Issue 25 September 2010 MARKET REPORT

Issue 25
September 2010
MARKET REPORT
A PUBLICATION OF SAAB AIRCRAFT LEASING
CENTRAL CONNECT GROUP
PROMOTES SAAB 340 FLYING IN
THE CZECH REPUBLIC
SWEDISH REGIONAL NEXTJET
EXPANDS ITS SAAB 340 FLEET
POLET AIRLINES JOINS THE
SAAB 340 FAMILY
MESSAGE FROM
Michael Magnusson
These days there is so much discussion,
at least in the US, about the economy
and if it is really recovering, or are we
just seeing some short-term positive
effects driven by government spending.
I don’t think that there should be any
debate as to whether the airline business
is recovering. A quick look at the traffic
numbers, as well as financial results from
last quarter, will clearly show that this
appears to be the case.
We at Saab Aircraft Leasing (SAL) have
recently seen quite an influx of inquiries for more aircraft. During the early
summer months it was very quiet, more
than usual, but in the latter part of the
summer, activity picked up considerably. Most are from existing customers looking
at expanding or swapping out older Saabs for newer models. We can now see that
the last quarter of this year will get very busy, which is good for us all. Many are
also evaluating buying out their Saabs which shows the confidence they have in the
type. Values of Saab aircraft are holding up, which is also true for other turboprop
aircraft. The turboprops have weathered this latest economic storm much better
than narrowbody and regional jets, not to mention corporate aircraft.
So far this year we have concluded 14 aircraft transactions. Five of these are Saab
2000 extensions or new Saab 2000 leases with existing customers. At the time of
this writing, there are no Saab 2000s available for sale or lease. The entire fleet is
active or in the pipeline destined to new customers. At SAL we will have a few coming off lease in the next six months. There are about 10 Saab 340As available in passenger configuration, and these are very good “entry level” 30-seat aircraft. Many
of our successful customers began with Saab 340As, and we have placed four so
far this year. There are only six Saab 340Bs currently advertised, and we have found
homes for five to date. Finally we have a grouping of ex-Mesaba 340Bplus’ available. These aircraft are perfect for the customers interested in acquiring a common
spec fleet of modern, relatively low-time aircraft complete with Active Noise Control
Systems in the cabin. These will definitely not sit around forever…
CONTENTS
OLT extends leases on two Saab 2000s .................................3
Steel heart of the Republic
Central Connect Group flies Saab 340s
throughout the Czech Republic ........................................ 4-6
JOB AIR builds its maintenance presence...............................6
Wish upon a star
NextJet of Sweden uses an entrepreneurial spirit
as its guiding star to expand its Saab 340 operation........ 7-9
Jesus Mary Joseph Flight Services takes to the sky ..............10
Western Air expands its Bahamas network
with more Saab 340s ...........................................................11
Corporate style flying with Club Saab 340 ............................11
SkyBahamas CEO wins Bahamas
Chamber of Commerce Industry Award ................................12
Argentinean regional airline Sol Líneas Aéreas operates
a six-strong Saab 340 fleet ...................................................13
Polet Airlines adds five Saab 340Bs ......................................13
Saab Destination: Voronezh/Chertovitskoye..........................14
Saab pilot training stretches across the globe .......................15
Rex opens pilot academy .....................................................16
PenAir founder takes the ride of his life .................................16
Saab Profile: Scott Grier, Loganair Chairman .......................17
GE CT7 powers the Saab 340 fleet ......................................18
Saab 340 operators to meet for 2010 conference ................19
Mark your calendar ...............................................................19
Saab operators map... ....................................................................... 20
Since our last issue, we have seen a major new customer come into the Saab
340 family. Polet Airlines accepted its delivery of five Saab 340Bs from American
Eagle, and these became the first Saab 340s in Russia. While Polet is a Saab 2000
operator, they have decided to extend their fleet to 30-seaters. Being the first Saab
340s in Russia, we now have Saab 340s flying in 34 countries on six of the seven
continents. Antarctica can’t be too far behind…
As you read this latest issue of SMR, we are gearing up for the biennial Saab 340
Operators Conference in Florida during the early part of October. If you have not
arranged to attend just yet, please do so. It is a great event that will allow you to
gain insight on the latest status of the Saab 340 fleet as well as plans for the future.
The fact that so many vendors attend with senior people also adds value to the
event. I and my colleagues at SAL, as well as Saab Support and Services look
forward to seeing many of you in Clearwater, Florida. During the autumn, we will
also be in attendance at ERA in Barcelona, as well as RAAA in Australia, and the US
Valuation Conference in Washington, D.C.
So let’s hope that the “winds of market improvements” will continue to fill our sails
for the rest of the year.
Cover photo: Dalibor Vlcek
captured this Saab 340B image
in Brno, Czech Republic. The
Central Connect Airlines’ aircraft
is operated on behalf of Czech
Airlines.
