HAECO GROUP. e-newsletter ISSUE 16 DEC Company Events. Group Services. CSR Activities. Feature Story. Group Capabilities.

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1 HAECO GROUP e-newsletter Group Services ISSUE 16 DEC 2014 Company Events CSR Activities Feature Story Group Capabilities Group Portfolio

2 Group Services Airframe Services Freighter Conversion Line Services Engine Services Parts Manufacturing Technical Training HAECO GROUP e-newsletter ISSUE 16 DEC

3 Airframe Services Heavy maintenance for Hongkong Jet In July, HAECO Hong Kong completed its first 72-month check on an Airbus A319 corporate jet managed by Hongkong Jet. The check involved the removal of the entire VVIP cabin interior including the galley, lavatory and bathroom, to inspect the floor panels. Hong Kong Express Dim Sum Fleet In August, HAECO Hong Kong completed deregistration and pre-service checks on Hong Kong Express s (HKE) Airbus A320 aircraft (B-LCB) Haau Gaao the second aircraft to come into service in its new Dim Sum fleet. During the check, members of HKE s Summer Holiday Programme visited HAECO s facilities at Hong Kong International Airport. They were given a hangar tour and were able to take a closer look at Haau Gaao and learn more about the maintenance process. HAECO Hong Kong has provided deregistration and pre-service checks on three HKE aircraft, including Haau Gaao, over the last six months, as well as HKAR-183 Organisation Designation Approval services on one of the three aircraft. During the transfer of operator responsibilities, HAECO Hong Kong assisted HKE to examine, inspect and test the aircraft and they were successfully redelivered with the issuance of the Certificate of Airworthiness. The completion of the 72-month check marks another milestone in the ongoing relationship between Hongkong Jet and HAECO Hong Kong. HAECO Hong Kong currently provides line service support, A-Checks, tooling and equipment calibration, as well as Inventory Technical Management for Hongkong Jet s Airbus corporate jet fleet. With its extensive technical capabilities and service network, the HAECO Group provides comprehensive support for Airbus corporate jets and Boeing business jets. HAECO Group s facilities in Asia and the Americas offer airframe services for corporate jets, while HAECO Private Jet Solutions provides services including cabin interior design and engineering, cabin modification, In-flight Entertainment (IFE) enhancement, installation of Wifi and Satcom, as well as repair and refurbishment of cabin items. 2

4 Airframe Services Achieving a milestone On 5 November, Japan Air Commuter Company Limited (JAC) and Taikoo (Shandong) Aircraft Engineering Company Limited (STAECO) celebrated the successful completion of the 50th C-Check performed for the airline at STAECO s facilities in Jinan; the event marked a milestone in the cooperation between the two parties. The business partnership with JAC began in 2006, when STAECO performed a C-Check on the airline s first SAAB340B aircraft. Mr. Jun Otake, Senior Vice President of JAC, Mr. Yasushi Tokuda, JAC s Director of Maintenance Planning and Administration, and Mr. Yang Guanyao, Deputy General Manager of STAECO, attended the ceremony. At the event, Mr. Otake thanked STAECO for its high quality aircraft maintenance services and on-time redelivery. He said he looks forward to achieving more milestones with the company in the years to come. 3

5 Airframe Services New capability Cabin modification for ERJ-190 aircraft On 10 September, STAECO completed cabin modification on a Tianjin Airlines Embraer (EMB) ERJ-190 aircraft (B-3166). The six-day modification programme involved interior reconfiguration from 98 to 106 passenger seats, as well as replacement of carpeting, curtains and passenger seat covers. The modification was the first to be carried out on an aircraft of this type in Mainland China. The modification was a challenge for the project team in terms of its work scope and time limit. With thorough planning and meticulous execution, the team rose to the occasion and earned the appreciation of both Tianjin Airlines and EMB. STAECO provides airframe services support for Mainland operators on a variety of different types of private jet. A project team was established in 2012 with the aim of establishing capabilities on Gulfstream G450 aircraft. After two years of detailed planning and preparation, the company successfully passed a rigorous audit and obtained approval from the Civil Aviation Administration of China (CAAC) on 19 September for its Gulfstream G450 Aircraft Continuous Airworthiness Maintenance Programme. STAECO is now well-prepared to serve operators of this aircraft type. 4

