Delta Air Lines will operate daily Atlanta-Mumbai beginning Nov. 1 aboard a 777-200LR. JetBlue Airways will launch daily San Juan-Santo Domingo, its first intra-Caribbean route, on Dec. 18 aboard an E-190. Twice-daily San Francisco-Long Beach will commence Oct. 18 on an E-190, becoming thrice-daily on Nov. 2. Daily Cancun-Tampa begins Dec. 18 and weekly Washington Dulles will start two days later. JetBlue said the Tampa flight is the city's only nonstop service to Mexico. The LCC also will operate daily Boston-Santo Domingo in December and January.
American Airlines said $7.1 million in civil penalties for alleged safety violations proposed last week by US FAA are "excessive" ( ATWOnline, Aug. 15). The agency alleged that AA "used the wrong provisions of its Minimum Equipment List to return two MD-83 aircraft to service after pilots had reported problems, and flew the planes 58 times in violation of FAA regulations.
Despite the continuing decline in domestic demand, Hainan Airlines is continuing to expand and now is preparing to launch a new airline expected to be based in Hangzhou.
United Airlines parent UAL Corp. named VP-Investor Relations Kathryn Mikells to succeed Executive VP and CFO Jake Brace when he retires on Nov. 1. Mikells, who joined UA in 1994 as a financial analyst and has held several leadership positions throughout the company, will be senior VP and CFO. Brace joined the company in 1988 and has been CFO since 2001. He will continue to serve in an advisory role, UA said. UAL also named former Northwest Airlines pilot and Air Line Pilots Assn. officer Howard Attarian as VP-flight operations, effective Sept.
GMR Hyderabad International and Delhi International Airport Ltd. signed an MOU with Deccan Cargo & Express Logistics for the development of express cargo hubs. Deccan initially plans to utilize a 300-sq.-m. cargo terminal operated by Hyderabad Menzies Air Cargo and more than 2,000 sq. m. at DEL. Operations are slated to begin Jan. 1.
Thai Airways set aside THB700 million ($20.6 million) that it hopes to use for early retirement packages to induce 500 workers to leave the airline, the Bangkok Post reported. Thai also said it will cease operating flights from Bangkok to New York JFK and Auckland. The moves came after the carrier posted a THB9.24 billion second-quarter loss ( ATWOnline, Aug. 14), widened from a THB417.4 million deficit in the year-ago quarter and its largest quarterly loss since 1997.
Indian government announced official approval for significant modernization and expansion projects at Kolkata and Chennai airports that will bring the facilities to "international standard" and cost a combined $900 million.
Malaysia Airlines Engineering and Maintenance released a statement Friday attempting to distance itself from reports that it is linked to some of the highly publicized safety and maintenance incidents suffered recently by Qantas ( ATWOnline, Aug. 13). MAS MD and CEO Idris Jala said allegations linking the company's E&M subsidiary to the ruptured 747-400 hull that forced a diversion to Manila last month are "totally baseless" and that the aircraft was maintained in Australia. E&M said it has worked only on QF 737-400s.
ACTS and GE signed an MOU recognizing ACTS Engine Maintenance Center as a GE fulfillment center for engine MRO and on-wing and diagnostic services for CFM56-2/-3/-5A and -5C operators in the Americas.
German travel, tourism and shipping conglomerate TUI AG slipped to a €125.3 million loss in the second quarter, reversed from a €70.5 million profit in the year-ago period, owing to special items "arising in particular from the strategic realignment of flight operations."
US Airways said Merrill Lynch, the underwriter of its public offering of 19 million shares of common stock at $8.50 per share, exercised the entire overallotment option of 2.85 million shares. The resulting net proceeds from the offering are expected to be around $179 million, US said ( ATWOnline, Aug. 15).
Intersky, an Austrian LCC operating out of Friedrichshafen, is looking to replace its fleet of four Dash 8-300s. It is considering aircraft in the 76-seat segment, such as the ATR 72 and Q400, for an order for five firm and five options, CEO Claus Bernatzik told ATWOnline. A final decision should come by 2010. The carrier expects to transport around 235,000 passengers this year, up from 180,000 in 2007.
Port Authority of New York and New Jersey announced Friday that a variety of usage and rental fees normally charged at Stewart International Airport, about 55 mi. north of New York City, will be waived for the next six months "in a measure designed to preserve and expand air services" at the facility. AirTran Airways recently announced it was leaving the airport ( ATWOnline, June 17), while other carriers like JetBlue Airways and Delta Air Lines have or will cut services.
