My Blog List

Sunday, September 8, 2013

Max Effort Will Beat The Neo Flight

The 13 % percent fuel burn claim for the 737-800 Max over current models will beat a similarly appointed Neo from Airbus by 8%. With the CFM engine maker who is set with GE  going down the hallways of design, a certainty will achieve that result. All the early rush in the market going for Neo has formed a substantial waiting line with its 60% market partition lead over Boeing's 40% sales stable of newly ordered 737 Max's. This aircraft, the Max, came to the market one year later after Airbus rounds up a substantial number of Neo Flights during aviation's Paris and London market places. I readdress the Max and Neo contemplation one more time, and it won''t be the last time, until after first delivery of both aircraft.

Calgary based, West Jet is going to order 40 737-800  and another 25 737-700 Max from a signed letter of intent, and pricing the tentative order at 6.3 billion. There are plenty of mega orders for Boeing prior to this order as it has gathered more than 1300+ Max's to date. Even though Boeing still is behind on the A-320 Neo, in total order book account, because  its loyalty representation for Airbus in orders had one more year of sales work before Boeing's launch date. That sales order saturation is also mirrored by Boeing's plight of loyalty orders for the Max, which is the continuous fleet renewal onslaught found in the nifty single aisle market.  West Jet is a Boeing customer. What has not been discussed is the trench warfare sales campaign's going on from Hotel to Hotel and corporate offices around the world. That is where the value of both competing Airlines will make its point.

The question of who has the best airplane for the market will be answered during the 2014 campaign with the following prospective customer types.

  • New emerging Airlines with no allegiance established
  • Total Fleet renewal Needs
  • Mixed Fleet Airlines consolidating inventory
  • Age of senior pilots and personnel turn-over, retraining staff with better equipment.
  • Front Office Plans towards creating new fiscal model for profitability
These points illustrate areas that both manufacturers are keen to wedge-in and take some orders from companies who are seeking to compete with the big dogs. That is where capitalization, pricing, or operational costs advantages can make up a lot of ground, when competing in the market. Boeing will like to tell first time Boeing buyers we have the technology, we have the price and we have aircraft capacity that will beat out your competitors for your size of market. The 787-800 Max has more seats and goes the distance on less fuel. Boeing will employ the "Edge" system on emerging marketers throughout the world.

Phase two, is always seeking to find a way for taking away loyalty customers from Airbus. That is where the new Max and CFM come into play. If you fly 3,000 miles with 12 more people on-board than your competitor, who will be offering a 8% less fuel economy (Airbus similar advanced  Neo model), its a no brain-er.  Especially if you have a mixed fleet of A-320's and 737 NG's. Then turn-over your aging A-320 fleet into the Max line. Companies can make a transition easily with training in-house and its existing NG maintenance crews. 

Over to the really dedicated Neo-flights, those companies that fly exclusively, Airbus. Boeing won't solve that sales dilemma, but the market-place will adjust by draining the Airbus swamp of its customers if the 737 Max lives up to its advance proclamations of 13% edge over current model flying, leaving the Neo back behind by 8%. It will be a slow process, but a doable one as the new "start up types" start to erode routes of the Airbus customers. The economical types like SWA in the US and Ryan Air out of Ireland are raising eyebrows as to how vulnerable Airbus fleets are to the 737. When the Max hits the fan blade, it may too late for Airbus' aspirations for the single aisle market. 

Friday, September 6, 2013

Boeing Has The China Syndrome II Covered

Many years ago a book and a movie by the same title entered the seen, The China Syndrome. So on this commemorative day, referring to Jane Fonda's epic movie part, I acknowledge the nuclear melt down to China never happened its fiction from the days of quipping that I'm digging a hole all the way to China meets movie goers seeing a nuclear calamity melting clear to China. The second movie in the making is on scene with its director and VP of Marketing for Boeing, Randy Tenseth.

The new, part II movie will follow a different plot line. In this epic rendition here are the the players; 1.3 billion people, Fastest growing economy, attitude for itself, untapped potential, and multiple suitors for role of aircraft provider. The story line follows an innocent plot of airline executive going to China to make a pitch at an aircraft symposium on the next 30 years. However, China would like to be its own champion in the picture of supplying the world with aircraft. Randy must convince the Chinese that Boeing has an insurmountable lead on China's aspirations and will continue to build upon its advancement in the next 30 years for China. China will only play an after market role for its own manufacturing role of a framer for modern jets. By the time China goes all plastic for an airplane that could compete on the world scene, it will still be behind Boeing in progress but can still capture its own niche market. China's aviation community nods a collective acknowledgement and smiles because it has a syndrome in hand. A process through acquiring gap shrinking technology at an alarming rate through all means possible. That is China Syndrome II in the reverse meltdown of  both Airbus and Boeing's technology lead.

