The Federal Aviation Administration (FAA) today issued a “Does Not Exceed (DNE)” determination for the proposed construction of 130 wind turbines in Nantucket Sound.
The FAA completed an aeronautical study and has determined that the proposed construction of the 130 wind turbines, individually and as a group, has no effect on aeronautical operations. Therefore, the FAA concludes that the project, if constructed as proposed, poses no hazard to air navigation.
The FAA makes obstruction evaluations based on safety considerations and the available solutions to mitigate potential risks.
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PR: FAA Proposes $185,750 Civil Penalty Against Kingfisher Air
ATLANTA – The Federal Aviation Administration (FAA) is proposing a civil penalty of $185,750 against Kingfisher Air Services Air Safari, Inc., of San Juan, P.R., for allegedly operating a Cessna 208B on 44 flights between June 2 and June 11, 2010, when it was not in compliance with Federal Aviation Regulations.
The FAA alleges that three pilots reported that the aircraft’s engine temperature exceeded the take-off limits before the carrier took the required maintenance action and had the engine repaired. The engine maintenance manual requires the operator to send the engine to an overhaul facility for a light overhaul when such problems are reported. The carrier failed to send the engine for overhaul after the first and second pilot reports.
Pilot Fatigue Fact Sheet
For Immediate Release
September 10, 2010
Contact: Alison Duquette or Les Dorr
Phone: (202) 267-3883
Last year, U.S. Transportation Secretary Ray LaHood and Federal Aviation Administration (FAA) Administrator Randy Babbitt identified the issue of pilot fatigue as a top priority during the Airline Safety Call to Action following the crash of Colgan Air Flight 3407 in February 2009. Administrator Babbitt launched an aggressive effort to take advantage of the latest research on fatigue to create a new pilot flight, duty and rest proposal based on fatigue science.
Updated rules are necessary and must take into account today’s modern, global aviation system. After years of debate, the FAA published a landmark Notice of Proposed Rulemaking (NPRM) in September 2010 which would allow pilots more rest and give airlines the flexibility to integrate fatigue science into their scheduling practices.
This new proposal recognizes that airplanes operate globally over multiple time zones and that short-leg, multi-leg, and long-haul flights all present challenges. In addition, technology has evolved to enable airplanes to fly much further than in the past. In this environment, a variety of factors can affect pilot alertness, judgment and performance. Those factors include: the time of day of a flight; day-night or night-day transitions; daytime sleep periods; time off between consecutive work periods; the number of takeoffs and landings in a given time period; the impact of time zone changes on circadian rhythms; early start times; and commuting.
The proposal includes provisions related to a pilot’s commute, including consideration of commute time when determining rest periods, and consideration of flight and duty time in relation to a pilot’s “home base.” The FAA welcomes public comment on strategies to address this important issue.
While FAA rules already state that a pilot must be fit for duty, the FAA is proposing to strengthen that requirement. Under the proposal, an air carrier would not be able to assign (and, a pilot would not be able to accept) an assignment if the pilot is too fatigued. In addition, a company employee who suspects a pilot of being too fatigued to perform his or her duties during flight would be able to report that information to the air carrier, so that the air carrier could make a determination of whether or not the pilot is too fatigued to fly.
The public will have 60 days to comment on all provisions in the proposal which is available at http://www.faa.gov/regulations_policies/rulemaking/recently_published/.
The FAA will then issue a final rule by August 1, 2011.
What is fatigue?
Fatigue is a general lack of alertness and degradation in mental and physical performance. There are three types of fatigue: transient, cumulative, and circadian.
In aviation, fatigue may cause a pilot to fall asleep during cruise flight or it may impact alertness during take-off or landing. The National Transportation Safety Board (NTSB) has included an item to “Reduce Accidents and Incidents Caused by Human Fatigue in the Aviation Industry” as an action area in their aviation safety “Most Wanted List.”
Although sleep science is evolving, research has indicated that most people need eight hours of sleep in 24 hours to perform effectively, and the average person needs in excess of nine hours of sleep per night to recover from accumulated sleep debt. Most people find it more difficult to sleep during the day than at night. In addition, the risks of fatigue and making a mistake increase the longer a person has been awake and working on a task.
