Monthly Archives: November 2015

Boeing vs. Airbus: CEO compensation (2014)

At the beginning of this year, I wrote a post titled “Boeing vs. Airbus: CEO compensation (2013)” in which I compared the compensation of both CEOs. Even if the post was published in 2015, as I wrote it at the beginning of the year the latest information available from both companies was the compensation of 2013.

A few days ago, I saw that this post received a larger than usual amount of visits which reminded me that now, at the end of the year 2015, we can find the same information for the 2014 fiscal year. Thus, this follow on post.

As both Boeing and Airbus are public companies, the information about their CEOs compensation is public and can be found in the annual report and proxy statement from each one. I will just copy the information below for comparison and future reference.

Airbus Group CEO, Tom Enders’ 2014 compensation (financial statements here, PDF, 4.2 MB).

Airbus Group’s Tom Enders 2014 compensation.

Airbus Group’s Tom Enders 2014 compensation.

Boeing CEO, Jim McNerney’s 2014 compensation (proxy statement here, PDF, 1.0MB)

Boeing’s Jim McNerney 2014 compensation.

Boeing’s Jim McNerney 2014 compensation.

Just as a reminder, from July 1st 2015, Dennis Muilenburg took over the position of Chief Executive Officer (he was at that moment the COO) from Jim McNerney.

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“A good landing” (speech)

Over a year ago, I wrote a post about a speech I gave at the then prospective Toastmasters club that some colleagues were pushing to set up within Airbus in Toulouse. Yesterday, we had the 48th session of the club. And yesterday, the club president (Sarah) announced that the club, Airbus Speakers Toulouse, is now a chartered club (1). For this achievement, I wanted to congratulate our colleague Eduardo, who a few months ago left Toulouse for Seville:

Coincidentally, yesterday I was giving a speech at the club. It was the second project of the advanced manual “Speeches by Management” (2), that is “The Technical Speech”. I had to convert a technical paper into a speech, use a technique called “inverted-pyramid” and effectively read out the speech. This was a challenge in the sense that, since long time ago, I don’t use notes for the speeches I prepare. I don’t like it. And this time, I didn’t need them either. But as part of the exercise I forced myself to use them, in order to practice for a situation in which I might need them. That is Toastmasters: practice, practice, practice. (3)

In order to read out the speech, the manual gave tips on how to write the speech in paper: large fonts, short sentences, bottom of each page blank, etc., very useful tips. See below how for a 10-minute speech, about 1,000 words (4), it took 7 pages, instead of about 2 that it would have normally taken (find here the speech) [PDF, 623 KB].

A good landing

Above you can see how I made some grammar corrections, how I deleted some sentences which did not sound well, how I annotated some instructions (e.g. to distribute copies of the paper), how I emphasized some words and… how I introduced some last-minute adaptations. In Toastmasters’ meetings we normally have a word of the day which speakers should strive to introduce in their speech. Yesterday’s one was split. You can see how upon discovering it at the beginning of the meeting, I scanned my speech and located the 3 places in which I would insert it (which I did in the delivery). 🙂

In our club, we not only have a word of the day but we have a theme of the day, picked by the Toastmaster of the day (5). Yesterday’s theme was Hollywood. You can see how, as soon as I learned about the theme, I decided to make reference of a movie which featured Chuck Yeager (6) as I was quoting a couple of sentences from him. Funny enough, I had learned about that movie thanks to my brother Jaime just a couple of days before.

The speech talks about safety in general aviation, putting the emphasis on precautionary landings when the situation deteriorates. The idea of the speech comes from a safety note published by my flying instructor, Thierry, some time ago in the internal bulletin of the aeroclub. He referred then, and I do so in my speech, to a couple of studies from the French Bureau d’Enquêtes et d’Analyses (BEA), principally one called “Objective: Destination” [PDF, 318 KB].

Finally, see below the video of the speech.

The recording starts about 30″ after the speech started and the quality is not very good. A good part of the image is taken by the table in which the camera rests and the light is not optimal. The sound is not great either, as neither is my vocalisation. In fact, that was one of the criticisms that I got, as part of a generally good feedback (7): I should vocalise more clearly. Nevertheless, I must say that I enjoyed delivering it.

(1) That is in Toastmasters language that we are an official club within the organization.

(2) From the version of 2009, as I have later learned that manual contents and organization have changed since then.

(3) By the way, for this speech: I had it written 4 days ahead of the meeting. I rehearsed it 8 times. Seven of them having Luca as an attentive mentor.

(4) At my speaking pace.

(5) The master of ceremonies in Toastmasters language.

(6) A NASA flight test pilot.

(7) Feel free to comment and provide feedback below :-).