How will that technology acquisition occur?  A simple plan is in process. The Syndrome is that China would like to become partners with both giants in building
proven parts for advanced aircraft assemblies. That will offer an extremely affordable environment  and ship a convenient flow of engineering and parts to its providers, Boeing and Airbus. The Syndrome will develop a capability that will compete with the giants in spit of all Boeing precautions. The China Syndrome is melting down all trade secrets and advancements with its appeal of a 1.3 billion person enticement for selling aircraft to 1/5th of world population under one flag. Any responsible leader of the aircraft world will go there to sell airplanes. Here is the syndrome's deal. We want to buy your airplanes by the bucket loads, tell us how we can sign-up and on what line.  How many Max's and Dream-Liners Randy Tinseth queries? China Syndrome people respond, "we want the same relationship that Japan has with Boeing.  You know, some manufacturing in China tied to  these commitments."
Randy smiles,"Okay, I see what you are talking about."


Randy also retorts, "Japan is our valued customer and launch customers." Now the China Syndrome  people must consider its options by laying down some carefully scripted responses; "Let us get back to you Randy, as we analyze our own potentials (Airbus) and needs you have presented for a realistic growth potential with China. We want to select the highest technological aircraft possible in the world. (wink-wink). So we may advance our customers needs with the highest quality in future flights (wink-wink). Randy most graciously inquires, "do you need some eye drops with that?" The China Syndrome Committee, almost melts in its chairs at that suggestion, but continues with the script. "Our desire is to partner with you, Randy, so that we may build a stronger relationship (our own aviation manufacturing) that can fly us around the world (in our own aircraft)."  Randy now senses the winking jargon towards Boeing and remains resolved to establish a dialogue for selling airplanes. His mission not disrupted, but he is more vowed to defeat the China Syndrome Committee of 7 from getting Boeing secrets with his own offer that they can't refuse.

The movie plot line does not have Jane Fonda or Michael Douglas in action, but does have the sage experience of seasoned veterans, providing company product without the secrets. Reverse engineering isn't all that, as what they make it up to be from urban legends fame. The fact finding plot line is moving behind the scenes with a meltdown of what's in Boeing's sauce for aviation. It's clear to Boeing what it is selling, but not clear to Boeing what China really wants to buy.

Wednesday, September 4, 2013

Boeing Selling Points Must Compete With Customer Capitalization

The little hidden agenda of a customer must compete with with Boeing's offering of new Technology. Understanding long term purchasing and money markets is a second tier motivation for buying prior generation aircraft over the latest generation.

The cost model content includes these components:

Aircraft Loan Service Cost and Principal outlays+Aircraft Operational Cost/per year= Monetary Depletion/year when choosing current generation vs. Future generation  models when conducting fleet renewal within a five year cycle.

Another way at looking at it, is breaking down how a $70-80 million advanced technology aircraft compares with 15% better performance than a prior generation optimize aircraft for $40-50 million. How far can you fly the $40 -50 million aircraft before the advanced technology advantages starts eating into the cost of capitalization for the lower cost purchase of a 737-800. Or in Delta's case they went for some cheaper A321's over some 737 NG's in the last single aisle battle, when Delta has a substantial fleet of Boeing. In this case it was a gamble using cash flows, interest rates, when borrowing and the operational cost offset.  Delta went for the Airbus offered price which beat the 737 efficiency offset with price, that affects the bottom line and for it to stay competitive. Plus Airbus had to make follow on concessions to Delta in the next go round with wide bodies twin aisle market. Delta could opt out and go Boeing later with twin aisle offers, if Boeing sweetens the deal. Delta has no stomach for being an experimental customer like the first year's customers were with the 787.

However, they will find themselves in the same bind by buying the A-350, if they go that route.  I believe the 787-10 is exactly suited for Delta's mission and will have a seamless launch to the first customers in waiting. Delta can step in easily with the 787-9 or 787-10 in the next year's ordering cycle. The A-350 has not teethed out yet, but should do so easily as it has not taken the difficult route that Boeing took with all new technology, and where Airbus walked the low road staying with what it knew except the Plastic part. They didn't even venture towards  more complex barrel approach, but went with a simplified panel approach, which is consistent with today's automotive use of plastic bodies. Boeing absorbed the over the top high tech curve going beyond the known result when it integrated so many different technologies on the 787. Airbus only went in half measures from the known world of making a new airplane.

Delta could option towards Boeing. If they don't then, Airbus has purchased an American Customer through pricing, because they can and needed to score marketing points for bragging rights. They, Airbus, are hand picking its fights with Boeing who needs to research its potential customers for its mission and operational soft spots, before defending the home castle. I'm sure they did their homework, but didn't or couldn't give them an offer it couldn't refuse. Airbus is sensitive to winning specific markets. One is the US and the other Japan. They want to break Boeing's marketing back both foreign and abroad,

Counter measure that are on the table:


  • Refer to Ryan Air
  • Refer to Norwegian Air
  • Refer to Lion Air
These are all front line symposiums to stop the nonsense. Boeing must advance the quality and consistency of its product. It must continue to undercut competition even demonstrating how buying current generation aircraft is an advantage over cost and even makes up ground using lower capitalization margins and favorable financial markets that will cut back against the higher efficiency future aircraft for the next 5 years.