Key differences between the new proposal and the current rules
The proposal reflects the universal nature of fatigue. The proposed rules would be the same for all types of Part 121 flights (passenger and cargo airlines): domestic, flag (international), or supplemental (unscheduled). There are currently different requirements for each of these categories of operations. The proposed rule does not apply to Part 135 operators, but FAA may address fatigue for Part 135 operators in the future.
Unlike the current rules, the proposal provides a circadian component for reducing the flight time and duty time when the pilot is operating in his or her window of circadian low.
The proposal clearly states that fatigue mitigation is the joint responsibility of both the airline and the pilot. A pilot may not accept an assignment if that pilot is too fatigued to fly.
The proposal would give airlines the flexibility to adopt individual Fatigue Risk Management Systems. Fatigue Risk Management Plans, recently mandated by Congress and now addressed by FAA policy, would set out a carrier’s own policies and procedures for reducing the risk of fatigue and improving alertness. These plans are specific to an air carrier’s type of operations, are subject to the FAA’s review and acceptance, and include fatigue education and awareness training.
Rest
The FAA proposes to set a nine-hour minimum for rest prior to flying-related duty, a one-hour increase over the minimum in current rules.
Flight Time
Weekly: Currently, pilots flying domesticallyare limited to 30 hours of flight time in any seven consecutive days. Those flying international operations are limited to 32 hours in seven consecutive days, and there is no seven-consecutive-day limit for supplemental operations. The proposal provides pilots with at least 30 consecutive hours per week free from all duty, compared to the current 24 hours free from all duty on a weekly basis – a 25 percent increase.
Monthly: Under the proposal, there is a 100-hour maximum for flight time in any 28 days. Current rules set a limit of 100 hours for every 30 days.
Yearly: There is a current limit of 1,000 hours in any calendar year for domestic flights. Under the proposal, all types of operations will now be limited to 1,000 hours per 365 days.
Duty Time
There is currently a 16-hour duty period between rest periods. The proposal would limit the daily flight duty period to 13-hours, which could slide to nine hours at night (depending on take-off time and number of segments scheduled).
Recent FAA guidance
The FAA has published the following guidance to help air carriers and pilots prepare Fatigue Risk Management Plans:
InFO: Fatigue Risk Management Plans (FRMP) for Part 121 Air Carriers – Part 2, August 19, 2010.
InFO: Fatigue Risk Management Plans (FRMP) for Part 121 Air Carriers – Part One, August 12, 2010.
Both InFOs are available at: http://www.faa.gov/other_visit/aviation_industry/airline_operators/airline_safety/info/all_infos/
Advisory Circular 120-100 Basics of Aviation Fatigue, June 7, 2010.
http://www.faa.gov/regulations_policies/advisory_circulars/index.cfm/go/document.list
Advisory Circular 120-103, Fatigue Risk Management Systems for Aviation Safety, August 3, 2010.
http://www.faa.gov/regulations_policies/advisory_circulars/index.cfm/go/document.list
Background
Withdrawal of the 1995 proposal
In order to move forward with a new rulemaking, the FAA formally withdrew the old proposal by publishing a notice in the Federal Register on November 23, 2009. The notice reiterated that the 1995 proposal was outdated and raised many significant issues.
Fatigue ARC
On June 24, 2009, Administrator Babbitt announced that the FAA would undertake an expedited review of flight and rest rules. This followed Administrator Babbitt and U.S. Secretary of Transportation Ray LaHood’s June 15 meeting with airline safety executives and pilot unions to strategize on how to best reduce risk at regional airlines. The FAA chartered an Aviation Rulemaking Committee (ARC), which began work in July. The ARC, which consisted of representatives from FAA, industry, and labor organizations, was charged with producing recommendations for a science-based approach to fatigue management. The ARC forwarded its recommendations to Administrator Babbitt on September 9, 2009.
2008 FAA Fatigue Symposium
In June 2008, the FAA sponsored the Fatigue Symposium: Partnerships for Solutions to encourage the aviation community to proactively address aviation fatigue management issues. Participants included the NTSB, the Institutes for Behavior Resources, Inc., and many of the world’s leading authorities on sleep and human performance. The symposium provided attendees with the most current information on fatigue physiology, management, and mitigation alternatives; perspectives from aviation industry experts and scientists on fatigue management; and information on the latest fatigue mitigation initiatives and best practices.
