SP's Avn 2 of 08 Cvr a with Corrected

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News Flies. We Gather Intelligence. Every Month. From India. AviationISSUE 2 • 2008

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DESIGN AND PRODUCTION OF ELECTRONIC DEFENCE SYSTEMS. Table of Contents

Regular Departments SP’s AN SP GUIDE PUBLICATION 2 A Word from Editor News Flies. We Gather Intelligence. Every Month. From India. 3 NewsWithViews - Paramount expansion a pipe dream? AviationISSUE 2 • 2008 - Many twists to US spy satellite tale Military - Confusion Galore 10 TOP STORY 6 InFocus THE TRANS-ATLANTIC TANKER WAR - Superficial vs Substantial 13 UPGRADES 7 Forum DEFYING CONSTRAINTS - Little to Cheer - Expertspeak - Budget 15 INDUSTRY FACE TO FACE 32 NewsDigest PRESIDENT OF ELETTRONICA S.P.A. 36 23 TRAINING LastWord - BIAL: Protracted Delivery HAWKS ARRIVE IN INDIA Cover Story 16 16 CIVIL Cover Photo: �� USINESS VIATION ENSE AVINGS New VLJs, like the Cessna �� B A : S & S �� Business Aviation: Sense & Savings Mustang, are drastically �� As global travel becomes increasingly �� cutting down the cost of �� tedious with all the hassles posed by �� Diplomacy chartering a private aircraft 22 US OFFICIAL VISIT elaborate security checks and airport �� transfers, the business jet has emerged by as much as 30 per cent �� HOPE & CAUTION a far more attractive option �� Photo credit: Alan Peaford ��

Show Report PUBLISHER AND EDITOR-IN-CHIEF DESIGN 24 Singapore Airshow ’08: SPLIT TO SIZE Jayant Baranwal SP Guide Publications Team 28 DEFEXPO ’08: LAVISH SPREAD ASSISTANT EDITOR © SP Guide Publications, 2008 Arundhati Das Hall of Fame ANNUAL SUBSCRIPTION SENIOR VISITING EDITOR Inland: Rs 850 • Foreign: US$ 250 31 HANNA REITSCH Air Marshal (Retd) V.K. Bhatia Advt. details may be acquired from the contact information below: SENIOR TECHNICAL GROUP EDITOR Lt General (Retd) Naresh Chand SP GUIDE PUBLICATIONS P LTD Postal address Post Box No 2525, 10 SUB-EDITOR New Delhi 110 005, India. Bipasha Roy CORPORATE OFFICE A-133 Arjun Nagar, (Opposite Defence Colony), CONTRIBUTORS New Delhi 110 003, India. India Air Marshal (Retd) P.K. Mehra, Tel: +91 (11) 24644693, 24644763, 24620130 Air Marshal (Retd) Raghu Rajan, Fax: +91 (11) 24647093 Air Marshal (Retd) N. Menon, Air Marshal (Retd) REGISTERED OFFICE V. Patney, Group Captain A.K. Sachdev Fax: +91 (11) 23622942 Europe Alan Peaford, Phil Nasskau, Justin Email: [email protected] 22 Wastnage, Rob Coppinger, Andrew Brookes, Paul Beaver, Gunter Endres (UK) REPRESENTATIVE OFFICES BANGALORE, INDIA USA & Canada Sushant Deb, Lon Nordeen, Air Marshal (Retd) B.K. Pandey Anil R. Pustam (West Indies) 534, Jal Vayu Vihar, Kammanhalli Main Road, CHAIRMAN & MANAGING DIRECTOR Bangalore 560043, India. Jayant Baranwal Tel: +91 (80) 23682534 MOSCOW, RUSSIA Owned, published and printed by Jayant Baranwal, LAGUK Co., Ltd., (Yuri Laskin) printed at Rave India and published at A-133, Krasnokholmskaya, Nab., Arjun Nagar (Opposite Defence Colony), New 11/15, app. 132, Moscow 115172, Russia. 23 Delhi 110 003, India. All rights reserved. No part Tel: +7 (495) 911 2762 of this publication may be reproduced, stored in a Fax: +7 (495) 912 1260 retrieval system, or transmitted in any form or by any means, photocopying, recording, electronic, or otherwise without prior written permission of the www.spguidepublications.com Publishers.

NEXT ISSUE: Maintenance for Corporate Aviation

Issue 2 • 2008 SP’S AVIATION 1 A Word from Editor Defence allocation in the Budget has come as a dampener for Indian armed forces even as the share set aside for civil aviation somewhat reﬂected the sector’s dynamic growth. That, and high drama over a defence deal in the US makes for an engaging read.

rue to our word to bring SP’s Aviation to you every opinion piece where he reiterates that a mere 10 per cent hike month, we feel privileged to present to our read- in the defence budget from the previous year may mean noth- ers the second issue of 2008 close on the heels of ing as, in real terms, the budget may have remained static or Defexpo 2008 held in Delhi’s Pragati Maidan from even declined. February 16 to 19. Away from home, the United States Air Force (USAF) finds TIn the cover story, Alan Peaford presents a world view of itself in the centre of a storm over a $40 billion contract for the growing popularity of business aviation that has in recent the supply of 179 Flight Refuelling Aircraft which it awarded years received an impetus as global travel becomes increas- to a consortium consisting of Northrop Grumman and Euro- ingly tedious with the numerous hassles posed by elaborate pean firm EADS. The country’s home company, Boeing—the security checks and airport transfers. Looking at Asia, the au- traditional supplier of air tankers not only to the USAF but also thor comments that India, with its greater number of million- to other air forces of allied/friendly countries—has not taken aires than anywhere else in Asia and record number of aspir- kindly to the snub. Far from it. Bewildered and angry, it has de- ing graduates and entrepreneurs, is a potentially huge market cided to file a formal protest asking the Government Account- for business aircraft. In reflection of this statement, just the ability Office (GAO) to review the USAF’s decision. In a short other day, a brand new hangar was commissioned at the do- time, the raging debate has acquired political and patriotic mestic side of the IGI airport at Delhi to service Hawkers. overtones. Even as Air Marshal (Retd) B.K. Pandey discusses Even as the civil aviation sector booms, Finance Minister P. threadbare the intriguing twists and turns in the so-called Chidambaram’s 2008-09 Budget, presented in Parliament on tanker war, the voices of reason are strident in their demand February 29, gave little cause for cheer to the Indian armed to be heard above the din raised by opponents of the deal. forces with industry pundits and senior servicemen insisting Finally, after almost a quarter of a century after the Indian that the allocation would fall short of realising the aspiration Air Force’s initial bid for an advanced jet trainer (AJT), the for rapid modernisation of the forces. A rather disturbing de- Hawks were formally inducted into the force at a small but velopment is the defence budget’s slide to less than 2 per cent glittering ceremony on February 23 at the air base at Bidar, of the GDP—for the first time since 1962. Analyses carried in heralding a new era in the history of flying training. the In Focus and Forum columns are further strengthened by Enjoy! former Chief of the Indian Navy Admiral (Retd) Arun Prakash’s

DEFENCE MINISTER A.K. ANTONY RECEIVES A COPY Jayant Baranwal OF SP’S MILITARY YEARBOOK 2007-2008 Publisher & Editor-in-Chief

2 SP’S AVIATION Issue 2 • 2008 EMBRAER NewsWithViews VIEWS regional identity. regional the date, distinctly its of shed can it before go to way long a has As airline unconvincing. and unrealistic appear somewhat plans expansion airline stated the the date, to approach displayed has cautious seemingly How the country. given the ever,of rest the cover to footprint its large en progressively and crore) 10,000 (Rs billion $2.5 of over investments to tions its to expand fleet involving 60 aircraft manage airline ment notwithstanding. the by contrary the red,to the claims of out truly is model, business difficult rather its least of all Paramount Airways with crore). It is unlikely that any airline, the region of $700 million (Rs 2,800 in be to estimated is 2006-07 year financial the of end the by India in airlines all by suffered losses tive cumula the as certainty of degree any with stated be cannot cessful, model adopted by the airline is suc cus onprofitability. fo to India southern to operations out non-profitable sectors confining cutting operations down scaling to resorted has airline the approach, Adopting an extremely conservative but exclusive somewhat doubtful business model. its validating been essentially this has In airline aircraft. the period, five just to fleet its up build to managed has ways Air Paramount existence, of years family ofaircraft. Embraer Brazilian the operate to India in airline only the is Airways competitive prices. Also, Paramount the society. The airline offers good value for money at highly and business class sections catering to a narrow segment of first only of combination a to configured dia,are aircraft its of counts. Unlike other low cost or full service airlines in In L planes or Airbus A 330 as its final choice. The deal is andlikely toToulouse-based materialise and anaircraft announcement manufacturer may be made Airbusduring thefor ongoingacquiringthe lucrativeSingapore at least European Air10 Showandwide-bodied US2008. sectors. planes. As part ofAn its official preparation said to flyfivethe international, airlineyears ofis operationsactively Paramount consideringin is 2010,currently Boeing’s holdingwe plan final Bto 777negotiationsstart family international withofChennai-based US aerospace operations.”regional majorcarrier BoeingParamount Paramount Airways plans toAirwaysstart international initiallyoperations hopesPARAMOUNTby 2011. to EXPANSION explore Managing A PIPEDREAM? Directordirect M. flight Thiagarajanoperationsdeclared: to select “As destinationssoon aswe finish on In this context, indications by the airline management of inten has airline the years, four to three next the Over business the not or Whether two-and-a-half last the Over Paramount Group, the airline is the unique on giant,a number textile Madurai-based by Owned sector. private the in airline low-cost a is Airways mount aunched on October 19, 2005, Chennai-based Para ------associated with the induction of a new type of aircraft. Also, sizeable investments in human resources and infrastructure necessitating Airbus, or Boeing from either jets body wide of fleet a acquire to have would airline the Europe, and US the its to flights both international For to record. track and character contrast jarring in is and plan strategic its to dimension perplexing a adds Europe, and US the to flights direct with arena international the into foray to intentions to coincide with international air shows. shows. air international with coincide to timed usually are that relations public in exercise another analysis, final the merely be to In out turn well may pronouncements waters. recent the troubled in fishing be well may Airways Paramount sectors, do international on and mestic operating aircraft of types different radically with fleet mixed a of management the in involved complexities the groundbywayofeffectiveexecutionplans. Finally, given the financial, technical and operational operational and technical financial, the given Finally, Issue 2•2008 — Air Marshal(Retd) B.K. Pandey cial resilience to muster the enor the muster to resilience cial finan the has airline the whether there has been little movement on movement intent, little been has there of pronouncements tious ambi from far,However,apart so laudable.and lofty indeed is scene ning to emerge on the international plan and fleet domestic its of sion profit. The airline’s effort at expan of margins better offer to expected is move a such fares, higher and prices fuel international lower account of On flights. will international operate to airline eligible be technically the attributes, two more inducting aircraft.20 than these with Armed by fleet current its supplement to intends the airline time in which by operation 2010 of October years five plete tional approachinthisregard. airline may opt for a more conven mestic sector. In all probability, the do the for adopted configuration cabin unique its replicate to plans has airline the whether clear yet fleet, is not quite clear. It is also not Embraer the of expansion the for committed investment the above and over required resources mous aaon Aras il com will Airways Paramount

SP’S AVIATION SP 3 ------US NAVY NewsWithViews VIEWS 4 As of date, there is no available means besidesdent. deterrence. Protection of theseThe assets is, therefore, of majorthe concern.globe by the US armed forces are critically satellite depen Successfulmilitaryoperations undertakentheatres acrossin space, was an event that caused much consternationnaof the capability to theto successfully US. target asatellite 650 km in listic missile. Apart from littering space, demonstrationown life-expired by Chi satellites in orbit with a ground-launched bal debris from fragmented satellites. uedtoavoid pollution ofspace by however, discontin was,Testing 1985. in aircraft was F-15USAF satelliteweaponlaunched froma successfullyanti andestroyed by was orbit satellite in a that time merablesuccessful tests. The first innu conducting missiles, ellite suedthedevelopment anti-satof SoviettheandUStheUnion pur likely impact thearea. accuracy of degree sonable rea with predict and trajectory trackto tinyobjects re-entryaon ibilityas the US has the capability cred lacks claim the of partlast controlled. The nor predicted be pointofthesatellite could neither impact the as humans tothreat unspentof Hydrazine, potentiala wascarrying inexcess of500kg it that fact the by triggered was itentered theEarth’s atmosphere sionto destroy the satellite before Pentagon,deci theclaimed by habitation. As human to danger March2008,firstofweekposing the by itultimately wouldonpoint impactitsome that was movingbe progressively closer theEarthto and the estimate and abandoned. However, two months ago,the itsatellite was observedwas lost andto it was consequently declared defunctahurdle that apparently proved insurmountable, control over based high resolution imagery. O toxic fuel. Officials had expressed cautious optimism that the missile would hit the satellite, the size of a school bus. But they were less certain of of certain less were they But bus. school a of of tank size the onboard an deadly satellite, the destroying hit of potentially aim would and primary missile dying the the a that achieved smashed optimism and apparently cautious had Pacific it the expressed claimed had above km officials Officials 240 fuel. defence soared toxic Several cruiser said. Navy Pentagon US the a from satellite, spy US launched missile a 2008, 21, February On TALE SATELLITE SPY US TO TWISTS MANY hitting the smaller, more worrisome fuel tank, whose contents posed what Bush administration officials deemed a potential health hazard to humans humans to hazard health potential a deemed officials administration Bush intact. what landed posed it if contents whose tank, fuel worrisome more smaller, the hitting Owing to failure of onboard software-based control systems, Early last year, China created a furore by downing one of its Duringthe Cold Warera, both SP’S AVIATION newly developedradarnewlyopticalbothandsensorsfor VandenburgCaliforniatestingforin Base Force Air from December 2006 launched in satellite was spy Nationalthewnedby Reconnaissance Office, USthe

Issue 2•2008 ------

- - - danger to humanhabitationdangertoimaginarymore impactfromis fuel burning out in the process. Even if it did, apprehensionEarth’stheinflammableintoatmosphere entrythewith ery of unlikelyHydrazinethatthe tankwouldhavesurvived fi the somewhatunconvincing.satellite,highlypledisFirstly, is it million$60crore)240(Rsa missioning destroy to cripthe the F-15 based ASAT programme was terminated yearsBut ago.the US is yet to match China’s demonstrated capability as unequivocal China.perhapsanmessageexerciseto was US tending intospace. ex race arms the of account on humanity for implications is world The orbit. profound with confrontation war cold to Earth inexorably moving low in satellites out knock to 3 SM the of capability the prove also anti- but validate technology missile only not to exercise an as episode the view parts of Canada that, thankfully, was sparsely populated. over1978 Januarysatellite showeringradioactivein debris than real, considering 70 per cent of Earth’s surface is covered In this case, the rationale put forth by the US for undertak htvr h ofca psto, oh usa n China and Russia both position, official the Whatever SP

— Air Marshal (Retd) B.K. Pandey is f h Rsin OMS 954 COSMOS Russian the of ries memo reviving onboard, being device generation power nuclear a aboutrumours unfounded also pact on imland or water. violent There were and reentry survive it should value intelligence tain re could hardware any unlikely Chinese hands. But it is extremely or Russian into fall not does ogy technol reconnaissance satellite sensitive ensure to be could tion injury from space debris. recorded case of human fatality or no is exploration, there space of decades six nearly prop the erty. Over to damage or humans to injury any without but Earth the of surface the reaching few with reentry made containers, laden objects, including some Hydrazine 100 around 2007, ignored. In be an inhabited area is low enough satelliteto largeveryimpacting thenotwhichis of probability The inhabited. is surface land the of with water and only three per cent h ohr osbe motiva possible other The

------SHARAD SAXENA NewsWithViews VIEWS submerged pontoon off Visakhapatnam on February coveringmarginally26,theasuccessful from K-15 2008.firing oftest media the with scene the on appeared has missileanother ously named as Prithvi III, Sagarika and Dhanush. navalInPrithviversionthethe addition,missileof varibeenwhichhas is yet to undergo field trials before its acceptance by themain army. reason for non-acceptance. The last, Nag missilerejected system, it outright citing cross-country incompatibilitiesconditional as acceptance the from has the Air it Force while that the army in has successconditional onstration found stage. has Akash technology dem the foreclosed at failure as the programme has been concernedTrishul totalhasbeena As far as surface-to-air missiles are the Mk III is still under development.yet to be deployed operationally and erationalised, the MK II version has tial.beenophasWhileI AgniMk potenfullitsfind to yet hashand successful.fully othertheAgni, on be to claim can which Prithvi the status of the previous programmes. the at lookprudent to perhapsbe up programmes. That followsaid, and ongoingit would the on media criss-crosstodue reportingthe by created confusion, which deepened developed fullyprogrammes were old the all not that facttries. The andparticipation byprivate indus collaboration foreign with frames be developed in much shorter time missile and weapon systems new would the that stated further It es. inductedtheinIndian armed forc sinceproposedthemostof missiles beenhaddeveloped and DRDOannounced woulditclosing be themissile programme the 2008 architects. 8, January chief On the of one aslam, DRDOwith theformer President ofIndia, Dr A.P.J. AbdulKathe headedby and1980searly thelaunched project inwas systems. anti-tank missileThe Nagface-to-air missiles, and missiles, medium-rangeTrishul short-rangeAkash and sur I sile systems. Also on the anvil are four other missile systems: the 700 km range K-15 submarine launched ballistic missile, the 290 km BrahMos BrahMos km 290 the missile, in mis ballistic (IGMDP) launched air-to-air Programme Astra submarine of K-15 Development range development km the 700 Missile on the focusing Guided systems: missile reportedly Integrated other is four (DRDO) are anvil Organisation the quarter-of-a-century-old on Also Development India’s systems. and of sile Research termination Defence the 2007, official the December of aftermath the In GALORE CONFUSION supersonic and hypersonic cruise missiles, the 3,500-km range Agni III ballistic missile and the long-range surface-to-air missile system being jointly jointly being system missile surface-to-air long-range the and missile Israel. ballistic III with Agni range developed 3,500-km the missiles, cruise hypersonic and supersonic f h ery rjcs i i only is projects, early it the Of Foremostamong the dilemmas facing the DRDO concerns Agni and short-rangeandAgni Prithvi surface-to-surface ballistic missiles,rangesiveof including intermediate-range the enousprogramme for the development ofcomprehena ndia, it may be recalled, had launched an ambitious indig ------tain to India-Israeltainto collaborative programmes acquisition/on warhead/750 km range (reported as 700 km by the media). marine-launched version of Prithvi III or Sagarika withwarhead 250 kg capability. On the other hand,surface-launched K-15version Prithvithe ofwith III 1,000/500appears kg to be sub wassuccessfully tested fromship a onMarch 30, 2007 isthe 750 km with a 250 kg warhead. Itwith acould 1,000 kgbe warhead, that 600Dhanush km with a which500 kg warhead Theandnaval Prithvi III was supposed to have a range of 350 km for two squadrons’ worth of these systems? standing the fact that the IAF have reportedly placed an orderput the indigenous AkashSAM system into jeopardy, notwith nationwideair defence system. credibleBut will this adevelopment for also SAMs long-range requirements forprojected armedforces. The armyandthe airforce areknown have to co-developed by India’s DRDO and the IsraeliSAM(medium/long IAI forrange surface-to-air the Indianmissile) system beto appearsto be the project which is being described as MR/LR- developmentmissilesystems.ofearlierderailed TheSpyder te cnuig eot eaaig rm h mda per media the emanating from confusing reportsOther Issue 2•2008 ofsn rprs y h media, it theconfusing reports by (formerly, Admiral Gorshkov). Vikramaditya INS Amid with beginning comprehensivea carrier task force ment to the Navy’s establishment of threatareas, logicalanda comple ter’navythatreachcanintohigh- transitionamore‘blue ofwaa to surface-to-airmissile systems in its futurewarshipslongerrangewith navy has decided to configure system.The present all theits of range rangekm compared km)10 70to to(50 longer much have would BarakNG(Next Generation) which improvedanversion calledopthe appearto be all set to jointly devel sitionprogramme, India and Israel quick-reactionsurface-to-air Barak missile system the acqui in sies controver riddled corruption and front,notwithstanding politicalthe naval the programme.Trishul On dueto the failure of the indigenous revived,beenprobably,havemost middlemen involvement appears to missilesystem due tosuspicions of surface-to-air Derby) plus (Python — Air Marshal (Retd) V.K. Bhatia