Market Report is published by
Saab Aircraft Leasing
Editor: Kelly Murphy
Emerald Media
[email protected]
Europe: Alison Chambers
Emerald Media
[email protected]
Design and Layout:
Aeris Graphic Design
[email protected]
Michael Magnusson
President and CEO, Saab Aircraft Leasing
Printed in USA September 2010
©2010 Saab Aircraft
MARKET REPORT
OLT EXTENDS LEASES ON
TWO SAAB 2000s
Germany’s second oldest airline,
regional carrier OLT (Ostfriesische
Lufttransport GmbH) continues to
show its longevity and growth with
its combined Saab 340 and Saab
2000 fleet. First introducing the
Saab 340 to its operations in 1999,
MARKET REPORT
OLT has two of the type which it
maintains in-house at its Emden
and Bremen engineering facilities.
Recently, OLT extended leases on
two of its three Saab 2000s which
first joined the fleet in 2002 when
the company responded to an
| September 2010
invitation from Airbus Industries to
run shuttle flights on the manufacturer’s behalf between its UK
base at Bristol Filton Airport in the
southwest UK and its manufacturing facilities at Bremen, via
Hamburg.
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MARKET REPORT
STEEL HEART OF THE
REPUBLIC
CENTRAL CONNECT GROUP FLIES SAAB 340s
THROUGHOUT THE CZECH REPUBLIC
STORY AND PHOTOS BY ERYL CRUMP
JOSEF HORÑÁK, CHAIRMANSUPERVISORY BOARD AND
FOUNDER OF CENTRAL
CONNECT AIRLINES, IS A
GREAT FAN OF THE SAAB
340. HIS AIRLINE, BASED AT
LEOŠ JANÁČE K AIRPORT,
OSTRAVA IN THE CZECH
REPUBLIC, OPERATES SEVEN
OF THE TYPE ON REGIONAL
PASSENGER AND FREIGHT
FLIGHTS.
JOSEF HORÑÁK
4
“The Saab 340 is a great plane. I
think it’s a little undeservedly
overshadowed by the boom of
the (regional) jet which was
deployed on similar routes in
the early 1990s at the same time
as the Saab was being produced.
Today, it appears that due to its
economy of operation and reliability it remains a very important
machine in the field of regional
airlines whether in the transport
of passengers or cargo. We have
certainly enjoyed our experience
of operating and maintaining this
type,” he shares with Saab Market
Report.
The airline, part of the Central
Connect Group, was founded in
December 2003. Central Connect
Airlines operates scheduled
flights from Ostrava to Vienna.
The twice daily flights offer connections to Austrian Airlines’
MARKET REPORT
|
September 2010
MARKET REPORT
“The Saab 340 is a great plane.
I think it’s a little undeservedly
overshadowed by the boom of the
(regional) jet which was deployed
on similar routes in the early 1990s
at the same time as the Saab was
being produced…”
— Josef Horñák
Chairman-Supervisory Board and Founder
Central Connect Airlines
network. A similar frequency is
operated to Prague. These flights
are operated on behalf of Czech
Airlines, and one of the Saabs is
painted in the flag carrier’s colors.
Flights to Brno, Czech Republic,
Split and Zadar — both resorts in
Croatia — are also operated.
The airline’s latest route is to
Munich. One of its Saab 340s
has been painted in a striking
“Ostrava!!!” color scheme.
MARKET REPORT
“Since the beginning of the operation, we have put an emphasis on
quality,” adds Horñák. “Nowadays
there are lots of small operators,
who offer enough to solve the
problem of where and when the
service. As for air operations, we
concentrated on developing the
Saab 340 aircraft operations. We
operate two aircraft for passenger
flights and the others for cargo
contracts.”
| September 2010
Earlier this year, the airline established Central Charter Airlines,
another company within the
group to operate charter operations with two Boeing 737s. However, Horñák believes the most
significant development of his
company recently is the construction of a new maintenance hangar
operated by JOB AIR-Central
European Aircraft Maintenance
(see sidebar on page 6).
5
MARKET REPORT
JOB AIR builds its maintenance presence
“We used an existing project
investor in Iceland who tried
something similar about 10 years
ago, but the project failed. However, the plan was ready, including zoning and building permit,
so we bought it and the hole in
the ground and built the hangar.
Watching it go up was amazing!
The entire roof was assembled
on the ground and then, using a
computer-controlled hydraulic
lifter, it was raised up. I admit I
didn’t have the nerve to watch, so
I returned after it was completed,”
laughs Horñák.
For the future, Horñák is considering more regional routes as
the Central European economy
recovers, but there are no definite
plans yet, he notes.
Since its establishment in 1993, JOB AIR has become one of Central Europe’s largest maintenance organizations. It was initially
licensed to maintain and repair L-410 and Jetstream 31 aircraft,
however, the Saab 340 was added to its license within 18 months.
Additional approvals were granted, and in 2005 JOB AIR concluded an Approved Training Organization — EASA — Part 147,
Agreement with Saab Aircraft AB.
Part of the Central Connect Group, the company opened a new
hangar two years ago at Leoš Janáček Airport in Ostrava capable of
accepting large aircraft for repairs and maintenance work. “There
is great demand for services and repairs to civilian aircraft in the
Central European region, and our customers include major European airlines,” notes Horñák.
The company invested 1.05bn Czech crowns (US $5.58m) in the
center, which it plans to recoup within five years. The project won
second prize in the prestigious Investor of the Year competition.
The single span, 11,680sq m/38,320 sq ft hangar can accommodate
two widebody or up to six narrowbody aircraft at any one time.
