Rolls-Royce said its Trent 700 last week successfully powered the first scheduled flight of an Aeroflot A330-200 from Moscow Sheremetyevo to St. Petersburg. Flight marks the Trent's service entry in Russia, and "demonstrates the growing presence of Rolls-Royce in the Russian market," VP-Customer Business Nick Devall said. In June 2007, Rolls won a $600 million deal with SU to provide the Trent 700 to power 10 leased A330-200s and A330-300s and support the engines under a long-term TotalCare service agreement.
IATA might lose up to 20 members owing to its requirement that all members earn their way onto its IATA Operational Safety Audit registry by year end, DG and CEO Giovanni Bisignani conceded during Tuesday's Global Media Day in Geneva. "IOSA sets tough and transparent standards. IATA's biggest satisfaction is to bring all our members on board, but for those that do not make the standard, there is no place in our association," he stated resolutely.
American Airlines Chairman and CEO Gerard Arpey said this week that the US airline industry "should certainly be at the top of the list of the industries that are deserving of economic stimulus as it relates to infrastructure," the Fort Worth Star-Telegram reported. The US government is debating a $14 billion bailout of the country's automobile manufacturing industry, while President-elect Barack Obama said his economic stimulus package likely will include hundreds of millions of dollars of investment in national infrastructure improvements.
GE Aviation signed a contract with Singapore Airlines to launch its OnPoint solutions covering systems content and capabilities for 777s. Contract support is expected to begin in the first quarter of next year after final agreement details are complete. GE's Singapore facility will provide program management for the project.
China Eastern Airlines, whose stock has been suspended from trading since Nov. 27, said yesterday that it will receive a CNY3 billion ($435.8 million) cash injection from the government, according to press reports. China Southern Airlines received a similar payout late last month ( ATWOnline, Dec. 8).
Nordam Group named Repair Group COO and former CFO Bill Peacher as its new CEO, effective Jan. 1. He succeeds Ken Lackey, who will remain executive chairman.
Aer Lingus cabin crew represented by Impact voted in favor of the airline's cost-cutting proposals by a 59%-41% margin. Approximately 150 cabin staff will lose their jobs--94 at Dublin, Cork and Shannon combined and an extra 60 at SNN, according to press reports. The SIPTU union accepted a similar deal involving ground staff ( ATWOnline, Dec. 8). EI CEO Dermot Mannion said the labor deals will allow the carrier to "recalibrate" its budget for 2009 and that it now expects to "come out with a much better figure. .
JetBlue Airways will launch daily Orlando International-San Jose, Costa Rica, service on March 26 aboard an E-190. It is JetBlue's first Central American destination. KLM will launch five-times-weekly Amsterdam-Calgary service on May 3 aboard an A330-200.
Eurocontrol said the number of flights in Europe in November fell 7% from the year-ago month and noted that "a decline of this magnitude has not been seen since the months immediately following 9/11." Even low-cost carriers, which for years have been the biggest driver of European growth, operated fewer flights--the first decrease for the segment in 15 years. Conversely, Eastern Europe, particularly Turkey, continued to see growth. Boosted by high oil prices, Russia also has been a significant contributor of new flights on the European network.
US FAA broke ground on a new air traffic control system command center in Warrenton, Va., that will replace the current facility at nearby Washington Dulles in 2011. Equipping the 63,000-sq.-ft. facility will cost around $46 million, the agency said.
Goodrich reached agreement with Airbus to supply wheels and carbon brakes for A350 XWBs. Contract is expected to generate $3 billion over the program life. The company's Aircraft Wheels and Brakes unit in Troy, Ohio, will provide the equipment.
Southwest Airlines announced elimination of 32 existing roundtrip flights and addition of 19 new flights on its summer schedule beginning May 9, which will include changes in the number of flights offered in 102 markets. New services will comprise daily Denver-Tucson, daily Nashville-Oakland and daily Nashville-Seattle flights. SWA will cancel its daily Austin-Midland/Odessa, daily Detroit-Orlando International, daily Fort Lauderdale-Manchester, N.H., and daily Fort Myers-Long Island Islip flights. Kingfisher Airlines will launch daily Mumbai-London Heathrow service on Jan.
