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AP&M Summit - London - 07 may 2013 - Risks associated with end of lease returns
1.
2. Everything I will say and all information included in this
presentation is either cited material from other sources or my
personal opinion and does not necessarily reflect any of the
organisations I am associated with.
3. Three Postgraduate Programmes
provide mid-career education for
professionals in the airline industry
MSc Air Transport Management
MSc Air Safety Management
MSc Aircraft Maintenance Management
• Pilots
• Engineers
• Air traffic
controllers
• Ground staff
Professionals from
• Regulators
• Airports
• Air forces in
different countries
Over 500 graduates and over 350
current students, who are
4.
5. • Airworthy - The status of an aircraft, engine, propeller or part when it conforms to its
approved design and is in a condition for safe operation. (ICAO Annex 8, 11th Edition – Jul 2010)
• Airworthiness may be defined as the fitness of an aircraft for flight in all the environments
and circumstances for which it has been designed and to which it may therefore be
exposed. (http://www.skybrary.aero/index.php/Airworthiness)
• Airworthiness means a quality that conforms to aircraft type design or properly altered
condition for safe operations and in the case of an aircraft, is fitness for flight; in the case
of aircraft engines, components or parts, when fitted to an aircraft will maintain the
aircraft's fitness for flight. (IOSA IRM)
• Legal and mechanical status of an aircraft in terms of its suitability for a safe flight.
(http://www.businessdictionary.com/definition/airworthiness.html)
• Continuing Airworthiness - The set of processes by which an aircraft, engine, propeller or
part complies with the applicable airworthiness requirements and remains in a condition
for safe operation throughout its operating life. (ICAO Annex 8, 11th Edition – Jul 2010)
9. The aircraft was delivered on 19th August 2008. Olympic signed a Certificate of
Acceptance, which, under the lease, was formally deemed to constitute delivery. The
aircraft then went into service on 23rd August 2008. The Hellenic Civil Aviation Authority
(“the CAA”) duly became the competent authority for the aircraft and granted the aircraft
a Certificate of Airworthiness, a document that all commercial aircraft must have to be
legally allowed to fly.
On 6th September 2008, just 15 days after it entered into service, the aircraft was
grounded when broken cables that controlled the spoilers on one wing were found. While
trying to repair the broken cables, Olympic discovered 14 separate categories of defects,
including defects which affected other flight control surface mechanisms such as the
ailerons. The state of the aircraft was such that, on 11th September 2008, the CAA took the
step of withdrawing the aircraft’s Certificate of Airworthiness. Even after the aircraft had
spent months at Europe Aviation, a maintenance and repair organisation (“MRO”)
nominated by ACG, the CAA still refused to grant it a Certificate of Airworthiness.
IN THE HIGH COURT OF JUSTICE QUEEN’S BENCH DIVISION COMMERCIAL COURT JUDGEMENT
21. • I’m afraid MORE REGULATIONS
(Probably impacts on Lease
Agreements & transfer of aircraft)
• Airlines are under immense
pressure to keep the aircraft flying.
AVAILABILITY is the ultimate aim.
AVAILABILITY
• Clarity in definitions and return conditions
• Progressive lease conditions conformity
• Better prepare for future regulatory requirements
KEY TO REDUCE DOWNTIME AND COST OF END-OF-LEASE RETURN