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Boeing scraps 2019 financial forecast, halts share buybacks in wake of 737 MAX disaster

April 24, 2019 by Forimmediaterelease

World’s biggest aerospace corporation was forced to pull its full financial forecast for the current year due to unresolved issues surrounding Boeing’s once best-selling 737 MAX aircraft.

Boeing also announced plans to pause share buybacks, citing “a challenging time for our customers, stakeholders and the company.”

“Across the company, we are focused on safety, returning the 737 MAX to service, and earning and re-earning the trust and confidence of customers, regulators and the flying public,” Boeing Chairman and CEO Dennis Muilenburg said in a statement.

The manufacturer had previously posted a report on the first-quarter earnings that managed to fall in line with analysts’ expectations, while its revenue was slightly less than projected. Boeing’s earning per share totaled the expected $3.16 from January through March, while the revenue amounted to $22.92 billion against $22.98 billion forecasted by London-based provider of financial markets data Refinitiv.

Boeing stressed that the previous guidance didn’t reflect the impact of two crashes of the company’s flagship planes, leading to the grounding of all 737 MAX 8 jets by global regulators, lawsuits from some air carriers and a decline in market value.

According to the producer, more than 135 test and production flights of updated software for the 737 MAX have been carried out so far.

Boeing’s bestseller crashed on March 10 not far from the Ethiopian capital of Addis Ababa six minutes after takeoff on the way to Nairobi, Kenya. The tragedy, which killed 157 people, marked the second crash involving the same jet model in less than six months. In October, the same type of aircraft, operated by Indonesia’s Lion Air, crashed in the Java Sea shortly after takeoff, claiming the lives of 189 people.

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‘Stable genius’ Trump to Boeing: Add ‘some great features’ & rebrand 737 MAX

April 15, 2019 by Forimmediaterelease

President Trump offered some unsolicited advice to aviation giant Boeing on how to tackle the problems with its Boeing 737 MAX model after worldwide grounding. The presidential wisdom fit into a single tweet.

The self-declared “very stable genius” bragged on Monday that his knowledge of branding helped him become president, and revealed what he would do if he “were Boeing.”

“I would FIX the Boeing 737 MAX, add some additional great features, & REBRAND the plane with a new name,” Trump said. “No product has suffered like this one. But again, what the hell do I know?”

Boeing is struggling to turn the tide for the popular model which was universally grounded after two crashes left a total 346 people dead and were apparently caused by the same faulty anti-stall system. The producer is accused of cutting corners to fast-track the passenger jet to the market and failing to properly train pilots on how to deal with malfunctions.

Trump complained last month about the level of automation on modern aircraft, saying the planes require “scientists from MIT” to pilot.

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American Airlines to keep its Boeing 737 MAX jets grounded until August

April 14, 2019 by Forimmediaterelease

American Airlines has chosen to keep its fleet of Boeing 737 MAX grounded until at least August 19, even if it means canceling 115 flights a day in summer season, as probes into the troubled jet continue and new sales have frozen.

The company, which owns 24 of the embattled jets that were involved in two recent deadly crashes, announced the decision in a letter to employees and customers. AA wants to ensure reliability “for the peak travel season and provide confidence to our customers and team members when it comes to their travel plans,” Chief Executive Doug Parker and President Robert Isom wrote.

The 737 MAX 8 airliners were grounded worldwide after a fatal crash of an Ethiopian Airlines flight, which killed 157 people on board. The incident came months after a crash of the same model operated by Lion Air was apparently linked to the same faulty flight control system.

Parker and Isom have at the same time expressed confidence in Boeing’s ability to fix the problem through software updates and changes to pilot training procedures. The US airline has 24 MAX planes in its fleet and is expected to get 16 more delivered this year. The grounding has already resulted in the cancelation of about 90 flights per day through early June, and the extension may put a strain on American’s ability to meet demand for seats during upcoming peak travel season. As many as 115 daily flights will have to be canceled in August, according to the letter.

The crashes have left Boeing open to criticism over the way it certified the fast-selling model, conducting some of the tests in-house with the permission of the Federal Aviation Authority. Critics say the producer cut corners to fast-track the new model to the market, compromising flight safety as a result.

