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Monday, October 11, 2004

Supply Side

  • Republic Airways Holdings [RJT] has exercised one of its options for an Embraer [ERJ] 170 and placed a firm order. The 70-seat plane, configured into two cabins, will be flown for United Express. The late September order will be booked in Embraer's third quarter order book. Neither firm said when the plane would be delivered. Republic has ordered 23 170s, which initially are being flown by Chautauqua Airlines and later by Republic Airlines.
  • In other news, Embraer and ExpressJet Airlines [XJT] established a program, Embraer Collaborative Inventory Planning, to manage the airline's spare parts inventory. The program will manage over 3,100 parts among eight maintenance bases. Embraer will have the responsibility for making sure parts are available when and where needed, making it possible to reduce lead-time and inventories. The program will be administered by EACS, Embraer's U.S. customer support subsidiary. ExpressJet is Embraer's largest customer flying 240 RJs.
  • FlightSafety's full flight ERJ 135/145 simulator at the company's Dallas learning center has been certified by the Federal Aviation Administration (FAA) as meeting "D level" standards. In another item, Europe's Joint Aviation Authority (JAA) has approved the G-550 full flight simulator for Gulfsteam business jets. The simulator has already received FAA's D level certification.
  • Independence Air has become the first carrier to offer a new Caribou Coffee Co. blend, especially mixed for high altitude brewing. Privately held Caribou is the operator of the second largest chain of coffee houses in the country.
  • Aviall [AVL], a provider of aftermarket supply-chain services to the aviation and marine industries, expanded its central distribution facility and corporate headquarters in Dallas. The addition of nearly 30,000 square feet of new space was completed last month.
  • Charter Aerospace Partners has been formed as an umbrella holding company by Hartzell Propellers. Charter has purchased Industrial Tube Corp., a provider of non-metallic tubes and special shapes for all aircraft manufacturers. The California-based firm has 70 employees.
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