6 Freighter Conversion First freighter conversion for DHL In October, HAECO Xiamen completed its first Boeing passenger-to-freighter conversion for DHL. The aircraft is the ninth Boeing freighter conversion completed by HAECO Xiamen with its Supplemental Type Certificate (STC) partner Precision Conversions, LLC. The converted aircraft will be operated by Blue Dart, a member of the DHL Group and an all-cargo airline based in India. The successful redelivery of the Boeing aircraft is an auspicious beginning to the relationship between HAECO Xiamen and DHL and both companies are looking forward to a closer partnership in the future. 5

7 Line Services HAECO Hong Kong welcomes Vanilla Air Vanilla Air, the Japanese low-cost carrier based at Narita International Airport, has chosen HAECO Hong Kong as its line services provider at Hong Kong International Airport (HKIA). On 2 November, HAECO Hong Kong welcomed the airline s inaugural flight to HKIA. Vanilla Air currently operates three flights a week to Hong Kong, operated by Airbus A aircraft. HAECO supports the airline by providing technical transit and aircraft release services. Starting from 1 February 2015, Vanilla Air will operate daily flights to Hong Kong and it will increase this service to twice daily from 21 February. 6

8 Line Services New customer Air Canada began operating a daily service to Shanghai Pudong International Airport (PVG) on 27 October. The airline has appointed HAECO Xiamen as its line services provider at PVG for technical assistance, aircraft certification and release for its Boeing 787 Dreamliner aircraft. In addition to PVG, Air Canada currently operates twice daily flights to Beijing International Airport (PEK) with two Boeing 777 aircraft; one of these aircraft will be replaced by a Boeing 787 Dreamliner in February HAECO Xiamen s engineers at PEK have undergone approved certification training for the Boeing 787 and are now well-prepared to provide line services support for Air Canada s new aircraft in Beijing. 7

9 Line Services Gold Line Maintenance Agency On 10 September, Mr. Yue Qihe, General Manager of Air China s Engineering and Technology Branch, visited STAECO and presented the company with the Gold Line Maintenance Agency award for 2013; it is the second year running that STAECO has received this honour. The Gold Line Maintenance Agency award was introduced by Air China in More than one hundred line maintenance agencies were evaluated and STAECO has stood out from the crowd both years running for its quality maintenance services, trouble-shooting capabilities, defect rectification and on-time release of aircraft. At the award presentation ceremony, STAECO was commended for its provision of professional, high-quality line services. The company s achievement of zero anomalies in 2013 was also highly appreciated. New Line Service locations In September, the HAECO Group added Zhengzhou in Henan Province to its portfolio of line service locations. Operated by HAECO Xiamen at Zhengzhou Xinzheng International Airport (CGO), the new location adds to the Group s existing network, which offers a comprehensive range of line services at seven airports in Mainland China. The new location has been well received by airline customers: Hong Kong Airlines was the launch customer and the new operation now also provides line maintenance services to Malaysia Airlines, Cathay Pacific and Dragonair at CGO. HAECO Xiamen currently offers line services at Beijing (PEK), Tianjin (TSN), Zhengzhou (CGO), Shanghai (PVG), Nanjing (NKG), Chongqing (CKG) and Xiamen (XMN). With the recent addition of line service offerings in Sanford to HAECO Americas portfolio, the Group now offers line services in a total of 30 locations across Asia-Pacific and the U.S. 8

10 Engine Services HAESL gains Nadcap reaccreditation In November, Hong Kong Aero Engine Services Limited (HAESL) attained Nadcap reaccreditation for Non-Destructive Testing. This is the first step in HAESL s Nadcap journey, as the company prepares to obtain accreditation for chemical processing and heat treatment later this year. Thanks to an outstanding performance during the Nadcap audit, HAESL is also eligible to join the Supplier Merit Programme, which allows qualified suppliers to extend their accreditation period. Nadcap accreditation provides a global benchmark of repair process excellence and the recognition affirms HAESL s ability to deliver exceptional service and quality. 9