Alaska Airlines flew 1.79 billion RPMs in July, a 2.2% year-over-year decrease. Capacity rose 2.4% to 2.24 billion ASMs and load factor fell 3.7 points to 79.7%. SkyWest Airlines and Atlantic Southeast Airlines flew a combined 1.6 billion RPMs in July, down 4.7% from the year-ago month. Capacity fell 3.3% to 2 billion ASMs, dropping load factor 1.2 points to 80.1%.
SAS Group reported a SEK411 million second-quarter loss, reversed from a SEK607 million profit in the year-ago period, and announced enhancements to its Profit 2008 recovery program featuring an additional SEK400 million in savings and the grounding of seven more aircraft. "The reasons for the decrease in earnings are well known," President and CEO Mats Jansson said. "Managing this highly challenging situation is currently the primary focus of the SAS Group and the entire air travel industry."
Ryanair CEO Michael O'Leary said yesterday that the LCC has "no interest" in bidding for London Stansted if BAA is forced to divest the airport, contradicting comments he made last week ( ATWOnline, Aug. 11). Speaking to media in Dublin, O'Leary claimed his remarks had been misinterpreted but that Ryanair would be happy to cooperate with any potential buyers. "We've offered to build a second terminal in Stansted in the past and double the traffic. But the BAA told us to go away," he said.
Fly540 F-27 crashed on its way to Mogadishu from Nairobi, killing all three occupants--both pilots and an engineer. Flight Safety Foundation's Aviation Safety Network said the 26-year-old aircraft was operating a cargo flight and crashed on approach. Xinhua news agency reported that it hit a telecommunications tower. The Kenyan carrier announced an ATR order last winter as it looks to expand its passenger operation ( ATWOnline, Feb. 7).
Turkish Airlines CEO Temel Kotil told Turkish TV network CNBC-e that THY is "interested in principle in the stake sale of Austrian Airlines" but that it has "not taken a decision on this," Reuters reported ( ATWOnline, Aug. 14). He also said it is interested in the 49% stake currently being offered in Bosnia's B&H Airlines.
El Al recorded a second-quarter net loss of $11.2 million, reversed from a $16.6 million profit in the year-ago period, as rising fuel costs mitigated record revenue. "During the second quarter, El Al faced the challenge of the international crisis in aviation," President Haim Romano said. "Fuel prices continued to soar, by about 80% [year-over-year] . . . During the quarter, the fuel component represented close to 40% of flight expenses and resulted in a significant growth in company expenditure." He added that the Israeli flag carrier faces "ever increasing completion. . .
Korean Air reported a second-quarter loss of KRW288.9 billion ($278 million), widened from a KRW214.4 loss in the year-ago quarter, as costs escalated faster than rising revenue. "Fuel expenses showed a sharp increase of 80.4% triggered by a soaring fuel price and a weakening Korean won," KE said, adding that a "weaker economic backdrop" slowed traffic growth, particularly in the international passenger sector.
American Airlines firmed up commitments for 26 new 737-800s comprising 20 converted options and six new orders, Boeing announced yesterday. The six new aircraft will be part of the accelerated fleet plan and MD-80 replacement program announced earlier this week ( ATWOnline, Aug. 14). AA now has ordered 36 -800s this year and is "accelerating deliveries of airplanes booked in prior years," according to the manufacturer.
Deutsche Post World Net CEO Frank Appel defended subsidiary DHL's proposed plan to shift its US air lift from ABX Air and Astar Air Cargo to rival UPS, saying criticism from US politicians over potential job losses at DHL's US air hub in Wilmington, Ohio ( ATWOnline, Aug. 14), misses the bigger picture and that there are no grounds for an antitrust review.
Oneworld partners American Airlines, British Airways, Iberia, Finnair and Royal Jordanian yesterday confirmed that they filed for worldwide antitrust immunity from the US Dept. of Transportation and notified the appropriate regulatory authorities in the EU.
US FAA yesterday proposed civil penalties against American Airlines totaling $7.1 million for allegedly operating aircraft "in violation of FAA regulations" and for alleged "past deficiencies in its drug and alcohol testing program." The agency said that in December 2007 AA "improperly defer[red] maintenance on safety-related equipment" on MD-83s and flew the aircraft 58 times, including 10 revenue flights after an FAA inspector discovered the problem relating to the planes' autopilot systems and notified the airline.
Syrian Arab Airlines intends to buy a combined 50 A320s, A330s/A340s and A350s, Syrian Deputy Prime Minister for Economic Affairs Abdallah Dardari told Bloomberg News in Damascus. "We are now in agreement with the French to completely restructure the national airline, now that we have an agreement to buy Airbus planes,'' Dardari said, adding that Syriain will lease four aircraft in the next 18 months and take delivery of the first 14 ordered aircraft in the 2010-18 timeframe, with the remainder arriving by 2028.
