jet's Kalamazoo hangar as well as their original location in nearby Sturgis, MI. The company's private jets have access to more than 5,000 commercial and municipal airports nationwide. To learn more about RAI Jets, visit http://www.flyraijets.com. ABOUT RAI JETS RAI Jets LLC is a private jet charter and aviation specialist based in Kalamazoo, MI with a second hangar location in Sturgis, Michigan. They provide customized, aircraft management, charter and maintenance to individuals and businesses for business or leisure, as well as turnkey management and aircraft maintenance for jet owners. RAI Jets has access to more 5,000 airports nationwide with an impressive fleet of aircraft from turbo props to super mid-size jets. They also offer aircraft acquisition service and hangar space. For more information on RAI Jets, visit http://flyraijets.com or call (800) 247-2834. https://www.prweb.com/releases/aircraft_management_company_rai_jets_installs_new_door_for_ super_mid_size_jets/prweb15890300.htm Back to Top St. Thomas Jet Center forms joint venture with Signature Flight Support ST. THOMAS - St. Thomas Jet Center has entered a joint venture with Signature Flight Support, the world's largest fixed-base operation and distribution network for business aviation services, owners of the St. Thomas company, Michael and Susan Hancock, announced recently. Partnering with Signature Flight Support, St. Thomas Jet Center will join an organization with more than 200 fixed-based operations worldwide. "This agreement expands Signatures' growing presence in the Caribbean, a region where we have placed significant focus during the past few years. St. Thomas is a prime destination for our customers and complements our other locations in the regions," said Mark Johnstone, CEO of Signature Flight Support and chief executive for its parent company, BBA Aviation. According to Mike French, Signature's regional vice president for the Atlantic Southwest, Signature now has locations in San Juan, St. Maarten, Antigua, Nevis, St. Kitts, Trinidad and Turks and Caicos. The Hancocks view the venture as a positive step for St. Thomas, particularly because Signature can shift business to the island from other islands such as St. Maarten that are not as far advanced in portions of their hurricane recovery. This will in turn bring more revenue to the territory's restaurants, retailers and other local businesses. "Having received offers from other potential buyers, we decided that a joint venture with Signature Flight Support presented the best opportunity both for our customers and employees alike," said Michael Hancock. "We are proud to add St. Thomas Jet Center to this premier global network." The Hancocks both have decades of experience in the aviation business. Susan Hancock at one time negotiated fuel contracts with governments and petroleum companies on behalf of the private jet industry worldwide. The bulk of Michael Hancock's experience is with commercial airlines. In 1995, he decided to go into business on his own with locations on the mainland and St. Thomas. The Hancocks bought St. Thomas Jet Center from the Boehlke family in 2002, with an eye toward expansion. The company provides aviation services such as fueling, maintenance, catering, transportation arrangements and other concierge services for flight crews. "It was a small business then, and we decided to use our backgrounds to develop it and build something of real substantial presence here on the island," said Susan Hancock. "We have a lot of experience in aviation, and we were able to take that knowledge and business practices and contacts and bring those to a small location and use that to expand into something the community can really use and take advantage of." In addition to their executive terminal, St. Thomas Jet Center includes an aircraft maintenance and storage hangar. Also, more than $1 million was spent to install a state-of-the-art fuel farm and a Customs facility was built for private jet use. They added a maintenance staff and fueling for commercial airlines and opened a rental car company, Jet Set Auto Rentals, to accommodate their customers' needs. Next, they ventured into bulk and marine fuel distribution with Tri-Island Energy. They now have 27 trucks and substantial fuel storage in Bovoni. In 2008, they also started a small charter airline, Capital Air. According to a press release by Signature Flight Support, an agreement is in place for the company to acquire the Hancocks' remaining share of the business in 14 months. http://www.virginislandsdailynews.com/business/st-thomas-jet-center-forms-joint-venture-with- signature-flight/article_f65a7ade-c80e-5c92-9740-a52250559195.html Back to Top AINsight: Don't Judge a Shop by Its Size Over the years I have gone back and forth about my feelings regarding smaller independent maintenance facilities for pre-purchase inspections of pre-owned business aircraft. My attitude was that an independent facility without a direct connection or endorsement from a major OEM was maybe just not the right place to go. My maintenance experience is mostly based around the pre- buy inspection. There are of course two sides to that event visit-you are either the buyer or the seller, and you are clearly aligned with one or the other side of the transaction. As the buyer, you want the most experienced hands on deck who understand the nuances and intricacies