Very exciting news if you follow either the aerospace or health care sectors. HepaLife Technologies, developing the first-of-its-kind bioartificial liver device intended for the treatment of liver failure, announced this week that its proprietary ‘PICM-19’ liver stem cell line is onboard the Space Shuttle “Endeavour” as part of a scientific experiment to investigate the differentiation and function of stem cells in space. The research is being performed under the International Space Station National Laboratory initiative.

“We are honored that America’s space program has selected HepaLife’s liver cells to be part of this important space mission. This event is testimony to the outstanding liver-like functionality of these cells and supports our long-held conviction that our patented PICM-19 cell line is a one-of-a-kind cellular model,” stated Mr. Frank Menzler, President, CEO and Chairman of HepaLife Technologies, Inc.

In addition to serving as a model for stem cell differentiation and function, HepaLife’s PICM cell line is particularly suitable for assessing the effects of space flight and microgravity and on the ability of the human liver to regenerate, a normal but crucial attribute of the liver.

HepaLife’s PICM-19 cell line is the only stem cell known to successfully differentiate into either bile duct cells or hepatocytes, the two cell types that make up 98% of the liver’s tissues and perform the vital functions of the liver. As such, the PICM-19 cells are an ideal in-vitro liver model for either hepatocyte differentiation and function, or bile duct differentiation and function — the primary role of the cells in experiments aboard the Space Shuttle Endeavour, launched late last week.

Endeavour was successfully launched on Friday, November 14, with the International Space Station as its destination. The shuttle is scheduled to return to Earth on Saturday, November 29, landing at NASA’s Kennedy Space Center in Florida, and bringing to an end its 22nd mission, the 27^th shuttle flight to the International Space Station and the 124th flight in shuttle program history. Endeavour is commanded by veteran space flier Commander Chris Ferguson, pictured in the center. Other crew members, pictured from left to right, are Mission Specialists Sandra Magnus, Steve Bowen and Donald Pettit, Pilot Eric Boe, Mission Specialists Shane Kimbrough and Heidemarie Stefanyshyn-Piper. Image: NASA

Courtesy of NASA.gov

Just over three weeks since its Oct. 19 launch, NASA’s Interstellar Boundary Explorer (IBEX) spacecraft — the first mission designed to image the interaction at the edge of the solar system — concluded its orbit-raising phase and is beginning instrument commissioning in preparation to start science observations.  After its launch to low Earth orbit (about 140 miles) onboard a Pegasus rocket, the spacecraft used its own solid rocket motor and hydrazine propulsion system to perform a series of burns that ultimately raised its apogee (furthest point from Earth) to about 200,000 miles and its perigee (closest point) to about 8,000 miles above the Earth — an orbit ideal for its science mission.

“Because the orbit goes so far out — about five-sixths of the way to the Moon — it gets pushed around significantly by lunar gravity and evolves over time in altitude and inclination,” said IBEX Principal Investigator Dr. David McComas, senior executive director of the Space Science and Engineering Division at Southwest Research Institute. “We’re now in an orbit that provides excellent science viewing and no long eclipses for at least the next two to three years, without the need for additional burn maneuvers.”

Before the science investigation begins, the IBEX team will commission those spacecraft subsystems that weren’t needed for the orbit-raising period as well as the two IBEX science instruments. During commissioning, the spacecraft spin rate will be reduced from 23 rpm to 4 rpm and pointed toward the Sun. At that point, the remaining subsystems and instruments will be turned on and tuned to ensure optimum mission performance.

When it begins its science observations in early December, IBEX will use energetic neutral atom imaging to create the first-ever all-sky maps of the interactions between the million mile-per-hour solar wind blown out by the Sun and the low-density material between the stars, known as the interstellar medium. The spacecraft will complete an all-sky map of the interstellar boundaries every six months.

