ANA Resumes Dreamliner Service;Ford Australia Closes Plants

Boeing's major customer for the new 787 Dreamliner has resumed flights of the aircraft after a four month suspension for safety reasons.All Nippon Airways completed the first of five May flights with the 787 Sunday after extensive battery modifications and testing.Full service will resume on June 1.
United and Ethiopian Airlines had already restarted Dreamliner service.
The ultra-modern aircraft was grounded in January after both ANA and Japan Airlines 787s experienced battery fires.ANA owns the most 787s of any airline:16,with 36 more on order.
All Nippon CEO Osamu Shinobe said the airline did its own testing in addition to the FAA's evaluation of the modifications.It is a game-changing aircraft in terms of the environment,efficiency and passenger comfort,Mr Shinobe pointed out.
Ford Australia is closing its two manufacturing plants in Victoria state,citing high costs,declining sales and a strong Australian dollar.The plants will be shuttered in October 2016,resulting in the loss of 1200 jobs.Ford has been in Australia since 1925.
Ford Australia CEO Bob Graziano said manufacturing is not viable for Ford in Australia,where its costs are double those in Europe,and nearly four times costs in Asia.Ford Australia has lost 581 million dollars/A 600 million in the last five years.
Australians have been turning to compact cars by overseas carmakers such as Mazda and Hyundai recently.
As well,the strong Australian dollar makes it hard for manufacturers in the country to compete globally,at a time when the Labour government is looking to manufacturing to take up some of the slack from falling mining revenue.
All Nippon Airways(Tokyo:9202),Ford Motor Company(F),Boeing(BA)

Asia This Day:Dreamliner Cleared;Bangladesh's Rising Star

Boeing sighed with relief as All Nippon Airways announced it will return the iconic 787 Dreamliner to service on June 1,following a successful test flight of the revamped aircraft.Ethiopian Airlines has already done so.
Australia's revenue shortfall has widened,Prime Minister Julia Gillard said.This is in spite of the unpopular Minerals Resource Rent Tax which her government imposed,which brought in much less than projected because of falling commodities prices and miners taking deductions.
India's Nifty Fifty futures index rose Monday morning on an upbeat meteorological forecast.A normal monsoon season is expected this year,which is good news for the agricultural sector.
The MSCI Asia Pacific index was up 0.25% in early Monday trading.
Bangladesh is considered the new manufacturing hotspot in Asia as Chinese costs rise,causing companies to shift operations to the poorer nation.Bangladesh manufacturing is worth 18 billion dollars now,with textiles alone accounting for 10% of GDP.Eighty percent of exports are going to the US and the EU.
Asian officials must act early to cool down overheating economies,the IMF said.
Chinese banks are reporting record profits,but manufacturing growth has slowed to 5.3%,below expectations.The current way of growing the Chinese economy by fixed asset growth is unsustainable,said Victor Wang,Deputy Head of Hong Kong/China Research at Macquarie Group.
Macquarie Group Ltd(MQG:ASX),Boeing(BA)

Boeing 787:Signed,Sealed and Delivered-At Last

After a ponderous three year delay caused by everything from supplier issues to design flaws,Boeing has finally delivered the first 787 Dreamliner to Japan's All Nippon Airways.A collective sigh of relief may well have sounded around the world's airline headquarters as some 500 Boeing employees,many of them carrying umbrellas on the rain-soaked runway of Washington state's Everett Field,walked the state-of-the-art aircraft to All Nippon executives in a dramatic transfer ceremony.Boeing hailed the event as the beginning of a new era in commercial aviation.
The Dreamliner is Boeing's first new civilian aircraft on the market in 16 years.It will make its first commercial flight on October 26 on a route from Tokyo to Hong Kong.
The sleek airliner is the first to be partially fabricated from carbon fiber composite material.The lightweight mesh of carbon fiber and epoxy makes the 787 20% more cost effective to fly,cutting back markedly on the amount of fuel needed.Modular construction reduces the assembly time from months to a matter of days.The plane's components are produced by a global network of contractors.
The Dreamliner,which features larger luggage bins and windows,as well as soft blue lighting,is the best-selling new jet in history.Despite the delays,Boeing has 821 orders for the plane on its books.This will ensure the jobs of thousands of workers for decades to come.
Boeing(BA)