Delta is the signal that no customer is a certainty, when sales commitments are on the line. Once, again Boeing knows this, but they also need to carefully select its battles and make in-roads on the European front.  Delta's allegiance to Airbus is a case in point, much to Delta's delight. Boeing should determine who is Delta's chief competitor? They need to be knocking on its door and make an offer it can't refuse for new aircraft if Delta, Because it is playing one framer against the other. The market place will get it right eventually.

  • Loyalty is rewarded
  • Partnerships are important
  • Commitment To Its Customer's Success Is Over Arching
  • The Customer Vision is Boeing's Vision
  • Boeing Mission Is Achieving That Vision
The message, its all about the customer, all the time, and Boeing is here to make that achievement of its vision realized through the product offering. Losing a sale is an indication of the customer's relationship.

Monday, September 2, 2013

Boeing's Deflection Of Airbus Over Japan


Airbus has for some time been eyeing the Japanese Market. Not just Japan but Singapore and Cathey Pacific to name a few. The jewel in Boeing's South East Asia's crown is both ANA and Japan  Airlines portfolio. That portfolio extends across to manufacturing in Japan as a significant partner with the 787 project. The following ties that bind the two are engineering and manufacturing caveats for Japan. Instead of a competitor keeping prices low for these two carriers, the long standing relationship  has been a good thing for Boeing and causes a preferred status between the many parties affecting Japanese trade and commerce. The old saying, "what has Boeing done for Japan lately  comes into play". The loyal factor is big for both Boeing and Japan as a country or airline. The ties are a collaborative effort where both have sunk billions into that partnership.  Additionally, respect comes to the play as Boeing represents its case before these Airlines. Boeing should or does respect Japan and ANA for its contributions as launch customers for its line of 787. Having Airbus come in with a low bottom line dollar amount, in hopes of taking away Boeing business is a bold move with the Japanese culture, respect and pride.

Airbus Struggles To Loosen Boeing's Grip On Fortress Japan

Boeing needs to guard it relationship with Japan with honor, respect, and its word, by making good its promises and rewarding loyalty by Japan, with competitive pricing for Japan, regardless of the competition. Both players, Japan and Boeing have too much at stake for some organization to come into Japan and low-ball a number, just to sell airplanes without regard for Japan's partnership with Boeing. It is most important for Boeing to continue its respect for Japan and the market by not making assumptions about Japan and others in the region. Boeing must be careful at this time in making sure these talking points do not go unnoticed  for both ANA and JAL as well as the 787 contributing makers found in Japan. Boeing cannot afford to let its strong relationship to stagnate with assumptions often found in friendships. They must honor that commitment to Japan with a re-enforcing proposal that respect the Airlines, in context of what has been offered by the European Conglomerate.

Here are my talking points:


  • Respect For The Relationship.
  • Honor That Has Been Established.
  • The Partnership of Japan, South East Asia's 787 Launch Customer
  • The value added to Japan's economy through its quality manufacturing achievements.
  • The value of Boeing's aircraft  remaining in the lead as a result of Japan's contributions.

These are non cash intangibles found in  the Airbus' problem, while it tries unraveling the Orient from Boeing. If Boeing does the right thing by sharing the future together as a partner, and as part of Japan, a trust will form stronger with Boeing's offering, will keep Airbus seeking out weaker relationships for its A-350. Boeing will continue to out preform, out price and out produce Airbus with Japan's help. Airbus doesn't have enough skin in the game with Japan, and Boeing will make sure of its respect for the Japanese through its offer.

787-8 , Proof Of Concept

The 787-8 has completed its proof of concept during the dog days of summer. This Labor day is a good time of reflection for the 787-8 endeavor. Through toil and trouble it has caught on fire, smoked and failed with certain functional systems failures throughout its skin. All in all, no hull loses occurred as you would expect from the seriousness of the issues. The label Boeing chooses is "Teething Problems". The answer the press proposes, by its bent towards calamity, and fear; that the Boeing 787-8 is an incomprehensible disaster, where it reports every out of place part or misguided application, while ignoring the brilliant  redundancy, and technology that affords teething problems with a workman like progressions making it an almost perfect aircraft.