FAA Achieves Major NextGen Milestone
FAA Achieves Major NextGen Milestone with Contract for Digital Communications in Aircraft
Today, the Federal Aviation Administration (FAA) announced a significant step forward in its Next Generation Air Transportation System (NextGen) programs, awarding a contract that will supplement the voice communications currently used in commercial aviation with a digital system for clearer, more efficient communication between air traffic controllers, the flight deck and pilots.
The FAA selected Harris Corporation Government Communications Systems to provide Data Communications Integrated Services (DCIS), with a subcontracting team that includes ARINC Inc., GE Aviation and Thales.
“The FAA’s commitment to Data Communications is a critical next step for improving air safety, reducing delays, increasing fuel savings and improving the environment,” said Acting Administrator Michael P. Huerta. “When fully implemented, DataComm will make work safer and more efficient for both the air traffic controller and the pilot.”
Voice communication is currently the primary means of relaying information in air traffic management. However, voice communication is not the most effective way for air traffic controllers and pilots to communicate because it can be time-consuming and limiting. DataComm supplements today’s analog voice-only air-to-ground communications system with a digital system, and it will become the primary mode of communication in air traffic in the future.
DataComm will provide a two-way data exchange between controllers and flight crews for clearances, instructions, advisories, flight crew requests and reports. It will enhance air traffic safety by allowing controllers to give more timely and effective clearances, and more reliable messages to reduce the risk of incidents associated with voice communications. It will also help air traffic controllers safely handle more traffic by reducing congestion on radio frequencies and related errors.
The FAA will deploy data communications in air traffic control towers by 2016 and in air traffic facilities that manage high altitude traffic beginning in 2019. The $331 million contract covers seven years, with 10 additional one-year options. Harris Corporation will also be responsible for contracting directly with communication service providers to establish Data Communications Network Services.
Press Release – FAA Dedicates Recovery Act Funded Fire Station at LAX
For Immediate Release
November 22, 2010
LOS ANGELES, Calif.–The Federal Aviation Administration (FAA) today dedicated a new, state-of-the-art fire station at Los Angeles International Airport (LAX) funded by nearly $11 million from the American Recovery and Reinvestment Act.
“This project is an example of how the Recovery Act has not only stimulated the economy but also funded a critical safety improvement at one of the world’s busiest airports,” U.S. Transportation Secretary Ray LaHood said. “The new fire station will help ensure the safety of all passengers at LAX for years to come.”
At 27,500 square feet, the new station is twice as big as the old facility, which was built in 1985. The new station better accommodates the size, volume and nature of today’s emergency response equipment. It has seven bays to house and maintain fire rescue vehicles and also provides living, training and administration areas for 14 firefighters.
“As a former airline pilot, I know very well how important it is for airports to have the best possible emergency response,” FAA Administrator Randy Babbitt said. “That’s exactly what this new station provides for LAX.”
The new station is located on the airfield midway between the north and south runway complexes. Construction on the station began in the summer of 2009 and was completed in October 2010. Firefighters moved into the station this month.
Nationwide, $1.3 billion in Recovery Act money has been made available for both airport improvement projects and air traffic control facility and system upgrades. These Recovery Act grants have been distributed to airports that serve commercial passengers, cargo and general aviation.
Bristow Group Inc. Announces $375 Million Credit Facility
BRS announced today that it has entered into a $375 million senior secured credit facility, replacing the Company’s existing bank credit facilities and providing funds to redeem a portion of Bristow’s senior notes.
The new credit facility includes a five-year, $175 million revolving credit facility and a five-year, $200 million term loan. The term loan will be used to redeem the Company’s $230 million, 6 1/8% senior notes due 2013 on December 23, 2010. The revolving credit facility, which represents a $75 million increase in corporate liquidity, increases strategic and financial flexibility and will be used for general corporate purposes, including working capital. It is anticipated that the Company also will draw on the new $175 million revolver to fund the remaining portion of the redemption of the 6 1/8% senior notes.
“We are committed to lowering our cost of capital and improving our financial performance in order to create superior value for all our stakeholders. This new credit facility is just one step toward achieving that goal,” said William E. Chiles, Bristow’s President and Chief Executive Officer. ”We expect this new facility to support our strategic and growth initiatives going forward, while improving overall liquidity.”
