24 JUN 2009 _______________________________________ *Fla. charter jet exec pleads to improper flights *Boeing again delays initial 787 test flight *ANA Shares Little Moved By Boeing Dreamliner Delay *Military: Pilot dies in F-16 crash in Utah desert *Woman cited in airplane incident *Disruptive Passenger Taken Into Custody *Lufthansa wins EU approval to buy Brussels Airlines *FAA proposes $20 million fan spinner directive *Polar names new chief operating officer *Lufthansa to set up large Moscow pilot-training centre *************************************** Fla. charter jet exec pleads to improper flights NEWARK, N.J. (AP) - The co-founder of a Florida-based charter jet company that operated a plane that crashed on takeoff at Teterboro Airport in 2005 has admitted that the company flew for a year without proper certification. Andre Budhan of Fort Lauderdale, Fla., pleaded guilty Monday to conspiracy to defraud charter customers and obstruct the Federal Aviation Administration. He admitted that Fort Lauderdale-based Platinum Jet Management booked and flew roughly 100 uncertified flights in 2002 and 2003. He is one of six defendants in the case, which resulted from the investigation of the Teterboro crash. The others have entered not guilty pleas. Budhan faces a prison sentence of 46 to 57 months. No one was killed in the 2005 crash, but 11 people on the plane and several on the ground were injured. ***************** Boeing again delays initial 787 test flight Boeing Co. has again delayed the first test flight of its long-awaited 787 jetliner in the latest setback for an aircraft that has bolstered the company's order book and redefined the way it builds planes. The Chicago-based aerospace giant said Tuesday it needs to reinforce small areas of the plane before conducting the test flight, which Boeing had insisted would occur before July. Boeing said a revised schedule for the flight, as well as first deliveries to customers, will not be announced for several weeks. Shares of Boeing tumbled $4.09, or 8.7 percent, to $42.81 in midday trading. The announcement comes as Boeing, the world's second-largest commercial airplane maker, and European archrival Airbus SA grapple with slumping orders for their jets as the recession dampens demand for air travel and cargo services. Tight credit markets also have muted orders for new planes. The test flight of the 787, a next-generation aircraft built for fuel efficiency with lightweight carbon composite parts, originally was planned for late 2007. But Boeing postponed it repeatedly because of production glitches and a strike that forced the company to shut down its commercial aircraft factories for eight weeks last fall. Deliveries of the long-range widebody, meanwhile, have been delayed four times already. Customers had expected to get the first of the new jets in the first quarter of 2010 - nearly two years behind schedule. The delays have cost Boeing credibility and billions of dollars in anticipated expenses and penalties. Boeing said it discovered an area in the side-of-body section of the aircraft that needs to be reinforced during recent tests on the first of the airplanes. Scott Fancher, Boeing's 787 program manager, said 18 areas measuring about 1 to 2 square inches near the place where each wing meets the fuselage need to be reinforced, for a total of 36 areas that need reinforcement. "We are already moving toward a solution," he said in a conference call. During a test late last month that involved bending the 787's wings, workers discovered greater-than-expected stress in the plane's side-of-body structure, according to Pat Shanahan, vice president and general manager of airplane programs for Boeing's commercial airplane division. Preliminary analysis indicated Boeing could go ahead with the test flight, but "after further testing and analysis, which we finished late last week, our team concluded that a productive flight test program could not take place without structural reinforcement in limited areas," he said. "This is a structural reinforcement issue, not an issue of materials or workmanship," Shanahan said. "Composites are the right choice for airplane structure." He added: "We will correct this situation and do so with both care and urgency." The 787 is the first commercial jet made mostly of light, sturdy carbon-fiber composites instead of aluminum. Large parts of the plane, such as the fuselage sections and wings, are made in a number of factories around the world and flown in a huge modified 747 to Boeing's widebody plant in the Seattle area, where they are essentially snapped together. The 787 production team will continue testing the airplane, performing tests such as low-speed taxiing, Boeing said. Work also will continue on five other test planes and other 787s in the production system, it said. The 787 is Boeing's first new aircraft since