Its not the kind of aircraft that  repletes with, "damn the  omissions, full throttle ahead". Its more of a company and its people priding itself by making a quantum leap in technology with so many safety features protecting the teething problems. Its not the unsinkable Titanic, since it flies 40,000 feet above solid ground instead 10,000 feet off the ocean floor. Flying has always been  a dangerous business. That is what is driving the Boeing company forward, mitigating the danger inherent to flying. The FAA partners in that quest. As annoying as the FAA seems at the time, cobbling progressions of an aircraft manufacturer, it plays a most important and needed role as an independent governing body for compliance of known aviation. Boeing exceeded itself and the FAA with an all new airplane.

Who will stand up to the unknown? Locking arms together Boeing and governing bodies go forward together to answer the riddles born out of this technology.  You do not hear much coming from the A-350 project simply because they stayed within a certain technological base, not venturing to go where Boeing dared to go. Teething problems come to a close with Boeing having the sky high advancement of airspace, while its competitor continuously redesigns on the fly, even though Boeing seeks a continuous improvement of its own design it does not scrap the Dream to make it fly. Case in point: Boeing stayed with its own belief in the Lithium-Ion battery package after its battery fires. Airbus promptly dropped its need for Lithium-ion and had no stomach for battery advancement, because of its mad dash to catch Boeing with an all new plastic airplane.  The airbus solution is heavier and goes back a generation in electrical design. I do not suggest new technology automatically is better than old. But I do believe the lithium-Ion solution is possible, and better than the Airbus retreat, and defensive position it has taken, by moving back technology to a heavier and less robust Ni-cad battery solution and electrical redesign.

Redundancy of safety is Boeing's trump card that affords technological advancement and teething woes. Airbus is a fine company that does a good job, but stays back some and does not take on the innovation challenge as the robust Boeing effort. But Boeing understands its own capabilities through it people. Boeing must keep that human capability in sight at all times, for that's what makes the company really work well, and its what is keeping Boeing ahead of its competition. The people of Boeing is its secret, not a farmed out work-crew from somewhere not far from nowhere. The bottom line comes from the factory floor, the design room or own test centers. The big picture on labor day is the American values and Dream are found in its own endeavors. If Boeing takes on specialties from around the world in a collaboration of knowledge, skill and abilities, then it is good business. If Boeing can parley those company imports from abroad into development at home with the American workforce, then its a best result.

Plant layout and facilities development was a key schooling  I participated in during college years. It was important for efficient distances from one stage to another, merging supplies just-in-time, to the various work stations. This saved space and made the plant run leaner for a fattened bottom line. Now the plant has become a world-wide facility, inflating risks in a world wide stage, crossing Geo/political barriers of risks. Does it assume, there is no risk from change management conducted from a far off and stretched out map of the globe? Change is constant and disruptive. Even in the home plant change occurs, but that risk is mitigated with its shortened lines of work, with its own people and its collaborative  spirit.

An international disconnect occurs when new challenges arise when the piece of the puzzle is disrupted. Its best handled in your own back yard, if possible. The operative words is "possible".   That is a tough word for the execs to swallow as they mutter, "But we can do it cheaper elsewhere!" That is surrender, with unintended consequences.

Boeing should this labor day renew its efforts to build an American Dream and not an international fiasco. Look for ways of continuous improvement at home. Stay resolved to build the best and not step off its goals as other manufacturers have done with using a prior generation idea.  All electric architecture was not backed-off, nor the Lithium-ion battery. Its core technology is a great advancement as well as the barrel design in plastics. The list goes on with its great ideas handed to its great work-force.

Yeah, this Labor Day is a good day.

Saturday, August 31, 2013

On December 11,2012 Winging It said, Watch Ethiopian Airlines For The Money!!!

December 11, 2012 Feature:

 

 Boeing 787 not profitable for another 9 years?



After reading this old Winging It link on LiftnDrag blog, the article goes on to state watch Ethiopian Airlines, because they are best positioned to take advantage of the 787 on its long legged routes. Little did I know, they would have one 787 catch on fire at London Heathrow, and benched it indefinitely until a resolution is found, or did I know they would increase its profitability by 178%, and recognize the 787 directly affecting the bottom line by so much! Even with its older aircraft inventory in play every day. If it sounds like crowing, then so be it, its crowing a little. I can't help but get a little excited on a long shot Airlines on a winning horse, The 787.

Article Quote: December 11, 2012

“Another look is for Ethiopian Airlines in what the 787 does for its bottom line.  They will be a good case study, since they own such a smaller number of aircraft and fly long routes. The 787 will have an immediate impact from its operations, where you will see how it drives the bottom line at the end of next fiscal year.  This is a manageable study of its business plan and bottom line. You may gain a distinct appreciation for the 787's financial impact on Ethiopian Airlines."