IBEX is the latest in NASA’s series of low-cost, rapidly developed Small Explorers spacecraft. SwRI leads the IBEX mission that includes a team of national and international partners. The NASA Goddard Space Flight Center manages the Explorers Program for the Science Mission Directorate in Washington.

Following up on our coverage of BAE this week, I wanted to let you know that StockerYale has received a $2.1 million production order from BAE Systems to supply BAE with lasers for the Advanced Threat Infrared Countermeasure (ATIRCM) system. BAE’s ATIRCM system is a laser-based infrared countermeasures system that protects aircraft against widely deployed heat-seeking missiles. Production is expected to begin in the first quarter of fiscal 2009.

BAE’s $2.1 million order follows a series of development contracts to StockerYale that began in October 2002 for the development of BAE’s countermeasure systems. StockerYale worked closely with BAE’s engineers to develop a laser that met ATIRCM’s specifications.

“We are very proud to have been chosen by BAE Systems as a key partner to their next-generation countermeasure program via this production order,” stated Mark W. Blodgett, Chairman and CEO of StockerYale, Inc. “This contract award underscores our technological leadership in laser systems and highlights the reputation we have cultivated over the years in developing and delivering customized lasers to BAE.”

Stated Michael A. Pepin, Deputy General Manager Survivability and Protection Systems at BAE Systems, “StockerYale’s reference laser offers us solution combined with the engineering and customization skills necessary to meet the requirements of our ATIRCM project. We look forward to a continued and mutually beneficial relationship with StockerYale.”

BAE Systems, under three separate U.S. Army contracts, will inspect, package and ship more than 3,000 spare parts for RG33 category II Mine Resistant Ambush Protected (MRAP) vehicles. “BAE Systems continues to meet the needs of Marines, soldiers and Special Forces in combat areas,” said Matt Riddle, vice president for Wheeled Vehicle Programs at BAE Systems. “The MRAP spare parts will be shipped to the Defense Distribution Depot at Red River Army Depot for use by the men and women in theater.”

The three MRAP contracts are:

• $45 million for 2,400 axles, 10 engines, 26 transmissions and 26 winches.
• $15.9 million for 800 axle sets, including options for 800 additional sets, which if exercised would raise the total contract value to $31.8 million.
• $5.7 million for 101 diesel engines and 111 transmissions.

BAE Systems will work with suppliers in Wisconsin and Michigan to produce the parts. Final inspection, packaging and shipping on all items will be completed by the BAE Systems’ facility in Anniston, Alabama. Work under the contract will begin immediately by the existing workforce, and will run through May 2009.

The contract is managed by the Army’s TACOM Life Cycle Management Command.

BAE Systems manufactures three MRAP variants: the Caiman, the RG31 and the RG33. The RG33 is manufactured in several configurations including the Category I 4×4, Category II 6×6, the Heavy Armored Ground Ambulance (HAGA) and the Special Operations Command (SOCOM) vehicle. BAE Systems also recently unveiled a new command and control variant of the RG33. This vehicle creates a mobile, armored command post for operations at the brigade level and below.

We were honored this past week by receiving the 2008 Supplier Excellence Award from Northrop Grumman, a leading aerospace and defense firm.  The award was given for supplying the following client solutions:

• Internal Dashboard Metrics Collection and Auditing
• Dashboard Summary Reporting
• Requirements Flow-Down and N-Tier Analysis
• Program and Supplier Management Dashboards
• Oversight and Manager Assessment Dashboards
• SQM Scenarios

Unlimited Innovations, Inc.,  “demonstrated outstanding performance in providing key Mission Systems support data, information processing and change management solutions. Working hand-in-hand with executive management, UIUS solutions include systems for managing enterprise process improvement programs, executive reporting and decision support, process capability and productivity analysis, and the Supplier MA Assessment program.  Over the past six years UIUS proved that they can consistently bring new ideas, industry knowledge, technical skills and enterprise solutions to meet Northrop Grumman Mission Systems’ expanding business.“  - Northrop Grumman Mission Systems Evaluation Committee.

