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April 6, 2020 | Local, Aerospace

CAE to implement temporary layoffs, will begin producing ventilators

CAE announced that it has taken a series of flexible measures to protect its financial position in response to the COVID-19 crisis and mitigate the impact on its employees. The measures include temporarily suspending its common share dividend and share repurchase plan, as well as temporarily laying off 2,600 of its 10,500 employees and placing another 900 employees on a reduced work week. CAE also announced that, in an effort to help save lives, it is developing an easy-to-manufacture ventilator which will provide life support to patients in intensive care.

“CAE continues to support its customers as the training services we provide are considered essential around the world. Our civil aviation operations are most affected by the unprecedented disruption of the global air transportation system. At the same time, our defence and security operations are less impacted because CAE provides mission critical services worldwide,” said Marc Parent, CAE's president and CEO. “We entered this crisis from a position of strength with a leading market position, a balanced business with recurring revenue streams, and a solid financial position. Taking decisive yet flexible action will help to protect our people and operations over the short-term and gives us the necessary agility to resume long-term growth when global air travel returns. Our employees have always been at the core of CAE's success, we regret the hardship these temporary measures will cause those affected, especially during these difficult times, and we are grateful to all our employees for their contribution and dedication.”

To mitigate the number of temporary layoffs, CAE significantly reduced capital expenditures and R&D investments. The company also announced cost-containment measures, including salary freezes and salary reductions for staff not affected by reduced work weeks (50 per cent for the CEO and executive team, 30 per cent for vice-presidents, 20 per cent for directors and managers, and 10 per cent for group leaders and employees).

CAE is working to access government emergency relief measures and wage subsidy programs in its main operating jurisdictions and will assess their impact on its mitigation plans. As details of government assistance programs around the world are finalized, CAE will do everything it can to recall as many employees as possible.

Dividend and share repurchase plan (NCIB) suspended

CAE's board of directors has approved the suspension of dividend payments to common shareholders until further notice and will review this position on a quarterly basis. Core to its capital allocation priorities, CAE remains committed to paying dividends over the long-term that are commensurate with the long-term growth of its business and will seek to resume dividend payments as soon as it is appropriate.
CAE's board of directors has also approved the temporary suspension of all share repurchases under its normal course issuer bid program.

CAE provides essential services critical to maintaining customers' operations

In civil aviation, training is highly regulated, and for pilots to remain active and to continue to hold their certifications, they must train regularly — usually every six to nine months. While training activities related to new pilot training have decreased substantially, many airlines and business jet operators have continued to conduct recurrent training to maintain the certification of their existing pilots. Two-thirds of CAE's more than 50 civil training centres worldwide continue to be operational, however training utilization is lower than usual as a result of restrictions from border closures and lockdowns that have forced temporary closures and disruptions to operations.

In defence and security, as underscored by governments worldwide, CAE's work is considered essential, and its employees are deployed worldwide to actively support training and readiness requirements. Over 90 per cent of CAE's operational sites are still delivering services to support defence forces who must always be prepared and ready in the interest of national security.

Playing a role in saving lives in the fight against COVID-19

To help in the fight against COVID-19, CAE Healthcare engineers and scientists have designed in 11 days a simple, maintainable, easy-to-manufacture ventilator prototype to provide life support to patients in intensive care. CAE is currently sourcing components in order to begin production of this ventilator as soon as it is approved by Health Canada.

“CAE has employees around the world, and we are all proud of the impact we can have by putting our expertise to work to create a ventilator that can help save lives in the fight against COVID-19,” said Parent. “Once this prototype is approved by public health authorities, we are looking at manufacturing thousands of units in our Montreal plant and in other sites over the next few months.”