SP’S AVIATION SP 5 -

------InFocus absorb the allocated amounts on the ongoing programmes,ongoing the on amounts allocated the absorb rapidly to able be will instance, IAF,for The itself. arming is India’sneighbourhood which at pace feverish the match to want desperately so services the modernisation quicker cerned. It may be noted that these allocations do not permit con is forces as armed the far for hardware major as of acquisition cheer to reason little be may there terms solute year,previous ab the in over cent per 20 approximately of ($12.175 billion). crore 48,007 Rs of figure a to allocations capital combined the take up added when which allocations sundry other for cater not equipments.does major It other and warships val na vehicles, medium and heavy aero-engines, and aircraft as such hardware major only to The respectively.pertain allocations billion), above ($2.83 crore 11,328.59 Rs billion) ($2.51 and crore 10,057.29 Rs being share their with reversed been have to navy,seems and however,trend the dollar.US weakened a army against the rates of case the In exchange current the at billion) ($4.57 crore 18,281.42 Rs of allocation increased slightly a with table the of top the at remains IAF the year,too, This rates. exchange prevailing Navy,Indian the for billion) ($2.22 crore 10,000 then the at pared to Rs 11,374 crore ($2.52 billion) for the army and Rs 16,660.17 crore ($3.70 billion) for capital expenditure, com Rs allotted been operational/ year,had Last equipment.IAF support the obsolete and levels force depleting fast terms in its lows of new hit has which IAF the of concerns the addressed extent some to have to appears Defence of istry reveal that the hopes were not entirely misplaced. The Min modernisation its programmes. derail The to now released not figures for the as three services so concerned are alloca tions budgetary capital as far so pie the of share bigger a get to continue would is, it that service capital-intensive highly (IAF), Force Air Indian the that hoped being was it However,service. each of share the be would much how to S for capital expenditure.” necessary,providedif be alsowould money more especially that Minister) (Defence Mantri Raksha the assured have “I billion).”($26.51,05,600crore Rs to Adding: being crore 96,000 Rs from is cent per 10 defence by raised for allocation “The said: Chidambaram 29, February Indian on the Parliament to Budget the Presenting liner. P e p u S 6 BUDGET

hl te aia alctos hw n vrl increase overall an show allocations capital the While On the day the Budget was announced it was not clear as SP’S AVIATION was contained in the traditionaltwo-the containedin was Budget 2008-09 Chidambaram’s Minister P. Finance in sector the defence for allocation precise, and ithy

Issue 2•2008

l a i c i f r civil aviation maintain last year’s momentum concerns of the IAF even as allocations for The MoD has to some extent addressed the UBSTANTIAL ------such as the Hawk the as such AJT,Phalcon the AWACSsystems, ad the million) has been also earmarked for Haj charters. receivedlastyear. sizable A chunk413.0Rsof crore ($100.4 Rs 123.8 crore ($40 million) which is about half the amount it rotarywingpublic enterprise Pawan Hans, hasbeen allotted eryand Aurangabad. Theother traditionally bigspender, the areaslikeJammu, Leh, Srinagar, PortBlair, Agatti,Pudduchcrucial andRegionEastern North the airportsvariousin in funds will be utilised for providing year. operational These last improvements from increase two-fold almost anmillion), Airport Authority of India (AAI) bags Rs 3,377.10 crore ($845 theimprovement evidentasrequirements seriouslyismore ($2.577 billion) for the present year. forthe Civil aviation Ministry which stand at Rs 10,031 crore mainreasonthesomewhattheforbe to reduced allocations lion) gets a little over half of what it got last year.similarvein, IndiaAir Charters634.5croreRsThat ($160 milat appears inductions,whichconsume majorpartallotted of funds. aIn requirementmeetpaymenttheto schedules aircraftnewfor The reduced allocation may have been due to a possiblethe lesserNACIL has been pegged at Rs 5,786.48 crore ($1.5billion) bothforairlines billion). 2007-08,in thisyear’s allocation for er,compared to a combined total of Rs 8,844.71 crore ($1.95 National AviationCompany ofIndia Limited (NACIL). Howev transferred to the now merged airlines been amalgamated has same into the the year this Indian, and Indiacarriers Air lion’stheearmarkedyearpubliclast sectorwassharefor If 12,192.09billion).($2.70croreRs to2,256.36crore Rs 07) five-foldallocationspreviousinspurtthe year’sfrom (2006- suddenwitnessedait when year last the momentum ofthe Budgetaryallocations forthecivil aviation ministry maintain CIVIL AVIATION: BONANZA CONTINUES fulfill extendedresponsibilities. to capabilities desired and present its between exist which voids large the considering iceberg the of tip proverbial the be to prove may this few.But a name to project, SAM der ditional Su-30 MKI and FRAs, and the recently revived Spy The fact that the government has taken the infrastructural vs

— Air Marshal (Retd) V.K. Bhatia SP

- - - - - Forum BUDGET Little GDP. Defence Minister A.K. Antony later stated he saw no saw he stated later Antony A.K. Minister GDP.Defence the of cent per 3 to increased be would allocations defence cent, per 8 reach to were growth economic the if that assur ance categorical a issued past distant too not the in had universally acceptednorm. a and yardstick clear a is This concerns. security to its meet make to willing is country a investment the of dication a as percentage of GDP, computed defence expenditure provides a clear in When defence. on GDP the of amount a fair spend to need the realise to failed again once has ment Govern UPA the year, last Like realities. ground edge acknowl to establishment ruling the of refusal the to owing adversary,but the to up measure to failed forces armed Indian the because not Chinese the to lost dia country’s In vulnerabilities. the military address to refused had politi leadership cal India’s when time the also was That Chinese. the of hands the at defeat shameful and ignominious an suffered India year the 1962, in seen was dip ilar 2 per cent of the GDP. A sim than less to plummeted has cades India’s defence budget time in over the last four de first the for is, Fact needs. be provided to meet defence required, more funds would if that, assurance vague a and inflation) international and domestic counter to (primarily hike cent per 10 customary pro Two-liner misplaced. nouncements were a jaded repeat of the previous thoroughly years: the be to proved have years previous the of announcements staid and mundane penditure front, however, any hopes of a departure from the F To refresh memories, Prime Minister Manmohan Singh Manmohan Minister Prime memories, Torefresh budget’, ‘election year budget’—on the defence ex defence the budget’—on year ‘election budget’, all budgets’, ‘a common man’s of budget’, ‘everybody’s sobriquet—‘mother a many and accolades won inance Minister P. Chidambaram’s Budget may have

CHEER to ------2000 2500 3000 3500 4000 1 1 5000 0000 5000 0 0 0 0 0 0 Indian Revenue Allocations (Rscrore) 2006-0 Re 32,187.26 vise

Ar 34,086.76 d 7 my 36,270.75 Indian

9,867.51 Air Forc 10,193.01

- - - - 2007 Budget Estimat 10,855.56 -0 e remain firmlyintherealmofmererhetoric. desired growth rate year after year,the the ministerial achieving promises after However,even high rate. a growth maintain economic to continues India if GDP the of cent per 3 to increased be couldn’t budget defence the why reason are two sides of the same coin. Only the short-sighted will will short-sighted the Only coin. same the of sides two are security national and prosperity said, “Aboveeconomic all, Prakash and securityanalysts. surprise to the entire military community, including defence complete a bud as the came face with volte Minister’sget.” happy Defence The am I that say can “I said, he 1,06,458 crore), (Rs billion $26.4 paltry relatively a of allocation year’s this to Reacting awarded. had Minister Finance what the than more needed forces armed Indian the that ted times four to two are figures actual Chinese expenditures. of their respective GDPs on defence, taking into cent account real per 6 to 4 between spend to continue China and stan GDP,Paki the neighbours of its cent per 2 than less of ure 8 Indian Na While India’s defence budget has slid to an alarming fig Commenting Commenting on the 2008 defence budget, between 4 to 6 per cent of their GDP, its neighbours Pakistan

6,811.82 While India’s defence budget has slid to an alarming ﬁgure and China continue to spend es respective GDPs on defence of less than 2 per cent of the 6,968.25 , who recently retired as Chief of the Indian Navy, Indian the of Chief as retired recently who ,

vy 7,421.19 Initial Estimat 2008-0

DRD 3,011.72 9

3,186.47 O es

3,045.50 Issue 2•2008 ugt noy a admit had Antony budget, ring to China’s steeply hiked refer itself, year last the In mark. crore) 8,06,500 (Rs billion $200 the near ering hov be may figure actual the crore), 2,37,190 Rs or billion, ($58.82 yuan billion 417.77 to year previous the over budget military 2008 China’sin increase cent per 17.6 a showed Enzhu Jiang spokesman Congress ple’s Peo by announced figure official the year,while This mark. crore) 4,03,250 (Rs had crossed the $100 billion known that the actual figure well was it but expenditure defence for crore) (Rs 1,77,430 billion $44 of figure a released officially had nese Chi official the year, Last figures. their than higher

SP’S AVIATION Admiral Admiral Arun

7 ------FORUM BUDGET imagine that you can have one without the other.” (For full mer Indian Army Chief General Shankar Roychowdhury comment, see “Expertspeak: Budget” on page 9.) points out: “Procedures for defence procurement and its India, with extensive land and maritime borders and a connected expenditures still remain in the dark ages of bu- vast airspace to guard, faces a variety of threats and chal- reaucracy, while the capacities of the private sector remain lenges especially from its traditional neighbouring adver- shut out of the system. Unless that attitudinal turnaround saries. In an effort to tackle these threats, India has one of commences in earnest during the forthcoming financial the largest armed forces in the world, including the third year, increased allocations to the defence budget will be like largest army, the fourth largest air force and, an expand- pouring water on desert sand.” ing navy aspiring for ‘blue water’ capabilities. To maintain Add to this the fact that every major defence deal in the these force levels at the peak levels of combat efficiency recent past has acquired the murky hues of a ‘scam’, invari- and abreast of modern technologies and war fighting tech- ably stalling efforts at defence modernisation and effective- niques, it is imperative that greater allocations are made in ly stemming defence expenditure. In 2006-07 more than the annual defence budgets. All appraisals and assessments Rs 3,000 crore meant for capital acquisitions languished in this regard continue to point towards pegging the de- unutilised. Last year, the surrender amount increased to a fence budget to approximately 3 per cent of the GDP which whopping Rs 4,217 crore. “We know that physical outlays would be easily affordable by the nation and provide the don’t get translated into outcomes and when you consider necessary balance to maintain its this aspect with a below 2 per cent march on the path to achieve eco- spending of GDP, you know it is not nomic prosperity. Air Chief Marshal a happy auguring,” says Uday Bhas- S.P. Tyagi, former Chief of the Indian kar, former director of New Delhi’s Air Force, puts it succinctly, “Even as Institute for Defence Studies and the country endeavours to eradicate Analysis. “They (armed forces) have poverty and grow financially, one a long shopping list and every year must keep in mind that no nation has all they have been doing is returning grown economically without military money as files have not moved,” he backup. In the current world order, further added.

“NO NATION HAS GROWN ECONOMICALLY WITHOUT MILITARY BACKUP. IN THE “UNLESS ATTITUDINAL TURNAROUND COMMENCES IN EARNEST DURING THE CURRENT WORLD ORDER, WEAKLINGS ARE NOT ALLOWED TO PROSPER, FORTHCOMING FINANCIAL YEAR, INCREASED ALLOCATIONS TO THE DEFENCE THAT’S A UNIVERSALLY ACCEPTED TRUTH.” BUDGET WILL BE LIKE POURING WATER ON DESERT SAND.” —AIR CHIEF MARSHAL S.P. TYAGI, —GENERAL SHANKAR ROYCHOWDHURY, FORMER CHIEF OF THE INDIAN AIR FORCE FORMER CHIEF OF THE INDIAN ARMY

weaklings are not allowed to prosper, that’s a universally On a somewhat similar note, Air Marshal P.K. Mehra, accepted truth.” former Air Officer Commanding-in-Chief of South Western Even though the capital outlay on this year’s defence Air Command, wonders: “There may be some disappoint- budget shows an increase of about 20 per cent, what is ac- ment over the defence allocation going below 2 per cent of tually available for acquisition of military hardware is not GDP. The focus on increasing the allocation for capital pur- adequate, especially in the light of the inflation of about 6 chases in the defence budget, however, is laudable. But will per cent, combined with escalation in international prices it lead to self-reliance is the question?” In his opinion, the of weapon systems by about 10 per cent. The marginal in- major consideration for defence allocation so far has been crease in the services’ revenue budgets (see table) is even the cost of replacement of equipment but the need of the more depressing as it may not be able to even cater for the hour is to fund a game changing plan for which stage wise inflation leave alone provisioning for implementation of the allocations need to be made. Sixth Pay Commission. To better utilise unspent money and mitigate hassles Out of a total of $12 billion (Rs 48,600 crore) approxi- of funds surrender every year, the then Finance Minister mately in the capital outlay, close to $9.91 billion (Rs 40,135 Jaswant Singh under the NDA government had proposed crore)—air force $4.57 billion, navy $2.83 billion, army $2.51 and created a ‘Defence Fund’ in which the excess amounts billion—is available for acquiring equipment hardware by up to a total of Rs 25,000 crore could be parked to cushion the three services. This outlay would have to provide for pay- the inevitable slow progress of the defence modernisation ments/part payments for a large number of ongoing projects programmes. However, this very thoughtful and progres- of the three services, such as the C-130, Hawk, AWACS, FRA sive initiative was scuttled by the UPA Government citing and Spyder SAM for the Air Force; Scorpene submarines, absence of constitutional support for such a move. “The Gorshkov (INS Vikramaditya) and other warships for the politico/bureaucratic system have become unresponsive, navy; and additional T-90 tanks and much awaited 155 mm there is no urgency and they are not looking at defence as towed and self-propelled guns for the Army. There may be national issue,” Ajay Sahni of New Delhi’s Institute for Con- little left to proceed with new programmes. flict Management said. “There is no missionary purpose One of the major flaws in the system of procurement in anymore.” Might one hope for light at the end of the tunnel India is the inflexibility in the procedures which invariably some day? SP results in large unspent amounts from capital outlays. For- — Air Marshal (Retd) V.K. Bhatia

