SR technics and Gulf air
Thread Starter
Join Date: Jul 2006
Location: FOX HOLE
Posts: 21
Likes: 0
Received 0 Likes
on
0 Posts
SR technics and Gulf air
Dubai group in Swiss aerospace takeover
By Kevin Done in London and Haig Simonian in Zurich
Published: September 8 2006 03:00 | Last updated: September 8 2006 03:00
The emirates of Dubai and Abu Dhabi are taking over Zurich-based SR Technics, the world's leading independent provider of aircraft maintenance, repair and overhaul (MRO) services, in a deal worth SFr1.6bn (£687m).
It is the biggest takeover involving Dubai Aerospace Enterprise since the government of Dubai said in February that it planned to invest about $15bn (£8bn) in aerospace manufacturing and aviation services to make the Gulf state a leading player in the sector within 10 years.
The acquisition from 3i and Star Capital, private equity groups, is being made by a consortium that includes DAE, Mubadala Development, the investment arm of the Abu Dhabi government, and Istithmar, a Dubai-based investment house.
The emirates have chosen aviation and aerospace as key strategic sectors for investment, encouraged by the rapid growth of Emirates, the Dubai-based airline, and of Dubai airport as a hub for international air travel.
The consortium will hold more than 90 per cent of SR Technics with Mubadala taking 40 per cent of this, DAE and Istithmar 30 per cent each, and the management of SR Technics the rest.
Mubadala was a member of the consortium led by Goldman Sachs that failed earlier this year to take over BAA, the UK airports operator.
DAE aims to expand in areas that include international airport development, aircraft leasing and financing, specialist aerospace education and training, MRO, components and engine manufacture and assembly, and final completion of aircraft.
It has appointed Bob Johnson, the former chief executive of Honeywell Aerospace, a US systems supplier, as chief executive.
DAE University has joined with Cranfield University of the UK to create the first aerospace university in the Middle East, which is due to open next month.
Other building blocks in the development of the emirates' ambitions include the £700m takeover by Dubai International Capital at the end of last year of Doncasters, the UK-based engineering group and a components supplier to aircraft and jet-engine makers.
SR Technics emerged from the bankruptcy of Swissair, the former Swiss airline, which collapsed in late 2001.
Copyright The Financial Times Limited 2006
What is going on with GF, they just left Gamco for SR to get away from Etihad and the politics and now they're back with the same problem if not worst....Your competitor is in charge of your maintenance ....After more than 50 years in business, why aren't they having their own maintenance???
Can someone elaborate for us poor mortals.....Go in peace my son!!
Join Date: Jan 2005
Location: As far as possible
Age: 44
Posts: 4
Likes: 0
Received 0 Likes
on
0 Posts
Hummmmmm interesting, so if I understand correctly, GF maintenance will be under SR which is now owned by Dubai and AbuDhabi GVT !!! Intersting time ahead for GF...As for why they do not have their maintenance !!! May be some guys there could answer, IB or LDG no blue...Trader
Join Date: Mar 2001
Location: The Palm
Posts: 702
Likes: 0
Received 0 Likes
on
0 Posts
One has to remember the Ca$h is in AUH and a lot of it is invested in DXB. I would however say that GF should be ok with the new owners. The Emirati investment wants a sound and quick profit return. I do not see SR Technics management being changed to accommodate a team to scare the present or future customers because of previous losses of love. If SR Technics was based in AUH, my opinion would be different.
EK will never go public as well said by the EK bosses because AUH will take over it and do as it pleases... either to make a single Emirates identity or just Etihad which means Union or United in English. Do you now see the (failed) attempt to link up with (Man) United? Just a gossip...
EK will never go public as well said by the EK bosses because AUH will take over it and do as it pleases... either to make a single Emirates identity or just Etihad which means Union or United in English. Do you now see the (failed) attempt to link up with (Man) United? Just a gossip...
Join Date: Apr 1999
Location: South of North
Posts: 655
Likes: 0
Received 0 Likes
on
0 Posts
I believe our line maintenace if GF staff with the rest switching to SR.
My guess is that the rest is outsourced because that is cost effective not to mention the difficulty everywhere in the world of finding competant mechanics (Gamco would appear to be a good example of INcompetant mechs
)
My guess is that the rest is outsourced because that is cost effective not to mention the difficulty everywhere in the world of finding competant mechanics (Gamco would appear to be a good example of INcompetant mechs
)
Join Date: Aug 2005
Location: Somehwere on the planet
Posts: 372
Likes: 0
Received 0 Likes
on
0 Posts
Lol, i'm waiting for the fleet memo stating,
"Due to the large amount of ADD/MDD's currently being caried crew are now required to show one and a half hours before departure in order to accomodate the additional reading time necessary to sort our exactly what still IS working on your aircraft.
Regards, Flight Ops"
Join Date: Mar 2001
Location: Anywhere and Everywhere
Posts: 74
Likes: 0
Received 0 Likes
on
0 Posts
GF ADD's
As a licensed guy working as a contractor to SRT in BAH at present I can say that the ADD levels have and will go up for a while.
