As mixed signals continue in the business jet market, JPMorgan North American Equity Research says in its latest industry update that a “decisive recovery [remains] elusive.” The investment firm notes positive trends such as “solid” first-quarter business jet orders announced by Bombardier last week, as well as declining pre-owned aircraft inventories.
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There is “uneven progress” toward recovery, JPMorgan said in its latest business jet market update.
Amac Aerospace (Stand 1079) has decided to expand its business aircraft maintenance and completion activity into the widebody VVIP segment. The Basel, Switzerland-based company has signed a contract for the completion of a VVIP Boeing 747-8 cabin interior and is building an 88,000-sq-ft hangar and preparing to hire more staff.
The case for a “re-engined” Boeing 737 appears as weak as, if not weaker than at any time since the Chicago-based aerospace giant began exploring the prospect long before Airbus launched the A320neo, judging by the comments of Boeing CEO Jim McNerney at Thursday’s Cowen Aerospace & Defense Conference in New York.
Starling Aerospace Interiors in the UK has already designed and built executive interiors, delivered in kit form, for installation in RJ70s being converted to private or business aviation use. Now the London-based center is undertaking a project to design, build and certify a stateroom and lavatory kit for installation in a Boeing 757.
Republican lawmakers and conservative pundits claim that an April 20 National Labor Relations Board complaint against Boeing for building a 787 plant in South Carolina–a so-called right-to-work state–somehow arose out of the Obama Administration’s desire to punish the company for behaving in its own best interest.
“We remain guardedly optimistic about a recovery in new business jet demand this year, but the path is a winding one and data points are mixed,” JPMorgan aerospace analyst Joseph Nadol III said in his firm’s latest monthly business jet report, released late last week.
Southwest Airlines returned to its regular schedule today after finishing inspections on 77 Boeing 737-300s for fatigue cracking. The airline found “minor” subsurface cracking on two more airplanes yesterday, bringing the total to five airplanes that must remain out of service until Boeing recommends appropriate repairs and Southwest completes them.
Boeing plans to issue a Service Bulletin to describe inspection techniques for Boeing 737s similar to the Southwest Airlines 737-300 whose fuselage skin ruptured while on a scheduled flight from Phoenix to Sacramento on April 1. Flight 812 diverted to Yuma, Ariz., for an emergency landing at 5:07 p.m. after a hole developed in the top of fuselage.