(Aircraft) Limited
Transcription
(Aircraft) Limited
no. 24 january 2004 news and update by Satair - a leading company within aircraft parts distribution Satair’s OEM division strengthened by the acquisition of the distribution business of Lentern (Aircraft) Limited 2 Editorial 4 Finn Ytting B/E Aerospace reduces lead-time by 50% ! 6 Satair Hardware The acquisition of Lentern (Aircraft) Limited Full Face Mask to Gulfstream operators IPP’s supplier base continues to expand ! Satair appointed distributor for Sirio Panel S.p.A. Satair appointed distributor for Luminescent Systems Inc. 5 Champion Aerospace Inc. introduces a new and improved PW100 igniter Champion expands its product distribution with Satair Satair at NBAA Quiz! Lights, camera, peanuts! Only at Southwest Aisian Aerospace 2004 Down under 3 8 Aircraft Interiors Expo 2004 7 Kim goes for the direct approach Rivetless nut plate editorial no. 24 january 2004 Publisher: Satair A/S, Copenhagen, Denmark E-mail: satelite@satair.com Editor: Camilla Schuricht Design & Layout: Relevans Print: JP Trykservice A·S Circulation: 12,000 Satelite is published twice a year by Satair. All rights reserved. No part of this publication may be reproduced, stored in retrieval system or transmitted, in any form or by any means, without prior written permission by the publisher. SATAIR A/S Amager Landevej 147A 2770 Kastrup, Denmark Phone: Fax: AOG Service: SITA: +45 3247 0100 +45 3251 3434 +45 4040 1224 CPHSA7X SATAIR USA, Inc. 3993 Tradeport Boulevard Atlanta, GA 30354, USA Phone: Fax: AOG Service: SITA: +1 404 675 6333 +1 404 675 6311 +1 404 310 1966 ATLSA7X SATAIR ASIA Pte. Ltd. 8 Loyang Link 508897 Singapore Phone: Fax: AOG Service: SITA: +65 6543 0977 +65 6543 0737 +65 6543 0977 SINSA7X SATAIR MALAYSIA Foreign Branch 311, Block E, Kelana Parkview No. 1, Jalan SS6/2, Kelana Jaya 47301 Petaling Jaya Selangor Darul Ehsan, Malaysia Phone: Fax: SITA: +603 704 6657/6670 +603 704 6691 KULSA7X SATAIR CHINA Representative Office CASC Airbus Tianzhu Airport Industrial Zone Tianwei Erjie Shunyi County, P.O. Box 3412 101312 Beijing People's Republic of China Phone: Fax: +86 10 8048 6340 +86 10 8048 6599 www.satair.com SATAIR HARDWARE A/S Amager Landevej 147A 2770 Kastrup, Denmark Phone: Fax: +45 3247 0100 +45 3247 0192 SATAIR HARDWARE S.A.S. 27 Av. Etienne Audibert BP 30169 60305 Senlis Cedex France Phone: Fax: +33 3 4421 6868 +33 3 4453 4999 SATAIR HARDWARE LTD. Shoreham Airport Shoreham by Sea West Sussex BN43 5FN England Phone: Fax: +44 0 1273 464046 +44 0 1273 464577 SATAIR HARDWARE USA PO Box 7368 Orange, california 92863 USA Phone: Fax: +1 714 538 8600 +1 714 771 7828 www.satairhg.com 2003 proved to be yet another year of turbulence within aviation due to factors such as the war in Iraq and the outbreak of SARS in Asia, but with a new year ahead of us a new optimism has arisen, a point of view that is shared with many of our colleagues in the industry. As you may gather from the cover of this issue of Satelite, Satair has with the acquisition of Lentern (Aircraft) Limited strengthened its OEM business substantially, emphasizing Satair Hardware Group’s position as a leading aerospace hardware supplier in Europe. I encourage you to read more about this in the SHG section pages 6-7. Despite an extremely difficult market environment, Satair has succeeded to maintain and enhance its position in the aviation value chain, with the above acquisition as one of our latest business initiatives. To be able to defend and strengthen Satair’s position it is necessary for us to be in possession of a variety of core competencies. Knowledge ■ Knowledge ■ Knowledge ■ Knowledge ■ of of of of customers and market requirements sales, marketing and products IT and systems development management and knowledge sharing In order to develop these competencies, Satair must be able to attract, retain and develop motivated employees. Our employee recruitment and development is therefore built upon Satair’s corporate values, which are: We are committed to serving our customers and our suppliers As Satair employees, we all maintain constant focus on, and take pride in, providing the highest level of service to both our customers and suppliers. We succeed through knowledge and competence We actively expand the knowledge and competence of our staff within all work areas. Updated skills and knowledge are the basic foundation for development and allow us to create and maintain valued service and support towards customers and suppliers. We demonstrate initiative and commitment As employees, we acknowledge common responsibility to ensure that constructive initiatives and strong commitments prevail at all times. We will exchange information, knowledge and experience to ensure that changes happen. Each employee can and will take ownership for the tasks at hand. We will conduct business professionally, ethically and respectfully Our code of conduct and behavior with customers, suppliers and other stakeholders are based on mutual respect for each other, a high ethical standard and a strong degree of professionalism. We respect diversity and treat others with fairness and respect regardless of their personal, ethnic, cultural and professional backgrounds. No matter which Satair company you encounter we share the same values. With all of our employees making a daily effort in fulfilling these values, our customers experience that they are served in the best way possible doing business with us. Welcome to this issue of Satelite. If you have any questions or suggestions please feel free to contact me directly. Yours sincerely, John Stær, President & CEO Finn Ytting On June 30, 2003, Satair held a small reception to mark Finn Ytting's retirement after 42 years of employment. On this day, Finn was also awarded the Royal Medal of Recompense 1st degree by Her Majesty the Queen of Denmark. Our Chairman N.E. Nielsen handed over the medal to Finn Ytting. The medal is awarded to individuals who have served in the same company for more than 40 years, and who have made a difference through their work. Finn Ytting joined Satair as one of Satair’s first employees back in 1961. Finn Ytting has had a remarkable career at Satair, and has held positions within almost all areas of our business and has contributed very strongly to the development of Satair. Finn Ytting has worked with purchasing, logistics, sales and business development. Of late he has been enjoying a special recognition