the 777, which was introduced more than a decade ago. Boeing said its financial guidance will be updated to reflect any impact from the changes when the company issues its second quarter 2009 earnings report in July. Paul Nisbet, an analyst at JSA Research, said the announcement was "not good news," and that Boeing had said in recent days at the Paris Air Show that the plane was ready to fly. "I don't think it means much overall, but it certainly is a disappointment short-term," he said. http://seattletimes.nwsource.com/html/localnews/2009373039_apusboeing7873rdl dwritethru.html **************** ANA Shares Little Moved By Boeing Dreamliner Delay TOKYO (Dow Jones)--Resigned to recurring delays in Boeing's (BA) 787 Dreamliner jet program, investors in launch customer All Nippon Airways (9202.TO) brushed off new delays announced late Tuesday, leaving shares practically unmoved in Tokyo Wednesday. At 0423 GMT, ANA shares were trading down 0.3% at Y345 on the Tokyo Stock Exchange. Investors shrugged off the news as "investors are no longer surprised by this, after so many delays already," SMBC Friend Research Center analyst Mitsuru Miyazaki said. Some investors also want to see concrete signs of how the delays will affect ANA's earnings, traders said. Boeing decided to postpone the first flight of its next-generation aircraft, scheduled to occur by the end of this month, because of structural problems that could hamper maneuverability in the air. This is the fifth time Boeing has delayed the program because of hitches in the plane's design or production. "We are disappointed that the first flight of the 787 will be postponed, and urge Boeing to specify the schedule for the program as a whole as quickly as possible," ANA said in a statement. The latest delay deals a blow to airline companies such as ANA and its local rival Japan Airlines Corp. (9205.TO), which aim to introduce more fuel-efficient aircraft into their fleets. The Dreamliner is 20% more fuel efficient than current equivalents. Such cost-reduction efforts are crucial as both airlines suffered losses in the last fiscal year on declining demand for travel. Rebounding oil prices are also emerging as another concern. ANA, which has ordered 50 Dreamliners, was initially supposed to receive the first of its new aircraft in May 2008, and would have been among the first global airlines to take delivery of the new jet. The Japanese company doesn't know yet how long the latest delay will be, an ANA spokeswoman said. The Japanese carrier will continue talks with the U.S. aircraft maker on compensation for the delays, including the latest one, the spokeswoman said, adding that the company will probably seek to reduce the purchase price of the new jet. The carrier will continue to use its 767 jets to make up for the delay, but it's still too early to assess the financial damage, the spokeswoman said. A JAL spokesman said there is no change in their 35 orders for the new Boeing aircraft, with an option to buy 20 additional airplanes, and doesn't know yet how long they have to wait because of the latest delay. The company had expected to receive its first jet in May 2010. ***************** Military: Pilot dies in F-16 crash in Utah desert Aircraft crashed Monday night while on a training mission TOOELE, Utah - Military officials say a pilot has died in an F-16 crash at the Utah Test and Training Range in the state's west desert. Rhonda Elmore, of the 75th Air Base Wing public affairs office at Hill Air Force Base, says she had no information about where the pilot's body was found Tuesday. The pilot's name was not immediately released. The aircraft crashed Monday night while on a training mission. It was assigned to Hill Air Force Base's 388th Fighter Wing. The cause of the crash is not known. Elmore says the F-16 was destroyed on impact. The crash site is about 35 miles south of Wendover near the Utah-Nevada state line. http://www.msnbc.msn.com/id/31510362/ns/us_news-military/ **************** Woman cited in airplane incident Witnesses say city paralegal pushed, yelled A paralegal for the city of Spokane, accused of a drunken altercation on an airplane, claimed to be a city prosecutor who worked for the Police Department when flight attendants and airport police tried to calm her, according to police. Sherilee "Leesa" M. Van Zandt, 37, was cited for fourth-degree assault June 6 after crews on a late-night flight from Seattle to Spokane said she yelled and pushed a flight attendant during the flight, according to a report by Spokane Airport Police. The case is being prosecuted in Spokane County District Court. Van Zandt has been an attorney assistant for the city of Spokane since August, making $45,000 a year. She'll continue her job helping with civil cases as the criminal case proceeds, said City Attorney Howard Delaney. "It's really unrelated to her job and