“Northrop Grumman endeavors to always provide the highest quality products and services to our customers so that they can succeed in their missions. When our suppliers meet or exceed Northrop Grumman’s expectations, we can do the same for our customers,” said Cynthia Hyland, Northrop Grumman Mission Systems sector vice president of contracts, pricing and procurement.

A LA Court jury awarded ICO Global Communications $236 million in punitive damages in its case against Boeing. This award is in addition to the at least $371 million awarded last week when the jury found Boeing liable for fraud, tortious interference, and breach of contract. In addition, the Court will determine the amount of pre-judgment interest to be added to the award, which ICO expects to be approximately $100 million. The total expected judgment to be entered against Boeing in favor of ICO is approximately $707 million.

“We appreciate the sacrifices made by the jury in performing their civic duty over this lengthy trial,” commented J. Timothy Bryan, chief executive officer for ICO. “ICO’s attention now turns to collecting all of the damages awarded, including all of the substantial post judgment interest which will accrue to ICO from the date of the judgment should Boeing pursue an appeal.”

In case you are unfamiliar with the company, ICO developed and launched the G1 satellite, which is intended to serve as the platform for the “ICO mim” (mobile interactive media) service. This service is planned to include live mobile television, interactive navigation and emergency communications capabilities, and will serve the continental United States, Alaska, Hawaii, Puerto Rico and the US Virgin Islands. Alpha trials of this service will begin in 2008 in Las Vegas, Nevada and Raleigh-Durham, North Carolina. The company is working with Alcatel-Lucent and Hughes Communications on its alpha trials, and has an agreement with Delphi Corporation to develop its mobile video service for the North American automotive market. NBC Universal and Discovery Networks are providing live mobile video content for the trials.

The past two weeks have had both good and bad news for Boeing collectively.  As we reported at the beginning of the week, the machinist union strike ended this past Sunday, November 2nd.

The refurbishment and modernization of 18 G.222s, purchased by the United States Air Force and destined for the re-established Afghan Air Force, has begun at Alenia Aeronautica’s Capodichino plant in Naples.

On September 30, Alenia North America signed a $287 million contract to provide 18 refurbished and modernized G.222 aircraft. The aircraft were previously in service with the Italian Air Force and reacquired by Alenia Aeronautica in conjunction with the Italian Air Force’s acquisition of a new fleet of C-27J Spartans. The aircraft are to be modernized at Capodichino with state of the art avionics and general improvements according to the specific requirements of the United States Air Force. Two of these craft will be outfitted for a VIP soundproof module and equipped with seats, desks and a pantry so as to be used for the transport of Afghan leaders.

Four G.222s, sent from Pisa and Pratica di Mare air bases, have already arrived at Capodichino to begin the refurbishment and modernization process. The eighteen G.222s to be provided to the Afghan National Army Air Corps were produced between 1977 and 1985 in several avionic and cockpit configurations. As part of the modernization effort, all 18 will be upgraded to a standard avionic and system configuration, with a new autopilot system, ballistic protection and new maintenance operations. The refurbishment and modernizations are anticipated to last between 12 and 15 months per aircraft.

The first refurbished and modernized G.222 will be delivered to the Combined Security Transition Command in Afghanistan halfway through 2009 and the entire supply will be complete by 2011.

Boeing’s longest labor dispute in the past decade came to a close this past weekend as union machinists returned to work this past Sunday.  The strike cost Boeing an estimated $100 million dollars a day in deferred revenue and further delayed the production of the 787 Dreamliner aircraft.

So what was the final result of the dispute?  J. Lynn Lunsford, of the Wall Street Journal, had this to say about the situation, “Officials with International Association of Machinists and Aerospace Workers said 74% of union members voted Saturday to accept a new contract that includes a 15% increase in wages and improved job security. In a change that will guarantee Boeing a more predictable delivery timeline, the union agreed to extend the contract a year to four years in exchange for increased pay and other concessions.”

