AINalerts
December 16, 2008
In This Issue
ADIZ Now a Permanent Washington Landmark
Two Buyers Interested in Acquiring Grob
CitationShares Adjusting Deliveries, Staffing
Bizav Operators Need To Make Inauguration Plans Now
XOJet Feeling the Effects of Sour Economy

Also Noted...

Embraer’s Phenom 100 light jet, which received Brazilian type certification last Tuesday, was granted FAA approval on Friday. According to the Brazilian manufacturer, customer deliveries are set to begin this week and up to 10 Phenom 100s are expected to be delivered by year-end. Meanwhile, on Sunday during a production test flight at the company’s facility in Gavião Peixoto, a Phenom 100 went off the runway at low speed, “following an otherwise normal landing.” Embraer said there were no injuries to the crew, though the aircraft sustained damage to the landing gear actuator and wing. “Preliminary data indicate an inadequate maintenance task on the aircraft’s hydraulic system,” Embraer said today in a statement.

Cessna Aircraft yesterday delivered the first Citation XLS+ to an undisclosed customer based on the U.S. East Coast. The XLS+, which was announced in October 2006 as an upgrade to the XLS, includes Rockwell Collins Pro Line 21 integrated avionics and Fadec-equipped Pratt & Whitney Canada PW545C engines. It received FAA certification on May 30 and EASA approval is expected early next year. Cessna said it currently has orders for more than 200 XLS+ twinjets.

FlightSafety International on Friday announced that Eric Hinson will join the company as executive vice president on January 5, replacing FSI veteran James Waugh, who retired in June. Hinson is currently president and CEO of Piaggio America, the U.S. subsidiary of the Italian business aircraft manufacturer, and serves on the board of directors at GAMA. Previously, he worked for Honeywell Aerospace in Paris as vice president for Europe, Middle East and Africa and later as vice president sales and customer marketing for Honeywell’s Air Transport and Regional Group.

Clearwater, Fla.-based fractional provider Avantair yesterday took delivery of its 50th Piaggio Avanti turboprop twin. According to the company, this delivery is in line with Avantair’s steady fleet expansion since it was started in July 2003. At present, Avantair operates the youngest fleet in the fractional aircraft industry, at approximately 3.7 years, according to the JetNet Fractional Ownership and Aircraft Report.

The FAA recently issued an updated version of its “Airplane Upset Recovery Training Aid” to include guidance to flight crews of virtually all jet airplanes. The previous training aid focused on upset recovery guidance for aircraft with 100 seats or more, but the latest supplement “is directly applicable to most jet airplanes,” ranging from very light jets to airliners.


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ADIZ Now a Permanent Washington Landmark
Despite heavy opposition by pilots and aviation alphabet groups, airspace restrictions and procedures implemented around Washington, D.C., after 9/11–namely the 15-nm-radius Flight Restricted Zone (FRZ) and 30-nm-radius Special Flight Rules Area (SFRA), both centered at Ronald Reagan Washington National Airport (DCA)–were made permanent under a final rule issued yesterday by the FAA. Operations within the FRZ are restricted to flights authorized by the FAA and TSA. Within the SFRA, pilots must file a flight plan, establish two-way radio communication with ATC and squawk an assigned transponder code. The now-permanent SFRA is smaller than the Air Defense Identification Zone (ADIZ) that initially went into effect in February 2003, which at the time extended 23 miles out from DCA, Dulles and Baltimore/Washington International Airports. The FAA shrunk the ADIZ in August last year, releasing 33 airports and helipads from the restricted airspace. According to the FAA, the move to the smaller restricted area addressed many of the issues identified in the more than 22,000 public comments on the agency’s proposal. Still, AOPA executive vice president of government affairs Andy Cebula said, “It’s extremely disappointing that the ADIZ–something that was hastily implemented as a temporary measure–has become federal regulation. Issuing an ADIZ final rule is a concern because a temporary flight restriction was imposed, without consulting airspace users, and later made ‘permanent’ with no documented justification.”