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Plane spotted in California has the size of a football field

April 14, 2019 by Forimmediaterelease

The world’s largest airplane made its first test flight on Saturday in California.

Stratolaunch Systems Corporation, founded by Paul G. Allen, today successfully completed the first flight of the world’s largest all-composite aircraft, the Stratolaunch. With a dual fuselage design and wingspan greater than the length of an American football field, the Stratolaunch aircraft took flight at 0658 PDT from the Mojave Air & Space Port.

Achieving a maximum speed of 189 miles per hour, the plane flew for 2.5 hours over the Mojave Desert at altitudes up to 17,000 feet. As part of the initial flight, the pilots evaluated aircraft performance and handling qualities before landing successfully back at the Mojave Air and Space Port.

“What a fantastic first flight,” said Jean Floyd, CEO of Stratolaunch. “Today’s flight furthers our mission to provide a flexible alternative to ground launched systems. We are incredibly proud of the Stratolaunch team, today’s flight crew, our partners at Northrup Grumman’s Scaled Composites and the Mojave Air and Space Port.”

The test team conducted standard aircraft testing exercises. Initial results from today’s test points include:

  • Performed a variety of flight control maneuvers to calibrate speed and test flight control systems, including roll doublets, yawing maneuvers, pushovers and pull-ups, and steady heading side slips.
  • Conducted simulated landing approach exercises at a max altitude of 15,000 feet mean sea level.

The Stratolaunch aircraft is a mobile launch platform that will enable airline-style access to space that is convenient, affordable and routine. The reinforced center wing can support multiple launch vehicles, weighing up to a total of 500,000 pounds.

“We all know Paul would have been proud to witness today’s historic achievement,” said Jody Allen, Chair of Vulcan Inc. and Trustee of the Paul G. Allen Trust. “The aircraft is a remarkable engineering achievement and we congratulate everyone involved.”

It landed safely back at the Mojave Air and Space Port as a crowd of hundreds of people cheered.



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Marriott’s Arne M. Sorenson named 2019 CEO of the Year

April 10, 2019 by Forimmediaterelease

Chief Executive magazine announced today that Arne M. Sorenson, the President and Chief Executive Officer of Marriott International, has been named 2019 Chief Executive of the Year by his peer CEOs.

“He’s a global leader, a man with a conscience, a person who connects with his people,” said Fred Hassan, the former Chairman of Bausch & Lomb and Partner at Warburg Pincus, and a member of this year’s selection committee.

“I have tremendous respect for Arne Sorenson, for his global leadership and for his outstanding track record amid a very challenging marketplace,” said Marillyn A. Hewson, the Chairman, President and CEO of Lockheed Martin Corporation and 2018 CEO of the Year, who also served on the selection committee.

Mr. Sorenson joined Marriott in 1996 and held a number of positions before serving as President and Chief Operating Officer. He became Chief Executive Officer in 2012, the first person to hold the post without the Marriott family name.

Since becoming CEO, Mr. Sorenson has led a vast expansion of the business, including the acquisition of Starwood Hotels & Resorts Worldwide in 2016. The company now has more than 7,000 properties across 130 countries and territories and 30 brands. An outspoken corporate leader, he has advocated for environmental sustainability, a more open, safe and inclusive workplace, and a welcoming culture around the world.

“I am deeply honored by this tremendous recognition, and I thank my peer CEOs for the nomination,” said Mr. Sorenson. “I stand on the shoulders of an icon, Bill Marriott, and the 730,000 people around the world who wear a Marriott name badge. Together, we work each day to uphold a legacy of creating opportunities—for our guests, our associates and the local neighborhoods where we operate.”

The selection committee cited Sorenson’s outstanding performance running one of the most complex, global businesses in the world in the face of daunting cultural and technological change.

“There are few people who have driven innovation in the way that Arne has and…been able to lead such a large organization, and to be able to keep them focused on excellent execution and also the responsibilities that they have for each other, the environment and on social issues,” said Neal Keating, President and CEO, Kaman.

