Thursday, October 18th, 2018



GKN Aerospace officially opens state of the art aero-engine repair facility in Malaysia

GKN Aerospace has officially opened its repair and research facility for aero-engine systems in Johor, Malaysia. GKN Aerospace Malaysia reached this significant milestone on Thursday October 4. GKN Aerospace Engine Systems Leadership came together with Federal and State Government officials from Malaysia, as well as investment partners and customers, to recognize GKN Aerospace’s establishment in the region and the importance of growing the Aerospace market in Southern Malaysia.

At the Farnborough Air Show in July of this year, GKN Aerospace announced the establishment of the aero-engine repair site, and the creation of 150 jobs growing to 300 within two years. A team of 15 people has been built to date. GKN Aerospace has invested US$30 million in the site and in its state of the art equipment and technologies. The expansion to Asia is an important part of GKN Aerospace’s long-term growth strategy and global operating model.

The site will initially focus on servicing engine low pressure compressor (LPC) components for CFM56-5B, CFM56-7 and V2500 and will be operational in 2019. Research will be centered around the application of additive manufacturing technology into engine parts repair. The facility will complement GKN Aerospace’s existing component repair facility in San Diego, CA to meet growing demand in the Asia Pacific region, with investments targeting the growth in the single aisle market expected in the region.

The support of the Malaysian Government and the Malaysian Investment Development Authority (MIDA) was essential in identifying the location for a suitable and competitive site and customers were closely involved and supportive from the start.

GKN Aerospace already operates six facilities in Asia, delivering wiring systems, transparencies and services in China, India, Singapore, Thailand and Turkey. With this latest expansion, GKN Aerospace’s industry-leading engine systems business will have its first site in the Asian-Pacific region, which is a key growth market for the future.


SR Technics Spain SA and Honeywell sign channel partner agreement

SR Technics, a world leading MRO service provider, has released that its Spanish subsidiary has signed a channel partner agreement for wheels and brakes with Honeywell International. The new agreement, which is in effect until 2023, builds on over twenty years of collaboration between the two companies.

The channel partnership, which took effect on August 1, 2018, will allow SR Technics to offer competitive lead times and pricing on all Wheels & Brakes Honeywell products. SR Technics will also obtain full access to the Honeywell component maintenance manuals and other key IP documentation under the deal.

By forming agreements with channel partners, Honeywell is enabled to ensure seamless quality services of their brand products. Therefore, becoming a channel partner to one of the top three wheels and brakes Original Equipment Manufacturers gives SR Technics a competitive edge, benefiting the MRO’s existing customer base and increasing its appeal for other carriers in the region.

AJW Group names Frank Boni Vice President of MRO Sales

AJW Group has appointed Frank Boni as Vice President of MRO Sales.

Boni, who joins AJW on November 1, 2018, has over 25 years’ experience in the aviation industry with substantial expertise in MRO services, sales and operations.

Boni will be responsible for sales of the company’s MRO services worldwide for the Group. He will also work closely with AJW’s leadership, commercial, technical and business improvement teams to develop the maintenance and repair capabilities of AJW Technique, its state-of-the-art MRO facility in Montreal.

Bristol Associates

Seabury Capital assists in launching Zephyrus Aviation Capital

Seabury Capital Group announced its role as sole investment banking advisor on the successful acquisition of a leased portfolio of 21 aircraft by Zephyrus Aviation Capital (Zephyrus).

Zephyrus is a fleet management solutions provider to lessors and commercial airlines focused on mid- to end-of-life aircraft and related engine leasing and trading. Seabury Capital leveraged its extensive industry relationships to identify the opportunity and then arranged for Zephyrus’ best-in-class management team and equity sponsor to acquire the inaugural aircraft portfolio from Dublin-based Avolon. Zephyrus is capitalized by Virgo Investment Group (Virgo) as majority equity sponsor, with Seabury Capital retaining a minority stake.

Zephyrus is led by a highly-experienced team of former CIT Aerospace executives. Tony Diaz, former President of CIT Aerospace, and Damon D’Agostino, former Chief Commercial Officer of CIT Aerospace, are the company’s non-executive Chairman and President & CEO, respectively. In addition, Robert Meade, CIT’s former Head of Marketing, is Chief Commercial Officer, and Richard Genge, CIT’s former Assistant Vice President – Marketing & Asset Sales, is Vice President.

Boeing forecasts Air Cargo traffic will double in 20 years

Boeing projects air cargo operators will need more than 2,600 freighters over the next two decades to keep up with increasing global freight traffic, which is expected to double with 4.2% growth annually.