8 SP’S AVIATION Issue 2 • 2008 Forum EXPERTSPEAK usually hike prices going by this figure or,an often,figure more this by going prices hike usually vendors arms because concerned is modernisation as far has taken it over the one lakh crore mark is meaningless so you canhaveonewithoutthe other. that imagine will short-sighted the Only coin. same the of all, economic prosperity and national security are two sides budget.annual the Above of vagaries the to hostage mains re which process, stop-start a be cannot edifice security national the building that reminded be must makers policy in Pakistan are luring us into the same trap once again. Our sible that our burgeoning trade with China and the turmoil pos is it 1990s,and early the memory,in happened has it recent In India. round all out break to about is peace that fore,the to come establishment ical them to appears it and letting ourguarddownyetagain. of wary extremely be to need we Nevertheless,then. rizon ho the on hovered commission pay a nor election general a neither course, Of mark. GDP cent per 3 the hitting tion alloca defence to impediment no envisaged trajectory,he Singh’s remark that if the economy continued on its current Com Combined Manmohan Minister Prime recall will Conference manders 2005 the at present Those century. the of turn the at cent per 2.31 to gradually Thereafter,slid it years. 25 next the for GDP cent per 3.05 of average an to climbed expenditure defence the 1962, of war Sino-Indian decade orso, andfellto1.69percentin1962. first the for GDP of cent per 1.8 around therefore,hovered tion, it needed to be curbed as na much as the possible. to threat The figure,no was there since and evil, necessary a was defence on expenditure that was India’s leadership political of mindset Post-Independence, cent. per 2 below fallen has it 1962, since time first GDP.the to For centage A osqet o ni’ hmlaig eet n h brief the in defeat humiliating India’s to Consequent per budget’s defence the is point significant first The Secondly, the 10 per cent escalation in the budget which From time to time, the pacifist predilections of our polit ietn lss uh f t sen hn viewed when pragmatically inthelightofsomehardrealities. sheen its of much loses milestone However,this estimates. year’s last over 10 cent per about of escalation an in factored FM the ter af crore lakh 1 Rs of figure landmark the crossed EXPECTED S - BUDGET , the defence budget for FY 2008-09 FY for budget defence the , Admiral (Retd) Arun Prakash static or even declined” budget may have remained “In real terms, the defence ------tle for well above 10 per cent.per 10 So,terms,above real budget well in the for tle They demand very high escalation rates and eventually set toughest. the been traditionally have Russians nually.The fence procurement projects are taboo as far as election election as far concerned. is as funding taboo are projects procurement fence de that and politics above remain must security national that agree parties political major the if and when broken be only will stasis security.This national waters jeopardised the and muddied again and time motivated—have or merit. on entirely selected been have systems weapon good and nation, the of interest best the in acted have forces armed the stance, in each in that is here irony The expenditure. defence in stasis hence deadly and process a modernisation to defence the led into setting has CBI or CVC the by scrutiny to subject therefore, and, “scam”, a become has past recent delay. and acrimony with than rather unison and harmony with approved and processed lated, formu be proposals Services the will de then other Only mocracy. every in happened has as MoD, the with SHQs the integrate to is conundrum this end to resolution The only regularly. amounts large surrenders which only ministry the is MoD the year,and financial one in processed be can proposals few why is that and more, or months 18 to 10 from anything take can process This again. swered an be must and bureaucrats of set different a by repeated be often will once answered queries repetitive; often and very successive is scrutiny Each approval. final for curity Se on Committee Cabinet the before put be can it before Finance, of Ministry finally,the and, (Finance) Defence Department of the Defence, of Department the SHQ, the ly; name bureaucracies, of sets four through processed ously have remainedsegregatedandoutsidetheMoD. (SHQs) Headquarters Service the Independence, since that volved in hardware acquisition, the essential problem lies is in processes slow painfully the streamline to helped have years few past the over issued (DPP) Procedure curement may haveremainedstaticorevendeclined. Yet, allegations of kickbacks and middlemen—true middlemen—true and kickbacks of allegations Yet, the in deal defence major every that fact the Finally, labori be to has proposal acquisition any present, At Thirdly, although successive versions of the Defence Pro SP Issue 2•2008

SP’S AVIATION

9 ------MILITARY TOP STORY

“BASED UPON WHAT WE HAVE SEEN, WE CONTINUE TO BELIEVE WE SUBMITTED THE MOST CAPABLE, LOWEST RISK, LOWEST MOST PROBABLE LIFE CYCLE COST AIRPLANE AS MEASURED AGAINST THE AIR FORCE’S REQUEST FOR PROPOSAL.” —JIM MCNERNEY, CHAIRMAN, PRESIDENT & CEO, BOEING

The Trans-Atlantic Tanker War

By Air Marshal (Retd) B.K. Pandey, Bangalore

10 SP’S AVIATION Issue 2 • 2008 MILITARY TOP STORY EADS bagging the US Air Force’s $40 billion deal for Flight Refuelling Aircraft has raised a storm of protest and miffed Boeing IDS. But shutting out the din and brouhaha brings forth a clearer picture of sound logic.

HE RECENT DECISION BY THE US AIR FORCE TO capability to deploy at smaller airfields, low demand for the AWARD A $40 BILLION (Rs 1,61,680 crore) contract aircraft for commercial use in the face of stiff competition from for supply of 179 Flight Refuelling Aircraft (FRA) to Airbus and the effort to remain within budgetary constraints of a consortium of Northrop Grumman and European the customer. Whether or not the Boeing 767 would fully meet firm EADS North America, has left the world’s sec- with the requirements of the USAF as a tanker was, appar- ond-largest aerospace and defence contractor Boe- ently, not one of the considerations. ing IDS bewildered and a deeply divided Congress in Acting on a suggestion by Boeing, the USAF moved a case fierce debate. This initial order has the potential to be enlarged in due in 2003 for approval by the Congress to acquire 126 role-mod- Tcourse to 500 aircraft worth $100 billion (Rs 4,04,046 crore). ified Boeing 767 aircraft. Unfortunately, on account of revela- To an independent observer, an European aerospace major tions of indiscreet conduct of certain individuals in the USAF supplying aerial refuelling tankers—a vital and critical com- and Boeing, the deal was scrapped. A revised global Request ponent of air power—to the USAF would appear both illogical for Proposal (RFP) for KC-X to replace the KC-135 was issued and incongruous. It is, therefore, not surprising that Boeing in December 2006. In response, Boeing submitted a revised should protest and even ‘demand’ the USAF explain the ratio- bid in April 2007 offering the KC-767 Advanced Tanker (AT) nale for rejecting their bid. At an investors conference in New based on a newer version of the 767-200 Long Range Freight- York on March 5, Boeing Integrated Defense Systems President er. This aircraft would have a fly-by-wire boom, new wing re- and CEO Jim Albaugh explained: “Our view is that the US Air fuelling pods, centre line hose drum, flight deck from the most Force is buying a more costly and less capable aircraft and is recent model of the Boeing 777 airliner and a remote vision taking on risk in doing so. We need to be debriefed to under- refuelling system. stand why our conclusion is different from the air force’s.” A In response to the RFP, Northrop Grumman-EADS North couple of days later, soon after it had been debriefed by the America consortium offered the modified Airbus 330-200 USAF, a company statement quoted Vice President and Pro- Multi Role Tanker Transport (MRTT) originally called KC-30, gram Manager of the KC-767 tanker Mark McGraw as saying: now re-designated as the KC-45A. This has been derived from “While we are grateful for the timely debriefing, we left the the popular Airbus 330 airliner of which nearly 900 are in ser- room with significant concerns about the process in several vice around the world. Compared to this aircraft, the smaller areas, including program requirements related to capabilities, KC-767 AT would have lower fuel consumption and possibly cost and risk; evaluation of the bids and the ultimate decision.” would be less expensive to maintain. But it would be more Finally, on March 10, Boeing announced it would file a formal meaningful to rate the two contenders against yardsticks of ef- protest asking the Government Accountability Office to review ficiency and operational attributes. Compared with the Boeing the decision by the USAF. Jim McNerney, Chairman, President 767, the KC-45A can transport more fuel, has better range, can and Chief Executive Officer, said: “Based upon what we have refuel more aircraft in a mission and has a significantly higher seen, we continue to believe we submitted the most capable, airlift capability. It offers better operational flexibility as it can lowest risk, lowest Most Probable Life Cycle Cost airplane as effectively combine the roles of tanker and troops/cargo car- measured against the air force’s Request for Proposal.” rier. A major concern of the USAF was related to the delivery A derivative of the Boeing 707 airliner, the KC-135 Stra- schedule. Scrutiny of quotations suggested that by 2013, Boe- totanker FRA which was developed in the 1950s and is cur- ing had the capacity to deliver only 19 aircraft as compared to rently in service with USAF, is fast approaching the end of its 49 by Northrop Grumman-EADS North America consortium. technical life. At best it could be stretched for In view of the condition of another decade or two. Also, there is a de- the existing tanker fleet, this gree of urgency for its replacement to prevent On March 10, Boeing would have been a consider- erosion of the capability of the US to project ation of critical importance for combat power across the globe. Boeing had announced it would the customer. been working on replacement options since ask the Government The decision by the USAF 1980. After the production of Boeing 707 was Accountability Office favouring the Northrop-EADS stopped in 1991, the company zeroed in on to review the decision North America consortium the slightly smaller twin engine Boeing 767 as by the USAF drew an avalanche of pro- a suitable airframe for conversion as tanker. tests from several members of The offer of the Boeing 767 was based on fac- the Congress, especially from tors such as size (nearly the same as the KC- among the Democrats. Quite 135), better flexibility for the USAF through suddenly the issue shifted to

Issue 2 • 2008 SP’S AVIATION 11 MILITARY TOP STORY the political arena and was even inclined to become a subject cal, are being progressively demolished. Lines demarcating of debate in the US presidential campaign. Support for the deci- ownership of giant conglomerates are increasingly getting sion came largely from the Republicans with President George blurred with investments from multi-national sources. Today, W. Bush, Secretary of Defence Robert Gates and the party’s no country or company builds aeroplanes, especially large nominee for the forthcoming presidential election and former ones, entirely on its own. The KC-45A, too, will have a global Chairman of the Senate Armed Services Committee, John Mc- supplier base with the power plants and avionics from US Cain, stoutly backing the decision. The general refrain was that companies, wings from UK and the fuselage from France. the contract was awarded based on merits and most rigorous Northrop Grumman, a major partner in the consortium, is selection procedure with complete fairness and transparency. very much an American company of stature being the third The procedure, which had the backing of statute, was formu- largest in the US aerospace industry. This company will sup- lated to ensure that the USAF would have the best machine in ply the refuelling apparatus and all other critical or sensitive the global market and the tax payer would get a cost-effective technologies in the assembly plants which will be located in solution and good value for money. The aircraft were evaluated the US. As per Northrop Grumman, 60 per cent of the tanker against nine key performance parameters and the Northrop- will be built in the US and will support 25,000 jobs. In case EADS North America bid was adjudged better of the two. the contract had gone to Boeing, once again critical parts of Arguments put forth by opponents of the deal are founded its tankers would have come from outside the US, from coun- on a mix of concerns related to national security and prestige, tries such as Canada, UK, Japan and Italy. It goes without damage to the interests of the US aerospace industry, adverse saying that a higher percentage (assessed as 85 per cent) of effect on the troubled US economy and loss of jobs at home. the aircraft would have been made in the US in comparison On the face of it, the arguments are all seemingly potent and with Northrop-EADS North America. valid. The USAF is being seen as handing over on a platter, Boeing itself is dependent on foreign sales that account a high value contract in the regime of for approximately 40 per cent of its advanced aerospace technology for the revenue. It has sold aerial refuelling manufacture of vital defence equipment Concerns range from tankers to Japan and Italy, military to a foreign company, unmindful of the national security and transport aircraft to the UK, Canada wide range of imperatives involved. damage to the interests and Australia and combat aircraft to Opponents of the deal are crying foul as friendly nations in South East Asia. high level of expertise, aeronautical ex- of the US aerospace In 2007, sales to Europe accounted cellence and experience developed over industry to adverse effect for 10 per cent of total revenue and five decades to build FRA is available in on the troubled economy part of it was through defence sales. abundance with an American company, and loss of jobs Besides, history of global defence Boeing IDS. In the context of the ongo- related industry is replete with ex- ing turmoil in the recession-plagued US amples of sales programmes involv- economy, it is difficult to reconcile with ing military equipment across the the fact that 19,000 American jobs and Atlantic. So what is different now? billions of dollars are being given away As of today, EADS has a strong to Europe. What is perhaps most gall- presence in the US with over 2,600 ing for many in the corridors of power is the USAF opting to Airbus aircraft in service and on order. In addition, there are a practically outsource national security to nations who have not large number of other aircraft, including civilian and military supported the US-led war against terror in Afghanistan and helicopters, from Eurocopter, a company under EADS. While Iraq and also continue to have close links with Iran. Ironically, lawmakers continue to spar and some could even be prepar- the decision comes at a time when an appeal by the US gov- ing to scuttle the deal through denial of funding, optimists ernment against the European practice of government subsidy see a silver lining. This programme will help create a new to its aerospace industry is pending disposal with the World aerospace industry belt in the southern parts of the US with Trade Organisation. The deal, therefore, is perceived to be a suppliers spread across practically all states. As for the $32 compromise to not only American commercial interests but, in billion (Rs 1,29,360 crore) aerospace giant Boeing IDS, this the long-term, to national security as well. episode need not be seen a ‘major strategic setback’ as the There are apprehensions the contract will help EADS break company delivers 450 aircraft annually whereas this contract into the US market and establish strong industrial presence, would mean work order for a mere 15 additional aircraft per aggravating competition for domestic players. In one swift year. With the order books full and more work on hand than it stroke, five decades of Boeing’s track record in the US aero- can cope with, loss of this contract should hardly make a dent space industry seems to have been rendered meaningless. It in the company’s business model. is also of concern that through this deal, foreign governments While the tussle may be rooted in the traditional rivalry be- could have influence in a critical area of US national defence. tween the aerospace giants across the Atlantic, political expedi- In effect, the billions of US dollars to be transferred to EADS ency in an election year in the US may inspire intervention with North America in this deal will help strengthen European R&D a protectionist undertone, thereby inviting a backlash from Eu- and production capability as also provide them an opportunity rope. In the race to extract political mileage, hasty and flawed to penetrate a sensitive area of US military technology. decisions could set incorrect precedents such as cancellation, Arguments in favour of the deal appear equally cogent. In- revision or re-tendering of contract. These may in the long run dustry, technology and trade are undergoing rapid and exten- prove to be unhealthy and counterproductive for the US and sive globalisation. Erstwhile barriers, economic or ideologi- only serve to accentuate the divide across the Atlantic. SP

12 SP’S AVIATION Issue 2 • 2008 MILITARY UPGRADES Defying Constraints By Air Marshal (Retd) P.K. Mehra It would be prudent to integrate weapons from both eastern and western origin when upgrading all IAF ﬁghter ﬂeets

pgrade and modernisation of aircraft, an exercise direction, wherein the entire system based on 1553 bus architec- undertaken by air forces across the world to en- ture was developed by the IAF’s erstwhile Inertial Integration Or- sure fleet contemporariness, is easy enough for ganisation (IIO). The learning process gave confidence to IAF and nations that design, develop and manufacture the HAL to undertake DARIN II development and also the MiG-27 up- aircraft. The process, however, assumes tedious grade. The participation of HAL and DRDO with the Sukhoi Design proportions for developing nations dependent on Bureau in the integration of the western avionics on Su-30 MKI outright purchase or licensed manufacture. In the past, when air- also gave insights to our R&D teams to learn how to integrate sys- Ucraft were simple and did not come equipped with complex and tems on foreign aircraft. Design and development of Tejas carried integrated systems, modification of the various individual modules out indigenously by the ADA will place our industry in a different were stand alone operations. In the modern aircraft, inter rela- league. tionships between the systems, specially those operating with bus architecture, upgrade invariably requires assistance of the Original PAST AIRCRAFT UPGRADE PROGRAMMES IN INDIA Equipment Manufacturer (OEM). Acutely aware of this limitation, HAL, along with the IAF, has undertaken some very ma- the Indian Air Force (IAF) and Hindustan Aeronautics Limited jor modifications driven by the urgent need in the past. (HAL) have in the past adopted pre-emptive measures to overcome Installation of the Jet Pack on C-119 Packet transport air- the hurdles. Development of DARIN I Jaguar was one step in that craft, fitment of Orpheus engine in HJT-16 in place of the Viper engine were some of the major upgrades involving structural rework FINALLY ON TRACK: UPGRADE OF THE on the aircraft. Development of Ajeet MIG-27 SYSTEMS WAS ON THE CARDS aircraft from the original Folland Gnat EVEN AT THE TIME OF MANUFACTURE AND INDUCTION and designing a two seat version can arguably be considered somewhere between new design and an upgrade. However, these programmes were certainly very bold initiatives by the fledg- ling Indian aircraft industry.

PLANNING FOR UPGRADE The Operations branch at the Air HQ is all the time evaluating the capability of the fleet vis-à-vis the perceived threat and the likely future tasks. There are a number of ways by which the user is able to identify the need to upgrade but foremost among them is the effectiveness of the fleet to meet the tasks as laid down in the War Plans. Conduct of various exercises and the assess- ment/inspection by the DG (I&S) helps the Operations branch in comparing the fleet with that of the potential adversary. Scanning the development of

Issue 2 • 2008 SP’S AVIATION 13 MILITARY UPGRADES systems and upgrades in the international defence industry ture and extension of life of aircraft then availability of the are also pointers towards the state-of-the-art equipment. design data is essential or the data through a lead aircraft The international exercises with some of the developed air needs to be generated for life extension fixes. forces in the last few years have also educated the users • Integration of major systems like multi-mode radar and in determining requirements of the systems to make fleets new weapon systems can be achieved only with help from more capable. Upgrade of the air superiority and multi-role the OEMs of both aircraft, radar and weapon system. aircraft needs to be planned keeping in mind the extended • Availability of a simulator and the possibility of its up- role and the strategic reach required for future tasks. grade or build a new one to make it suitable for the upgraded aircraft. CONSIDERATIONS FOR AIRCRAFT UPGRADE • Obsolescence always leads to lower MTBF and higher There are a few important points, which need to be consid- MTTR. The target MTBF and MTTR should be determined ered before deciding on fleet upgrade. These are: and included in the contract after an analysis of the equip- • What is the technological status of the aircraft? Avion- ment being installed and its role in Operational scenario. ics systems have grown in importance and complexity This penal contract should be binding to all vendors in- and have equalled or surpassed the airframe or engine in cluding indigenous developers of equipment. terms of contribution to mission effectiveness and cost. • Current Status of the fleet including the balance life of the FIGHTER UPGRADE PROGRAMMES aircraft will determine the number of aircraft to be modi- The IAF has embarked upon major upgrades of its various fied. aircraft in order to retain capability even when the total • Is the aircraft an indigenous manufacture, if not then the numbers are reducing. Following fighter fleets are either extent of knowledge about the aircraft and the systems will planned or are undergoing upgrades. These are: determine the level of support required from the OEM. • The extent of modernisation will depend upon the age of • MiG-27 upgrade the fleet, its technological status as compared to the state • DARIN II on Jaguar of art, operational utilisation, threat perception, status of • ELTA radar on Maritime Jaguar the potential adversary etc. • MiG-29 upgrade • Are there any other friendly foreign countries who would • Mirage-2000 upgrade SP like to join in the development programme? • Any other upgrade programmes going on so that common- Note: This article discusses at length ality of systems and equipment need to be factored in? the details of the MiG-27 upgrade. • Decision to undertake up gradation indigenously will de- The next issue of SP’s Aviation pend upon the in house expertise available with the design will carry full details and holistic and development agencies. coverage of other fighter programmes • In case the upgrade involves changes in the airframe struc- and various ongoing upgrade efforts.