Over the past 33 years, Chief Executive of the Year winners have been a who’s who of American business leadership, including Bill Gates, Jack Welch, Michael Dell, A.G. Lafley, John Chambers, Bob Iger, Anne Mulcahy, Larry Bossidy, Andy Grove and Herb Kelleher, among others.

The Chief Executive of the Year was selected by a committee of distinguished peer CEOs in a meeting held in March at the Nasdaq MarketSite. The 2019 committee consists of Marillyn A. Hewson (Chairman, President and CEO of Lockheed Martin Corporation), Dan Glaser (President and CEO, Marsh & McLennan), Neal Keating (President and CEO, Kaman), Fred Hassan (former Chairman, Bausch & Lomb; Partner, Warburg Pincus), Tamara Lundgren (President and CEO, Schnitzer Steel), Max H. Mitchell (President and CEO, Crane Co.), Bob Nardelli (CEO, XLR-8), Tom Quinlan III (Chairman, President and CEO, LSC Communications), Jeffrey Sonnenfeld (CEO, The Yale Chief Executive Leadership Institute) and Mark Weinberger (Global Chairman and CEO, EY Global). Ted Bililies, Ph.D., Chief Talent Officer, Managing Director, AlixPartners, is the exclusive advisor to the 2019 Selection Committee.

Sorenson’s selection as 2019 CEO of the Year will be celebrated at an invitation-only event hosted by Chief Executive Group at the Nasdaq MarketSite in New York in late July.

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Travel Oregon’s “Only Slightly Exaggerated” campaign

April 6, 2019 by Forimmediaterelease

Inspired by the viral success of the “Only Slightly Exaggerated” campaign last spring, Travel Oregon is launching part two of the animated campaign that gives viewers a creative glimpse of the magical feeling of being in Oregon.

The new 1:45 minute video continues the visual narrative, showcasing different locations, experiences and thrilling adventures in Oregon—from venturing deep into the Oregon Caves National Monument to paragliding over the Steens Mountain. Like the original, this new video features a cast of animated human characters, native flora and fauna and new fantastical beings, including mystical cloud-people and a sea-stack creature, to name a few.

In addition to the sweeping outdoor animated imagery highlighted in the video, the viewer also gets a taste of Oregon’s culinary bounty. In the restaurant scene, look for the bottle of Oregon Solidarity wine, a nod to the real-life collaboration between four Oregon wineries who came together to help the Rouge Valley wine region that was affected by the Southern Oregon wildfires last summer.

“The goal of this campaign is to welcome and invite everyone to experience a happier state of being while traveling in Oregon,” said Travel Oregon CEO Todd Davidson. “As people are overwhelmed with the distractions of modern life, experiencing the wonders of Oregon can be the answer for that. Whether that respite is on a beach, in a high desert or under a forest canopy, there are abundant opportunities to unplug and reconnect with yourself and nature here in Oregon.”

The campaign launches tomorrow in the target markets of Portland, Seattle, San Francisco, Boise, Tri Cities, Eugene and Bend. The media buy includes cinema, TV (launching during Final the Four), digital, billboards and on MAX Light Rail trains. Moreover, the campaign will be extended throughout the year through our annual visitor guide, downloadable wallpapers, posters, postcards, GIFs, shorter animation clips, and immersive new online content highlighting locations in the campaign that travelers can visit—the Oregon Caves, Steens Mountain and Clear Lake to name a few.

Utilizing the strong creative teams from the 2018 campaign, which generated more than 10 million worldwide views, the new video was brought to life in collaboration with long-time advertising partner Wieden+Kennedy with animation by Psyop and Sun Creature Studios and the musical score composed by Jim Dooley.

“Our goal with Only Slightly Exaggerated, both last year and this year, is to visualize the emotional experience of visiting Oregon. By using animation, we are able to capture experiences that go beyond traditional travel films, while also feeling unique to our state, said Ansel Wallenfang, creative at Wieden+Kennedy.

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Boeing CEO: Safety is our responsibility, and we own it

April 5, 2019 by Forimmediaterelease

Boeing CEO Dennis A. Muilenburg issued the following statement in response to its 737 Max software, production:

As we work closely with customers and global regulators to return the 737 MAX to service, we continue to be driven by our enduring values, with a focus on safety, integrity and quality in all we do.