of the inspected aircraft type. There is no room for error since once you close, since the "as-is where-is" clause can be final. As the seller, you want to be sure the buyer gets a balanced view of the aircraft; however, if you could have lower labor rates due to what could be a lower overhead from the facility, that would fit you better. The fear I always had concerned engineering and a smaller shop's ability to have first- tier access to the engineering criteria and repair input on a timely basis. Also, would the manpower that needs to be assigned to a project be readily available? Does it have the resources for parts procurement? These and other questions have kept me away both as a buyer and a seller. I am rethinking this, though. Part of what is causing me to take a fresh look at these facilities is aging aircraft. If we are representing a $2 million Hawker, a pre-buy that can create a bill for a seller that is as much as 25 percent of the purchase price can be a hard transaction to get across the finish line. I am not suggesting going to a small shop to hope they miss expensive findings. It is to be able to find a shop that might build a more targeted work scope and have labor rates up to 30 percent less than the big-box shops, thereby eliminating huge bills at the end. And I have been pleasantly surprised with the results. In fact, I might add, that just because you have a recognized name across the top of your building does not guarantee blue skies and smooth sailing. These large MRO and OEM facilities do not always bring out the best in the experiences-high turnover and less attentive crews can leave one frustrated and disappointed in the outcome. There is plenty of room for both the small independent shop and the large OEM facilities. There is no room in these mission-critical situations to compromise or be penny wise and pound foolish. Be prudent and wise in gathering references and understanding what the shops are most noted for. Just because a shop is large or small does not create a reason to leave due diligence at the door. But it does allow for more choice in the process. https://www.ainonline.com/aviation-news/blogs/ainsight-dont-judge-shop-its-size Back to Top Vietjet set to finalise $6.5bn order for 50 Airbus A321neo aircraft Vietnam-based airline Vietjet Aviation is expected to place an order worth $6.5bn with Airbus for 50 A321neo aircraft. According to Reuters, the order is set to be finalised today during French Prime Minister Edouard Philippe's visit to Vietnam's capital Hanoi. Part of a investment drive carried out by Vietjet, the order is expected to help Airbus increase revenues by converting provisional orders secured at this year's Farnborough Airshow into firm ones. Both Airbus and Vietjet have not commented on the deal. Recently, VietJet CEO Nguyen Thi Phuong Thao was quoted by Reuters as saying that the airline intends to operate an average fleet age of only three years in order to reduce fuel and maintenance costs. At the Farnborough Airshow, Vietjet signed a memorandum of understanding (MoU) with Airbus to buy an additional 50 A321neo single aisle jets. The deal has increased the airline's backlog of orders for the A320 Family to 129 aircraft that comprise 123 A321neo and six A321ceo planes. The additional jets are set to help Vietjet meet the rising demand for its services on both domestic and international routes. In Farnborough, Vietjet also signed a MoU with Boeing for 100 737 MAX jets, which are valued at more than $12.7bn at list prices and are scheduled to be delivered between 2020 and 2025. Both the parties are currently having discussions to confirm the order of 80 737 MAX 10s and 20 737 MAX 8 jets. https://www.aerospace-technology.com/news/vietjet-set-finalise-6-5bn-order/ Back to Top Insight: Georgia's Airplane Technics targets the international MRO market Launched in July 2015, the privately owned Georgian aircraft maintenance and repair specialist Airplane Technics is now ready to climb to new levels. The company has announced plans for the construction of a new maintenance centre at Tbilisi Airport, including a hangar with 13,600 square metres of floor space. The project is scheduled to kick off next spring and to be completed in 2021. NEW OPPORTUNITIES Airplane Technics, with Georgian businessman Tamaz Somkishvili as its main investor, and headed by chief executive Vincenzo Morelli, holds endorsements from Georgia's Civil Aviation Agency (GCAA) for line and base maintenance of Boeing 737CL/NG and Airbus A320 family airliners, as well as for Cessna 501 Citation business jets. Its latest achievement is GCAA approval for line maintenance of Bell 505 helicopters. On the international side, the company holds EASA Part 145 certification and its equivalent from Kuwait's authorities. A spokesman for Airplane Technics has revealed to Russian Aviation Insider that the new facility will be designed to handle Boeing 737/747/777, Airbus A320 Family, Airbus A340 and Embraer ?190 types. The company is investing some US$30 million into the construction project. The existing 1,764-sq m hangar at Tbilisi Airport became operational in May 2017. Once the larger facility enters service, the original unit will be used for preliminary works or minor checks. Airplane Technics also runs line stations at Georgian airports of Tbilisi, Kutaisi and Batumi. Also, after winning a maintenance contract