Feb 22 2013

Rostec in discussions with Bombardier to produce Q400s

Bombardier_logoA report in Reuters indicates that Russia’s state corporation Rostec is in talks with Bombardier to create a joint venture to build the Q400 in Ulyanovsk.

Rostec’s CEO Sergei Chemezov was quoted in Reuters as saying, “We proposed creating a joint venture with Bombardier to produce aircraft. We estimate investment in the project would be about $100 million. Today, no legally binding documents have been signed, so I can’t say anything further, but most likely it will be a 50-50 joint venture.”

If the Q400 is built in Russia, it would mean that import duty, which is around 20% of the aircraft price, would not be paid by purchasers in that country. The duty is applied to several aircraft types including those which have 50-72 seats. The Q400 program received type certificate approval in June 2012. This past February Yakutia Airlines took delivery of its first Q400 and has three further Q400s on order.

Feb 20 2013

Ilyushin Finance signs purchase agreement to acquire 32 CS300

Bombardier_logoBombardier Aerospace announced on February 20th, 2013 that Ilyushin Finance Co. signed a purchase agreement for 32 CS300 aircraft and options on an additional 10 CS300 aircraft. The transaction, which follows a letter of intent signed by IFC in 2011, is subject to approval by the company’s shareholders.

Currently, 95 CRJ and Dash 8/Q-Series aircraft are in service or on order in Russia and the Commonwealth of Independent States. Bombardier is also offering the Q400 NextGen turboprop aircraft in Russia as well.

As of December 31, 2012, Bombardier has orders and commitments for 382 CSeries aircraft with firm orders for 148 CSeries aircraft.

Feb 16 2013

Bombardier offering CSeries to ANA and JAL

Bombardier_logoBombardier has given signs that it is proceeding with plans to offer the CSeries aircraft to Japan Airlines and All Nippon Airways with both airlines having received a briefing from Bombardier on the CSeries recently.

Bombardier’s aircraft products have been operating in Japan for well over 20 years and believes that its track record with the CRJ and DHC-8 aircraft series will give them an advantage to offering the new CSeries to both airlines. Currently there are 56 Bombardier aircraft of all types being operated in Japan.

Bombardier will however face competition from Mitsubishi as that aircraft manufacturer also attempts to convince its home nation airlines to purchase its new MRJ aircraft. Mitsubishi won its first order for 15 Mitsubishi Regional Jets, plus 10 options, from ANA in 2008, but has not seen any further orders for the type in Japan.

Currently Bombardier retains 138 orders for the CS100 and CS300 with Republic Airways holding the largest order for 40 aircraft. Mitsubishi holds 230 orders for the MRJ with SkyWest holding the largest number of orders for the type. The MRJ is expected to make its first flight later in 2013 and plans to deliver the first aircraft in 2015.

Feb 15 2013

California Pacific facing deadline with FAA

California Pacific Airlines

California Pacific Airlines is facing an imminent deadline from the FAA to prove that the airline meets all operational requirements. The FAA has set a deadline of February 25th, 2013 for the airline to meet requirements as set out by the regulator.

According to various reports, the main issue is the performance of the airline’s chosen aircraft, an Embraer 170, to meet emergency single-engine out requirements.

Other reports point to the airline’s training, operations, and other concerns the FAA has with the airline. California Pacific has indicated that they have met the performance requirements and will solve the balance of the FAA’s concerns by the deadline date.

California Pacific still plans to launch service with two Embraer 170s with service to the Bay Area, Sacramento, Las Vegas, Phoenix and Cabo San Lucas.