In contrast to other MROs that have been spun off by their airline parents, Air Canada Technical Services (ACTS) remains a part of the Air Canada corporate family. At least for now, that is. "In the future, we will be spun off as a wholly-owned subsidiary," said Bill Zoeller, ACTS's chief operating officer.
"The global MRO market is worth $40 billion," he explained. "Right now, as a corporate division of Air Canada, we are only getting about $250 million of that. As a third-party independent, our goal is to boost these revenues to $800 million, to match the money we currently earn from Air Canada."
In order to serve the world's second largest country—only Russia surpasses Canada's 3.8 million square miles of territory—ACTS has established MRO facilities nationwide. Today, full service heavy maintenance bases are located in Montreal (east), Winnipeg (central), Calgary (west), and Vancouver (west). The MRO also has dedicated line maintenance hangars in Halifax, Montreal, Toronto, Ottawa, Calgary, Edmonton, and Vancouver; plus engine and component maintenance centers in Montreal (ACTS's corporate headquarters). "Component maintenance alone accounts for almost 30 percent of our third-party work," said Zoeller.
ACTS is certified and equipped to service Airbus, Boeing, Bombardier, and McDonnell Douglas aircraft through all letter checks (A-D). All these aircraft are currently flown by Air Canada.
Air Canada profile
Facilities: Four heavy maintenance bases. Seven line maintenance hangars. Engine and component maintenance in Montreal. Handles wide and narrow-body aircraft; also has paint facilities (Toronto) and training.
Total Hanger Space and Bays: 1.4 million square feet of heavy maintenance hanger space in Montreal, Winnipeg, Calgary, and Vancouver. Separate paint hangar in Toronto.
MRO Capabilities: Complete MRO services for airframe and engines; full checks, cabin conversions, corrosion and structural repairs, engine overhauls, and non-destructive testing.
Aircraft serviced include:
- Airbus A310, A319, A320, A321, A330, A340
- Boeing B737 (classic and NG), B747, B767-200 and B767-300
- Bombardier CRJ Regional Jet
- McDonnell Douglas DC-9, DC-10,MD-11
Certifications/Approvals: Transport Canada, FAA/JAA (through bilateral Canada-U.S. agreements), CAAC (China)
Partnerships: Star Alliance; works closely with United and Lufthansa. ACTS has a joint venture with Lufthansa Technik to provide CRJ parts in Europe. It is a member of the AeroXchange online parts-sharing network.
Annual Manhour Capacity: Approximately 9 million
Total Staff: 6,200
Total Licensed Engineers: 1,450
Total Licensed Airframe Engineers: 525
Total Licensed Engine Engineers: 450
Goal: "Our intent� is to get a larger share of the $40-billion MRO market," said Bill Zoeller. "We want to triple our current $250-million slice by 2009
Lufthansa Training Takes a U.K. Partner
Lufthansa Technical Training recently joined forces with its first U.K. partner, Blakebrook International, to form Lufthansa Resource Technical Training, or LRTT. Lufthansa Technical Training has taken a 51-percent stake in the company, the end point of which is to provide custom-made technical training in maintenance and overhaul for both U.K.-based and other clients.� While the partnership contract was signed in February 2003, the deal became effective mid-year and a first British client came on board at that time.
While Lufthansa Technical Training has more than four decades of experience in providing repair and maintenance training for its parent, Lufthansa Technik, the company has enacted partnerships or alliances with companies around the world including the Philippines, China, and Chile. Such a partnership has been sought for some time in the U.K., and the Blakebrook deal is the outcome.� LRTT will provide technical training in MRO through courses complying with the requirements of JAR 66.� JAR 66 is intended to provide a single standard for future aircraft maintenance personnel throughout the JAA countries but is increasingly seen as the defining standard for aviation maintenance training.
The deal is mutually beneficial in that Blakebrook was looking to expand its business portfolio.� Adrian Leatherland, senior director of the company, explained that airline pilots, cabin crew, and other personnel are given comprehensive training now in the company's program of courses, and the company has delivered a growing amount of human resource services for the aerospace industry.
Based in Cwmbran, Wales, Blakebrook's origins go back to the 1960s, but the facility at Cwmbran is a product of more recent times. Cwmbran is located 10 miles from the major town of Newport, which adjoins the M4 motorway and provides a direct two-hour link to Heathrow Airport and thence to London. It also offers mainline rail connections to the rest of the U.K., with air services from the Welsh capital airport at Cardiff.� The LRTT training center has fully-equipped, state-of-the-art facilities, including a workshop and air-conditioned classroom.� At nearby St. Athan airfield, LRTT has a practical training area with a sheetmetal and composite repair workshop, teaching engines in the form of Rolls-Royce RB211 and M45 turbine engines, plus an Airbus A320 undercarriage.
The heart of the practical training is an operational VFW 614, a small German jet airliner that is owned by LTT but kept at St. Athan for the training program.
Adrian Leatherland noted that while he is senior director of Blakebrook, in matters of MRO training he reports to the supervisory board of Lufthansa Technical Training. The U.K. manager for MRO training at Cwmbran is Bob Keen, while there is also a German training manager in residence.
Apart from the Lufthansa MRO training partnership the company is independent and continues with its program of business expansion, offering services to airline and other aviation clients.
At the time of writing LRTT was halfway through an MRO training program for its first client, FLS Aerospace.� Leatherland said that in 2004 he expects to report on the signing of several more training contracts.