Aviation
Brazil Snubs Boeing in Fighter Jet Deal
SÃO PAULO — In a disappointment for Boeing, Brazilian defense officials said on Wednesday that they had picked the aircraft maker Saab for a $4.5 billion contract to build 36 fighter jets over the next 10 years.
The Brazilian defense minister, Celso Amorim, told reporters at a news conference in Brasilia that Saab was selected over Boeing because it had agreed to share more technology with contractors and because many parts for the new jet, the Gripen NG, would be made in Brazil.
The decision “took into account performance, the effective transfer of technology and costs, not only of acquisition, but also of maintenance,” Mr. Amorim said in a statement. He was accompanied by Gen. Juniti Saito, the Brazilian air force’s chief of staff. “The decision was based on these three factors.”
The announcement comes at a time of heightened tension between the United States and Brazil. In September, the Brazilian president, Dilma Rousseff, canceled a state visit to the United States after revelations that the National Security Agency was spying on foreign heads of state, including her.
In a speech at the United Nations that month, Ms. Rousseff gave a blistering attack on the United States for its “illegal interception of information and data.”
In a response to the outcry over the spying, a panel of advisers for President Obama on Wednesday recommended limiting the wide-ranging collection of personal data and restricting operations to spy on foreign leaders.
When asked at the news conference if the spying had anything to do with the decision to award the contract to Saab, Mr. Amorim did not answer directly, instead repeating reasons of cost and technology sharing.
Analysts said Brazil had many financial and practical reasons to award the contract to Saab.
Richard L. Aboulafia, an aviation analyst at Teal Group in Fairfax, Va., said that while Brazil’s disenchantment over the N.S.A.’s spying could have played a role in the decision, costs were probably a bigger factor.
“You’re talking about a military service that doesn’t need a heavyweight front-line fighter and has suffered a budget squeeze and hasn’t been able to fly the planes that it owns,” he said.
He added that a basic version of the Saab jet might cost about $45 million, compared with $55 million for Boeing’s basic F/A-18 Super Hornet.
And the Gripen’s fuel costs would be half of that for the Boeing plane. Both jets use the same engine, but the Super Hornet has two engines and the Gripen one.
A study by the military publisher IHS Jane’s said that the Gripen costs about $4,700 an hour to fly — the lowest among modern fighter jets — compared with the $11,000 for the Super Hornet.
Boeing said that the decision was “disappointing” and that it would talk to the Brazilian air force to better understand it. The company, based in Chicago, said it would still look for chances to expand its partnerships in Brazil.
The loss was also difficult for Boeing because there are only a few fighter competitions going on around the world and the United States Navy plans to stop buying the F/A-18’s.
While most countries that want high-tech fighters are buying Lockheed Martin’s more advanced F-35, many other countries cannot afford even top older models like the F/A-18. So far, Australia is Boeing’s only export customer for the jet.
By contrast, Saab’s more workaday Gripen models are flown by several other countries.
Brazil originally began its quest for new fighters to replace its aging Mirages more than a decade ago. Brazil’s former president, Luiz Inácio Lula da Silva, wanted to buy Dassault’s Rafale fighter jets in 2009 instead of the F/A-18.
But a change in administration in Brazil, and the country’s deteriorating financial condition, helped alter the equation. A Brazilian news report on Saturday said that Dassault had already been eliminated from the competition even though the French president, François Hollande, backed the jet on a visit to Brazil last week.
Terms of the deal must still be negotiated over the next year, but delivery of the first batch of Gripen NG jets is expected in 2018.
Also on Wednesday, Boeing announced the promotion of Dennis A. Muilenburg, the head of its military business, to vice chairman, president and chief operating officer of the company.
Analysts said that move made Mr. Muilenburg, 49, the heir apparent to Boeing’s chief executive, W. James McNerney Jr., who is 64.
Ray Conner, the chief executive of Boeing’s commercial airplane division, was also named a Boeing vice chairman while keeping his current responsibilities. Christopher M. Chadwick, 53, will succeed Mr. Muilenburg as chief executive of Boeing’s military unit.
The Nigeria Civil Aviation Authority (NCAA) has announced stringent measures against pilots and crew members who work for multiple airlines concurrently, a practice it describes as a serious safety violation.
In a letter dated November 6, 2024, Acting Director-General, Chris Nojomo warned that pilots operating for more than one airline without specific safety protocols pose significant risks to Nigeria’s aviation sector.
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The directive, titled “Prohibition of Ad-Hoc Flight Operators for Multiple Airlines,” noted that NCAA surveillance reports revealed multiple cases of unauthorized cross-airline work by flight crews, which the agency now plans to address.
According to the NCAA, simulator and proficiency checks endorsed on a pilot’s license are valid only for the specific airline and training program under which they were issued.
The letter stated, “With effect from the date of issuance of this directive, all operators and holders of pilot licenses are informed that this action will be treated as a violation of the Nigeria Civil Aviation Regulations.”
The NCAA’s new policy, effective November 11, 2024, warns that violators will face strict enforcement actions. Moving forward, simulator renewals will also be filed directly with individual operators, further tightening the agency’s oversight.
