CSeries completes high speed test; Weather remains the variable for first flight

The Bombardier CSeries completed the high speed taxi tests this morning. This means the first flight should be just days away, weather dependingand the forecast is iffy.

Bombardier tells us they “need” a clear, dry, calm day. Plans are to fly early in the morning–whatever day it turns out to be–because winds are calmer then than later in the day at Mirabel Airport north of Montreal.

The Boeing 787 first flight was on a rainy day. This Boeing-made video shows the weather conditions, with a wet runway and gloomy skies.

[youtube=http://www.youtube.com/watch?v=yuvM8TQ4zZc&w=420&h=315]

The 787 first flight was cut short due to rain moving in around Boeing Field and by the time the 787 landed, rain was falling.

Bombardier needs better conditions. We’ve asked whether this is by company policy or due to Canadian regulations; we’ll update when we have an answer.

But excitement is building. BBD tells us that people have lined the runway watching the taxi tests and plane-spotting in anticipation for the first flight.

CSeries first flight may be Sunday, says Reuters

The thrice-delayed first flight of the Bombardier CSeries may come Sunday, reports Reuters.

We previously posted some thoughts on the pending first flight. We expanded on these thoughts in our e-mail newsletter Aug. 26. Below is the entire newsletter.

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Delta orders Airbus–a look back at the history between the two companies

Delta Air Lines announced an order today for 30 A321ceos and 10 A330-300 HGW. This is the first Airbus order from Delta in two decades; the only previous order was for nine A310-300s during the days of CEO Ron Allen. Allen ordered these aircraft shortly after acquiring A310-200s/300s when Delta bought part of the failing Pan Am.

But when the 1991 Gulf War happened and the US airline industry went into a tail-spin, Allen undertook a cost-cutting procedure that eliminated all A310s from the fleet, including the new orders–before all nine had even been delivered.

Delta subsequently was one of three US airlines to sign a 20-year exclusive supplier agreement with Boeing; American Airlines and Continental Airlines were the other two. But when, in 1997, Boeing and McDonnell Douglas proposed merging, the European Union demanded that the exclusive supplier agreements be voided. Boeing agreed not to enforce them. Still, Delta did not order Airbus until now.

But the current Delta management, led by Richard Anderson,* once ran Northwest Airlines. This management took over Delta upon its exit from bankruptcy following 9/11 turmoil that decimated the US airline industry. Anderson and his team ordered from both Airbus and Boeing while running Northwest, preferring to maintain a dual-source supply of airplanes. Anderson’s Delta previously ordered 100 Boeing 737-900ERs.

Delta is one of the few airlines that has yet to order the re-engined Airbus or Boeing single-aisle airplanes. The philosophy is that it wants to see the new technology in action before signing on. Northwest Airlines was the US launch customer for the Boeing 787, an order placed after Anderson’s team left NWA. Delta inherited this order when NWA was acquired, but Anderson’s team didn’t like what was happening with the 787-8 program and deferred the 787 order to at least 2020, according to the data base Ascend. Many think Delta may never take the 787, but this remains to be seen.

Delta came very close to ordering the Bombardier CSeries, but its caution against new technology and a worsening economy at the time killed the order for the time being.

  • We recently resumed doing an email-only newsletter after a hiatus of several years. In the one issued Tuesday, we discussed the implications of the first flight of the Boeing 787-9. The Wichita Eagle wrote this article based on the newsletter.
  • *A reader pointed out we originally wrote “Ron Anderson.” Ron Anderson is another figure in aviation we know, who once worked for FedEx and was the founder of Intrepid Aviation . Thanks for the correction.

Odds and Ends: Why new planes are delayed; Hazy profile; first 787-9

It’s Actually is Rocket Science: It’s a clever headline from Bloomberg News, explaining why new airplane programs are delayed.

Focusing on smaller airplanes: Steven Udvar-Hazy, one of the craftiest executives in commercial aviation, is profiled in this LA Times story. He discusses his focus on smaller aircraft for his Air Lease Corp.

Boeing 787-9: Boeing rolled out the first 787-9 and is readying pre-flight tests.

Boeing photo

More analysis on DOJ vs AA-US: Here is Part 2 of Airchive’s analysis of the Department of Justice case seeking to block the American Airlines-US Airways merger.

Odds and Ends: Lufthansa’s pending widebody order; MRJ v E-Jet E2; MAXimizing space

Lufthansa’s Pending Order: As we have written on previous occasions, Lufthansa Airlines has been preparing a large order for twin-aisle, twin-engine aircraft: 50 or more. We’d noted that the order was likely due in September.

Aviation Week has this update.