Last year the company recruited sufficient, qualified staff to open
the repair center hiring approximately 130 mechanics. Within the
first year of operations, the company plans to take on at least 100
more mechanics. The target staffing level is around 400 people.
Earlier this year, JOB AIR, along with its parent company, joined
the European Regional Airlines Association (ERA).
6
MARKET REPORT
|
September 2010
MARKET REPORT
WISH UPON A STAR
NEXTJET OF SWEDEN USES AN ENTREPRENEURIAL SPIRIT AS ITS GUIDING
STAR TO EXPAND ITS SAAB 340 OPERATION
STORY AND PHOTOS BY ERYL CRUMP
SWEDISH REGIONAL AIRLINE
NEXTJET IS EXPANDING
RAPIDLY. SINCE ITS 2002
LAUNCH, THE AIRLINE HAS
FOCUSED PRIMARILY ON
DOMESTIC ROUTES IN THE
NORTH OF SWEDEN. IN
ADDITION, NEXTJET HAS
MORE THAN DOUBLED ITS
FLEET OF SAAB 340S, AND
LAUNCHED ITS FIRST SERVICE
OUTSIDE SCANDINAVIA TO
LONDON CITY.
MARKET REPORT
In August, eight more Saab 340s
were added to NextJet’s f leet
after agreements were concluded
with Air Åland, Gotlandsf lyg,
Kalmarf lyg and Smålandsf lyg.
Chief Executive Officer Magnus
Ivarsson tells Saab Market
Report: “NextJet will be the
operator on their routes and
networks. We already operated
five Saab 340s, but the new aircraft will bring the total number
| September 2010
operated by NextJet to a total
of 13.”
The new agreements call for
service from Stockholm-Arlanda
and Bromma to Visby (Gotlandsflyg), Mariehamn to Arlanda and
Helsinki (Air Åland) and from
Bromma to Kalmar (Kalmarflyg)
and Småland (Smålandsflyg)
from Bromma.
“We have also extended our
Östersundf light from Bromma
to Trondheim in Norway and
started a service from Stockholm Bromma to London City
airport,” notes Ivarsson. The
latter service is being operated
with two BAe RJ85 aircraft.
One of NextJet’s investors is
Björn Ulvaeus, a former member
of pop group ABBA, however,
the singer is not an active member of the airline’s management.
Ivarsson explains: “At present,
7
MARKET REPORT
“Our objective
is to provide
a competitive
service where
we are keenly
conscious
about the
wishes of our
passengers
and partners.”
Magnus Ivarsson
CEO
NextJet
8
MARKET REPORT
|
September
2010
MARKET REPORT
we operate one regular international route as well as regular
charter operations throughout
Europe. The entrepreneurial
spirit is our guiding-star as we
pursue our journey to develop
our products. We are constantly
evaluating the market in order
to fi nd new business concepts
that fit into our business model,
ultimately making travelling
more flexible and efficient for
our passengers. Our objective is
to provide a competitive service
where we are keenly conscious
about the wishes of our passengers and partners.”
Characterizing NextJet’s development as “new generation way,”
Ivarsson underlines that this
thinking has quickly resulted in
the acquisition of a considerable
share of the market. “We are
proud of our present position,
but we are continually striving to
improve and be at the forefront
with service for our passengers.”
Prior to the London service,
which began on August 16, the
airline’s only other international
service was from Linköping,
Sweden and Copenhagen, Denmark. Frequency was increased
to three times daily in late FebruMARKET REPORT
ary, and the schedule is integrated with SAS and other airlines
operating from Copenhagen. The
service improvement coincided
with the airline’s reservation
system being fully integrated
into global distribution service
Amadeus.
“NextJet has long seen the potential in Östergötland and is now
choosing to invest big, in order
to meet market demand for more
fl ights to Copenhagen,” says
Ivarsson. NextJet’s new reservation system is fully integrated
with Amadeus, meaning an
increased presence of the agents
and significantly simplifying
travel beyond Copenhagen with
such airlines SAS.
ated by our regular network but
also on charter services for the
Swedish national cross-country
team. We do this in the capacity
of one of the team sponsors,” says
Ivarsson.
NextJet also operates several
domestic routes subsidized by
the Swedish government from
Stockholm-Arlanda Airport.
These are mainly operated by 68seat BAe ATPs. The airline also
continues to operate two 19-seat
Beech 1900s and two executive
jet aircraft .
“We have for over a year worked
to implement the new booking system and are now ready.
Th is will facilitate the booking
process for agents. Th is is also an
important condition which is the
basis for our focus on increased
traffic,” explains Ivarsson.
The busy Saab 340s also fly
charter services with one of
the aircraft featuring a special
Swedish ski team color scheme.
“Echo Papa is not only oper-
| September 2010
9
MARKET REPORT
JESUS MARY JOSEPH FLIGHT
SERVICES TAKES TO THE SKY
Jesus Mary Joseph Flight Services,
LLC (aka JMJ Flight Services)
has taken the Saab 340A to new
heights with a fitting role at this
unique flight department. As
one of only five true corporate
configured Saab 340s, the aircraft
is owned and operated by John F.
Biagas, President and CEO of Bay
Electric Company Inc., a large
government general contractor.
