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Jilted Embraer

PARTNERSHIP DAVID KAMINSKI-MORROW LONDON

Jilted Embraer embittered by Boeing

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Brazilian airframer launches arbitration process as commercial aviation merger collapse leaves it in weakened position

Embraer’s fierce reaction to prospective suitor Boeing’s decision to bail from their intended commercial partnership is hardly surprising, given that the Brazilian airframer stands to lose heavily from the split.

While the tie-up proposal, un veiled in late 2017, might have given the impression of a hastilyshoehorned response to Airbus’s audacious swoop for the Bombardier CSeries programme, Boeing and Embraer already had collaborative interests, and a merger had genuine merits.

Boeing stated that the decision would “strategically align” with its commercial development, production and lifecycle services operations. A new joint venture, 80%-owned by Boeing and named Boeing Brasil – Commer cial, would have handed the US airframer its own “highly complementary” presence in the regional aircraft sector with the re-engined E2 version of the Embraer E-Jet family, along with income from Embraer’s services and support arm.

Both Boeing and Embraer had separately put pressure on the CSeries, through trade and subsi dy disputes. But the intervention of Airbus – and Boeing losing a high-profile trade case against Bombardier shortly afterwards – simply gave the CSeries, rebranded the Airbus A220, additional momentum and the backing of a powerful partner.

Embraer’s E2 stood to gain a similar advantage under Boeing, capitalising on the US firm’s global marketing network and heavyweight presence in procurement and cost negotiation. While the A220 has flourished under Air bus, the E2 has lost traction – total orders for the family have actually declined since 2017, even discounting the specific US scope-clause peculiarities that led to the removal of 100 E175- E2s – the entire backlog for the variant – from Embraer’s books.

Absence of orders aside, the E175-E2’s planned service-entry date of 2021 reflects another key reason for Embraer’s interest in the Boeing tie-up. While the man ufacturer has been exploring a complementary turboprop development, it was looking to Boeing to provide potential post-E2 openings for its engineering personnel.

When the tie-up was initially disclosed, Boeing had just started delivering the 737 Max to cus tomers and – with the Max the probable final iteration of the 737 – the airframer had been wrestling with options for a successor, as well as a proposed New Midmarket Airplane to bridge between its single- and twin-aisle lines. Embraer would have been able to offer technical specialists with a lower Brazilian cost base.

SECOND SETBACK

But Boeing’s aircraft development ambitions, already set back by the 13-month-and-counting grounding of the 737 Max, have been overturned by the impact of the coronavirus crisis, which has demolished the forecasts and assumptions behind the BoeingEmbraer proposal.

Embraer’s share price has halved since the outbreak and its market capitalisation of around $1.1 billion is barely a quarter of the $4.2 billion that Boeing had been set to pay just for its 80% of the commercial aircraft venture.

Embraer had just completed, in January, its carve-out prepara tions to separate the commercial aviation division ahead of the Boeing acquisition. The company disclosed in March that the separation costs relating to this carveout, some $120 million, had wiped out its full-year earnings before interest and taxes.

Even as it negotiated with Embraer, Boeing had been under financial pressure itself – not only from the 737 Max situation but also the broader fall in longhaul jet demand.

E2 was set to give US manufacturer a presence in regional market

Coronavirus has since exacer bated the situation, cutting into the crucial single-aisle market while inflicting further damage to the weakened long-haul sector.

Under these conditions Boeing’s decision to revisit the strategic rationale for pursuing an expensive Embraer deal is hardly a shock, especially following the change in the US manufacturer’s leadership in mid-January and its requests for US government aid.

But the decision has – equally unsurprisingly – left Embraer frustrated, furious and bitter, its future direction now another uncertainty among the myriad uncertainties caused by the most extraordinary of circumstances.

In the days following the merger’s collapse, Embraer an nounced it had formally commenced arbitration proceedings. But the Brazilian airframer has provided little insight into its response to the failure, and the extent to which it had prepared for such an eventuality.

Chief executive Francisco Gomes Neto, speaking during a 27 April briefing, said he was “sur prised and disappointed” by B oeing’s decision, reiterating the belief that the US firm had wrongly ended the agreement and disputing its claim of a failure by Embraer to meet conditions.

He says Embraer has worked “nonstop, day and night” to conclude the deal, which has in

volved a “long, costly and complex process”.

Gomes Neto would not be drawn on the overall cost to Embraer of the separation and preparatory work for the merger, beyond saying that it was “substantial” – nor would he elaborate on the remedies sought from Boeing, or even the condi tions Boeing believes Embraer to have breached.

