Aviation Week & Space Technology - 3 November 2014

(Axel Boer) #1
ment into air trafc control towers, as
well as new airfield radar systems and
navigation aids with work beginning
in April 2015, prioritizing on new radio
systems. £400 million will be spent on
new equipment.

Russia Upgrades ASW Helos
The Russian navy plans to enhance its
antisubmarine warfare (ASW) capability
by upgrading about 50 of its Kamov Ka-
27PL (Helix-A) antisubmarine rotorcraft
fleet after the trials of the modernized
Ka-27M version are completed this fall.
The major advantage of the upgraded
variant is that it is equipped with the
new Kopye-AA radar designed by
Moscow-based Phazottron-NIIR. It will
replace the aging Osminog search-and-
sighting system. With the Kopye-AA,
the Ka-27M can operate 100-150 km
(62-94 mi.) from its ship at an altitude of
4-5 km. The new radar also provides a
360-deg. observation range of 200 km.
Kopye-AA is a tactical command system
that enables the helicopter to have full
situational awareness and send data
about the situations and targets to a
command post on a combat ship or on
shore, explains Phazotron-NIIR Chief
Designer Yury Guskov. The new radar
also can detect and track airborne tar-
gets, but the main task remains surveil-
lance of underwater targets.

DEFENSE


Power Deal
The Pentagon’s latest pact for 48 F135s
from Pratt & Whitney for the single-
engine F-35 program will cost $1.
billion, according to U.S. Air Force Lt.
Gen. Christopher Bogdan, program
executive ofcer for the F-35. This is
4.5% lower than for the previous lot,
he says. The Pentagon announced the
deal on Oct. 30 as a $793 million modi-
fication to an earlier contract. “Pratt
& Whitney has shown a commitment
to getting back on the ‘war on cost’
curve,” Bogdan said.


Rockets from V-
Bell Helicopter is to carry out live-fire
trials of guided rockets from the V-
Osprey later this month. The self-funded
program, will see the company’s Osprey
testbed launch guided. rockets from a
single pod mounted on the starboard
forward fuselage of the tiltrotor, at
the Yuma Proving Grounds, Arizona.
Forward-firing weapon capabilities for
the V-22 are of particular interest to Air
Force Special Operations Command.


Slovakia Orders C-27Js
The Slovakian government has
ordered a pair of AleniaAermacchi
C-27J Spartan airlifters as part of the
modernization of the country’s air


force. The type will replace aging An-
tonov An-26s. The first Slovak C-27 is
scheduled to be delivered in 2016, and
the second in 2017.


NATS and Thales Win Deal
Aquila, a consortium of Thales and air
navigation service provider National
Air Trafc Services has secured a 22-
year £1.5 billion ($2.4 billion) contract
to modernize air trafc management
services at military airfields operated
by the U.K. Defense Ministry. The proj-
ect will fit new workstations and equip-


SPACE


GSAT-16 Launch On Deck
India’s next national communication
satellite, GSAT-16, is scheduled to be
launched in December to augment its
communications capability and boost
existing services. The 3,150-kg (3.5-
ton) satellite will be dual-manifested
on a European Ariane 5 rocket along
with another satellite, DirecTV-14, says
a senior scientist at the Indian Space
Research Organization. The liftof of
GSAT-16, initially slated for next year,
has been advanced by six months to
meet the rapidly growing demand for
GSAT services. The GSAT-16 satellite
is expected to replace Insat-3E as the
primary Indian communication satel-
lite orbiting the Earth.

BUSINESS


Boeing Debt Rated High
In nearly identical afrmations last
week, both Standard and Poor’s Rat-
ings Services and Moody’s Investors
Service assigned “A” and “A2” ratings,
respectively, to Boeing’s upcoming
$850 million debt issuance. The rating
agencies gave high-ranking credit scores
to Boeing’s unsecured notes despite a
newly forecast softening in so-called free
cash flow, which could pinch near-term

The World


For more breaking news, go to AviationWeek.com

16 AVIATION WEEK & SPACE TECHNOLOGY/NOVEMBER 3/10, 2014 AviationWeek.com/awst


Antares Blast Rocks Orbital-ATK Deal
The Antares rocket explosion over a Virginia launch pad last week may yet have its most
profound reverberations on Wall Street next month. That is because shareholders of rocket
provider Orbital Sciences Corp. and Alliant TechSystems are scheduled to vote Dec. 9 on
the companies’ April proposals to split up ATK and merge its aerospace side under Orbital.
The $5 billion merger was hailed by fnancial analysts as a long-overdue consolidation
and natural alignment in the space-access sector. Engineers and government customers,
meanwhile, sensed a quicker solution to the Russian-born AJ-26 engine. But all of it was
based on expected fnancial results, starting with revenue from NASA, which now could be
called into question by the Antares loss (see page 26).
According to analysts, Orbital could pay “millions of dollars” just to investigate the failure,
let alone repair the Wallops Island launch pad and even more to speed an AJ-26 replacement.
While losses from the accident should be covered by Orbital’s insurance, any new spending
and future questions over Orbital’s reliability standing with NASA could impinge growth.
Orbital Chairman and CEO David Thompson said last week the planned merger and re-
spective Orbital and ATK shareholder votes had not been affected. “As far as I know, things
will continue.” Launch failures do not trigger anything in the merger terms, he noted, and
those involved already understand the business risk of a failure.
But the Antares failure also comes amid lawsuits and intellectual property-theft charges
in Orbital’s supply chain, as well as diminishing enthusiasm among ATK shareholders as
that company’s gun-oriented business confronts fears over a downturn in the sport-shooting
market. After the “unfortunate failure” of Antares, ATK said it “is conducting a thorough
evaluation of any potential implications,” including the merger.
Wall Street expects it to proceed. “We’ve always liked the strategic logic of the Orbital
deal,” RBC Capital Markets analysts said. “But regardless of the merger, we see ATK pro-
ceeding with two publicly traded companies given their distinct end-market dynamics.”

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