While the Saab 340A calls Landmark Aviation in Norfolk, VA, its
home base, you will find it mostly
operating out of Atlantic Aviation
in Newport News, VA. The flight
department is a two-man operation consisting of Chief Pilot/
Director-Operations Erik Doye
and Captain/Director of Maintenance/IA Mechanic Timothy
Miller. The two-pilot team has
over 38 years of combined military service.
Before linking up in the Saab,
Doye and Miller’s paths originally crossed while flying the
Boeing 707 in the same US Navy
squadron out of Tinker AFB,
10
Oklahoma. The background of
the flight team fits perfectly into
Bay Electric’s business needs to
operate on and around mainly US
military installations.
Last year, the Saab became the
first general aviation aircraft, on
multiple trips, to park/land at the
US Air Force’s outlying base in
Curacao in the Southern Caribbean. Other military installations
frequently visited by this Part
91 aircraft, include Fort Knox’s
Goodman AAF, Fort Campbell,
Fort Benning and Pease AFB. The
flight department logged a record
year in 2009 with nearly 400 flight
hours with 2010 expected to be
just as busy.
An average, non-stop flight is
about 3 hours with destinations
ranging from Quebec City,
Canada, Bermuda, Curacao,
and a 5 hour 45 minute nonstop
from San Angelo, TX to Newport
News, VA. This past year, JMJ
Flight Services teamed up with
FGI Associates (and Miguel
Iturmendi) flying government test
has enjoyed destinations ranging
from the new Cowboy’s Stadium
in Dallas, and the island of Bermuda, to the beautiful beaches of
Montego Bay, Jamaica.
flights for the Navy Research Lab
for experimental Research and
Development mission. To date,
three multi-week mission sets
have been completed leading to
significant test results with some
minor modifications to the Saab’s
“aerodynamic characteristics”.
The flights are very challenging
as the aircraft is being flown in
configurations never seen by a
Saab before.
From research flights to
private destinations
During research fl ights, the Saab
340A has flown in restricted
airspace around Dahlgren Missile
Range and Patuxent River Naval
Air Station. The enormously successful tests have produced results
which will lead to several large
and exciting new missions in the
near future. It is not always business flying, as this Saab has been
labeled as the “family station wagon” flying many retreats for the
Young Presidents’ Organization
(YPO) local chapter in Southeast
Virginia - where the owner now
serves as a chairman. The aircraft
“This Saab is the smartest, most
efficient aircraft I have been a part
of,” states JMJ Chief Pilot Erik
Doye. “For a company based on
the East Coast and mostly flying
to and from Lake Charles, LA
– the ability to carry 19 people
is second to no other general
aviation aircraft; especially considering we have an operating
cost of less than $1,000 per flight
hour. Saab 340A-050 should roll
over 14,000 hours total time in
2010/2011. Whether it is business,
pleasure or the occasional test
flight – Saab 340A-050 is versatile
and always gets the job done successfully and with style. Its worth
to this company has been priceless,” concludes Doye.
MARKET REPORT
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September 2010
MARKET REPORT
WESTERN AIR EXPANDS ITS
BAHAMAS NETWORK WITH MORE
SAAB 340s
Western Air has recently grown
its Saab 340 fleet and operates five
Saab 340As and now three Saab
340Bs throughout the Bahamas.
The 100 percent Bahamian
owned company offers service
to Nassau, Freeport and the
Exumas. Based at the San Andros
Airport (MYAN), Western Air
built a new hangar and passenger
waiting facility to accommodate its
expansion.
CORPORATE STYLE FLYING WITH
CLUB SAAB 340
Europe has its first corporate style
Saab 340 available for contract
or charter hire. Club Saab 340,
registered in Liechtenstein, obtained the aircraft from Napleton
Aviation Group last December
and flew the aircraft across the
MARKET REPORT
Atlantic to its new base at Zurich,
Switzerland.
Configured with a corporate interior, the Club Saab 340 features
15 leather seats, a galley and luggage storage in the forward area
| September 2010
and a lavatory in the aft section.
Since early 2010, the aircraft has
operated flights from the Swiss
airport to many airports in the
region.
11
MARKET REPORT
SKYBAHAMAS CEO WINS
BAHAMAS CHAMBER OF
COMMERCE INDUSTRY AWARD
The Bahamas Chamber of Commerce (BCOC) recognized Randy
Butler as 2010 Entrepreneur of the Year praising his contribution to the
development of the aviation profession throughout the Bahamas. Captain
Butler, CEO and President of Saab 340 operator SkyBahamas, became the
first Bahamian to be designated as a Pilot Examiner by the UK Airport
Authority in 1996 and was the first Manger of Public Safety at the Lynden
Pindling International Airport. (See Saab Market Report story on page 15
of the October 2009 issue)
Flying four Saab 340s and one Beech 1900D, SkyBahamas operates daily
flights from Nassau to inter-island destinations including Exuma, Bimini,
Freeport, Grand Bahamas, Marsh Harbour, Abaco and Arthur’s Town
and New Bight, Cat Island. PICTURED LEFT TO RIGHT: PHILIP SIMON, BCOC EXECUTIVE
DIRECTOR; DR. SOPHIA ROLLE, CHAMBER WEEK 2010 CHAIR;
CAPTAIN RANDY BUTLER OF SKYBAHAMAS; AND KHAALIS ROLLE,
BCOC PRESIDENT
12
MARKET REPORT
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September 2010
MARKET REPORT
AFTER THEIR MOST RECENT TWO SAAB 340A DELIVERIES (MSN 012/025), SOL LÍNEAS AÉREAS
HAD ALL OF THEIR SIX SAAB 340As GATHERED TOGETHER ALONG WITH THEIR CREWS ON
A QUIET, WARM SATURDAY. THE ARGENTINEAN REGIONAL OPERATES ITS FLEET FROM ITS
ROSARIO, ARGENTINA BASE, AND ITS HUB IN AEROPARQUE – BUENOS AIRES’ DOWNTOWN
AIRPORT. SOL OPERATES OVER 40 DAILY FLIGHTS.
