Despite reporting a €763 million ($1.04 billion) net loss in 2009, reversed from a €1.57 billion surplus the prior year, Airbus parent EADS yesterday announced an increase in the monthly A320 family production rate from the current 34 to 36 in December thanks to "continuing demand" and a "record backlog." The Airbus commercial unit posted an operating profit of €386 million excluding goodwill impairment and exceptional items, an 83.3% plunge from the €2.31 billion earned on a similar basis in 2008. Revenue slipped just 0.6% to €26.37 billion.
US Transportation Secretary Ray LaHood, speaking yesterday at the FAA Aviation Forecast Conference in Washington, said President Barack Obama's administration will "soon" make a decision on whether to allocate federal funds to equip commercial aircraft with NextGen ATC technology such as ADS-B.
With economic growth "sluggish" over the next couple of years, "there is no rapid recovery" ahead for the US airline industry, FAA Office of Aviation Policy and Plans-Forecast and Statistics Manager Roger Schaufele said yesterday.
Aer Lingus Group reported a loss before taxes and exceptional items of €66.2 million ($90.4 million) in 2009, reversed from an €18.8 million profit in 2008, and a quadrupling of its operating loss to €81 million from €20 million.
Air India parent National Aviation Co. of India is expected to lose approximately INR54 billion ($1.18 billion) in its fiscal year ending March 31, similar to the INR55.48 billion deficit suffered in 2008-09, with losses "likely to continue for [a] few more years," Civil Aviation Minister Praful Patel told parliament. The carrier's restructuring plan, a condition of its government bailout, "envisages benefits" of INR19.11 billion in 2009-10, although NACIL has implemented just INR7.53 billion ( ATWOnline, Feb.
US airlines presenting at yesterday's JP Morgan Aviation, Transportation & Defense Conference in New York (presentations available via webcast) agreed that they see signs of a nascent industry recovery but that they will maintain cost and capacity discipline for now. "We're clearly seeing signs of economic recovery and premium and corporate travelers returning," UAL Corp.
Boeing expects to make a decision on 737 re-engining "toward the end of this year," Boeing Commercial Airplanes President and CEO Jim Albaugh said yesterday at the JP Morgan Aviation, Transportation & Defense Conference in New York, available via webcast. He said the company is talking to "all three engine manufacturers" and that it recognizes it is "looking at more competitors in the future" in the single-aisle market. "We have to deliver an airplane that has more value than the competition," he said
Hawaiian Airlines added to its firm long-haul Airbus order, signing up for a seventh A330-200 scheduled for delivery in 2011. HA placed an order for six -200s and six A350-800s, plus purchase rights for six of each type, two years ago ( ATWOnline, Feb. 5, 2008). It also plans to lease three additional A330s.
British Airways and flight attendants represented by Unite extended their negotiating deadline from Tuesday evening to "midday" today. At that point, Unite can give its seven-day strike notice if an agreement has not been reached ( ATWOnline, March 8).
Emirates plans to hire 2,000 flight attendants this year, according to a statement cited by press reports from Dubai. It has added some 660 cabin staff and more than 60 pilots in the past 12 months, during which it increased its fleet by 14 aircraft to 145. It will launch service to its 106th destination, Dakar, on Sept. 1 when it begins five-times-weekly flights from Dubai on an A340-300.
Pemco World Air Services reached agreements with JetBlue Airways to upgrade the seats on the carrier's 110 A320s and to extend the existing heavy maintenance contract covering the fleet.
SITA is partnering with Spanish and Portuguese air navigation service providers AENA and NAV Portugal to deliver data link infrastructure for pre-operational testing in preparation for introduction of Controller Pilot Data Link Communications across the Iberian Peninsula by 2013. CPDLC will enable pilots and ATC to exchange certain routine messages via data link and will replace radio telephone communication.
Allegiant Air parent Allegiant Travel Co. will add six 757-200s to a fleet currently comprised entirely of MD-80s in order to "expand its leisure travel strategy" with nonstop flights to Hawaii.
Shenzhen Airlines CEO Li Kun was arrested Saturday for alleged financial irregularities, allowing Air China to deepen its involvement in the country's fifth-largest carrier through the appointment of Shenzhen vice chairman and former CA VP Fan Cheng as acting CEO.
US President Barack Obama yesterday announced that he will nominate retired Army Maj. Gen. Robert Harding to head the Transportation Security Administration. Harding most recently served as CEO of Harding Security Associates, an intelligence and defense consultancy he founded in 2003 and sold last year. He spent 33 years in the Army before retiring in 2001 and from 1996-2000 was the Defense Intelligence Agency's director of operations.
United Airlines and AirTran Airways yesterday revealed the amount of revenue lost as a result of last month's record-breaking snowstorms in the Mid-Atlantic and Northeast US. UA said the storms cost it $40 million in foregone revenue as consolidated February RASM rose 17%-19% year-over-year as system capacity dropped 5.3%. It would have been down just 1.8% without cancellations resulting from the winter weather. UA flew 7.82 billion RPMs during the month, up 2.1%, while ASMs were down to 9.93 billion. Load factor rose 5.7 points to 78.7%.
China Southern Airlines announced the private placement of CNY10 billion ($1.46 billion) in new A shares to a minimum 10 investors, including parent China Southern Air Holding Co., along with new H shares to CSAHC's Hong Kong subsidiary Nan Lung worth a reported CNY750 million. CZ said the funds "will help reduce the company's gearing ratio, improve its capital structure and enhance its ability to mitigate risk." CSAHC is investing the CNY1.5 billion it received from the Chinese government last month, the airline said
US Airways was fined $40,000 by the US Dept. of Transportation "for violating rules that require airline price advertisements to disclose the full price consumers must pay for air transportation." DOT said its Aviation Enforcement Office found that US listed fares on its website "that did not include additional applicable taxes and fees, or any notice on that page that these additional charges would be required," on certain lists generated by customer searches for one-way flights.
Air Jamaica said it has "targeted" April 12 for beginning "the transition to Caribbean Airlines." The troubled carrier appears to be settled on an arrangement whereby its assets would be taken over by the Trinidad & Tobago airline, although no final agreement has been reached between the Jamaican government, which controls JM, and Caribbean. Finance Minister Audley Shaw previously said the government is "seeking to divest Air Jamaica on the best terms available" and to ensure that there is adequate air services to/from the island nation
Boeing yesterday confirmed that Turkish Airlines finalized its order for 10 737-800s and 10 737-900ERs ( ATWOnline, Feb. 5). The manufacturer said the aircraft are worth $1.6 billion at list prices. ILFC said Istanbul Ataturk-based Onur Air leased three used A330-300s for five years each. Deliveries are scheduled for April and June.