Merger documents filed to the US Securities and Exchange Commission refer to two termination fees, one amounting to $75 million and the other, designated an “anti-trust termination fee”, of $100 million.

STRATEGY REVIEW

Gomes Neto also remained vague on alternative plans that Embraer might pursue in the aftermath of Boeing’s withdrawal, stating only that the company would “review” its commercial aviation structure and strategy.

Embraer would remain open to possible partnerships, he says, but adds: “We want to do our homework first.”

“I think the situation is more acute for Embraer,” says Michel Merluzeau of aerospace consultancy AIR. “Embraer needs a partner really, really quick.”

But there are few options in the market for Embraer, with China seen as the most plausible. ■

See Defence P13

Modified Avro RJ100 was due to make maiden flight in 2021

TECHNOLOGYDAVID KAMINSKI-MORROW LONDON

Partners power down E-Fan X project

Work on hybrid-electric programme has provided ‘rich insights’, says airframer, although demonstrator will not now fly

Airbus and Rolls-Royce have axed the E-Fan X demonstrator programme, a year before the experimental hybrid-electric engine airliner was supposed to fly.

The E-Fan X programme was launched to explore electric aviation and involved equipping a BAE Systems Avro RJ100 with a hybrid powertrain. But Airbus chief technology officer Grazia Vittadini says the airframer is having to “navigate the realities” of a world impacted by the coronavirus crisis, and concentrate on priorities.

She says Airbus and RollsRoyce have as a result “jointly decided” to “bring the E-Fan X demonstrator to an end”.

“As with all ground-breaking [research] projects, it’s our duty to constantly evaluate and reprioritise them to ensure alignment with our ambitions,” she adds.

“These decisions are not always easy. But they’re undoubtedly necessary to stay the course.”

Vittadini points out that the effort to decarbonise the aviation industry is “no small feat”, adding: “To achieve this, we need to re-focus all of our efforts

PROPULSION DOMINIC PERRY LONDON R-R plans for ‘copper bird’ ground testing despite cancellation

Propulsion specialist Rolls-Royce is to continue ground-test activities on the power generation system it was developing as its contribution to the Airbus E-Fan X, despite the project’s ending.

Under the E-Fan X design, the partners intended to replace one of a BAE Systems Avro RJ100’s turbofan engines with an electric propulsion unit powered by an AE2100 turboshaft engine driving a 2.5MW generator mounted in the aft fuselage.

Modification activities were under way on the aircraft (G-WEFX) by Avalon Aerospace at Cranfield airport in the UK to support a first flight next year.

Despite the end of the project, R-R plans to continue some development work as part of its drive towards more sustainable aviation.

“Although our programme with Airbus concludes, we are planning that our power-generation system ground testing will complete, allowing us to demonstrate the technology and capture all the lessons,” says R-R chief technology officer Paul Stein.

This will see the company integrate the generator, currently being tested at its site in Trondheim, Norway, with power-control and thermal-management systems developed by R-R’s units in Derby and Indianapolis, respectively. Ground testing of its “copper bird” rig should begin towards year-end.

Stein says that although a series of airborne trials was planned for the E-Fan X, a substantial amount of technology “de-risking” can take place on the ground.

Stressing that the cancellation was made “jointly”, Stein says the partners “felt that, particularly given the difficult times the aviation industry is about to go through, we had reached a point where we had learned what we needed to”.

In addition, Stein says both parties were conscious of the expense involved.

“We just decided that taking it to flight-test at this point in the evolution of the technology was not worth the cost,” he says.

“Flight-testing would have cost tens of millions and we have both decided that we would prefer to save that money.” ■

on technology bricks that will take us there.”

The E-Fan X, launched in 2017, was due to carry out its maiden flight in 2021.

Vittadini insists that, while the aircraft will “not take to the skies”, the effort invested in the programme has not been wasted.

“To say we’ve learned a lot from this demonstrator project would be an understatement,” she says. “Over the past three years, each E-Fan X milestone has offered us rich insights for the future.”

Vittadini says these include ex ploration of hybrid architecture, batteries and high-voltage systems, and new carbon dioxide reduction technologies, as well as certification and regulatory knowledge. She adds Airbus has developed a “more focused road map” for decarbonisation.

“As with all such leading-edge programmes, we constantly evaluate the best way forward and it has become clear to both parties that the actual requirement to carry out a test flight with all the elements integrated is not critical at this time,” says R-R chief technology officer Paul Stein.

He says the level of industry interest and support for the E-Fan X programme has been “particularly encouraging”. ■

FINANCE JON HEMMERDINGER BOSTON DAVID KAMINSKI-MORROW LONDON

Results reveal big two’s pandemic pain

Losses mar first-quarter results at Airbus and Boeing as commercial aircraft divisions see demand slide due to coronavirus

In a rare alignment of dates, the world’s big two airframers both released their coronavirus-impact ed first-quarter results on 29 April.