for his work in quality management as he possesses a seemingly inexhaustible amount of knowledge. Finn has put many efforts into the establishment of Satair’s subsidiaries abroad, and has also been one of the contributors to the transformation of Satair from a local commercial company to a global service organization, consisting of almost 300 employees. To be awarded the Royal Medal of Recompense 1st degree is a recognition of his tremendous work in Satair through more than 40 years. On July 7, 2003 Finn Ytting went to Christiansborg to thank Her Majesty in person for the award. John Stær, President & CEO 3 IPP’s supplier base continues to expand ! By Anette Juel Sørensen, Vendor Liaison Coordinator, Satair A/S In 1997/1998, Satair undertook a comprehensive analysis of airline purchasing and consumption data, covering more than 2,000 vendors, 100,000 part numbers and 250,000 transactions. In essence, Satair found that airlines are buying from a large and diversified supplier base, ranging from anywhere around 500 to 2000 different suppliers. Furthermore, it is not uncommon that between 80% and 90% of the airline’s purchasing budget is spent with just 10% of the suppliers. Conversely, around 90% of the suppliers account for as little as 10 to 20% of the total costs. These facts paired with serious difficulties in forecasting demand for specific parts, lead to inefficiencies in the supply chain. Satair’s answer to these challenges came in 1999 when Satair and Airbus, together with several founding partners, introduced Satair IPP® i.e. Integrated Purchasing Program. IPP was launched with a supplier base consisting of nine suppliers along with five founding partners. Today, IPP has been operating for four years. During these past years Satair has gained valuable experience managing a collaborative customer/supplier program and the efforts to demonstrate that operating improvements are paying off. IPP’s partner base has grown from the five founding partners to 20 partners representing all continents. Additionally, our supplier and customer base has expanded steadily too, counting nearly 90 suppliers and approx. 450 customers. Facts demonstrating that the key values of the IPP “commitment, cooperation and integration” have been well received in the aerospace market. In other terms, Satair IPP has found its true place in the market as a value-adding gateway between manufacturers and end-users. The challenges in front of us are to maintain the positive momentum and continue to develop the value propositions of IPP. This includes both an even broader customer base as well as a continuous expansion of the supplier base. For further insight into the latest two IPP distributorships, we encourage you to read the articles on LSI and Sirio Panel, which you will find on this page. Satair appointed distributor for Sirio Panel S.p.A. By Antonella Bandinelli, Contracts department, Sirio Panel S.p.A. Sirio Panel S.p.A is pleased to inform you, that we have appointed Satair as distributor in Europe, Africa, the Near/Middle and Far East including Australia and the Pacific region in accordance with the Sirio Panel aftermarket support strategy. The distribution agreement is effective immediately and involves product marketing and aftermarket sales support. The new distributorship is managed by Satair’s IPP® department and covers the portfolio of lighted and unlighted cockpit panels for the Airbus A320 single aisle family aircraft. ownership and is, today, part of the Marconi Selenia Communications Group, a Finmeccanica company. Sirio Panel has been supplying lighting source typologies for use in the field of aviation for many years. All aeronautical panels have been developed and adapted to comply with the strict regulations applicable to the aerospace industry. To ensure continuous innovative R & D and maintain its competitive edge, Sirio Panel enjoys a close working relationship with Airbus as well as other major OEMs. Today, Sirio Panel represents more than 25 years of experience with lighting source typologies and is highly respected by customers like Airbus, BAE Systems, Lockheed Martin, Augusta Westland, Galileo Avionica and Thales for its dedication towards the aerospace market. Sirio Panel offers both commercial and military applicable products. The vast majority of the commercial aviation portfolio is manufactured to fit Airbus aircraft, as Sirio’s panels are SFE items (Standard Furnished Equipment) in A318, A319, A320, A321, ATR and A380. With the new improved product support on Sirio Panel, Satair IPP offers you a reliable single point of ordering for the parts you need for maintenance of your Airbus A320 single aisle family aircraft. Please contact Satair IPP for your next requirement of Sirio Panel S.p.A. cockpit control panels for the Airbus A320 single aisle family. For further technical information, please contact Satair IPP at mailipp@satair.com or at +45 3247 0100. Sirio Panel S.p.A is an Italian manufacturer of illuminated cockpit control panels designed and manufactured to ensure optimum readability under the harsh conditions applicable of the aerospace environment. Since the foundation of the company in 1977, Sirio Panel has undergone change of Satair appointed distributor for Luminescent Systems Inc. By Dirk De Vos, Sales & Marketing Manager, LSI Europe Luminescent Systems Inc. (LSI), an Astronics Corporation company, has appointed Satair as its worldwide distributor in accordance with the LSI aftermarket support strategy. The distribution agreement is effective immediately and involves product marketing and aftermarket sales support of LSI’s product portfolio applicable for the Airbus A319, A320, A321 and A330/A340 family aircraft and various Boeing family aircraft. manufacturers for their great expertise in the field of lamp construction. LSI has been in business for more than thirty years, and has operations in Western New York, New Hampshire, Quebec, and a sales/engineering office in Belgium. The company has grown rapidly in recent years and companies once known as E-L Products, Flex-Key, E-L FlexKey Technologies, CRL Technologies, and Loctite Luminescent Systems are all part of today's LSI. With the improved product support of LSI, Satair IPP offers you a reliable single point of ordering for the electroluminescent lamps and cabin emergency lighting components you need for maintenance of your aircraft. To service our customers, Satair waivers