We now know that the recent Lion Air Flight 610 and Ethiopian Airlines Flight 302 accidents were caused by a chain of events, with a common chain link being erroneous activation of the aircraft’s MCAS function. We have the responsibility to eliminate this risk, and we know how to do it. As part of this effort, we’re making progress on the 737 MAX software update that will prevent accidents like these from ever happening again. Teams are working tirelessly, advancing and testing the software, conducting non-advocate reviews, and engaging regulators and customers worldwide as we proceed to final certification. I recently had the opportunity to experience the software update performing safely in action during a 737 MAX 7 demo flight.  We’re also finalizing new pilot training courses and supplementary educational material for our global MAX customers. This progress is the result of our comprehensive, disciplined approach and taking the time necessary to get it right.

As we continue to work through these steps, we’re adjusting the 737 production system temporarily to accommodate the pause in MAX deliveries, allowing us to prioritize additional resources to focus on software certification and returning the MAX to flight. We have decided to temporarily move from a production rate of 52 airplanes per month to 42 airplanes per month starting in mid-April.

At a production rate of 42 airplanes per month, the 737 program and related production teams will maintain their current employment levels while we continue to invest in the broader health and quality of our production system and supply chain.

We are coordinating closely with our customers as we work through plans to mitigate the impact of this adjustment. We will also work directly with our suppliers on their production plans to minimize operational disruption and financial impact of the production rate change.

In light of our commitment to continuous improvement and our determination to always make a safe industry even safer, I’ve asked the Boeing Board of Directors to establish a committee to review our company-wide policies and processes for the design and development of the airplanes we build.  The committee will confirm the effectiveness of our policies and processes for assuring the highest level of safety on the 737-MAX program, as well as our other airplane programs, and recommend improvements to our policies and procedures.

The committee members will be Adm. Edmund P. Giambastiani, Jr., (Ret.), former vice chairman, U.S. Joint Chiefs of Staff, who will serve as the committee’s chair; Robert A. Bradway, chairman and CEO of Amgen, Inc.; Lynn J. Good, chairman, president and CEO of the Duke Energy Corporation; and Edward M. Liddy, former chairman and CEO of the Allstate Corporation, all members of the company’s board. These individuals have been selected to serve on this committee because of their collective and extensive experiences that include leadership roles in corporate, regulated industries and government entities where safety and the safety of lives is paramount.

Safety is our responsibility, and we own it. When the MAX returns to the skies, we’ve promised our airline customers and their passengers and crews that it will be as safe as any airplane ever to fly. Our continued disciplined approach is the right decision for our employees, customers, supplier partners and other stakeholders as we work with global regulators and customers to return the 737 MAX fleet to service and deliver on our commitments to all of our stakeholders.

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New Ethiopian crash report: What happened in the final moments?

April 3, 2019 by Forimmediaterelease

The newest report that broke overnight about the Ethiopian airline crash states that the pilots initially followed Boeing’s emergency procedure before the fatal crash.

The report suggests that the pilots did turn off the automatic pilot system when the aircraft first took a nose dive, but then for some reason, they turned it back on. The fatal crash followed.

The procedure is for the pilots to turn off 2 switches which turns off the electricity to the auto pilot system. They then have to manually level out the aircraft using a wheel in the cockpit controls.

It is not known why they decided to turn the auto pilot system back on.

Boeing has a software fix they were expecting to file this past Friday, but this has now been delayed for possibly 4 weeks or even longer.

This means that American Airlines and Southwest Airlines, the two major airlines that fly the 737 Max planes, will continue to have to cancel flights.

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Xtra Aerospace in Florida also responsible for Boeing 737 Max crash?

April 3, 2019 by Forimmediaterelease

Our purpose is to ensure each flight is safe and cost-effective every day. This is the message on the Xtra Aerospace website. The Xtra Aerospace states their maintenance division can provide optimal maintenance to all of the unique aviation needs.

Xtra Aerospace may have been very much off on this goal when in Indonesia a Lion Air Boeing 737 MAX crashed after it was repaired in a U.S. aircraft maintenance facility and the so-called angle-of-attack sensor was replaced. This sensor sent erroneous signals causing repeated nose-down movements on the Oct. 29 flight that pilots struggled with until the Boeing Max plunged into the Java Sea. Everyone on board, 189 people were killed.

