Fairchild Dornier 328JET

During the early 1990s, German manufacturer Dornier had launched their turboprop-powered Dornier 328 onto the market. However, some prospective customers reported a negative perception of noise and reliability issues with turboprop engines, which motivated the company to study the manufacture of a turbofan-based variant, initially referred to as the 328-300.[3] Market research had indicated that, provided that both the economics and performance of such an aircraft were competitive, this would have greater desirability amongst the market.[4] According to Fairchild Dornier president Jim Robinson, such an arrangement had been examined early on in the 328's development process but had been rejected by then-parent company Daimler-Benz Aerospace AG (DASA). Reportedly, producing a jet-powered version of the airliner had been greatly aided by the relatively conservative structural design of the 328.[4] Relatively few design modifications between the two airliners were necessary.[5]

By November 1996, according to Dornier vice-president for sales Andrew Jampoler, a feasibility study for the programme had been completed and the company was close to selecting an engine; options considered included the General Electric CFE738, Pratt & Whitney Canada PW306, and the LF507-1F, as well as a de-rated LF507-2 powerplant.[3] By adopting one of these engines, a cruise speed of between 375kt (690km/h) and 390kt at 22,000ft (6,700m) could be achieved, noticeably higher than the original 328's current maximum speed of 335kt at the same altitude.[3] Conservative projections anticipated the jet-powered airliner to consume roughly 30% more fuel than its turboprop-powered predecessor, although it was believed that this difference would be decreased by further refinements.[4] Jampoler also stated that Dornier had forecast an in-service date of late 1998.[3] Dornier ultimately opted for the Pratt & Whitney Canada PW306/9 engine.[6] During early February 1997, Dornier formally launched the 328JET programme.[4]

Pratt & Whitney Canada owned 328JET at Pearson International Airport

During the mid-1990s, Dornier experienced considerable financial difficulties; these heavily contributed to the company's acquisition by the American aerospace firm Fairchild Aircraft, after which the organisation became Fairchild Dornier.[7] The new entity chose to continue with the programme, albeit rebranding the type as the 328JET. Even following the acquisition, considerable pressure remained on the programme's finances, extending through to its suppliers, leading to reorganisations and premature withdrawals from involvement.[6][8] By the end of 1997, Dornier-Fairchild had cut its annual costs by $58 million, and anticipated exceeding its $115 million cost-cutting target within two years.[9] Management shake-ups and other measures continued to be performed as part of efforts to reform the business.[10]

In spite of internal pressures, senior figures remained upbeat about the prospects for the 328JET and the regional jet market.[11] During June 1997, the first sales of the type were announced, French regional operator Proteus Airlines emerged as the launch customer as a result of a $70 million order for six aircraft, alongside orders from other customers.[12][13] It was hoped that the 328JET would have market appeal with those who found the 328 to not meet their preferences, in particular those customers based in the Middle East.[14] By the end of the year, Dornier had reportedly secured 17 firm orders and 15 options, while the company claimed it was negotiating two major orders for up to 180 aircraft with the aim of closing over the following three months.[9] Dornier representatives believed that there was a viable market for up to 600 328JETs.[15] According to Andrew Doyle of the aerospace periodical Flight International, the reenginging programme was being well-received, referring to it as "a new lease of life".[16]

By March 1997, reports emerged that Dornier was set to start converting the second 328 prototype into the first turbofan-powered 328JET prototype.[6] During October 1997, as work was underway on building the first prototype, Dornier announced several improvements to the aircraft, including a higher cruise speed of 400kt that was achieved via a minor reduction of the trailing edge flaps.[4][17] On 6 December 1997, the 328JET prototype rolled out at Dornier's facility outside Oberpfaffenhofen, Germany, after which ground-based testing commenced immediately.[9] On 20 January 1998, the prototype conducted its maiden flight; it was piloted by Meinhardt Feuersenger, hitherto chief test pilot of the turboprop 328, and Peter Weger. This initial flight over the Bavarian Alps attained a peak altitude of 25,000ft (7,600m) and lasted for almost 2 hours.[18][19] The flight test programme would involve a total of four prototypes.[6] According to Dornier, performance figures gained from the flight testing phase had either met or exceeded their established expectations.[4] Certification was delayed by four months to address issues with the 328JET's undercarriage, specifically involving the brakes and shock absorbers. During July 1999, type certification was granted by the European Joint Aviation Authorities, corresponding approval from the Federal Aviation Administration (FAA) was received within the following weeks.[20]

Early on the 328JET programme, Dornier were already considering options for a stretched version of the aircraft, originally referred to as the 328-700. During 1998, following the first flight of the type, Fairchild-Dornier opted to pursue development of the stretched 428JET, a 44-seat version of the 328JET.[3][21] Work proceeded to the point several customers had signed letters of intent to purchase the upcoming aircraft. Furthermore, Dornier had planned to conduct a comprehensive upgrade of the existing model, involving an avionics overhaul and possible re-winging to use a new swept wing, around the early 2000s.[6] By 1998, a dedicated corporate-orientated version, branded Envoy 3, was also being promoted.[22][23] However, a consequence of intense competition within the regional airliner market was multiple manufacturers making losses and terminating their programmes; Fairchild-Dornier were no exception to the industry-wide pressure.[24][25] The limited commercial performance of the 328JET had placed Fairchild-Dornier into a precarious financial position, the company ultimately being unable to continue the development of further models. As such, the 328JET became the last commercial aircraft to be produced by the former Dornier business prior to being rendered insolvent during 2002.

Following Dornier's insolvency, AvCraft Aviation of Virginia acquired the 328 program during March 2003.[26] This acquisition included rights to the design itself, a total of 18 328JETs in various stages of assembly, and the development work on the 428JET. After the sale of these airplanes, AvCraft negotiated with its suppliers to resume production due to low profit expectations for its other projects. During 2004, the first of AvCraft's 328JET was delivered.

ADAC 328JET air ambulance

During 2005, AvCraft itself filed for bankruptcy.[26] As a consequence, the firm was acquired by private equity investors and reformed as M7 Aerospace. During June 2006, 328 Support Services GmbH acquired the 328JET type certificate.[27] However, this entity did not resume manufacturing of the type; instead, it opted to provide maintenance, repair and overhaul services to the 330 in-service fleet.[28]

During February 2015, US engineering company Sierra Nevada Corporation acquired 328 Support Services GmbH.[1][26] Shortly thereafter, Sierra Nevada's owner, Turkish-American engineer Fatih Ozmen, established a private corporation named Özjet Havacılık Teknolojileri A.Ş. at Technopark of Bilkent University, Ankara and signed a Memorandum of understanding with the Transportation Ministry of Turkey in order to manufacture the 328 at Ankara.[29] In June 2015, the Turkish government launched the Turkish TR328 and TRJ328 regional aircraft project, a modernized 328/328JET, with either turboprops or jets.[30] It could be followed by the larger TR628/TRJ-628.[31]

At one point, the first flight of a Turkish-built aircraft was anticipated to occur during 2019. However, During October 2017, Turkey announced that it was abandoning the programme as a consequence of escalating costs. Stating that they believe demand in the sub 40-seat market is still present for the type, Sierra Nevada Corporation and 328 Support Services GmbH began to seek out for other opportunities in order to revive the aircraft, hoping to follow through by the end of 2017 or early 2018.[32]