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Flight price comparison: Madrid-Sevilla in 1977 vs 2015

A the exhibition “Pasión por volar” I found the following poster from Iberia with information of some routes and prices in the late 1970s:

Iberia's poster (1977).

Iberia’s poster (1977).

That poster immediately triggered the idea of making the exercise of comparing the price of a same route then and nowadays.

Let’s take the flight Madrid – Sevilla:

  • In 1977, the price announced in the poster was 15,100 pesetas (then the currency in Spain).
  • Today, the price of that flight can be browsed at Iberia’s website. In order to avoid peak prices, I take for the comparison a flight over a weekend within a months from now and avoiding Christmas time. I get prices between 79.5 and 400 €. Let’s take the minimum.
Price flight Madrid - Sevilla (2015).

Price flight Madrid – Sevilla (2015).

Now we have to get inflation and peseta to euro exchange rate into the picture to compare apples to apples.

  • Following the Maastricht Treaty (signed on February 7th, 1992), the exchange rate was fixed on 1 January 1999 when the euro was introduced in non-physical form, fixing the exchange rates between the currencies from the countries that would form the Euro area and the euro itself. For the Spanish peseta the rate was 1 euro = 166.386 pesetas.
  • To account for inflation, we can check the site of the Spanish National Institute of Statistics here (INE, in its Spanish initials). The service provides data ranging from 1961 to 2012 (not 2015). We obtain that from 1977 to 2012 the cumulative inflation has been 769.2%. For the inflation between 2012 and 2015 we can check the site inflation.eu, and we obtain 0.25% for 2013 and -1.04% for 2014. Computing altogether, the cumulative inflation from 1977 to 2015 has been around 763%.

With all the data in place, let’s get the results:

  • Those 15,100 pesetas from 1977 would be worth today (2015) about 692 euros, that is almost 9 times more expensive than the cheapest option today (79.5 €) or almost twice as expensive than an expensive option (400 €).

On the other hand, one would say that the service is not exactly the same. Today, the flight is operated by an Airbus A320, less noisy, and more spacious than the Douglas DC-8 or DC-9 that it probably used then in that line. However, you won’t get drinks or food in that flight today (I suppose that back in the 1970s you did). Also, in the offer from 1977 it was required that you travel in a group to benefit from those prices.

Finally, in the blog post about the exhibition I mentioned that I purchased the book catalogue of it. Inside the book I discovered some images that were not displayed at the exhibition from a route book dating from ~1951. In any case, I leave such other comparison for another post (if any).

Iberia's flight schedules and prices applicable on 1951.

Iberia’s flight schedules and prices applicable on 1951.

 

 

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Airbus vs. Boeing, comparison of market forecasts (2015)

Few days ago, Airbus released the new figures of the 2015-34 Airbus’ Global Market Forecast (GMF, PDF 7.2MB).

In previous years, I have published comparisons of both Airbus’ and Boeing’s forecasts (Current Market Outlook, CMO, PDF 6.5MB). You can find below the update of such comparison with the latest released figures from both companies.

Comparison of Airbus GMF and Boeing CMO 2015-2034.

Comparison of Airbus GMF and Boeing CMO 2015-2034.

Some comments about the comparison:

  • Boeing sees demand for 9% more passenger aircraft (excluding regional a/c) with a 10% more value (excluding freighters). The gap is the same as in 2014 (in previous years Boeing forecasted up to 14% more aircraft).
  • In relation to last year studies, Airbus has increased demand by ~1,200 aircraft about the same increase seen at Boeing’s.
  • Boeing continues to play down A380 niche potential (67% less a/c than Airbus’ GMF). This year, Airbus has increased in about 50 units its forecasted demand for the VLA segment.
  • Both companies’ forecast for the twin aisle segment is nearly identical: ~7,500 aircraft (Airbus sees demand for about a 100 more than Boeing). The mix between small and intermediate twins varies, 700 units up and down. However, Boeing’s wide-bodies mix is not to be taken as engraved in stone, see the erratic trend in the last years here.
  • On the other hand, Boeing forecasts about 3,800 single-aisle more than Airbus (the gap has widened in 200 units this year, lower than in 2013 forecasts though). Boeing doesn’t provide in 2015 CMO the split between more or less than 175 pax capacity airplanes.
  • In terms of RPKs (“revenue passenger kilometer”), that is, the number of paying passenger by the distance they are transported, they see a similar future: Airbus forecasts for 2034 ~15.2 RPKs (in trillion, 4.6% annual growth from today) while Boeing forecasts 16.15 RPKs (4.9% annual growth).