Neither made for pleasant reading, although Boeing’s existing troubles with the 737 Max programme ensured that its pain was deeper than that of Airbus.

The US airframer recorded a $641 million loss in the first quarter, on revenue that declined 26% year on year to $16.9 billion.

But the coronavirus and Max grounding particularly hammered Boeing Commercial Airplanes, which lost $2.1 billion in the peri od, reversing a $1.2 billion profit in the same quarter last year.

Commercial aircraft revenue declined by roughly half to $6.2 billion, and Boeing delivered only 50 jets in the period, down from 149 in the first quarter of 2019.

At Airbus, commercial aircraft revenues were down by 22% to €7.5 billion ($8 billion) and earn ings in the sector dropped by 82% to €57 million. Its adjusted commercial EBIT was €191 million, down 59%.

The group’s total adjusted EBIT for the first quarter halved to €281 million, and it made a net loss of €481 million compared with a previous profit of €40 mil lion. Revenues slipped from €12.5 billion to €10.6 billion.

Both airframers have reacted to plunging demand for new aircraft by cutting planned output and announcing reductions to head count.

Airbus had already announced revised targets, taking A320-family output down to 40 per month, while the rates for A330s and A350s have been reduced to two and six per month, respectively.

“This will remain for at least two or three months,” says chief executive Guillaume Faury. Boeing has now followed suit, cutting 787 output to 10 aircraft per month this year, down from 14 currently, then falling to

Under a previous plan, Boeing regulators grounded the type in describes as “a mountain” of intended to reduce 787 produc March 2019. documentation associated with tion to 10 monthly in 2021, but But the planned resumption the approval process. ■ then increase that to 12 per month in 2023.

However, Boeing has no im mediate plan to restructure its 787 final assembly footprint. Presently, the airframer assemEnsuring bles the Dreamliner at sites in Everett, Washington and North Charleston, South Carolina, with safety and performance for today and tomorrow the latter the only plant to build all three variants.

Chief executive David Calhoun says Boeing will have time to re view its manufacturing strategy in the coming years, as 787 production declines further.

In Addition, combined output for the 777/777X will fall to three aircraft per month in 2021, down from five currently, and Boeing will “take a measured approach to the 777X rate ramp” when deliveries begin next year. With light weight, small volume,

Meanwhile, final assembly of outstanding environmental robustthe still-grounded 737 Max will ness and unmatched performance resume “at low rates in 2020” LITEF’s Attitude and Heading and “gradually increase to 31 per Reference Systems deliver value month during 2021, with further to the operators of all types of civil gradual increases to correspond and military aircraft. with market demand”, says Boeing. The lower output adds $1 billion to the cost of the Max production upheaval, bringing Inertial Systems made by Boeing’s estimated total cost of the Max’s “abnormal” produc For more information on our products, please contact info@ng-litef.de Northrop Grumman LITEF GmbH, Loerracher Strasse 18, 79115 Freiburg, Germany tion to $5 billion.

Boeing had been making 53

of Max production may repre sent a sliver of good news for Boeing; it also expects to resume deliveries in the third quarter, with Calhoun saying the company is progressing well through certification work, despite challenges posed by coronavirus. Elaine Thompson/AP/Shutterstock “We currently expect the necessary regulatory approval to allow Max deliveries in the third quarter,” Calhoun says.

“We are very confident that the process will conclude with the… US airframer will restart suspended 737 Max production this year certification.” Boeing is now working its seven per month by 2022. Max aircraft per month when way through what Calhoun

FINANCE DAVID KAMINSKI-MORROW LONDON Air France-KLM secures state support

French and Dutch governments agree multibillion-euro loan packages, but bailouts have certain conditions attached

Air France-KLM Group has obtained government funding to help the operator cope with the impact of the coronavirus crisis.

The group had previously warned that, despite measures to preserve liquidity, it would need a capital injection in the third quarter of this year.

It has negotiated a French state-backed loan of €4 billion ($4.3 billion) from a syndicate of six banks to be distributed to Air France-KLM and Air France.

The French government has said it will guarantee up to 90% of the loan, which has a maturity of 12 months.

There will also be a direct four-year shareholder’s loan of €3 billion from the French govern ment to Air France-KLM. Both packages have two one-year extension options.

KLM is to receive €2-4 billion in financial support from the Dutch government, the country’s finance ministry has disclosed.

