Welcome to the U.S.-Ukraine Business Council

Advanced ceramic & metallic coatings for turbine blades
USUBC member 97

U.S.-Ukraine Business Council (USUBC), Washington, D.C.
Tuesday, November 4, 2008

WASHINGTON, D.C.- Pratt & Whitney-Paton (PW-P), an American-Ukrainian joint venture between the Pratt & Whitney division of the United Technologies Corporation, USA, and the E. O. Paton Electric Welding Institute in Kyiv, Ukraine, has been approved for USUBC membership, according to the USUBC executive committee, in an announcement on behalf of the entire USUBC membership. Pratt & Whitney-Paton (PW-P) is USUBC member ninety-seven.  

Pratt & Whitney-Paton (PW-P) has two factories located in Kyiv, Ukraine, with a highly skilled workforce of 165 employees. Since 1993, PW-P has been a center of excellence for coating and repair of airfoils from both aero and industrial engines. PW-P offers their customers the latest solutions in the area of Electron-Beam Physical Vapor Deposition (EB PVD) thermal barrier and metallic coatings for turbine blades and vanes. 

PW-P's long list of customers includes Pratt & Whitney (USA), Siemens (Sweden), Japanese Turbine Technologies (Japan), Turbine Overhaul Services (Singapore), Uker Gas Energo Services (Ukraine) and Perm Motors (Russia). One of PW-P's goals is working to significantly increase their work with Ukrainian companies.

PW-Paton products include; application of advanced ceramic and metallic turbine coatings, the development and manufacturing of advanced Electron Beam Coating Equipment, repair of gas turbine components and Research & Development of advanced materials and coatings. 

The thermal barrier coating or TBC enables the engine to achieve a level of performance which previously was not attainable because the limits of the metallic super alloys within the turbine section.  The presence of the TBC allows the gas temperature in the turbine to operate above the melting temperature of the super alloys. 

What is novel about the TBC applied by Pratt & Whitney-Paton is that it has a unique crystal structure which allows it to survive in the hostile environment in which it operates (2800 F) and it performs its thermal insulating duty and actually stays attached to the turbine components (blades and vanes) for up to four to five years of continuous service. 

Through the method of EB PVD, that is; Electron Beam Physical Vapor Deposition, this coating is created in a vacuum chamber under highly controlled conditions using electron beam guns to generate the intense heat necessary to vaporise ceramic and metallic compounds.  .

John (Jay) Mullooly is General Manager of Pratt & Whitney-Paton in Kyiv.  Jay flew to Washington recently to attend the USUBC breakfast with Ukrainian President Victor Yushchenko.  Jay will represent the company on the USUBC board of directors. 

USUBC started working with PW-P regarding the major issues they face with the extremely bureaucratic and outdated procedures of the Ukrainian customs service.  Ludmyla Dudnyk, USUBC program director in Ukraine and Morgan Williams, USUBC president, visited the PW-P plant in October and reviewed with general manager Mullooly some of the ongoing customs issues that severely slow down and restrict PW-P's work in Ukraine.

To provide their service the joint-venture has to import and export parts from their customers in Europe, USA and Asia.  They receive the parts directly from DHL Express and then process the clearance documents in parallel and have a blanket bond (promissory note) not individual as required by the current procedure. 

Jay told USUBC their international customers need and expect very quick turn times.  With the current process, parts are held for customs clearance on the inbound and outbound making the process extremely arduous and lengthy.  The customs service only works 4 1/2 days per week and they have a plethora of holidays.  All of the customs issues cause unnecessary and costly delays in the turn time.

The same problem exists for the required promissory notes as they have to deal with both the banks and the Ukraine tax department.  USUBC is working with PW-P and DHL Express (a member of USUBC) on this issue.

For more information on the work of Pratt & Whitney-Paton in Ukraine please go to: http://www.pwpaton.com/.  If you would like to be in touch with Jay Mullooly about the services of Pratt & Whitney-Paton please contact USUBC.

