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April • May 2006 • Vol. XXIV No. 4 • An Arnold Publication |
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Industry News • Executive Hotline |
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Executive Hotline Brighter Forecast for Airlines U.S. airlines reported a sharp 14.9% jump in February mainline systemwide unit revenues thanks to strong domestic results, which analysts predict will continue for several months. Domestically, the gain in passenger unit revenue was “off the charts,” said Merrill Lynch analyst Michael Linenberg. Mainline domestic unit revenue increased 18.7% as yield improved 12.2% and load factor increased 4.3 points to 78%. The International Air Transport Assn. has just brightened its economic forecast, raising 2007 profit projections by $1 billion, and now its leader is challenging world governments to bring the “cautious optimism” emerging in industry to reality. North American carriers should see the largest improvement, a result of Chapter 11 filings that are building a more competitive cost structure, as well as a 3% domestic capacity reduction, which is increasing their pricing power. Boeing Wins $2 billion 737 Order The world’s second-biggest maker of commercial aircraft received an order for at least thirty 737 jets valued at about $2 billion from General Electric Co.’s aircraft-leasing unit. GE Commercial Aviation Services, the world’s largest aircraft lessor by number of planes, may also purchase another 30 of the planes valued at an additional $2 billion, the companies said in a statement issued March 29th. The contract brings the total number of 737s ordered by GE in the past two years to 68, a number that may reach 98 via the additional options. Totally Tubular! IBM Builds Integrated Circuit on Nanotube IBM researchers have built the first complete electronic integrated circuit around a single carbon nanotube molecule. The new material – 50,000 times thinner than a human hair – could one day outperform standard silicon semiconductors. The achievement is significant because the circuit was built using standard semiconductor processes. Lockheed Martin Plans Mars Aeroshell System Defense contractor Lockheed Martin has announced that NASA awarded it a preliminary contract to design a heat shield and other systems to protect the next planned Mars rover. The shield, part of the aeroshell system, will protect the Mars Science Laboratory from the intense heat of entering the planet’s atmosphere. This Martian mission is scheduled to launch in 2009, to continue searching for water on the planet in preparation for human exploration missions. The aeroshell also includes a parachute system and a crane that will lower the rover to a soft landing on the surface. ‘Helicopter Ben’ Takes Over at The Fed Ben Bernanke (a.k.a. “Helicopter Ben”) – Greenspan’s successor at The Fed — earned his nickname when he suggested dropping money onto household lawns from helicopters. Only time will tell on how and what he does. Cybercrime & Computer Safety Nearly 60 percent of American businesses believe that cybercrime is hurting them more than physical crime, according to a recent IBM survey. Companies surveyed in healthcare, finance, retailing and manufacturing say cybercrime has cost them revenue, current and prospective customers and employee productivity. And businesses think it’s up to government, both federal and local, to rein in cyber criminals, which they see as increasingly sophisticated and organized. In contrast, another IBM survey found that more than half of consumers hold themselves most responsible for protecting themselves from cybercrime. Home Sensor-controller Market to Grow 80% per Year West Technology Research Solutions (WTRS) predicts a Total Addressable Market (TAM) globally of 5.3 billion units for Electronic Home Improvement and Automation products by 2010. The use of embedded smart sensors and controllers will grow as more manufacturers and home builders increasingly incorporate “smart” capabilities into the design of everyday items. The market for household safety sensors will rejuvenate the overall safety market, with the market for smoke and fire detectors growing to more than 96 million by 2010 in the US alone. Adoption of sensors into household safety equipment devices will see integration of sensors into mold detection, earthquake sensors, and child safety products. In the US, the market for residential lighting controllers will grow to more than 1,272 million installed nodes by 2010. Guitar Revolution Via CNC The first true revolution in electric guitar design in 50 years comes from Southern California-based RKS Guitars with groundbreaking “Open Architecture” instruments. In a paradigm-shift that’s a fusion of CAD design and CNC aesthetics, RKS Guitars reinvents the electric guitar again with the company’s latest model, “The Wave.” An ultra-resonant, supermodel-sleek, composite-body beauty, The Wave is the first guitar ever to offer user-friendly, fully interchangeable body shells and pick guards. Autodesk Awards Aviation ‘Inventor of the Month’ Autodesk, Inc. of San Raphael, CA annnounces that Columbia Aircraft Manufacturing Corporation was named Autodesk’s Inventor of the Month for March 2006. The program recognizes innovative design and engineering advancements made among the community using Autodesk Inventor 3D mechanical design software. Based in Bend, Oregon, Columbia Aircraft is focused on building a line of personal aircraft led by the company’s flagship product, the Columbia 400, which holds the title of World’s Fastest Piston-Powered Aircraft.
