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Willis IATA AAPA Asia Pacific Aviation Insurance Conference March 5-8, 2013

The Economic Case for Enhanced Weather Awareness in Airline Operations. Willis IATA AAPA Asia Pacific Aviation Insurance Conference March 5-8, 2013. Dr . Paul A. Robinson AeroTech Research (U.S.A.), Inc. Presentation outline. Illustrations of the problem. Describe economic impact.

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Willis IATA AAPA Asia Pacific Aviation Insurance Conference March 5-8, 2013

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  1. The Economic Case for Enhanced Weather Awareness in Airline Operations Willis IATA AAPAAsia Pacific Aviation Insurance Conference March 5-8, 2013 • Dr. Paul A. Robinson AeroTech Research (U.S.A.), Inc.

  2. Presentation outline • Illustrations of the problem. • Describe economic impact. • A simple Value Proposition. • Some mitigating technologies in use today. • Recommendations to industry. Additional detail is in the Notes page of the PowerPoint (.ppt) file.

  3. The problem

  4. A Turbulence Encounter • Flight CO128, B-767-200 • From Rio de Janiero to Houston • Aug. 3, 2009 @ 0400 Local T = 0 (event time) T = +35 mins.

  5. AAPA Global Turbulence Study • Comprehensive reports from seven AAPA airlines • From July 2009 – October 2011 • 145 incidents, 219 injuries Reproduced courtesy of AAPA

  6. Turbulence Costs: U.S. Airlines 1. Maintenance 2. Passenger and Flight Attendant Injuries 3. Operational Efficiencies

  7. The economic impact

  8. Airline Profitability Airline Net Profit Margins* 2.7% 2010 1.1% 2013 (forecast) 0.1% 40 year average * IATA

  9. Value Proposition for a Fictional US Airline • Fleet (all pax) 100 aircraft • Operational revenues $940 M • Operating income $ 94 M • Operating margin 10.0 % • Net margin 3.20 % Maintenance inspections after encounter. FA injuries due to turbulence. $10,000 17 90% $153 K $4.78 M Sub-optimal altitude due to turbulence. $17.6M $15,000 75 50% $ 563 K $500 per flight 1% of all flights $1.24 M $38.8M TOTAL $1.96 M $61.3 M Resulting Net Margin 3.41%

  10. Mitigating technologies

  11. WSI FusionTM Dispatch Product Courtesy WSI

  12. Flight Crew Decision Support • Pre-flight route & hazard analysis • Depicts events in real-time online & tablet Courtesy WSI

  13. recommendations

  14. Recommendations & Next Steps • Quantify costs & benchmarks of weather impacts on operations. • Implement weather information technologies: • Implement turbulence reporting software provided by avionics manufacturers. • WSI will interface IT systems to manage downlinked information and uplink reports to aircraft. • Provide guidance to pilots on use of uplink data as required. • Provide access of information to ground users. • Track costs and benefits.

  15. Contact Information Dr. Paul A. Robinson President & CEO 11836 Fishing Point Drive, Suite 200 Newport News, VA 23606-4507, USA phone: + (757) 723-1300 fax: + (757) 723-2980 www.atr-usa.com email: paulrobinson@atr-usa.com

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