The 980 new medium and large freighters and 1,670 converted freighters will go toward replacing older airplanes and growing the global fleet to meet demand, according to the new World Air Cargo Forecast, released by Boeing on October 17, at The International Air Cargo Association's Air Cargo Forum and Exhibition.

"The air cargo market continues to be a major element of commercial aviation's growth story," said Darren Hulst, managing director of Market Analysis & Sales Support at Boeing Commercial Airplanes. "Our new forecast indicates strong long-term air cargo trends, which coincide with the market recovery that we have seen over the last few years across Europe, North America, and Asia."

Some of the factors driving the growth in air cargo include a growing express market in China and the global rise of e-commerce, which is forecast to increase 20% annually to nearly US$5 trillion in 2021 according to Boeing's analysis.

To meet growing market needs, Boeing also forecasts that the world freighter fleet will expand by more than 70%, from the current total of 1,870 to 3,260 airplanes. Boeing projects new production freighter deliveries valued at US$280 billion. Demand for regional express services in fast-developing economies will boost the standard-body share of the freighter fleet from 37% today to 39%. 1,170 standard body and 500 medium wide-body passenger airplanes will be converted into freighters over the next two decades. Dedicated freighters, which provide unique capability that passenger belly-cargo cannot match, will continue to carry more than 50% of the world's air cargo demand. The majority will be in the large widebody freighter category, such as the 747-8 Freighter and 777 Freighters.


SkyWorks posts third quarter 2018 activities

SkyWorks Holdings has reported transactions and activities performed during the third quarter of 2018. Asset Management Services, provided through SkyWorks Leasing, included the following transactions:
On behalf of Air Canada, SkyWorks arranged the sale of 25 E190 aircraft to Beautech Power Systems. Air Canada is gradually phasing out the type and the aircraft were leased back on short-term leases. The first aircraft were redelivered in September 2018 and the last will be retired in June 2020.
SkyWorks is currently offering two 2006 vintage A330-300 (RR), available for sale or lease in November 2018.

Investment Banking and Management Consulting Services, provided through SkyWorks Capital, included the following:
SkyWorks was engaged by a North American low-cost carrier to source eight new 737 MAX 8 aircraft, to be delivered in 2019.
SkyWorks was engaged by a North American low-cost carrier to arrange a revolving credit facility secured by PDP payments.
SkyWorks continued to provide fleet-related advisory services to a European flag carrier.
SkyWorks continued to provide fleet- and network-related advisory services to Fiji Airways, including long-term market growth analysis and schedule-driven operational cost reduction and aircraft acquisition advisory services.

Revima unveils new brand identity and broader service offering

Revima, a leading independent MRO (Maintenance, Repair & Overhaul) solutions provider, has unveiled its new brand identity and broader service offering in answer to its customers’ expectations. Furthermore, Revima has announced strengthening its international footprint.
Over the last 60 years, Revima has built a solid MRO expertise, and is now one of the world leaders in its sector thanks to on-time delivery and dedicated customer support. Today, Revima supports aircraft operators, lessors, and repair stations worldwide, positioning the company as one of the most experienced MROs in the world, with extensive understanding of airline expectations, best in class value and services.

The choice of adopting the brand Revima for its entire service-offering, accompanied by a new visual identity went hand in hand with a strategic process on branding. Revima, recognized internationally for its unique capabilities in APUs and Landing Gears, will be the brand of choice. The dynamic colors chosen for the new visual identity comprise a deep blue representing reliability and know-how, as well as a vibrant orange, representing warmth and friendliness, with an objective to underscore the group’s vision.

In this respect, the new visual identity is backed by the baseline "Service is our passion", bringing more dynamism and customer proximity. By using the term "passion", Revima's new baseline is designed to highlight its employees. It illustrates the values of the company: commitment, team spirit, keeping it simple and well-being.

With committed and passionate employees across locations in France, Asia, North America and the Middle East, Revima boasts over 60 years of MRO expertise. Designed to strengthen the competitiveness of operators at the highest possible level, Revima’s service offering is also backed by unmatched availability and reliability of its services. Revima will also be opening in 2020 a landing gear overhaul shop in Thailand, thus increasing its service capacity and client proximity in this key region of the world.

Heico General Banner

German HEMS operator DRF Luftrettung to expand H145 fleet

At Helitech, Airbus Helicopters and DRF Luftrettung have signed a contract for the delivery of three H145s in 2019. This will bring the H145 fleet of the German Helicopter Emergency Medical Services (HEMS) operator to 17, making them one of the biggest H145 operators worldwide.

