Middle of the Market Archives - Page 7 of 12

Southern state coalition bid likely for Boeing NMA assembly site

June 27, 2018, © Leeham News: A coalition of four Southern US states that joined to win the US Air Force tanker contact site location for Mobile (AL) will likely link up again to bid for the assembly line of the prospective Boeing New Midmarket Aircraft, officials of three of the states said yesterday.

The Aerospace Alliance includes Florida, Alabama, Mississippi and Louisiana.

An official of an economic development commission for Charleston (SC) said Charleston will also likely throw its hat into the ring.

The comments were made at the Leeham Co./Airfinance Journal Southeast Aerospace & Defence Conference yesterday in Mobile. The conference continues today.

71 Comments

Posted on June 27, 2018 by Scott Hamilton

air force tanker, Airbus, Airfinance Journal, Boeing, Leeham Co., Leeham News and Comment, Middle of the Market, New Midmarket Aircraft

Airbus, Airfinance Journal, Boeing, Leeham Co., New Midmarket Aircraft, NMA, Southeast Aerospace and Defence Conference

Pontifications: Growing aerospace in the US Southeast

By Scott Hamilton

June 24, 2018, © Leeham News: We’re a week away from the partnership between Airbus and the Bombardier C Series program becoming effective.

Beginning tomorrow, Leeham Co. and Airfinance Journal hold the Inaugural Southeast Aerospace & Defence Conference in Mobile (AL), where Bombardier will be a C Series Final Assembly Line.

The US Southeast will also be a competitor for the site selection of the FAL for the New Midmarket Aircraft (NMA) should Boeing decide, probably next year, to proceed with this new airplane.

6 Comments

Posted on June 25, 2018 by Scott Hamilton

Airbus, Airlines, Boeing, Bombardier, Delta Air Lines, Middle of the Market, New Midmarket Aircraft, Pontifications, Southeast Aerospace and Defense Conference, United Airlines

Airbus, Boeing, Bombardier, C Series, CS100, CS300, Delta Air Lines, JetBlue, Moxy Airlines, Spirit Airlines, United Airlines

IAM may be playing with fire in SC union vote

June 20, 2018, © Leeham News: The International Association of Machinists may be playing with fire.

Puget Sound’s IAM 751 may be burned in the process.

The Charleston Post and Courier reported that the IAM will file a labor grievance over Boeing’s refusal to recognize certification of a “micro-union” while the company appeals the legality of its creation.

“Boeing ignores us at their own peril,” the newspaper quotes a union official.

The union may be pursuing this at its own peril.

At stake is where Boeing will assemble the prospective New Midmarket Aircraft, or NMA (aka 797).

The New Midmarket Aircraft site selection will be discussed at the Southeast Aerospace & Defence Conference next week in Mobile (AL). Click here for more information.

33 Comments

Posted on June 20, 2018 by Scott Hamilton

Boeing, IAM 751, Middle of the Market, New Midmarket Aircraft, NMA

787, 797, Boeing, IAM 751, International Association of Machinists, NLRB, NMA

Boeing’s strategy to de-risk design, production

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Introduction

April 2, 2018, © Leeham News: Boeing’s painful experience the with the development, design, production and grounding of the 787—costing billions of dollars in overruns and penalties with a delay of nearly four years—led to a major effort to de-risk future airplane development.

The 787 experience led to a pause that resulted in pursuing derivatives of the 737 MAX and 777X instead of developing new airplanes to replace these aging platforms and leap ahead of Airbus.

Now, poised to launch its first all-new airplane program in 15 years, Boeing continues to de-risk its production.

Summary

De-risking production means diversifying supplier base, bringing work in-house.
De-risking is changing the fundamental design-production nexus.
De-risking is innovating and cutting costs to meet new competition.

The Southeast Aerospace and Defence Conference will examine the transformation in production. Click here for more information.