CAE is also providing complimentary training seminars on how to prepare healthcare workers in the fight against COVID-19. The CAE team is launching simulation-based training solutions, both web and hardware based, to train personnel in the safe practice of ventilation and intubation, which is key to saving lives. This is even more critical right now when ventilation and intubation is being done by healthcare professionals who are not trained for these complex procedures.

https://www.skiesmag.com/press-releases/cae-to-implement-temporary-layoffs-amid-covid-19-pandemic

On the same subject

  • Royal Canadian Navy Unveils New Details On CSC Frigates

    November 11, 2020 | Local, Naval

    Royal Canadian Navy Unveils New Details On CSC Frigates

    The Royal Canadian Navy (RCN) released the latest details on the configuration of its next generation frigates: the Canadian Surface Combatant (CSC). They will be heavily armed, featuring Naval Strike Missiles, Tomahawk and both ESSM and Sea Ceptor! The RCN last week unveiled a PDF document shedding light on the latest configuration retained for its next gen class of frigate: the CSC. Naval News contacted various sources familiar with the program to confirm the selection of a number of systems listed in the document. What stands out in this new document is fact that the CSC will be fitted with a wide range of weapons, both offensive and defense, in a mix never seen before in any surface combatant. Naval Strike Missile (NSM) While NSM launchers were shown in the past on CSC scale models at various tradeshows (Surface Navy and Sea Air Space), the CSC model on display at DSEI 2019 was showing Harpoon launchers aboard the frigate To our knowledge, it is the first time that an official Royal Canadian Navy lists the NSM as the main anti-surface warfare (ASuW) weapon for the CSC. Contacted by Naval News, an industry source said Kongsberg was close to finalizing the deal. NSM has an operational range of 100 nautical miles (185 Km) and a high subsonic speed. It uses Inertial, GPS and terrain-reference navigation and imaging infrared homing (with a target database aboard the missile). The NSM is a fifth generation anti-sip missile, produced by Kongsberg and managed in the U.S. by Raytheon. NSM reached Initial Operational Capability on the Norwegian Fridtjof Nansen-class frigates and Skjold-class corvettes in 2012. It is also fielded by the Polish Navy (coastal defense batteries) and has been selected by the navies of Malaysia and Germany. NSM was also selected in 2018 as the winner of the U.S. Navy Over-The-Horizon Weapon System (OTH WS) competition and by the USMC last year. It will be fitted aboard the Littoral Combat Ship and the Constellation-class frigates. In the case of Canada, is selected, the NSM will likely be sourced from Raytheon via an FMS deal, rather than procured directly from Norway. Tomahawk land attack cruise missile If Tomahawk missiles end up in the CSC weapons package, this would be quite significant. So far, Raytheon's land attack cruise missile has only been exported to the United Kingdom in its submarine launched variant. Canada would become the second export customer for the missile and the only navy, with the US Navy to deploy it from surface vessels. Naval News contacted Raytheon for comment but we have not heard back yet. During the Sea Air Space 2019 tradeshow, representatives from Lockheed Martin Canada confirmed to Naval News the MK41 VLS aboard the frigate were “strike length”. The Tomahawk Land Attack Missile (TLAM) is a long-range, all-weather, jet-powered, subsonic cruise missile that is primarily used by the United States Navy and Royal Navy in ship- and submarine-based land-attack operations. Its latest variant, the RGM/UGM-109E Tomahawk Land Attack Missile (TLAM Block IV) has a range of 900 nautical miles (or 1,000 mi / 1,700 km). ESSM and Sea Ceptor The last thing that really caught our attention in the RCN document is the fact that both the ESSM and Sea Ceptor are listed. On paper, the two missiles are direct competitors and redundant: ESSM is a medium-range, all-weather, semi-active radar-guided missile used in surface-to-air and surface-to-surface roles. According to open sources, the RIM-162 Evolved SeaSparrow Missile (ESSM) has a range of about 27 nautical miles (50 Km) and a top speed of Mach 4+. Unlike ESSM Block 1, the Block 2's active radar homing seeker will support terminal engagement without the launch ship's target illumination radars. The improved ESSM Block 2 will be fielded by the US Navy from 2020. Canada is one of the 12 nations taking part in the NATO-led ESSM consortium and will be deploying the Block 2 variant aboard the future CSC. The will be launched from the Mk41 VLS. The missiles can be “quad packed” in a single cell. According to MBDA, Sea Ceptor is the next-generation, ship-based, all-weather, air defence weapon system. The Weapon System has the capability to intercept and thereby neutralise the full range of current and future threats including combat aircraft and the new generation of supersonic anti-ship missiles. Capable of multiple channels of fire, the system will also counter saturation attacks. It has a range of 25 Km, a speed of Mach 3 and features an active RF seeker. Also known as Common Anti-Air Modular Missile (Maritime) – CAMM(M), this new missiles has already been fielded aboard the Royal Navy's Type 23 frigates and the Royal New Zealand Navy ANZAC-class frigates. Sea Ceptor will also be fitted aboard the future Type 26 frigates. Contacted by Naval News, an MBDA source shed some light on how the Sea Ceptor was selected in addition to the ESSM. The two missiles were not competing against each