all service fees applicable for expedite and AOG orders on LSI products. Please contact Satair for your next requirement of LSI products applicable for your Airbus and Boeing aircraft. For further technical information, please contact Satair IPP at mailipp@satair.com or at +45 3247 0100. The new distributorship is managed by the Satair IPP® department and covers the portfolio of electroluminescent lamps and cabin emergency lighting components applicable for commercial aircraft. LSI is a world-recognised leader in the emergency egress lighting industry offering superior quality, technology and services. LSI’s experience in designing and making emergency lighting systems has contributed to LSI being highly respected by airlines, airframe and avionics N O : 2 4 : J A N U A R Y: 0 4 4 B/E Aerospace reduces lead-time by 50% ! Down Under By Dave Coughline, Director of operations, B/E Aerospace This spring, the air transport industry of Australia has certainly revealed a series of positive changes. Two years after Ansett ceased operations, various players in the arena have clearly found their respective market niches and advantages, making a strong stand in view of the challenges in the market. B/E Aerospace, Lenexa, Kansas, USA (B/E) has been manufacturing emergency oxygen equipment for over 60 years. Among the products are passenger masks, crew masks, protective breathing equipment, chemical generators and portable oxygen. The oxygen products are all distributed through Satair, who has been in partnership with B/E, Lenexa since 1971. In July 2002, B/E Aerospace moved its beverage maker manufacturing from Delray Beach, Florida to Lenexa. This move of production was a huge challenge but the transition was completed on time. Since the move to Lenexa, B/E has been implementing various initiatives that target process optimization. One initiative that B/E, Lenexa has implemented is a leadtime reduction team. The focus of this team is to reduce standard lead-time on all of the products, both oxygen equipment and beverage makers, to best meet the customers’ needs. Every month a new B/E product, for instance chemical generators, was chosen with the goal of reducing lead-time by 50%. The project has been extremely effective and to date they have significantly reduced lead times of eight product families. This process improvement has contributed to Satair’s achievement of an on-time delivery rate of 96% or higher for these key products. Today, the new beverage maker line at B/E, Lenexa has found its place and production is running smoothly. Beverage production floor, B/E Aerospace, Lenexa Satair and B/E, Lenexa will continue to improve our performance using a wide variety of logistic procedures and processes to meet customer expectations. Please feel free to contact Karina Bergstrøm Larsen, Product Manager with all your needs and questions, at e-mail: kbl@satair.com. We will at all times do our best to serve you. Full Face Crew Mask to Gulfstream operators By Alan W. Wigert, Sales Manager, Corporate Aviation, Satair USA Satair and Corporate Air Parts (CAPS) team up to introduce B/E Aerospace Full Face Crew Mask (FFCM) to Gulfstream operators. In addition to being a Satair customer, CAPS, is a Gulfstream parts supplier and service center for emergency inflatable. Owner and long time pilot, Neil Looy, also gives classroom and hands on emergency training for pilots and crew members of Corporate Jets. The training class is one full day, with demonstrations pertaining to a vast variety of N O : 2 4 : J A N U A R Y: 0 4 By Jenny Li, Area Sales Manager, Satair Asia Qantas remains to be a very dominant player after a bumpy journey in 2002/03. Although a loss has been posted in the second half, Qantas still manages to salvage the whole year result with a sizable profit of AUD 343.5 million through the strongest cost reduction effort ever happened in the corporate history. Despite being less affected by SARS than its Asian rivals, Qantas management has invested continuous effort in actively managing its operation in order to response to the market challenges quicker than others. Since earlier this year, Qantas has pushed through organization and labor structural changes to enhance its cost efficiencies. The most recent move in that direction is to establish 10 independent business units under the Qantas group. There is a wide consensus among airline analysts that Qantas will continue these cost reductions and concentrate its resources on its core business of moving passengers from point to point. Many expect that Qantas will be sitting fairly comfortably on the Australian market for a long term with the above efforts and an already distinguish service product. Such market confidence is also expressed through their newly launched Skybed, an Australian-design business class. Although the market information for this new product is yet to be available, one cannot deny that Qantas is going to aggressively protect its profit generator and produce a more impressive bottom line. The domestic market of Australia for aviation is fairly confident to embrace a very good year. Virgin Blue in Brisbane, Australia, has been a rising star since its start and will by end of spring operate approx. 40 aircraft in the fleet, with a market value 100 times more than its starting budget three years ago (according to ATW, After the Honeymoon, October 2003). The speedy fleet expansion does not stop the profit from climbing in the same direction, which has outshined many other major airlines in Australia and the Asia Pacific. looking at replacing the current DASH 8 fleet to perhaps a more updated version of propeller aircraft. In the same state of Victoria, Regional Express is providing frequent shuttle service between state capitals and regional Australia. Creative initiatives have been taken to code-share with Virgin Blue and many other commercial service providers (e.g. car rental company and credit card) to provide chain services for frequent travelers. In southern Australia, a brand new hangar has just been built near the GA airport of Adelaide for the regional operator National Jet System (NJS). It inaugurates a new milestone for the DASH8/BAE146-operator and strengthens its foothold in charter services. A batch of 727s will soon join NJS’s fleet to increase the transportation volume for Australian Express. It was a beautiful spring day when I drafted this article watching the take-offs and landings