from Kazakh SCAT Airlines, the provider opened two line stations at Kazakhstan's Almaty and Chimkent. It is currently negotiating other contracts in the country. POISED FOR GROWTH Building its own hangar and launching heavy checks are two key factors that have paved the way for the Georgian company's business growth. From 3,000 labour hours in 2017 this has risen to 25,000 thus far in 2018. Its next ambition is to win approval for the maintenance of the Airbus A320neo. Among Airplane Technics' current customers are Kuwait Airways, Jazeera Airways and Wataniya Airways (all three are Kuwaiti), as well as Air Arabia and flydubai (both from the UAE), Georgian Airways, and SCAT (Kazakhstan) amongst others. The company also admits to being in negotiations with several Russian operators. Airplane Technics was created with international markets in mind, its representatives reveal, citing the shortage of MRO hangar space in Europe and other neighbouring regions. MRO competition at Tbilisi airport - namely, start-up Myway Technics, the maintenance division of flag carrier Georgian Airways and Lithuanian FL Technic - have their capabilities constrained by a shortage of hangar space to carry out minor checks and line maintenance. At the same time, Airplane Technics claims to offer lower prices than its European rivals. The company currently employs 11 engineers with B1/B2 endorsements and expects to raise that number to 40 before year 2020. Overall, a shortage of competent technicians is plaguing the industry, the company says, a problem it solves by attracting personnel from other countries and also by training its own staff at the college it launched with its own funds. There are currently 50 technicians who have been hired by Airplane Technics, 20 of whom are undergoing on-the-job training at the locations of Tbilisi, Almaty, Chimkent and Frankfurt. http://www.rusaviainsider.com/georgias-airplane-technics-targets-international-mro-market/ Back to Top Boeing Zhoushan project to deliver first airplane in December Boeing's 737 Completion and Delivery Center in Zhoushan, a coastal city in eastern China's Zhejiang province, will deliver its first plane in 737 family in December, said Boeing China on Friday. "It is the first time that Boeing has extended the 737 production facilities overseas. The upcoming delivery also marks the first time Boeing has delivered an aircraft at an overseas site," said John Bruns, president of Boeing China. The newly-completed 737 airplane will be delivered to Air China. The Boeing Zhoushan project is made up of two parts -- a Boeing 737 completion center and the delivery center, in which the Boeing 737 aircraft will receive interior installation, painting, maintenance and delivery. Boeing and its Chinese partner Commercial Aircraft Corporation of China Ltd.(COMAC) will jointly run the completion center, with the 737 delivery center being solely owned by Boeing. "We will deliver the first 737 aircraft in Zhoushan this year, and we will gradually continue the ramp-up, making annual capacity reach 100," Bruns said. Boeing and COMAC signed an agreement in October 2016 to set up the plant in Zhoushan, 287 km southeast of Shanghai. "The 737 Completion and Delivery Center in Zhoushan will only serve our Chinese customers, supporting them to expand the fleet and become more successful in the market," Bruns said. "We will stay focused to make the Zhoushan project successful, growing an aviation industrial system and enhancing the capacity of our suppliers," he added. China is of critical importance to Boeing's performance in the global commercial aircraft market. Boeing delivered a record high of 202 new aircraft to China in 2017, representing its sixth consecutive year of more than 140 deliveries to the country. Boeing's global deliveries of commercial aircraft reached 763 in 2017, with those to China making up 26 percent. China's civil aviation industry saw air passenger volume reach 552 million in 2017, a 13 percent increase year on year, according to the Civil Aviation Administration of China (CAAC). By the end of 2017, there were 58 airlines in China offering services on 4,418 air routes. The country's civil aviation fleet reached 3,296 aircraft. "Boeing is greatly honored in witnessing and supporting China's aviation growth. We have been in cooperation with China for 46 years and have built a creative strategic partnership of win-win cooperation," said Bruns, adding that Boeing will continue to deepen and facilitate cooperation with China. http://www.china.org.cn/business/2018-11/04/content_70076465.htm Back to Top UK aircraft engineers seek Irish licences to stay working in EU after Brexit UK-based aircraft maintenance engineers are rushing to register with the Republic's air travel safety watchdog as they fear a no-deal Brexit could hit their ability to work in the European Union. Aircraft maintenance engineers have to be licensed under EU rules in order to work on aircraft governed by the bloc's aviation safety regulations. Each member state issues the most common permit, known as a part 66 licence, which is recognised across the EU. However, holders of UK-issued part 66 licences are rushing to register with the Irish Aviation Authority (IAA) in case a hard Brexit leaves them outside the EU's regime and thus unable to work outside the UK. The authority confirmed that it is seeing a growing number of