Delta Air Lines and Northwest Airlines pilots represented by the Air Line Pilots Assn. received the arbitration decision outlining the integration of their pre-merger seniority lists. Both pilot groups agreed earlier this year to abide by an arbitrator's decision ( ATWOnline, Aug. 12). ALPA explained that the arbitrated list was devised via a "ratioed status and category methodology," meaning it is based on a formula taking into account each pilot's length of service and type of aircraft they fly.
Greek air traffic controllers are expected to stage a one-day strike today, forcing the cancellation of all commercial flights, according to press reports. Aegean Airlines confirmed the cancellation of its program on its website.
Port Authority of New York and New Jersey yesterday said it "applauds" the US Court of Appeals decision to stay FAA's slot auctions at New York JFK, LaGuardia and Newark ( ATWOnline, Dec.
Airbus booked 84 firm orders in November, including 51 from Etihad Airways, helping it pull away from Boeing in the 2008 orders race. It also delivered 46 aircraft.
UK CAA yesterday issued its proposals for charges at London Stansted during the five years from April 1 and recommended caps lower than the ones proposed by the Competition Commission last month ( ATWOnline, Nov. 5) "to take account of airport charge revenues from cargo and other non-passenger flights." CAA said caps should be set at £6.34 ($9.39) per passenger for the first two years and then rise to £6.65 for the final three.
Virgin Atlantic Airways President Richard Branson yesterday said that "talks will take place with Lufthansa, maybe are taking place, to see whether it makes sense for the two companies to work together," the Associated Press reported. "There is some logic in the two companies getting together," Branson said. Virgin has maintained interest in either a stake or cooperation with UK rival bmi ( ATWOnline, Nov.
United Airlines parent UAL Corp. announced a sale and leaseback transaction with Wayzata Opportunities Fund II subsidiary East Shore Aircraft covering 15 757s. UAL said the deal will boost liquidity by $150 million.
UPS yesterday launched service at its new international air hub at Shanghai Pudong, a major component of its ongoing Asian expansion. The delivery giant plans to operate flights from Shanghai both to the US and Europe. "The facility is strategically located. . .right in the heart of the Yangtze River Delta area and now becomes the key gateway linking China to UPS's global network," the company said. The 1 million-sq.-ft. facility features 117 conveyor belts and 47 docking bays and boasts package sorting capacity of 17,000 pieces per hr.
IATA DG and CEO Giovanni Bisignani yesterday reiterated his call on governments to stop "crazy" taxation, to fix infrastructure, effectively regulate monopoly suppliers and offer airlines normal commercial freedoms as necessary steps to return the industry to the black. "Industry losses clearly show that airlines feel the recession like any other business. But we don't have the commercial tools that other industries take for granted to manage through it," he said, adding he would like to put the "the 60-year-old bilateral system [the Chicago Convention] in a museum."
Delta Air Lines announced a multiyear extension of its branded credit card partnership with American Express that will provide it with more than $2 billion in combined incremental liquidity and contract enhancements. DL said it will receive "an immediate $1 billion boost to its liquidity" from an American Express purchase of SkyMiles, in addition to $1 billion in contract improvements through 2010.
European Commission yesterday announced the signing of the SESAR Joint Undertaking by 15 companies pledged to contribute to development of Europe's next-generation satellite-based ATC system. "This is one of the most complex research and development programs ever launched by the European Community," VP and Commissioner for Transport Antonio Tajani said. The signatories agreed to work with the EC to coordinate "all relevant research and development efforts" pertaining to SESAR, according to an EC statement.
IATA yesterday offered a slight boost in its 2008 outlook but restated its dismal forecast for the industry as a whole, predicting declines in traffic, yield and revenue and a $2.5 billion loss in 2009.
The EU yesterday announced a far-reaching air services agreement with Canada that includes reciprocal investment and signed new air services accords with Armenia and Israel.
