B/CA Show News - NBAA 2007 Day 1 - (Page 122) N B A A 2 0 07 DAE Pulls Landmark & Standard Aero Together Business aviation won’t get the short end of the stick as the Landmark Aviation maintenance operations are folded into the same company as Standard Aero, the Winnipeg-based So how does business aviation fit in? Landmark Aviation incorporates the former Garrett Aviation MRO company, and its focus will remain business aviation being lost. But having said that, we believe there are benefits from product focus, so every one of our business units has its focus on an individual product to CF34 engines on the Challengers and the Regional jets. We have a business unit now that is dedicated only to Honeywell’s TFE731 engines. “We have an airframe refurbishment center in Springfield, IL, and, of course, Associated Air Center. Our strategy is to be a comprehensive provider.” DAE, he said, is investing for growth over the long term and will continue to add to the MRO capabilities. It is looking at increasing completions capacity, perhaps at Associated Air Center or maybe in the Middle East, as that region accounts for two thirds of all VVIP completions, he said. Meanwhile, for the business aviation customer, it will be business as usual, he noted. —John Morris Ownership by the Dubai Aerospace Enterprise gives Landmark a much more stable outlook than under its previous owner, the Carlyle investment fund. “We can look to the future instead of waiting for the phone to ring with an exit strategy,” says Standard Aero president and CEO Paul Soubry. mostly-military MRO operation. That’s the promise of Paul Soubry, who was named president and CEO of Standard Aero following the acquisition of both companies from the Carlyle Group by the Dubai Aerospace Enterprise (DAE) last month. Landmark Aviation’s chain of FBOs was not included in the deal and will be sold off separately. Business and general aviation MRO makes up about 30% of the $1.3 billion revenues of the combined Landmark Aviation-Standard Aero, and about 45% when the Associated Air Center completions specialist (part of Landmark) is included. “We now have a portfolio company with a balance across multiple segments,” Soubry told Show News. “And in business aviation we can provide service nose to tail.” “The strategy of the business is to be independent, flexible, transparent with the customers, adaptive and at the same time, provide all of the benefits of OEM technology, OEM support, OEM warranty and campaign programs, and product support,” he said. The company now has facilities around the world, expanding Landmark’s reach, he added, through Standard Aero’s presence in Winnipeg, Cincinnati, San Antonio, the Netherlands, Singapore, and Sydney. 122 September 25, 2007 business aviation, said Soubry. “I guess you could argue that there is the perception or the potential of and product expertise that may have distributed capability. So we have one business unit that is dedicated Peas in a pod: Landmark Aviation maintenance is being folded in with DAE sibling Standard Aero. DAE Executive Has a Real Strategic Focus “We have a strategic focus. We’re not just a bunch of bankers,” says Robert Mionis, CEO of DAE’s Manufacturing and Engineering divisions. “There are three aspects that differentiate us from the typical financial sponsor. First is that we have a strategic long-term focus: We are in it for the long haul so we’ve got to emphasize growth and value creation. Second is that the DAE leaders are aerospace veterans who come from operating backgrounds [CEO is Bob Johnson, former president of Honeywell Aerospace]. And, lastly, Dubai itself is a significant player in the aerospace industry. The UAE itself purchases about five billion dollars a year in aerospace product from the United States alone.” Engineering, he said, is mandated to build an MRO company that focuses on the most attractive segments of MRO “and that really embraces Landmark and Standard Aero.” Robert Mionis heads two DAE units. www.aviationweek.com/shownews http://www.aviationweek.com/shownews
For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.