Borrowings under the revolving credit facility and term loan bear interest at a rate equal to, at the Company’s option, a Base Rate or LIBOR plus a borrowing margin ranging from 0.625% to 2.875% based on the Company’s leverage ratio. These margins were flexed downward by 0.125% across all levels from the initial syndicated pricing grid. The initial margin for borrowings will be the greater of 2.50% per annum or the appropriate percentage based on the leverage ratio until delivery of the financial statements for the quarter ended June 30, 2011, when the borrowing margin will be determined by the Company’s leverage ratio. Based upon current one-month LIBOR levels plus the borrowing margin of 2.50%, the all-in borrowing rate would be approximately 2.75% today. Base Rate is defined as the higher of the per annum rate the administrative agent publicly announces as its prime lending rate as in effect from time to time and the Federal Funds rate plus 0.50% per annum.
The Company’s obligations under the new credit facility are guaranteed by certain of the Company’s principal domestic subsidiaries and secured by the U.S. accounts receivable, inventory and non-aircraft equipment of Bristow Group Inc. and the guarantor subsidiaries, and all and 65% of the capital stock of certain of the Company’s principal domestic and foreign subsidiaries, respectively.
As a result of the redemption of the 6 1/8% notes, the Company will incur an approximately $2.3 million redemption premium and $2.4 million in non-cash expense associated with the write-off of unamortized debt issuance cost in the third fiscal quarter. The $2.3 million redemption premium will be recorded to other income (expense), net, and the $2.4 million non-cash expense will be recorded to interest expense. The approximately $4.7 million in total expense is expected to reduce earnings per share by approximately $0.12 in the third fiscal quarter, which includes a portion of the tax benefit recognized on this expense. On an annualized basis, Bristow expects earnings per share to be reduced by $0.08, reflecting the full-year tax benefit.
“We are fortunate to be partnering with such a solid bank group with better terms than our previous credit facilities and competitive rates for this new credit facility, as it will enable us to lower our cost of debt and increase our liquidity going forward. Although we take an upfront cash charge of $2.3 million, the cash net present value benefit of this bank refinancing to the maturity date of the 6 1/8% notes in June 2013 assuming a constant borrowing rate of 2.75% would be approximately $14 million,” said Jonathan Baliff, Bristow’s Senior Vice President and Chief Financial Officer. “This new facility, coupled with our prudent capital structure, should provide our Company with ample strategic and financial flexibility for managing our business, while improving our ability to make debt repayments and restricted payments such as dividends and stock repurchases.”
Bristow partnered with SunTrust Bank as administrative agent and JPMorgan Chase Bank, Bank of America, Wells Fargo Bank, Regions Bank and BBVA Compass as other senior lenders.
Bristow Group Inc. is the leading provider of helicopter services to the worldwide offshore energy industry based on the number of aircraft operated and is one of two helicopter service providers to the offshore energy industry with global operations. The Company has major transportation operations in the North Sea, Nigeria and the U.S. Gulf of Mexico, as well as in most of the other major offshore oil and gas producing regions of the world; including Alaska, Australia, Brazil, Mexico, Russia and Trinidad. For more information, visit the Company’s website at http://www.bristowgroup.com/.
Statements contained in this release that state the Company’s or management’s intentions, hopes, beliefs, expectations or predictions of the future are forward-looking statements. These forward-looking statements include intended use of proceeds, expense related to the redemption, earnings per share reduction, net present value benefit and affect of the credit facility. It is important to note that the Company’s actual results could differ materially from those projected in such forward-looking statements. Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the Company’s SEC filings, including but not limited to the Company’s registration statement relating to the offering. Bristow Group Inc. disclaims any intention or obligation to revise any forward-looking statements, including financial estimates, whether as a result of new information, future events or otherwise.
Symposium Announced: Airline Code-Sharing Arrangements and Their Role in Aviation Safety
Date and Location:
October 26 – 27, 2010
NTSB Conference Center
Short Description:
The goals of the symposium are to (1) elicit information on the structures, practices, and oversight of domestic and international code-sharing arrangements; (2) gain insight into best practices regarding the sharing of safety information between airlines and their code-sharing partners; and (3) to explore the role that a major airline would have in the family disaster assistance response for an accident involving a code-sharing partner. These areas will be explored through presentations from major and regional airlines, industry organizations, and representatives of the traveling public.