B/CA Show News - NBAA 2007 - September 27, 2007 - (Page 3)

N B A A 2 0 07 AVIATION WEEK President Tom Henricks Publisher Greg Hamilton Editor-In-Chief John Morris Morrisoff@aol.com Senior Editors Rich Piellisch Mike Jerram News Editor Scot Greenan Copy Editor Sabine Morrow Writers Fred George, Robert Hewson, David Hughes, Paul Jackson, George C. Larson, Evan Sweetman Senior Art Director & IT Manager Kirk Fetzer Art Directors Maureen Spuhler, Ariel de Man Photographer Mike Vines Digital Photo Fran Vines, Nick Vines Newsroom Manager Mara Morris VP of Sales Mark A. Flinn mark_flinn@aviationnow.com Sales Director, B/CA Show News Mike Triunfo Mike_Triunfo@aviationweek.com Europe Romaine Meyer romaine_meyer@mcgraw-hill.com Germany/Switzerland Robert Rottmeier rottm@mcgraw-hill.com E. Europe/CIS/India/Italy Vittorio Rossi Prudente prudente@mcgraw-hill.com UK Mike Elmes mike.elmes@aerospacemedia.co.uk Business Manager Sean Beers Operations Manager Erving Dockery B/CA Show News is published at NBAA by The McGraw-Hill Companies, Inc., 2 Penn Plaza, New York, NY 10121 AVIATION WEEK also publishes Aviation Week & Space Technology, Aviation Daily, Aerospace Daily & Defense Report, Business and Commercial Aviation, Overhaul & Maintenance, The Weekly of Business Aviation, Defense Technology International, and the World Aerospace Database including World Aviation Directory. Material in this publication may not be reproduced in any form without permission. Printing & Distribution Managed by: Tradeshow Publications LLC © Copyright 2007 by The McGraw-Hill Companies, Inc. All rights reserved. Library of Congress ISSN 1092-6151 Why Columbia? Jack Pelton of Cessna Explains Cessna Aircraft’s pending acquisition of the assets of Bend, Ore.-based Columbia Aircraft, following its Chapter 11 bankruptcy filing on Tuesday, is causing many NBAA attendees to ask why the Wichita firm is breaking its 80-year precedent of developing all its models in-house. Show News asked Jack Pelton, Cessna’s chairman, president and CEO, why he elected to make the change. “Columbia has two models that are very complementary to our product line. And right now, we’re intensely focused on the LCC [large cabin concept], CJ4 and Skycatcher development. This is the quickest way for us to get into this segment of the market.” Pelton believes the Columbia 400 is an ideal fit for Cessna’s piston engine product line because it helps to fill the gap between the Cessna 206 and Citation Mustang. Cessna’s own Next Generation Prop development program remains on track. NGP will be positioned in the niche below the Columbia 400. It will be a direct competitor for Columbia 350. “We’ll let the market decide which aircraft it wants to buy,” Pelton commented. The Columbia Aircraft asset acquisition by Cessna, however, isn’t assured by bankruptcy court proceedings. It’s subject to competitive bidding. Pelton isn’t concerned. “Do you know anybody else in the running? We are free to make counter offers, and the court will consider the whole package offered by bidders. We have product support, a dealer network and parts.” Assuming Cessna wins the bid, Pelton may face as many challenges as opportunities. Columbia’s low production rate tooling, for instance, is a prime reason why it couldn’t generate sufficient revenues to turn a profit. “Our transition plan calls for us to take the necessary engineering and manufacturing steps to increase production. But, we have no firm time table,” Pelton responded. Jack Pelton is leading an unusual acquisition by Cessna. Product liability, arising from future production, also looms ahead. Historically, high-performance single-engine piston airplanes have had higher accident rates than trainers. “The Columbia aircraft have a good safety record. And the safety record of all single-engine aircraft has improved since GARA [General Aviation Revitalization Act of 1994], in large part because of the training provided by the Cessna Pilot Centers. We have the underpinnings to ensure a good safety record for the Columbia models in the future,” Pelton countered. As for future models, Pelton believes that there’s potential for higher horsepower recips or a single turboprop. When asked about a future single-engine turbofan model, he declined to comment. —Fred George Columbia 400 is billed as fastest light single available. “This is the quickest way for us to get into this segment of the market.” Jack Pelton, Cessna’s chairman, president and CEO Cessna’s Next Generation Piston concept was floated this past summer. Show News at NBAA On site Newsroom: Room B201 Tel: 404-222-5893 www.aviationweek.com/shownews September 27, 2007 3 http://www.aviationweek.com/shownews

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Why Buy Columbia? Too Much of a Good Thing? The User Fee Fracas Big Toys for Big Boys Honeywell for RNP High Miles Air Taxi Bombardier at Your Service NARA Names Officers Learjet’s Racier Image ILA 2008 in Berlin Gulfstream Hangar Opens Anti-Runway Incursions Like ReallyLarge Cabins? Sentient-Jet Direct

B/CA Show News - NBAA 2007 - September 27, 2007

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