“The precise structure of the support, which is expected to consist of a guarantee and a loan, is currently being worked out,” the ministry says, adding that “certain conditions” will be attached.

It will require the airline’s personnel to take pay cuts – with

Airline’s transformation plan includes goal of adapting to ‘new market reality’

higher earners contributing the most – while the carrier will have to refrain from paying dividends or bonuses.

But KLM will also be ordered to contribute environmentally, by reducing the number of night flights, as part of the deal. The ministry says the company will need to make “sacrifices”, conditions that are “justifiable and reasonable”.

“I realise that [this] message is not easy for KLM,” says finance minister Wopke Hoekstra. “But we are talking about taxpayers’ money, our money, which is now

needed to strengthen KLM’s financial position.”

Air France-KLM Group and its two carriers will need to take restructuring measures. The group says a transformation plan is being finalised that will include economic, financial and environmental commitments.

“It will notably involve a review of Air France’s activities, looking to adapt them to the new market reality brought about by the crisis, and will have to strengthen its financial situation,” it states.

Once this plan has been finalised, the group says, the Air France-KLM Group board will consider increasing its equity capital subject to market conditions.

OPERATIONS CIRIUM LONDON Norwegian warns funds could run dry by mid-May

“In this context, the French state has indicated its intention to examine the conditions under which it might participate in such an operation to increase its capital,” it adds.

Air France-KLM Group chief executive Benjamin Smith says the financial assistance will “en able us to withstand this crisis” and “foresee the future of Air France-KLM with ambition and determination”. ■

Scandinavian budget carrier

Norwegian will run out of cash by mid-May if it does not secure the remainder of its state aid package, the airline has warned in a report to bondholders that lays out plans for a “new Norwegian” that will not start to take off until 2021.

Under that proposal, the carrier will significantly trim its fleet from 168 aircraft prior to the coronavirus crisis, to between 110 and 120 jets. The Nordic region will be the “cornerstone” of its operations and the airline says it will reduce capacity to match demand. Its long-haul network will focus on “top-tier cities” and “key flows” between the EU and the USA.

But Norwegian says it will re main in a “hibernation phase” – in which 95% of its fleet is grounded and just seven aircraft are operating state-subsidised domestic operations only – until the second quarter of 2021, when a gradual ramp-up will begin. “Normal operations” are not expected to resume until 2022, and the airline that emerges then will operate fewer aircraft and a “right-sized” network focused on the most profitable routes.

The airline is asking lessors to reduce its aircraft lease obligations by “at least” $500 million and convert debt into equity in a move that would eventually mean 53.1% of the carrier is owned by leasing companies and 41.7% by bondholders. Existing shareholders would hold just 5.2% of Norwegian’s stock if its survival plan is accepted by bondholders.

The airline has already received NKr300 million ($29 million) in state funding as part of a bailout package worth up to NKr3 billion. However, the carrier must satisfy a number of conditions before it can access the remainder. These include existing creditors agreeing to a threemonth moratorium on outstanding payments, and the company cutting its debt-to-equity ratio. ■

FLEET JON HEMMERDINGER BOSTON Southwest defers swathe of Max deliveries due to slump

Decision affects almost 60 aircraft, as carrier confronts a $94 million first-quarter loss

Southwest Airlines, among the world’s top customers for the Boeing 737 Max, has pushed back deliveries of 59 examples of the reengined twinjet in response to the travel downturn caused by the coronavirus pandemic.

Southwest expects to receive a maximum of 48 737 Max aircraft by the end of 2021, the carrier said on 28 April.

Previously, Southwest antici pated receiving 107 Max jets from Boeing in 2020 and 2021, including 62 aircraft that had been scheduled for delivery in 2020 and 45 scheduled for 2021, a securities filing shows. In addition, 16 were scheduled to be taken on lease.

The airline provides few details about how many 737 Max aircraft it intends to acquire in 2020 and 2021, other than saying it expects to receive fewer than 27 jets from Boeing this year.

Those 27 737 Max are aircraft

VDB Photo/Shutterstock Airline will now only take 48 of re-engined type within next two years

Boeing manufactured for Southwest after regulators grounded the type in March 2019.

Southwest is “still working on specifics of how many we want to take between now and the end of the year,” chief financial officer Tammy Romo said during a 28 April first-quarter earnings call.

News of the deferrals came as Southwest reported a first-quarter loss of $94 million, reflecting the collapse of travel demand during the pandemic.

In recent weeks the airline has grounded about 350 of its 742 737s, which excludes 34 737 Max that were received before the 2019 grounding.