The reason is simply this - the aircraft have not had proper maintenance for a very long time. Signing off defects to have them re-raised again is not fixing anything.
What we are doing is raising defect cards when we find things wrong so we can order sparesagainst said defects. This is all in the process of fixing things, yet there is a long lead time in getting general spares which you would think be available (bonding leads for example).
However from what I have seen over the last few months things are starting to get better, spares are arriving and things are starting to get fixed. However there is a bit of a battle as GF line are busy creating ADD's as fast as we can clear them as they are too busy to investigate defects on arrival due to an increase in movements through BAH and a shortage of manpower.
Just my pennies worth of a view point. For my own view things will get a bit worse before they get better. A consequence of 15 years of limited maintenance. The 767's are the worst yet it goes to show how robust the aircraft actually is if it can still operate after 15 years of service like that!
Flying Spanner
The reason is simply this - the aircraft have not had proper maintenance for a very long time. Signing off defects to have them re-raised again is not fixing anything.
What we are doing is raising defect cards when we find things wrong so we can order sparesagainst said defects. This is all in the process of fixing things, yet there is a long lead time in getting general spares which you would think be available (bonding leads for example).
However from what I have seen over the last few months things are starting to get better, spares are arriving and things are starting to get fixed. However there is a bit of a battle as GF line are busy creating ADD's as fast as we can clear them as they are too busy to investigate defects on arrival due to an increase in movements through BAH and a shortage of manpower.
Just my pennies worth of a view point. For my own view things will get a bit worse before they get better. A consequence of 15 years of limited maintenance. The 767's are the worst yet it goes to show how robust the aircraft actually is if it can still operate after 15 years of service like that!
Flying Spanner
Join Date: Dec 2005
Location: Bahrain
Posts: 95
Likes: 0
Received 0 Likes
on
0 Posts
GF Maint
Nice post Flyingspanner, I like to hear what's going on behind the stage.
What we get to see from MCC is that chaos is out there. There was a Memo from a/HOFO asking for understanding of the way GAMCO was dealing with a lot of defects. What I see, is that GAMCO was not putting all the defects on our book, but keeping a record within their knowledge only.
This is the reason why the number of pages in the Tech Log has increased dramatically in the last few months.
I see the arrival of SRTech with very good eyes and I seriously hope that GF gives them all what is required to make it work. We have major delays and last minute aircraft changes, upsetting a large number of passengers. Bad business.
On top of this all, the choice of starting the works in BIA in one of the hottest and definitely most humid period of the year is questionnable. (remember the 3 H? High hot and humid?).
Well, EGT exceedances all over the fleets.
Transmeridien:
I don't see the takeover from UAE investors as a problem. SRTech strategy is/was to increase its capital. One option being going open to the stock market and the other a private investor.
Since the main hub and management will continue the way it is, I welcome this money injection.
During past time we saw a lot of Saudi investment all over the world, specially U.S and U.A.E is doing the same now.
If I had a barrel at 80US I would do the same and Aircraft Maintenance is a good business. Airline business in the shape of GF is bad biz, difficult to make money, specially in a dinosaur, call it "legacy" structure.
Let's look at EK Group, they own everything, from the airport to the duty free, so one wheel turns the other if one is a bit slow.
My 2 cents only. I just hope we get more reliable and serious maintenance. I've seen enough of GAMCO, let me see if the swiss are able to open this Pandora Box called GF maintenance.
Regards to you all,
LNB
What we get to see from MCC is that chaos is out there. There was a Memo from a/HOFO asking for understanding of the way GAMCO was dealing with a lot of defects. What I see, is that GAMCO was not putting all the defects on our book, but keeping a record within their knowledge only.
This is the reason why the number of pages in the Tech Log has increased dramatically in the last few months.
I see the arrival of SRTech with very good eyes and I seriously hope that GF gives them all what is required to make it work. We have major delays and last minute aircraft changes, upsetting a large number of passengers. Bad business.
On top of this all, the choice of starting the works in BIA in one of the hottest and definitely most humid period of the year is questionnable. (remember the 3 H? High hot and humid?).
Well, EGT exceedances all over the fleets.
Transmeridien:
I don't see the takeover from UAE investors as a problem. SRTech strategy is/was to increase its capital. One option being going open to the stock market and the other a private investor.
Since the main hub and management will continue the way it is, I welcome this money injection.
During past time we saw a lot of Saudi investment all over the world, specially U.S and U.A.E is doing the same now.
If I had a barrel at 80US I would do the same and Aircraft Maintenance is a good business. Airline business in the shape of GF is bad biz, difficult to make money, specially in a dinosaur, call it "legacy" structure.
Let's look at EK Group, they own everything, from the airport to the duty free, so one wheel turns the other if one is a bit slow.
My 2 cents only. I just hope we get more reliable and serious maintenance. I've seen enough of GAMCO, let me see if the swiss are able to open this Pandora Box called GF maintenance.