WELCOME TO THE SAAB 340 FAMILY!
POLET AIRLINES ADDS FIVE SAAB 340Bs
MARKET REPORT
| September 2010
PHOTO: CHAD ROWE
Moscow-based Polet took
delivery of five Saab 340Bs from
American Eagle making it the
first airline to operate the type
in Russia. Polet says it has plans
to acquire 15 of the 34-seaters.
The turboprops were ferried to
Polet’s Voronezh base in July/
August 2010. Polet plans to
increase capacity on regional
routes from the city, re-introducing services to Kursk and Lipetsk
and/or introducing new regional
services in Siberia. The Russian
regional carrier already operates
a fleet of five Saab 2000s.
13
PHOTO: SERGEY CHERNYSHOV
MARKET REPORT
SAAB DESTINATION
BY PAUL BRYSON
Voronezh/Chertovitskoye
(IATA: VOZ/ICAO: UUOO)
The Russian Federation is surrounded by 37,000 km/23,000 mi of
coastline and includes 11 different time zones that stretch from
UTC+2 through UTC+12. Because of the vast distances found in
the Russian Federation, most travelers consider air travel an essential
form of transportation. With 1,232 airports, Russia was ranked number 6 in the world in 2008 with 596 of those paved and 636 unpaved.
This Saab Market Report Destination will focus on one of those paved
airfields which is situated about 15 km/8 mi from the city center of
Voronezh, Voronezh International Airport (VOZ).
Also known as Chertovitskoye Airport, VOZ’s existing airport
complex opened to the public in 1971 and is home base to Saab 340
and Saab 2000 operator, Polet Air Company. Polet, also a 51 percent
stakeholder of VOZ, launched its Saab 2000 service in 2006, and the
aircraft quickly became the core of its passenger operations. During the 2009 third quarter, Polet scheduled 625 flights out of VOZ to
domestic and international destinations. International destinations
include airports in Armenia, Turkey, the Czech Republic, Kazakhstan
and a 1,985 km/1,230 mi flight to Munich, Germany. VOZ also offers
airline service on the Armenian carrier Armavia.
The military also utilizes space at VOZ. The 455th Bomber Aviation
Regiment is headquartered at VOZ and operates the Sukhoi-24 which
is being replaced by the Sukhoi-34. They share the field with the 5
ODRAO (5th Separate Long Range Reconnaissance Aviation Squadron) unit, who employ the Antonov-30, a type also flown by Polet.
The town of Voronezh is a city and administrative center of Voronezh
oblast (region) of Russia and is located on the banks of the Voronezh
River about 470 km/292 mi from Moscow. Voronezh city is the cultural, industrial and scientific center of the region. Its population in
2008 was 840,000 people.
Just how big is the Russian Federation? The two most widely separated points are approximately 8,000 km/5,000 mi apart and occur
between its westernmost point, located on the northern boundary
with Poland on a spit of land on the Baltic Sea and the southeastern
most point on the southern portion of the Kuril Islands (near Hokkaido Island, Japan).
PHOTO: FYODOR BORISOV
The runways at VOZ, which fully support instrument procedures
with navigational aids on the field, are 2,300 m/7,546 ft in length. Companies that make VOZ their base include private aircraft charter
services, warehouse storage facilities, hotel/conference centers and
tourism companies. Last year, a three-month program improved
runway surfaces, drainage systems, fencing and security roads. A new
terminal is also being considered that would allow the facilities to
handle up to 2.5 million annual passengers, a major increase from its
current capabilities of 300,000.