other. Raytheon's ESSM was selected to provide “point defense”. Instead, MBDA pitched its missile for the RCN's close in weapons system (CIWS) requirement. The Sea Ceptor beat out systems usually used in that role such as the RAM, SeaRam or Phalanx. The final Sea Ceptor configuration aboard the CSC still needs finalized and confirmed but it will likely be 24x missiles launched from Lockheed Martin's Extensible Launching System (ExLS) located amidship. The RCN would become the launch customer for that new launcher alongside the Brazilian Navy (for its new corvette design based on the TKMS MEKO A-100) depending on who signs the contract first. CSC latest configuration Surveillance & Weapon Sensors Solid State 3D Active Electronically Scanned Array (AESA) Radar – LMC SPY-7 Solid State AESA Target Illuminator – MDA Navigation Radars – X & S Band Electro-Optical and Infrared Systems Electronic Warfare & Countermeasures Suite Radar/Radio ESM Frequency Identification Laser Warning and Countermeasures System Radio Frequency and Electronic Jammers Electronic Decoy System Naval News comments: An industry source informed us that except for the Torpedo decoy systems (to be provided by Ultra) the decoy launchers for CSC and their ammunition is one of the few systems that are still “up in the air”. We were told however that the RCN wants the full range of decoy types available on the market today: Infra red, chaff, corner reflectors, smoke for masking / screening and even offboard active decoys (such as Nulka). The EW suite of the CSC will be known as the RAVEN. Designed by Lockheed Martin Canada, it is based on the RAMSES system currently fitted aboard the Halifax-class frigates. Command & Control Combat Management System – LMC CMS 330 with AEGIS USN Cooperative Engagement Capability – Sensor Netting Integrated Cyber Defence System Integrated Bridge and Navigation System – OSI Internal and External Communication Suite – L3 Harris Aviation Facilities 1 x CH-148 Cyclone Helicopter Space for embarking Remotely Piloted Systems Helo Hauldown and Traverse System – Indal Technologies Inc. Weapons Missile Vertical Launch System 32 Cells – LMC MK 41 Area Air Defence Missiles – Raytheon Standard Missile 2 Point Defence Missiles – Raytheon Evolved Sea Sparrow Naval Fires Support – Raytheon Tomahawk Main Gun System – 127mm Lightweight Torpedoes MK54 & Twin Launch Tubes Close-In Air Defence System – MBDA Sea Ceptor Surface-to-Surface Anti-Ship Missile – Kongsberg Naval Strike Missile 2 x Stabilized Rapid Fire 30mm Naval Gun System – BAE Naval News comments: The main gun is another system on which the RCN has yet to formally make a choice. According to our sources, Italy's Leonardo 127/64 LW is still in competition against BAE System's Mk45 Mod 4. Note that the CSC scale models and illustrations (above) have always shown the American gun. In addition, the UK's Type 26 and Australia's Hunter-class frigates will both use the later naval gun system. A possible FMS of SM-2 Block IIIC missiles for the CSC was approved last week. Reconfigurable Mission & Boat Bays 1 x Rescue Boat – 9 metres 2 x Multi-Role Boats – 9-12 metres Mission Bay Handling System – Rolls Royce Modular Mission Support Capacity – Sea Container, Vehicles, Boats Propulsion & Power Generation Combined Diesel-Electric or Gas Propulsion System (CODLOG) 2 x Electric Motors – GE 1 x Gas Turbine – Rolls Royce MT 30 4 x Diesel Generators – Rolls Royce MTU Integrated Platform Management System – L3 Harris Integrated Underwater Warfare System Towed Low Frequency Active & Passive Sonar – Ultra Electronics Hull-Mounted Sonar – Ultra Electronics Sonar S2150 Towed Torpedo Countermeasures – Ultra Electronics SEA SENTOR S21700 Sonobuoy Processing System – General Dynamics Expendable Acoustic Countermeasures Specifications: Length: 151.4 metres Beam: 20.75 metres Speed: 27 knots Displacement: 7,800 tonnes Navigational Draught: ~8m Range: 7000 nautical miles Class: 15 ships Accommodations: ~204 Naval News comments: The displacement figure (7,800 tonnes) shown on the RCN document is probably the “full load” displacement. For comparison, the official figure for the Royal Navy's Type 26 frigate is 6,900 tons standard displacement while the official figure for the Royal Australian Navy's Hunter-class frigate is 8,800 tons at full load. In addition to the PDF unveiled last week, the Royal Canadian Navy Director of Naval Strategy, Captain Nucci, published an article on CSC in USNI's proceedings: “Canada is pursuing a single class of 15 surface combatants for the Royal Canadian Navy (RCN), unlike some of its allies who are building multiple classes of more specialized ships. A single variant Canadian Surface Combatant (CSC) is better than the project's original vision of two variants based on a common hull (the first a task group command/air-defense version, the other a more general-purpose/antisubmarine warfare version). While all naval force structure is essentially driven by national strategic defense and security interests, a single-class solution is based on three principal factors. First, it fits best for Canada's unique naval requirements shaped by its geography, modest fleet size, and the RCN's operational needs. Second, it optimizes effectiveness now and into the future, while responsibly seeking maximum cost efficiencies. Finally, it is an innovative approach that has only recently become both practical and advantageous because of recent technological developments, such as convergence and digitization.” Captain Christopher Nucci, Royal Canadian Navy, Proceedings, USNI, November 2020 https://www.navalnews.com/naval-news/2020/11/royal-canadian-navy-unveils-new-details-on-csc-frigates/