Raytheon and ATK Demonstrate TUCSON, Ariz., Raytheon Company RTN and Alliant Techsystems ATK have successfully completed the first hot-fire test of a Standard Missile-3 Block IA third stage rocket motor (TSRM), employing new nozzle design enhancements to improve performance and reliability. The test, conducted Feb. 28 at ATK’s Elkton, Md., facility, marked a major milestone in the evolutionary enhancement of this proven system design. The TSRM is used to boost the SM-3 out of the atmosphere and to carry the Mk142 kinetic warhead (KW) to its intended target. The TSRM test performed multi-pulse operations representative of a simulated mission designed to rigorously stress the system. All test objectives were met. These features are planned to be part of an SM-3 Block IA flight demonstration later this year.
Lockheed Martin and ATK Achieve Lockheed Martin LMT announced recently that the ORBUS 1A second- and third-stage solid rocket motor has completed qualification testing for the U.S. Missile Defense Agency’s (MDA’s) Boost Vehicle-Plus (BV+) program. Alliant Techsystems ATK supplies the ORBUS 1A motor. BV+ is one of two booster designs for Ground-based Midcourse Defense (GMD) interceptors, a dual approach that assures capability and flexibility in the event of an enemy ballistic missile launch. The Boeing Company is the GMD prime contractor. The final qualification test of the ORBUS 1A was conducted at the U.S. Air Force’s Arnold Engineering Development Center in Tennessee, where the motor was successfully test fired in a simulated at-altitude environment. Preliminary results indicate that the motor met all pre-test performance requirements. The ATK-supplied ORBUS 1A motors will be used to complete production of five deployment-configuration boosters and three integrated flight test vehicles. Three of these BV+ boosters were completed between 2003 and 2004 with second- and third-stage solid rocket motors from a previous supplier and will be retrofitted with the ATK motors. The Boeing Company selected Lockheed Martin Space Systems Company as the BV+ subcontractor in 2003, and the BV+ booster was validated with a successful first flight in January 2004. In November 2004, Lockheed Martin announced the selection of ATK as its supplier for BV+ stage-two and stage-three solid rocket motors to replace the previous supplier. Lockheed Martin performs BV+ program management, engineering and production at its facilities in Denver, Colo., Sunnyvale, Calif., and Courtland, Ala. Manufacturing Expands Faster in February Manufacturing expanded at a faster rate in February than in January, a private research group said Wednesday, signaling the U.S. economy is on a firm footing. Economists said warm weather may have aided growth in manufacturing and business executives surveyed by the group agonized over rising prices. The Institute for Supply Management said its manufacturing index was 56.7 last month vs. 54.8 in January. Readings above 50 indicate the sector is expanding; those below 50 indicate manufacturing activity is shrinking. Economists had expected a reading of 56 for February.
Parker Hannifin Reports Monthly Parker Hannifin Corporation PH reported orders for the month of February in the company’s Industrial, Aerospace, and Climate and Industrial Control segments. Parker derives orders from a wide variety of global end markets which the company serves directly and through a collaborative network of thousands of distributor locations. Orders for the North American Industrial business increased 9 percent over the same month last year. Orders remain strong across most industrial markets, including MRO, mining, oil and gas, and construction. |
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Hardinge Appoints Director of Corporate Promotion and Marketing David Barber recently joined Hardinge Inc. in the newly created role of Director of Corporate Promotion and Marketing. In this role Barber will be responsible for all marketing activities within North America, as well as, overseeing the company’s image and marketing focus on a global scale. Barber has spent the past 12 years in the industry as a marketing manager for several machine tool builders and distributors, including Technical Equipment, Machine Tool Systems, Bridgeport Machines and most recently United Grinding. Ellison Manufacturing Changes Name to Ellison Technologies Ellison Technologies is the new name for Ellison Manufacturing Technologies, California. The change was made to reflect the company’s status within Ellison Technologies, Inc., which gives it the capability to provide area businesses with complete manufacturing support from concept to full production, including financing,” “As part of the Ellison Technologies Group, we have access to a wide range of manufacturing solutions that we can offer our customers or potential customers,” commented Graham Hooper division president. “The name Ellison Technologies covers the broad spectrum of what we can offer. We will continue to focus our particular strengths on what we have been successfully doing since we began in 1955.” The company’s product offerings include high-precision machine tools, a service and parts department; customer support and applications. It also offers automation and robotics, financial services, lean consulting, and set-up reduction.