Today's Headline on Ethiopian Comparing comparing Last Years LiftnDrag Outlook: 

Ethiopian Airlines: Dreamlinerboosted profits


ADDIS ABABA, Ethiopia — Ethiopian Airlines has made a record profit, the company's chief executive officer said this week Tewolde Gebremariam partly credited the profitability of Ethiopian Airlines to Boeing's problematic 787 planes. He said the company's operating profit between July 2012 and June 2013 is 2.7 billion birr ($143,137,098) from a billion birr ($53,013,740) the previous financial year. Citing unaudited company accounts Tewolde said that the company's net profits also surged during the period to 2.03 billion birr ($107,617,892) from 734 million birr ($39,230,167) of the previous year, a 178 percent increase.




Wednesday, August 28, 2013

Winging It August 2013 Summary Report

August 1st   


Kudos Aspire Aviation On Its Boeing Report

SPECIAL REPORT: THE “ONE BOEING” LEAN & MEAN PROFIT MACHINE


I cannot offer a better or more composite offering than what "Aspire" has done with the Boeing report for this years aviation Juggernaut, The Boeing Company.  Even though I am a big fan of the journal, it has done a substantial review on my favorite Manufacturing giant. Without further ado I will post a couple of teasers and this headline link above, concerning the Boeing Machinery of profit.


No Matter What, The 787 Battery Has Become A Non Issue

I almost want, another 787 battery to act up in commercial operations. As grizzly or harsh that statement may sound, it is not a wish for passengers or airlines that it would want to experience such an event. It is my sincerest hope this does not happen on a commercial flight. "I almost", is best experienced on a test aircraft and not on an airline in service. Boeing needs to fly its test copy as often as possible with the fix. 

August 5,

Charleston Is Late To The Manufacturing Date

By now most people recognize one thing. Like a kids at the candy store, they can't move fast or they will drop the candy before they reach the store door door. Everett has it down after five years. They got figured out how to get out the jaw breakers from bouncing off the factory floor. The Puget Sound Business Journal, has brought to the attention of the Northwest region that Jobs are still a pretty good bet if you work in aviation.  The Charleston plant can't cut it when they need to push candy out the door.

August 6,

The 787-10 Is Not About The A-350, Its About Check Mate

The 787-10 move on aviation's chess  board is about check mating the regional and high density route potential, cornering the market. It is known as -10 to followers of aviation's progressions. This -10  will serve all the potential high density regions of the world such as China, Malaysia, and India. The aircraft will pack in customers Like South West Airlines does in the United States cross country routes but only with a larger scale than what Southwest offers. Instead of 160 seats on the 737 Max, serving 320 million US citizens from coast to coast. Boeing intends to send over the most efficient, high capacity capacity aircraft it can to 1.4 billion people from coast to the Himalayas. I see the relevant correlation plainly as a scale-like enhancement in the planet`s most densely populated  areas of the world.

August 8,

Boeing Likes Haggling A LOT

Boeing has a running dialogue with Poland's national carrier LOT Airlines for compensation for its four month grounding of the 787, during its earlier in the year 787 grounding. An action imposed on LOT at no fault to the operator.  It obviously cost them millions of US dollars for this disruption and the lost good faith, and other intrinsic values over the prior six months. LOT has a legitimated claim for compensation from the aircraft manufacturer. Boeing does not drive that compensation claim in a singular manner, by stating all customers claims have been resolved. It sounds like car insurance and a tree falling on your car.  You call your insurance agent explaining a tree crushed your car and they reply with a $500 dollar check and a Thank you very much, by saying all claims are settled.

August 10,

Is Eight Enough? or Should You Go Decked To The 9's

Jet Star Is Out on the Boeing play-ground with its 335 seat 787-8. I thought Ryan Air was Brilliant with its 291 seat pleasure pusher last month, but "Holy lumbar support Batman", Robin screeches as Jet Star will load the cord wood and sardines in workman like order on the Jet Star 787. Did you know the -9 will hold forty more passengers than the -8. It makes me wonder what comparison Boeing is using, a 200 seat ANA to a 240 Seat ANA or a 335 seat seat Jet Star to a 375 seat -9 Jet Star or Qantas.

August  12,


777-X: Jack The Giant Killer, Fuel Burn, And Other Weighty Matters

The fuel burn complexity of the 777-X has many components  under consideration for those who seek out its value.      If it reaches out and touches the world beyond 8,000 (sm), it will carry more dead weight in fuel at take-off to make the journey. Every aircraft made has the same problem. An exponential conundrum of fuel weight added for route mile required. The heavier the aircraft flies the more fuel weight it must store on-board in its flight travels.