applications for aircraft engineers' licences. It is understood that a proportion are from British-qualified workers seeking Irish registration as an insurance policy against any fallout from a hard Brexit. If the UK were to crash out of the bloc without a deal or agreed transition arrangements, it could also end up outside EU aviation treaties and the European Aviation Safety Agency, which sets common safety standards across the union. Industry figures such as Ryanair chief executive Michael O'Leary have already warned that this could result in no flights between the EU and UK for a period. It could also prevent UK-licensed engineers from working in EU states, as a number already do. The Republic's licences would continue to be recognised by other member countries. The IAA did not give figures for the number of applications for engineers' licences. Growth in the Republic's own aviation industry is driving part of the increase. Companies such as Dublin Aerospace and Eirtech in Dublin, and LufthansaTechnik in Shannon maintain, repair and modify aircraft for airlines and aircraft lessors. https://www.irishtimes.com/business/transport-and-tourism/uk-aircraft-engineers-seek-irish- licences-to-stay-working-in-eu-after-brexit-1.3686087 Back to Top GE Aviation receives FAA approval to install 3D printed bracket on GEnx commercial airline engines GE Additive and GE Aviation have announced that the Federal Aviation Administration (FAA) has given 'change in design' approval to replace a conventionally manufactured power door opening system (PDOS) bracket, used on GE Aviation's GEnx-2B commercial airline engines that power the Boeing 747-8, with an additively manufactured bracket. The new additively manufactured PDOS brackets will be mass produced at GE Aviation's facility in Auburn, Alabama, using GE Additive Concept Laser M2 cusing Multilaser machines this month. GE Aviation anticipates the first GEnx engines installed with the new brackets will be shipped in January 2019. The PDOS is used on the ground to open and close the fan cowl doors to enable access to the fan compartment for maintenance reasons. The original PDOS brackets on the GEnx-2B engines were milled from a solid block of metal, resulting in approximately 50 percent of material waste. Now using direct metal laser melting (DMLM) additive technology to manufacture the new brackets, that waste has been reduced by as much as 90% and part weight by 10%. "We chose this project because it represented several firsts for us. It's the first program we certified on a Concept Laser machine. It's also the first project we took from design to production in less than ten months," said Eric Gatlin, general manager, additive integrated product team, GE Aviation. The decision to mass produce using a cobalt-chrome alloy over a traditional nickel-based superalloy has enabled a faster build. To make this approach as efficient as possible, four brackets will be printed at the same time. Using a bespoke, interlocking design to house all four brackets on a single build plate, the Concept Laser M2 cusing machine's pair of lasers can print an aircraft's worth of brackets in one build, before post-processing and inspection. Finally, by taking production of the brackets entirely in-house, GE Aviation will also reduce its production costs. "To ensure the M2 cusing machines were certified to meet the strict requirements for the aerospace industry, collaboration on this program has been closer than usual with our colleagues at GE Additive. As we continue thinking about the many parts we can design, redesign and manufacture on GE Additive machines, I'm looking forward to putting both our teams and the technology through their paces," Gatlin added. "It's been outstanding to watch teams from GE Aviation, GE Additive across the US, Mexico and Germany collaborate. In such a short space of time, they have really excelled with the PDOS bracket and achieved a truly groundbreaking success. Seeing the M2 machines produce flight quality hardware, and demonstrating what it is truly capable of, is another great milestone in our own additive journey," said Jason Oliver, President & CEO, GE Additive. http://www.3ders.org/articles/20181105-ge-aviation-receives-faa-approval-to-install-3d-printed- bracket-on-genx-commercial-airline-engines.html Back to Top Aviation Associations recommend fee transparency, flexibility and speed for best business practices A collection of six aviation associations jointly released a series of best business practices this week, which they encourage fixed base operators (FBOs) to pursue for the benefit of all. FBOs are responsible for a variety of supporting services for airports and airlines, such as fueling, parking, tie-downs, maintenance and flight instruction. Aviation associations now call on them to provide a description of all services and a listing of current retail fuel prices, fees, and charges, be they service fees, special events fees, infrastructure fees, or a variety of others. They also request that they make them easily accessible to aircraft operators online, clearly stated so that pilots can make informed decisions. The associations recognize, however, that not all FBOs will have the same capabilities. While pushing for speed, they note that some FBOs may require more flexibility and time to follow these requests or provide reasonable alternatives. That said, they ask that FBOs invite and encourage customers to contact them before visiting, so informed decisions can still be made. The associations involved in the release included The General Aviation Manufacturers Association (GAMA), the Aircraft Owners and Pilots Association, the Experimental Aircraft Association, the Helicopter Association International, the National Air Transportation Association and the National Business Aviation Association. https://transportationtodaynews.com/news/11213-aviation-associations-recommend-fee- transparency-flexibility-and-speed-for-best-business-practices/ Back to Top Airline Lobby Group Say's U.S. Airlines ARE Adding More Jobs Amid Claims of Offshoring A trade organization that represents the interests of U.S.