Intelligence: News

Gulfstream Cuts the Ribbon on Phase I of New Savannah Service Center

You hear a lot of manufacturers say, "service sells airplanes." But very few of them put their money where their proverbial mouth is like Gulfstream Aerospace did when they celebrated the grand opening of Phase I — their state-of-the-art Savannah South Service Center.

Located at 1 Product Support Road, the new Savannah Service Center is part of a seven-year, $400-million long-range expansion plan for the company’s Savannah headquarters, manufacturing and maintenance facilities. Phase I of the Service Center expansion is highlighted by a 136,200 — square-foot hangar building that can accommodate up to 18 large-cabin aircraft. When Phase II is completed in 2009, the aircraft hangar space used for maintenance will more than double to 282,300 square-feet — making it, according to the company, the largest purpose-built business jet aircraft maintenance facility in the world.

"In our old service center across the runway, we could work on up to 18 of our aircraft under one roof at any one time," stated Gulfstream President, Joe Lombardo. "In 1996, that worked great. Today we’re working on up to 40 aircraft on any given day. With the unprecedented growth of our Gulfstream fleet in the past decade, we needed more space to service them. This center is the result."

"We are using both the old ‘north’ facility and the new ‘south’ facility for maintenance, overhauls and cabin work until Phase II is completed," added Mark Burns, Gulfstream’s VP, customer programs. "We needed the space to keep up with demand."

When the entire Savannah Service Center is finished it will cover more than 76.6 acres of land on the southwestern corner of Savannah-Hilton Head Airport. To help meet anticipated demands, the company has positioned power and other service connections around the perimeter of the ramp area, which will allow aircraft to be serviced inside and outside the hangars.

Burns said that in 2006 alone, Gulfstream serviced more than 11,600 Gulfstream and non-Gulfstream aircraft at company-owned facilities, and the majority of that work was done in Savannah. And it’s not just U.S.-based aircraft that make the trek to coastal Georgia. A walk through their mammoth new hangar uncovers Gulfstreams registered to companies, governments and individuals from around the world.

Yes, as global business starts heating up, it’s a good time to be selling and maintaining business jets. "2007 is the first time ever that international sales are outpacing domestic U.S. sales," Burns said. "And the kind of product support that ensures the ‘Gulfstream ownership experience’ is a big goal for us." But that’s nothing different for the company.

"40 years ago [when] Gulfstream came to Savannah, we started with 100 employees — 10 ‘imports’ and 90 from the Savannah area. In 1967, we built only one model," Lombardo said. "Today we employ more than 5,500 people in Savannah. A lot has changed since we arrived here — but three important factors remain the same: our products, our service and support, and our employees.

"It’s because of their efforts that this company is as successful as it is," he continued. "This expansion is the direct result of this success." — by Dale Smith

Dubai Aerospace Enterprises Makes Strides to Increase its Global MRO Operations

Whoever says that the aviation maintenance business doesn’t move fast has not been watching the amazing inroads that Dubai Aerospace Enterprises (DAE) has been making. Since its formation in early 2006, Dubai-based DAE has built a global aerospace, manufacturing and services organization.

Key acquisitions have been at the heart of DAE’s growth plan and two of the most significant were the company’s acquisitions of Landmark Aviation and Standard Aero on July 31st of this year. "As part of DAE, an innovative and growing aerospace group, Standard Aero and Landmark Aviation together form one of the world’s largest independent aircraft service organizations," said Rob Mionis, chief executive officer, DAE engineering. "The companies offer a broad range of services in diverse locations and intend to continue to grow globally and expand their services."

The combined companies currently provide a full-range of aircraft service capabilities in North America, the Netherlands, Singapore and Australia. The maintenance and service capabilities found in Standard Aero and Landmark Aviation complement DAE’s increasingly diverse set of offerings that currently range from MRO services for all types of aircraft, to financing, leasing and airport development and operations.

DAE also took advantage of this year’s NBAA Convention to announce that they are continuing on their rapid growth plan by acquiring TSS Aviation, Inc. for $65 million.

"TSS Aviation, Inc. is a turbine engine component repair facility and OEM authorized to repair engine parts for all major aircraft engine original equipment manufacturers," said Paul Soubry, president and chief executive officer, Standard Aero (for related story see page 14). "Not only does TSS Aviation increase the Standard Aero component repair [capabilities] — but it also brings significant new technology and capability to the DAE repair portfolio.