MiG-27 upgrade pgrade of the MiG-27 systems was on the cards even at the time of manufacture and induction. It was well known that the avionics systems and the EW systems would need to be upgraded even as part of the phased improvements during manufacture. The success of the DARIN programme on Jaguar was the key to this thought process. The MiG-27 upgrade has been undertaken by HAL Design Bureau at Ozar along with extensive help from DRDO labs like DARE. The avionics have been integrated Uthrough a Mil Bus architecture using the Core Avionics Computer cum Display processors and other interfaces developed by DARE at ADE Bangalore. The capabilities of the aircraft have been enhanced by the incorporation of modern avionics systems consisting primarily of two Multi-Function Displays (MFDs), Mission and Display Processor (MDP), Ring Laser Gyros (RLG INS), combined GPS/GLONASS navigation, HUD with UFCP, Digital Map Generator (DMG), jam-resistant Secured Communication, Stand-by UHF communication, Data link and a comprehensive Electronic Warfare (EW) Suite. A mission planning and retrieval facility, VTR and HUD Camera has also been fitted. The aircraft will retain stand-by (conventional) instrumentation, including artificial horizon, altimeter and airspeed indicator, to cater for the failure of HUD and the MFDs. HAL (Hyderabad Division) systems being installed are Secured Communication System IN- COM-1210A, Radio altimeter RAM-1701A, 1FF- 1410A and Stand-by UHF Communication System COM-1150A. The display symbology will be common with that in other aircraft like Su-30 MKI and Jaguar in order to ease training and conversion. Regarding weapons, the existing Weapon Control System has been retained, but a new weapon interface box has been developed for the integration of new weapons. Besides the existing conventional weapons, the upgraded MiG-27 will be capable of launching new weapons such as 1000 lb laser guided bombs. The airframe modifications during the upgrade were mainly internal for installing the new systems. The modification for in flight refuelling has apparently been dropped may be due to the complexities of CG control and the additional plumbing. The aero-engine R-29 has already undergone modifications after a series of failures of turbine and compressor blades in the past. In fact engine was a major concern during the decision making process but an alternate engine, if available, would have involved major airframe modifications. There is no change in the external weapons load carrying capability but there is a phenomenal improvement in the accuracy, which has been proven in the exercises and the gunnery meets. The carriage of PGMs will bring about a huge improvement in the fleet effectiveness especially for night operations. This upgrade programme, although successful, faced a lot of delays during decision making primarily to identify the system integrator among the various agencies who wanted to show case their superiority. SP

14 SP’S AVIATION Issue 2 • 2008 MILITARY INDUSTRY FACE TO FACE ‘Elettronica ready to transfer technology of high-end EW systems’

SP’s: What do you expect will be the key part in Defexpo 2008? changes and cornerstones of the future EB: Elettronica has always been con- market? vinced that participating in interna- Enzo Benigni (EB): Elettronica has tional exhibitions yields benefits both in gained its rightful position without terms of company prestige and contact resting on its achievements, both in opportunities due to the presence of po- terms of product range and market ac- tential customers and other concerns. quisition. Looking ahead is an intrinsic This issue has, in recent years, re- President of Elettronica feature of our company’s DNA and, as a ceived foremost attention and a spe- S.p.A. Enzo Benigni in consequence of this attitude Elettronica cial department—the Corporate Image is ever more alert to any sign of change. and Communication unit— has been a conversation with SP’s The market is beginning to seek, at an setup to, among other duties manage increasing pace, products that find Elettronica’s participation in interna- outlines his company’s applications not just for military pur- tional fairs and exhibitions. India be- poses but also in homeland security, longs to the new entries in which our ambitious plans for the primarily exploiting dual-technology company is promoting its military pro- developments. Our attention is essen- curement policy. Elettronica is already Indian defence market tially focused on developing industrial active in this country and Defexpo 2008 collaborations in the target countries will certainly represent a unique op- of the defence market, without which portunity to promulgate the company’s company has witnessed a renewed in- business opportunities would drasti- trademark. terest, gaining the fourth world posi- cally dwindle. tion. However, following the increase SP’s: Your interest in India matches in the volume of business in the sector SP’s: Which are the market segments your teaming-up strategy at the inter- and the need for product diversifica- that attract your interest and which ones national level. Within this framework, tion, Elettronica has in recent years re- do you expect will be forthcoming? do you believe this could lead to future viewed its interest in the Electro-Optical EB: The most valuable markets are partnerships in the Asiatic region? and Communication EW sectors, also those represented by the Middle and EB: As already mentioned, the Asiatic prompted by the successful outcome of Far East countries in which Elettronica market is one of the most interesting ar- several industrial collaborations. As a is making a major effort to ensure con- eas from our point of view. Elettronica consequence, Elettronica can now pro- tinuous presence. However, one should has already established JVs with sev- pose unique state-of-the-art solutions. not overlook two of the largest potential eral Indian companies and is negotiat- markets: Russia (a major platform man- ing with some local leading concerns to SP’s: Considering your long standing ufacturer) and India (a leading demo- implement industrial cooperation mod- experience in the production of defence cratic country playing an important role els that have already been proven else- technologies, there are certain to be key in the East Asian defence strategy). In where. We are ready to transfer tech- components of which you are particu- both these countries, the European de- nologies for the production of highly larly proud of. Which is the most impor- fence industry, especially the Electronic advanced EW systems. tant one? Warfare (EW) segment, has up to now, EB: Undoubtedly, the fully solid-state and for various reasons, bestowed little SP’s: Elettronica is engaged in commer- jammer, based on a Linear and Planar attention. Adopting different strategies, cial relations all over the world with a Phased Array Antenna, featuring a ret- Elettronica’s objective is to pursue suc- sales record of 2,500 items. What are rodirective reciprocal architecture and cessful business relations with both the products you will be focusing on for latest generation DRFM driver to en- these countries. the Asiatic market to extend your mar- sure a coherent response. Developed ket hold? by Elettronica, this type of architecture SP’s: Participation in international exhi- EB: Elettronica’s winning products both also allows the implementation of very bitions enables companies to establish for military end users and industrial special and highly effective jamming direct contact and confrontation with partnerships are basically contained programmes, such as Wave Front Dis- the market. What prompted you to take in the radar EW sector, in which the tortion and Cross-Polarization. SP

Issue 2 • 2008 SP’S AVIATION 15 CIVIL BUSINESS BUSINESS AVIATIONAVIATION COVER STORY

SENSE S a& v i n g s By Alan Peaford, London

As global travel becomes increasingly tedious with all the hassles posed by elaborate security checks and airport TECHNOLOGICAL SUPPORT: DASSAULT AVIATION’S 7X (SEEN HERE IN FLIGHT) transfers, the business jet has emerged IS THE FIRST FLY-BY-WIRE BUSINESS JET, PROOF THAT BUSINESS AVIATION IS AT THE SHARP END OF CIVIL a far more attractive option AVIATION TECHNOLOGY PHOTOGRAPH: DASSAULT

16 SP’S AVIATION Issue 2 • 2008 Issue 2 • 2008 SP’S AVIATION 16 CIVIL BUSINESS AVIATION

ne of the world’s richest men knows something about business jets. When he was merely a multi-million- aire, Warren Buffet bought his first jet and immediately christened it ‘The Indefensi- ble’, aware that the whole idea of a corpo- PHOTOGRAPH: AERION Orate airplane with its associate costs would have shareholders turning in the aisles at the annual general meeting. The latest Buffet purchase, a Gulfstream, has a new name. It is called ‘The Indispensable’—and the now multi-billionaire believes the use of the business jet played a key role in con- solidating his business and fortune. Earlier, Buffet had admitted it was one of his few indulgences. Subse- quently, what elevated the business jet TIME IS MONEY: AERION CORPORATION from a luxury toy to what is increasingly seen as a vital cor- Asia and record numbers IS WORKING ON THE SSBJ CONCEPT CLAIMING EVEN FASTER TRAVEL porate tool? In the US, hundreds of Fortune 500 companies of aspiring graduates and BETWEEN DESTINATIONS. NEW YORK now flaunt their own aircraft, with companies arguing that entrepreneurs, is a po- TO PARIS, FOR INSTANCE, IN JUST this vital conveyance saves time and boosts productivity. A tentially huge market for ABOUT FOUR HOURS. recent CNN report quoted David Savile, CEO of charter com- business aircraft makers. pany Air Partner, as saying: “Private jets have this appear- Options such as fraction- ance of being affluent and full of fat cats and celebrities. But al ownership (where a buyer invests in a proportion of a our experience is actually the opposite. These are practical plane and pays for a share of its maintenance and manage- business tools and are used by lots of people. Some of the ment) are taking hold. No surprise that the company taking bigger private jets now in operation even have boardrooms the lead around the world with this idea is Netjets, owned where meetings can be conducted in-flight.” With a price tag in part by Warren Buffet, who loved the concept so much ranging from around $2 million (Rs 8 crore) for a light jet he bought the company. “It is an expensive proposition, no to more than $70 million (Rs 284 crore) for a larger busi- question about it, but there are rewards in terms of control ness jet, the cost cannot always be justified. But business of one’s time,” says former Netjets CEO Bill Boyster. “Who manufacturers and charter companies are developing more you travel with and when you travel (is important). The pri- and more solutions as vacy and security in which you travel does make (business SPREADING AWARENESS: the rest of the world fol- jets) a reasonable value equation.” BOMBARDIER’S CHALLENGER IS lows the American lead As global travel becomes increasingly tedious with all FREQUENTLY SEEN ON THE RAMPS OF AIRPORTS IN THE MIDDLE EAST on business aviation. the extra security and difficulties posed by airport trans- AND ASIA AS ONE OF THE MOST India, with its greater fers, the business jet option becomes far more attractive. POPULAR LARGE CABIN AIRCRAFT number of millionaires It makes even more sense when travelling across Asia as TO OPERATE IN THE REGION than anywhere else in point-to-point commercial flights are still not robust enough to suit a busy businessman’s schedule. Gary Anzalone of Aero Toy Store, a private jet sales firm based in Florida, says the trouble at airports has boosted the jet market and businessmen are finding the benefits straight away. “With the scrutiny of travelling through the airlines right now, where a businessman might take seven days to hit seven cities, with access to a private aircraft he can hit seven cities in two days,” Anzalone says. According to latest estimates, more than 10,000 companies operate business aircraft in the US and nearly 3,000 in Eu- rope. All have had to go through the same justification process. PHOTOGRAPHS: A PEAFORD (UNLESS STATED OTHERWISE PHOTOGRAPHS: A PEAFORD (UNLESS STATED

Issue 2 • 2008 SP’S AVIATION 17 CIVIL BUSINESS AVIATION

• What is my time really worth? “SOME OF THE especially if you are far away from airports • How can others within the company BIGGER PRIVATE JETS NOW served by airlines. Time saved during travel IN OPERATION EVEN HAVE benefit from the aircraft? BOARDROOMS WHERE MEETINGS can be measured. Other desirable features of • What are the opportunity costs associ- CAN BE CONDUCTED IN-FLIGHT.” using company aircraft are not so clear, but ated with company travel? —DAVID SAVILE, CEO, they may be equally if not more im- • What are the intangibles asso- AIR PARTNER portant than what can be measured. ciated with business travel? Among the most notable difference The ability to capitalise on between airline travel and availing some form of competitive advan- one’s own aircraft is the hassle factor. tage, to follow through on a bright While difficult to define in their entire- idea, is what separates the win- ty, the hassles associated with airline ners from the losers. Often, this travel are many and varied—waiting requires swift, decisive action in queues, lots of them; delays, cancel- and getting there “first with the lations, reroutes and being stranded in most”. In other words, getting to the middle of nowhere. Perhaps more

“WE ARE WORKING HARD IN THE GULF TO GIVE OPERATORS “OUR CUSTOMERS ARE TALKING ABOUT BEING ABLE TO SAVE UP GREATER FREEDOM. WE NEED THAT TO HAPPEN IN INDIA.” TO 30 PER CENT ON STANDARD CHARTER COSTS.” —ALI AL NAQBI, FOUNDING CHAIRMAN, —ROGER WHYTE, INTERNATIONAL SALES DIRECTOR, MIDDLE EAST BUSINESS ASSOCIATION CESSNA AIRCRAFT CORPORATION “AS WEALTH GROWS, THE DEMAND FOR PRIVATE AVIATION SERVICES WILL RISE DRAMATICALLY IN ASIA.” —BALA RAMAMOORTHY, a customer with an idea before FOUNDER AND MANAGING DIRECTOR, BJETS important is the uncertainty of the others do, cementing a relation- process, the unpleasant surprises ship, allaying fears and making that await the unwary traveller at an offer that can’t be refused. Trying to achieve this via the every turn. The time spent waiting is not very productive, airlines may not be the best use of company executives’ time, either. The time spent enduring the airline experience is es-

It’s as if we read the minds of India’s business leaders. In many ways, we did.

Some Citation business jets are so perfectly suited to doing business in India, it’s as if they were created specifically for that purpose. Here’s why: Every Citation is based on what customers tell us they need. Those customers come from all over the world, but they all have three things in common: They are poised on the brink of a major breakthrough in the growth of their business. They are seeing opportunities like never before. And they are looking for the undeniably best way to seize them. Their answer can be your answer – the best-selling business jets and propeller aircraft in the world. For a free, no-obligation analysis of what a Citation business jet can do for your company call Mike McGreevy at 971.4.295.4822 or visit Citation.Cessna.com.

Cessna Aircraft

® 18 SP’S AVIATION Issue 2 • 2008 S u r e Th i n g

Citation Emerging Markets ad for SP’S gs-EmMark_SPs.indd 1 Trim: 40.6 cm x 12.5 cm • Bleed: 41.6 cm x 13.5 cm • Live: 38 cm x 11.5 cm 11/13/07 3:26:24 PM File: CD-ROM, HR PDF with 1 digital proof CIVIL BUSINESS AVIATION

sentially time lost, often triggering frustration and stress. We prized features of the corporate environment. Attempting to are out of control; the airlines control our destiny for the work on or discuss confidential company material at any entire period, if in fact they are actually in control. “Business time during airline travel is chancy at best. aircraft return control of our travel schedules to us,” says John Sheehan, President of Professional Aviation Inc., Anzalone. “Since most of us like to think we are in control of a company that assists corporate flight departments with our future, the business aircraft provides us with the ability safety, management, and training issues, says there are to schedule our trips when we wish. We don’t have to wait some easy questions to ask when a company is considering until tomorrow or until a seat is available; our one-airplane purchasing or chartering a business aircraft: airline is ready when we wish.” • Is the company’s financial position sufficiently healthy to Stress associated with the travel process applies to any support the operation of a business aircraft? type of travel, not just airlines. But stress associated with • Is all the potential travel necessary to increased company travel comes in several degrees, and it is associated with success? the degree of control that we have • Can I travel enough to justify a com- over the process. Airline travel pro- pany aircraft? vides only minimum levels of in- Granted, there are • Is this really a business decision not formation and control; piloting our frustrations associated unduly influenced by my ego or personal de- own aircraft provides the ultimate with ﬂying business sires? level of control. Granted, there are “Lots of people fly an aircraft for frustrations associated with flying aircraft, yet the passengers business purposes, some for the right business aircraft, yet the passen- are better informed reasons and some for questionable gers are better informed and have and have options, and, reasons. Justifying the operation of a options, and, therefore, tend to be therefore, tend to be less business aircraft should be subject to a less perturbed. perturbed number of objective and subjective in- Many corporate users point to quiries. Make them wisely and enjoy the security—not just of the person— experience,” he says. but of information, too. Security, Business Aircraft Associations privacy and confidentiality are all around the world are bringing together

It’s as if we read the minds of India’s business leaders. In many ways, we did.

Cessna Aircraft

® S u r e Th i n g Issue 2 • 2008 SP’S AVIATION 19

the charter operators, the manufacturers and the users. The cess to thousands A COMBINATION OF COMFORT & RANGE: National Business Aviation Association (NBAA) of the US is more airports GULFSTREAM’S G550 IS AN UBIQUITOUS FLAGSHIP OF COMFORT AND RANGE. the largest and has spent years monitoring and promoting around the world, THE UNIQUE OVAL WINDOWS GIVE the use of business aircraft. “You have the flexibility of ac- thus you can choose THE CABIN AMPLE NATURAL LIGHTING an airport close to TO INCREASE PRODUCTIVITY, your end destina- OR SIMPLY AID COMFORT. tion rather than the READ THE BOTTOMLINE airports served by Addressing last year’s Asian business aviation show ABACE, John commercial airlines,” says Ed Bolen, President & CEO of Sullivan, Director, Worldwide Security & Corporate Flight Operations for NBAA. “Use of a business aircraft will enable you to organ- American multinational Texas Instruments Inc., outlined real savings ise your travel requirements conveniently around meeting that are made on even the shortest trips. timetables rather than scheduled flight times, thus helping you to achieve significant management time savings. Less Destination Distance Total Savings time spent in airport terminals and check-ins augment the time available for productive use. Added to these benefits Under 500 miles 3 hours and 56 minutes per round trip is the security of your own private flying office or meeting 500 to 1,500 miles 4 hours and 26 minutes per round trip room and the safety of business air travel.” Over 1,500 miles 5 hours and 26 minutes per round trip A US study found business aircraft operating organisations earned 146 per cent more in cumulative returns than He also outlined benefits that can influence profit margin growth, in- non-business aircraft operators. Furthermore, on a return cluding: to shareholder basis, business aircraft operators returned 343 per cent to their shareholders between 1996 and 1999 • Employee time saving versus 177 per cent for non-operators. • Accelerated transaction rates Smaller businesses are proving the point, too. Rich- • Decreased trip expenses ard Thalheimer, Founder of Sharper Image, the specialty • Offset commercial airfares and shipping and mail expenses retailer, outlines the numbers for the time he and his col- • Decrease employee replacement costs leagues spend in a company jet: a Cessna Citation Excel • Offset costs through charter revenue that seats seven and has a range of 2,175 miles. “It might • Reduced turnover cost a smidgeon more than it would to fly commercial,” he • Reduced staffing levels reasons, “but when you’ve got an executive on board who’s • Increase customer base • Improve customer relationships earning $100,000 (Rs 40 lakh), along with a senior vice- • Improve risk management president of merchandising who’s earning $250,000 (Rs 1 • Protect intellectual property crore) and another executive who’s earning $750,000 (Rs 3 crore) and me who’s earning almost $1 million (Rs 4 crore),

20 SP’S AVIATION Issue 2 • 2008 CIVIL BUSINESS AVIATION

ACCRUING BENEFITS

SAVING EMPLOYEE TIME: Business aircraft can be flown non-stop between airports close to where people want to go without the delays of main terminal hubs.