XTRA Aerospace is an FAA/EASA/ANAC certified repair station located in Miramar, Florida, USA.

Documents obtained by Bloomberg News show the repair station, XTRA Aerospace Inc. in Miramar, Fla., had worked on the sensor. It was later installed on the Lion Air plane on Oct. 28 in Bali, after pilots had reported problems with instruments displaying speed and altitude. There’s no indication the Florida shop did maintenance on the Ethiopian jet’s device, according to Bloomberg.

Xtra Aerospace states: ” We specialize in the repair of instruments, radio & mechanical/electrical accessories. XTRA offers extensive capabilities servicing the A300, A320 family/A330/A340 and Boeing 737 thru 777. We are proud to serve the world’s top airlines and suppliers with one goal… complete customer satisfaction.

XTRA Aerospace welcomes the U.S. Government. XTRA is DD2345 certified to obtain military critical technical data. XTRA’s cage code is 5FWE2 and we look forward to helping you with all your sourcing and repair needs.”

U.S. teams assisting the Indonesian investigation reviewed the work by the company to ensure that there weren’t additional angle-of-attack sensors in the supply chain with defects, said a person familiar with the work. They didn’t find any evidence of systemic issues on other sensors the company may have worked on.

Bloomberg states in their article:

“Much of the concern by regulators and lawmakers after the Lion Air and Ethiopian Airlines crashes has focused on Boeing’s design of the Maneuvering Characteristics Augmentation System, or MCAS, which was programmed to push down a plane’s nose to help prevent aerodynamic stalls in some situations. But the preliminary report by Indonesia on the Lion Air crash shows that maintenance and pilot actions are also being reviewed.

It’s common for licensed repair stations to overhaul older parts so they can be resold, said John Goglia, a former member of the NTSB who earlier worked as an airline mechanic. Airlines can save money buying used parts and U.S. regulations require that the parts meet legal standards, Goglia said.

If the sensor was repaired at XTRA Aerospace, “it would have to go through what the manual says to overhaul it,” he said. “That means all the steps.”

The Indonesian preliminary report doesn’t say what went wrong with the device but indicates that the plane’s maintenance is a subject of the investigation.”

The Ethiopian Airlines 737 Max that crashed on March 10 also apparently had issues with the same type of sensor, which triggered a safety system on the plane that was driving down the plane’s nose, according to people familiar with the accident. In that case, investigators are still attempting to locate one of the sensors to help determine why it malfunctioned.

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Confirmed: Auto anti-stall system on before Ethiopian Max jet crash

March 29, 2019 by Forimmediaterelease

It has been confirmed that investigators have determined the automatic anti-stall system as activated before the Ethiopian Airlines Boeing 737 Max jet crash.

This initial determination is based on information from the aircraft’s data and voice recorders, which shows that the malfunctioning automated system may be responsible for the deadly March 10 crash.

This preliminary determination was made known during a briefing at the US Federal Aviation Administration (FAA) yesterday. It is also known that the auto anti-stall system was activated on the Indonesian Lion Air 737 Max jet crash.

The preliminary findings could be revised, but right now they point to the system, called MCAS (or Maneuvering Characteristics Augmentation System) as the potential cause of both crashes. Regulators say the Ethiopian Airlines Max jet followed a similar flight path to the Lion Air flight, including erratic climbs and descents before crashing minutes after takeoff.

The MCAS system is designed to automatically point the nose of the jets down if it senses potential for a loss of lift, or aerodynamic stall. Aircraft can lose lift from the wings and fall from the sky if the nose points too high. The system also makes the Max fly similarly to older generations of Boeing’s 737, negating the need for a lot of added pilot training.

Boeing is working on a software update to the auto anti-stall system so that the nose will point down only once instead of around 21 times as happened in the Lion Air crash making it easier for pilots to override it.

Ethiopian officials are expected to release their preliminary report soon.

The 737 Max 8 has been grounded worldwide due to the crashes as Boeing works on an update to its software to make the planes safer.

Travel News | eTurboNews

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