2 Comments

Posted on April 2, 2018 by Scott Hamilton

Boeing, Middle of the Market, MOM, New Midmarket Aircraft, NMA, Premium

737 MAX, 747-8, 777X, 787, Boeing, Middle of Market, Mike Sinnett, MOM, New Midrange Aircraft, NMA, Sonic Cruiser

Boeing’s NMA decision entering final stretch, Part 2

By Bjorn Fehrm

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Introduction

March 26, 2018, © Leeham News: Boeing’s NMA or 797 is taking final form ahead of a decision to essentially launch the program with an Authority to Offer (ATO), widely believed to be later this year.

In the first article, we looked at the key characteristics of the design. We also looked at the engine situation in a couple of articles.

Now we round up the series with analyzing the potential economics of the aircraft.

Figure 1. The first sketch of the smaller 797-6X with 224 seats. Source: JonOstrower.com

Summary:

The projected 797 would have competitive Cash Operating Costs compared with a modern Single Aisle aircraft like the Airbus A321LR.
The challenge is the capital costs. The A320/A321 and Boeing’s 737 MAX models are produced in numbers passing 10,000. An NMA would be successful if produced in 1,000 units. This leads to higher production costs for the numerically smaller series.
The focus from Boeing is therefore on lowering Production costs and on finding Services revenue which can help the 797 business case.

1 Comment

Posted on March 26, 2018 by Bjorn Fehrm

Airbus, Airlines, Boeing, GE Aviation, Middle of the Market, MOM, New Midmarket Aircraft, NMA, Pratt & Whitney, Premium

A320NEO, A321LR, A321NEO, Airbus, Boeing, NMA

Focus on NMA engines: all OEMs vying for Boeing’s approval

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Now open to all readers.

Introduction

March 22, 2018, © Leeham Co.: As Boeing enters the final stretch whether to launch the New Midrange Aircraft (NMA, aka 797) market focus should shift to the engines more than the airframe and even the market demand.

It all comes down to this: no engines, no plane.

Monday’s post outlined some of the issues to consider.

But there are larger implications as well.

Summary

Market sources are tossing about various scenarios about the future GE Aviation and CFM.
Rolls-Royce won’t have its Trent 1000 problems fixed until 2021 or 2022, at great cost.
Pratt & Whitney won’t have its Geared Turbo Fan final PIP packages for its problems sorted out until around 2021.
Resources—both financial and with engineering—are stretched now.
Sequencing current engine problems, and in the case, GE’s GE9X, are a factor, in the eyes of some.

GE/CFM in “lockstep” with Boeing on NMA

David Joyce

March 22, 2018, © Leeham News: GE Aviation/CFM International are in “lockstep” with Boeing for development of an engine for the New Midrange Aircraft (NMA, or 797), the CEO of GE Aviation told a JP Morgan Aviation conference last week.

David Joyce acknowledged that there are technical issues and production delays for the new CFM LEAP 1A and 1B that power the Airbus A320neo and Boeing 737 MAX families respectively. Production is running up to six weeks late, but should be caught up by the end of this year, he said.

Technical issues, while affecting at least 100 engines, nevertheless are far less of an issue than those plaguing rival Pratt & Whitney’s Geared Turbo Fan.

27 Comments

Posted on March 22, 2018 by Scott Hamilton

Airlines, Boeing, CFM, GE Aviation, Middle of the Market, Pratt & Whitney, Rolls-Royce

737 MAX, 737NG, 797, A320ceo, A320NEO, Boeing, CFM, David Joyce, GE Aviation, JP Morgan, LEAP, New Midrange Aircraft, NMA, Pratt & Whitney, Rolls-Royce

Production transformation key to Boeing NMA

March 20, 2018, © Leeham News: As Boeing builds the business case for the New Midrange Airplane (NMA, or 797), dozens of major factors come into play, along with the hundreds or thousands of smaller one.

The market demand, of course, is a well-known business case element.