INCREASING PRODUCTIVITY EN-ROUTE: Rather than write off traveling time as lost, studies have shown productivity on business aircraft is actually higher than in the office.

EFFICIENT, RELIABLE SCHEDULING: The near total flexibility inherent in business aircraft is a powerful asset. Business determines the schedule - not the airlines.

REDUCE HOURS AWAY FROM HOME: Both businesses and the individual benefit when family time is not lost to non-productive travel. CONFIDENTIALITY ASSURED: you put us all on an airplane together and AT THE TOP END OF THE MARKET, calculate what it costs to have us all lose a THE BOEING BUSINESS JET PROVIDES day flying commercial, the numbers start to ENSURING INDUSTRIAL SECURITY: Use of busi- A BOARDROOM FOR TOP EXECUTIVES AND COMPANY CEOS TO HOLD OFFICIAL make sense.” Thalheimer is one of a grow- ness aircraft reduces travel visibility and DISCUSSIONS WITHOUT BEING OVERHEARD ing number of users of block charterers. eliminates unwanted and unnecessary His company buys 25 hours of use of the conversations and interruptions. Citation at a fixed price and the aircraft is available when they need it throughout the year. Bala Ramamoorthy, Founder and Managing Director of BJETS, says his HIGH PERSONAL SAFETY: Turbine powered charter company based in Mumbai and Singapore will “provide a new benchmark for private aviation services. There is an acute shortage of these ser- business aircraft flown by professional vices in Asia and as wealth continues to grow in the region, we believe that crews have a safety record comparable or the demand will continue to increase dramatically”. With the introduction of even better than that of the largest sched- smaller aircraft, such as the Very Light Jets like the Eclipse 500 and the Cita- uled air lines. tion Mustang as well as the anticipated entry into service of the Brazilian made Phenom 100 next year, there are opportunities for charterers to bring access to business jet flying even closer to the middle class businessmen. “Our custom- INCREASING ENTERPRISE: Business aircraft ers are talking about being able to save up to 30 per cent on standard charter allow opportunities especially those in re- costs,” says Roger Whyte, International Sales Director of Cessna. “Introduction of the Mustang to the market means business aircraft travel is more accessible mote regions to be more readily considered than ever before.” In the US, air taxis have begun operating as more people get and acted upon. Studies have put access used to the idea of flying to where they need to go directly. In Europe, the clock to business aviation in the top three driv- charter business is becoming more popular. In Russia and the Pacific Rim, ers for business relocation decisions. direct ownership is more popular, often because culturally it is unacceptable to share one’s airplane. One of the challenges delaying the growth of business aviation throughout PROJECTING A POSITIVE CORPORATE IMAGE: Asia is the problem of flight clearance for private flights. “It can take up to Using a business aircraft shows a company seven days to get clearance to fly from India to the Middle East,” said Ali al to be progressive with a keen interest in Naqbi, Founding Chairman of the Middle East Business Association. “We are working hard in the Gulf to get countries to recognise the value of business efficient time management and high levels aviation and to give the operators greater freedom. We need that to happen in of productivity. SP India and elsewhere in Asia.” SP

Issue 2 • 2008 SP’S AVIATION 21 DIPLOMACY US OFFICIAL VISIT

Hope & CAUTION

ndia’s expansive military modernisation programme and the enced by India’s neighbour on the eastern border. “I don’t see proposed civilian nuclear deal with the US hogged the lime- our improving military relationships in the region in the con- light during US Defence Secretary Robert M. Gates’ maiden text of any other country, including China,” Gates said. “These two-day visit to India in February. Issuing a reminder to In- expanding relationships don’t necessarily have to be directed Idia to accelerate efforts to seal the proposed 123 agreement, Gates to anybody. They are a set of bilateral relationships that are pointed out that “the clock is ticking in terms of how much time is aimed at improving our coordination and the closeness of our available to get all the different aspects of this agreement imple- relationships for a variety of reasons, including those that I’ve mented”. just indicated.” Emphasising that the agreement serves the best interests While the secretary did not discuss any new joint exer- of both countries and that it “has positive global consequenc- cises between the two country’s militaries, he did discuss de- es, as well”, Gates said, “The real key is providing time for our tails of a logistics agreement that would allow expansion of Senate to ratify the final arrangements. And with this being military-to-military relationship. The agreement is largely ad- an election year, there is an open question about how long the ministrative in nature, detailing how the countries reimburse senate will be in session beyond this summer.” each other for expenses, such as fuel, during training. The secretary expressed ap- Complimenting the govern- preciation with India’s move to ment’s efforts in Afghanistan, purchase six C-130J Hercules Goodwill punctuated by Gates said India spends around aircraft from Lockheed Martin. $800 million (Rs 3,230 crore) in “One of the virtues of the C-130 optimism towards removing economic and civic reconstruc- sale is that it gives us an opportu- tion efforts there. He, however, nity to demonstrate not only the hurdles to consolidate long-term clarified that the subject of in- quality of our equipment, but the creasing India’s contribution quality of the service and main- relations marked US Defence there did not come up in the tenance and follow-on activities Secretary Robert M. Gates’ meetings. Referring to missile that go with these sales. So we’re defence, Gates said talks on the very encouraged, (but) we’re at maiden two-day visit to subject are in “very early stage” the beginning of this process,” and that they focused on con- Gates said. The US, he stressed, India in February ducting a joint analysis of what is eager to bid for contract for India’s missile defence needs are 126 Medium Multi-Role Com- and how the US could cooper- bat Aircraft for the country’s air force. The deal, estimated ate. at about $10 billion (Rs 40,000 crore), is being touted as the During the visit, the secretary met with Defence Minister world’s largest single external defence procurement in his- A.K. Antony and External Affairs Minister Pranab Mukherjee, tory. “I indicated that we obviously are interested and believe Prime Minister Dr Manmohan Singh and members of Par- we are very competitive in the selection of the new fighter.” liament. Later, Gates said the discussions were positive and India has several billion-dollar deals in the works, and Gates likeminded. “I encountered only enthusiasm in all of the lead- said he would like to see defence trade expand between the ers here I talked to,” he said. “I think they see it as we do—a two countries. “We’re not looking for quick results or big long-term enterprise by two sovereign states. We are mindful leaps forward, but rather a steady expansion of this relation- of India’s long tradition of non-alignment and are respectful ship that leaves everybody comfortable.” of that, but I think there are a lot of opportunities to expand Questioned about Washington’s plans for Asia at a time on this relationship, and I think that was the feeling on the when China is also strengthening its ties in the region, the part of the Indian leaders that I met with, as well.” SP secretary said that the US relationship with India is not influ- (Courtesy: US Department of Defence)

22 SP’S AVIATION Issue 2 • 2008 MILITARY TRAINING Hawks Arrive in India By Our Special Correspondent, Bidar PHOTOGRAPHS: SHARAD SAXENA eads shot up and necks craned as a collective gasp greeted the awe-inspiring sight of five Induction of the Hawk 132 Hawks taxiing out and soaring in perfect sync. The next few minutes flew past as the trainer heralds a new era in the IAF’s aircraft led by HPT-32 with Chetak helicopters, AN-32 and Dorniers followed by Kiran jet train- ﬂying training history and the ers in Vic formations enthralled the gathering with daredevil Hmanoeuvrings. Amid thunderous applause, the quintet swooped ceremony was conducted to down as if in salute to Defence Minister A.K. Antony. It was Febru- martial tunes composed especially ary 23 and Antony was Chief Guest at the induction ceremony of the Hawk 132 at Air Force Station Bidar in north Karnataka. for the momentous occasion In his speech, the Defence Minister assured: “The Gov- ernment of India will ensure that cutting edge technology is available to our armed forces. Funds will not come in the way of IAF modernisation plans.” Present in the audi- electronic centres. All technical personnel for HOTS will ence were the Chief of the Air Staff, Air Chief Marshal Fali be trained at the newly established Hawk training school. Homi Major, Principal Staff Officers from the Air HQ, senior A new air traffic control is under construction and in the officers from HQ Training Command, AOC and Air Warriors pipeline are plans to acquire the latest navigational aids. of Bidar air base and several retired IAF officers. Among Powered by the Rolls Royce MK-871 Adour turbofan en- the special invitees at the three-hour programme was the gine, the Hawk can achieve speeds of up to 1,050 kmph or British High Commissioner, Sir Richard Stagg, besides top Mach 1.2 with a service ceiling of nearly 15 km altitude. ranking officials from BAE Systems and Rolls Royce and The Hawk 132 will enable trainee fighter pilots of the IAF senior officers from Hindustan Aeronautics Limited (HAL) to transit from the basic jet trainer Kiran Mk1/1A to front- and the Military Engineering Service. line fighters like Su-30MKI, MiG-29, MiG-21 Bison, Jaguar BAE Systems will directly supply 24 Hawks to the Indian and Mirage 2000. It has four hard points under wing and Air Force (IAF) while an additional 42 will be produced un- two on wing tips to carry under wing fuel drop tanks, rock- der licence by the Hindustan ets, missiles, practice bombs and under fuselage gun pods. Aeronautics Limited (HAL). Its glass cockpit with head up display, hands on throttle The air force is likely to bid DEFENCE MINISTER A.K. ANTONY and stick controls and weapon aiming system will enable RELEASES A COMMEMORATIVE for and get an additional 40 COVER ON THE OCCASION pilots carry out all advanced manoeuvres and weapon Hawks from HAL for estab- firing. In a contingency the lishing a second Hawk train- Hawk 132 can be operation- ing base in the eastern part of ally employed. the country. For now, Air Force Induction of the Hawk 132 Station Bidar is fully geared heralds a new era in the IAF’s up for the Hawk Operational flying training history and the Training Squadron (HOTS) to ceremony was conducted to commence its training routine martial tunes, composed espe- from June 2008. Both the run- cially for the momentous oc- ways have been extended to casion, and played by the Air the standard length of 9,000 Warrior Symphony Orches- ft. The entire airfield complex tra. On an apt note, the finale has been upgraded with the was a breathtaking display of construction of a new 113 m precision formation flying by by 48 m hangar, an armament the world famous Surya Kiran centre, a propulsion engineer- Aerobatic Team who are also ing bay, and mechanical and based in Bidar. SP

Issue 2 • 2008 SP’S AVIATION 23 SHOW REPORT SINGAPORE AIRSHOW ’08

to SIZE By Phil Nasskau, Split Singapore The new purpose built venue next to Changi Airport is good, secure and an excellent stage epending on the individual’s point for aircraft display. Unfortunately, not that many of view, it was for the first or the were on display, but those that were, made for 11th time that the Singapore an impressive backdrop to the activities. Airshow opened its doors this Dyear. Held in February every two years, the event has historically been the cornerstone event stage for aircraft display. Unfortunately, not that many were for the Asian aerospace industry since the 1980s. Two years on display, but those that were, made for an impressive back- ago, however, amid rumours of a dispute the key partners drop to the activities. Further, a slew of announcements and split—Reed Exhibitions took its Asian Aerospace brand to updates criss-crossed all the aerospace sectors. Hong Kong (see SP’s Aviation 5/2007) and the Singapore gov- Inaugurating the show at a simple and elegant ceremony, ernment launched the Singapore Airshow at a new purpose Prime Minister Lee Hsien Loong observed that China and In- built site next to Changi Airport. The venue encompassed a dia would lead the demand for air travel in the region and a 40,000 sq m air-conditioned exhibition hall and a 100,000 sq 10 per cent growth would be maintained in aviation services m area for static display of aircraft, besides 100 Chalets. by Singapore in 2007. For the bemused industry, already straining under the weight of too many shows, it became somewhat of a choice. BUSINESS AVIATION Do they stick with the traditional location, or the traditional Business Aviation was not taking a side-step at the Singapore organisers? Hong Kong promised access to China (and in- show—indeed the static park was positively filled with busi- deed delivered with a splendid congress and exhibition) but ness aircraft, proof that the sector was booming in the region. Singapore provided several elements that Asian Aerospace The show also broke the record for the single largest business could not: defence equipment and a flying display. Putting to jet order in the region: start-up fractional operator BJETS or- rest apprehensions, both shows went on to succeed, albeit on dered 50 new business jets in an effort to become Asia’s first a scale smaller than the previous major event. Only time will dedicated fractional, block charter and aircraft management tell whether the two events, albeit with very distinct charac- company. The order, valued around $600 million (Rs 2,427 teristics, will survive in the long run. crore), covers 20 Cessna Citation CJ2+ jets and 20 Hawker In a half-hearted attempt, Singapore show organiser Jim- Beechcraft 850XP and 900XPs with options for a further my Lau laid claims to the number three position in the world 10. Headquartered in Singapore, the company is set to take but amended that to the largest show “this year, so far”. On delivery of its first aircraft sometime in March, with opera- paper, it is firmly behind Paris, Farnborough and Dubai in tions starting in the second quarter of this year. A total of 15 terms of exhibitors and trade visitors. Undeniably, the Sin- aircraft is expected to be delivered by the end of the year. gapore Airshow generated phenomenal interest, underscor- Founder and Managing Director Bala Ramamoorthy said ing the fact that Asia is the fastest growing aviation market BJETS will “provide a new benchmark for private aviation and Singapore has grown as the aviation maintenance hub services. There is an acute shortage of these services in Asia in this region. Participation by over 800 companies from 42 and as wealth continues to grow in the region, we believe that countries and high level government, military and industry the demand will continue to increase dramatically”. delegations from 30 countries underlined the popularity of “BJETS will have the biggest fleet of private jets in Asia in this event. The new venue is good, secure and an excellent its very first year of operations,” added Chief Executive Mark

24 SP’S AVIATION Issue 2 • 2008 SHOW REPORT SINGAPORE AIRSHOW ’08

Baier. “There are no dedicated business jet fleets in Asia, and Epic aircraft also announced selection of Honeywell’s what we provide is guaranteed availability for our customers. TPE331-10A for its newest aircraft, the Escape. The Escape It is something the region direly needs and we believe that is a 92 per cent scale version of the LT and will have 940shp our model can be very successful.” The aircraft will be reg- with 1,800nm range and 360kt cruise speed. istered in India and based at Singapore’s Seletar Aerospace Park and Mumbai. Baier believes services will mainly be be- AIR TRANSPORT tween India and Southeast Asia. Singapore continued the age-old tradition of Airbus and Cessna also confirmed an order for 20 172 Skyhawks to Boeing spats—how could it be an air show without these India’s Chimes Aviation for its aviation academies in Mad- two giants? Airbus was positively gleeful about the 787 de- hya Pradesh and an as yet unnamed location. Eleven of the lays and Airbus’ Chief Salesman John Leahy again hinted at aircraft will be delivered immediately and the remainder, an ultra-long range version of the A350XWB, the -900. Yet, the diesel version, will be delivered before the academy of- despite Boeing’s protracted delays to the 787 programme, it ficially opens in October. Coupled with an order for six ad- is still going to be the first to market. ditional Grand Caravans to Indonesia’s Susi Air, six model The air transport sector was far from quiet with orders 206Bs will be delivered in 2009 and 2010. Susi already op- and also updates on the latest widebodies in development. erates eight Caravans and has two more scheduled for deliv- Boeing is considering suspending work on the 787-3 short- ery this quarter. Eurocopter delivered an EC155 at the show haul variant of the delayed twinjet. A 787 programme source to Indonesia Air Transport. said the delay in development of the -3 “may be a precursor AgustaWestland was not hovering around with the ap- for the cancellation. Regardless we’re stopping work on it”. pointment of King Express Group as its official distributor The source added that the short range -3, “being developed in Hong Kong and Macau, coupled with an initial order of simultaneously with the -9, was really stretching the compa- nine helicopters, comprising AW119Kes, AW109 Power and ny’s resources. This will free up people to work on the much Grand twins, and the AW139. It sold an AW139 to Malaysia’s more popular -9 variant”. YTL Group—the first VIP AW139 Boeing is now drawing up into Malaysia. And two AW109 a new delivery schedule for all Powers for China’s Maritime Safety 787 customers in the wake of Administration, as well as an or- production delays which have der for two AW139s to the Korean pushed the aircraft’s first flight Coast Guard. back to the middle of this year. Airbus was not keen to lose out Boeing said it expects to an- after the embarrassment of the nounce its plans at the end of A380 earlier in the week, and land- the first quarter and is unable ed an order from Hong Kong-based to comment on any possible re- C-Jet for a CFM-powered ACJ as sequencing of the variants be- well as its second commitment for fore then. Indonesia’s Lion Air the A350 Prestige-liner. Gulfstream placed an order for 56 Boeing was awarded Civil Aviation Author- 737-900ERs, bringing its total PHOTOGRAPHS: RATAN SONAL PHOTOGRAPHS: RATAN ity of China (CAAC) type certificates commitments for 737-900ERs for five of its line-up—the GV, G350, to 178. President Director of ARCHITECT OF SINGAPORE: LEE KUAN YEW G450, G500 and G550. On top of (IN BLUE SHIRT) RECEIVES A PRESENTATION AT THE SHOW Lion Air Rusdi Kirana signed the the approval it also found a home firm order at the show, with pur- in China for four of its business jets chase rights on a further 50. with and an order worth $140 million (Rs 565 crore) cover- However, industry experts and analysts view this addi- ing a single G550 and three G350 from Hainan Airlines’ sub- tional order as a bridge too far. The first delivery of this or- sidiary Deer Jet. This order also marked the first time that der is scheduled for 2014. Kirana said he wants to have 60 Deer Jet had placed a fleet order. Each of its previous eight 737-900ERs in Indonesia and the remainder will be used for aircraft had been acquired individually. Deer Jet Chairman airline joint ventures it plans to start in Australia, Thailand Liu Zhiqiang said the addition of the jets would allow fleet and other Asian countries. and capacity optimisation to meet the company’s growing Garuda Indonesia ordered 10 Boeing 777-300ERs and customer base. plans to use the aircraft for longhaul services to the US and VLJ manufacturer Eclipse also made its first inroads into Europe. First delivery is expected in mid-2010. “We hope this the lucrative Indian market with a deal to supply New Delhi- will be part of our expansion… and will be used to open new based Club One Air with 10 Eclipse 500s. Four of the aircraft routes,” said CEO Emirsyah Satar. “We’re going to expand to will be delivered this year and the remainder in 2009. Club the US and Europe and phase out Boeing 747-400s.” One Air Managing Director Manav Singh said, “I think it’s a Embraer fuelled its E-Jets fire with several orders at the very affordable solution. Nobody has a plane that’s as af- show. It added another 10 notches to the orderbook with an fordable to acquire and operate as the Eclipse.” Singh plans order for 10 E190s from US-based lessor Jetscape, along with “to get the middle class of the country to start chartering further options for 10 and purchase rights for another 10. All aircraft. We are in negotiations to buy a substantially larger orders converted would represent around $1.125 billion (Rs fleet and I do hope to conclude these negotiations before the 4,540 crore) at list prices. Deliveries are set to start in 2009 end of the year”. and will complement the company’s fleet of 18 owned and