FeatureCAM Celebrates One Year as Part of Delcam Delcam USA, developer of the FeatureCAM range of CADCAM software, announces progress in all areas of the business at the completion of its first year as part of the Delcam group of companies. Glenn McMinn, president of Delcam USA, reported, “The company has seen a steady growth in sales. We have released a new version to positive response from our customers and we have expanded our international distribution by adding selected Delcam Sales Partners to our network of resellers. In addition, the Salt Lake City support team has been doubled in size and we have started on a similar doubling of our development staff. Progress is well under way in incorporating some new 3D machining technology into the next FeatureCAM release, along with many other enhancements.” Southwestern Industries, Inc. Acquires XYZ Machine Tools, Ltd Southwestern Industries, Inc announced that it has acquired XYZ Machine Tools Ltd, one of the largest machine tool suppliers to the UK. XYZ Machine Tools, located in Devon, UK, has been a partner in the sale of Southwestern Industries ProtoTRAK systems throughout Europe for the past 13 years. The change of ownership brings with it the additional financial and technical resources that are necessary to sustain XYZ’s position as the largest supplier by volume of CNC machine tools to the UK market and to extend its presence in Europe. “Over the last several years our two companies have grown increasingly interdependent,” said Rich Leonhard, President of Southwestern Industries. “Southwestern Industries has assumed responsibility for XYZ’s ProtoTRAK machine design and documentation and we have begun developing common products that can be sold by both companies. The first of these is the Trak TRL 1630SX toolroom lathe.” MC Machinery Systems Adds Waterjet to Its Product Line MC Machinery Systems, Inc. has expanded its product lineup to include the Waterjet line. Waterjet is powered by Mitsubishi CNC. Waterjet is available in three models: the 2-axis Classica, 4-axis with tilt-head Dinamica and 5-axis Evolution. Waterjets are available with 1 or 2 heads and features stainless steel tables for easier maintenance and cleaner cutting conditions and are available in many table sizes to best fit every shop’s needs. Mitsubishi motors and drivers provide the ultimate in performance, while the 60-hp pump delivers superior speed. “The market is constantly changing, and we are continuously finding ways to stay number one. The Waterjet line will serve as a terrific complement to our existing lines,” comments vp of sales and marketing, Bill Isaac. Pathtrace and Infinite CAM Solutions Team Up in the State of California Pathtrace Systems, Inc. announced the appointment of Infinite CAM Solutions, a reseller serving Northern California. According to Oscar Sarlandt, president of Infinite CAM Solutions, their decision to become an EdgeCAM reseller was based on the ease of use and the ability to load native solids files from all the major CAD vendors; intelligent programming of solid models including multi-turret/multi-spindle turning parts; advanced surface machining; and a full suite of post processors, automation, tooling and simulation utilities. “Our mission is to provide infinite solutions that increase the customers’ productivity and profitability, today, tomorrow and next year.” “We are very pleased that Infinite CAM Solutions decided to work with EdgeCAM. Oscar’s experience in industry and commitment to his customers’ success particularly in the Californian market make his team a welcome addition to the EdgeCAM distribution network,” noted Steve Sivitter, CEO of Pathtrace Systems, Inc.
Mori Seiki Partners with Ellison Technologies in the Midwest Mori Seiki has announced a distribution agreement with Ellison Technologies to serve the North American Midwest territory, which was formerly served by Mori Seiki Mid-American Sales. Effective April 1, 2006, Ellison Technologies is solely responsible for the sale and distribution of Mori Seiki equipment in Michigan, Indiana, Ohio, Kentucky, Missouri and Nebraska, relinquishing the sales of all other competitive equipment. Effective April 21, 2006, Ellison assumed the same responsibilities for Wisconsin, Illinois and Iowa. Ellison Technologies has served the
West Coast for Mori Seiki for the
Tony Wells has been appointed North American Sales Manager for Index Corporation, according to Olaf Tessarzyk, Chairman and Chief Executive Officer of the company. The position is a new one at Index. A machine-tool industry veteran, Wells was previously regional sales manager at Hurco USA. At Hurco, Wells experienced multiple years of sales growth with an emphasis on customer service and product innovation. In his new assignment with Index, Wells will be responsible for developing Index and Traub sales in the United States, Canada, and Mexico through Index regional sales offices and representative sales channels.