at the Mascot Airport. We all know that the sky sometimes can be unfriendly and harsh at spring time, just like those challenges we experience in our industry. However, we believe that those who are determined to stretch their wings will carry out their dreams. The market down under is worth keeping an eye on in the near future. Many other medium/small size operators are adjusting their strategy to cater the market demands as well. The market is also anxiously waiting for the new aircraft plan to be revealed by other Qantas link flying units, that are actively emergency equipment such as: oxygen systems, life rafts and life vests. After a four-hour of classroom session, the students actually simulate emergency situations by inflating and boarding life rafts, and also perform an actual aircraft evacuation from the cockpit of a smoke filled G-5. Using the aircraft’s oxygen equipment (FFCM and portable) they exit the aircraft in what is as close to a real-time situation as possible. Approximately 300-400 people (corporate pilots and crew) attend this class each year. This new relationship with CAPS presents a major opportunity to speak about oxygen products directly with the pilots and crew. It also allows for a ‘show and tell’ and the ability to discuss the major advantages of the FFCM and other B/E Aerospace products. Having this new opportunity gives Satair the possibility to generate a more complete awareness of B/E Aerospace’s product in the business jet arena. We will be working closely with Corporate Air Parts in the coming months, as the students at these training sessions have shown a strong interest, specifically in the B/E Aerospace product line. To date, we have supplied the new FFCM to a limited number of corporate operators, but we have seen strong interest and expect more opportunities in the coming months. For more information on CAPS training classes or on B/E Oxygen Equipment for Corporate Aircraft, please contact Al Wigert at: +1 732 295 5745 or e-mail: awi@satair.com. 5 Champion Aerospace Inc. introduces a new and improved PW100 igniter The features of the new and improved PW100 igniter include: By Larry Gordon, Product Manager, Satair A/S Satair is pleased to announce that Champion has introduced a new and improved PW100 igniter. The new PW100 igniter, Champion p/n CH34817, is now the Pratt & Whitney Canada approved igniter for all currently manufactured PW100 engines. Reference Pratt & Whitney Canada Service Bulletin # 74-21-00. Champion created this new and improved PW100 igniter in an effort to combine the long service life of the CH34690-2 and the lower product cost of the CH34687A. Champion’s latest design for the PW100 family is the CH34817. This igniter is an evolutionary improvement over the CH34690-2. It has been designed to last longer than both the CH346902 and the CH34687A but to be priced the same as the CH34687A igniter. Champion has developed this igniter with the goal of delivering greater value to its customers. The improved CH34817 igniter combines Champion reliability and exceptional product performance while providing operators cost savings for their PW100 igniter needs. Champion’s firm commitment to continuous product improvement adds the CH34817 igniter to the list of recent product enhancements offered to the aerospace industry. As a result, both the CH34687A and the CH34690-2 igniter are considered antiquated and will no longer be manufactured. ■ New electrode configuration enabling to increase the sparking life while maintaining the gap size. ■ Patented long life semiconductor tip to assure consistent sparking under all operating conditions. ■ Incorporation of a compression spring to provide improved retention of the semiconductor tip. ■ The only aviation grade, ceramic insulator available for the ultimate in on-wing service life potential enabling the operator to either eliminate or increase the current inspection intervals. ■ Dual seals protecting against leakage. In addition to our portfolio of Champion igniters, Satair is able to offer you a wide range of other Champion products including spark plugs, oil filters, leads and exciters. Satair is proud to announce that Champion Aerospace has expanded its relationship with Satair by appointing Satair as its sole worldwide distributor for both the Champion Power Supply and Micro lamps & Lampbank product lines. Transformer-Rectifier Units (power supplies) For more than 30 years, Champion brand power supply products have been specified for airborne use, ground support, and marine requirements. As the acknowledged leader in power conversion, this complete line of Transformer-Rectifier Units (power supplies) is available for most military, commercial, regional and corporate jet requirements. These products are known for reliability (near linear voltage regardless of load variations) and the ability to withstand extremes in altitude, temperature, shock, vibration, and gravity. Champion Aerospace has continued to pioneer design improvements in its power supply line. Recent design Brad Bradshaw joined Satair USA as the North and South American market Product Manager for electrical products. Brad Bradshaw comes from a position as Airline Sales Specialist with Wings Electro Sales, and was prior to this with Continental Airlines for more than eight years. Søren Sabroe joined Satair A/S as Product Manager for electrical products in Europe, Middle East and Africa. Before joining Satair Søren Sabroe worked for PartMiner Inc., an independent broker of electronics, where he was responsible for sales and purchasing. With more than 300 different engine design applications, Champion’s igniters are specified as original equipment on products from Allison, General Electric, Honeywell, Pratt & Whitney, Teledyne, Rolls-Royce, CFM International and many more. Please contact Satair for your next requirement of PW100 igniters i.e. Champion part number CH34817. For further technical information on the new PW100 igniter or other Champion products, please contact Larry Gordon, Product Manager at lgo@satair.com or at +1 215 651 7764. Champion expands its product distribution with Satair By Larry Gordon, Product Manager, Satair USA new faces improvements include a unique ‘Y’ configuration reducing weight and space factors in their designs and integrated fan/motor units which increase the operating life to 2 1/2 times normal expectations. These new improvements are currently available in