Aviationfly – Pilot Training Industry – Market Intelligence – Week 19 of 2021

Aviationfly – Pilot Training Industry – Market Intelligence – Week 19 of 2021

Every Monday Aviationfly releases the latest Aviation Industry news headlines, Marketplace Request for Proposals and Supplier Directory updates from the previous week. Here is a recap of last week (we are temporarily not publishing Marketplace or Supplier Directory updates):

Aviation Industry News:

  • Are we seeing a new trend in the pilot training industry in the US..
    Following last year's focus on combining flight training with further education (university degree programs) there are signs of another trend in the US. Over the past few months there have been a number of announcements of US Flight Training organizations introducing training programs which integrate advanced simulator training components:
    - European Group OSM Aviation which has a Flight School in Florida has just announced its new Hercules Program. This program takes students from no flying experience to having a FAA ATP Frozen and a FAA A320 Type Rating
    - Purdue University obtained FAA Level 5 qualification for their MPS A320 and Boeing 737 FTDs to develop an Enhanced Qualification Program through which the amount of flight hours under FAA requirements may be reduced due to the quality of instruction and training.
    - ATP Flight School began including the advanced simulator training (ATP CTP) in the Airline Career Pilot Program, through its ATP JETS (Part 142) training center in Dallas.
    - CAE: Did CAE pioneer this trend with its JetBlue program?
    Source and discussion through this link.
  • Did you know that popular pilot training aircraft manufacturer Diamond Aircraft Group is owned by a Chinese Group and that their production line is running at full capacity!
    The Group has:
    - Orders until 2022
    - Production facilities in Norther America, Europe and Asia
    - Recently received state investment from Chengfeng Equity Investments to accelerate the development of the General Aviation market in China
    - Owns the first gasoline-electric hybrid aircraft that had successful test flights
    Very interestingly the Chinese Government has for the first time included "low-altitude economy" in its national 5 year plan strategy - to prioritize the development of the industry.
    Source and discussion through this link.
  • As Airlines all over the world exit their flight training school operations - the trend in the US seems to be going the opposite way..
    In September of 2018, Leadership In Flight Training (LIFT) Academy opened its hangar doors at Indianapolis International Airport to train individuals from zero flight experience (ab initio) through all the certifications necessary for the airlines. Just two and a half years later, its first group of students are ready to make the move they’ve dreamt about for so long—taking off as a commercial airline pilot with Republic Airways. Republic’s LIFT Academy is one of the few U.S. airline-owned and operated flight training programs, When it launched in 2018, it began its mission to make flight and maintenance training attainable and accessible to anyone with the passion and aptitude for a career in the airlines. Less than three years later, is has nearly 300 students from all over the United States that train in Indianapolis with LIFT and its curriculum designated for airline training.
    Source and discussion through this link.
  • Could this be the first flight school globally conducting all flight training using electric aircraft?
    Dutch Flight School E-Flight Academy has officially started flight training its first student this week for a Private Pilot License course using only its electric aircraft training fleet! While I know a lot of large Flight Schools which have placed orders for electric training aircraft, announced their intention to start conducting more flight training using electric aircraft or are even in the final trial stages of using electric training aircraft this is the first one I have come across that is a brand new flight school which is starting with using only its electric training aircraft. The Flight School currently has 2 Pipistel Velis Electro.
    Source and discussion through this link.
  • Pilot Training Manufacturer ALSIM continues to deploy devices - in April it announced the following:
    - Italian Flight School Sky Services Flight Academy acquires an ALSIM ALX
    - Canada based Canada Training Solutions (CTS) which exists to help flight schools incorporate proven innovations within their program acquires an ALSIM AL250 which will be placed in Ottawa in a location surrounded by several high-quality flight schools.
    Check out the profile of ALSIM.
  • Vietnamese Airline announces the first Airbus A320 Type Rating course in its own simulator training center!
    The first course this month is organized by Airbus Vietnam Training Center (AVTC) and Vietjet Aviation Academy (VJAA) in its training center in Ho Chi Minh City. It seems that the program is open to external customers but will also be the main training center for anyone looking to join Vietjet’s Cadet Pilot Line Training Program (Initial Operating Experience)
    Source and discussion through this link.
  • There are some pilot training organizations which continue to invest into their infrastructure - one of these which is investing aggressively is UK headquartered global pilot training group - Skyborne
    Since the beginning of the year Skyborne has announced the acquisition of a major flight school in Florida, US - establishing Skyborne Airline Academy Vero Beach and now is announcing the opening of new accommodation block for trainee pilots in the UK. ‘In 2019, we completed our purpose built 13,000 square foot airline training centre and headquarters at Gloucestershire Airport. Now, this spring we open our new accommodation centre in Cheltenham.’ The accommodation provides 88 trainees with their own private, ensuite bedrooms, a kitchen on each floor, laundry facilities and a large common room. Skyborne has also announced the arrival of of a batch of IndiGo pilot training students to its new flight school base in Vero Beach Florida.