Mitsubishi MRJ v Embraer E-Jet E2: Flight Global reports that the Japanese OEM says the latest 15 month delay won’t hurt sales of the MRJ (to which one wag notes it’s not selling well anyway–there are only three customers), but what caught our eye is the Mitsubishi reference comparing the MRJ with the Embraer E-Jet E2. This is like the debate of new vs re-engine between Bombardier’s CSeries and the smallest Airbus and Boeing products.

MAXimizing space: Boeing shifted work around at its Renton (WA) factory as it prepares for production of the 737 MAX. The Seattle Times has a good wrap up.

Odds and Ends: New upgrades for the B-52; MRJ delay confirmed; EIS estimates for new airplane programs

Upgrades for the B-52: The USAF and Boeing are upgrading the Boeing B-52 bomber to further extend the service life. The LA Times via the Seattle Times has this story. This is remarkable; the B-52 was designed in 1948 to be the USA’s aerial backbone against the Soviet Union in the Cold War. It bombed Iraq in the 1991 Gulf War and continues to out-perform the B-1B bomber, which was supposed to replace the old gal, nicknamed by some as BUFF.

More on MRJ Delay: Mitsubishi made it official: the MRJ 90 passenger regional jet will be delayed another year. There are several stories via Google News; this Reuters piece is typical. Aviation Week has a good timeline recap.

Here’s how pending new airplane programs now appear to line up for Entry into Service:

Original Current
CS100        Dec-13        e4Q2014*
MRJ       4Q2013           2Q2017
ARJ21           2006  Good Question
C919           2016           2018–>
A320neo Oct-15 Oct-15
737-8 Jul-17 Jul-17
777X e12-2019**
EJet E2           2018               2018
* One analyst suggests early 2015
** Market Intelligence estimate.

We don’t have enough visibility on the Irkut MS-21 for inclusion in the Table.

Here’s a real oddity: A man in underwear broke into the German Chancellor’s airplane.

American-US Airways: Airchive has this long analysis (and it’s only Part 1 of 2), taking a look at the DOJ complaint. It’s 15 pages even after copy-and-paste into Word and re-sized to 10 point type.

Odds and Ends: Plane Business analysis of AA-US merger; Air Canada’s single-aisle competition

AA-US Merger: Plane Business made available Aug. 21 its previous analysis of the proposed American Airlines-US Airways merger outside its paywall.

The analysis of the government’s analysis is pretty devastating to the government’s case. Read it and judge for yourself.

American’s general counsel, meanwhile, writes (in a report in The Dallas Morning News) that there is no Plan B to exit bankruptcy if the merger with US Airways is successfully blocked by the Department of Justice. Instead, AA would have to create a new bankruptcy-exit plan and return to all creditors and the court. This would take probably another couple of years, making it one of the longest (if not the longest) Chapter 11s in airline history–with all the related uncertainty to those affected by a Chapter 11. This is unfair to creditors and employees, and it will also wipe out any gains shareholders obtained in the current plan.

The DOJ clearly failed to take into account these impacts.

Air Canada eyes CSeries: The Globe and Mail reports that Air Canada is considering the Bombardier CSeries to replace the aging Embraer E-190 and Airbus A319 fleets. We expect the competition to be fierce: Airbus will certainly do what it can to block this sale (through pricing, no doubt) and we wouldn’t be at all surprised if Brazil would offer export financing for a replacement E-Jet fleet–something Bombardier can’t match because of the so-called Home Country rule prohibiting government financing for home-country airlines.

And then there is Boeing. The entire Airbus fleet is getting long in the tooth and our market intelligence tells us Air Canada is running a full narrow-body competition between Airbus and Boeing.

A re-fleeting decision is expected by year-end.

MRJ First Flight Delay: It’s been widely hinted, but now a supplier told Flight International that the first flight of the Mitsubishi MRJ is delayed to the end of 2014.

CSeries edges closer to first flight, as payoff for gambles await Bombardier and Pratt & Whitney

The Montreal Gazette did a little digging with Canadian regulators and came up with this interesting piece, deducing the first flight of the Bombardier CSeries will come within the “next 11 days” (the story was dated Aug. 19).

The Gazette also reported that the CSeries test program will extend to May 2015. Bombardier says this includes the CS300, which has an entry-into-service timeline roughly 12 months after the CS100. On Aug. 19, several Canadian media reported a new analyst note concluding that EIS of the CS100 will slip into early 2015, something we also suggested in an earlier post. The Gazette also quotes from the analyst note.

Bombardier has completed slow speed taxi tests (noted in our morning post of Aug. 19). Bombardier’s dedicated CSeries website is here and a number of YouTube videos are here.

