We talk with Kevin Michaels about United Airlines CEO Oscar Munoz and his strategy to repair the airline’s image, radical ideas for air travel, and Southwest Airlines purchase of two gates for $120 million. Also, risks that the airliner order bubble could burst, Bombardier strategy, and the viability of the A380neo.
Guest
Dr. Kevin Michaels is Vice President – Aerospace & MRO Practice at ICF International. 

Kevin began his career as a project engineer with gas turbine OEM Williams International. Since then, Kevin has accumulated more than 25 years of aviation experience, including hundreds of consulting engagements for leading aviation and aerospace companies worldwide.

He is a globally recognized expert in the aerospace manufacturing and maintenance, repair, and overhaul (MRO) sectors. Kevin has significant expertise in business-to-business marketing, customer satisfaction, and strategic planning.

Kevin’s experience spans all major market segments, including air transport, business and general aviation, and military. He was director of Strategic Development with Rockwell Collins Government Systems, and principal with The Canaan Group.

Kevin has a B.S. in Aerospace Engineering and an M.B.A. from the University of Michigan; he also has an M.Sc. and a Ph.D. in International Relations from the London School of Economics.

Our conversation covers a number of current topics, including:

The airline order “super cycle,” the risk that it is a bubble that could burst, and the effects of sinking fuel prices and low cost of capital.

The situation at Bombardier, including their balance sheet and strategic problems given the market and actions by Boeing and Airbus.

The viability of the A380neo and how the engine manufacturers might look at it,

Retirements from the fleet where the aircraft have more value entering the surplus parts market. This has a significant impact on the OEM new parts market.

News
United's new CEO acknowledges airline's failures
United Airlines’ CEO wants to hear from you [VIDEO]
Oscar Munoz appears to be taking a different approach to managing the public image of the airline came from the merger of United Airlines and Continental five years ago. In full page newspaper ads he said, "The journey hasn't always been smooth" and "We are committed to re-earning your trust." On the new UnitedAirtime.com website.Munoz says:
"Let's be honest, the implementation of the United and Continental merger has been rocky for customers and employees. While it's been improving recently, we still haven't lived up to our promise or our potential."
See also: Alaska Airlines CEO admits his own airline lost his bag
Inside the Dream Factory - watch amazing footage of a British Airways Dreamliner plane being built in USA
British Airways has taken delivery of its first 787-9 Dreamliner of the 22 planes it has ordered. The -9 is 20 feet longer than the base -8, has a higher maximum take-off weight (MTOW), can seat 280 in a three-class configuration, and has an 8,300 nautical mile range. BA also released a time-lapse video of the aircraft being assembled in Seattle.
Three Ideas That Could Change Air Travel Forever
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