Paris Air Show: Qatar and others

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Introduction

June 1, 2015, c. Leeham Co. It could be called the Qatar Airways Air Show.

Qatar Airways plans to have five airliners on display at the Paris Air Show in two weeks: the Airbus A319, A320, A350, A380 and the Boeing 787. The carrier hasn’t announced whether it will provide an aerial display as it has at previous air shows, but Qatar may well have more airliners there than Airbus or Boeing.

As for manufacturers other than Airbus and Boeing, we don’t expect anything of consequence from these.

Summary

  • Irkut, COMAC, Mitsubishi, Sukoi and ATR are other major aircraft producers that will be at the Paris Air Show.
  • Engine makers CFM International, GE Aviation, Rolls-Royce, Pratt & Whitney and Engine Alliance will also be there.
  • An update on Airbus expectations.

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Bjorn’s Corner: Airbus Innovation days, activities and program updates.

By Bjorn Fehrm

By Bjorn Fehrm

Introduction

28 May 2015, C. Leeham Co: I am in Toulouse today attending Airbus Innovation days for Leeham News. It has been a good day’s briefings and I have presented what was perhaps the biggest change since we last met Airbus in the article “Airbus A350-1000 getting real”.

Apart from this program, there were more standard updates on Airbus other activities and programs. Here follows a rundown on these updates in a more paraphrased form.

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Paris Air Show: Bombardier

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Introduction

March 17, 2015, c. Leeham Co.: Bombardier and air shows just don’t get along.

In 2009, there was wide anticipation at the Paris Air Show that BBD would announce a deal with Qatar Airways for 20 CS300s. The contract was ready. Instead, Qatar ordered a combination of Airbus A319/320neos after the French government pressured the Qatari government to avoid giving the CS300 a major boost on French soil. Given how persnickety Qatar Airways CEO Akbar Al Baker later proved to be with Airbus, Boeing and Pratt & Whitney, Bombardier is probably lucky this deal collapsed.

But subsequent air shows proved no better for BBD. Expectations arose and were inevitably dashed.

One reason: under Canadian law, orders and even letters of intent and MOUs must be announced within 24 hours. But BBD just couldn’t seem to make a sale. We’ve written several times about circumstances that went beyond BBD’s ability to control events, but clearly there was something more fundamentally wrong that this year, at long last, is being addressed through executive changes and corporate restructuring.

What does this mean for BBD at the Paris Air Show this year?

Summary

  • Don’t expect much in the way of orders.
  • Look for detailed information about the CSeries flight test performance and results.
  • CSeries will make a big appearance at the show.
  • The new executive team will be equally on display.

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The higher level game

By Bjorn Fehrm

Introduction

May 4, 2015, c. Leeham Co. The other day one of our readers asked something along the lines, “now that Airbus has the A320neo 20% more efficient than today’s A320, how shall Boeing’s 737 MAX fair in the market? It is only 15% more effective and there are question marks around the LEAP-1B?”

This made me realize that marketing works. I decided to write about the phenomenon that the OEMs seem to find further improvements all the time and how these continually higher improvements seem to work beyond the physical laws as we know them.

The answer boils down to the fact that there is more than meets the eye around how much fuel an aircraft uses to transport people from A to B. In fact, the OEMs’ marketing departments excel within the complexity of the task and can always find a way to say “my mousetrap has now improved another x% and is therefore Y% better than yours”.

To cut through these marketing moves one need a bit of background and first grade math. Let’s see how they do it. Read more

Paris Air Show Preview: Airbus

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Introduction

May 3, 2015, c. Leeham Co. The Paris Air Show is June 15-19 for the trade/industrial portion. Beginning this week, Leeham News and Comment will provide our Airbus_logo_3D_BlueMarket Assessment and insight about what to expect. We begin this weekly exercise by looking at Airbus. Future posts will look at Boeing, Bombardier, Embraer and other major players at the PAS.

Summary

  • First, an overarching look at what to expect;
  • What to expect for Airbus at the show;
  • The future of the A380neo;
  • Outlook for the A330ceo/neo; and
  • Outlook for the A321LR.

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Can PIPs bring the A380 what Emirates Airlines wants?

By Bjorn Fehrm

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Introduction

26 April 2015, C. Leeham Co: With Emirates Airlines deciding for Rolls-Royce Trent 900 engines for its 50 new A380s and admitting that it would accept that this could be for all of them if Airbus does not proceed with an A380neo, the time has come to look at how much incremental improvements can be brought on the present A380.

Our proprietary aircraft model is particularly suited for such studies as we can change any parameter and read the result off the efficiency scale. We can also play with the aircraft’s configuration and see what effect it will have. Based on Emirates’ new configuration of A380s equipped with the Trent 900 engine, we have checked what incremental improvements are doable and what would they bring.

Summary

  • Our deep analysis of 18 Dec. 2014 showed that the present A380 is the most economical aircraft one can operate if one can fill it to normal load factors.
  • Emirates COO Tim Clark complements this fact with the statement, “It is Emirates’ most profitable aircraft” in the press conference in London last week when announcing the Trent 900 deal with Rolls-Royce.
  • Clark’s statement also covers the fact the passengers prefer A380 over other aircraft if they have a choice, it operates with higher load-factors then Emirates other aircraft.
  • The A380 is a rather special design and its characteristics make Product Improvement Packages, PIPs, possible in a number of areas. We discuss which they would be and model their effect on overall performance.
  • While the sought-after 10%-13% improvement would not be in there, incremental changes can cover up to half of that with more or less plausible business cases. Airbus is right now deciding which of these they see as worthwhile and introducing them.

