ABU DHABI INVESTOR IN MAJOR GE LINK
Abu Dhabi investment house Mubadala is partnering General Electric on a diverse range of business ventures in the latest in a series of initiatives with leading aerospace companies aimed at creating an engineering hub in the oil-rich emirate. Under the agreement, GE's engine division will expand its aftermarket activities in the region through Mubadala's maintenance, repair and overhaul subsidiary Abu Dhabi Aircraft Technologies. It follows a similar deal with Rolls-Royce announced at the Farnborough air show. The GE agreement includes the setting up of a jointly owned commercial financial services business in Abu Dhabi as well as ventures in the oil and gas industries, clean energy and water research. Mubadala plans to become a long-term GE shareholder. Mubadala also signed a supplier agreement with EADS at Farnborough and announced plans to build a composite aerostructures plant in the emirate.
SOUTHWEST SEES SOFTNESS IN AIRCRAFT VALUES
Dallas-based Southwest Airlines has bucked the US trend to post a second-quarter profit, but has not escaped the effects of surging fuel costs as net income excluding special items fell 38% to $121 million. Meanwhile, five Boeing 737s it is selling could fetch lower prices than originally forecast as the slowing US economy places pressure on their value. Chief financial officer Laura Wright blames fuel prices and the lack of available credit.
BOEING COMPLETES HYDRAULICS POWER-ON FOR 787
Boeing last week achieved power-on of the hydraulic systems for the first 787, taking one small step closer to the scheduled first flight in the fourth quarter. The activation event enabled the first movement of the aircraft's hydraulically powered control surfaces, including ailerons, rudder, flaperons and some spoilers. The aircraft's elevators are not yet installed and some spoilers run on electric rather than hydraulic power.
TWO JETS NEARLY COLLIDE IN CHICAGO
US safety investigators are reviewing a near mid-air collision of an American Eagle Embraer ERJ-145 and a Bombardier Learjet 60 at Chicago O'Hare on 21 July. The Embraer was departing runway 32L while the Learjet was landing on runway 9R, passing 99m (325ft) and slightly behind the ERJ-145. The US National Transportation Safety Board says as a result of this incident new procedures are in place for arrivals to runway 9R requiring specific co-ordination between approach control and the tower to determine if 9R is in use.
JAT SALE CLEARED FOR TAKE-OFF
The Serbian government has approved after months of delays a strategy for tender privatisation of state-owned flag carrier Jat Airways. Serbian prime minister Mirko Cvetkovic says "airline debt [to state funds] has been converted into capital and the tender will be issued by the end of the month". Finance minister Mladjan Dinkic says 51% of the shares would be offered for sale, although the successful bidder could acquire up to 75% of the airline which will be offered for an initial price of euros 150 million - less than its estimated value - to stimulate interest. Iceland Air and Air Berlin are regarded as potential bidders.
HAL LANDS JAGUAR UPGRADE DEAL
Hindustan Aeronautics is to upgrade as many as 68 of the Indian air force's 150 Sepecat Jaguar strike aircraft, under a deal worth an estimated Rp24 billion ($57 million). Intended to extend the service life and combat effectiveness of India's legacy Jaguars, the work will include replacement of the type's current inertial navigation system. The aircraft set for modification were among the first batch of Jaguars produced at state-owned HAL's Bangalore facility under licence from the then-British Aerospace. HAL continues to manufacture new examples for the Indian air force.
MICHAEL STROUD
Renowned UK aviation writer Michael Stroud has died, aged 76. A former Flight International contributor, Mike began his aviation career in the 1950s with Bristol Aircraft and de Havilland Propellers working on the Bloodhound and Blue Streak missile programmes. He later worked for the International Air Transport Association in Montreal as well as in market intelligence and public relations for Hawker Siddeley and BAe. A memorial celebration of Mike's life is being arranged by his son, Aeroplane features editor Nick Stroud.
Source: Flight International
