Andrew Doyle/DRESDEN
Airbus Industrie partners Aerospatiale, British Aerospace and DaimlerChrysler Aerospace (Dasa) are in talks to form a joint venture to take over sales and marketing of their A300 and A310 cargo conversion and maintenance businesses.
The move could be the first step towards the establishment of a "European Maintenance and Conversion Company" (EMCC), as a wholly owned subsidiary of the proposed Airbus single corporate entity (SCE). The move would mirror rival Boeing's recently formed Airplane Services unit.
Agreement by the European companies would end the fierce competition between BAe Aviation Services (BAeAS) and Dasa Airbus, which operate rival A300 freighter conversion programmes. The German company has a commercial agreement with Aerospatiale subsidiary Sogerma to offer A300/A310 conversions jointly and to share the modification work.
Pressure is mounting for BAe and Dasa to end their rivalry in the conversion market, not least from Airbus Industrie itself, say sources close to the discussions. Sales campaigns have frequently pitched Airbus, offering new-build A300-600 freighters, against partner companies offering conversions.
In addition, BAe and Dasa have indicated their intention to enter the emerging A300-600 cargo conversion market, but they agree that the volume of work will not be enough to justify two players.
Airbus is also planning to offer A310 multirole tanker/transport (MRTT) aircraft to operators such as the Royal Air Force, which is likely to involve converting used aircraft. "If the MRTT goes ahead, then we need BAe because that will involve modifications to the wings," says a Sogerma source. BAe Airbus is the design authority for the wings of all Airbus aircraft.
Dasa and Sogerma have decided that the formation of a programme company would be a "logical next step" in their own co-operation, say the sources, and the new entity would be responsible for negotiating contracts with customers and for holding supplemental type certificates.
More talks between BAeAS, Dasa Airbus and Sogerma executives are due to take place by the end of May, with the aim of agreeing a common strategy for the A300-600 and A310 conversion and maintenance markets.
The managing director of the Dasa Airbus Dresden conversion centre, Dierk Minke, declines to comment on the talks specifically, saying only: "We have to agree on a common solution, and then on how to share these activities."
BAeAS managing director, Cliff Duke says: "The optimum way forward for each constituent part of the business, its customers and products will be identified and agreed by each of the partner companies involved wherever relevant."
Minke says that earlier talks on the formation of an EMCC were shelved last year, following a breakdown of the Airbus SCE negotiations. The talks are expected to resume later this year, but no agreement is likely before the middle of next year.
Dasa's Airbus modification and maintenance centre has converted 22 A300s and 44 A310s, and has an order backlog of 37 for both types.
BAeAS has secured 47 orders for A300 conversions, and has delivered 20 since Channel Express took the first aircraft in 1997.
Source: Flight International