11 Engine Services GE Aviation acquires stake in TEXL In November, GE Aviation (GE) acquired a 9.9% equity stake in Taikoo Engine Services (Xiamen) Co. Ltd. (TEXL). The transaction marks a milestone in the HAECO Group / GE Aviation partnership. Established in 2008, TEXL and GE Aviation entered into a long-term GE90 Branded Service Agreement (GBSA), which licenses TEXL as an authorised GE90 Service Provider and GE90 Centre of Excellence; the company is the sole holder of a GE90 GBSA in Asia. TEXL has performed engine repair and overhaul work on more than 150 GE90 engines to date, from an extensive list of GE90 operators, including Cathay Pacific, EVA AIR, Air India, GE Capital Aviation Services, China Cargo Airlines, China Southern Airlines, Emirates Airlines, Etihad Airways, Turkish Airlines, Jet Airways and Thai Airways. 10

12 Parts Manufacturing New Parts Manufacturer Approvals In September, STAECO received Parts Manufacturer Approvals (PMA) from the Civil Aviation Administration of China (CAAC) for four new items, including Non-Structure Metal Cabin Furnishings, Non-Structure Plastic Cabin Furnishings, Placards and Thrust Reverser Rub Strips. Since STAECO acquired its first PMA in January 2014, the MRO service provider has devoted great efforts to enhancing its manufacturing capabilities. The four new approvals are recognition of the company s growing technical expertise. The new services have been well received by airline customers. 11

13 Technical Training Avionics training collaboration In October, HAECO Xiamen Technical Training collaborated with CAAC East China Regional Administration to provide basic skills training in avionics maintenance for 24 CAAC surveyors. The programme combined theoretical knowledge and practical skills to enhance the participants understanding of aircraft maintenance. Course attendees included inspectors from CAAC s East China bureau, which oversees Shanghai, Jiangsu, Jiangxi, Fujian, Anhui, Shandong and Xiamen, and from the organisation s Northeast and Northwest regional administration offices, as well as aviation academy instructors. 12

14 Company Events HAECO unveils new brand In October, HAECO launched a new corporate identity, proudly uniting the Group s 19 subsidiaries and joint venture companies around the world including Hong Kong Aircraft Engineering Company Limited (HAECO), Taikoo (Xiamen) Aircraft Engineering Company Limited (TAECO) and TIMCO Aviation Services, Inc. (TIMCO) behind one name: HAECO. HAECO s new logo is symbolic of a tick mark. It captures the spirit of aviation; it is evocative of wings, aircraft tails and flight itself. The slightly italicised font used in the new branding encapsulates HAECO Group s relentless service innovation, resourceful spirit and ongoing drive for operational excellence. Over the next few months the new HAECO Group brand identity will gradually be introduced on everything, from communications to HAECO s hangars and uniforms. 13

15 HAECO Group participates in MRO Asia In November, the HAECO Group took part in Aviation Week s MRO Asia Conference and Exhibition, held in Singapore. MRO Asia was HAECO s first industry event since its rebranding in October and was an opportunity to showcase to visitors the comprehensive suite of aircraft engineering and maintenance services offered by its 19 group companies around the globe. Representatives from various HAECO Group companies also had the opportunity to network with customers and business partners at the event. Nearly 3,500 industry professionals attended MRO Asia this year, representing 112 exhibiting companies from 68 countries. 14

16 Swire looks ahead in China development In August, HAECO s major shareholder Swire held its biennial Swire China Conference in Guangzhou. More than 160 senior executives from Swire s various business divisions attended the conference under the theme China: Looking Ahead the largest assembly ever. A number of HAECO Group senior executives attended the conference, led by Kenny Tang, Group Director Corporate Development. John Slosar, Chairman of John Swire & Sons (H.K.) Ltd. noted in his opening remarks that the Swire group has invested significantly in the China market and is committed to the market with confidence. A host of speakers were invited to share their insights and ideas, including Sun Tong, Deputy Director-General, Department of Taiwan, Hong Kong & Macau Affairs, Ministry of Commerce of the People s Republic of China, Martin Jacques, author of international bestseller When China Rules the World and John Spelich, Group Vice President of Alibaba Group. They spoke on a wide range of topics ranging from trends and challenges of Chinese economic development and opportunities in the Pearl River Delta region, to e-commerce and sustainability businesses in China. 15