-based airlines in Washington, including American Airlines, has claimed its members not only employ more American workers than a year ago but that U.S. aviation jobs are the highest they've been since 2000. The stats, which were released by Airlines for America (A4A) come a week after a major trade union claimed American Airlines was offshoring engineering roles to foreign maintenance facilities that don't have the same safety rules or oversight that would be expected in the United States. But Airlines for America says U.S. passenger and cargo airlines now employ some 720,000 American men and women - that's around 2.9% higher than a year ago. On top of that, they also claim wage growth in the aviation industry is outstripping the rest of the labor market - the average wage for aviation workers now stands at $80,000 or 46% higher than the average wage in the private sector. "Airlines recently reported the 58th consecutive month of employment gains," explained Rebecca Spicer, who is in charge of communications at A4A. "These are well-paying jobs with good benefits." Spicer claimed U.S. passenger airlines spent $37 billion on wages and benefits in just the first nine months of 2018 - an increase of $2.1 billion on the same period last year. But Spicer didn't disclose how those average wage figures could be distorted by relatively small numbers of very well paid employee groups like pilots - an issue that is common across the aviation industry. The Transport Workers Union, which represents some workers at American Airlines recently labelled the carrier, "UnAmerican Airlines" over its plans to send U.S. registered planes to overseas maintenance facilities. The union claims nearly 50% of maintenance work by value on U.S. aircraft is already undertaken in facilities outside of the United States. Concerns have been raised about the lack of qualified engineers at some of these facilities, as well as varying regulations and inadequate training. Other members of the Airlines for America lobby group include United, Southwest and Alaska Airlines. The group says it "vigorously advocates" on behalf of the entire U.S. aviation industry in Congress and the Administration https://www.paddleyourownkanoo.com/2018/11/04/airline-lobby-group-says-u-s-airlines-are- adding-more-jobs-amid-claims-of-offshoring/ Back to Top Starman and Tesla Roadster Have Shot Past Mars, SpaceX Says SpaceX's Starman and cherry red Tesla Roadster have traveled beyond Mars. SpaceX shared a diagram of the car once driven by the aerospace manufacturer's CEO Elon Musk indicating it has now reached beyond the Red Planet. Sharing Starman's current position in a diagram to Twitter, SpaceX also tweeted a nod to Douglas Adams' seminal work The Hitchhiker's Guide to the Galaxy, which is beloved by Musk. (The Restaurant at the End of the Universe refers to the second book in the series.) The dash of the Roadster itself even has a nod to Hitchhiker's Guide, as Space.com notes the words "Don't Panic" on its control panel also appeared on a cover of the novel. SpaceX launched the Tesla Roadster and its inanimate passenger into space as the payload on the Falcon Heavy rocket's maiden launch in February, a feat that was largely perceived to be a publicity stunt by Musk. "Payload will be my midnight cherry Tesla Roadster playing Space Oddity," Musk tweeted in December prior to its launch. "Destination is Mars orbit. Will be in deep space for a billion years or so if it doesn't blow up on ascent." Musk's former ride isn't the only thing he plans to shoot into space for seemingly little purpose beyond novelty. In October, Musk tweeted that Tesla owners could refer a friend to purchase one of its cars and "get any image they want laser etched in glass & sent to deep space for millions of years." (Musk later added that there is no restriction on the kind of image that can be submitted, which is sure to turn up some real gems.) The Roadster reached beyond Mars some nine months after its initial launch, but it won't stay there. Per Space.com: The Roadster and Starman will come within a few hundred thousand kilometers of our planet in 2091, according to an orbit-modeling study. The authors of that study determined that the car will slam into either Venus or Earth, likely within the next few tens of millions of years. They give the space car a 6 percent chance of hitting Earth in the next 1 million years, and a 2.5 percent chance of smacking Venus in that span. Being that there's essentially no way you could ever drive this thing again anyway, that's probably just fine. https://gizmodo.com/starman-and-tesla-roadster-have-shot-past-mars-spacex-1830202749 Curt Lewis