"We gain extensive new capabilities, along with exceptional quality and an on-time delivery record," he added. "All of which make this a tremendous strategic fit for both Standard Aero and Landmark Aviation."

TSS is a full-service component facility, providing mid- to large-aerospace gas turbine engine repairs for OEMs and airlines. Fully aligned with the engine OEMs, TSS holds authorizations for several engines, offering rapid repair development and advanced composite and electron beam welding repair technologies.

Of course, DAE’s growth isn’t all coming through acquisitions. The company also announced that Standard Aero is beginning a $5.5 million expansion at their Maryville, Tenn. facility, which is authorized to provide maintenance on several popular turbine engines including the new-generation Pratt & Whitney Canada PW610/615 engine family.

"The expanded Standard Aero facility near Knoxville will offer more space and services for new aircraft engines, as well as engines currently in service," Soubry said. "The expansion will initially add 10,000 square feet to our existing 120,000-square-foot facility."

He emphasized the fact that together the MRO companies now offer a wide range of engine, airframe and accessory services for business, regional, military aircraft and helicopters. "Together these companies have 12 major service operations around the world and 14 regional support locations offering customers throughout the world a full MRO portfolio that includes engine and airframe services for business aircraft, avionics, retrofits, modifications and interiors and paint," Soubry said. — By Dale Smith

Lufthansa Technik to Provide Total Solution for German Government’s Fleet Upgrade

Lufthansa Technik took advantage of NBAA 2007 to announce that the company has been selected as the prime contractor in charge of procurement, completion and technical support for the modernization of the medium-range fleet supporting Germany’s Ministry of Defense’s Special Missions Wing.

Under the terms of the program, Lufthansa Technik will negotiate the contractual terms for the procurement, outfitting and technical support for two Airbus A319 Corporate Jetliners and four Bombardier Global 5000 aircraft.

Specified with a 48-seat executive interior, the two new A319s will be outfitted by Lufthansa Technik in Hamburg and are schedule to be delivered in 2010. The four Bombardier Global 5000s will be completed by the Bombardier completion centers and are scheduled for delivery in 2011. The six new aircraft will be replacing the German government’s current fleet of Bombardier Challenger 601 jets.

Lufthansa Technik’s other "big jet" news at NBAA was the announcement that the company has signed letters of intent for the completion of two, wide-body Airbus A330-200 aircraft. Both aircraft will be outfitted at Lufthansa Technik’s facility in Hamburg, with the first aircraft arriving for completion in early 2008.

"We are very honored to be entrusted by the owners to perform the interior completion of their new wide-body aircraft," said August W. Henningsen, chairman of the executive board of Lufthansa Technik. "Lufthansa Technik has a long tradition in VIP completions for wide-bodies. With the new commitments we once again demonstrate our ability to realize the most challenging and exclusive interiors for our VIP customers."

Lufthansa Technik’s Hamburg facility has completed and modified more than 30 wide-body aircraft. According to the company, the facility is capable of handling VIP jets up to the size of the Airbus A380 and their completion center is ready for other wide-body executive aircraft including the Boeing 787 and the 747-8. Not surprising considering Lufthansa’s long history with Boeing’s Jumbo Jets. So far more than 15 big Boeings have been either completed or undergone extensive refurbishments at Lufthansa’s facility.

The company is quick to point out that state-of-the-art VIP interiors and integration of the latest technologies for in-flight entertainment and communications are not the only things that keep operators coming back. Lufthansa Technik also offers customers a host of "full-scale services" after the jet has left the hangar in Germany. For example, through their Platinet Global Support Network, Lufthansa Technik, along with its global partners, provides everything from operational and technical support to FBO services. VIP customers only need one number, +800 PLATINET to gain access to the vast array of specialized services on a 24/7 basis.

NBAA is a "Gas" for Elliott and Air BP

Elliott Aviation announced that it has selected Air BP Aviation Services as the exclusive fuel provider for its Moline, Ill., Omaha, Neb., Des Moines, Iowa and Eden Prairie, Minn. locations. While customers will see an immediate change in branding with the new green and yellow Air BP signage, Elliott’s VP, marketing and sales Dan Frahm stressed that, "This is more than just selling fuel."