17 CSR Initiatives/Activities HAESL volunteers for good cause In October, HAESL organised a volunteer event to help paint the walls of the Hong Kong Youth Hostels Association s (HKYHA) Bradbury Hostel. The initiative was a follow-up to a fundraising campaign in 2012, when HAESL helped raise funds to sponsor tools and materials to renovate the hostel, with the aim of providing a better place for visitors to enjoy Hong Kong s beautiful natural environment. Volunteers from HAESL and other Swire group companies assembled at the Wong Shek Pier, Sai Kung, and spent a day working on the renovation removing old paint in the hallways and reception area, and then painting the cleaned walls. HKYHA is a non-profit organisation that aims to provide friendly, comfortable and safe accommodation services for hostellers. The organisation encourages travellers to explore and enjoy nature in Hong Kong. 16

18 Engineer for a Day On 15 September, HAESL s General Manager Commercial & Materials Management, Stephen Chu, pledged the company s support for the Hong Kong Institute of Engineers (HKIE) keynote programme Engineer for a Day This is another example of HAESL s commitment to educating youngsters and promoting careers in aircraft engineering in Hong Kong. The company will arrange tours of its world-class repair and overhaul facilities for secondary school students, enabling them to gain an understanding and appreciation of the daily duties of an engineer at HAESL. 17

19 HAECO supports the March of Dimes In November, HAECO Americas announced its official support for the March of Dimes an organisation dedicated to preventing birth defects and infant mortality. Through education, specialised treatment and clinical research, March of Dimes helps mothers have full-term, healthy pregnancies. In support of the initiative, HAECO Americas CEO Kevin Carter, has accepted the role of Chairman of the Greater Triad Division of the March of Dimes annual March for Babies fundraising drive. HAECO supports High School Basketball In November, HAECO Americas announced its continuing support for the Greensboro Sports Council s annual high school basketball tournament, now named the HAECO Invitational presented by NewBridge Bank. The tournament also introduced its new logo, which is based on that of its title sponsor HAECO Group. The HAECO Invitational was founded in 1976 as the Little 4 Invitational to raise funds for the participating high schools athletic programmes. The tournament is now widely considered the most successful holiday basketball tournament in North Carolina. For more information on the March of Dimes, please visit 18

20 Birth of the new seat platform Feature Story Introducing the new Vector seat platform In October, HAECO Cabin Solutions introduced customers to the first in its new Vector line of aircraft passenger seats the Vector-Y for economy cabins. In addition to Vector-Y, the new Vector product line-up includes the Vector-Y+ economy model with IFE and more amenities for long-haul operations, and the Vector-PY premium economy seat, for the fast-growing segment which some refer to as the new business class. HAECO Cabin Solutions plans to unveil the complete Vector product line-up in April 2015, at the Aircraft Interiors Expo in Hamburg. HAECO Americas embarked on the development of the new Vector line of seats after carefully listening to customers about what they most desired in new, state-of-the-art passenger seating. The requirements became guiding principles for the HAECO Cabin Solutions project team and included competitive price, light weight, passenger comfort and the lifetime reliability and low maintenance for which HAECO Cabin Solutions is renowned. The project team set out to develop a seat platform where the different models shared common parts, design benefits and a consistent aesthetic. Doing so delivers seat products that have enough commonality to warrant a competitive purchase price, while offering pre-tested features that allow for individuality and customisation to support specific operational needs. Importantly, HAECO Cabin Solutions recognised this approach would not only allow competitive pricing, but also help control total lifetime maintenance costs through the use of minimal parts and components. To assist with the project, HAECO Cabin Solutions engaged the services of award-winning Hong Kong industrial design house, Paperclip Designs. James Lee, the owner and principal of the firm, guided the design aesthetic, including the distinctive lines and angles that give the seat its name. James also found ways to introduce new innovations to enhance passengers inflight experience, such as an eye-level holder for electronic devices (PEDs) including ipads, and a power outlet positioned on the back of the seat in front, rather than under the passenger s own seat cushion. 19