The US low-cost carrier holds unfilled orders for 262 737 Max, more than any named customer. ■

PROGRAMME ALFRED CHUA SINGAPORE Comac transfers first ARJ21 after output resumes

Comac has delivered the 24th example of its ARJ21 regional jet, the first of the aircraft to be handed over since the Chinese airframer restarted operations in the aftermath of the coronavirus outbreak.

PROPULSION DOMINIC PERRY LONDON DRA moves hint at alternative power on D328eco

Although it was delivered to Chengdu Airlines, the aircraft (B-604F) is managed by lessor ICBC Financial Leasing, Comac states.

The twinjet is also the first example to have been be completely assembled at Comac’s Shanghai Pudong unit.

In March, the airframer opened a second ARJ21 production line at Pudong, in order to increase output. The Pudong facility can assemble up to 30 aircraft per year.

Comac suspended work in February as a result of the coronavirus pandemic.

Cirium fleets data indicates that there are about 330 ARJ21s in the airframer’s orderbook. ■

Fledgling airframer Deutsche

Regional Aircraft (DRA) has rebranded its proposed revival of the Dornier 328 twin-turboprop as the “D328eco” and hired a former Airbus specialist in alternative propulsion as its chief technology officer (CTO).

Although DRA has released no details of its aircraft, which it

Jeffry Surianto/Shutterstock

says is at the preliminary design review (PDR) stage, the moves suggest that it is likely to be considering electric- or hybrid-electric power for the platform, which was launched last year.

Announcing the appointment of Martin Nusseler as CTO, the airframer says the “technical mission” for the aircraft is driven by a “clear commitment for more sustainable aviation” versus “today’s standard technologies”.

Nusseler was at Airbus for 17 years, with the last five spent leading the manufacturer’s alter native propulsion systems and technologies unit.

DRA says the D328eco will deliver “significant improvements in operational and maintenance costs, as well as substantial reductions in [its] overall carbon footprint.”

As part of the PDR process, DRA is examining the “trades and maturity” of new systems and materials ahead of firming up its supplier list. Service entry is set for 2024.

A final assembly facility for the D328eco will be constructed at Leipzig Halle airport, while de sign and engineering activities are taking place in Oberpfaffenhofen near Munich.

The original Dornier 328 could carry up to 33 passengers and was available in both jet- and turboprop-powered variants. ■

INCIDENT DAVID KAMINSKI-MORROW LONDON Mis-set altitude led Neos 737 to fly low

Rushed go-around at Bristol triggered series of errors causing narrowbody’s descent to just 457ft above the ground

Investigators have found that a

Neos Boeing 737-800 continued to descend, unnoticed by the crew, during an aborted landing at Bristol, after a rushed approach meant the go-around altitude was not correctly set.

It dipped below 460ft as it trav elled over runway 27, with its landing-gear retracted, before the pilots realised the situation and climbed away.

The aircraft – arriving from Verona on 1 June last year – had been vectored to a shortened arrival route by approach controllers, which left it above 10,000ft with less than 25nm (46km) to touchdown.

With the aircraft high and fast on the approach the crew was unable to switch the autopilot to vertical navigation mode.

The pilots instead reverted to “level change” mode, which carries out an idle-thrust descent to the altitude selected on the modecontrol panel – this was set to the approach minima of 1,000ft at the time.

As a result of the shortened approach, the aircraft’s descent was rushed and became unstable. It sank some 250ft below the designated flightpath, travelling with excessive airspeed, and the tower controller instructed the crew to

Insect World/Shutterstock Twinjet overflew runway with landing gear up before crew reacted

execute a go-around. The UK Air Accidents Investigation Branch says the 737 was at 1,070ft – about 675ft above ground – and flying at 151kt (280km/h).

“The crew found themselves performing a go-around unexpectedly but did not know why they had been required to do so,” it adds.

Take-off thrust was engaged and the aircraft began to climb. But the altitude setting in the mode-control panel remained at 1,000ft because the crew had omitted to select the go-around altitude of 3,000ft.

Although the 737 initially climbed to just over 1,300ft, the flying pilot manually followed the flight director, which attempted to guide the aircraft to level off at 1,000ft.

As the jet acquired this altitude, the autothrottle mode changed from “go-around” to a mode that maintains the air craft’s speed, resulting in the thrust levers being back-driven to a lower power setting and causing the landing gear warning horn to sound.

The crew then adjusted the mode-control panel to set the correct go-around altitude of 3,000ft.

But while this stopped the aircraft trying to level at 1,000ft it also caused a switch to “vertical speed” mode. The vertical speed set in the mode-control panel at the time was a descent rate of 300ft/min (1.5m/s), and the jet started to lose height as the pilot continued to follow the flight director.