14
MARKET REPORT
|
September 2010
MARKET REPORT
SAAB PILOT TRAINING STRETCHES ACROSS THE GLOBE
SAAB 340 SIMULATOR AT
OXFORD
Oxford Aviation Academy (OAA)
Stockholm, Sweden
Eva Steffner
- Sales Manager
www.oaa.com
tel +46 (0) 70 997 4771
• Computer IBM 6000
• Display configuration 4 Monitors (3
channels)
• TCAS, debriefing video equipment,
wake turbulence, TAWS, FMS
Universal UNS 1-K
1 Saab 340B simulator
• Qualification / Certification level
EASA STD 1A level CG
• Manufactured by GML with Image
Generator SP1 - T Night/Dusk,
Texture
• Motion 6 DOF Hydrostatic
1 Saab 2000 simulator
• Qualification / Certification level JAR
STD 1A DG
• Manufactured by FSI with Image
Generator RSI Raster xT
• Motion 6 DOF Hydrostatic
• Computer Concurrent 3200-2000
Pan Am International Flight
Academy
Minneapolis, MN
Gary Anderson
- Sr. Director of Operations
Greg Darrow
- Sr. Director of Sales
www.panamacademy.com
tel +1 866 255 1890
Japan Air Commuter (JAC)
Kagoshima, Japan
tel +81 (3) 3747 3454
1 Saab 340B simulator
• Manufactured by CAE with
SPX500/180
• Level JCAB PII
1 Saab 340B simulator
• FAA level D
• Manufactured by CAE with MaxVue
• Windshear/circling approach
• EFIS single/dual que
1
•
•
•
•
• Display configuration Wide 180x40
FOV
• EFIS Collins Pro Line 4, AP, F/D
Collins Pro Line 4
• FMS Collins FMS 4200
• TCAS, GPWS, Windshear, ACAS Fit
level 7.0, HUD Flight Dynamics 2900,
WXRadar
Saab 340A/B simulator
FAA level C/D
Manufactured by FSI with SPX200
Windshear/circling approach
EFIS single/dual que
AMR Eagle Flight Academy
Dallas/Ft. Worth
tel +1 817 967 5691
1 Saab 340B simulator
• FAA level D
• Manufactured by CAE with SPX
200T/1W
FlightSafety International
www.flightsafety.com
tel +1 314 442 3300
Saint Louis, MO
Peter Van Arsdale
- Program Manager
+1 314 442-3300
1 Saab 340A/B simulator
• FAA level D
• Manufactured by FSI with Vital VII
• Dry lease only
1 Saab 340A/B simulator
• FAA level D
• Manufactured by FSI with Vital VII
• Upgrading to a Vital VIII (higher res,
more detail, better signage)
MARKET REPORT
Houston, TX
Anthony Graham
- Center Manager
tel +1 713 393 8100
Vero Beach, FL
Terry Hibler
- Director of Regional Airline Marketing
George Ebert
| September 2010
- Saab 2000 Program Manager
tel +1 772 564 7650
1 Saab 2000 simulator
• FAA level D
• Manufactured by FSI with Chroma
View
• EICAS v6.0, FADEC v5.3, TCAS II
v7.0, Honeywell TAWS installed
• Not EASA approved, is Swedish CAA
(LFV) approved training device
• Joint Malmö Aviation - FSI EASA
approved training program available
• Dry lease available
Ansett Flight Simulation Center
Melbourne, Australia
Jennifer Sheridan
- Customer Liaison Officer
www.ansettsimulators.com
tel +61 3 9373 8005
1 Saab 340A/B simulator
• Manufactured by FSI with Vital VIII
• Level 5 or FAA level D equivalent
15
MARKET REPORT
REX OPENS PILOT ACADEMY
REX HOSTS AN
OPENING DAY
CELEBRATION OF THE
AAPA’S WAGGA WAGGA
BASED CAMPUS
The Australian Airline Pilot Academy (AAPA), a wholly-owned subsidiary of Regional Express (Rex),
celebrated the official opening of
its brand new Wagga Wagga based
campus on May 27, 2010. After
commencing operations in Mangalore, Victoria, Rex announced
plans in April 2009 to construct a
pilot training academy at Wagga
Wagga airport in New South Wales
to take advantage of the excellent
airport facilities, good flying conditions and close proximity to its
heavy maintenance base. The $12
million state-of-the-art campus
was completed in about a year.
On the day of the opening, it was
announced that the Rudd Labor
Government will provide almost
$1.1 million to assist Wagga Wagga
City Council install an Instrument
Landing System (ILS), technology
which will enable the city’s airport
to remain open during adverse
weather conditions such as fog and
heavy rain.
A growth spurt for Australia’s
aviation industry
Together, AAPA and the ILS represent a major boost for regional
aviation and continued growth
of Australia’s aviation industry.
The installation of ILS — a $1.63
million project — will support 15
jobs, and the Academy is expected
to create a further 75 ongoing jobs
within the local community.
The Academy features complete
and integrated facilities right at
the airport and a campus that is
designed to cater for the complete
academic and physical well-being
of the cadets. It boasts a swimming pool, gym and outdoor
sports facilities alongside modern
classrooms and well-equipped
individual bedrooms.
Rex is Australia’s largest independent regional airline operating a
fleet of more than 40 Saab 340s
on some 1,300 weekly flights to
35 destinations throughout New
South Wales, Victoria, Tasmania,
South Australia and Queensland.
The Rex Group comprises Regional Express, air freight and charter
operator Pel-Air Aviation and
Dubbo-based regional airline Air
Link, as well as the pilot academy.
PENAIR FOUNDER TAKES THE
RIDE OF HIS LIFE
PENAIR’S ORIN AND
DANNY SEYBERT
SHOW THEIR PROUD
SPONSORSHIP OF THE
IDITAROD
16
Orin Seybert, the founder of
PenAir—Alaska’s largest regional
airline serving Southwestern
Alaska, the Aleutians and Pribilof
Islands—took the ride of his life
on March 6, 2010 in the basket
of the first sled to take off in
Iditarod XXXVIII. Serving as the
2010 Iditarod Honorary Musher,
the 78-year-old retired CEO of
PenAir has been transporting
sled dogs that meant so much to
him growing up in Pilot Point
for nearly two decades. Tradition
continues at PenAir as Orin’s son
Danny now runs the airline, and
the Iditarod remains “the Last
Great Race on Earth.”
