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India May Build an Airliner with Russia to Take on Boeing, Airbus

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Sukhoi Superjet 100
Sukhoi Superjet 100

India might join Russia’s United Aircraft Corporation (UAC), the maker of Sukhoi Superjet to build a new airliner of nearly 130-140 seating capacity.
Sukhoi, famous around the world for one of the world’s most lethal air dominance combat aircraft: Su-30MKI, also manufactures civil Airliners in Russia. Sukhoi Superjet 100 civil airliner is currently being operated by Russia’s state run carrier Aeroflot.
Russia’s United Aircraft Corporation (UAC), has announced plans to build a new airliner by 2016, which will bridge the gap between the Sukhoi Superjet 100 and the larger MS-21 airliner currently in development.
The company’s CEO Mikhail Pogosyan says, “We are considering an airliner with 130-140 seats as halfway between the Sukhoi Superjet with 110-115 seats and MS-21 with 150-200 seats.”

Russia had earlier approached India with the proposal of developing MS-21 jointly, however India had rejected the offer.

The company aims to manufacture nearly 485 planes between 2012 and 2014, Pogosyan revealed. This year UAC is going to sell 20 Superjets to customers and to start testing the new T-50 fighter with India. Pogosyan also says the company plans to boost its order book by 100 airplanes. Currently UAC has 300 orders for civil aircraft and 278 for military.

MTA
MTA (Multirole Transport Aircraft)
Russia has big plans to promote its airliner and occupy a section of the airline manufacturing industry which is currently dominated by western companies like Boeing and Airbus. 
Recently Russia’s hopes experienced a setback when Sukhoi Superjet 100 crashed during one of its test flight in Indonesia. The aircraft was flying on a purpose to demonstrate its capabilities to the number of interested parties and potential customers
Today Sukhoi Superjet100 is a successful aircraft developed with the cooperation of Boeing and Russo-French joint venture Powerjet which worked on the 76KN turbofan Engine SaM146. PowerJet is a joint venture between Snecma of France and NPO Saturn of Russia. Snecma is in charge of the core engine, control system, transmissions (accessory gearbox, transfer gearbox), overall engine integration and flight testing. NPO Saturn is responsible for the components in the low pressure section and engine installation on the Sukhoi Superjet 100 regional aircraft and ground testing.
According to Sukhoi, ongoing certification tests have confirmed that the Sukhoi Superjet 100’s direct operating costs are 6–8% lower than those of its key competitor, the Embraer 190/195. In terms of total fuel burn per sector, the SSJ is on a par with the Antonov An-148 but can accommodate 22 more passengers. Its lower operating, maintenance and fuel cost makes it attractive for the developing market like India, China, Brazil, South East Asia, Africa and Latin America.
When asked company’s CEO Mikhail Pogosyan about creation of an international alliance of aircraft-makers, he said, “The foremost partner could be India, which would provide access to the growing Indian market.” Other candidates for the alliance are considered to be China, Indonesia, Italy, South Africa and Ukraine, he added.
Russia already has a good experience of working jointly on projects with Indian companies and government, together Russia and India have successfully developed world’s fastest cruise missile Brahmos (in operation). Currently both the countries are jointly developing military aircrafts like T-50 fighter (5th Gen fighter) and MTA transport aircraft program. 
It is reported that the new Airliner will use aluminium fuselage and composite materials for the wing (including center section), elevator and rudder. The new materials will weigh 15 to 20 percent less, increase service life by 20 to 30 percent, reduce operating costs by 10 to 12 percent and reduce energy consumption during manufacture by 10 to 15 percent.
Fuselage plugs will give the new airliner its greater length. It will feature new engines from a source which has not been yet chosen. Some SSJ100 suppliers might be ousted from the new airliner. For example, the developers say the SSJ100 interior from B/E Aerospace may be out, in favor of a lighter and more modern interior from Italian companies.

