It seems inconceivable that next November’s Dubai Airshow, the tenth in a series that began modestly in 1989, will be the last at the new site inaugurated just 10 years ago. But in 2009 the aerospace caravan will be pitching camp at the new Dubai World Central (JXB) Airport in Jebel Ali, 40 kilometers and another huge leap of the imagination away.
United Arab Emirates
Dubai plans investments totaling $82 billion in aerospace over the next 10 years in support of its aim to become the world’s aviation and logistics hub.
Mubadala Development Co. PJSC, a strategic investment and development company owned by the government of the Emirate of Abu Dhabi, has signed a memorandum of understanding with Boeing to explore aerospace opportunities.
Abu Dhabi Systems Integration, the United Arab Emirates joint venture of Selex Systemi Integrati (a Finmeccanica company), and Abu Dhabi Ship Building have signed a three-year contract worth more than $6.75 million with the UAE air force and air defense (UAE AFAD) to implement the Capability Maturity Model for Integration (CMMI). This requires the use of the CMMI Appraisal Method for Process Improvement developed by the Software Engineering
In Dubai, the temperature never gets anywhere close to freezing but that hasn’t stopped the Arabian Gulf state from building an artificial ski slope. As the emirate has sought to re-invent itself as a center for tourism and commerce to ensure its economic future as oil revenues dwindle, projects like this have earned it a reputation for money-no-object spending. So why shouldn’t it add an aerospace industry to its wish list?
Business aviation is undoubtedly growing in the Middle East– both in terms of greater numbers of locally based aircraft and jets visiting from outside the region. Although support infrastructure is now improving in many places, operations can still be quite awkward, largely due to continuing bureaucratic delays with overflight and landing permits.
State-owned Dubai Aerospace Enterprise (DAE) agreed last month to purchase Carlyle Group’s Landmark Aviation and Standard Aero Holdings for $1.8 billion. If the deal makes it through the lengthy approval process as proposed, it will be DAE’s first venture into the U.S. market.
The first Middle East Business Aviation Conference is to be held in Dubai on November 19, on the eve of the Dubai airshow (November 20 to 24). The event is being run by Dubai show organizer Fairs & Exhibitions, hosted by Abu Dhabi-based charter operator Royal Jet and will have as its conference chairman Jack Olcott, president of General Aero and former president of NBAA.
SEC documents filed yesterday reveal that Dubai Aerospace Enterprise (DAE) will pay $1.8 billion–$300 million more than originally estimated–for the Carlyle Group’s Landmark Aviation of Phoenix and Standard Aero of Winnipeg, Canada. More than half of the total, $1.034 billion, is for Standard Aero. The filing confirms DAE’s commitment to selling off the Landmark network of FBOs soon after the deal is completed.
Dubai investment firm Dubai Aerospace Enterprise (DAE) at press time was in “active discussions” with Washington, D.C.-based private-equity firm Carlyle Group to acquire its Standard Aero company and Landmark Aviation, particularly its maintenance, repair and overhaul (MRO) businesses. According to sources familiar with the process, DAE is expected to pay more than $1.5 billion for the two firms.