August 12 Extra,


ROLLS HAS IT COVERED

The Rolls Royce engine: So much has the American press dedicated a more than generous reporting of the GE offering during the 787-8 introduction. No so much on the Rolls Royce. But customers are loving the engine just the same. I wondered what makes the Trent 1000 so special and how its made. Without divulging Rolls Royce engine secrets, a really informative article is offered from   "This Is Derby shire", on the link below. Please read the quoted article below or click over on the link the blog has inserted. A recommended read for those who are guessing at what is across the pond when comes to engine technology. The article suggest a very detailed process in making fuel efficient engines, as demonstrated, is not for the faint of heart for the captains of industry.  GE keeps pressure on with its "on-the- fly PIP (performance improvement package) process, squeezing more out each rendition of its own 1B or 2B 787 engines. They are competing by making sure it meets its original promise of performance, of which they have finally met during PIP 2. The question begged, "what has Rolls done during the GE's attempt to corner the market"? I say read on and judge for yourself.

August  14,

Retro Fitting The 737 NG vs. The Max

Scimitar Winglets are a Retrofit Of The Max's Advanced Winglets 

Awhile back a blog was presented quoting O'Leary, Ryan Air's sentiment relating to purchasing the Max. One Man's Rubbish Is Another Man's Feast(updated).

Now a clearer picture emerges. Is it possible to retrofit an NG to come closer to the Max? The article link, at the top suggest this possibility. 


History Is Found In The Heart Of Boeing, Eeverett

Boeing History Link via Boeing.com

Peruse on over to to the official link above, and read about Everett Washington and Boeing History.  You get a sense of purpose, dedication, and innovation for the last 60 years from the Everett Boeing works.


If Looks Could Kill Then Buy an F-35

This old war was fought and lost by the F-32 proposal of its ungainly and non traditional looking war bird. The Generals remarked, "How can that fly, it doesn't even  look like a war fighter. Its STOVL hasn't finished landing and take-offs for the Marines. Go with the Lockheed its looks like a 20th century fighter". Wait a minute we are in the 21st century looking for George Jetson.  The $200 billion aircraft is now ranked at $700 billion to succeed its mission without any guarantees of doing what the Generals thought it would do. Let's not dwell on fishing and just cut bait on this 20th century flying parts bin. What did the generals pass on in their war bird beauty pageant?


The Boeing Manufacturing Spider


Boeing maybe shifting  its manufacturing footprint for the 777-X. What if it links the Puget Sound area with short rail leads to Everett, for all large parts transit points that are within a day's ride to the Everett super factory. A continuity plan that undercuts using long shipping flights or shipping of large parts on container ship. A wing plant here and a body plant there could supply the Northwest for its legacy 777-X.

August  17,


Boeing 787 Is Growing Up Right Before Your Eyes

Boeing is moving forward with its 787. The three phases of success is moving forward as witnessed.

Phase 1: Lame

August 18,    Part II

The Boeing Manufacturing Spider Is Growing More Legs For The 777X

Just a few days ago it was noted on how Boeing will quickly implement its NW footprint for the manufacturer of its Legacy 777-X in the upcoming few years. Going over seas could take added time for a manufacturing role out and a delegation of inside capabilities for new technology could be lost to supplying  partners. The risk of out sourcing proprietary design for outside build partners is high.  At some point one may ask if Boeing can indeed build an aircraft any longer in a stand alone effort  in the Pacific Northwest.  That ship has sailed, but maintaining the ability of having major parts and pieces keeps Boeing building aircraft from engineering clear through the role out of an aircraft without it wondering how an overseas calamity breaking out in different parts of the world. Sinking the whole project into oblivion.


Big Order On The Lufthansa Front All Quiet For The Framers..

Nobody is talking about a 50 aircraft 10 billion dollar deal Lufthansa is crafting for its equipment enhancements. Because it has a predominant Airbus portfolio, it is interesting to watch this order. There are Boeing Aircraft in the stable. Particularly the 747-8i.  A harbinger of openness for mixed fleet and follow-on commonalities. The 787-10 has a relative short backlog for Boeing compared to the Airbus family of aircraft for the A-350, which has not rolled out to market as of yet, giving Boeing breathing room on the time line of delivery and providing, Lufthansa time to market after next months announcements.

August  23,

The 787 Phase II Testing Draws To A Close

Phase I: The engineers, assemblers and subcontractors  completed its tests in phase I years ago, and continue to test the aircraft throughout the phase II part which is now drawing to a close. Phase I consisted of the first 6 test models and its static model in the stress test. It was a proof of concept program that validated the whole idea of a plastic airplane and its feasibility in its own marketable class. This phase was completed well into 2010. Phase II began when ANA and Japan Airlines took delivery of its first Aircraft late in 2011. Marking the beginning of the customer test period or phase II.


737 Max Parsing Through The Single Aisle War

Reading through the Boeing.com press you sense how serious this business of building the single aisle market arises to a fever pitch. The buzz word of the year from Boeing is "discipline". The Max is not your brothers 787. The build process is disciplined, not ambiguous or a meandering onslaught of lessons learned that were found in the 787 project! The 737 Max is marching in lock step to 2017, so says the Boeing VP, Scott Fancher.