Surfware Starts Middle School Computer Manufacturing Program Surfware, Inc., developer of Surfcam CAD/CAM systems, announced recently that the company is partnering with Colina Middle School in Thousand Oaks, California to start a manufacturing education program. The donation consists of 40 seats of Surfcam Velocity™ along with a three-year maintenance subscription which provides continuous software updates and technical support. “The very generous contribution of Surfcam Velocity completes our state-of-the-art computer manufacturing lab,” said Gary Norwalt, a computer technology teacher at Colina Middle School. “This program will definitely open some eyes to promising technology career opportunities available in the manufacturing industry.”
The specialized manufacturing technology
pilot program will begin in Spring 2006. Surfcam Velocity will be taught as
part of the curriculum in an 8th grade advanced computer class. One
trimester in this program will be dedicated to teaching CAM and CNC milling.
The comprehensive program, which will include all aspects of the
design-through-manufacturing process, will begin in Fall 2007.
Sierra Concepts Becomes Ellison Technologies, Inc. Ellison Technologies, Inc. is the new name for the former Sierra Concepts, a leading provider of engineered systems and industrial equipment to American metal-working and metal-cutting manufacturers throughout the world. The change was effective March 21, 2006. ”In order to continue providing the level of service our customers demand and have come to expect from us over the last decade, we have undertaken a campaign to add complementary companies to our family,” commented Jim Ellison, Ellison Technologies CEO. “While these additions created a unique value-added situation for us, it also added confusion among our customers and potential customers as to who we are and what we do. To rectify this, we brought everything under one umbrella corporate name: Ellison Technologies.”
ATS Acquires SMW Systems ATS Workholding Inc. has signed a letter of intent to acquire SMW Systems LLC. Both provide machine-tool accessories to North America metal-cutting manufacturers, who widely employ their products to reduce setup downtime or unattended operations. Sean Murphy of ATS will be CEO of the combined companies, and he explains the intent of this acquisition: “This is not about cost saving; both companies are growing, and we need all of our people. Rather, we intend to create a more effective partner for machine tool sellers. We recognize their importance connecting metal-cutting manufacturers to necessary productivity improvement. The combined company will better help machine tool sellers deliver solutions to their customers.” Murphy adds, “For example, ATS’s distribution partners will gain the entire range of products manufactured by SMW Systems and also the consultative staffs who apply and install them. As a long time user of SMW Systems products to grow productivity in our plant, we know their benefits first hand.” ATS Workholding is a large producer of collet-chucks. SMW Systems provides workholding such as quick jaw-change chucks, big-mouth air chucks, and automatic steadyrests. SMW also provides automation including barfeeder and gantry-style part loaders for lathes, and rotary tables and automatic pallet changers.
Emuge Corp Opens new Technology Center and Manufacturing Facility On February 27, Emuge Corporation, a leading manufacturer of high-performance taps, thread mills, end mills and other cutting tools, moved to its new North American headquarters in West Boylston, MA USA. The 21,000 square foot state-of-the-art facility, custom-designed and built in 2005, includes a technology center featuring a new Hermle 5-Axis CNC Machining Center and an adjoining classroom/ auditorium. The facility will also stock the complete line of Emuge products and house production manufacturing, engineering and application support, in addition to administrative and executive offices. The building sits on a ten acre parcel of land owned by Emuge and is strategically laid out for future manufacturing expansion. The new facility will help Emuge further enhance their customer support in the North American marketplace and comes at a time when the company is experiencing steady growth and expansion. The company will also be introducing new tapping products, thread mills and an expanded end milling program.
Maxcor Completes Maxcor, Inc. announced that it has completed the purchase of the global operations of Ex-Cell-O, which includes locations in U.S.A., U.K., Germany, France and China. Ex-Cell-O, a producer of machine tools and systems specializing in manufacturing solutions primarily for automotive chassis and powertrain components, will operate as part of Maxcor’s Mag Industrial Automation Systems business segment. Under Mag Industrial Maxcor operates a group of manufacturing solutions companies. The acquisition is part of Maxcor’s overall strategy to create a premier global engineering, manufacturing and customer service group. More specifically, the addition of Ex-Cell-O will further expand Mag’s portfolio of world-class companies providing machines, systems and solutions designed for the global powertrain customer base.
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