Regards to you all,
LNB
Join Date: Jun 2001
Location: Surrounded by aluminum, and the great outdoors
Posts: 3,780
Likes: 0
Received 0 Likes
on
0 Posts
Yes, I'd have to agree with flying spanner in that respect..hopefuly as parts stocks are "rationalized" and become more available to the line mech's, and more techie's are available to put them on, the MDD's will slowly become fewer..
Join Date: Jun 2006
Location: U.K.
Posts: 54
Likes: 0
Received 0 Likes
on
0 Posts
EK is desperately shopping for engg staff, they will drop the plans for a MCT maint base and move all maintenance to DXB. You never know they might start locating major corrosion on these B767 only to ground them
IMHO i don't see any value addition to EKs fortunes with the buyout of SRT. They cannot pay the Swiss and Irish engineers EU wages to work in DXB and at the same time they wont send EK aircrafts to EU with the monsterous (8 x A380 bays) hangar they have constructed in DXB. Ah we'll see what do they have up their sleeve this time
Join Date: Jun 2006
Location: U.K.
Posts: 54
Likes: 0
Received 0 Likes
on
0 Posts
Join Date: Mar 2001
Location: Anywhere and Everywhere
Posts: 74
Likes: 0
Received 0 Likes
on
0 Posts
SRT
It would appear that SRT dont want to go down the road of going for cheaper non european staff.
In fact most of the people working here in BAH are contractors from the UK and not permanent staff from SRT at all. This has advantages and disadvantages.
Disadvantage is that we are expensive, however the offset to this the advantage is that the standard of work is to such a high standard and the attitude to working is such a complete reversal to what I have been used to previously in various parts of the world.
Standard of workmanship I would say is worth the extra (well I would say that as a contractor wouldnt I!!!) The old adage is you get what you pay for. SRT is going to be more expensive than GAMCO. However I think that we are starting to make a dent and make things better.
To the crews out there, please give some feedback as to how you are finding SRT service if you see one of us out there doing some work on your aircraft. We have now got a team dedicated to getting the ADD's down so hopefully over the next few months.
Flying Spanner
In fact most of the people working here in BAH are contractors from the UK and not permanent staff from SRT at all. This has advantages and disadvantages.
Disadvantage is that we are expensive, however the offset to this the advantage is that the standard of work is to such a high standard and the attitude to working is such a complete reversal to what I have been used to previously in various parts of the world.
Standard of workmanship I would say is worth the extra (well I would say that as a contractor wouldnt I!!!) The old adage is you get what you pay for. SRT is going to be more expensive than GAMCO. However I think that we are starting to make a dent and make things better.
To the crews out there, please give some feedback as to how you are finding SRT service if you see one of us out there doing some work on your aircraft. We have now got a team dedicated to getting the ADD's down so hopefully over the next few months.
Flying Spanner
Join Date: Jun 2001
Location: Surrounded by aluminum, and the great outdoors
Posts: 3,780
Likes: 0
Received 0 Likes
on
0 Posts
Maybe the case Jethro, but does not necessarily mean they will be operated as one entity, or that SR operations will be affected...lets wait and see
Join Date: Jun 2006
Location: U.K.
Posts: 54
Likes: 0
Received 0 Likes
on
0 Posts
Its for sure DAE will support airlines that compliment EK, to site an example if EK manage to get an extension of the management contract with AirLanka, DAE will undoubtedly lease it the aircrafts.
At the same time any Airline competing against EK will see DAE using these facilities to create hurdles.
EMPIRE BUILDING.............. can see the shape of things to come.
Join Date: Jun 2001
Location: Surrounded by aluminum, and the great outdoors
Posts: 3,780
Likes: 0
Received 0 Likes
on
0 Posts
Dont think creating hurdles for your customers that compete is shrewd business...hope your proven wrong... either way watch and wait and who cares??
Join Date: Jun 2006
Location: U.K.
Posts: 54
Likes: 0
Received 0 Likes
on
0 Posts
Join Date: May 2007
Location: Bahrain
Posts: 2
Likes: 0
Received 0 Likes
on
0 Posts
SRT; GF and GAMCO
I know this post has long been abandoned but i would like to clear some air over here. As ex-GF technical I would like to point out that although GAMCO has its seriously bad points i would not call them totally incompetent. Just a fact but ADD's while MRO was performed at GAMCO were a a minimum and once they moved to SRT it went up 4 figures (ie in the low thousands)
Any of you Gulfie's in here would know that there is an unbelievable amount of politics and verbal incarceration that goes on in this part or the world and this will be a problem for a long time.
You have to keep in mind that GAMCO is one of the oldest MRO Operations in the region with a proven track record of 20 years, While SRT is a very old company SRT Middle East is relativly new. "the son of a King isnt always necessarily going to be a king"
Any of you Gulfie's in here would know that there is an unbelievable amount of politics and verbal incarceration that goes on in this part or the world and this will be a problem for a long time.
You have to keep in mind that GAMCO is one of the oldest MRO Operations in the region with a proven track record of 20 years, While SRT is a very old company SRT Middle East is relativly new. "the son of a King isnt always necessarily going to be a king"
Last edited by WaCkY MaC; 22nd May 2007 at 15:46.