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July 2019


Mitsubishi Heavy Industries and Bombardier have entered into a definitive agreement, whereby MHI will acquire Bombardier's regional jet program for a cash consideration of $550 million, payable to Bombardier upon closing, and the assumption by MHI of liabilities amounting to approximately $200 million. Under the agreement, Bombardier's net beneficial interest in the Regional Aircraft Securitization Program (RASPRO), which is valued at approximately $180 million, will be transferred to MHI.


            Pursuant to the agreement, MHI will acquire the maintenance, support, refurbishment, marketing, and sales activities for the CRJ Series aircraft, including the related services and support network located in Montréal, Québec, and Toronto, Ontario, and its service centres located in Bridgeport, WV, and Tucson, AZ, as well as the type certificates.


            This acquisition is complementary to MHI's existing commercial aircraft business, in particular the development, production, sales and support of the Mitsubishi SpaceJet commercial aircraft family. The maintenance and engineering capabilities of the CRJ program will further enhance critical customer support functions, a strategic business area for MHI in the pursuit of future growth.


The CRJ production facility in Mirabel, Québec will remain with Bombardier. Bombardier will continue to supply components and spare parts and will assemble the current CRJ backlog on behalf of MHI. CRJ production is expected to conclude in the second half of 2020, following the delivery of the current backlog of aircraft.


            Bombardier will also retain certain liabilities representing a portion of the credit and residual value guarantees totalling approximately $400 million USD. This amount is fixed and not subject to future changes in aircraft value, and payable by Bombardier over the next four years.

            The transaction is currently expected to close during the first half of 2020 and remains subject to regulatory approvals and customary closing conditions.


Airbus is in the process of integrating the A220 programme into the Airbus Customer Support & Services network. This will leverage Airbus’ experience and resources in the following areas: field service representatives (FSRs) and customer support directors (CSDs); training materials; cabin operations; fleet performance; and flight simulation products.

To accomplish this, the specific integration streams are being rolled-out as follows:


•           Airbus is providing FSRs to support the A220 fleet. CSD support will be provided by either Airbus Canada or Airbus, dependent on the set-up within an individual operator.

•           Airbus is developing for Airbus Canada the flight, flight attendant and maintenance training courseware content. This material, which will become available starting next year, will be used by the A220 Approved Training Providers. Accordingly, Airbus will replace Bombardier’s Flight Attendants Training Guidelines with an A220 Cabin Crew Operating Manual by mid-next year.

•           Airbus Canada is shifting to Airbus tools and methodology to compute the A220 aircraft reliability and other performance metrics which will provide a harmonised experience with other Airbus platforms. Leveraging Skywise capabilities, Airbus Canada will thus offer new digital tools for improved processes in the coming year.

•           Airbus Canada and Airbus teams are preparing the transfer of the support to operators and training device manufacturers related to simulator data package and hardware. This activity will take place during the summer.


In addition, all material services (trade parts and smart parts) will be led by and under the responsibility of SATAIR and Airbus Flight Hours Services (FHS) respectively to support the A220 programme. Airbus Canada, Airbus FHS, SATAIR and Bombardier are currently working on a transfer plan together with the A220 operators that will materialise by the end of the year.

Last but not least, Airbus maintenance operations and working parties teams will also take over from Bombardier’s A220 mobile repair team (MRT) for all major repair needs. This transition will last about a year, and in the meantime Airbus Canada and Bombardier MRT will support customers until the Airbus teams are fully operational on the A220.


Embraer has launched IKON, a cloud system for capturing, storing and analysing high volume data for the predictive maintenance of the E-Jets family. The new system is totally based on the Amazon Web Services (AWS) platform and was developed by Embraer, with the support of the suppliers AWS ProServe and Claranet, using Big Data and Analytics technologies to deliver 96% productivity gains in the aircraft analysis and data processing, setting new standards in aeronautical services and support.


            Offering a high degree of scalability, elasticity, durability and analysis, the system delivers efficient management of processing and storage capacity, making possible for Embraer to optimise the data ingestion time of the E-Jets E2. The E2 family produces about 100GB of directly accessible information per year. Using AWS’s set of analytics services, this new technology identifies data patterns, and is even able to pinpoint and solve potential aircraft issues before they occur. This ability to perform predictive maintenance will help deliver new feature enhancements to the E2 and accelerate the delivery of improvements to previous models.


Thanks to an expedited routing and analysis system, this high volume of data is able to be transmitted for prompt action. With IKON, the automatic data collection went from 12 days to an immediate process, guaranteeing data is ready to be analysed five minutes after its generation in the aircraft.

            The high volume of data and the demand for faster and more accurate decisions require technologies to capture, store and connect information across a network. When the aircraft lands, the Embraer Ground Server (EGS) uses AWS to automatically connect to the aircraft and handle flight data downloads via a Wireless Server Unit (WSU). The transmission to the platform is completed in about five minutes. Next, it is transferred to the IKON data lake, allowing engineers to analyse this information efficiently.


AWS is the provider of the entire cloud infrastructure, which offers security, agility, high processing power, analytical tools and cost management – a pay-per-use service, meaning that users only pay for what they use. The AWS ProServe team, the company's professional services division, joined forces with Claranet on the design and implementation of the IKON project and worked to ensure the quality and best practices of data analysis, providing state-of-the-art architecture in terms of efficiency, data quality and scalability.


IKON is now available in the customised support packages for each customer offered by Embraer Services & Support.


ST Engineering has announced that its Aerospace arm and Vietnam Airlines Engineering Company (VAECO), a subsidiary of Vietnam Airlines, have incorporated a new joint venture company, Vietnam Singapore Technologies Engineering Aerospace. This follows the signing of an MoU in April 2018. ST Engineering has a 49% stake in the JV, which was set up with a paid-up capital of $3.9 million, with the remaining 51% held by VAECO.


VAECO will leverage Vietnam Airlines’ existing maintenance facilities at Noi Bai International Airport in Hanoi and Tan Son Nhat International Airport in Ho Chi Minh City by investing in new infrastructure for carrying out component MRO work at these facilities. The new component MRO facilities are expected to begin operations in mid-2019 to cater to Vietnam Airlines’ requirements and the region’s rising needs for aircraft component MRO services. These facilities will be equipped to support aircraft types including, but not limited to, the Airbus A320 Family and A350, ATR 72 and Boeing 787, and will carry out MRO work on pneumatics, hydraulics, electrical components, wheels and brakes as well as safety equipment.


ST Engineering also announced that its Aerospace arm has entered into a long-term collaboration with Honeywell through an agreement that will have ST Engineering acting as a licensed repair centre for Honeywell components. Under this agreement, ST Engineering becomes an official member of Honeywell Channel Partner network, and will have access to Honeywell’s maintenance document and technical support for over 2,000 individual part numbers from avionics to electrical and mechanical components. As Honeywell’s channel partner, ST Engineering will be using Honeywell’s advanced technologies and software solutions to provide one-stop component repair and overhaul services for operators worldwide.

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