Winnipeg Free Press - PRINT EDITION

Aerospace industry on a high

Manitoba firms forced to keep growth in check

From left,  Don Boitson with Magellan, Rob Mionis, Willy Geary, Paul Heide with Aveos and Jeff Zabudsky speak at aerospace conference Friday.

WAYNE.GLOWACKI@FREEPRESS.MB.CA Enlarge Image

From left, Don Boitson with Magellan, Rob Mionis, Willy Geary, Paul Heide with Aveos and Jeff Zabudsky speak at aerospace conference Friday.

Despite thousands of layoffs in Eastern Canada, Manitoba's aerospace industry is doing so well, some companies are being forced to be careful not to grow too much.

Willy Geary, president of Boeing Canada Operations Ltd. in Winnipeg, said business is so good right now the company is trying hard to maintain lean operations so it does not get to an unmanageable size.

StandardAero is just completing a multimillion-dollar plant expansion.

Enlarge Image

StandardAero is just completing a multimillion-dollar plant expansion. (WAYNE GLOWACKI / FREE PRESS ARCHIVES)

"Our business projection is so healthy that if we were to not try and rationalize some of our work, we would be driving employment up to levels substantially higher than this region has ever seen and would be unsustainable," Geary said.

Geary, along with senior management from the other three largest aerospace operators in the province, participated in a panel discussion on industry challenges Friday at the Western Aerospace Alliance conference in Winnipeg.

The world might be in the midst of an economic downturn, but local aerospace business has largely succeeded in maintaining stability.

Although all four of them -- Boeing, StandardAero, Bristol Aerospace and Aveos (formerly Air Canada Technical Services) -- are facing some disruptions from suppliers and customers, they have been able to maintain essentially stable operations.

For instance, Boeing's non-unionized Winnipeg staff are on a four-day work week to bridge the period leading up to a ramp-up in production of Boeing's new 787 Dreamliner.

StandardAero, the busy Winnipeg gas turbine engine-repair company, has been less affected than most in the industry because of its diversification, said its Arizona-based CEO, Rob Mionis.

In addition to aerospace engine maintenance, repair and overhaul (MRO) operations in Winnipeg, StandardAero has several other locations in North America for airframe work on small business planes, avionics MRO, renovations of high-end corporate jets as well as MRO on engines for the pipeline business.

Mionis said business aviation work has fallen off dramatically starting late last year and continuing into this year, but that Winnipeg operations are going strong.

"Here in Winnipeg, we are blessed with some very good, long-term customers," he said. "Our CF-34 (the engines used on the popular Bombardier and Embraer regional jets) order book is over $1.6 billion right now."

The company is just completing a multimillion-dollar plant expansion in Winnipeg to handle the growing business in that line.

"That work is done only in Winnipeg," he said. "There is lots of growth ahead of it."

Since that class of plane has been growing in popularity over the last 15 years, Mionis said the engines are just due to hit their first cycle of heavy maintenance. Besides General Electric, the engine manufacturer, StandardAero has the largest global market share for the MRO on those engines.

Without indicating any details, Mionis said that over the next four to six weeks, the company is expecting some new announcements on new awards.

"It should be very good news for our team here in Winnipeg," Mionis said.

There are about 5,000 people directly employed in the aerospace industry in Manitoba. Although there have been bumps along the way -- Boeing dramatically cut its workforce in the early part of this decade, for instance -- there has been steady growth.

Many industry watchers say that in addition to the skill of the individual management teams and workers, community collaboration in this sector has been as effective as any industry group. At the Friday session of the conference, business leaders shared the podium with Jeff Zabudsky, president of Red River College, and Doug Ruth, dean of engineering at the University of Manitoba.

All agreed that relationships between industry players and the training institutes have been integral to the ongoing vitality of the industry.

Officials also agree the industry has benefited greatly from the Manitoba Aerospace Human Resources Coordinating Committee (MAHRCC), an effective industry-wide human-resource development resource.

On Friday, MAHRCC's longtime CEO, D'Arcy Phillips, announced he is retiring from the post.

martin.cash@freepress.mb.ca

 

Manitoba aerospace industry's Big Four

 

Boeing Canada -- 1,200-to-1,400 Winnipeg employees

StandardAero -- 1,200 Winnipeg employees

Aveos -- 700 Winnipeg employees

Bristol Aerospace -- 650 Winnipeg employees

Republished from the Winnipeg Free Press print edition May 9, 2009 B7

  • Rate this Rate This Star Icon
  • This article has not yet been rated.
  • We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.

    You can also register and/or login to the site and join the conversation by leaving a comment.

    Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.

0 Commentscomment icon

The comment period for this story has ended.

letters

Make text: Larger | Smaller

Special coverage

Poll

Would you pay more to supersize your garbage bin?

View Results