Issue 2 • 2008 SP’S AVIATION 25 SHOW REPORT SINGAPORE AIRSHOW ’08

BIG FAT DEALS Foremost among the big deals was an order for 56 Boeing 737- 900ER aircraft worth more than $4.4 billion (Rs 17,787 crore) by Indonesian low-cost carrier Lion Air. • Indonesian flag carrier Garuda ordered four Boeing 777- 300ERs worth $1 billion (Rs 4,043 crore) and business jet operator BJets signed a $600 million (Rs 2,426 crore) contract for 40 Cessna and Hawker jets. • Boeing’s rival Airbus secured orders for five A330-200F cargo planes from BOC Aviation, an aircraft leasing firm fully owned PHOTOGRAPH: EGLIN.AF.MIL by the Bank of China. The deal is worth a total of $877 million (Rs 3,545 crore) at catalogue prices. • Brazilian aircraft maker Embraer scored orders from US replacement of auxiliary power units on the next generation aircraft leasing firm Jetscape Inc for 10 E190 jets, with options of single-aisle aircraft. for another 10 and purchase rights for 10 more. The deal is Coupled with a potential weight saving element, going worth $375 million (Rs 1,516 crore) at list price. It could be green is getting easier. Potentially one weight saver is to re- worth up to $1.1 billion (Rs 4,447 crore) if all the options and use the wastewater generated in the electricity production purchase rights are confirmed. In another contract for Embraer, process with the hydrogen fuel cells, thereby negating the Australia’s Virgin Blue signed four purchase rights for E190 jets need to carry extra water on long-range flights. worth $150 million (Rs 606 crore). This takes the number of firm orders from Virgin Blue to 24—six E170s and 18 E190s. Some other major deals included: DEFENCE • Korean Air: Three Airbus A380-800 worth $906 million Opening the show after an eight-year break was the Re- (Rs 3,663 crore). public of Singapore Air Force’s Black Knights, who suitably • Air Caraibes: Selection of Pratt & Whitney PW4000-100 dazzled onlookers. While the F16s of the Black Knights engines for its three Airbus A330-300 aircraft worth ripped the skies with raucous noise, India’s Air Chief Mar- over $180 million (Rs 728 crore). shal Fali Homi Major announced that the country would • Grupo Marsans: Selection of Pratt & Whitney PW4000-100 induct two squadrons of the long-delayed Tejas Light Com- engines for its five Airbus A330 aircraft worth over $285 million bat Aircraft from 2010. With up to another six squadrons if (Rs 1,152 crore). the first batch impress in operations. Plagued by problems, • Jetstar Asia Airways: Selection of Global Service Partners to the Tejas was originally meant to enter service early this maintain V2500-A5 engines. • JAT Tehnika: Selection of Pratt & Whitney to maintain decade, but design and performance issues with the devel- CFM56-3 engines. opment of an indigenous engine are the main reasons for • Etihad Airways: Addition of four new Indian destinations, delay. “There were hitches in the past, but the tests that namely Chennai, Jaipur, Kolkata and Kozhikode. we have been doing over the last few months indicate that Tiger Airways: Selected International Aero Engines to supply those have been resolved. The programme was streamlined V2500 engines for 20 Airbus A320 planes, worth $580 million and it is a much better aircraft now. We are confident that it (Rs 2,345 crore). SP can serve our needs,” Major said. Compiled by Sanjay Kumar Competition for India’s Medium Multi-Role Combat Air- craft (MMRCA) will reach a crucial stage in March. The first delivery of aircraft is due in 2012. Delay in the Tejas pro- managed aircraft. “With the big lessors focused primarily on gramme, according to some analysts, would drag the Indian larger aircraft, this order enables Jetscape to establish itself Air Force’s operational competence below optimal capabili- as a leader in the growing 70- to 120-passenger jet market,” ties. In a bid to overcome this shortfall, Delhi placed an inter- said Jetscape CEO John Evans. The rest of the orders came im order of additional licence-built Sukhoi Su-30MKI fighters. from EgyptAir Holding Company for six E170s, converted op- “As the Chief, I’m in a hurry to rejuvenate the service as soon tions from an earlier order for six. Australian Virgin Blue also as possible,” added Major. “I will do my darnedest to ensure exercised four purchase rights for E190s and converted three we keep to that schedule.” into options. Virgin Blue already operates three E170s and is At the show, Lockheed Martin announced it would submit set to receive its first E190 this year. To wrap up regional, a a “very responsive package” for the MMRCA. John Larson, subsidiary of Air France converted options for a single E170 Vice President F-16 programmes also revealed: “The US gov- and an E190 from an original order in August 2007. Both ernment is reviewing the proposals right now.” aircraft are slated to be delivered in 2009. Larson declined to reveal firm details of the offer but did Airbus, meanwhile, added a further three orders to its confirm that the company has already chosen between GE and behemoth A380. Korean Air placed an additional order tak- P&W to supply the engine for the aircraft, which will draw on ing its commitments up to eight. Airbus also made another technologies developed for the Advanced Block 50 and Block step forward with its green focus. The company flew one of 60-series F-16s. Lockheed also “has every intention” of re- its A320s with a fuel cell to power flight control and cabin sponding to Delhi’s requirement for an active electronically systems. The main aim of this is to reduce fuel burn while on scanned array radar on the selected type, he added. the ground and comes hot on the heels of the A380 flying on Boeing delivered the first of four KC-767 tankers to Ja- a gas-to-liquid fuel blend. Airbus and EADS researchers be- pan and Senior Manager Global Mobility Systems Business lieve that the technology could advance enough to enable the Development for Boeing’s IDS Michael Marshall said Japan’s

26 SP’S AVIATION Issue 2 • 2008 SHOW REPORT SINGAPORE AIRSHOW ’08

second aircraft will be handed over by the end of the first quarter and the two remaining aircraft would follow in 2009 and 2010. Speaking at the show, Marshall revealed that Boeing would also deliver Italy’s first of four KC-767 tankers by the end of the second quarter this year. The handovers to both customers had been delayed after buffet problems were encountered during flight trials involving Italy’s first aircraft. Pilatus made progress and flew its first Singaporean Ba- sic Wings configured trainer while the contenders for the advanced jet trainer displayed their platforms at the show. The PC-21s will replace Aermacchi S-211s, with the first training scheduled to start in June 2008. The 20-year contract to Lockheed Martin covers 19 aircraft, as well as maintenance, simulators, courseware and simulator instructors.

TECHNOLOGY A rather embarrassing moment ensued for Airbus as Sin- gapore Airlines was forced to make the first A380 cancellation a day before the air show officially opened. The flight was cancelled after its only in-service A380 suffered a fuel pump problem. The flight was replaced by a Boeing 747- 400 and SIA is reported to have confirmed that the problem was detected during engine start and could not be resolved by the installation of a replacement fuel pump. However, the airline made no official comment. The incident marked PHOTOGRAPHS: ALAN PEAFORD the first technical problem to cause disruptions since the A380 entered service last October. Airbus continued to fly GREAT GOING: AEROBATIC PERFORMANCE BY SINGAPORE AIR FORCE’S the A380 daily at the show. BLACK KNIGHTS HAD THE AUDIENCE ENTHRALLED (FACING PAGE AND ABOVE); PRATT & WHITNEY ENGINE ON DISPLAY (BELOW) With fuel prices still rising, Lufthansa Systems launched a new flight planning module which promises fuel savings of up to 2 per cent. The add-on to its Lido Operations Cen- tre makes automated checks of a potential routing relative ables machines to ‘see’ in real time to detect, identify, track to current air traffic capacity and flow management rules. and display foreign objects. Foreign Object Damage (FOD) “Airlines have to check their preferred routings against the can easily ground an aircraft and, according to Stratech, latest ATC rules,” said Senior Vice President Sales Asia Pacific costs the air transport industry approximately $4 billion (Rs Norbert Mueller. “If there is a TFR in place, they must manu- 16,142 crore) in repairs, delays and airport maintenance. ally replan a route.” The module does this automatically and Executive Chairman Dr David Chew said the system rep- even considers partly restricted airways, suggesting bypasses resents cutting edge technology and he hopes it will help where permitted, for the best airway combination. improve safety standards worldwide. Singapore’s Changi International Airport will also be the A 15-month trial at Changi preceded the contract. Direc- first platform for Singapore-based Stratech Systems’ iFerret tor General & CEO of Singapore Civil Aviation Authority Lim runway surveillance system in a contract worth more than Kim Choon said: “The frequency of our runway inspections $8.5 million (Rs 34 crore). iFerret uses what Stratech terms already exceeds guidelines set by the International Civil Avia- ‘intelligent vision’, a form of artificial intelligence that en- tion Organization. iFerret will enable us to automate these inspections and set even higher standards in operation efficiency and passenger safety.” Moreover, Chew pointed out, the technology is scalable and could be used for runways and taxiways of any length, as well as possible use on aprons, hangars and even aircraft carriers. As the trade days drew to a close, the public display began with around 50,000 Singaporeans making their way to the new location. Official visitor figures are still not available but the organisers are convinced they will be back in 2010. However, with the growing popularity of the shows in Ban- galore and Hyderabad, along with the increased investment in Asian Aerospace for Hong Kong in 2009 as well as Dubai’s lofty ambitions to be the world’s number one following its relocation to the new Jebel Ali airport next year, Singapore may need to offer more to achieve its goal. SP

PHOTOGRAPHS: RATAN SONAL PHOTOGRAPHS: RATAN With inputs from Air Marshal (Retd) P.K. Mehra

Issue 2 • 2008 SP’S AVIATION 27 SHOW REPORT DEFEXPO ’08 Spanning the expansive, sunlit venue at Pragati Maidan, Lavish over 30 countries showcased S p r e a d the best in land and naval systems By SP’s Team at Defexpo India 2008

learly, the two traffic policemen in trademark grubby fence department were out in full force. Close on their heels were the white were puzzled. “What is going on inside, sir? Is it a French, who participated with 43 companies, the Russians with 24 meeting of police officers?” they enquired of the retired and the Israelis and Germans with 19 each. Over 20 companies from Air Marshal making his way through the throng of visi- the UK participated in the Defexpo. In addition, a British Army Dem- tors, delegates and participants both Indian and foreign onstration Area displayed a range of equipments covering peace- trooping through Gate No. 8 of Pragati Maidan. “Not keeping, border security and explosive ordinance disposal. police, it is a military exhibition,” replied the gentleman, bemused. At the inauguration, Indian Defence Minister A.K. Antony said, CWhile the two law enforcers may have been wide off the mark in “Defexpo offers a single-window platform for bringing together di- their conjecture, their curiosity echoed the buzz Defexpo inevitably verse players in the defence sector to showcase products and tech- generates among the masses every year. nology, to build partnerships and collaboration, to boost exports Spread across the expan- and promote the reach and sive, sunlit venue comprising growth of R&D, besides help- eight halls covering 32,000 VOICES & FACES: (CLOCKWISE) DEFENCE MINISTER A.K. ANTONY INAUGURATES ing to forge closer interaction THE SHOW; ANTONY WITH AIR CHIEF MARSHAL F.H. MAJOR; THE IAI STALL; MAJOR square metres space, over 30 (CENTRE) FLANKED BY DG CII LT GENERAL S.S. MEHTA (LEFT) AND MINISTER OF STATE among the scientific commu- countries showcased the best FOR DEFENCE PRODUCTION RAO INDERJIT SINGH; VISITORS BROWSE THROUGH nity and other stakeholders.” in land and naval systems SP’S SHOW NEWS; BOEING’S MICHAEL J. MARSHALL MAKES A PRESENTATION Also present was Minister of at Defexpo India 2008 from State for Defence M.M. Pallam February 16 to February 19. Raju, besides others. In all, 475 exhibitors, including 273 from Among the larger Indian companies, abroad, participated in Defexpo 2008 which the Tata Group inked MoUs with Israeli for the first time displayed products and ser- firms to manufacture missiles, UAVs, radars vices from the telecom and IT companies. and electronic warfare systems, while Ma- Signifying India’s growing importance as a hindra Defense Systems announced it is in market for defence, a large number of lead- advanced talks for a strategic alliance with ing global armament companies led by the Whitehead Alenia Sistemi Subacquei, the US, France, Russia and Israel hogged the maritime underwater systems subsidiary of limelight. Largest the $20-billion (Rs was the delegation 80,880 crore) Fin- from the US with 46 meccanica Group companies led by of Italy. Additional former Defence Sec- Secretary (Defence retary William Co- Production) Ajoy hen. US giants like Acharya confirmed Boeing, Raytheon, footfall of over Lockheed Martin, 40,000 business Northrop Grum- visitors during the man and Sikorsky four days of the Def- besides the US de- expo. SP PHOTOGRAPHS: SP GUIDE PUBNS

28 SP’S AVIATION Issue 2 • 2008 SHOW REPORT DEFEXPO ’08

AGREEMENTS & MoUs

In the first three days of Defexpo 2008, as many as 20 major deals erational mid-2008. Talking to the media, senior DCNS official Xavier were established, confirmed Additional Secretary (Defence Pro- Marchal said the subsidiary would be oriented towards design, service duction) Ajoy Acharya. to naval shipyards and sourcing of components and materials in Indian Some of these are: industry. The company would cater to current projects such as Scorpene • The Tata Group signed an MoU with the Israel Aerospace Industries submarines as well as future programmes. (IAI) for developing and manufacturing a wide range of defence products, • UK-based global defence and aerospace major BAE Systems and Mahin- including missiles, unmanned aerial vehicles, radars, electronic warfare dra Defence are mulling joining forces to build an Indian mine-protected and security systems. vehicle. • European military systems integrator Thales had earlier bagged an or- • BAE Systems is also eyeing a deal to supply 40 more Hawk advanced der to fit fire control systems and night vision devices on T-90 tanks. It jet trainers to the Indian Air Force in addition to 66 already contracted is now hopeful of winning the contract for upgrading the T-72 tanks and under a Rs 8,000-crore deal signed in March 2004. armoured personnel carriers. • Bharat Electronics Limited (BEL) signed four MoUs with three Israeli • Thales announced plans to set up an Indian company to look after main- defence companies—one with Rafael Advanced Defence Systems Limited tenance and servicing issues for thermal imagers. for missile technologies and guidance electronics; two with Israeli Aero- • European Naval Defence Systems organisation DCNS announced its space Limited, Malat for UAV Systems; and the last with Elisra for elec- Indian chapter. DCNS India would be based in Mumbai and become optronic warfare programmes. SP

SP’s at DEFEXPO ’08

INDUSTRIALIST ITALIAN AND MP NAVIN NAVY’S CHIEF JINDAL IS OF MATERIAL PRESENTED IS IMPRESSED A COPY OF WITH THE SP’S MILITARY RANGE OF SP’S YEARBOOK PUBLICATIONS 2007-2008

DIRECTOR CHIEF OF GENERAL MATERIAL OF INFANTRY THE INDIAN LT GENERAL NAVY VICE RAJENDER ADMIRAL SINGH AT THE RANDHAWA SP’S STALL WITH SP’S EDITOR-IN- CHIEF

FORMER CHIEF IT WAS OF INDIAN BUSINESS ARMY AS USUAL GENERAL AT THE SHANKAR SP’S STALL ROYCHOWD- WITH A STEADY HURY SHARES STREAM OF A LIGHT VISITORS MOMENT AND CURIOUS AS HIS WIFE ONLOOKERS LOOKS ON PHOTOGRAPHS: SP GUIDE PUBNS

Issue 2 • 2008 SP’S AVIATION 29 SHOW REPORT DEFEXPO ’08 WHO SAID WHAT

“India relies on its time-tested relationship with Russia” Rao Inderjit Singh, Minister of State for Defence Production To what extent is Defexpo ment does not permit ex- production. with Cabinet approval. a platform to bridge gaps port of arms to a country The private sector has to Foreign companies are in defence technology? where there is a conflict. invest in infrastructure reportedly finding it dif- Defexpo showcases what However, export of indig- development. Bottomline ficult to implement the the world has to offer to enous arms is permissible is to encourage the sector offset clause. India and vice versa. under JVs. to enter into partnership The companies are well What is India’s policy on Numerous bottlenecks arrangements of up to 26 versed with the offset defence export? discourage private sector per cent, which can be clause and quite capable India’s policy of non-align- participation in defence increased to 50 per cent of complying with it. SP

“India and Boeing make for win-win relations” Jim Albaugh, President & CEO, Boeing Integrated Defense Systems What is the extent, struc- Boeing has entered into proposal for India’s acqui- proven, multi-role fighter ture, size of Boeing IDS’s strategic partnership? sition of Chinook? in the world today. representation in India? For IDS, Boeing signed an We understand an RFP The response to the RFP Boeing has a Delhi office MoU in 2007 with Hindu- may be released in 2008. is expected by March led by Dr Ian Thomas. stan Aeronautics Limited What are your chances of 2008. Will Boeing submit Currently, Boeing has 30 (HAL). At 2007 Aero India, bagging the MMRCA deal? the response in time? employees in India. we entered into an MoU I’d say our chances are Boeing anticipates filing Which are the Indian with L&T. good. The Super Hornet is its proposal by March 3 or companies with whom What is the status of the the most capable, combat- before. SP