So is price to the customer, the design and capabilities of the airplane, the engines and the technology of them, whether there will be a sole- or dual-source engine, where the airplane will be assembled and how it will be produced.

.Production transformation is the focus of the Southeast Aerospace & Defence Conference June 25-27, organized by Leeham Co. and Airfinance Journal.

One Boeing official told LNC that the 797 is as much about production as it is everything else. This goes to cost and cost goes to pricing.

Automation, robotics, digital design, 3D printing and additive manufacturing are key to producing the 797. Many elements are already in place on other Boeing programs, most described in the media already.

One key supplier is Dassault Systemes.

94 Comments

Posted on March 20, 2018 by Scott Hamilton

Airlines, Boeing, Middle of the Market, MOM, New Midmarket Aircraft, NMA

737 MAX, 777X, 797, Boeing, Dassualt Systems, Michel Tellier, Middle of the Market, MOM, New Midrange Aircraft, NMA, Southeast Aerospace and Defence Conference

NMA focus needs to be on engines

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Now open to all readers

Introduction

March 19, 2018, © Leeham Co.: As the market awaits a decision by Boeing whether to launch the New Midrange Aircraft (NMA, or 797), focus has been on the aircraft’s definition and market demand.

It should be on the engines.

It doesn’t matter whether Boeing designs a fabulous airplane that’s the next best thing to sliced bread. What matters is whether the engines will be ready in time for Boeing’s suggested entry-into-service and if they are, whether they will be reliable out of the box.

The recent track record isn’t all that encouraging. Neither is Boeing’s preferred timing.

Summary

CFM, GE, Pratt & Whitney and Rolls-Royce each had problems with their new engines. All continue.
The Boeing NMA requires brand new engines, not derivatives.
Engine development and certification within the Boeing preferred timeline is sporty at best.

A321neo plus a stretch too far for NMA: Avitas

Published 05 Mar 2018 by Airfinance Journal

Special to Leeham News.

March 8, 2018, (c) Airfinance Journal: A leading appraisal firm questions whether Airbus should respond to Boeing’s proposed new midsize aircraft (NMA) simply by enhancing its existing product line.

John Vitale. Source: Airfinance Journal

“There is a gap, a natural gap that needs to be filled, so I am not sure whether the A330 coming down…and the A321 coming up, fills the gap,” said John Vitale, president and chief executive officer of Avitas, speaking on a panel of appraisers at Airfinance Journal’s Korean Airfinance event, adding: “Airbus claims the A321 has all this range and that they can put in as many seats as they are talking about. Well, no you can’t in an equal comfort level.”

However, Vitale acknowledges a possible further stretch by Airbus of its A321neo, the A322, or enhanced versions, such as the ‘A321neo-plus’, or even an ‘A321neo-plus-plus’“pushes out the timing of the NMA aircraft.”

239 Comments

Posted on March 8, 2018 by Scott Hamilton

Airbus, Airfinance Journal, Airlines, Boeing, Middle of the Market, MOM, New Midmarket Aircraft, NMA

797, A321neo Plus, A330-800, Airbus, Avitas, Boeing, John Vitale, Middle of the Market, New Midrange Aircraft, NMA

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Leeham News and Analysis

There's more to real news than a news release.

Leeham News and Analysis

Southern state coalition bid likely for Boeing NMA assembly site

Pontifications: Growing aerospace in the US Southeast

IAM may be playing with fire in SC union vote

Boeing’s strategy to de-risk design, production

Introduction

Summary

Boeing’s NMA decision entering final stretch, Part 2

Introduction

Focus on NMA engines: all OEMs vying for Boeing’s approval

Now open to all readers.

Introduction

Summary

GE/CFM in “lockstep” with Boeing on NMA

Production transformation key to Boeing NMA

NMA focus needs to be on engines

Now open to all readers

Introduction

Summary

A321neo plus a stretch too far for NMA: Avitas

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