July cancellations push Max backlog cut to 860 for the year
August 13, 2020
Boeing’s 737 Max backlog declined nearly 20% in the first seven months of 2020, with the company stripping more than 850 jets from its books due to order cancellations and accounting adjustments. The tally includes recently released data from July and comes as Boeing tackles the dual challenges of the 737 Max grounding and the airline industry downturn. Despite those pressures, however, Boeing says its backlog remains strong.And aerospace analyst Michel Merluzeau suspects the Max will have a strong future, assuming the aircraft safety returns to service. Boeing has predicted that the US Federal Aviation Administration will certificate the aircraft in time to allow Boeing to resume deliveries in the fourth quarter. Chicago-based Boeing says that in July customers cancelled another 43 737 Max orders. Those bring to 416 the number of Max orders cancelled since the start of the year, according to data from Boeing. Lessors have accounted for the majority of the 416 Max cancellations so far in 2020. They nixed at least 289 Max orders, or about 70% of the total, figures show. Those lessors include companies like AerCap, Air Lease, Avolon and GECAS. Airlines have cancelled at least 71 of the jets – or 17% – while the remaining 56 cancellations come from unnamed customers and include Boeing Business Jet variants of Max. Additionally, Boeing says that in July it stripped nine 737 Max from its backlog to comply with its ASC606 accounting guidelines. In the period from January through July, Boeing has removed 448 Max orders from its backlog to comply with those guidelines. The airframer still holds contracts to sell those jets but has less certainty about the likelihood that the sales will close. The combined changes, plus nine 737NG deliveries this year, left Boeing’s Max backlog at 3,543 jets at the end of July, down 19% from 4,398 jets at the end of 2019, data shows. But analyst Merluzeau, who works at consultancy AIR, can envision airlines placing additional Max orders once the industry recovers, and he suspects Boeing may have success selling cargo or military variants of the jet.Merluzeau estimates that the Max grounding and the industry downturn each account for about half the Max’s backlog tumble. He also views the pandemic as impacting Boeing and Airbus about equally. In the first six months of 2020, customers cancelled 66 Airbus jets, according to Cirium fleets data.
Source: Cirium
French pilots strongly back Transavia’s domestic evolution
August 13, 2020
Air France-KLM Group has secured a vital agreement with pilots which will enable the budget operation Transavia to conduct domestic services in France. French pilot union SNPL has strongly backed the agreement, with members voting over 90% in favour after a turnout of nearly 83%. Air France-KLM says the vote illustrates the “responsibility” that cockpit crews are taking in the “crucial juncture” as the company plots a recovery from the air transport downturn by overhauling its notoriously loss-making French domestic network. French domestic flights have faced strong competition from budget rivals as well as the high-speed rail network, and Air France wants to capitalise on a deal, signed last year, permitting the expansion of Transavia’s French fleet beyond 40 aircraft. Transavia already operates from bases at Paris Orly, Lyon, Nantes and Montpellier on over 100 routes within Europe and the Mediterranean region. Air France will reinforce the Orly base with Transavia domestic services, while holding on to specific routes – including Toulouse, Nice, Marseille and Corsica – with its ‘La Navette’ shuttle operation. But its plan also involves surrendering routes from Paris Orly where a competing rail link of up to 2h 30min exists. Transavia will be used to expand from a mini-hub in Lyon, as well as its other two bases at Nantes and Montpellier. The budget airline’s route network is yet to be detailed. “Development of Transavia on the French domestic market is a key step in the [Air France] strategic plan to improve its financial performance,” says Air France-KLM Group, adding that Transavia will enable Air France to be competitive in “each sector in which it operates”. Air France’s regional carrier Hop will complement both the Transavia operations from Lyon and the Air France network at the flag carrier’s Paris Charles de Gaulle hub. All the changes will take effect by 2023. “Air France’s domestic market is one of our group’s strategic assets,” says Air France chief Anne Rigail. “Connecting the French regions and linking them to the rest of the world is integral to our business. To ensure this activity continues, it is now essential to restore its balance.” SNPL states that the vote, which concluded on 12 August, “clearly illustrates the pilots’ desire to get involved” in both the future direction of Air France and the development of Transavia’s French operation.
Source: Cirium
Rolls-Royce finds premature blade wear on Trent XWB
August 12, 2020
Rolls-Royce is inspecting Airbus A350-900-powering Trent XWB-84 engines after "unexpected wear" was found on intermediate-pressure compressor (IPC) blades in several engines nearing their first regular overhaul. The UK manufacturer disclosed the information ahead of an airworthiness directive from the European Union Aviation Safety Agency, "to address any potential speculation which may result". Rolls-Royce says the issue was identified during "routine inspections" on a "small" number of engines with ages of four or five years. Noting that "currently just over 100 Trent XWB-84s" in that age bracket are in service, Rolls-Royce says: "We have inspected the majority of them and found signs of wear on an average of only one or two IPC blades in a minority of those inspected. We have also taken the precaution of sampling a number of younger Trent XWB-84 engines and have found no unexpected wear." The affected engines were approaching their first overhaul. "None of these engines have experienced any abnormal in-flight operation," says Rolls-Royce. "However, we are inspecting all other Trent XWB-84 engines of a similar service life as a precaution." The Trent XWB is the sole engine available for the A350. Trent XWB-84s are used on the A350-900, which entered service in 2015. The larger A350-1000, which entered service in 2018, is equipped with Trent XWB-97s. Rolls-Royce says the IPC blade issue can be addressed through "limited... additional work" during "existing shop visits". Noting availability of replacement parts and spare engines, the manufacturer stresses: "We do not expect this issue to create significant customer disruption or material annual cost." Chris Cholerton, president of the manufacturer's civil aerospace division, states that the Trent XWB-84 has achieved "unequalled on-wing reliability" and that engines nearing their first shop visit have required "no unplanned maintenance". He adds: "It is reassuring to see that our proactive inspection regime has enabled us to identify and swiftly address this issue and minimise any potential impact on our customers." Rolls-Royce has been severely affected by blade-durability issues on Trent-series engines, particularly the Trent 1000 – an option on the Boeing 787. There were widespread groundings of these long-haul aircraft as engines required unscheduled shop visits. The Trent 1000 issues included premature blade deterioration in the IPC and the intermediate- and high-pressure turbines.
Source: Cirium