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Boeing 737 MAX: performance if engine has SFC shortfall

By Bjorn Fehrm

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Introduction

14 April 2015, C. Leeham Co: There have been persistent reports that the CFM LEAP engines should be behind their fuel consumption targets. We commented on these rumors recently. It’s normal for engines to be behind final SFC to varying degree during development, this is part of the gradual development and fine-tuning of an engine until its entry into service point.

As we commented before, the key is not where an engine is two thirds through its development but if the engine would fill specification at Entry Into Service (EIS). Gaps to final specifications are normal during development, should there remain any gap at EIS it would also not be the first time this happened. Engines where target specifications are met from day one are historically in the minority. As we are in the unique situation to have a complete airliner performance model, we have modeled how any engine performance gaps would actually affect aircraft performance.

Summary

  • We have investigated what any shortfall of LEAP-1B SFC would mean for the aircraft. For situations where there would remain any deficit at EIS we choose to look at 2.5% and the rumored 4.5%.
  • Finally, we compared these two situations with a 737 MAX that would have nominal performance LEAP-1Bs and looked at the improvement in performance for all three compared to today’s 737NG.

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Aviation Partners Boeing: next step–scimitar for 757, 767

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Introduction

April 14, 2015: Several airlines operate the Boeing 757 across the Atlantic on “thin” routes but sometimes have to do refueling tech stops when high westerly winds

Aviation Partners Boeing plans the Split Scimitar Winglet (SSW) for the Boeing 757 and 767. Officials plan to seek board approval on the 757 SSW this year, the 767 next year. Source: Aviation Partners Boeing. Click on image to enlarge.

occur.

The 757s are aging, with engine maintenance, repair and overhaul costs increasing under the tightly-controlled contract with Rolls-Royce and Pratt & Whitney.

Some airlines want a “757 replacement.” Boeing and Airbus don’t see a market for “just” a 757 replacement and argue the 737-900ER/9 and A321neo/LR are the replacements. Even these fall somewhat short.

Industry observers and pontificators nonetheless are obsessed with a “757 replacement” (except us—we’ve redefined the replacement as one needed for the 225/5000 Sector [225-250 seats, 5,000 miles] and concluded an airplane very similar to the 767-200 is needed).

Patrick La Moria, EVP and chief commercial officer, Aviation Partners Boeing.

While all this debate is going on, Aviation Partners Boeing (APB) is close to seeking board approval to offer a scimitar option for the 757 that will improve efficiency by about another 1.5%. A scimitar for the Boeing 767 may not be far behind.

Summary

  • Scimitars and the increased range will eliminate some “tech” stop for fuel.
  • Field performance will be better.
  • Low fuel prices and prospect of scimitars (as well as lack of availability of new airplanes) may lead to longer retention of 757s and 767s.

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Shake-up continues at Bombardier

The shake-up continues at Bombardier, with new CEO Alain Bellemare replacing Mike Arcamone, the president of the commercial aerospace unit, with the former president of mega-lessor International Lease Finance Corp., Fred Cromer.

Bellemare also retained the consulting firm Plane View Partners, whose CEO, Henri Coupron, was the former CEO of ILFC. Both men lost their jobs when AerCap purchased ILFC, making AerCap the second largest lessor in the world (behind GECAS).

Arcamone’s days were considered numbered once Bellemare was named CEO in February.

Landing Cromer is a major positive for Bombardier. Arcamone’s strength was production, for which the CSeries program benefited as it was challenged by supply chain issues. But Arcamone, who came from the auto industry, didn’t have aviation sales experience. Cromer’s experience as president of ILFC brings sorely needed direct commercial aviation know-how to Bombardier, complimenting Bellemare’s background from Pratt & Whitney.

Coupron’s involvement is also a major positive. In addition to his time as CEO of ILFC, Coupron had a long career at Airbus, followed by a short tenure at consultantcy Seabury Group before joining ILFC.

These are major steps that will help remake Bombardier’s commercial unit and give support to the CSeries.

Bellemare is expected to complete his studies and recommendations how to remake Bombardier and the aerospace programs in advance of the Paris Air Show in June.

2030 decade airplanes need new shapes for better efficiency

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Now open to all readers.

Introduction

April 6, 2015, c. Leeham Co. The next 15 years may well be the last new airplane programs of major airliners that look like today’s tube-and-wing aircraft because demands for new efficiency will require go beyond what engines can do within a reasonable size, says Alan Epstein, VP of technology and environment at Pratt & Whitney.

  • Part 1 of our interview with Alan Epstein looked at the next new airplane, the Middle of the Market aircraft (MOM). Today’s Part 2 looks beyond MOM (and it’s not DAD).

Major changes to the airframe will have to provide added efficiency gains in combination with new and evolving technology from today’s engines.

The next new airplane, the so-called Middle of the Market (MOM) aircraft, will look like today’s airplanes. The next plane after that, the replacements for the Airbus A320 and Boeing 737 families, will probably be the last iterations of the planes of today. After that, new designs are likely to emerge, Epstein says.

Summary

  • Tomorrow’s airplanes need to revise the fuselage design to increase efficiency.
  • Airplanes after 2030 may look different than the tube-and-wing configurations of the past decades.
  • Four engine airplanes may make a return.

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