Q & A WITH VICTOR BIRD

Q&A WITH VICTOR BIRD
By Jennifer Palmer, Business Writer
The Oklahoman
2/20/2009

State aerospace industry doing OK despite economy

Q: How have job cuts at some of the major aerospace companies, such as
Boeing, affected the aerospace industry here in Oklahoma?

A: We are very fortunate in Oklahoma because the heart of our industry is
the maintenance and repair of civil and military aircraft, and the
manufacturing of parts for aircraft. The large layoffs we are hearing about
are occurring in states such as Washington (Boeing) and Kansas (Cessna and
Hawker Beechcraft) that are heavily engaged in producing aircraft. Oklahoma
is one of the seven centers in the world for the maintenance and repair of
aircraft. Tinker is the world’s largest military aircraft repair facility.
The American Airlines base in Tulsa is the largest commercial aircraft
repair facility in the world. In tough economic times like these, users of
aircraft — whether it is the airlines, military, business or individual
pilots — are not buying new aircraft and they are looking for cheaper
alternatives for their maintenance and repair needs. What we are known for
is going to provide us somewhat of a cushion. They may build them in
Washington and Kansas, but we keep them flying and make them fly better
here.

Q: How are smaller Oklahoma-based aerospace companies faring in the
recession?

A: Some, such as Pro Fab in OKC are actually hiring because the quality and
value of their work continues to bring them additional business. Others,
such as EnviroSystems in Seminole have remained healthy and are avoiding
any layoffs because of existing contracts and a backlog. Others are seeing
a bit of a slowdown and have experienced some layoffs but nothing like the
ones at Boeing, Cessna and Hawker Beechcraft. Fortunately, Boeing’s
Oklahoma operations, which are focused on the military side of its
business, have not been affected. American Airlines, because of the
world-renowned quality of its work, may actually get some additional
maintenance work from other airlines as they continue to outsource most of
their maintenance work.

Q: What programs, such as the engineering work force bill, are helping
Oklahoma’s aerospace industry weather this economic storm?

A: The Aerospace Industry Engineer Workforce Bill was a landmark piece of
legislation. Several other states are pursuing similar legislation,
including Kansas. Engineering is the core of what makes companies
successful. The Center for Aerospace Supplier Quality was established to
help small and medium-size firms (the lion’s share of the 535 entities
working in aerospace in Oklahoma) win more contracts from the Department of
Defense and contractors like Boeing and Pratt and Whitney. It has made a
positive difference since it began operation in 2007.