The main changes from last year’s forecasts are:

  • Both manufacturers have increased their passenger aircraft forecast in ~1,200 a/c.
  • Both manufacturers have increased the volume (trn$) of the market in these 20 years, by about 300bn$ or 6.5%(excluding regional jets and freighters).

Some lines to retain from this type of forecasts:

  • Passenger world traffic (RPK) will continue to grow about 4.6% per year (4.9% according to Boeing). This is, doubling every ~15 years.
  • Today there are about 17,354 passenger aircraft around the world (according to Airbus; 17,350 in Boeing’s CMO), this number is about 500 a/c more than the year before (3% increase) and will more than double over the next 20 years to above 35,749 a/c in 2034 (over 37,990 as seen by Boeing, excluding regional jets).
  • Most deliveries will go to Asia-Pacific, 40% or 12,596 passenger aircraft (according to Airbus).
  • Domestic travel in China will be the largest traffic flow in 2034 with over 1,600bn RPK (according to Airbus (x 3.8 times more than today’s traffic), or 1,704bn RPK according to Boeing), or 11% of the World’s traffic.
  • About 13,400 aircraft will be retired to be replaced by more eco-efficient types.
GDP and traffic growth (source: Airbus 2015 GMF).

GDP and traffic growth (source: Airbus 2015 GMF).

As I do every year, I strongly recommend both documents (GMF and CMO) which provide a wealth of information of market dynamics.

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Running a 10k a week before a marathon

A couple of months ago I discovered that there was a short race, 10km du Stade Toulousain, that was going to take place close to home. I decided to take part in it. Normally I have to travel or wake up early to arrive at the place where a race starts. This time I could stay longer in bed and I would go jogging from home. I could not skip this chance.

However, the date of the race was not the most suitable. It was just a week before Toulouse marathon. On top of it, I had run the 100km de Millau 3 weeks before, and in the following 4 weeks I was trying to train for the marathon and get an idea of how fit I was in order to see at what pace should I run it.

In races of 10km I normally try to run all out to see what is the best time I can achieve. In 2014 I collected some personal bests in the distance and several times under 45′. However, I knew I was slower from mid 2015, as the couple of 10k I run in June and July were in the range of 46 to 48 minutes.

Reading online in some forums I found people both in favor and against running a 10k all out just a week before a marathon. I found also an interesting idea: take it as a series training. The poster suggested to run it alternating 1 mile at marathon pace with 1 mile all out, 3 times. I found this idea interesting and decided to do something like that. I would run the 10k alternating kilometers running at all out and marathon pace (however, the latter ones I ran them faster than my best time in marathon… and faster than the intended pace for Toulouse marathon).

It was a good experience. I thought that it would take me more effort to go each time all out and also to not relax completely but to keep a good pace in between those all out kilometres.

I did the fast kilometres at in between 4’20” and 4’27”. The last half kilometre at below 4′ pace.

I did the slow kilometres at in between 4’50” and 5’00”. The previous to the last half kilometre at 4’33” pace.

[My best time in a 10k was at a pace of 4’24”]

[My best time in a marathon was at a pace of 5’04”]

Splits during the race.

Splits during the race.

Apart from the running experience, it was strange to overtake and be overtaken by the same runners once and again. I would pass them along the third kilometre, they would overtake me along the fourth, and so on… as the race advanced some of the runners I exchanged positions with during the race were not overtaking me anymore, until the last two kilometre, when I finished at a faster pace than the groups I had been running with.

Finally, we got a nice t-shirt with the logo the rugby club.

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My grand navigation solo

When talking about flying lessons and my progress (or the lack of it :-)) I am often posed the following question or comment: “but if you are taking lessons… then you always fly with an instructor, right?”

The answer is no. Unlike car driving lessons, part of the requirements to become a private pilot is to have completed a given amount of flying hours having flown solo (i.e. without instructor), part of them “navigation” flying hours (1).

Flight Crew Licence formation requirements.

Flight Crew Licence formation requirements.

The first flight solo is typically a marking moment in the flying life of a pilot. See here a post with my experience then. The first flights solo are typically around your home aerodrome, where you are used to all geographical accidents, the aerodrome circuit, radio frequencies and you may feel less stressed. A friendly scenario where to push the bird to fly.

There are many other marking moments in the flying life of a student pilot: the first take off or landing that you do at the controls, or the first navigation solo. The word navigation is used to describe flights going from one aerodrome to another, hence some navigation skills are required and employed to reach the destination.

Then, another big marking moment is what in France is called the “Grande Nav solo”. As its name points out, it is a solo flight implying navigation, but then a big one, a rather long flight. Specifically, as required by the FCL 1.125 (b) (1) “done au moins un vol en campagne d’au moins 270 kilometres (150NM), au course duquel deux aterrisages complets doivent etre effectues sur deux aerodromes differents de celui de depart” (see requirements above).