    Source and discussion through this link.
  • Are high cost of new training aircraft pricing a large number of aspiring pilots out of becoming pilots? Interesting article by Forbes on the development of pricing of general aviation aircraft and discussion on LinkedIn
    Key highlights:
    - In 1970 a Cessna 172 was 1.3 times the average salary in the U.S. and a Bonanza was 5 times the average. Today it is 6 times the average salary for a 172 and 14 times the average salary for a Bonanza. The price of a new Cessna 172 was US$12,500 in 1970 and the average salary in the United States was $6,186.
    - Current ask for a new C172 is around $432,000
    - Piper debuted a new Piper 100i (a more affordable aircraft for flight schools) which ranges between $259,000 to $285,000
    - Chinese-owned Cirrus Aircraft's SR-22 model which is parachute equipped is set to cost $755,000
    - The electric Light Sport Aircraft from Pipistrel - Velis Electro goes for around $233,000
    - Interestingly in 1978 the highest number of light aircraft was sold in the US at around 18,000 aircraft while in 2019 only 1,324 aircraft were sold.
    Source and discussion through this link.
  • US based - Delta joins United, American and Spirit by announcing plans to resume pilot hiring this year..
    - Airlines are preparing for an increase in travel demand and dozens of pilot retirements in the coming years.
    - The Atlanta-based carrier will start by adding 75 pilots who have conditional job offers in June through August “and will likely increase the number of new pilots by September,” John Laughter, Delta’s senior vice president and chief of operations, wrote in a staff memo, which was seen by CNBC.
    - Airlines extended job offers to hundreds of pilots last year but the the Covid-19 pandemic halted their training. Carriers then offered early retirement and temporary partially paid leave to pilots and other employees to reduce head count as travel demand plunged.
    - Now carriers are aiming to add new pilots as hundreds of their current aviators approach the federally mandated retirement age of 65.
    Source and discussion through this link.
  • Great to see more aircraft orders being highlighted in the media over the past week..
    - US based Breeze Airways looks to boost Airbus A220 order with an additional 20 jets to bring its total order to 80 aircraft! This would Breeze the second biggest customer of the A220 after Delta Airlines and ahead of JetBlue (which Breeze founder David Neeleman founded previously)!
    - An undisclosed customer ordered 30 Embraer E195-E2 Aircraft - who do you think placed this order?
    Source and discussion through this link.
  • Airbus CEO: Demand for Single-Aisle Jets to Increase ‘Sharply’ in 2022
    Airbus CEO Guillaume Faury said Thursday that while the outlook for an aerospace rebound remains complex globally, the outlook for the U.S. is “quite bullish and looking for a very strong summer” and that a ramp-up in demand for single-aisle jetliners, “is coming sooner now.” In 2019 the company was cranking out 60 A320s a month, the combined output of four locations, and was aiming to increase production rates even more. By contrast its current rate is about 40 per month with plans for slow growth to 45 per month by year’s end. Single-aisle jets, particularly long-range versions, are expected to be in demand as passenger traffic slowly returns to pre-COVID levels.
    Source and discussion through this link.
  • More than 90 New Airlines are scheduled to launch in 2021
    More than 90 new carriers, most with funding already secured, have plans in place to take off before the end of the year, according to Avolon, an aircraft leasing firm.
    Some of these new operators are:
    - Avelo Airlines
    - Breeze Airways
    - Norse Atlantic Airways
    There is a huge community of pilots looking to take to the skies again - "On its first day, Norse received 20 job applications a minute. In its first week, the aspiring low-cost trans-Atlantic carrier said it received 8,000 applications."
    Source and discussion through this link.
  • Did you know that since the beginning of March, the number of Chinese domestic flights operated has exceeded not only 2020 levels, but 2019 levels!
    "The rebound is all the more remarkable because, during the recent Lunar New Year, average daily flights fell to less than 5,000. The rebound in China is fuelled by vaccination rollouts, testing regimes, the easing of quarantine and travel restrictions, and a growing public sentiment that it is safe to travel again. Analysis from mid-April also published by CAPA suggests average airfares have recovered to 96% of 2019 levels. Passenger load factors were running at 73% earlier in April. For much of 2020, domestic airline activity in China knocked the United States from its usual mantle of being the busiest domestic airline market in the world. But the United States has also experienced a swift turnaround in flying activity this year. The United States has safely reassumed its commanding position as the world’s busiest domestic airline market."
    Source and discussion through this link.
  • Will the recovery of international routes of some of the large airlines be tied to vaccine tourism schemes?
    The Maldives looks to launch Vaccine Tourism Scheme.
    Source and discussion through this link.
  • Did you know that one out of every 20 COVID-19 vaccines administered around the world has transited through Dubai on an Emirates aircraft!
    So far, Emirates SkyCargo has transported around 59 million doses of COVID-19 vaccines on its flights, placing Dubai at the centre of the global COVID-19 response through the Dubai Vaccine Logistics Alliance.
    Source and discussion through this link.
  • Big news from Pharmaceutical Company Pfizer!
    Announcing possible game-changer for dealing with the pandemic by the end of the year..
    It is currently in the phase 1 of the trial program for a coronavirus oral antiviral pills - the therapy could be "prescribed at the first sign of infection" for patients without requiring hospital care!
    Source and discussion through this link.

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