The first flight, of course, while a major milestone is only the beginning of a testing program that BBD says will take a year and some believe will take longer. Since this is the first clean-sheet design in the 100-149 seat category (or even up to 200 seats) since the development of the A320 in the early 1980s, and it is the first airplane with the Pratt & Whitney Geared Turbo Fan engine, there are enormous stakes riding on the program. The CSeries is a huge gamble for Bombardier, its bet to move from the regional jet era it invented to mainline jets, into a sector largely abandoned by Airbus and Boeing but which has drawn fierce reaction from Airbus with aggressive pricing for the larger A320.

For Pratt & Whitney, the CSeries flight test and subsequent EIS is the culmination of a research-and-development gamble of more than 20 years to regain its once-dominant place in single-aisle aircraft power supply.

Since CFM retained the exclusive supplier agreement for Boeing on the 737 MAX, and because CFM so far has won about half the orders for engines on the A320neo, PW won’t reclaim the dominant position it had in the early years of the jet age. But With the A320neo, PW has half the orders, a vast improvement in market share from its IAE V2500 engine on the A320ceo family. But PW’s GTF gamble with CSeries led to the selection by Airbus for the neo, and along with the Mitsubishi MRJ sole-source engine supplier followed by a shared source on the Irkut MS-21 and more recently the sole source on the Embraer E-Jet E2, PW is clearly back as a major player.

Bombardier’s flight tests will validate (one presumes) the promises made by BBD and PW for the engine-airframe combination: the quietest engine, the most fuel efficient engine, the most economical engine-airframe combination.

The Boeing 787, for all its difficulties, brought a new level of excitement to aviation with its ground-breaking technologies. The A350 XWB didn’t have the same panache, coming behind the 787 as it did. If the CSeries lives up to its promises in flight testing, we believe the orders will start coming. The aviation industry has become the State of Missouri motto, “Show Me,” as a result of the program delays at Airbus, Boeing and now BBD. We look forward to a program that goes smoothly after first flight.

Key leaders hit back at Boeing “exodus” assertions; CSeries competition for the Big Two; A380 uses; Boeing hikes prices

Boeing’s WA ‘exodus’: Three key leaders in Washington State responded to the drumbeat from State. Sen. Mike Hewitt (R-Walla Walla) that Boeing is in an “exodus” from Washington. Read the article here.

We agree that the use of the term “exodus” is overblow, as we wrote in previous articles here, here and here. We also believe that the greatest threat to Washington’s future in aerospace is when Boeing designs clean-sheet replacements for the 777 and 737, as which point we think there is a real chance these new designs will be built at Boeing’s growing Charleston (SC) complex.

But this bickering between Hewitt, on behalf of the the State’s Republican party, and the Democrats gets Washington nowhere.

At least the Democratic gubernatorial administration has come up with a plan for Washington’s aerospace, although we’ve noted we think it falls short of being bold and innovative. Hewitt and the Republicans haven’t come up with anything except criticism.

The State is undertaking two more studies (on top of at least four we can remember) to come up with ideas about what needs to be done. There are several industry organizations and experts that could be tapped to provide ideas, which the state is not using: the Pacific Northwest Aerospace Alliance, the Pacific Northwest Defense Coalition and INWAC in Eastern Washington, just to name three. The state-appointed Washington Aerospace Partnership doesn’t have a single industry representative on it, which is astounding, but it could come up with suggestions for economic development since the membership is overly weighted with these organizations.

Let’s stop the bickering, roll up the sleeves and get to work coming up with a forward-thinking, bi-partisan aerospace plan for Washington.

CSeries Competition: The Puget Sound Business Journal has this article looking at the competition the Bombardier CSeries will give the incumbents.

Meanwhile, Bombardier has undertaken low-speed taxi tests for the CSeries. This is, of course, a prelude to first flight.

A380 deployments: This article goes down the list of Airbus A380 operators and how the aircraft are deployed and configured.

Boeing raises prices: Boeing hiked the list prices slightly of its commercial airplanes. Here is a report comparing Boeing’s new prices with Airbus.

China short on re-engine orders, but nearly 400 C919 “commitments”

The Chinese government and airlines have very few orders for the re-engined Airbus A320neo family and Boeing 737 MAX. There are no identified Boeing 737 MAX orders in China and just 19 A320neos.

There are 197 Unidentified MAX orders, some of them rather large. China in the past has placed large Unidentified orders with Boeing that remained so categorized for years, but there is no way to tell if this is the case right now.

Nor has China placed any orders for the Bombardier CSeries despite growing commercial ventures between Bombardier and the C919 developer, COMAC.

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