BULLETIN DAVID KAMINSKI-MORROW LONDON Hong Kong warns 787 operators on ILS incidents

“Neither crew member noticed for a significant period that the aircraft was descending during the manoeuvre,” says the inquiry.

It points out that the gearwarning horn was still active, owing to the low thrust and flap settings, and was followed by a “too low, gear” warning from the ground-proximity warning sys tem. The jet was descending for 32s, says the inquiry, reaching a minimum of 457ft above ground after passing almost the entire length of the runway.

“The crew then realised that the aircraft was not climbing as expected and adjusted the attitude of the aircraft to begin a climb,” it states, adding that the tower controller almost simultaneously issued an order to climb to 3,000ft.

After climbing away the aircraft (I-NEOT) subsequently levelled at 3,000ft and was vectored to another approach, following which it landed without further incident. ■

Authorities in Hong Kong have warned Boeing 787 operators of possible adverse autopilot behaviour during localiser capture at the city’s international airport, after the latest in a string of incidents involving the type.

A newly issued NOTAM instructs carriers to check a Boeing flightcrew operations bulletin referring to “anomalies” in localiser capture and possible misbehaviour by the autopilot flight-director system, particularly during instrument landing system (ILS) approaches to runways 25R and 25L.

It says the issue can lead to “proximity to high ground”, adding that – if in doubt – crews should climb back to minimum sector altitude and conduct a missed approach.

The NOTAM follows an incident on 21 April involving an Air Canada 787-9 (C-FNOH), arriving from Vancouver, which had been cleared for an ILS approach to 25L.

The Transportation Safety Board of Canada says the crew contacted air traffic control after reaching the waypoint LOTUS, located about 15nm (28km) from the threshold, and reported being established on the ILS.

After controllers advised the crew to switch to the Hong Kong tower frequency, they observed the aircraft “overshooting the localiser” of 25L and descending to 3,900ft – below the minimum sec tor altitude of 4,300ft. Controllers contacted the crew to warn of terrain and the pilots corrected the flightpath to re- intercept the ILS.

Boeing has been working to resolve the issue, which has affected several 787 flights into Hong Kong including four between July and October last year involving aircraft operated by Etihad Airways, Ethiopian Airlines and Virgin Atlantic. ■

ORDER CRAIG HOYLE LONDON Saab delivers for UAE with first GlobalEye transfer

The United Arab Emirates’ first of potentially five GlobalEye swing-role surveillance aircraft touched down in Abu Dhabi on 29 April, following a delivery flight from Linkoping, Sweden.

The second of three contracted GlobalEyes so far prepared for the UAE, and first flown in January 2019, the asset had been used primarily for system-level testing, including of its data links, and command and control trials in support of the develop ment activity.

Acceptance testing will be conducted by UAE air force personnel, with this process supported by Saab’s in-country team. It has already delivered training for pilots and groundsystem operators.

A schedule for subsequent deliveries has not been disclosed, but Saab chief executive Micael Johansson notes that the compa ny has a “rather tight schedule”.

Once operational, the GlobalEyes will provide the UAE with the capability to simultaneously perform surveillance of airborne, land and maritime threats, using Saab Erieye ER airborne early warning and Leonardo Seaspray 7500E maritime search radars.

Saab launched the Bombardier Global 6000 long-range business jet-based GlobalEye with a two-aircraft order at the Dubai air show in November 2015. The UAE subsequently signed for a third unit, before Saab last November announced that it was in negotiations to de liver a further two.

Johansson says discussions are continuing with the UAE over the follow-on deal, which the company has previously valued at around $1 billion.

Saab Adapted Global 6000 offers airborne, land and maritime surveillance

“We are still in negotiations, according to the plan,” he says, adding: “I look forward to concluding that [process] as quickly as possible.”

While Bombardier has progressed production to the Global 6500 airframe, Johansson says Saab has options to acquire two more green examples in the 6000 standard to meet UAE require ments. He adds that Saab is confident of securing further orders for GlobalEye, with Finland, South Korea and Sweden viewed as po tential future users.

PROGRAMME GARRETT REIM LOS ANGELES C-390’s prospects hit by Boeing action

He describes adapting the system for the Global 6500 as “not a major effort”, but rather “an incremental work package”. ■

Airframer’s withdrawal from joint-venture agreement with Embraer hits international sales outlook for transport/tanker

Boeing’s departure from a jointventure agreement to promote the C-390 Millennium twinjet will make it more challenging for Embraer to secure further international sales for the medium transport.

On 25 April, Boeing announced that it had withdrawn from a pact that would have seen it take an 80% stake in Embraer’s commercial business. It also had intended to separately take a 49% interest in a joint venture to sell and market the C-390.