He explained that under the new agreement, Air BP will provide Elliott’s locations with a full range of operational and support services including a five-day training program for all Elliott service personnel on topics including safety, quality and customer service.

"Air BP’s training, customer service programs and marketing are an added-value to our company and were major factors in our decision process," added John Mansfield, VP, of FBO services for Elliott Aviation. "We are excited about our new partnership and being able to provide additional benefits to our customers."

"We are pleased to be selected to provide Elliott’s aviation fuel needs," said Steve McCullough, Air BP, VP of sales and marketing. "We believe that the union of Elliott’s first-class operation in tandem with Air BP’s aviation knowledge base and fuel offering provides a powerful combination in the market place."

Dassault Aircraft Services Upgrades Little Rock Service and Completion Centers

Dassault Aircraft Services has announced plans to expand the size and capabilities of both its Little Rock Service and Completion Centers.

"The unprecedented demand for Falcons around the world requires that we continuously evaluate the need to grow our production facilities," said John Rosanvallon, president and CEO of Dassault Falcon. "With the 7X now certified for deliveries and with the recent announcement regarding the new Falcon 2000LX, Little Rock will be busier than ever completing the best business jets in the sky." The company previously announced that to keep up with demand for Falcons, they would be adding more than 200 jobs during the next two years.

When completed, the expansion to the Little Rock Completion Center will add 116,000-square-feet of production, design and warehouse space. The additional production space will include a four-bay EPA Title V approved paint facility, new engineering facilities and a 20,000-square-foot addition to the flight test line. Once the $20 million expansion is complete in 2008, the Little Rock Completion Center will measure 827,000 square feet.

The company also announced a program to double the service square footage of their Little Rock Service Center by the end of 2008. The project will break ground in the fourth quarter of 2007. When completed, the new hangar will be able to accommodate up to six additional aircraft and will feature new "back shop" capabilities to handle light refurbishments of aircraft interiors and structures, tasks that were previously handled by the completion center.

According to the company, nearly 100 new jobs will be added during the next three years as a result of the Service Center expansion with the majority being aircraft maintenance technicians and craftsmen.

Dassault Falcon Expands Size and Capabilities of Wilmington Facility

In a recent ceremony, Jack Young, president of Dassault Aircraft Services and Delaware Governor Ruth Ann Minner announced a multi-year expansion plan for Dassault Falcon’s Wilmington facility.

"With Dassault facilities worldwide as busy as ever... we needed a facility that could handle the demands of our completion overflow with a dedicated workforce, an exacting eye to detail and a commitment to the customer," Young said.

Initial completions at the newly expanded facility will include NetJets, Inc. aircraft for the Falcon 2000 family under a subcontract agreement with Dassault’s Little Rock Completion Center. According to the company, about 12 Falcon 2000s will be completed in Wilmington beginning in 2008.

To handle the added workload, the Wilmington Service Center will add another 30 maintenance and technical personnel by the middle of 2008. Employment at that time will be at about 400 personnel, more than double the number of employees that the facility had when Dassault purchased it in 2001.

Dassault Falcon Drops "Supplemental Billing" on Genuine Dassault Falcon Replacement Parts

Not everything is "growing" at Dassault Falcon. The company announced at NBAA that it is "virtually eliminating" supplemental billing — a standard practice in the aircraft parts industry — effective immediately.

"We’re taking the lead in changing the way our industry does business in this area," said Frank Youngkin, VP of Falcon Worldwide Spares. "Dassault Falcon is now the only Falcon parts provider whose pricing no longer includes supplemental billing. It truly exemplifies our commitment to the customer."

Supplemental billing occurs on exchange purchases that require a substantial amount of repairs with invoices sometimes arriving two months after the original transaction. The new program applies to all genuine Dassault Falcon replacement parts with the exception of landing gear, structural assemblies and items well beyond economic repair.

"The ratio of supplemental bills compared to parts we sell is actually very small — around two percent, yet it’s an inconvenience nonetheless," noted Bob Fantozzi, spares sales & marketing manager, Dassault Falcon. "We studied this issue in depth and decided to challenge ourselves to change our policy. Our customers didn’t need the hassles, and our relationships with them are far more valuable than the costs involved from a business perspective."