the improved 28VS100Y-10C(MS17976-2) unit for Canadair CRJ 100 and 200's. These improved designs incorporate the long life integrated fan/motor units and are currently the OEM design on all new CRJ 100's and 200's. This same proven design is now available for all DeHavilland Dash 8 Q100, 200, & 300's aircraft. Upgrade kits for these applications will be available in January 2004. These upgrade kits will give your existing TRU's the extended fan life and operating efficiency currently being enjoyed by current CRJ operators. For information regarding power supplies and upgrade kits, please contact your Satair Sales contact or Satair's Product Manager for Champion Products, Larry Gordon at lgo@satair.com. Knud Sørensen Satair's former President Knud Sørensen passed away on July 23, 2003 at the age of 80. Knud Sørensen founded Satair in 1957, and was President and CEO of the company until 1994. Since the foundation Satair has gradually changed from a small trading company with only three employees to one of the world's leading distributors of production and aircraft spare parts with nearly 300 employees worldwide. As the Founder and Managing Director for more than 35 years, Knud Sørensen was the key factor for this development. He also formed the company culture which Satair after all these years still values: good spirit, friendly, professional and co-operative towards employees and business partners. After his retirement he maintained his interest in Satair as well as a close relation with many of the employees. Knud Sørensen leaves his devoted wife, Rigmor, three children and several grandchildren behind, to whom he devoted most of his time after resigning in 1994. John Stær, President & CEO Satair at NBAA By Karina Bergstrøm Larsen, Product Manager, Satair A/S The NBAA 56th Annual Meeting & Convention was held on October 7-9 in Orlando, Florida with 111 aircraft on static display and a record 1,068 exhibiting companies occupying nearly a million square feet of exhibit space. The Satair stand was located conveniently next to the one of B/E Aerospace, enabling Satair and B/E Aerospace to demonstrate oxygen and beverage solutions to the customer base. From Satair USA, Sales Director Jim Wright and the sales managers Al Wigert and John Ridings, who service the corporate aviation customers, were busy meeting customers and getting new contacts. Satair principals, Brian Webster, Pall Filtration and Mark Morrow, Eaton-Aeroquip and Rick Tonney, Director, Satair USA in good dialogue at the stand. The stand was well visited and Satair would like to take this opportunity to thank customers and Satair principals, who came by. Satair looks forward to being at the 57th NBAA, which will be held in Las Vegas, Nevada October 12-14, 2004. In the meantime, please feel free to visit our website: www.satair.com for other Satair events and/or part availability and prices via Satair Direct. N O : 2 4 : J A N U A R Y: 0 4 6 Phillip Dean (left) of Lentern (Aircraft) Limited and Rod Scott (SHG) sign the acquisition agreement. Introduction by Rod Scott, CEO, Satair Hardware Group Elsewhere on this page you can read more about the acquisition of Lentern (Aircraft) Limited. This will instantly create an organization that will benefit from improved margins; more purchasing power; a wider product range; new customers; access to the non-airframe market; and stocking/inventory advantages. It will make a significant impact on our ability to continue to grow in a highly competitive global market place. Speaking of which, we’re all continually reminded how difficult and demanding the aerospace industry is, with the threats lately outweighing – by some margin – the opportunities, but there are often grounds for optimism if one looks carefully enough. Take our latest financial figures for instance. Satair Hardware Group has just completed its first quarter for 2003/04, and it has turned out to be a very encouraging period. Each of our three entities has managed to exceed either its budgeted sales or margin numbers, and this improvement in margin signals to me particularly that the measures we have taken over the past six months to make us leaner and more competitive are already showing results. Outside in the marketplace, there are also some encouraging signs of improvement as well, which give us grounds for optimism. With SARS having hopefully been eradicated, air traffic numbers are slowly growing again, and OEMs are still seeing reasonable order activity for their aircraft types. Economic upturns do come around, although we are not expecting to see much improvement in build programmes until 2005. In the meantime, we are constantly making considerable efforts to make sure that SHG is always in a state of readiness for growth by continually fine-tuning our business model and refining our organisation. The Lentern acquisition is a prime example of this. To achieve growth, change is inevitable, and this means that even during very positive developments we still have to live with various painful decisions that are often necessary to keep costs under tight control and maintain acceptable profitability levels. As far as the industry is concerned, the conflict in Iraq and other issues have put back any hoped-for recovery by at least a further 12 months, meaning that we might not see signs of an upturn until well into 2005. Since our merger with Satair we’ve had a lot to cope with a few challenges, to put it mildly, but the resources of the new organisation and the measures we’ve taken so far to build solid foundations have definitely paid off. Uncertainty is a huge problem in any business organisation, but we’ve always been good at managing change and, unlike some other companies perhaps, we’re confident that the steps we’ve taken so far are the right ones, and ones with which we should continue. Overall, our priorities will remain:■ ■ ■ ■ ■ Ensuring that the Lentern acquisition proceeds as quickly and as smoothly as possible Further integration of systems and procedures Ensuring that we work as a ‘one company’ team Focusing on ‘continuous improvement’ Working ever more closely with both customers and suppliers N O : 2 4 : J A N U A R Y: 0 4 Eliminating waste Improving communications, and ■ Continually improving customer service ■ ■ A very positive fact in our favour is that, over recent years, we’ve become used to dealing with each downturn as it happens, and this means that we can react very