Boeing has not revealed how much cash will be freed up by walking away from the Boeing Embraer – Defense joint venture.

Brazilian air force

Signalling their deepening relationship ahead of securing final regulatory approval for the tie-up, the companies at last November’s Dubai air show rebranded the former KC-390 transport/tanker as the C-390. This was intended to emphasise the type's primary mission as an airlift asset.

Developed for the Brazilian air force – which has taken delivery of its first two of an eventual 28 examples – the type is powered by International Aero Engines V2500 turbofans.

Embraer’s lone export success to date has come from Portugal, which last year confirmed an order for five, to replace its aged Lockheed Martin C-130Hs. Past interest totalling a further 27 aircraft has been recorded from Argentina, Chile, Colombia and the Czech Republic, while com mercial operator SkyTech in 2018 signed a letter of intent for up to six.

Despite its transport/tanker ca pability and 26t cargo capacity, Embraer has struggled to conclude further sales. Rivals include the C-130J and Airbus Defence & Space’s larger A400M, along with smaller types such as the Airbus C295 and Leonardo C-27J.

Forming a joint venture with Boeing opened up the possibility that Embraer could establish a C-390 production line in the USA and pursue sales to nation’s military, as well as international customers via Washington’s Foreign Military Sales security assistance programme.

Despite its withdrawal from the formal joint venture on defence, Boeing says it plans to continue a master teaming agreement, signed in 2012, to jointly market and support the C-390. ■

PROPULSION GARRETT REIM LOS ANGELES Draft request advances B-52 re-engining plans

The US Air Force (USAF) has released a draft request for proposals to replace the engines on its aged Boeing B-52H bombers, bringing a procurement one step closer to launch.

According to its 23 April out line, the service plans to buy 608 commercial engines, along with further spares and support equipment, which will enable it to continue operating the veteran fleet until at least 2050.

The USAF plans to award a contract in May 2021, with engine deliveries to occur over a 17-year period.

Pratt & Whitney TF33 engines, based on the commercial JT3D, have powered the air force’s current B-52s since their introduction from the early 1960s. Now, the service wants to acquire a military derivative of another commercial powerplant for the re-engining effort.

GE Aviation plans to offer two candidates: the CF34-10, which powers commercial aircraft like Bombardier and Embraer regional jets, and its Passport turbofan, which equips Bombardier’s Global 7500 ultra-long-range business jet.

Pratt & Whitney is promoting its PW800, used on Gulfstream G500 and G600 business jets,

USAF wants to cut emissions, fuel consumption, noise and operating costs

while Rolls-Royce intends to pitch its F130 military derivative of the BR700, powering types including other Gulfstream models.

The USAF wants a replacement engine that has a similar size, thrust rating and weight as the eight TF33s used currently on the B-52H, each generating 17,000lbthrust (75.7kN). It is, however, seeking a modern turbofan with a higher bypass ratio and digital engine controls, offering reductions in emissions, fuel consumption, noise and operating costs.

SENSORS CRAIG HOYLE LONDON Saab AESA scans past Gripen C/D users

The B-52H has an unrefuelled range of 7,650nm (14,200km). Depending on the replacement powerplant selected, it is thought that this could be increased by 20-40%.

Cirium fleets data shows that the USAF has a current active inventory of 76 B-52Hs. ■

New antenna offered as PS-05/A radar upgrade also suitable for other fighters, plus ground surveillance adaptation

Saab has begun promoting an active electronically scanned array (AESA) antenna for its PS-05/A fighter radar, offering it as an upgrade option for opera tors of its Gripen C/D, and other legacy types.

During a roughly 90min debut flight on board a Gripen D test aircraft conducted from the Swedish company’s Linkoping site on 8 April, the AESA sensor “collected data while detecting and tracking objects”, Saab says.

Anders Carp, head of the com pany’s aeronautics business area, describes these as having been “targets of opportunity”, such as general aviation aircraft, due to a lack of commercial airliner activ ity during the coronavirus crisis.

“We had a very successful first flight, both in terms of capability and stability,” Carp says.

Future tests will be expanded to incorporate “fighter targets”, he notes. In all, around 15 flights are planned over a period of three to four months.

Saab Product was integrated with test aircraft before first flight on 8 April

Integration of the AESA antenna – which features more than 500 gallium nitride transmit/receive modules – required no alteration to the Gripen’s power or cooling provision, Carp says. “We’re just changing the array itself, and using exactly the same back end as the [PS-05/A] Mk4” with some software updates, he notes.