Decked To The Nines The 787 Has Come Out To Play

The long awaited and much anticipated 787-9 has come out to play at Paine Field. In full Boeing apparel, the 787-9 will take its super sleek tall model body out for flight testing soon. The factory promenade is complete and the press quickly copies  and paste the same information as if the 787-9 is on a press junket. The leads say the same thing. 250-290 passenger capacity when you know already that the 787-8 is capable of more than that number as Ryan Air and Jet Star will haul 291 and above with its smaller -8's. A fully comfortable -9 has flexibility to configure and keep its minion in travel party mode. It would not load to discomfort by making 290 tickets squeeze into a paper shredder at the boarding Jetway.

August 27th The Months Grande Finale  Blog


Air India, The Change Incorporation And Rework Business


No better relationship has developed than Boeing and Air India. One who has a back- log in the waiting, and the other who has a Government in the waiting. Change Incorporation has become the buzz word for both as they sort out early airplane builds. While the other sorts out its ability to build an airline business out its government. The metaphor is not lost on this partnership. Change Incorporation is the common theme.

Tuesday, August 27, 2013

Air India, The Change Incorporation And Rework Business

No better relationship has developed than Boeing and Air India. One who has a back- log in the waiting, and the other who has a Government in the waiting. Change Incorporation has become the buzz word for both as they sort out early airplane builds. While the other sorts out its ability to build an airline business out its government. The metaphor is not lost on this partnership. Change Incorporation is the common theme.

Even though Air India could of have more 787 units flying than its recently delivered 8th Dreamliner. Change incorporation  status had helped both players. Change incorporation was born out of Boeing's necessary steps of making the "early builds" a viable flying machine. Translation, during the first 40 builds, redo's ran rampant as engineers tweaked the design while suppliers wrote back by asking for a "never mind" reprieve from earlier miscalculations, hence off to the The Change Incorporation Purgatory".  By the way purgatory was canceled by the last Pope.

Its a place where the few chosen ones can install years worth of upgrades, matching the build, LN 120 requirements, coming out those big 40-24 doors.  Boeing had an immense amount space available other than parking some early builds outside, way out into the rains, storing its backlog that have: design, parts and assembly flubs awaiting engines and the right stuff.  So it started the Change Incorporation and Rework Center (CIRC) aka: Everett Modification Center(EMC); for housing those 200 million $ a copy 787's, from curing out in the elements and moving them "in", for getting them into customer's hands at discounts. Forming a very complex Boeing discussion at the very least.

Royal Air Maroc gets a snow shovel for its aircraft-in-waiting.



Simultaneously, along comes an eager Air India who places a large early order of some 27 copies where it is in no condition of receiving 787 within a year's notice.

Boeing places a call to Air India saying, "we've got one ready".

Air India calls  back, "I don't know yet the Government hasn't told us  whether we can afford a delivery", or the money has to be in US dollars or Crore.

"The Not Ready For Prime Time Players", are in a quandary.

Boeing says,  "no worries we have CIRC, which is our hedge against delivery failures. We will just twiddle the inventory a little longer until the money, errrh, India's government is ready from bureaucratic levels".

Air India's early order turns out to be brilliant for both. It gave time to short out problems at both ends.  The "incompetence" and underestimations at both ends finds a win- win situation in change incorporation. Below is a chart highlighting 787 Blogger disposition of the 787, so I'll copy and paste over Boeing's first 40 frames current status relating to just Air India's status:

AI, "We've got you in line for the CIRC, so we can short out problems from both ends!"


Line\    Body  Serial   Tail\     Model Customer   Engine              Staus
LN25 ZA230 36273 VT-ANA 787-8 Air India GE GEnx-1B Change Incorporation and Re-Work Everett EMC Bay A Everett

LN26 ZA231 36274 VT-ANB 787-8 Air India GE GEnx-1B Change Incorporation and Re-Work Everett EMC Bay B Everett

LN29      ZA233 36278 VT-AND 787-8 Air India GE GEnx-1B Delivered Delivered Delivered Delivered 40755 41170 2nd Air India

LN28 ZA232 36279 VT-ANC 787-8 Air India GE GEnx-1B Change Incorporation and Re-Work Everett EMC Bay C Everett

LN32 ZA235 36275 VT-ANG 787-8 Air India GE GEnx-1B Pre-Flight Prep Everett Flightline Stall 118 Everett

LN30 ZA234 36280 VT-ANE 787-8 Air India GE GEnx-1B Pre-Flight Prep Everett EMC Position XC Everett

LN35 ZA236 36276 VT-ANH 787-8 Air India GE GEnx-1B Delivered Delivered Delivered Delivered 40933 41157 1st Air India Everett

A total of Seven Aircraft accounted for out of the first 40 builds from all of Boeing's 787 customers.

