Leeham News and Analysis
There's more to real news than a news release.
Leeham News and Analysis
- RTX Q1 2025 Earnings: GTF Talk Takes A Back Seat To Tariffs April 22, 2025
- Tariffs Tumult Takes Over GE Aerospace Q1 2025 Earnings Call April 22, 2025
- Boeing reports mixed results of latest employee survey, but middle management and officers remain key obstacles April 22, 2025
- Hopes for 1Q financial progress turns into bumpy ride for Boeing April 21, 2025
- Bjorn’s Corner: Air Transport’s route to 2050. Part 18. April 18, 2025
Pontifications: Washington State out to lunch on aerospace–again
By Scott Hamilton
Nov. 13, 2017, © Leeham Co.: Washington State’s top aerospace official, John Thornquist, resigned early this month, complaining that the State Legislature cut the Department of Commerce’s budget 78% over the past three years—making it impossible for Commerce to promote Washington aerospace.
The Puget Sound Business Journal revealed the resignation Nov. 3. The Seattle Times followed later in the day.
Pontifications: Small Mississippi airport plays key role in state’s aerospace industry
By Scott Hamilton
Nov. 6, 2017, © Leeham Co.: One of my stops during my October visit along the I-10 corridor from Mobile (AL) to New Orleans, through Mississippi, visiting aerospace interests was the Stennis International Airport.
The airport is in Hancock County, an hour’s drive east of New Orleans.
This is on the eastern edge of the Stennis Space Center I wrote about last week and it benefits from being in the Space Center’s shadow. The Space Center is exempt from noise regulations. So is the airport, which enables this one-runway field to be a way point for noisy military jets and trainers and a training location for helicopter-based special forces. These are all noisy aircraft that locals view as routine, says Kevin Carlisle, director of the airport.
Pontifications: Going to space through Mississippi
By Scott Hamilton
Oct. 30, 2017, © Leeham Co., Hancock County (MS): The US Space Shuttle program ended in 2011 and NASA is sending US astronauts to the International Space Station using Russian-made rockets.
But officials want to end reliance on those launch vehicles and are working with US companies to supply the boosters and prepare for a mission to Mars.
Last week, I wrote about Boeing’s efforts to develop the Space Launch System (SLS). I spent the week of Oct. 9 going from Mobile (AL) through the I-10 corridor in Mississippi and ending in New Orleans, gaining a high level understanding of the aerospace footprint in the US Southeast.
The Mississippi portion was arranged by the Mississippi Development Authority. I’ll provide additional reporting in the coming weeks. This week, I focus on NASA’s John C. Stennis Space Center in Hancock County (MS), an hour’s drive east of New Orleans.
Pontifications: Boeing’s focus on going to Mars
By Scott Hamilton
Oct. 23, 2017, © Leeham Co.: New Orleans: Going to Mars is a daunting task, says John Shannon, a Boeing vice president and program manager of the SLS
John Shannon of Boeing. Photo via Google images.
program.
But it’s one of the greatest and most exciting challenges of today’s science community.
In a speech before the annual conference of the Aerospace Alliance Oct. 12 in New Orleans, Shannon used illustrations to explain the challenges of going to Mars. Some of the art he used are contained in this presentation (NASA Space Launch System). Boeing did not make its presentation available.
The SLS, or Space Launch System, is larger than the Saturn 5 rocket used in the Apollo astronaut and Skylab space programs in the 1960s and 1970s. It was used to send Apollo to the moon and it was the only rocket capable of launching beyond low earth orbit.
Boeing is building the rocket, which will be capable of sending supplies to Mars, followed by astronauts.
Pontifications: 49 years ago, the first 747 rolled out
By Scott Hamilton
Sept. 30, 2017, © Leeham Co.: Today is the 49th anniversary of the roll-out of the Boeing 747-100.