it was off duty, so I'm not really doing anything at this point until we see how it turns out," Delaney said. Van Zandt was handcuffed by airport police following reports of a drunken, profanity-laced tirade that ended with her allegedly pushing a flight attendant as she tried to leave an Alaska Airlines airplane that had landed at Spokane International Airport, police reports said. "She kept reminding us that she was an attorney and that she fought for us on a daily basis," according to a report written by airport police Officer Clay Creek. Reached by phone Monday, Van Zandt declined comment. She told airport police that she had traveled to Alaska because her brother died and that flight officials had changed her flight three times. She said she was upset at the way she had been treated. She also told police she'd had four beers, according to police records. Van Zandt also told police she was a prosecutor who worked for the Police Department and suggested flight crews targeted her "because she was an Alaskan Native American," according to an airport police report. A witness told airport police he'd seen Van Zandt, who was traveling with a small child, drinking on the flight from Alaska to Seattle, then continue drinking at an airport bar between flights, according to police records. Airline crews said she was acting unruly and appeared drunk prior to the flight, then she began yelling and ringing the call light button repeatedly during the flight, according to police records. http://www.spokesman.com/stories/2009/jun/23/woman-cited-in-airplane-inciden t/ **************** Disruptive Passenger Taken Into Custody A passenger on a flight arriving at Reagan National Airport last night was taken into custody in connection with a disruption aboard the plane, an airport spokeswoman said. The incident occurred as Northwest Airlines Flight 226 was arriving from Detroit about 8:30 p.m., authorities said. No injuries were reported, and there was no indication of any damage to the airplane, according to authorities. A man who was riding in the coach section of the airplane said that about the time the jetliner touched down at National, he heard a brief shout from the first-class area at the front of the plane. An announcement then came over the public-address system asking passengers to remain in their seats when the plane reached the terminal. Passengers were told that authorities would be boarding. After the plane reached the gate, four police officers entered the cabin and "yanked the guy" out of the first-class cabin, the witness said. Airport spokeswoman Courtney Mickalonis said a man was arrested after the flight crew asked for police to deal with a passenger. She said the nature of the disruption was not immediately clear last night. However, she said it appeared to involve statements made by the passenger. She said authorities were looking into whether alcohol played a role. Police were interviewing witnesses last night, and the man was to be taken before an Arlington County magistrate, she said. He was not identified. "A passenger was disruptive, and upon arrival he was arrested," said Carlos Santos, a corporate spokesman for Delta Airlines. Northwest is a subsidiary of Delta. Santos said he could provide few other details. Fellow passengers appeared curious but not disturbed by the incident, the witness said. "Nobody appeared too upset," he said. http://www.washingtonpost.com/wp-dyn/content/article/2009/06/23/AR2009062303 840.html *************** Lufthansa wins EU approval to buy Brussels Airlines BRUSSELS, June 22 (Xinhua) -- Germany's Lufthansa won approval on Monday from European Union (EU) antitrust regulators to buy its Belgian rival Brussels Airlines after offering certain remedies to alleviate antitrust concerns. "The comprehensive remedy package offered by Lufthansa will facilitate market entry on the affected routes and thereby create alternative choices for passengers," EU Competition Commissioner Neelie Kroes said in a statement. The European Commission, the EU's antitrust watchdog, opened an in-depth inquiry in January to further investigate the potential impact of the proposed transaction on passenger transport on a number of routes from Belgium to Germany, and Belgium to Switzerland. The in-depth investigation confirmed that the transaction, as originally notified, would have raised competition concerns on the routes from Brussels to Hamburg, Munich, Frankfurt and Zurich. To address these concerns, Lufthansa submitted a set of remedies, offering an efficient and timely slot allocation mechanism that would allow new entrants to operate flights on each of the four routes where the commission had concerns. In the light of the commitments, the commission concluded that the proposed transaction would not significantly impede effective competition in the EU. Lufthansa is a full-service air carrier