“We have the possibility now to get the full radar range to use [MBDA’s] Meteor or similar [airto-air] missiles,” Carp notes of the enhancement.

The availability of an ITARfree AESA radar offers a potential upgrade path for existing Gripen C/D operators, which in addition to the Swedish air force include the Czech Republic, Hungary, South Africa and Thailand.

The new array will also be offered with Saab’s proposed Gripen Aggressor platform for adversary training services.

“The Gripen is a fairly small aircraft, which makes the size of the radar suitable for many other platforms,” Carp notes. This could include advanced jet train ers and unmanned air vehicles, he suggests.

The X-band system’s underlying technology could also be scaled up to approach an “Erieyesize” sensor for airborne ground surveillance tasks, he indicates.

Saab has already delivered an array almost identical to the design flown in the Gripen to an undisclosed US military custom er. The company last October announced its receipt of that contract, but will not disclose the operator or platform type.

“If there’s a customer that wants it now we’re ready to start production – we’re more or less ready to take orders,” Carp says.

Saab’s AESA product will not compete with the Leonardo Raven ES-05 radar installed on the Gripen Es in production for Sweden and launch export buyer Brazil. ■

PROGRAMME GARRETT REIM LOS ANGELES Block II Super Hornet output complete

US Navy takes last of 608 F/A-18E/Fs from production run begun in 2005, with delivery of next update due imminently

Boeing has delivered its last

Block II production-standard F/A-18E/F Super Hornet to the US Navy (USN), with the milestone combat aircraft handed over to the service on 17 April.

“Aircraft E322 will leave Boeing’s production line and head straight to Strike Fighter Squadron 34, based in [NAS] Oceana [Virginia],” says USN Commander Tyler Tennille, from the Defense Contract Manage ment Agency, who supervises F/A-18 acceptance testing.

In total, the USN received 322 single-seat F/A-18Es and 286 twin-seat F/A-18Fs via the Block II Super Hornet programme, which commenced in 2005. Each fuselage was built at Northrop Grumman’s facilities in El Segundo, California, with

US Navy Carrier-based jet is heading towards a fresh round of enhancements

final assembly performed at Boeing’s St. Louis site in Missouri.

Enhancements introduced over the Block I Super Hornet which entered production in 1997 included larger cockpit displays, upgraded sensors and avionics, including an active electronically scanned array radar, and increased range.

Boeing is now working on an updated Block III variant, with the navy expecting to take delivery of its first pair for test purposes. The assets will perform this work at NAS Patuxent River in Maryland and at the Naval Air Weapons System facility in China Lake, California, from “late spring 2020”, the USN says.

UNMANNED SYSTEMS GARRETT REIM LOS ANGELES Quantix tail-sitter farmed out for mapping duty

The navy plans to buy 72 Block III Super Hornets up to fiscal year 2021.

With a faster mission computer and more robust communications system, the fighter could be employed to control and direct socalled loyal wingman unmanned air vehicles. Other features include conformal fuel tanks that boost internal capacity by 1,590kg (3,500lb) and a 10,000h operating life for the airframe.

Boeing is also promoting the Block III Super Hornet to potential export customers including Finland and Germany. ■

AeroVironment has formally launched a military variant of its Quantix unmanned air vehicle (UAV), an asset ordinarily used for agricultural surveying tasks.

The tail-sitting, vertical take-off and landing Quantix Recon UAV requires “little to no training” to operate, says the company.

As an agricultural device, the baseline Quantix vehicle was de veloped to automatically survey land to reveal early signs of crop stress or water issues, and to help farmers when estimating yields.

Designed for reconnaissance tasks, the Quantix Recon will follow automated flightpaths using GPS navigation, and employ two 18-megapixel cameras, says AeroVironment. The UAV could provide surveillance over a 160ha (395 acre) area, or cover 10.8nm (20km) linearly beneath its flightpath, it adds.

While AeroVironment already offers the hand-launched Puma and Raven UAVs, it says the new product has a different purpose.

“Quantix Recon addresses high-resolution mapping and image collection in both fullcolour and multispectral bands, whereas our other Group 1 [UAVs] are designed to deliver real-time, full-motion video,” it says. “This high-resolution mapping requires flight controls and image processing that are tailored to this distinct mission, creating consistent imagery that is georectified in near real-time on board the aircraft.”

A ruggedised Android touchscreen tablet is used to control the UAV and view imagery, with its flightpath and surveillance area set using waypoints or geofencing.

Weighing 2.2kg (5lb) and with a 45min flight endurance, the

Recon model weighs just 2.2kg

UAV can be flown at up to 800ft. Its manufacturer says the type is nearly inaudible once 360ft above the ground. ■

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