quickly and favourably to upturns when they happen. In addition, we’ve always taken great care to establish credibility with our customers and suppliers, and, as a consequence of this and the way in which we conduct our business, people like dealing with us – an incredibly important factor, especially during difficult times. What now? Apart from the acquisition, the old clichés like ‘riding the storm’ and ‘survival of the fittest’ are still very relevant and will continue to be so, and in the short term we’ll have to stay very focused if we are to increase our share of a shrinking business. However, in spite of the current difficulties – and any other disasters that seem to crop up with unfortunate frequency these days – we can expect growth from new products such as Monogram and new supply contracts with customers such as Agusta Westland and EADS Socata to keep us ahead of the game. Even in these uncertain times, we can be thankful that we’ve achieved many successes and that we’ve still got many positives to look forward to. The acquisition of Lentern (Aircraft) Limited by Rod Scott, CEO, Satair Hardware Group Satair is very pleased to announce that Satair Hardware Group has acquired Lentern (Aircraft) Limited (LAL) and Lentern International Inc (LII). The arrangement includes the aerospace hardware manufacturing facility at Southend Airport, but not the other manufacturing operations within the Lentern Group. The name of Lentern (Aircraft) Limited is changed to Satair Hardware (Southend) Limited with immediate effect. The reason for this move is that the rationalisation of the UK operations of Satair Hardware and LAL will put SHG in an unrivalled position as the UK’s and Europe’s strongest and most credible aerospace hardware distribution business with projected total sales of around USD 75 million. Merging the two companies will also increase SHG’s sales volumes considerably and allow for significant cost savings. Lentern (Aircraft) Limited is a private company founded in 1942 by the Dean family which, before the acquisition by SHG, owned 100 per cent of the shares. It is part of the Lentern Group, which consists of six UK facilities including three manufacturing sites; sales and distribution outlets in the UK and the USA; and a plating plant. Lentern, whose distribution business is primarily to UK OEMs, has built up a solid reputation over the years as a key provider of British and European hardware. Like Satair Hardware in the UK, Lentern generates a large proportion of its business through DLF (direct line feed) contracts. Its main airframe customers include BAE Systems and Airbus UK (Hawker), and in the non-airframe business such as flight systems, customers include Goodrich, Claverham and Flight Refuelling. Many of the parts supplied are manufactured ‘in-house’ by Lentern, but only a small part of Lentern’s manufacturing capabilities are being acquired by SHG. Both the distribution and manufacturing operations being acquired by SHG are based in Southend, Essex, about 30 miles east of London. In addition to its standard British and European hardware range, Lentern also uses a number of specialist suppliers to support its non-airframe contracts. Other products, in particular US standard hardware, come from suppliers similar to those used by SHG. Also being acquired is the US operation, which trades as Lentern International Inc. and is based at Fort Lauderdale in Florida. Lentern International was established to serve North American OEM and aftermarket customers with British and European standard parts. Raytheon Aircraft in Wichita is the main OEM customer. “This acquisition opportunity has arisen due to the difficult and crowded market conditions affecting today’s aerospace industry,” explains SHG chief executive officer Rod Scott. “Satair’s strength and excellent reputation in both the OEM and aftermarket sectors made it an attractive merger partner for Lentern. . “SHG and Lentern share similar backgrounds, experience and skills, and have common products and customers, so the acquisition will result in a larger, leaner and more competitive organisation. Greater volumes, together with a programme of rationalisation in the UK, will see considerable economic and commercial benefits to the businesses.” Some of these benefits can be summarised as follows: Significant positive synergies resulting from the establishment of a joint management structure; a changeover to SHG’s IT system; the merger of the commercial and administrative functions; the merger of logistics and inventories; and the rationalisation of facilities. ■ A hardware business that will be able to capture a sizeable market share of the OEM market, strengthening its position as one of the largest hardware distributors in Europe. ■ Reduced transaction costs. ■ Improved financial performance. ■ Access to several new customers and product areas, particularly in the non-airframe sector. ■ A bigger purchasing volume, resulting in the ability to negotiate more attractive supplier deals for customers. ■ Access to a small but significant customer base in North America. ■ Integration of the two companies will be completed over the next 12 to 18 months, and the acquisition is expected to add some USD 25 million to consolidated revenues. The executive board of SHG will remain under the control of chief executive officer Rod Scott, and the board of directors will remain unchanged. 7 KIM goes for the direct approach by John Atkinson, Waterson Communications Differentiating one distribution company from another in today’s hugely competitive aerospace industry – especially those involved in the supply of low-value, high-volume components – is very difficult when price and delivery are often the only measurements of competence. But track record and a reputation for first-class service can still make a difference, especially when that service is geared up to take care of every aspect of a customer’s supply chain needs. This is something that Satair Hardware Group has always been good at. It’s not at all like the old days when a good telephone manner and the ability to chat about football and family were about all that was needed. Today a distributor has to provide a more and more comprehensive range of services, which is why the direct line-feed (DLF) contracts that SHG has in place with OEMs such as Airbus, Hurel-Hispano, Westland Helicopters and EADS Socata are a clear indication of its future