Irkut MS-21
MS 21 Medium Haul Airliner
If India accepts Sukhoi’s offer then it would be India’s first ever project in developing a full service international level civil aircraft. This is not the first ever such offer to India. Last year in February 2011, Russia’s Irkut Aircraft Corporation had proposed India’s HAL (Hindustan Aeronautics Limited) to jointly develop MS-21 medium haul airliner. However, India had rejected the offer then, because at that moment HAL’s priorities were in developing defence transport aircraft, MTA with Russia and LCA. Also, HAL had no great past experience in manufacturing of civil aircrafts.
This time also HAL’s condition is same as the last time, but probably HAL would not like to say no to a bigger brand like Sukhoi.
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Sanskar Shrivastava is the founder of international students' journal, The World Reporter. Passionate about dynamic occurrence in geopolitics, Sanskar has been studying and analyzing geopolitcal events from early life. At present, Sanskar is a student at the Russian Centre of Science and Culture and will be moving to Duke University.

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Important Calculations for Property Investment

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Property investment can be a daunting prospect, even for those experienced investors. Therefore, it is important to make sure your numbers add up. Follow these crucial calculations to discover the potential of your property and how profitable it can be in the future.

Return on Investment (ROI)

Strong returns are one of the biggest indicators to a successful property investment. The larger the return, the more profitable the property has become. Return on investment is a way of working out how much money you have made, compared with the money you have put in. A simple calculation is the annual profit minus any costs divided by how much money you have started with. To put this into numbers:

Annual rent: £5000

Annual costs: £2000

Profit: £3000

Purchase Price: £200,000

Mortgage use: £75,000

Cash Invested: £25,000

£3000 ÷ £25000 = 0.12. So, return on investment is 12%.

ROI highlights how effectively an investment is being used to generate profits.

Stamp Duty

Stamp duty refers to a land tax that is important to consider when purchasing property. In 2014, stamp duty on property purchases was reformed by the government. From April 2016 a 3% stamp duty surcharge was applied to the purchases of additional buy to let property and similarly, the same rate applied for those who purchase a second home. Thereafter stamp duty rates are applied in thresholds. To work out how much stamp duty you should pay on the purchase of your property visit the RW Invest stamp duty calculator.

Capital Appreciation

Capital appreciation refers to the percentage that your property increases over a period of time, helping you to figure out when is best to sell. It occurs when the property invested commands a higher price in the market than originally paid, it allows you to work out how much potential there is to obtain high profits.

In order to work out the levels of capital appreciation, firstly you need to know what the average growth rate in the property’ location, however this would still only be an estimate. There are many contributing factors that affect capital appreciation from advancements in infrastructure and improvements to existing transport links, population growth, and increasing demand for the chosen area. Not one single factor can be seen as an indicator of capital appreciation therefore you must research forthcoming plans in an area in order to gauge the strength of its growth.

Gross Rental Yields

Rental yields are one of the biggest indicators to the amount of returns you are expecting to receive. It is an essential calculation for working out how much income you can make from your property, not including the capital growth. To calculate rental yields, take an annual income and divide it by the purchase price of the property. RW Invest, property investment specialists offer some of the best buy to let properties in the UK, securing competitive rental yields as high as 9%. The higher the rental yield, the quicker your investment will pay for itself.

Let take a closer look at the breakdown,

Annual Rental Income: £6000

Purchase Price: £100,000

£6000 ÷ £100,000 = 0.06

Rental yield= 6%

Exchange Rates

If you are purchasing a property in the UK from overseas, it is imperative that you figure out the current exchange rate as this can largely affect your property purchase price. Exchange rates are easy to find online, but to be sure to keep a close eye on them as they tend to regularly fluctuate. Savvy investors often get the best deal possible on their property investment, providing the exchange rate has been researched properly.

In property, every little thing matters, as the tiniest faults could be detrimental to a prosperous long-term future. This is a key skill for property investors to make sure an investment is worthwhile. Taking all calculations into account can allow you to plan and make executive decisions.

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Strategies to boost your return on investment

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Return on investment is the annual profit, minus income costs, generated by an asset, divided by the total cash you’ve put in. This sum looks simple and easy to use. However, it is important to take into consideration a number of variables. Expenses must be considered such as unexpected repairs or regular maintenance works, also take into consideration your financing method. Have you used a mortgage?

If you have bought a property without a mortgage, using your own money only, the net yields and the return on investment would be the same, as you are putting in the full purchase price. However, if you are purchasing with a mortgage, the figures may look slightly different.

