Aeronautical Engineers is preparing to launch the first passenger-to-freighter conversion product for the Boeing MD-80 with a supplemental type certificate to be secured as early as July 2011.
Industry sources say that Miami-based AEI began engineering work late last year on a passenger-to-freighter conversion for the MD-82/83/88 and is close to finalising a deal with Boeing that would make it an OEM-licensed third-party STC provider for all three types.
The programme is expected to be formally launched over the next two months with work on a prototype aircraft beginning this spring at the Miami maintenance hangar of AEI sister company Commercial Jet.
AEI is planning a 15-month certification programme, concluding with an STC from the US Federal Aviation Administration in the third quarter of 2011. Sources say AEI will buy the prototype aircraft and is examining several potential candidates.
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The firm has already begun talks with several potential customers and is confident of securing a launch customer by the end of 2010. Sources say leasing companies are eager to find new homes for their MD-80s as the fleet of grounded aircraft has grown in size during the current economic downturn.
Data from Flight's ACAS database shows there are 234 MD-82/83/88s grounded with another 670 in service. AEI believe the value of these aircraft has dipped to a point where the conversion has become attractive. The total on-ramp cost of AEI's MD-80SF, which will feature a full-size cargo door but will not require a new floor, is expected to be in the $3-3.5 million range
Boeing and several conversion providers have studied potential MD-80 conversions for more than a decade, but projects until now have failed to proceed to the launch phase. The biggest challenge to date has been drumming up sufficient interest among cargo carriers because the MD-80's fuselage is too narrow to accommodate normal containers.
But AEI has determined there is sufficient demand from airlines that do not need to use standard cargo containers. AEI is particularly targeting airlines in third world growth markets such as Africa that do not transfer cargo between aircraft types or interline with other airlines.
AEI believes the MD-80 is an attractive alternative to the 737-400 converted freighter because while both aircraft types can carry the same amount of cargo the former can be acquired for roughly one-third of the price.
The proposed MD-80SF will be designed to carry 12 customised pallets and a payload of up to 21,320kg (47,000lb). AEI's 737-400SF, launched in 2007, has a payload of up to 21,360kg with 11 standard pallets. The smaller 737-300SF, which AEI launched in 2005 and currently costs roughly double the MD-80SF target price, has a payload of up to 19,460kg with 10 standard pallets.
AEI's 737 passenger-to-freighter products were initially offered without support from Boeing, but late last year the firm concluded a deal with the OEM making it a licensed third-party STC provider for the 737-200, -300 and -400. The new partnership with Boeing is now poised to be extended to include the MD-80.
Boeing declined to comment, saying it does not discuss the status of negotiations with potential conversion suppliers. Boeing and before that McDonnell Douglas for several years looked at launching an OEM-supplied conversion for the MD-80.
Boeing in recent years has changed its narrowbody cargo conversion strategy to focus exclusively on licensing deals with suppliers. Boeing says in the case of the MD-80 it would be up to AEI or other conversion shops to study the market and decide whether to launch a programme.
AEI is no stranger to the conversion market, having modified more than 350 aircraft over the past 50 years including McDonnell Douglas DC-8s, Lockheed L-1011s and Boeing 727s. The new MD-80 conversions will run alongside AEI's existing 737 passenger-to-freighter line.
AEI, which began 737-200 conversions in 1993, has the capacity to convert four aircraft simultaneously and plans to complete 12 737s this year. Once fully up and running the MD-80 line should be able to complete an aircraft in about 70 days, compared with about 90 days for a 737.
AEI is not looking at MD-90 conversions yet as MD-90s remain in relatively high demand at passenger carriers.
Source: Flight International
