“The business aircraft market is strong, it’s very strong,” says Joseph Lombardo, Gulfstream’s recently appointed president.
“We are experiencing some of the best times we have had in this business,” says the 11-year veteran of the General Dynamics-owned company.
Lombardo took the helm at Gulfstream in April from Bryan Moss, who is remaining at the company until March 2008 in the newly created position of president emeritus.
At the same time Lombardo was named executive vice-president, aerospace group for General Dynamics.
With a career in aerospace spanning over 30 years, it is clear to see why Lombardo was earmarked for the top job at one of the leading business aircraft manufacturers. He began in 1975 with Douglas Aerospace, where he held a number of leadership roles in production and material control, planning and manufacturing. Lombardo moved to Gulfstream in 1996 as vice-president of co-production where he was responsible for the successful ramp-up and dual production of the Gulfstream IV-SP and Gulfstream V. Five years later he became chief operating officer, responsible for the cost, quality and schedule of Gulfstream’s manufactured products.
This is an area where Lombardo and Gulfstream have been focusing in recent years as the huge demand for its aircraft; particularly large-cabin types such as the G350, G450 and G550 have put pressure on the manufacturing cycle. Lombardo is widely credited within the company for increasing production rates and reducing cycle times, but he admits there is still a long way to go given the huge demand for Gulfstream types. He says: “If you are looking to order a G550 today you are looking at delivery in the third quarter of 2010, and this is longer than we’d like it to be.”
To “ease the production strain” Gulfstream has begun work on a multi-million dollar upgrade to its Savannah, Georgia base, which includes expanding its manufacturing facility, adding a new service centre and more than 1,000 new jobs. “We are doing the best we can to increase production and satisfy customer demand in an efficient way,” Lombardo says.
Demand for Gulfstream products is driven by the stability of the US economy – particularly the strong corporate profits – but also the burgeoning economies of international markets such as Europe, the Middle East and Russia, Lombardo admits.
Growing demand from overseas has prompted a notable shift in Gulfstream’s sales distribution over recent years. Around 42% of orders came from outside North America last year compared with around 25% three years ago.
"The Middle East has always been a very strong market and we are well represented there," Lombardo says. "India and China are two very large expanding economies where our product satisfies a need. In Asia we have 3% of the installed fleet already and we are getting more and more involved. Europe is the fastest growing market and Russia, [where customers have a preference for large cabin aircraft], is becoming increasingly significant.”
Lombardo says Gulfstream has made huge advances with its products over the last decade when only one aircraft, the GIV, was being built in its Savannah facility. The five-strong Gulfstream business jet stable also includes the new mid-size G150, which entered service last August and is jointly developed by Israel Aerospace Industries, and the super mid-size G200.
Lombardo will not be drawn on new product development and declines to comment on rumours that Gulfstream is working on an upgrade on the G200 and a widebody derivative of the G550, tentatively dubbed the G600. “We cannot discuss out intentions on new products,” he says. “But if you look at the company from an historical perspective, we have something new about every five to seven years. Our development is definitely geared towards the large and mid-cabin aircraft.”
Source: Flight Daily News