direction. “It’s essential that SHG develops its DLF business and progresses from simply being a hardware distributor,” says Satair Hardware Limited’s customer service manager, Kim Noyce, who has been instrumental in further developing SHG as a leading DLF provider, and who, in addition to her challenging UK role, has also found time to support the implementation of France’s DLF programme with EADS Socata. “A DLF contract is typically valid from three to five years, and whilst this represents the core income, there is also significant ad-hoc business to be gained in addition. DLFs account for over 60 per cent of SHG business in the UK, and we believe that this pattern will establish itself in other markets along with our reputation as full supply chain service providers. That’s the future.” An effective customer service manager has to possess a range of business skills, as well as the ability to instantly assess what the customer wants and make quick decisions accordingly – and of course the good telephone manner. Kim has these qualities in abundance, and by any standards, she has achieved a lot in her relatively short career, especially when one considers that at one stage she was destined to be a dairy farmer. Kim joined Satair Hardware Group (C J Fox at the time) in 1997 as credit controller, before establishing herself in her current role. “I’m quite happy dealing with problems on the production line or taking part in tough negotiations to resolve sensitive customer issues,” she says. “I don’t feel at all intimidated working in what is still a very much maledominated environment. Ultimately the fact that I’m a woman isn’t really the significant factor. It’s being able to solve problems, get quick results and deliver what’s been promised. That’s what customers respect – and if we can achieve this, then we will have earned that customer’s loyalty.” Kim lives in nearby (to Shoreham) Worthing with her sevenyear old daughter Celine, and is very complimentary about SHG’s culture and attitude to its employees. “It’s a friendly, positive, open and understanding company to work for. As a mother I’ve often had to work irregular hours to juggle family commitments with work, but there’s a very flexible attitude here, with real opportunities for all.” the next challenge, and is aware that her ‘can do’ attitude can sometimes appear overly demanding. She’s also a bit of a non-conformist, preferring bright blouses and jackets to the more sombre business suits favoured by the majority of women in the aerospace industry. It’s the picture of a person in control, confident, aware of her ability and well prepared – all the things that SHG customers evidently want to see in a customer services manager. What are her priorities for the future? “OEMs are now aware of the cost savings that can be realised from a properly managed and integrated supply chain,” she replies. “They see this, quite rightly, as a complex function, especially where the intricacies of low-value, high-volume components are concerned. They’re therefore interested in outsourcing the whole supply process to a specialist company like SHG. “We have a long and successful track record – over 20 years – in supplying the systems that control supply, so we’ve got a head start. However, DLFs are only the beginning, and reflect only part of our expertise. We already have the technical and commercial ability to manage a totally visible, internet-compatible supply chain system involving the prime OEMs and their sub-contractors. It’s now a question of gearing up the whole Group to be in a position to supply this service globally. “To continue to be competitive we must do more than just supply at the right price. We’ve got to be seen to be adding value for our customers by being able to offer an intelligent solution to all their outsourcing requirements. We’re getting better at this, but to be truly competitive we need to ensure that all our own internal systems are both flexible and effective.” SHG seems to have exactly the right person in place at Shoreham to achieve this, but what about the earlier mention of diary farming? That’s a bit unlikely, isn’t it? It would seem so, especially for anyone seeing Kim in her office environment. But in this case fact is stranger than fiction. “When I left school I went straight to agricultural college,” she explains, “and all I wanted to be was a dairy farmer. But when I was 19 I had to make a fundamental choice: to either carry on working a 12-days-on, two-days-off shift, from four in the morning until six at night, or do something else and have time to enjoy myself. Enjoyment won, and I became an office administrator instead.” Dairy farming’s loss is SHG’s gain. Rivetless nut plate cuts three minutes from aerospace installation By Louise Phillips, SME Marketing Support Service Textron Fastening Systems (TFS) has introduced a revolutionary new concept as an alternative to riveted anchor nuts that are often proved to be timely and expensive to install. The Cherry Rivetless Nut Plate has a patented inter-lobular design that expands as it is installed through a single, drill-quality hole. The new Cherry® Rivetless Nut Plate, which replaces standard riveted nut plates, features a retainer that does not require flaring to meet NASM25027 torque-out and pushout requirements. This eliminates the need for two additional rivet holes, as well as reaming, counterboring and countersinking steps. Uniform expansion of the sleeve during installation enhances fatigue life of the parent material, and an extended grip range helps reduce part numbers and inventory. Installation time is reduced by as much as three minutes over riveted nut plates and can reduce weight in the final assembly. It will streamline assembly in the aerospace industry, as well as other applications where nut plates are installed in aluminium sheet metal. The Cherry® Rivetless Nut Plate applies in less than two seconds in aluminium sheets as thin as 0.040 inches. Using standard Cherry Single Action TFS assembly tools, the operator inserts a mandrel into a predrilled hole and actuates the tool. As the fastener sleeve is pulled into the hole, the mandrel expands the sleeve, completing the installation. In service procedures, the floating nut is replaced quickly by removing the retaining clip and installing a new fastener. Benefits of Cherry® Rivetless Nut Plate: • • • • • • • • • • • • Light weight, compact design Fast reliable