"USUBC is very pleased to have Pratt & Whitney-Paton," said Morgan Williams, SigmaBleyzer, who serves as president of USUBC.  "USUBC has grown very rapidly during the past 22 months and now has a membership base which allows USUBC to provide its members such as PW-P, with a full-time operation and a significantly expanded program of work," according to president Williams.
Pratt & Whitney-Paton is the 47th new member for 2008, and the 77th new member since January of 2007. USUBC membership has quadrupled in the past 22 months, going from 22 members in January of 2007 to 97 members in November of 2008. Membership is expected to top 100 in 2008.
The new USUBC members in 2008 include MaxWell USA, Baker and McKenzie law firm, Och-Ziff Capital Management Group, Dipol Chemical International, MJA Asset Management, General Dynamics, Lockheed Martin, Halliburton, DLA Piper law firm, EPAM Systems, DHL International Ukraine, Air Tractor, Inc., Magisters law firm, Ernst & Young, Umbra LLC., US PolyTech LLC, Vision TV LLC, Crumpton Group, Standard Chartered Bank, TNK-BP Commerce LLC, Rakotis, American Councils for International Education, Squire, Sanders & Dempsey LLP, International Commerce Corporation, and IMTC-MEI.
Additional new USUBC members in 2008 are: Nationwide Equipment Company, First International Resources, the Doheny Global Group, Foyil Securities, KPMG, Asters law firm, Solid Team LLC, R & J Trading International, Vasil Kisil & Partners law firm, AeroSvit Ukrainian Airlines, Anemone Green Capital Limited, ContourGlobal, Winner Imports LLC (Ford, Jaguar, Land Rover, Volvo, Porsche), 3M, Edelman, CEC Government Relations RZB Finance LLC (Raiffeisen), IBM Ukraine, SoftServe Inc., The Washington Group (TWG), SE Raelin/Cajo, Inc., AnaCom, Inc. and Pratt & Whitney-Paton.
The complete USUBC membership list and additional information about USUBC can be found at: http://www.usubc.org.

Ninety-Seven Members, November, 2008
Membership in January of 2007 was 22.
LINK: http://www.usubc.org/members.php