“We want to gain cost advantages by increasing our local capabilities” Yves Guillaume, CEO, EADS India What is your long term participating in India’s of some of the success have selected Airbus and strategy in India? space programme? stories of EADS and its ATR to develop their fleet. We want to be seen as a Astrium and ISRO have subsidiaries in India? In the past two years, company with an Indian long lasting ties starting EADS is a major supplier Airbus and ATR have citizenship and at the with the delivery of satel- to the booming Indian received orders from Air same time gain cost lite components, followed commercial aviation sec- India, Air Deccan, King- advantages by increasing by testing equipment for tor. Most of the fast-grow- fisher, IndiGo, Jet Airways, our local capabilities. satellite antennas. ing private airlines and GoAir and Flyington To what extent is EADS Can you give a glimpse the state-owned Air India Freighters. SP

“We’ll work with the Indian industry to add value to our product lines” Richard T. Kirkland, President, Lockheed Martin for South Asia Have you established any ties and applications. to all the Indian MMRCA The response to the strategic ties with Indian What are your chances of requirements at the low- RFP for MMRCA is to IT companies? bagging the MMRCA deal? est possible procurement be submitted by March We partnered with Wipro Lockheed Martin is and operating costs. 3. Is Lockheed Martin Technologies to establish offering India the F-16 Will the F-22 Raptor be on schedule or are you Ambar Jyoti. This lab will Fighting Falcon. The offered to India in future? contemplating filing for develop, demonstrate and company’s approach is to That is a policy question extension of deadline? experiment with emerging provide an advanced con- that should be directed to Lockheed Martin intends network-enabled capabili- figuration that is tailored the US government. to file on schedule. SP

“Fire Scout an affordable platform for Indian Navy” John Brooks, President, Northrop Grumman International Inc. What is Northrop E/F and will build 40 per on a potential AEW&C It will provide the Indian Grumman’s involvement cent of the aircraft. capability acquisition by Navy and Army with a in the MMRCA deal? What is the status of India continues between proven platform at an Northrop Grumman is the E-2 Hawkeye the US Navy, Northrop affordable cost. The Fire very active in India’s new programme? Grumman and the Scout UAV provides con- fighter acquisition drive. The US Navy has pro- Indian Navy. tinuous C4ISR, Engage- Our Integrated Systems vided technical briefs to How will the Indian Navy ment Capability and Quick Sector is a major partner the Indian Navy since benefit by inducting Fire Delivery to Operational with Boeing on the F/A-18 November 2005. Dialogue Scout UAV? and Tactical Forces. SP

30 SP’S AVIATION Issue 2 • 2008 Hall of Fame ERLIN MOTOR SHOW, target by a pilot on a suicide mission. in her twin-engine Dornier. The cable 1938. A petite blonde, just Catapult launched from a sled, it pro- strands exploded, breaking two pro- over 5 feet, strides briskly duced more than 24-‘g’ acceleration peller blades. As a result, one engine towards a strange looking force, enough to burst body organs, as tore loose and she began to lose height contraption with twin rapidly. She landed safely and was Brotors and settles in. The engine awarded the Iron Cross, Second roars to life, the aircraft takes off Class and a diamond clasp—the and to the amazement of the audi- first such award conferred on a ence executes a variety of manoeu- woman and a civilian. vres, from take-off and hover to A top secret German rocket sideways flying, steeply ascending plane was the fastest and most dan- and slowly descending. Finally, it gerous plane Hanna tested. Three freezes in the hover and slowly exe- male pilots had died in earlier at- cutes a 360-degree rotation. Twenty tempts. First she flew the prototype six-year-old Hanna Reitsch ends the as a glider. Then she flew the milita- gripping performance with the Nazi rised version, the Me-163B Komet. salute. Hanna was flying the Focke- In 90 seconds after takeoff, this ex-

PHOTOGRAPH: HARGRAVE - THE PIONEERS PHOTOGRAPH: HARGRAVE Achgelis Fa-61—the world’s first perimental interceptor climbed to fully controllable helicopter. Sport- 30,000 feet at a 65-degree angle. It ing a simple German design, the Hanna Reitsch travelled at 500 mph, the fastest any aircraft was fitted with the fuselage human had ever flown till then. On of a small biplane to mount two out- (1912 – 1979) one memorable occasion, the jetti- riggers supporting contra-rotating sonable landing gear failed to sepa- rotors powered by a radial engine. rate from the plane. Rather than Hanna repeated the act each night On one memorable abandon the expensive aircraft, for three weeks. It was an impres- occasion, while ﬂying a top Hanna decided to land it. She near- sive display, more remarkable since ly succeeded, but at the last instant the whole demonstration was in- secret German rocket plane, stalled and crashed into a field just doors! The slightest miscalculation short of the runway. Fortunately, would have resulted in a crash, tak- the Me-163B Komet, the there was no fuel aboard, or the little ing a heavy toll in the crowded hall. Komet would surely have exploded. Hanna was born in Hirschberg, landing gear failed. At the hospital, doctors discovered Germany on March 29, 1912. An Rather than abandon the that Hanna had fractured her skull intense and intelligent child with a in six places, smashed the bones fascination for flying, she longed to expensive aircraft, Hanna of her nose irretrievably, displaced be a missionary doctor. However, her upper jawbone, broken several the Second World War intervened Reitsch decided to land vertebrae and bruised her brain and had a profound effect on her. it, and nearly lost her life. severely. She nearly died. This time She soon became an enthusiastic she was awarded the Iron Cross, admirer of Hitler and an unrepen- Awarded the Iron Cross, First Class—the only woman to re- tant Nazi. At a time when women ceive this medal. Rumour is Hitler were mostly confined to the kitchen, First Class—the only himself forbade her to attempt such Hanna was the world’s first female a foolhardy feat again. test pilot and flew practically every- woman to be conferred Probably the greatest woman pi- thing available. Endowed with great this medal—rumour is lot ever, in 1979, barely a year after courage and extraordinary skill— she set a new women’s distance glid- essential prerequisites for those in Hitler himself forbade ing record, Hannah Reitsch passed the forefront of aviation given the away quietly in sleep, succumbing exceedingly high mortality rates at her to attempt such a to a massive heart attack. She once the time—she was the first woman wrote, “Powered flight is certainly to cross the Alps in a glider, first to foolhardy feat again. a magnificent triumph over nature, fly a helicopter and first to fly a jet. but gliding is a victory of the soul in During the war, the Germans which one gradually becomes one designed a manned version of with nature.” It is no wonder that al- the V-1 bomb, the Fieseler Fi-103R emerged from failed experiments and most 30 years after her death, some of manned missile. It had wings just dead pilots. Hanna flew it 10 times. An- her 40 international flying and gliding three feet long, making it impossible to other daring feat was to fly straight at a records still stand. SP fly. Therefore, it was operated as a ro- simulated British balloon barrage in an bot controlled by an early auto-pilot— effort to cut the cable. In one such trial — Group Captain (Retd) something the clever German scientists (witnessed by Hitler) she had to fly very Joseph Noronha, designed—then precision-guided to its low into the 5.6 millimetre thick cable Goa

Issue 2 • 2008 SP’S AVIATION 31 NEWSDigest MILITARY Europe Manufacturers of military RoundUp fixed-wing trainers will deliv- Quick Asia-Pacific Sagem Défense Sécurité to er 1,550 new aircraft during supply Tigers with STRIX the 10-year period, according AGUSTAWESTLAND Raytheon aligns with Preci- Sagem of SAFRAN Group to new analysis by Forecast sion Electronics Limited has received an order from International. According to • AgustaWestland has announced Raytheon Company has OCCAR, the Organisation for the study, “The Market for the opening of the new AW139 me- signed a MoU with Precision Joint Armament Cooperation, Military Fixed-Wing Trainer dium twin helicopter assembly line Electronics Limited to forge for STRIX observation and Aircraft 2008-2017,” more in Philadelphia which underlines strategic alignments that sighting systems for 64 Tiger than half (784) of these 1,550 its growing presence in the US and jointly develop and provide European combat helicopters new trainers will be turbo- the expansion of its Philadelphia superior communications in France and Spain. With prop-powered trainers, with facility which, in addition to the technology for India’s military high-performance optronic jet trainers accounting for AW139 assembly, is also respon- forces. The MoU represents sensors, the STRIX gyro-sta- nearly all of the remainder sible for AW119 Ke production and another step toward estab- bilised system will provide (748). The market for piston- supporting the expanding fleet of lishing a strong collaborative the Tiger with observation, powered military trainers is AgustaWestland helicopters in North working relationship, encour- identification and engagement dying out and so will account and South America. aging joint pursuit of emerg- capacities at long range both for only 18 aircraft during the ing business opportunities, day and night. The system forecast period. • Synergy Aerospace, a division of and providing for in-country will enable the entire Tiger’s Synergy Group, has signed a con- production, offset and long- weapons to be used, including tract for 10 additional helicopters term support. anti-tank missiles. It will have CIVIL comprising four AW109 Power and a dual-mode laser designator four Grand light twin and two AW139 India awards Russia for laser-guided weapons and Asia-Pacific medium twin turbine engine models. MiG-29 upgrade project telemetry with ocular security India has awarded Russia for observed targets. Air India’s integration with • Aerolíneas Ejecutivas of Mexico a contract to upgrade its Star Alliance to take a year has signed a contract for 15 ad- multi-role MiG-29 warplanes, International Even after admission to Star ditional helicopters comprising officials said in Delhi. The two Alliance in December last, it four AW119 Ke single engine, four post-Cold War allies signed Production of military will still take another year AW109 Power and five Grand light the deal to extend the life of trainers to rise in 2009 for Air India to complete all twin and two AW139 medium twin India’s fleet of 70 MiG-29 jets turbine engine models. another 15 years from their current 25 years, an air force “OURS IS A BALANCED PORTFOLIO WITH SUPERIOR PRODUCTS” AIRBUS official said. “The project entails two to three years and • Airbus has successfully tested a only six of them would be he European Aeronautic Defence and Space (EADS) is looking to gain a major fuel cells system for the first time re-fitted in Russia while the foothold in India’s military market, which is expected to generate orders worth $4 on a civil aircraft when it powered work on the remaining squad- Tbillion (Rs 1,629 crore) over the next five years. EADS, whose group companies the aircraft’s back-up hydraulic and rons would be carried out manufacture civilian and military passenger jets, helicopters and combat jets, as also electric power systems. During the by them at Indian bases,” he missiles, satellites and rockets, is keen to establish an Indian footprint. “We may have test, the fuel cell system generated said asking not to be named. been latecomers to India but we come here with superior and more convincing prod- up to 20 KW of electrical power. The Under the contract Russia will ucts to offer as we want to participate in your industrial growth,” Stefan Zoller, CEO of emission free fuel cell system gener- re-arm the twin-engined MiG- EADS Defence and Security, told the media re- ates water as a “waste” product. 29s with air-to-air missiles, cently in India. Present on the occasion were top modern bombs, increased fuel EADS officials, including Theodor Benien, Military BAE SYSTEMS capacity and the latest avion- Air Systems Communication Head. ics, the contract said. “We are offering cutting-edge technology • BAE Systems has begun assembly products in a win-win situation for both of us and of the first major components of Indian Army to showcase in this context we consider Eurofighter Typhoon Taranis, the Unmanned Combat Air Manoeuvre Warfare to be a major candidate for the next generation Vehicle that will help the UK MoD Doctrine with IAF multi-role fighter aircraft for the Indian Air Force,” decide on the balance and capabil- Exercise Brazen Chariots, a Zoller said, referring to the proposed deal to ity of its ‘future force mix’. fire and manoeuvre, army- acquire Medium Multi-Role Combat Aircraft for air force, combat exercise STEFAN ZOLLER, CEO, EADS the force. In reply to a query as to whether EADS • BAE Systems has completed will be conducted by one of DEFENCE AND SECURITY, IN would be willing to transfer 100 per cent of its critical fuel testing on the first India’s Desert Formations in A FACE-TO-FACE WITH THE products’ technology to India, as mandated by F-35 Lightning II short take off and the Desert Sector on March INDIAN MEDIA OUTLINED THE India’s Defence Procurement Procedure, Zoller vertical landing variant. Fuel checks 19 and witnessed by foreign EUROPEAN CONGLOMERATE’S observed: “We realise this is a very sensitive sub- involved constant testing, 24 hours dignitaries and Defence EFFORTS TO SECURE ITS POSI- ject for India. We are aware that expectations are a day for 13 days, which checked Attaches of friendly foreign TION IN INDIA high on transfer of technology. There have been the calibration of the aircraft’s fuel countries. The exercise has discussions. There is some way to go and we are gauging systems. been set to project the Ma- optimistic.” Expressing disappointment at the noeuvre Warfare Doctrine, cancellation of the Fennec deal, the EADS CEO said, “We are obviously not pleased to BOEING promulgated in the armed find ourselves out of a deal that we had almost clinched.” forces and seen as a break- Some key defence projects EADS is also looking to develop for India includes • The Boeing Company and Jakarta- away from the traditional missile approach warning systems for all types of military platforms, air-borne early based Lion Air announced an order attritionist approach of the warning and communication system and integrated early warning solutions. To execute for 56 Next-Generation 737-900ER Army. these projects, the EADS has joined hands with the DRDO as well as private firms like (Extended Range) airplanes. This

32 SP’S AVIATION Issue 2 • 2008 NEWSDigest APPOINTMENTS VISION FOR AEROSPACE 2020 QuickRoundUp JOSEPH K. DODD AEROSPACE TODAY Northrop Grumman Corpora- India during the last 40 years has progressed tremendously in order brings Lion Air’s combined tion has appointed Joseph space, missiles and multiple aircraft programmes. From the orders for the 737-900ER to 178. K. Dodd to the post of Vice successful launching of SLV-3 in July 1980, India steadily pro- President Business Develop- gressed to operational capabilities with PSLV and GSLV for Re- • The Boeing Company has been ment and Marketing for the mote Sensing and Communication satellites. India is self-reliant awarded an US Air Force contract Information Technology (IT) in space technology and can offer competitive launch services. to advance the state-of-the-art in sector’s Intelligence group The fruits of space research have started reaching the people laser technology. Boeing will support (TASC). In this role, Dodd will enabling development of the nation. research, design, development oversee business develop- In the missile programme, Prithvi and Agni are operational. Dr A.P.J. Abdul Kalam and testing at Air Force Research ment, capture, proposal, The emergence of Laboratory sites at Kirtland Air Force strategy, and marketing ef- BrahMos—an Indo- Base. EXCERPTS OF FORMER PRESIDENT A.P.J. forts for Northrop Grumman Russian joint venture Supersonic Cruise ABDUL KALAM’S JANUARY 19 L.M. KATRE IT’s Intelligence group. In Missile—is a breakthrough to obtain a • Continental Airlines have an- MEMORIAL LECTURE IN BANGALORE addition to his responsibili- unique capability for long-range precision nounced that it has added 27 ties to grow the business, he strike. The missile programme has given aircraft to its firm order positions will focus on engaging and strength to the nation and BrahMos has at Boeing, including eight new 777 growing new company part- demonstrated its world leadership and the availability for export. NAL flight-tested the 14- and 19 new Next-Generation 737 nerships. seater SARAS and HAL has successfully productionised the Advanced Light Helicopter. (737NG) aircraft. This new order brings Continental’s total firm LT GENERAL JEFFREY B. AEROSPACE TECHNOLOGIES commitments to 111 new Boeing KOHLER Due to various aerospace programmes, multiple state-of-the-art technologies got de- aircraft. The Boeing Company has veloped. Computational Fluid Dynamics (CFD) emerged as core strength for India with named retired US Air Force advanced software codes and super computing capability to optimize configurations • The Boeing Company has Lt General Jeffrey B. Kohler for guided missiles, LCA and launch vehicles. CAD/CAM has become a critical tool in delivered the second KC-767 Tanker Vice President of Interna- Aerospace systems design and manufacturing. to the Itochu Corp. for Japan’s Air tional Strategy for Integrated Self-Defense Force, two weeks after Defense Systems Business AERO VISION 2020—PASSENGER AIRCRAFT delivering the first one. Japan has Development. In this role, The development of passenger aircraft calls for many complex technologies to be mas- ordered four convertible freighter Kohler will develop strate- tered. For example, the improvement of fuel efficiency using unducted fan is a great 767s, providing flexibility in carrying gies to grow the company’s challenge. Identifying international collaborators and partners for joint development of cargo or passengers while maintain- international business while many appropriate technologies at the initial phase itself would be required. This will also ing its primary role as an aerial improving IDS products and increase the potential for marketing in the international scene as well. refueling tanker. services through strengthened partnerships around AEROSPACE MISSIONS & APPLICATIONS—A PERSPECTIVE ELBIT SYSTEMS the world. Beyond 2020, the aerospace world will enter into space industry and space tourism, mining on planets and space habitats. Hypersonic reusable vehicles will offer cost effec- • Elbit Systems’s subsidiary, Cyclone TULSI MIRCHANDANEY tive transportation for space missions. With increasing demand for electric power, many Aviation Products Ltd, was awarded Blue Dart Aviation, India’s nations will depend on Solar Power Satellite (SPS) which could be built in space and a contract by Spirit AeroSystems first and largest domes- launched in geo-stationary orbit. The SPS will become the most cost effective means of to supply doors for commercial tic cargo airline, has an- generating power. Factories on the moon and establishment of space habitat at L4/L5 aircraft. The contract is Cyclone’s nounced the appointment of liberation points will become the missions of the future. largest ever with deliveries sched- Tulsi Mirchandaney as the uled between 2009 and 2016. organisation’s new CONCLUSION Managing Director. Tulsi was Technologies in the field of aeronautics, space and missile are converging. This conver- EMBRAER earlier Senior Vice President gence will lead to a cost-effective high quality design, development and production of Marketing and Projects with the various types of aerospace systems such as: • Embraer have received confirma- Blue Dart Express and has (a) 150-seater passenger jet tion from EgyptAir Holding Company taken over this new (b) Supersonic unmanned combat aircraft for six additional Embraer 170 responsibility from Niteen (c) Hypersonic reusable missile aircraft. Deliveries will begin in Gupte (a former IAF officer). (d) Hyperplane 2009. The original contract covered (e) Planetary missions including manned missions for energy and water. six firm orders and six options which With vast infrastructure and human resource in the aerospace sector India defi- has now been confirmed. formalities and the integra- nitely can launch such missions with international partnership. Nuclear reactors to pro- tion process before joining duce electric power have come out of Atomic Energy Commission, Launch Vehicles and • Embraer and Australia’s Virgin the global grouping of 21 Satellites have come out of space Commission, Strategic missiles have come out of em- Blue Airlines, have signed a contract airlines. Passengers on Air powered Guided Missile Board. Definitely, a National Aeronautics Commission should be to exercise four purchase rights for India’s international network planned and should be given the mandate to design, develop and send it soaring in the EMBRAER 190 jets and to convert will enjoy the benefits of Indian skies, a passenger aircraft. When our Indian Combat aircraft goes into squadron another three into options for the luxury lounges at major air- service and 150-seater aircraft flies, Air Chief Marshal Katre will definitely smile. same model. ports, seamless connections, easy transfers, shared termi- • Embraer has signed Finnair to nals and mileage points. The a new firm order for three more national carrier will be the Canada. All of them together China Southern Airlines EMBRAER 190s. The aircraft will first and only one from India operate nearly 18,000 daily focuses on global growth be configured with 100 seats in a to join Star Alliance, whose flights criss-crossing China Southern Airlines will comfortable dual-class layout and members include big global hundreds of destinations shift its priorities from its the first delivery is scheduled for players Lufthansa and Air across the globe. traditional focus on domestic

