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Regional Jets - Taxiing Slowly but Steadily

Issue: 03-2011By R. Chandrakanth

India’s fleet will grow to 650 units by 2029. India is predicted to take 600 deliveries, representing 36 per cent of the total deliveries within the Asia-Pacific region.

In 2010, regional jet deliveries were considerably affected. The first quarter of 2011, however, is coming to a close on a more optimistic note. The celebratory reception of Mitsubishi Aircraft Corporation for Trans States Holdings (TSH) of the US on February 1 for having executed a definitive purchase agreement for 100 next-gen Mitsubishi Regional Jet (MRJ) is something to cheer about. The MRJ, a family of 70 to 90 seat configuration, has entered the manufacturing phase and its first flight is scheduled in 2012.

“We are the first airline outside Japan to purchase this exciting new aircraft, and we will be the first to place it into service in the US. We believe that the MRJ is a game-changing regional jet with its incredibly fuel efficient next-generation Pratt & Whitney “PurePower” gearedturbofan engines, together addressing the vital needs of the environment, as well as the critical needs of passengers and airline operators. The MRJ will reduce fuel consumption, noise and NOx emissions—this means savings on operating costs. By combining the largest cabin in the regional jet market with the innovative seat design and very quiet cabin, we will be able to offer our passengers the best comfort of any regional jet,” said TSH President Richard A. Leach.

By featuring state-of-the-art aerodynamic design, noise analysis technologies and a game-changing engine, the MRJ is expected to significantly cut fuel consumption, noise and emissions, consequently improving airline competitiveness and profitability. The MRJ will have a four-abreast seat configuration, large overhead bins, and feature an innovative slim seat offering heightened passenger comfort. With these features, the MRJ is going to add to airline competitiveness and profitability.

SpiceJet orders Bombardier

Closer home, budget carrier SpiceJet has announced that its regional services will be launched in the next couple of months, for which it has ordered 15 Bombardier Q400. The delivery plans are eight aircraft this year and the rest in 2012. The strategy is to operate on 16 non-metro routes, a market which is opening up like nowhere. Aviation analysts have projected that air traffic from non-metro airports will increase to 45 per cent from the current 30 per cent in the next 10 years. The potential is about 300 million passengers on these routes. SpiceJet has tied up with US Exim Bank for funding the regional jet aircraft plans, requiring close to $450 million (Rs. 2,025 crore) SpiceJet has 15 aircraft on option too. And Bombardier is hoping further improvement globally though market signs are still weak. Bombardier delivered 97 commercial aircraft, compared to 121 for the previous fiscal year. The delivery guidance for 2011 is about 90 units.

“With a comprehensive portfolio of products, we believe our fundamentals are strong in the long-term for both the business and commercial aircraft markets,” said Guy C. Hachey, President and Chief Operating Officer, Bombardier Aerospace. “The aviation industry is cyclical by nature and Bombardier’s long history of success is attributable to our ability to face each challenge head-on, focus on the things we can control and put our plans into action,” continued Hachey, “Over the past years, we have taken significant steps to strengthen our operations and continue to invest in our future programmes. By meeting the challenges of today and setting our sights on the future, we believe we are creating a loyal customer base for our products and services, and will emerge from this difficult environment a stronger and more efficient company.”

Bombardier is focusing on a new 90- to -100-seat regional jet and reports are that it is contemplating a possible stretch of the 86-seat CRJ900, along with a longer variant of the 78-seat Q400 turboprop.

On Indian market trends, Trung Ngo, Vice President, Asia-Pacific Sales, Bombardier Commercial Aircraft, has said that the Indian market fared prominently in Bombardier Commercial Aircraft’s market forecast. “In the next 20 years (2010-2029), we envision India is a key driver of economic growth in the Asia-Pacific region with a GDP growth rate of 6.3 per cent over the next 20 years. From a small 20- to 149-seat fleet base of 120 units, India’s fleet will grow to 650 units by 2029. India is predicted to take 600 deliveries, representing 36 per cent of the total deliveries within the Asia-Pacific region.”