Even with the strike ending, Boeing officials predict it will take several weeks for the workforce to get fully up to speed.  Boeing CFO, James Bell, intoned that production would be delayed ‘on a day-for-day’ basis.  Despite the ambiguity, Boeing’s stock share price has climbed dramatically since October 27th, when investors became confident of an impending end to the labor dispute.  Share price has risen from $42.50 to $52.50 since the 27th.

Industry experts estimate that Boeing has missed 70 deliveries due to the 57-day strike.

The Armament Retooling and Manufacturing Support (ARMS) Program and Pendulum Management Company have been selected as one of five national recipients of Expansion Solution Magazine’s 2008 Award of Excellence in the “Defense” industry category. This award recognizes organizations which have demonstrated exceptional progress and potential in the development of their areas – by successfully recruiting, retaining and growing businesses.

ARMS’ solid economic impact has translated into lower overhead costs for the Army which directly impacts the future of our soldiers and the strength of our nation’s defense.  ARMS is a government program designed to treat its ammunition production facilities and surrounding real estate as assets rather than liabilities. ARMS allows the commercial marketplace to help in the reduction of the cost of Army operations and production. This program has been responsible for a cumulative economic benefit of over $6.5 billion and has created or sustained over 2700 jobs at the Government sites that have participated in the program. The success of the program is a result of the utilization of creative techniques and tools to attract commercial tenants to military, industrial production facilities. In addition, the ARMS program offers incentive packages and the use of state-of-the-art cooperative marketing techniques. Pendulum Management Company is the National Marketing Support Contractor for the ARMS program.

One example that demonstrates the effectiveness of the ARMS Program is MAST Technology, Inc., a tenant at the Lake City Army Ammunition Plant in Independence, Missouri. MAST Technology came to Lake City in 2001 with two employees, great confidence in their product and previous manufacturing experience. Today MAST Technology has expanded into four facilities and employs more than 130 workers making munitions-related products that benefit the U. S. Army directly. Projected growth plans indicate that MAST Technology will be a successful supplier of small caliber ammunition to the soldiers around the world guarding the U. S. Embassies. In addition to these Department of State customers, MAST sees a role for their business supporting the Department of Energy and the Department of Homeland Security according to Gerald Pickens, President and CEO of MAST Technology, Inc.

“ARMS is a successful proven program which allows startup, small and large businesses to utilize idle infrastructure and space to start and or grow their business. It is truly an opportunity that should not be overlooked when starting or expanding a business,” explained Jim Burgin of Pendulum Management Company.

L-3 Communications announced this week that its Vertex subsidiary has been awarded an indefinite-delivery contract valued at $569 million by the U.S. Navy. Vertex, which has teamed with The Boeing Company for this project, will provide logistics services and maintenance materials in support of T-45A and T-45C trainer aircraft.

Work under this contract is now underway and includes four option years, extending its period of performance through September 2013. Vertex has been providing T-45 logistics support to the Navy for the past five years.

“We are proud our team has been selected to continue this mission-critical work, and we remain committed to delivering the highest level of quality and performance excellence”, said Ed Boyington, L-3 Vertex president.

Mr. Boyington added that under this contract, Vertex will service 71 T-45A and 108 T-45C aircraft based at Naval Air Stations in Meridian, Miss., Kingville, Texas, and Pensacola, Fla.

Boeing will manage the supply chain in support of the contract. “We are pleased to be working with L-3 to provide support for this important training aircraft,” said Jim O’Neill, Boeing Integrated Defense Systems vice president and general manager of Integrated Logistics. “This team will provide maximum readiness at an affordable cost for the U.S. Navy on the T-45.”

L-3 Vertex Aerospace, a subsidiary of the L-3 Integrated Systems Group, provides aviation, aerospace technical services and ground systems primarily to government customers. The company has over 11,000 employees working from 300 locations worldwide.