I completed such grande nav solo flight back on July 23rd. I had been after it for months, trying to find a slot with good meteorological conditions and having accumulated some flight hours in the prior weeks to feel at ease. It was big moment that I wanted to share here.

For that navigation we selected the route Toulouse Lasbordes – Rodez (2) – Cahors and back to Lasbordes. The route had over 160 nautical miles (over 300 kilometres) and would take me over 2 hours, including the two complete landings. You can see below the route in a screenshot from the 1/500.000 aeronautical chart available at the website carte aero fr.(3)

Route planned for my grand navigation solo.

Route planned for my grand navigation solo.

The experience during the flight.

The flight went remarkably well, even if I started a bit pressured because of the time.

I arrived at the aerodrome at about 18:00. With the flight preparation, finding out last information about weather, points of contact for special zones, pre-flight check list, etc., I only managed to start the engine at 18:36 local time. At that point I started to have some doubts of whether if anything went wrong I might not be able to return back after the complete flight… would I have to shorten it? I decided to take a look at the timing at Rodez parking.

After the take off, and en-route to Rodez, right after quitting Lasbordes’ radio, I passed with Toulouse Info and demanded a flight tracking, which is reassuring at the beginning. I couldn’t start climbing up to 4,000ft right after flying over Gaillac as there was some Airbus traffic coming from Blagnac. Reaching Camaux, close to Albi, I had to turn left (033) and then I could start the climb.

The week before I had got lost while navigating towards Rodez (I was then with my instructor, and we found ourselves with the help of a GPS). Not this time. I paid much detail to the navigation, finding the villages that marked the different way points of the approach to Rodez, and cross-checking with the tower that I was indeed at those points.

Curiously enough, when I was at the parking in Rodez there was a helicopter coming in, which followed the same descent path, runway, taxi way, etc., as if it was an airplane.

At the parking, I quickly made the numbers and thought I would have enough margin to complete the whole flight so I decided to go.

On the way to Cahors I continued being followed by Rodez Info (same controller than Rodez tower). When I mentioned that I was quitting to pass with Toulouse Info frequency he noted that I could continue with him all the way to Cahors, so I did. Having the sun setting in front of me and not wearing sun glasses that afternoon it was difficult to locate the terrain. I was seeing some cleared land about 10nm ahead, thus, I again asked the controller. He confirmed that it was Cahors aerodrome and that the distance was 8nm. Good. Second leg almost done.

I passed to Cahors frequency. As there was no controller it operated only for communication between airplanes… and parachute jumpers, as there were many jumping at that moment. The pilot of the plane from which they jumped proved quite helpful there. Even if I had studied the aerodrome chart, he provided all kind of explanations via the radio at my arrival:

“as there is parachuting activity, don’t fly over the vertical, integrate yourself directly into the circuit. There are no more airplanes at the moment, report in base leg (the circuit is a right hand for runway 31, the one in service). There are two exits to the runway, take the second one as in the first one there is a plane waiting for departure: me…”.

While parked at the tarmac, I drank some water and listened to some message for me. They offered to sign something for me. I wasn’t not understanding it fully. What did I need to get signed? Nothing. So I asked them about that. Apparently they offered to sign some paper as a souvenir of having flown to that aerodrome and visited the aeroclub. I thanked them and told that I wanted to go quickly back to Toulouse. “So, you’re doing your Grande Nav Solo, aren’t you?”. “Yes, I am” (all radio exchanges in French, though). “Good luck then!”. After a couple of minutes, I proceeded with the check lists to depart.

On the way back to Toulouse I passed again with Toulouse Info. I passed by the East of Montauban, Villemur-sur-Tarn… and then I was already in an area I knew well, thus I was rather calm.

Arriving to the way points EN and AE there was some traffic (informed by TLS Info), and as soon as I got a visual of them and they flew away I passed to Lasbordes frequency (no controller anymore due to the time of arrival). I proceeded with the integration, landing and parking at my aeroclub’s tarmac. Done!

Finally, find below a copy of the navigation log I used during the flight, with remarks for changes of heading, comments for the route, annotations during the flight, ATIS information, and the sum made at Rodez to estimate the remaining duration of the flight to decided whether to continue or not.

Navigation Log for the Grande NAV solo (2015.07.23).

Navigation Log for the Grande NAV solo (2015.07.23).


(1) The extract is taken from the French ministry for sustainable development [PDF] which oversees Flight Crew Licence requirements.
(2) Coincidentally, just a few days before that flight I had flown with my instructor and a colleague to Rodez and got lost at the destination.
(3) A tip from my colleague Rapha and a good resource to quickly start preparing a navigation flight.

 

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