LE BOURGET, Paris, June 19 /PRNewswire-FirstCall/ - (NYSE: CGT; TSX:
CAE) - CAE has signed a memorandum of understanding for a joint venture
with the Airport Authority of India (AAI) to develop the National Flying
Training Institute (NFTI). CAE has also signed a memorandum of
understanding to become the managing partner of the Indian government's
flight training academy: Indira Gandhi Rashtriya Uran Akademi (IGRUA).
More than 400 pilots would be licensed annually through these new
schools. The total output would grow to over 600 pilots with the Multi
Pilot Licence (MPL) stream of licensing.
"The selection of CAE by the government of India for these schools is a
significant milestone for flight training in India," said Jeff Roberts,
CAE's Group President, Innovation and Civil Training & Services. "Given our
extensive experience in building world-class flight-training organizations,
we intend to provide India with the expertise and support they need to
develop a solid infrastructure and implement the most modern standards in
flight training. With these new schools, which would complement our
upcoming training centre in Bangalore, we will be able to address the need
for pilots in India."
"Creating these world-class institutions in-country with CAE as our
partner is a major government initiative targeted at tackling both the
acute shortage of Indian pilots while improving the overall quality of the
cadet supply within India," said The Honourable Praful Patel, India's
Minister of Civil Aviation. "Today there are approximately 2,500 active
pilots in India and we estimate that we will need up to an additional 5,000
pilots over the next 5 years to meet the needs of the industry. These
initiatives will go a long way to help remedy our pilot shortage."
Over the next decade, the rapid growth in air travel will generate an
enormous demand for pilots, cabin crew, maintenance staff and
infrastructure to support this growth. The Air Passengers Association of
India estimates that the annual air traffic growth rate in the country has
been around 26% over the past two years, causing the Indian airline
industry to order approximately 400 new aircraft, to be delivered by 2010.
Once final agreements are signed, CAE will offer these schools the
possibility of becoming members of the CAE Global Academy. The CAE Global
Academy is a worldwide network of flight training organizations that offers
pilot candidates an optimized program with standard operating procedures.
CAE currently has six member schools in its Global Academy and can license
annually 1,000 pilots. Once they have graduated from the Academy, the new
first officers are able to proceed for type-rating in one of CAE's training
centres, including CAE's upcoming training centre in Bangalore. CAE has
contracts with several airlines to supply them with pilots. CAE has
recruited, trained and supplied more than 800 pilots for commercial
airlines over the last year.
Joint venture with AAI
Under the terms of the memorandum of understanding, the National Flying
Training Institute will be jointly owned by CAE and AAI. Located at GONDIA
in the State of Maharashtra, the Institute will include a state-of-the-art
facility equipped with classrooms, a hostel, a library, a workshop, a
cafeteria, a guest house and a club. The school will operate new aircraft,
and will use CAE's courseware and innovative training equipment. The total
investment for NFTI is approximately US$25 million. When fully operational,
it is estimated that the NFTI will create approximately 200 pilots a year.
Managing partner of IGRUA
Under the terms of the memorandum of understanding, CAE will manage
IGRUA's existing flight school activities, including maintenance of
aircraft, flying operations, air traffic control, runway maintenance, NAV
aids, fire fighting facilities, medical facilities, security, staff and
student facilities, as well as transportation.
As part of the memorandum of understanding, CAE will transform IGRUA
into a Centre of Excellence for India, leading the Indian market in the
delivery of a complete range of high-quality aviation training programs.
IGRUA currently licenses 200 pilots annually.
Indira Gandhi Rashtriya Uran Akademi (IGRUA) is the Indian government's
national flying school located at the Fursatganj Airport in Rae Bareli.
Opened in 1986, it is equipped with aircraft including a Trinidad TB-20, a
King Air C-90A and a Zlin 242L. It also includes a full-flight simulator
for a King Air C-90A and cockpit procedure trainers for the Trinidad TB-20.
IGRUA currently employs 250 people.
CAE is a world leader in providing simulation and modelling
technologies, and integrated training services to the civil aviation
industry and defence forces around the globe. We design, manufacture and
supply simulation equipment and offer training and services. This includes
integrated modelling, simulation and training solutions for commercial
airlines, business aircraft operators, aircraft manufacturers and military
organizations and a global network of training centres for pilots, and in
some instances, cabin crew and maintenance workers.
With annual revenues of over C$1 billion, CAE operates in 19 countries
around the world. CAE has sold nearly 700 simulators and training devices
to airlines, aircraft manufacturers, training centres and defence forces
for air and ground purposes in more than 40 countries. We have over 110
full-flight simulators in more than 20 aviation training centres, serving
approximately 3,500 airlines, aircraft operators and manufacturers across
the globe. CAE licenses its simulation software to various market segments
and has a professional services division assisting customers with a wide
range of simulation-based needs. www.cae.com
SOURCE CAE INC.