installation Lowest “installed” cost/no flaring Simple low-cost installation tooling Utilizes a floating, replacement nut element One drill hole versus three for conventional nut plates Uses “as drilled” holes; no reaming required No secondary counter-boring, counter-sinking Extended grip range Installs on inclined and curved surfaces Meets or exceeds the requirements of NASM25027 Improves fatigue life of structure compared to riveted nut plates For further details on how you can reduce your total installed costs, contact Daniel Poiret of Satair Hardware Group on +33 (0)3 44 21 68 77 or email DPO@satairhg.com To be good at her job isn’t just a question of being nice to people and giving them what they want. Rather, Kim confesses to having immensely high standards and expects the same from her team. She is always striving to overcome N O : 2 4 : J A N U A R Y: 0 4 Participate! Lights, Camera, Peanuts! Only at Southwest 1 prize a Jacob Jensen wall clock 2-10 prize a Leatherman tool By John Ridings, Sales Manager, Satair USA The quirky culture of Southwest Airlines Inc. will be the star of a new documentary on the U.S. based Arts & Entertainment cable network, the airline recently announced. “Airline” is based on a British television series of the same name, which is now in its seventh year. That overseas version also follows a low-cost, low-fare airline with the orange colored planes, the London-based EasyJet. The filming of the American version of ‘Airline’ started in June at Southwest’s Los Angeles International Airport facilities and will then expand to Chicago’s Midway Airport. Ten half-hour episodes will air early next year and more could be filmed. Congratulations to the winners: 1. Doreen Daly, Aer Lingus 2. Wang Yu, China Xinjiang Airlines 3. Anand Kumar, Air India Limited 4. Park Seong Chel, Asiana Airlines 5. Tony Wong, Aviall Airstocks Ltd. 6. Felice De Falco, Atitech SpA 7. Sunil Kumar Tuli, Qatar Airways 8. Patrick Kiss, Sonaca S.A. 9. Ed Clark, Southwest Airlines Co. 10. Peter Woods, BA CitieXpress The programs hope to capture Southwest’s passion for service while having fun. Southwest, which has a reputation as an innovative airline, bought into the idea after much thought and reservations. But true to form, Southwest felt the positive outweighed the possible negatives stating, ‘We’re a maverick airline, and this is the maverick thing to do’. The show will focus on three kinds of stories: ■ Tales from Southwest passengers who may be making unusual trips, such as for marriage proposals or family reunions. ■ Spontaneous stories, such as bad weather that makes Southwest’s employees scramble. ■ Profiles of interesting Southwest employees. Viewers should expect cameo appearances from President Colleen Barrett, Vice Chairman Jim Parker and founder and chairman Herb Kelleher, who would make for a entertaining reality show all on its own. EasyJet officials say that they have enjoyed their time in the limelight, but some Southwest employees were wary at first. For example, what if an employee is having a bad day or a customer has a really bad experience and decides to use Southwest as a punching bag? Southwest was also concerned that employees might overact in front of the cameras and set unrealistic expectations about Southwest’s high-energy but low-frills in-flight experience. The goal was to preserve the integrity of their customer service product. In the final decision, management had faith in the fact that their employees were going to do the right thing. Southwest employees will not be paid for being on the show and the airlines will not receive any money from the production company. Arts & Entertainment network officials believe that US viewers will want to know the ‘thrills and spills’ behind the scenes of the nations no. 4 carrier. Once again you have to say ‘Only at Southwest!’ QUIZ NO:24:JAN:04 1. When is Aircraft Interiors Expo ? 2. Which Italian manufacturer has appointed Satair as distributor ? 3. In which city is Satair USA located ? 4. Does Satair charge AOG fees on LSI products ? Satair & Satair Hardware employees and their relatives cannot enter the competition. Company: Name: Title: Address: Postal code/City: Country: Send, fax or e-mail your answers to Satair before May 1, 2004 Satair A/S Amager Landevej 147A DK-2770 Kastrup Denmark Telefax: (45) 3251 3434 Email: satelite@satair.com Attn.: Camilla Schuricht N O : 2 4 : J A N U A R Y: 0 4 Asian Aerospace 2004 in Changi Exhibition Center, Singapore takes place between February 24 and 29, 2004. Aircraft Interiors Expo 2004 in Hamburg takes place between March 30 and April 1, 2004. By Camilla Gregor Schuricht, Marketing Coordinator, Satair A/S By Camilla Gregor Schuricht, Marketing Coordinator, Satair A/S With 23,433 trade visitors from 78 countries and a total of 747 exhibitors, Asian Aerospace 2002 showed its strength in attracting the right exhibitors and visitors. Asian Aerospace 2004 is promised to be even larger and more impressive than ever, which makes next year’s exhibition very promising. Following the outstanding success of Aircraft Interiors Expo 2003 with more than 240 exhibitors, the 2004 show is set to grow even further. Close to 100 new exhibitors have already signed up for a stand, and two new halls have been added to the exhibition, with Airbus and Boeing dominating each of the new halls. The Aircraft Interiors Expo has in only four years become an important interiors market place active with airlines and visitors from around the world keen to review the latest products and concepts. Asia Aerospace is an ideal forum to discuss the industry, and Satair welcomes this opportunity to invite customers, suppliers and other colleagues to its stand in Singapore in order to discuss how to develop and strengthen the business relationships in the future. If you wish to set up a meeting with a Satair representative at the Asian Aerospace, please contact your usual Satair representative or send an e-mail to info@satair.com. We look forward to welcoming you! You will find Satair in Hall A, Stand 509 It will be the third time Satair is exhibiting and we look forward to meeting with present and future business contacts. Satair will be located right between Hall 11 and Hall 12 at Stand no. 12/C51A. Please feel free to contact us to set up a meeting in advance. Please call Satair at +45 3247 0100 and talk to your usual contact or send an e-mail to info@satair.com. See you in Hamburg!