Issue 2 • 2008 SP’S AVIATION 33 NEWSDigest INCAT-HAL AEROSTRUCTURES LIMITED LAUNCHED Latest safety management RoundUp system for Indian aviation Quick NCAT, a global leader in engineering services outsourcing and product develop- Indian aviation is likely to ment IT services inked a joint venture in March with Hindustan Aeronautics Limited adopt the internationally 2010. I(HAL) to create INCAT-HAL Aerostructures Limited, in an ambitious move to emerge mandated Safety Manage- the leader in engineering and design of aerostructures. The JV was signed between ment System (SMS) to attain LOCKHEED MARTIN HAL and Tata Technologies, INCAT’s parent company. Both HAL and Tata Technologies optimal operational safety by will contribute 50 per cent to the equity of the JV. The joint venture, based in Banga- 2009. “By January 2009, it • The Dutch joined the F-35 Joint lore, will be the Preferred Delivery Center for both organisations. will be mandatory for all ex- Strike Fighter’s production definition “The global aerospace industry is realising the value of adopting an outsourcing- isting and upcoming airlines phase in 2006. A Dutch MoD release based business model, not simply to achieve cost reductions, but to speed time to to adopt SMS,” Kanu Gohain, indicates that they will participate market while maintaining quality,” said INCAT CEO Warren Harris. “This joint venture, director general of Director- in the multinational Initial Op- leveraging the strengths of both companies, creates an organisation capable of deliv- ate General of Civil Aviation. erational Test & Evaluation (IOT&E) ering outstanding value to clients within the global aerospace market.” National Aviation Services Phase of the JSF programme, rather HAL Director, Corporate Planning and Marketing, M. Fakruddin said, “The objec- in Indian subcontinent than conducting this phase on their tive of this joint venture is to undertake work packages related to engineering design Kuwait’s leading airline own. services in aerostructures and also the captive offshore and on-site work load of both ground handling services partners from aerospace OEMs, including offset programmes.” provider National Aviation • US Air Mobility Command INCAT is a Tata Technologies company. Founded in 1989, the company is a Services recently signed a welcomed the news that defense global leader in engineering services outsourcing and product development IT to the milestone agreement with officials have certified 49 of the Air world’s largest automotive, aerospace and durable goods manufacturers. INCAT is top Indian Ground Handling Force’s C-5 aircraft for upgrade in headquartered in the US (Novi, Michigan), India (Pune) and Germany (Stuttgart). Tata Company ‘Nova Aviation Ser- the Reliability Enhancement and Re- Technologies is headquartered in Singapore. vices’ (NAS) headquartered engining Program (RERP). Continuing “HAL and INCAT are set to capitalise on the global aerospace demand by le- in Mumbai. The agreement the C-5 RERP allows the Air Force veraging their combined core strengths—HAL’s offset business, and INCAT’s global means NAS will provide to modify aircraft with better, newer offshore/on-site engineering business,” observed Patrick McGoldrick, Managing Di- ground support to airlines structures along with defensive rector, Tata Technologies, INCAT’s parent company. at the airports in Mumbai, systems at an overall savings to the Ahmedabad, Nagpur, Indore, taxpayer. Pune and Goa. routes to a more ambitious possibility being studied by NORTHROP GRUMMAN commitment to international Kingfisher Airlines. But King- Air Traffic Control Commu- expansion, Chairman Liu Sha- fisher’s desire to operate under nications Systems upgrade • Northrop Grumman Corporation oyong disclosed on March 10. a single brand is most likely to for India has unveiled a new programme to Last year the airline opened face air pockets with the Civil Northrop Grumman Cor- develop an Active Electronically 10 new international routes Aviation Ministry scrutinising poration’s Europe-based Scanned Array (AESA). The Scalable from Guangzhou. “We plan its overseas plans. subsidiary Park Air Systems Agile Beam Radar will be a full per- to open more international has been awarded a contract formance fire control AESA derived routes starting from Beijing Gulfstream sells first large- from Airports Authority of from proven AESA technology for to New York, London and cabin business jet in China India to provide ground-to- light tactical aircraft. Detroit, and also Guangzhou- Gulfstream has sold its first air communication equip- Moscow by 2012,” Liu said. ment as part of their VHF • The RQ-4 Global Hawk unmanned upgrade programme. Under aerial system (UAS), built by InterGlobe General Aviation the contract, Northrop Northrop Grumman Corporation, cel- opens Hawker Beechcraft Grumman Park Air Systems ebrated the 10th anniversary of its authorised service centre will be providing PAE T6 first flight on February 28, 2008. So Hawker Beechcraft Corpo- Multi-mode Digital Radio far, it has logged more than 20,000 ration, the world’s leading transmitters and receivers total programme flight hours. business, special-mission and with antennas together with trainer aircraft manufacturer, training and spares. PRATT & WHITNEY and its partner InterGlobe General Aviation (P) Limited, Parliamentary panel • Air Caraibes has selected Pratt a subsidiary of InterGlobe against closure of existing & Whitney PW4000-100 engines to Enterprises, have opened airports power three new Airbus A330-300 a new Hawker Beechcraft A parliamentary standing aircraft. The engines will be backed Authorised Service Centre for committee on transport and by a 10-year comprehensive fleet Hawker aircraft at the Indira tourism has recommended management programme provided Gandhi International Airport large-cabin business jet that the existing airports in by Pratt & Whitney Global Service in Delhi. This is the first aircraft in China with the Hyderabad and Bangalore Partners. authorised service centre for recent multi-aircraft sale of should be kept open even Hawker jets in India. three mid-range G350s and after the new ones come up. ROCKWELL COLLINS one ultra-long-range G550 to The state-run airports are Kingfisher likely to ground Hainan Airlines Group. The to be closed under the pacts • The Polish Air Force has selected Deccan brand after merger four aircraft will be used as the government signed with the Rockwell Collins F-16C Modular As the completion of Vijay Mal- charter aircraft by Deer Jet, the developers of the new Simulated Aircraft Maintenance lya-owned Kingfisher Airlines a wholly owned subsidiary of airports. The committee, Trainer for the training of the and Captain G.R. Gopinath- Hainan Airlines Group. This which tabled its report in aircraft’s maintenance personnel. conceived Deccan Aviation aircraft order marks the first Parliament on March 6, is The trainer is to be delivered in April moves closer, the common fleet purchase for Beijing- categorical that the logic for 2008. man’s (Air) Deccan brand based Deer Jet. the closure of these airports could fly into oblivion. It’s a does not hold.

34 SP’S AVIATION Issue 2 • 2008 NEWSDigest SHOW CALENDAR CIVIL AVIATION IN INDIA & THE NEW BUDGET QuickRoundUp 31 March-1 April ver the last year or so, a dynamic growth was witnessed in the nation’s aviation AIR SURVEILLANCE AND industry with news from the industry regularly grabbing headlines. In contrast, RAYTHEON RECONNAISSANCE 2008, Omedia coverage on the aviation aspects of the Budget was a lifeless squeal. LONDON, UK Indeed, there was not much to talk about. Buried in 187 paragraphs, only one sen- • Raytheon Company’s United Organisers: IQPC tence in the entire Budget speech referred to aviation—and it did not concern the air Kingdom-based subsidiary has been Email: [email protected] traveller but the import of helicopter simulators. awarded a contract to support the URL: www.iqpcevents.com Aviation industry’s expectations from the Budget remained largely unfulfilled by integration and flight trials of the Finance Minister P. Chidambaram’s proposals in his Budget speech. One of the basic Paveway IV dual mode precision- 8 April-10 April expectations and indeed clamouring demands of the industry had been rationalisa- guided bomb with the UK Royal Air AIRPORT EXPO 2008, tion of taxes related to Aviation Turbine Fuel (ATF) so as to bring the fuel cost to Force Tornado GR4/4A. MANDALAY BAY RESORT & international levels and to relieve the airlines and the travellers form an oppressive CASINO, LAS VEGAS, USA tax burden. At present, sales tax levied on ATF sales to airlines stands between 4 per • Raytheon Systems Limited is Organisers: Mack Brooks cent and 30 per cent, depending on which state the fuel is uploaded. The Finance under contract to integrate Paveway Exhibitions Minister proposed no such tax cut. The second whammy came a day after the Budget IV on all UK strike platforms, includ- Email: inquiries@airportexpo speech, when oil PSUs raised the ATF prices by over 5 per cent. As a result, the cost of ing Harrier GR9/9A (successfully 2008.com ATF in Mumbai—the industry’s backyard—has gone up to Rs 48,655 a litre. completed in August 2007), F-35B URL: www.airportexpo2008. Both print and the electronic media as also the stock and mutual fund markets Lightening II (Joint Combat Aircraft), com are reverberating with the buzzword ‘infrastructure’. The Airports Authority of India and Eurofighter Typhoon. (AAI) has proposed an outlay of Rs 12,434 crore during the ongoing Eleventh Plan 22 April-23 April period (ending FY 2011-2012) for the development of infrastructure at airports. The SAFRAN 7TH ANNUAL section of the Finance Minister’s speech on infrastructure did not feature the word INTERNATIONAL MILITARY ‘aviation’—a cause for some misgiving. Anomalously, the investment plan for AAI has • An electric brake has been suc- HELICOPTER CONFERENCE, increased from the last FY’s Rs 1,961 crore to Rs 3,377 crore. The basic customs duty cessfully tested for the first time in ONE WHITEHALL PLACE, on project imports has, however, been reduced from 7.5 per cent to 5 per cent even the world on a commercial jetliner, LONDON, UK as the service tax base has been broadened to include six new services. an Airbus A340-600. This electric Organisers: DefenceIQ Para 139 of the Budget speech read thus: “To facilitate training of helicopter brake technology was developed by Email: elizabeth. pilots, I propose to remove the duty on helicopter simulators.” While media hailed Messier-Bugatti, a SAFRAN Group [email protected] this as a cause for cheer for the rotary wing community, sceptics point out that the company, through a joint demon- URL: www.iqpc.com/uk/mh/ only foreseeable import of a helicopter simulator in this FY is that by HATSOFF—the stration program with Airbus called ediary CAE-HAL joint venture coming up in Bangalore. One piece of good news could be the Electrically Actuated Braking System. exemption of duty from the cold chain facilities (network for procurement, warehous- 22 April-24 April ing, transportation and retailing of food products under controlled temperatures) SIKORSKY AEROSPACE 2008: above two tonne refrigeration capacity and utilising 50 KW and above of power. THE WAY FORWARD, by Group Captain A.K. Sachdev • Evergreen Helicopters, Inc., a NO. 4 HAMILTON PLACE, subsidiary of Evergreen International LONDON, UK Aviation, Inc., has signed contracts Organisers: Royal Aeronauti- ful liftoff of Space Shuttle to the station. As ISS prime for four S-76C++ helicopters, the cal Society Atlantis, the Boeing Company contractor, Boeing participat- model of the proven S-76 workhorse Email: [email protected]. and NASA have started 2008 ed in design and verification currently in production from Sikorsky. uk with renewed focus follow- reviews to ensure that Co- The helicopters will serve in a variety URL: www.aerosociety.com/ ing three successful missions lumbus works properly with of missions including offshore oil, conference last year for the shuttle and the Harmony utility module, utility, emergency medical service, International Space Station the connecting point for the and search and rescue. (ISS) programmes. The ISS research laboratory received its newest addi- SUKHOI AVIATION Europe tion when the STS-122 crew CORPORATION delivered the European Space INDUSTRY Demand for 24,300 aircraft Agency’s (ESA) Columbus • Russia has delivered four Su-30 in next 20 years: Airbus Research Laboratory, ESA’s Asia-Pacific MKM fighter planes to Malaysia According to its latest Global largest on-orbit contribution under a contract signed in 2003, Market Forecast, Airbus Boeing and Tata Industries under which Malaysia will receive a foresees a demand for some to set up JV in India total of 18 Su-30MKM fighters by the 24,300 new passenger and The Boeing Company and end of 2008. The first six aircraft were freighter aircraft between Tata Industries Limited of delivered in 2007. now and 2026. The grow- India have agreed on a plan to ing demand will result in an form a joint venture company THALES average annual delivery of for defence related aerospace some 1,215 aircraft, up from component work in India for • Thales has been awarded the title of the previously forecast 1,130. export to Boeing and its in- Australia’s top defence contractor for ternational customers. Under 2007 at the 5th Annual Australian De- the agreement, the company fence Magazine Congress. Thales has SPACE will be established by June enjoyed another successful year that 2008. Manufacturing capa- included delivering world-class APEC Americas bilities established within the accreditation and security systems, company would later be lever- order for 399 additional Bushmaster Boeing, NASA herald 2008 aged across multiple Boeing vehicles, and delivering the simulator with Atlantis liftoff programmes, including India’s for the AIR 87 Tiger helicopter. With February 7 success- proposed MMRCA deal.

Issue 2 • 2008 SP’S AVIATION 35 LASTWord BIAL:

DeliveryProtracted Commissioning of Bangalore’s international airport has acquired political overtones with the UPA and the NDA in a PHOTOGRAPH: SP GUIDE PUBNS silent tug-of-war for mileage

world class international airport for the Silicon Val- on schedule. ley of India was officially conceived in 1991. Initially, During the last few years, the political establishment in the the airport was to be located on Mysore road some state, somewhat preoccupied with internal turmoil, has not 30 km from Bangalore. However, reportedly on ac- had the time to focus on mundane issues such as airport con- Acount of vested political interests, the venue was later shifted nectivity. Now, in the absence of an elected government, the to Devanhalli on Hyderabad highway (NH7). bureaucracy has been left holding the baby. From the flurry Delays and difficulties have persistently dogged the proj- of activity, it appears the alarm button has been pressed and ect ever since its conception. After a decade of uncertainty, the existing road links to Devanhalli area are being upgraded the process finally made some headway with Siemens-Zurich on a war footing. Magic Box underpass is being introduced at Airport-led consortium winning the contract in October 2001. a number of choke points along the Bellary Road to facilitate It took another four years for construction to begin and the traffic movement from the city centre to Hebbal flyover. How- date of inauguration was stipulated as March 30, 2008. Half ever, these measures are only quick-fix solutions for the short way through the construction, when it became evident that term. growth of passenger traffic had overtaken the planned capac- The Railway Ministry, which was to provide a high speed ity, the Ministry of Civil Aviation suggested suitable upgrade rail link, has suddenly dissociated itself, refusing to shoulder for Phase I, pointing out a number of other inadequacies in the responsibility. It is rather strange that the definition of re- the design. Midway, Bangalore International Airport Limited sponsibility for a crucial facility should appear fuzzy so close (BIAL) rehashed plans, incorporating all the suggestions from to project termination deadline. In the meantime, the demand the ministry without any change in the date of inauguration. for keeping the HAL airport in operation from different seg- This was a matter of prestige for BIAL. ments of the society has been gathering steam. Curiously Now, with the inauguration just days away, it comes to light enough, airport employees unions have jumped into the fray that the airport will not be ready by then after all. On March 7, resorting to strike demanding that operations at HAL airport the ministry rescheduled the inauguration for May 11. While be continued. Apart from defying logic, their locus standii over 59 points for correction has been observed by the ministry, this issue itself is open to question. the stated reason is lack of readiness of the Air Traffic Man- There is, however, another aspect to this sordid episode agement System which includes installation, commissioning, that warrants scrutiny. Like many other issues of public con- calibration and trial of Radio Beacons, Radars, Instrument cern, commissioning of BIAL has acquired political overtones Landing Systems and Communication Facilities. Positioning, with the two major political entities, the UPA and the NDA, familiarisation and training of personnel with the air traffic in a silent tug-of-war for mileage. The Congress is castigating management system and procedures is also to be completed the NDA for entering into a flawed agreement that involved before the airport is cleared by the Directorate General Civil decommissioning of existing infrastructure. This is clearly Aviation for all weather operations. against national interest. The NDA is also being accused of ne- To date, the major problem frequently debated in the pub- glect, both at the central and state levels, of the vital aspect of lic domain was the issue of high-speed connectivity. While the efficient connectivity. With the elections in Karnataka due in airport was taking shape with Swiss precision, there was no the near future, it may be in the interest of the political parties sign of progress on the expressway or high-speed rail link. aspiring for power not to alienate vote banks over this issue. By early 2007, when it had become abundantly clear that We will do well to remember that in the Indian system, political the agencies responsible to provide connectivity had nothing expediency is often the overriding consideration. Two decades to show, BIAL undertook as a part of the airport project, the ago, the Prime Minister of one of the Asian Tigers had observed responsibility to construct a Trumpet Flyover at the nearest that India was much too democratic to progress quickly. BIAL point on NH7 and the link road to the airport. Despite impedi- CEO Albert Brunner had certainly not bargained for this! SP ments, BIAL is hopeful to have this part of the work completed — Air Marshal (Retd) B.K. Pandey

36 SP’S AVIATION Issue 2 • 2008 ��

2007 �� 2008

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