  • Irving misreads the National Shipbuilding Strategy: analysis

    August 15, 2018 | Local, Naval

    Irving misreads the National Shipbuilding Strategy: analysis

    DAVID PUGLIESE, OTTAWA CITIZEN Irving seems to be upset about Davie's ongoing efforts to win work under the National Shipbuilding Strategy. In a new deal with the federal government, Davie will refit existing icebreakers that are to be owned by the federal government. This is part of federal efforts to shore up Canada's icebreaking capability. At an event last week to announce the contract, Steven MacKinnon, Parliamentary Secretary to the Minister of Public Service and Procurement Canada and Member of Parliament (Gatineau, Quebec) also stated that Davie Shipyard in Levis, Quebec will have opportunities to bid and win work under the National Shipbuilding Strategy. That has sparked concern from Irving which issued on Monday a statement that it is worried MacKinnon's remarks “signal the possible redirection of shipbuilding work out of Atlantic Canada.” During the new conference MacKinnon said Davie could be in line for work under the shipbuilding strategy. “Davie had, has had, and will continue to have opportunities under the national shipbuilding strategy to bid, to win work, and the quality of the work that's done in this shipyard speaks for itself,” he said. Full Article: https://ottawacitizen.com/news/national/defence-watch/irving-misreads-the-national-shipbuilding-strategy-analysis

  • Contracts awarded to enhance tracking and detecting capabilities of Halifax-class frigates

    February 4, 2019 | Local, Naval

    Contracts awarded to enhance tracking and detecting capabilities of Halifax-class frigates