21 Key features The Vector-Y boasts a number of innovations that will meet customer demand for light weight, passenger comfort and long-term reliability. Airlines want to provide passengers with as much comfort as possible, while improving economics over the lifetime of the seat. The HAECO Cabin Solutions project team have worked hard to deliver on these requirements through the use of innovative design, new materials and reduced part count. Lighter weight New materials have been used throughout the Vector, including composites for the seat back and for an innovative new baggage bar that not only weighs less, but adds a distinctive highlight to the seat s appearance. Wherever possible, unnecessary parts and mass were eliminated from the design to reduce weight without jeopardizing the seat s ability to pass rigorous certification and testing thresholds. Better comfort While some competitors have simply removed as much mass as possible from their seats, leaving passengers with paper-thin cushions and limited mobility at a tight pitch, the Vector project team worked hard to maximize passenger living space and enhance comfort wherever possible. For example, the height of the deployed food tray table was adjusted so that the legs of the 95th percentile male will not bump the table s underside a common complaint from taller passengers sitting in standard industry seats. At the same time, the seat cushion was adjusted so that the feet of the 5th percentile female will rest firmly and flat on the floor with no more dangling toes a common frustration for smaller passengers. Comfort benefits like these required careful design to avoid any negative impact on the seat s economics. Enhanced long-term reliability Ease of servicing and minimizing maintenance requirements were important guiding principles for the design team, and the new seat features a number of examples of their efforts. For instance, the side bumper often the receiver of hard knocks, nicks and scratches inflight from baggage and food service trolleys was designed with a small insert that can be easily and quickly replaced when necessary, at far less cost than having to remove and replace the entire side bumper. In fact, most components and parts on the seat have been designed to be removed and replaced in less than five minutes, reducing cost and saving time. Over the life of the aircraft seat (which can exceed ten years for some operators), these cost savings can add up significantly. 20

22 Group Capabilities Aircraft Type Airframe Services EASA Line Services Airframe Services FAA Line Services Airframe Services HKCAD* Line Services A A310 A318 A319 A320 A321 A330 A340 A / NG 747SP 747 Classics MD11 MD80 / 90 DC-9 DC-10 DHC-8 CL-600 SAAB340B BD-700-1A10 BE-1900D G450 ERJ135 ERJ145 ERJ170 ERJ190 CRJ200 / 700 / 900 * Maintenance of aircraft registered in PRC, Macau SAR and Hong Kong SAR respectively is provisioned under the Joint Maintenance Management (JMM) cooperation arrangement. Capabilities of the HAECO Group include but not limited to major aircraft types as listed above. Hong Kong U.S. Xiamen Jinan The Group also has approvals for aircraft cabin design and products as well as for airframe, engine and component maintenance from regulatory authorities across Asia, Africa, the Americas, Australia, the Caribbean and the Pacific, including: Australia CASA; Azerbaijan SCAA; Bangladesh CAAB; Fiji Islands CAAF; India DGCA; Indonesia DGCA; Israel CAAI; Japan JCAB; Jordan CARC; Kenya CAA; Korea MOLIT; Macau SAR JMM; Malaysia DCA; Mauritius DCA; Nepal CAA; Pakistan CAA; Papua New Guinea CAA; Philippines CAAP; Qatar CAA; Republic of China CCAA; Singapore CAAS; South Africa SACAA; Sri Lanka CAA; Thailand DCA; United Arab Emirates GCAA; and Vietnam CAAV. Airbus Boeing Other Types Airframe Services CAAC* Line Services Bermuda DCA Airframe Services Line Services Airframe Services Canada TC Line Services 21

