Defense Exports to Set Records in 2011
Bloomberg reports that the U.S. is projected to export more than $46 billion in arms exports during 2011. Aircraft and air defense systems top the shopping lists of foreign buyers. Lockheed and Boeing were among the biggest beneficiaries of the surge. Sales are expected to increase in the future as well with projections topping $40 billion. These data point out the need for companies to get busy in the export markets and ILA 2012 is a great place to start. Read More
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Lufthansa Orders Simulator from Mechtronix of Canada
Lufthansa must like the Mechtronix simulators. They just ordered another to be delivered in December bringing their total to six. The simulators are intended to train Lufthansa pilots at their Bremen training center. Read More
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Bell OH-58 Flies for the First Time
Textron's OH-58 Block II is the souped-up version of the OH-58F Kiowa Warrior with new cockpit, new engine, transmission and rotor drive. It is designed to address (and exceed) the needs of the U.S. Army while cutting costs. Read More
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747-8F Aircraft Being Outfitted for Cargolux of Luxembourg and Other Customers
With available hanger space being gobbled up by the reworking of 787s in Everett WA, once flight testing is completed, Boeing will send five flight test 747-8s to San Antonio for completion as freighters. At least 450 additional people will be hired on a temporary basis to help take up the slack in San Antonio. They will work alongside experienced employees to finish these aircraft and deliver the first to Cargolux this summer. Read More
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Sikorsky in Surprise Win for Turkish Helicopters
Calling it a surprise win for Sikorsky, the Teal Group as well as other analysts had expected Augusta Westland to walk away with the contract. Instead, Sikorsky Aircraft Corp. won part of a $3.5 billion helicopter contract proffered by Turkey's military. The contract includes 109 utility helicopters with room for more in the future. Based on the Black Hawk model, the aircraft will be built in Turkey and will include American and Turkish parts. Sikorsky's share is expected to top $1 billion. Read More
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Export or Perish
The long knives are out and the defense budget is getting hammered from both sides of the aisle. Significant additional cuts are almost a certainty and U.S. aerospace and defense will need to seek expanded and new international markets to fill the void. The expected cuts have triggered alarm bells at AIA but the debate is not if both defense and domestic programs will be cut but rather how much. Read More
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Lower Launch Prices Expected
SpaceX is bringing lower process to launch services and doing so not only domestically but in international competition. Breaking in as a player with the current duopoly of Ariane and ILS has been a struggle for SpaceX but as predicted by Elon Musk, the job can be done for less without sacrificing quality. Arguments that there will be too much capacity and too little work notwithstanding means that barring closed market provincialism, competition will increase and prices should trend downward. Read More
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