Airbus might have to seriously consider alternative means of financing development of the A350 if the German government withholds loans of €600 million ($787 million) for the project, as reported in the German press. Airbus won’t comment, nor will German government officials, but any such development would force parent company EADS to defer to its plan to use its own funds rather than accept political influence over its decisions on work share or production locations.
The proposed 60-40 merger of EADS and BAE Systems was called off after management in both companies miscalculated the reaction of governments and shareholders. Paris and Berlin proved unwilling to give up their stakes in EADS, or reduce them to a degree that was acceptable to the two merging companies, to London, and (perhaps) to Washington.
A year after industry groups such as the Aerospace Industries Association started warning about the threatened U.S. government budget reductions known as “sequestration,” the White House has offered specifics about what the impact would be for the Department of Defense (DoD) and other federal agencies.
On October 6 Israel shot down a UAV over the northern Negev desert, south of Hebron and near the country’s nuclear weapons site at Dimona. The UAV entered Israeli airspace from the Mediterranean and was intercepted by F-16s from Ramon air base. According to Israeli media reports, the first Python missile fired at the drone missed, but a second was successful. The Israeli air force has released a video purporting to show the engagement.
NBAA president and CEO Ed Bolen, JSSI chairman Lou Seno and former Cessna chief Jack Pelton separately weighed in on President Obama’s remarks about “corporate jets” during the televised presidential debate last week. “Why wouldn’t we eliminate tax breaks for corporate jets?” Obama asked. “My attitude is if you got a corporate jet, you can probably afford to pay full freight, not get a special break for it.”
Gregg Slow joined XOJet as its senior vice president of sales and national accounts, the company announced today. He is also a member of the aircraft charter firm’s senior executive team. In his new role, Slow will be based at XOJet’s New York office and be responsible for new client acquisition and strategic account management nationally. Previously, Slow was a senior vice president at NetJets, where he was responsible for developing and managing sales for the New York City region, the company’s largest territory in the country.
NBAA president and CEO Ed Bolen condemned “disparaging” remarks about business aviation by President Obama in a presidential debate last night with Republican nominee Mitt Romney. During the debate, Obama called to eliminate some corporate tax breaks, saying in part, “Why wouldn’t we eliminate tax cuts for corporate jets? If you have a corporate jet, you can probably afford to pay full freight, not get a special break.” According to Bolen, “The President’s comments completely mischaracterized the businesses and groups that depend on a [corporate] airplane.”
A Syrian Arab Airlines A320 sustained serious damage September 20 when it collided feet with a Syrian military Mi-8 helicopter at 12,000 feet over Duma, Syria. At press time, sources still could not confirm whether the aircraft was on approach to Damascus International Airport (OSDI) or had just departed. The aircraft landed safely without injuries to anyone on board. The Airbus lost a significant portion of its vertical stabilizer. The helicopter, however, crashed, killing both pilots.
U.S. senators Jim Inhofe (R-Okla.) and Joe Manchin (D-WV) announced the formation of the Senate Unmanned Aerial Systems (UAS) Caucus on September 27.
Senior officials from EADS and BAE Systems are hastening to secure agreement for their proposed 60-40 merger from key governments, after the premature leaking of the deal. They must specify full details by October 10, to satisfy UK stock market rules.