with hubs at Frankfurt and Munich airports, and a base at Dusseldorf airport, while Brussels Airlines is active in the transport of both passengers and cargo mainly in Europe and to some destinations in Africa. Kroes said in the light of the current consolidation process in the European airline sector, the commission takes great care to safeguard the interests of consumers in having a competitive choice of airline services in Europe. ******************* FAA proposes $20 million fan spinner directive The US FAA is proposing that operators of 1,600 Rolls-Royce AE3007-powered aircraft replace the fan spinners on the turbofan engines at a total cost of approximately $21 million across the fleet. The proposed airworthiness directive (AD), to be published tomorrow, resulted from an incident in which the fan spinner released from an AE3007A turbofan engine in flight. The crew shut down the engine after noticing "noise and vibration" and performed an uneventful landing, says the FAA. The regulator did not provide details on the operator or when the event occurred. Investigators determined that the left engine's fan spinner popped off, causing damage to the engine's fan blades. Debris from the spinner penetrated the forward engine cowl in three locations and cut through the aircraft outer skin in two locations. At the time of the incident, the left engine had accumulated 11,682 operating hours and 8,535 cycles since new, indicating that the operator was likely an airline. The AE3007 engine is used on the Embraer ERJ regional jet line, including the ERJ145, as well as the Cessna Citation business jet. During spin pit testing in the aftermath of the incident, Rolls-Royce found a high stress concentration in a bolt arrangement holding the spinner to the engine, a condition the FAA says could "potentially develop" into low-cycle fatigue cracks, adding, "This condition, if not corrected, could result in the fan spinner releasing, which could result in injury, damage to the engine and damage to the airplane". The proposed fix, a replacement spinner, is expected to cost $12,943 per engine. That amount includes all the hardware but not the expected 1h labour cost to perform the change. Fleet wide, the cost would be nearly $21 million, according to FAA estimates. Operators would be required to install the new hardware at the next shop visit or within 1,500 additional cycles of the final issue date of the AD. Source: Air Transport Intelligence news ****************** Polar names new chief operating officer Polar Air Cargo today named DHL executive Thomas Murphy as its chief operating officer, succeeding Randy Clark. DHL holds an overall 49% stake in Polar, and a 25% voting stake. The remaining 51% stake and 75% voting share in Polar is held by Atlas Air Worldwide. Murphy has previously served as Asia Pacific aviation vice president for the Singapore-based business of DHL Express. Source: Air Transport Intelligence news ***************** Lufthansa to set up large Moscow pilot-training centre German flag-carrier Lufthansa's flight-training division has firmed its plans to establish a cockpit crew training centre in Moscow, in co-operation with the operator of the Russian capital's Vnukovo Airport. The centre will include four simulators - the types have yet to be disclosed - but will have enough bays for 20. Lufthansa Flight Training, which laid out tentative plans for the centre last year, signed a joint-venture agreement for the project with the Moscow Vnukovo Airport operator today. The companies state that the centre, to be located at the airport, will be completed by the middle of next year. Lufthansa Flight Training says the centre is aimed at providing services to Russian carriers which are currently training pilots outside of the country. "A training centre located in Russia will make training considerably more cost-effective for most airlines and will help them to establish themselves much more quickly in the international airline market," it adds. Adequacy of pilot training in Russia, following the increasing influx of Western-built aircraft types, has become a high-profile subject - notably following the investigation into last September's Aeroflot-Nord Boeing 737-500 crash at Perm. Russian transport minister Igor Levitin recently raised concerns over the need for improved training, particularly as pilots transition between older Soviet types and more modern Boeing and Airbus jets. "Monitoring the quality of retraining is the responsibility of carriers," he said. "But this work, unfortunately, has not been given enough attention." Levitin and other Russian Government officials met with Boeing chief James McNerney earlier this month and brought up the possibility of a joint training operation in Russia. Source: Air Transport Intelligence news ***************** Curt Lewis, P.E., CSP CURT LEWIS & ASSOCIATES, LLC