MARKET REPORT
|
September 2010
MARKET REPORT
SAAB
PROFILE:
BY ERYL CRUMP
Scott Grier
Loganair Chairman
Loganair Chairman Scott Grier has been involved with the airline, Europe’s largest operator of Saab 340s, for over 30 years.
The airline started flying in 1962 as the air taxi service of Logan Construction, and quickly entered Highland legend by operating in the spirit
of aviation pioneer Captain Ernest Edmund (Ted) Fresson, who took his
flying circuses barnstorming around Scotland in the 1930s.
Grier, who grew up a short hop from Glasgow airport, initially wanted
to be a schoolteacher but instead trained as an accountant. He came to
Loganair in 1975, although he admits to having “no great attraction to
the flying business.” By that time, the company had fallen — almost by
default — into the ownership of the Royal Bank of Scotland prospering
under the bank’s John Burke, who was himself an aviation enthusiast.
Loganair entered scheduled services on “social need’’ routes, which British Airways was increasingly keen to off-load. However, in the late 1970s
the bank’s board questioned the ownership of an airline, and in 1983, sold
the company to British Midland. Grier secured 25 percent of the equity,
in addition to the fleet, and the network grew.
Facing particular hostility when operations were moved to Manx Airlines’ Isle of Man base, Grier was forced into substantial redundancies
at the airline. Watching these developments with growing dismay, Grier
first proffered plans for a management buy-out in 1994. Twice rebuffed,
he succeeded in 1997. But by then the airline was down to six aircraft
operating on a scatter of thin and unattractive routes.
MARKET REPORT
| September 2010
“It was like starting all over again. But I always knew I could win back
some — if not all — of the routes, we had lost,’’ says Grier. The upside
was the company was so small at the time of the buy-out that he did not
need institutional support. He completed the deal with Stephen Bond of
Bond Helicopters, who now owns 30 percent of the company to Grier’s
70 percent. It was crucial at the time of the buy-out that it held on to the
existing BA franchises, now handed over to Flybe.
Of the airline’s 16 Saab 340s, 14 fly under Flybe colors with tickets
booked via Flybe. However, British Airways still offers tickets on its
routes if they are combined with a British Airways’ flight. “It works well
for both of us,” Grier tells Saab Market Report. “We are subsidized on
some routes, such as Tiree and Barra, and the Isles’ Councils support
inter-island services, but everything else is at our own commercial risk.”
Loganair, which carries 500,000 passengers a year, has recorded a profit
in all but one year (2000-2001) since the management buy-out.
In 2010, Grier is keen to add more routes outside of Scotland and beef up
its new freight business to bring more diversity to a business focused on
scheduled Highlands and Islands services. “It became clear to the board
two or three years ago that while we are focused on the Highlands and
Islands we do need more than that. We expect, when we see things pick
up, to do more scheduled services cross border.” In the current financial
year, Grier anticipates “modest passenger growth.”
17
MARKET REPORT
GE CT7 POWERS
THE SAAB 340
FLEET
For over two decades, GE’s CT7 powerplant continues its reputation
as a fuel efficient, compact and lightweight turboprop engine for the
Saab 340 series aircraft.
At cruise, the 30-seat Saab 340 burns approximately 100 US gallons
per hour, a testament to the CT7’s efficiency and the reason why Saab
selected the engine during initial design.
Developed as a turboshaft engine, the CT7 was a derivative of the
T700 for the Blackhawk, Sea Hawk, Apache, Super Cobra, EH-101 and S-92 helicopters. While the Saab 340
was GE’s first application for the CT7, it was followed by CASA’s CN235 in 1984.
Since its mid-1970s market introduction, GE has shipped more than 12,000 CT7/T700 engines.
Approximately 1,100 engines were manufactured for the Saab 340 program specifically.
The age distribution on the CT7-5A engines show that the majority of engines have accumulated between
22,000 and 32,000 hours with the CT7-9B recording between 11,000 and 24,000 hours.
Many improvements have been implemented over the years, and GE continues to closely monitor the
reliability drivers for all CT7 turboprop engines. As issues are identified, GE’s process develops economic
and operational improvements as required.
Total fleet statistics
Engines
Shipped
Hours
Highest
time engine
(hours)
Highest cycle
(cycles)
CT7-5A (Saab 340A)
410
10.8m
48,424
52,861
CT7-9B (Saab340B/Bplus)
705
16.8m
43,538
47,317
(GE provided data through May 2010)
GE offers ECMP for engine overhauls
More than 95 percent of all CT7 engines are on GE’s Engine Care Maintenance Plan (ECMP). The plan
covers overhauls of engines for a fixed hourly rate. For additional charges, customers can secure coverage
for line replacement unit (LRU) repairs and consumables replenishment, and gain access to spare engines.
The program is successful and enables aircraft to move between customers with ease. ECMP also protects
operators against any surprises. GE has approved two locations for CT7 overhauls, including Strother in the
US and H&S in the UK.