These aircraft represent about 25% of Air India's future fleet, some of which are now in service. The latest Boeing delivery was to ANA, LN120,  on August 21, 2013  as a reference point for Change Incorporation and Rework Bliss founded for AI (EMC  Hell for Boeing).  Out of this bunch two have been delivered and two are in a holding stage for testing, called Preflight Preparation. The other three are parked in the fog of upgrades and rework.

One Aircraft is Ready For Delivery but the expecting Father has not arrived from India to Paine Field. Something to due with problems with a "money order" or a cash machine pin number malfunction.

One more aircraft is in the long queue, way... back in line, standing on paper at a parts position LN158. So with Aircraft spread all over the map it allows time for Air India to spend time getting money, talking to the Government and advertising the anticipation of the next game changer. A perfect solution for Air India and more re-work room for Boeing to bury the 7-late-7 image. Coincidentally, AI has 7, late 7's listed above coming out of The Change Incorporation and Rework Center. There is meaning in numbers, at least with the number 7, and not being a part of the LN-terrible-teens (LN 13-19), is a good thing for AI.

Change Incorporation and Rework Center (or CIRC) is a most excellent adventure as in "Bill and Ted", who seem to always come out of a problem during time travel with a "Party On Dude " attitude. However, Boeing isn't doing it with an old phone booth they have air conditioning, and very big buildings to make its own time travel with an EMC twist for the shorter CIRC line from both ends.

Air India is willing and ready to delay the next delivery awaiting government approval, who would officially approve financing, only if it knew about time value for finances. What an excellent adventure for Air India as they try to Emulate More Competence (EMC)  through  the parody of Napoleon's Historical battles found in the European Market place, and not lose (Bill & Ted's, "Party On Dude War Cry").

All anyone needs to know at this time is that Air India ordered 27 Dream-Liners and...

  • AI has 8  Dreamliners
  • AI has 1 Dreamliner for delivery but waiting for something before taking it home.
  • Boeing has 2  Dreamliners in a preflight Gestation
  • Boeing has 1 Dreamliner on the parts wish list for AI, collecting parts.

Unless I missed the count (that's possible):

Totals 12 Dreamliners out of 27. Leaving 15 unaccounted for, at this time.

What  to expect:

787 Air India hulls will be out of Boeing's shorter CIRC court by years end, and will measure out its deliveries to Air India, when AI is really capable of induction (which kind of resembles a sucking sound). Rather than building aircraft because AI ordered first; Boeing can't afford the Financial change incorporation and rework of (FCIRC)...from its Air India partner, who happens to have its own Empty Monetary Currency (EMC) approach, once Boeing empties its own shorter CIRC and corporate named EMC of AI Equipment, it will build the AI fleet at a different pace.

Sunday, August 25, 2013

Decked To The Nines The 787 Has Come Out To Play

The long awaited and much anticipated 787-9 has come out to play at Paine Field. In full Boeing apparel, the 787-9 will take its super sleek tall model body out for flight testing soon. The factory promenade is complete and the press quickly copies  and paste the same information as if the 787-9 is on a press junket. The leads say the same thing. 250-290 passenger capacity when you know already that the 787-8 is capable of more than that number as Ryan Air and Jet Star will haul 291 and above with its smaller -8's. A fully comfortable -9 has flexibility to configure and keep its minion in travel party mode. It would not load to discomfort by making 290 tickets squeeze into a paper shredder at the boarding Jetway.

The problems, belong to the -8 not the -9. Why? The -9 is an elongated -8,  and the -9 will  be way advanced of the original build problems found in Ln 1-40 on the -8. It will incorporate the electrical protections and parts solutions  found through passenger and airline use the last two years. You could say this is the best-8 yet, only longer and more fuel efficient. Did I say more fuel efficient? Yes! More passengers and longer travel legs on the same fuel loads. You may want to refer to it as the perfected -8 only having a -9 attitude. This aircraft has attitude and will eventually surpass the -8 in numbers 10 years down the road, even though the -8 will be still flying off the shelf to its customers.

Now isn't this style of news writing better than repeating a list of problems at the top of a Boeing article every time you read something about the 787. Most articles begin with the year 2013 was a terrible year for Boeing, and then promptly list all the misses, malfunctions and mal-ware discoveries during 2013, before talking about what the news really is about regarding Boeing. Are we, as civilization, bent on hearing over and over again, about something as if we might learn something new by constant repetition from a news article? I won't insult anyone's intellect with repeat banter about faults, before writing about whats new.

Honest -9 Report

Time for a picture: Dave Parker Brown Shared Photo





There it is! Simple, clean and ready to play. The long wait for music and fuel is about over. I am expecting a fast matriculation to airports around the world. Air New Zealand is a short trip away from the Boeing's paint shop and interior furbishing center after its testing, before ANZ ramps up its hype machine.

All is needed is a short Jingle to make it official.. "The Boeing -9 is Ready To Shine".