23 Private Jet Solutions - Airbus-approved Completion Centre for Executive and Private Jets - Boeing Business Jets VIP Completion Centre Cabin Reconfiguration / Modification Winglet Modification - Boeing 737, 757, 767 Freighter Conversion - Boeing /400 using PEMCO STC - Boeing /300 using Boeing & FSI STC - Boeing using Boeing SBs - Boeing using Precision STC - Boeing 767 using customer-held STC Engine Services - Rolls-Royce RB Rolls-Royce Trent 500, 700, GE Aviation GE90-110B, -115B - Pratt & Whitney JT8D Component Repair / Overhaul - Avionics: Instrument, Electrical System, Communication System, IFE, Navigation System, Computers, Controllers, Breathing Oxygen System, Galley Inserts - Mechanical: Gear Box, Heat Transfer Equipment, Cargo Handling System, Actuators - Fuel: Fuel Pump, Fuel Flow Regulator, Fuel Metering Unit, Fuel Microbiology Test - Hydraulic: Hydraulic Pump, Hydraulic Actuator, Power Control Package, Servo Valve - Pneumatic: Engine Starter, Air Motor, Pneumatic Valve, Ram Actuator - Safety: Slide Raft, Life Raft, Fire Extinguisher - Lavatory equipment: Vacuum Toilet, Tank, Faucet Landing Gear Repair / Overhaul - Boeing /400/500/600/700/800/900 - Boeing /300 - Boeing P/400F/400ER/ERF - Boeing Boeing /300/300ER - Boeing /300/200ER/300ER - Airbus A318, A319, A320 Composite Repair / Overhaul - Airbus A330 Trent 700 TR & NC - Airbus A320 V2500 A5 TR, FC & NC - Airbus A319, A320, A321 V2500 A5 CNA - Airbus A318, A319, A320, A321 CFM56-5B TR, FC & NC - Airbus A340 CFM56-5C TR - Boeing 737NG CFM56-7 TR, FC & NC - Boeing 777 Trent 800 TR, FC & NC - Boeing 777 GE90-90/94/110/115 TR, FC & NC - Boeing 777 PW4000 TR, FC & NC - Boeing 767, 747 CF6-80C2, TR - Boeing 767, 747 PW4000, TR Wheels & Brakes Repair / Overhaul - Boeing 737, 747, 757, 767, 777, Airbus A300, A310, A320, A321, A330, A340 - Embraer ERJ135, Bombardier CRJ100, CRJ200, CRJ700 Tyre Retreading - Boeing 737C/NG, 747, 757, Bombardier CRJ200 - Dash /400 - Dornier Embraer ERJ145 - Fokker 70/100 22

24 Aircraft Parts Production & Manufacturing Approvals: - HKAR-21 POA - CAAC PMA - FAA PMA - FAA TSO Authorisation QMS and Process Accreditations: - Boeing BQMS - Boeing approved special process D ISO 9001: AS9100C / EN 9100: Nadcap (Chemical Processing, Heat Treating, NDT) Calibration & Testing Accreditation: - CNAS ISO Design & Engineering Approvals: - HKAR-21 DOA - SAR-21 DOA - CAAC DMDOA - FAA STC and PMA ODA QMS Accreditations: - ISO 9001: AS9100C Maintenance Training & Examination Approvals: - HKAR CCAR EASA Part SAR HKCAD Aircraft Maintenance Basic License Examination Site - CAAC Aircraft Maintenance Basic License Examination Site - EASA Aircraft Maintenance Basic License Examination Site Aircraft Painting Non Destructive Testing (NDT) Hydrostatic Test Facility Approval: - U.S.A. - DOT Calibration Laboratory (CALMET) - HOKLAS accredited laboratory; Mutual Recognition Arrangement through APLAC on traceability of standards - CNAS accredited laboratory 23

25 Group Portfolio HONG KONG U.S. MAINLAND CHINA Airframe Services Line Services Cabin Solutions Private Jet Solutions Engine Services Component Services Inventory Technical Management Fleet Technical Management Parts Manufacturing Technical Training Associated Companies Goodrich Asia-Pacific Taikoo (Shandong) Aircraft Engineering Sichuan Aircraft Maintenance Engineering Goodrich TAECO Honeywell TAECO Dunlop Taikoo 24

26 Contact Us & Disclaimer Contact Us & Disclaimer Contact Us HAECO Group e-newsletter is published by: Hong Kong Aircraft Engineering Company Limited 80 South Perimeter Road Hong Kong International Airport Hong Kong Editorial and subscriptions: Corporate Communications Hong Kong Aircraft Engineering Company Limited For subscriptions and comments on HAECO Group e-newsletter, please contact us at: Tel: (852) Fax: (852) Disclaimer HAECO Group e-newsletter is a quarterly publication by Hong Kong Aircraft Engineering Company Limited (HAECO). It is only intended as an informative journal on the Group s business activities and issues related to the industry. All rights reserved. No part of this publication may be reproduced, duplicated, adapted or transmitted in any form by any means without prior authorisation of the Publisher. Hong Kong Aircraft Engineering Company Limited 香 港 飛 機 工 程 有 限 公 司

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