18
MARKET REPORT
|
September 2010
MARKET REPORT
SAAB 340 OPERATORS TO MEET FOR
2010 CONFERENCE
October 4-7
Clearwater Beach, FL
Saab 340 vendors, suppliers, associates and operators come together
for this excellent opportunity to share ideas and best practices. GE
Commercial Engine and Dowty Propeller divisions will present
information on the CT7 engine and propeller systems focusing on
maintenance and operational information to provide maximum time
on wing and reduction in the cost of ownership.
Numerous workshops, presentations and team building events
will take place throughout the week. Contact the conference team
at [email protected] or +1 703 406 7235 for more
information.
MARK YOUR CALENDAR…
SEPTEMBER
15-17
RAAA Convention
Queensland, Australia
22-24
ERA General Assembly
Barcelona, Spain
OCTOBER
4-7
Saab 340 Operators’ Conference
Clearwater Beach, Florida
4-5
US Valuation Conference 2010
Washington, DC
NBAA Convention
Atlanta, Georgia
19-21
MARKET REPORT
| September 2010
19
MARKET REPORT
OPERATIONAL STATUS
SAAB 340
408 operational aircraft
63 operators in 34 countries
13.87 million flight hours
15.47 million flights
SAAB 340
SAAB 2000
SAAB 340 & 2000
SAAB 2000
58 operational aircraft
12 operators in 10 countries
1.26 million flight hours
1.22 million flights
(as of June 2010)
Operator
Country
340 2000 Operator
Americas
Country
340 2000 Operator
Country
340 2000
Europe & Africa
Americas
Aerolineas Sosa
Honduras
1
TAG
Guatemala
1
NextJet
Sweden
11
Air Panama
Panama
2
Transwest Air
Canada
2
OLT
Germany
2
Air Sunshine
USA
3
Vigo Jet
Mexico
1
Overland Airways
Nigeria
1
Bimini Island Air
USA
3
Western Air
Bahamas
8
Polet Airlines
Russia
5
Calm Air
Canada
6
RAF-AVIA
Latvia
2
Calspan
USA
1
Europe & Africa
Robin Hood Aviation
Austria
2
Caribair
Dominican Rep.
2
Airfast
Congo
1
Ryjet
Spain
1
Colgan Airways
USA
34
Avion Express
Lithuania
4
SkyTaxi
Poland
2
Connect Air
Canada
1
Avitrans Nordic
Sweden
6
Solinair
Slovenia
3
Delta Connection
USA
32
Carpatair
Romania
South Airlines
Ukraine
2
Flight Works
USA
1
Central Connect Airlines
Czech Republic
7
SprintAir
Poland
12
Florida Coastal
USA
3
Club Saab 340
Liechtenstein
1
Swedish Air Force
Sweden
6
CTK Network Aviation
Ghana
2
Asia-Pacific
Darwin Airline
Switzerland
Air Rarotonga
Cook Islands
1
Direct Aero Services
Romania
4
Eznis Airways
Mongolia
4
DOT
Lithuania
2
Happy Air
Thailand
1
Hokkaido Air System
Japan
3
11
Hendrick Motorsports
R
USA
3
10
6
IBC Airways
USA
10
JMJ Flight Services
USA
1
Joe Gibbs Racing
USA
Líneas Aéreas del Estado
Argentina
4
Eastern Airways
Great Britain
Pacific Coastal Airlines
Canada
6
Estonian Air Regional
Estonia
2
Japan Air Commuter
Japan
Pegasus Air
Cayman Islands
1
Fleet Air
Hungary
2
Japan Civil Aviation Bureau
Japan
PenAir
USA
Georgian Int’l Airlines
Georgia
2
Japan Coast Guard
Japan
4
Provincial Airlines
Canada
2
Golden Air
Sweden
3
Nok Mini
Thailand
2
SST Aero Services
USA
2
Loganair
Great Britain
Pakistan Air Force
Pakistan
Saint-Ex
Mexico
2
Mali Air Express
Mali
Pel-Air
Australia
3
SkyBahamas
Bahamas
4
Moldavian Airlines
Moldavian Rep
Regional Express
Australia
46
SOL
Argentina
6
MRK
Ukraine
Royal Thai Air Force
Thailand
1
WWW.SAABGROUP.COM
WWW.SAABAIRCRAFTLEASING.COM
2
12
Saab Aircraft Leasing
21300 Ridgetop Circle
Sterling, Virginia 20166
USA
Tel: +1 703 406 7200
Fax: +1 703 406 7224
Saab Aircraft Leasing
Torshamnsgatan 32A
SE-164 84 Stockholm,
Sweden
Tel: +46 8 463 1400
Fax: +46 8 463 1409
8
8
16
2
2
2
Saab Aircraft Leasing
4-7-13-205 Meguro
Meguro-ku, Tokyo
Japan 153-0063
Tel: +81 3 3792 4300
Fax: +81 3 3792 4315
Saab Support and Services
21300 Ridgetop Circle
Sterling, Virginia 20166
USA
Tel: +1 703 406 7200
Fax: +1 703 406 7222
3
5
2
3
Saab Support and Services
SE-581 88 Linköping
Sweden
Tel: +46 13 18 00 00
Fax: +46 13 18 51 15