A tedious debate that has emerged in property is how you should accurately calculate the return on investment. What costs should be accounted for? On the whole, everyone has their own ideas of what allowance for maintenance and voids should be included. Being consistent is key, as you can then compare different properties with each other.

Returns can include increased profits and reduced expenses. If you clearly define goals from the outset, and set as many quantifying benchmarks as possible, you will be able to create a more prosperous strategy to hopefully maximise your return on investment. Before you set out on your investment journey, it is important to note that offering a higher return may come with a higher risk. You should outline how much risk you are willing to take on.

Make sure your property is ready to rent

One of the easiest ways to maximise your return on investment is by making it rent ready before marketing. Ensuring the premises is ready and clean, fresh paint, clean carpets and working appliances must work, and all necessary repairs and maintenance should be complete. Purchasing property from experienced property companies like RW Invest guarantee your property is 100% ready for new tenants moving into the premises. Ensuring your investment property is rent ready as soon as possible will shorten the time it takes to lease the property and boost your return on investment.

Market well

Marketing is one of the largest determiners on the quality and quantity of application you receive for your property. Increasing exposure will ultimately reach more people and in turn get more tenants. The internet is the first place tenants look when trying to secure a new place to live, so be sure to strategically market online.

Reduce tenant turnover

If you keep tenant turnover to a minimum and keep good tenants, this will increase your return on investment in the long run. Maintaining good communication with your tenants makes them feel valued, which will help with things such as paying rent on time and taking care of the property because there is a mutual respect. Void periods, whereby the property is empty can be one of the biggest detriments to property owners, therefore avoiding vacant periods by keeping tenant turnover to a minimum will help reduce vacant periods.

Investing in real estate can be an extremely prosperous move, that can not only act as a second income for many but also as a sole income, providing it is thoroughly researched with no stone left unturned. Sourcing properties with high return on investment is easy providing you follow a few easy steps and bear in mind how to create the most successful future financially.

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How to Increase Your Cash Flow in Property Investment

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Barcelona house real estate

Property investment is a business venture, and like any business, it is essential that you make the most profit you can. There are a number of ways you can do this, and sometimes thinking from a business-based perspective can give you a new understanding. It is important to make sure you maximise your income and minimise your expenditure to get the best profit.

In order to maximise your cash flow there are a number of different strategies you can use. The situation you are aiming for is positive cash flow – making money from your property investment. Zero cash flow is breaking even and negative cashflow means you are losing money. It is important that you have an up to date record of all expenses and income, and that you have a detailed plan and financial forecast so you can prepare for the future. Keeping an up to date budget can allow you to recognise where you are spending too much or not earning enough, and that will allow you to make savings and increase your cash flow.

If you are spending too much on your property investment, there are a number of ways you can reduce your spending. If your property needs costly improvements, then it is essential you shop around and get the best price before agreeing to the proposed work. Try and reduce extra costs like advertising, maintenance work, and estate agent fees. Another thing that can be extra costly for property investors is void periods, where you aren’t receiving rental income from tenants. In order to reduce these it is worth considering property like student accommodation which is occupied year round by a new stream of tenants every year. It is also worth targeting long term tenants who are looking for a rental property for a couple of years.

It is also important that you understand the tax implications of a buy to let property investment and know where you can make savings there. It is worth talking to a financial advisor or doing some in depth research into how to save money on your property investment taxes.

Another way that you can increase your cash flow is through increasing your rental income. It is worth being tentative before you increase rental rates significantly, and many property investors worry that this might force tenants to move out. However, if you are providing high quality accommodation, and you need to earn more to balance the books, it is acceptable to increase your monthly rental income. It is important that these rate rises are affordable and appropriate, so look at similar properties and make sure you are charging a similar rate. An experienced property investment firm like RW Invest can help you choose the best rental properties out there, with guaranteed rental yields allowing you to plan ahead.

One other way of making sure you maximise your property investment’s cash flow is through increasing the value of your rental property. If you want to charge more rent, it is worth considering adding things like cleaning services, new amenities, or a gym membership. As long as this is cost effective, it may entice more premium long-term tenants to your property who are willing to pay more.

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