    February 1st, 2019 –– Halifax (N.-S.) –– National Defence / Canadian Armed Forces As outlined in Canada's defence policy, Strong, Secure, Engaged, the Government of Canada is providing the Royal Canadian Navy with enhanced naval intelligence, surveillance and reconnaissance systems. Today, on behalf of Defence Minister Harjit S. Sajjan, the Honourable Bernadette Jordan, Minister of Rural Economic Development, announced the award of two contracts valued at $186 million to General Dynamics Mission Systems-Canada to upgrade and maintain underwater sensors installed in the modernized Halifax-class frigates. The majority of this work will occur in Canada, creating and maintaining about 120 highly skilled jobs while supporting the continued growth and competitive advantage of the underwater sensor industrial capabilities in Canada. As a result of this investment, the Halifax-class frigates will be able to detect quieter targets at increased ranges. In addition, improved automation will allow sonar operators to improve their underwater warfare performance work and to focus on other priorities. This will make our frigates more effective in both coastal regions and the open-ocean. The Halifax-class multi-role frigates will remain the key contributor to naval operations for the next 20 years. The contracts announced today will increase the frigates' overall ability to deal with emerging and future threats, and ensure that the women and men of our Royal Canadian Navy have what they need to do the important job we ask of them. Quotes “Through our defence policy, Strong, Secure, Engaged, we are investing in the women and men of our Royal Canadian Navy and making sure they are well equipped to address emerging threats. Threat detection is critical to initiate rapid defence countermeasures that protect our sailors and our ships. As the security environment continues to evolve, we will continue to adapt our naval capabilities, enabling effective defence of Canadian waters and meaningful contribution to international operations and exercises.” Harjit S. Sajjan, Minister of National Defence “Communities across Canada, and here in Nova Scotia, will greatly benefit from this important long-term investment in skilled employment in Canada's technology sector. Our Government is making sure defence contracts bring prosperity and support as well as critical Canadian Armed Forces equipment. ” Bernadette Jordan, Minister of Rural Economic Development “The Industrial and Technological Benefits Policy helps to create jobs, supports innovation and stimulates economic growth in Canadian communities. These contracts will continue to advance Key Industrial Capabilities in Canada and help support our Royal Canadian Navy.” Navdeep Bains, Minister of Innovation, Science and Economic Development “Our Government is committed to building a more agile, better-equipped military, while supporting the Canadian economy. These enhancements to the Halifax-class frigates will provide the Royal Canadian Navy with the latest technology it needs to detect incoming threats.” Carla Qualtrough, Minister of Public Services and Procurement and Accessibility “Defence contracts create tangible benefits for Canadians. These defence contracts will bring highly skilled jobs and generate economic opportunities to communities on the East Coast and in Canada for many years, while supporting the operations of the Royal Canadian Navy. Andy Fillmore, Parliamentary Secretary to the Minister of Canadian Heritage and Multiculturalism Quick facts Halifax-class frigate sonar operators detect, locate and track surface and sub-surface threats through the continuous monitoring and collection of information via high-tech sensors. The $186 million contracts include acquisition and upgrade for the first six Halifax-class frigates ($103 million) and in-service support (potentially $83 million). The contracts include options to upgrade all twelve Halifax-class frigates, which would bring the acquisition portion of to $170 million. The in-service support contract will maintain and sustain upgraded suites for up to 23 years, if all options are exercised. The first installation of the upgraded underwater warfare suite is expected to be completed in 2021 and operational in 2022. Licensed Defence Research and Development Canada Intellectual Property forms the basis of the winning technical bid for the UWSU Project. A repository of re-usable software has been developed over 25 years by DRDC in support of RCN and RCAF technology demonstration projects in underwater warfare. The Industrial and Technological Benefits Policy applies to this project, creating jobs and supporting key industrial capabilities in Canada. Associated links Canadian Patrol Frigates Halifax-class modernization and frigate life extension https://www.canada.ca/en/department-national-defence/news/2019/02/contracts-awarded-to-enhance-tracking-and-detecting-capabilities-of-halifax-class-frigates.html

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