On Nov. 7, United Airlines operates its last 747 flight. Delta Air Lines ends it 747 service this year. Afterward, there won’t be a single US operator of the passenger model.
The 747 remains in service with US cargo carriers Atlas Air, Kalitta Air, UPS and a few others. Globally, British Airways, Lufthansa and Korean Air Lines are among those flying the passenger model.
Ted Reed, one of the writers of TheStreet.com, asked me earlier this month to give some thoughts about the 747. Below is what I gave him; he excerpted some for his column in Forbes. The focus was on US operators.
Pontifications: Revisionist history
By Scott Hamilton
Sept. 25, 2017, © Leeham Co.: The US Department of Commerce today is scheduled to release its decision on whether to impose tariffs on each Bombardier CS100 delivered to Delta Air Lines, starting this year. (The public announcement is tomorrow.)
The tariffs will be in two forms: one for dumping the aircraft at prices below that sold in the home market (Canada) and one for “injury” to Boeing.
LNC understands the total could be in the range of $32m per plane. We don’t know if this a correct figure.
Boeing told its investors conference last week it’s pursuing this complaint about Bombardier subsidies to avoid another Airbus emerging and destroying Boeing and the US aerospace industry—an idea included in Boeing’s filings with the US government.
In those filings, Boeing claimed Airbus led to the demise of Lockheed’s commercial aviation business and of McDonnell Douglas.
I think this is a bit of revisionist history.
Pontifications: Jets took 30 years to match piston efficiency
The Douglas DC-6B was considered the finest, most efficient and most reliable of the piston engine airliners. Photo via Google.
By Scott Hamilton
Aug. 28, 2017, © Leeham Co.: Airline officials want their airplanes to sip fuel and the engine and airframe manufacturers work mightily to shave even 1% off of consumption.
The Airbus A320neo, Boeing 737 MAX, A330neo, A350 and 787 all made big strides in cutting fuel costs.
Bombardier’s CSeries, Embraer’s EJet-E2, the Mitsubishi MRJ and even the COMAC C919 and Irkut MC-21 are touted to be double-digit more fuel efficient than the jets these are intended to replace.
Pratt & Whitney, Rolls-Royce, CFM and GE Aviation spend billions of dollars developing engines that drive the fuel efficiencies sought by the airlines. After all, typically airframe improvements only account for about 5% of fuel reductions. Engines account for 15% or more.
It took 30 years for the most fuel efficient jets matched the fuel efficiency of the best piston airliners from the 1950s, according a recent presentation by AeroDynamics Advisory at the ADSE conference at the Abbotsford Air Show early this month.
Pontifications: DAE acquires AWAS, moves up in lessor status
By Scott Hamilton
Aug. 21, 2017, © Leeham Co.: Commercial aviation in the Middle East may be having its severe challenges right now, but over the weekend a major step forward took place.
Dubai Aerospace Enterprises over the weekend completed its acquisition of lessor AWAS. The combined companies will do business under the name DAE Capital.
It’s a milestone for both companies.
Pontifications: Avolon sees strong sales for Boeing 737-10
By Scott Hamilton
Aug. 14, 2017, © Leeham Co.: Avolon, one of the world’s largest aircraft lessors following the acquisition of the CIT Aerospace portfolio, believes Boeing will see 2,000 of the 737-10—doubling the internal figure Boeing used to launch the program.
In a new white paper, which Avolon periodically issues, the lessor “projects that the MAX 10 will account for approximately 20% of all 737 MAX family deliveries, which would equate to around 2,000 aircraft. This compares to the A321neo, which is forecast to account for 40% of the A320neo family, with over 4,000 deliveries,” writes Steve Mason, Avolon’s SVP of Strategy.
Mason joined Avolon from CIT acquisition, where he held a similar position and likewise issued periodic white papers.
“The value proposition of the MAX 9 has been impacted by the launch of the MAX 10. It is unclear what role remains for the aircraft, but it is likely to have a limited future,” Mason writes.