1.    3M Company
2.    AeroSvit Ukrainian Airlines
3.    AES Corporation
4.    Air Tractor, Inc.
6.    American Continental Group
7.    American Councils for International Education
8.    AnaCom, Inc.
9.    Anemone Green Capital Limited
10.  Archer Daniels Midland Company (ADM)
11.  Asters law firm
12.  Atlantic Group
13.  Baker & McKenzie law firm
14.  The Boeing Company
15.  Bracewell & Giuliani LLP law firm
16.  Bunge North America
17.  Cardinal Resources
18.  Cargill
19.  Case New Holland
20.  CEC Government Relations
21.  Chadbourne & Parke LLP law firm
22.  Cisco Systems, Inc.
23.  The Coca-Cola Company
24.  ContourGlobal Ukraine
25.  Crumpton Group
26.  Deere & Company
27.  DHL International Ukraine
28.  Dipol Chemical International Inc.
29.  DLA Piper LLC law firm
30.  Doheny Global Group
31.  ECdata, Inc.
32.  Edelman
33.  EPAM Systems
34.  Ernst & Young
35.  The Eurasia Foundation
36.  First International Resources
37.  Foyil Securities
38.  General Dynamics
39.  Halliburton
40.  Heller & Rosenblatt law firm
41.  Holtec International
42.  Horizon Capital Advisors, LLC-Emerging Europe Growth Funds
43.  IBM Ukraine
45.  Intercontinental Commerce Corporation (ICC)
46.  International Tax and Investment Center (ITIC)
47.  Kennan Institute, Woodrow Wilson
           International Center for Scholars
48.  KPMG-Ukraine
49.  Kraft Foods Ukraina
50.  Kyiv Atlantic Group of Companies
51.  Lockheed Martin
52.  Magisters law firm
53.  Marathon Oil Corporation
54.  Marks, Sokolov & Burd, LLC law firm
55.  MaxWell USA
56.  MJA Asset Management LLC
57.  Nationwide Equipment Company
58.  Northrop Grumman
59.  Och-Ziff Capital Management Group
60.  Open World Leadership Center,
           U.S. Library of Congress
61.  The PBN Company
62.  Pratt & Whitney-Paton
63.  Procter & Gamble (P&G)
64.  R & J Trading International Inc.
65.  Rakotis LLC
66.  RULG - Ukrainian Legal Group, PA law firm
67.  RZB Finance LLC (Raiffeisen)
68.  Salans law firm
69.  SE Raelin/Cajo, Inc.
70.  Sweet Analysis Services, Inc. (SASI)
71.  Shell Oil Company
72.  SigmaBleyzer Private Equity Investment Management Group
73.  Siguler Guff & Co, LLC
74.  Softline Company
75.  SoftServe Inc.
76.  Solid Team LLC
77.  Squire, Sanders and Dempsey LLP law firm
78.  Standard Chartered Bank
79.  TD International, LLC
80.  The State Export-Import Bank of Ukraine
81.  The U.S. Civilian Research & Development Foundation (CRDF)
82.  The Washington Group (TWG)
83.  TNK-BP Commerce LLC
84.  U.S.-Ukraine Foundation (USUF)
85.  Ukrainian American Bar Association (UABA)
86.  Ukrainian-American Environmental Association (UAEA)
87.  Ukrainian Federation of America (UFA)
88.  Ukrainian Development Company (UDC)
89.  Umbra, LLC
90.  US Poly-Tech LLC
91.  UPS International Ukraine
92.  Vanco Energy Company
93.  Vasil Kisil & Partners law firm
94.  Vision TV LLC
95.  Westinghouse
96.  Winner Imports Ukraine (Ford, Jaguar, Land Rover, Volvo, Porsche)
97.  WJ Agricultural Group
Anders Aslund, Senior Fellow
Peterson Institute for International Economics
Washington, D.C.
Andy Bihun, President
Global Trade Development, Inc.
Director, Business Development Forum
The Washington Group
Washington, D.C.
Ariel Cohen, Ph.D, Senior Research Fellow
Allison Center for International Studies,
Davis Institute for International Studies,
The Heritage Foundation
Washington, D.C.
Keith Crane, Senior Economist
Rand Corporation
Washington, D.C.
Leonid Kozachenko, President
Ukrainian Agrarian Confederation (UAC)
Kyiv, Ukraine
Steven Pifer, Visiting Fellow
The Brookings Institution
Senior Advisor, Russia & Eurasia Program, CSIS
Former U.S. Ambassador to Ukraine
Washington, D.C.
Dr. Edilberto Segura, Partner, Chief Economist
SigmaBleyzer Private Equity Investment Group
Chair of the Advisory Board of The Bleyzer Foundation
Kyiv, Ukraine
Keith Smith, Senior Associate
Europe Program, CSIS
Former U.S. Ambassador to Lithuania
Washington, D.C.
For 2008
Paula Freer, Marathon
Michael Kirst, Westinghouse
Paul Nathanson, The PBN Company
Irina Paliashvili, Ukrainian Legal Group
Andrew Pidgirsky, Ukrainian American Bar Association
Mara Sovey, Deere & Co.
Samir Sahgal, The Boeing Company
       USUBC Treasurer
Patrick Sweet, Analysis Services, Inc. (SASI)
Arnold Wellman, UPS
Morgan Williams, SigmaBleyzer,
      USUBC Chairman Ex. Comm. & President
Van Yeutter, Cargill
Jack Heller, & Rosenblatt,
      USUBC Legal Counsel