Story ID: 614_ATR.doc
New CEO Maps Out ATR’s Future
By: AIN Staff
Caption: As Patrick de Castelbajac steps into the role of CEO, he discusses his plans for building on ATR’s success.
Word Count: 618
When taking helm of a company that already owns a substantial portion of the regional aircraft market, one might be tempted to wonder if there’s anything more to be done. But Patrick de Castelbajac, who was appointed CEO of ATR at the beginning of June, knows there’s plenty of work left to do.

“When you’re at the top, the challenge is not only to stay at the top, but to find ways to continue to grow,” de Castelbajac told AIN. De Castelbajac follows Filippo Bagnato, whose four-year mandate, according to ATR’s statutes, expired at the end of May.

Considering ATR’s dominance in the market, it’s easy to understand the new CEO’s challenge. Since 2009, ATR has captured more than 40 percent of the global 50- to 90-seat regional aircraft market. Orders for its ATR-600 series, launched in 2010, have already totaled more than 500 units. The company boasts a record-breaking backlog, which has doubled in less than four years. At more than 320 and valued at $7.9 billion, the backlog stands as the strongest among all regional aircraft with 90 or fewer seats, ATR claims.

“We’re in the midst of commercial aviation’s most ambitious ramp-up in recent years, increasing by over 37 percent in the last two,” de Castelbajac said. “We are set to deliver 80 aircraft in 2014 and are positioning ourselves to reach 95 in 2015 and 100 by 2016.”

De Castelbajac, who came to ATR from Airbus, where he served as head of contracts negotiations since 2010, noted that one cannot sit on past successes. “I intend to keep ATR powering forward,” he said. “Our recently EASA-certified PW127N engines and enhanced avionics suite are excellent examples of how ATR is doing this.”

The PW127N engines provide a 4.5-percent power increase for maximum take off ratings over the ATR 72-600’s PW127Ms, giving the aircraft better performance in hot and high environments. That means additional airports, particularly those with challenging environments, could open to ATR 72-600 operations.

ATR plans to progressively introduce the engine this year through 2015, with an Avianca aircraft being the first to come equipped with the upgrade. Operators can also convert from the PW127M up to the new PW127N in the field with only the need for minor hardware modifications.

The turboprop airplane’s enhanced all-glass cockpit also plays a role in opening new airports into which the aircraft can operate. For example, its LPV system means the aircraft can now land without the need for ground equipment, a common situation at many secondary airports.

Both the engines and the avionics combine to lower fuel consumption and increase efficiency, creating what ATR characterizes as a remarkably green turboprop. Although market growth has happened primarily in the Asia-Pacific region and South America, ATR sees an opening in the long-stagnant and regulation-heavy European market.

As a mature market, little room for fleet growth exists in Europe. However, ATR sees fleet renewal opportunities, noting that half of the current fleet of turboprop regional aircraft in Europe consists of models no longer in production.

“The ATR 72-600 is the greenest regional aircraft,” claimed de Castelbajac. “In fact, a flight from Brussels to London via the ATR 72-600 burns less fuel than taking the Eurostar train between the two cities.

“This all exemplifies the ATR philosophy that I have inherited and intend to carry forward,” he added. “As a turboprop manufacturer, ATR is not in the field of speed, we are in the field of economy. And that means continuing to look for ways to increase the ATR’s efficiency and decrease its operating costs.”