In a bold step to strengthen Akwa Ibom’s position in Nigeria’s aviation industry, Governor Umo Eno announced the addition of two new Bombardier CRJ900 aircraft to the fleet of the state-owned airline, Ibom Air, on Friday.
The two aircraft, registered as 5N-CED and 5N-CEE, mark a milestone in the state’s commitment to strategic investment, with the governor stressing that the acquisitions were fully funded by state resources without loans from financial institutions.
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At a welcoming ceremony attended by local officials and residents, Governor Eno emphasized his administration’s mission to drive revenue-generating ventures for Akwa Ibom rather than relying on debt.
He called the move a step toward breaking the cycle of government investments that only serve to pay off loans, vowing that the state’s funds would go towards projects that bring returns to the people.
The governor challenged Ibom Air to turn a profit by 2025, stating that the airline’s management should ensure routes in and out of Uyo remain dependable to prioritize the needs of Akwa Ibom travelers.
“As long as I remain governor, we will continue to use state funds for the benefit of all, not for private gain,” he said, noting that his administration aims to ensure that public investments deliver real value to the state.
Governor Eno also provided updates on several ambitious state projects, including an 18-story commercial complex underway in Lagos and an upcoming 4-star hotel in Abuja, both designed to generate revenue for Akwa Ibom.
Plans for an international market in Ikot Ekpene and the phased opening of a new terminal at the Victor Attah International Airport were also announced, with the airport terminal set for partial operation by December and full activation in early 2025.
Speaker of the Akwa Ibom State House of Assembly, Udeme Otong, commended Eno’s financial management, highlighting that the administration has avoided seeking loans over the past 18 months despite launching significant development projects.
Ibom Air’s Chairman, Pastor Imoabasi Jacob, expressed appreciation for the state’s investment in the airline, which has seen its fleet grow to nine aircraft.
Jacob credited the governor’s support with enabling Ibom Air to boost flight capacity, meeting demand on popular routes such as Uyo-Lagos-Abuja.
Captain Mfon Udom, CEO of Ibom Air, stated that the expanded fleet will improve efficiency and allow the airline to scale up its operations in time for the Christmas travel season.
Udom also noted that the airline anticipates the delivery of nine additional Airbus planes, which will further strengthen Ibom Air’s market presence.
Traditional leaders, including HRM Edidem Ita Edet Okokon III of Okobo Local Government Area, lauded the governor’s leadership, pledging continued support from the traditional institutions.
Anie Essienette, Group Manager for Marketing and Communications at Ibom Air, noted that demand for the airline’s services has surged nationwide, with the new CRJ900 aircraft helping meet this increasing need while the airline awaits further fleet expansion.
Nigeria’s Minister for Aviation and Aerospace Development, Festus Keyamo is of the view that there’s no cause for alarm over the approval of a private airstrip for a religious organisation, which attracted the attention of the House of Representatives.
He took to his verified handle on micro-blogging site, X, on Friday morning to shed light on the subject, and explained that it could be a great source of revenue for Federal Government.
Keyamo asserted that the issue was raised by an honourable member at plenary, out of ignorance, but was “unanimously referred to the Aviation Committee to look into.”
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Keyamo expressed confidence that by the time his Ministry was done enlightening them, “they will be satisfied”.
He added that “the privates air strip owners pay the Federal Government handsomely for these services.”
Keyamo wrote, “I think this is not correct. The House of Reps. as a body did not call on the Minister to revoke the license of any private airstrip.
“I think what happened is that someone moved a motion in that regard and it was unanimously referred to the Aviation Committee to look into it.
“Whilst the intention of the Hon. Member who moved it is very patriotic, it was based on a complete lack of knowledge of the aviation sector.
“By the time we explain to them how private air strips work and the processes they undergo by our agencies before the final approval, they will be satisfied.
“The responsibility of the owners of private air strips is just to build the runway and terminal building. But after they build the control tower in particular, it is completely handed over to the Federal Government through NAMA (Nigerian Airspace Management Agency) which is in complete control of the entire airspace in Nigeria. An MOU is usually signed with NAMA in this regard before the airstrip is approved for operations.
“It is NAMA that provides the Air Traffic Controllers and Engineers in ALL AIRPORTS and AIRSTRIPS IN NIGERIA. And the privates air strip owners pay the Federal Government handsomely for these services.
“No object flies into Nigeria without the prior clearance by NAMA and without filing a clear flight plan, eg, where it is taking off from and where it intends to land.
“And I have recently directed that all aircraft coming into the country MUST first land at our international airports where they would be properly processed and checked before they make their local flights into whatever airport or airstrip they intend to go. So, it is COMPLETELY AND TOTALLY impossible for any private airstrip owner to just jump on an aircraft and fly in and out of the country through that facility. The Federal Government does not permit that. You will not be cleared for take off or landing without prior request and authorisation.
“I thank the Member for his patriotism, but I wish he contacted us first to explain to him before rushing to move such a motion.
“I attach herewith for public consumption the NAMA Act that gives exclusive control of the Nigerian airspace to the Federal Government through NAMA.”
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