Like many Canadian manufacturers, Viking Air, based in Victoria, British Columbia, is anxiously awaiting news of the Ottawa government's plans for research and development investment. Poised to restart production of the de Havilland Canada Twin Otter, the company is counting on qualifying for federal support.
Already responsible for supporting the entire out-of-production DHC line from the Chipmunk to the Dash 7, Viking two years ago acquired the type certificates from Bombardier for all the aircraft. A market survey showed strong interest in the 19-seat utility turboprop, and last October the company organised an operators' conference and presented the commercial terms for a new-production Twin Otter Series 400.
"We needed three things: enough orders to justify restarting production a commitment by our shareholders to make the investment and participation by the federal government to offset our non-recurring expenses," says president and chief executive Dave Curtis. "We have two - orders and board approval - and we are waiting to hear the details of a new aeronautics strategy from the government."
To launch, Viking needed to secure deposits on 12 aircraft, priced at $3.2 million green. "We have exceeded that by a significant margin," says Curtis. The company is planning to build 12 aircraft a year initially, with major components produced in Victoria and final assembly in Calgary, Alberta. If federal government support is not forthcoming, Curtis says, Viking may have to look overseas.
"Why not assemble in Indonesia? Because our primary shareholder is Canadian, and there is a desire to put this together from a Canadian perspective," Curtis says. "We believe having the federal government participate is important, and makes it more economically viable. We will have to look at overseas suppliers sooner if we do it entirely on our own."
Source: Flight International