DRF Luftrettung is one of the biggest HEMS operators in Germany. The organisation operates more than 50 Airbus helicopters at 31 bases throughout Germany and Austria for emergency rescue and intensive care transports including rescue winch operations. By starting night time missions more than 20 years ago and operating nine 24/7 sites (2019: ten), the DRF Luftrettung has the broadest experience in HEMS night operations throughout Europe.

In addition, the ambulance jet aircraft of DRF Luftrettung repatriate people who have experienced an accident or have fallen seriously ill while abroad quickly and safely back to a hospital in their respective home countries. DRF Luftrettung was launch customer of the H145 in 2014, having to date 14 H145s in operation

WestJet signs TTS contract with Lufthansa Technik

Canadian airline WestJet has signed a comprehensive Total Technical Support (TTS®) contract with Lufthansa Technik AG for the technical support of its future Boeing 787 fleet. WestJet also becomes the first customer for Lufthansa Technik's digital platform AVIATAR in the Americas. The agreement includes integrated component supply, aircraft production inspections and line maintenance. The airline has ordered ten Boeing 787-9 Dreamliners and has options for another ten jets, with the first aircraft to be delivered to WestJet at the beginning of 2019.

Lufthansa Technik will ensure the global and fast supply of components to WestJet's 787 fleet as part of a Total Component Support (TCS®). The contract covers the global availability of 787 components. In addition to a spare parts pooling concept, Lufthansa Technik will also stock inventories at the airline's bases in Calgary and Toronto.

Furthermore, Lufthansa Technik will support WestJet's Dreamliners with line maintenance services at up to ten stations worldwide and support the airline with engineering services such as maintenance planning and troubleshooting. Lufthansa Technik's proprietary Cyclean® system will be used for regular engine washes. Lufthansa Technik experts will also be monitoring and assuring the production quality of the airline's new 787s at the manufacturer's assembly site within the framework of an Aircraft Production Inspection Program (APIP).


Universal Avionics & Heli-One complete transition to Hover certification testing

Universal Avionics (UA) has announced completion of certification testing with Authorized Dealer, Heli-One, for the company's Flight Management System (FMS) Transition to Hover feature. Testing occurred in Stavanger, Norway with a law enforcement AS332L/L1 Super Puma helicopter modernization program. Certification is now imminent.

The new UA FMS feature allows a hands-free operation for the crew, allowing them to focus on other mission critical tactics. The pilot-friendly interface provides for an automatic approach based on a pilot Mark-on-Target activation. When activated, the FMS computes and provides coupled guidance downwind, performs an automatic course reversal, and communicates with the CDV-155 AFCS to trigger the descent and deceleration to achieve a hover 100 meters downwind of the target. At that point, the helicopter enters an automatic hover at the pilot-selected altitude.

Airstream arranges ATR72-202F aircraft sale

Airstream International Group has arranged the sale of an ATR72-202F on behalf of ASL Airlines.

The aircraft, serial number 183, was sold to Fleet Air of Hungary to be their first variant of the type. This is the 33rd ATR aircraft Airstream has successfully sold or leased in recent years.

GA Telesis

United Airlines posts 3rd-quarter net income of US$836 million

United Airlines released its third-quarter 2018 financial results, reporting third-quarter net income of US$836 million, pre-tax earnings of US$1.1 billion and pre-tax margin of 9.6%.

Consolidated passenger revenue per available seat mile (PRASM) increased 6.1% year-over-year, above the high end of the company's third-quarter 2018 guidance range of up 4% to 6%. Consolidated unit cost per available seat mile (CASM) increased 6.4% year-over-year. Consolidated CASM, excluding special charges, third-party business expenses, fuel and profit sharing, decreased 0.4 percent year-over-year. UAL's mid-continent hubs in Chicago, Denver and Houston had year-over-year capacity growth of 9.7% in the third quarter and led the system in unit revenue growth performance in the quarter.

UAL now expects full-year 2018 adjusted diluted earnings per share to be US$8.00 to US$8.75. The company currently expects to recapture approximately 90% of the estimated US$2.5 billion year-over year increase in full-year 2018 fuel expense.


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MRO Europe
October 16 - 18, 2018 – Amsterdam

Aircraft Economic Life Summit 2018
November 20, 2018 – Gibson Hotel, Dublin, Ireland
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