 

Two Buyers Interested in Acquiring Grob
Grob Aerospace insolvency administrator Dr. Michael Jaffé announced today that two companies have expressed interest in taking over the German aircraft manufacturer. The interested parties include little known H3 Aerospace from Munich, headed by Johann Heitzmann; and Chinese manufacturer Guizhou Aviation Industry Corporation (GAIC), part of the giant state group AVIC I that makes fighters, the ARJ21 regional airliner, Airbus subassemblies and many other aircraft and automotive components. Both offers are still tentative, and the winner will be selected before year-end by a creditors’ committee for further negotiations. The bidders are interested primarily in Grob’s trainers, which provided the bulk of the company’s business in the past. Both contenders are offering around $4.5 million for the trainer business, and GAIC might offer an additional $3.5 million for the SPn after further investigation. Piston-powered Grob basic trainers are in service with several major air forces, including the British Royal Air Force, which is interested in ordering an additional batch. At press time, the fate of the SPn business jet remains uncertain. According to the insolvency administrator, negotiations are continuing with other interested parties, but the outlook for a seamless continuation of the SPn program is bleak.

CitationShares Adjusting Deliveries, Staffing
Fractional share provider CitationShares is reducing the size of its pilot workforce by 30 people, according to CEO Steve O’Neill. The Greenwich, Conn.-based company is offering an early retirement and temporary leave-of absence alternative to all pilots before determining how many will be affected by an involuntary furlough, he said. “The current worldwide business environment has slowed such that aircraft deliveries for 2008 have been postponed and planned deliveries for 2009 have been reduced. Given the fact that we hire pilots well in advance of the arrival of aircraft, we find ourselves in an overstaffed position.” Furloughed pilots will receive two months salary and full benefits through the end of March. CitationShares has also laid off eight office staff. “There are no other reductions in force planned at this time,” O’Neill said. “We have not changed our staffing models for flight crewmembers. And we believe that post-January 9 we will be adequately staffed for expected demand throughout 2009.”


 
Bizav Operators Need To Make Inauguration Plans Now
NBAA is urging operators planning to be in the Washington, D.C. metro area during President-elect Obama’s inauguration next month to subscribe to NBAA Airspace Alerts for the latest information. According to the association, there will be one or more TFRs issued that will restrict general aviation aircraft operations in the D.C. area. NBAA expects tactical traffic management initiatives that will likely entail the use of ground stops or ground delay programs at Dulles International (IAD) and/or Baltimore/Washington International (BWI), and potentially other area airports. The Washington air defense identification zone will constitute the outer ring of the primary TFR, and the D.C. flight restriction zone will constitute the inner ring, meaning there will be no access to Washington Reagan National Airport (DCA), even under the DCA Access Standard Security Program. Only IFR traffic will be allowed into IAD and BWI; Manassas Regional Airport is being considered for IFR traffic as well. NBAA expects parking challenges at airports surrounding the metro area and is encouraging operators to contact their FBO of choice ahead of time to determine if parking is available.

XOJet Feeling the Effects of Sour Economy
San Carlos, Calif.-based XOJet has laid off “around 20” pilots and some additional operations and sales staff, according to John Magner, the company’s executive vice president of commercial operations. XOJet is still taking delivery of Challenger 300s and Citation Xs at the rate of about one a month and the company is still closing deals, “but not to the degree we wanted to grow,” he said. Magner added that the layoffs would have been made regardless of the economic situation, saying, “It was the right business decision.” Meanwhile, the company has been promoting its Fleet Exchange Membership program as a cost-effective alternative to fractional programs. The program requires a “minimal” upfront membership fee and provides customers with the benefits of fractional ownership, including guaranteed flight hours, without peak-day limitations, ferry fees or the large financial commitment that fractional programs require. Program membership starts at 50 hours, and the flight hours do not expire, according to XOJet.

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