LAN Airlines posted net earnings of $86.1 million in the first quarter, an 8.1% increase over a year-ago profit of $79.7 million, a result that included a one-time nonoperating gain of $33.7 million.
The first A380 designated for launch customer Singapore Airlines is "in the paint shop" and on schedule for an October delivery, a sign that the troubled aircraft program finally is progressing normally, Airbus executives said.
Etihad Airways will bring forward the launch date for its four-times-weekly Abu Dhabi-Dublin service by one month to July 2. Flights are aboard A330-200s. Iberia added a second daily Madrid-Dublin frequency aboard an A320. Vueling Airlines launched daily Madrid-Venice service.
China's airlines maintained their rapid growth rate in the first quarter, enjoying a 15.9% year-over-year rise in passengers to 40.9 million and a 13.3% gain in freight to 858,000 tonnes, according to CAAC statistics released yesterday. International numbers lifted significantly. International passengers climbed 23.9% to 3.8 million and freight rose 25.1% to 238,000 tonnes.
SpiceJet converted options for 10 737-800s/-900s into firm orders for delivery in 2009-11, according to a company statement cited by press reports from India. Separately, SpiceJet announced the appointment of former Whirlpool of India Director-Finance/Commercial Partha Sarathi Basu as CFO.
Jat Airways said it expects 2007 to be "the most successful business year over the past 17 years" based on traffic trends through the first 100 days. It transported 237,201 passengers during the period, a 5.6% increase from a year ago, with a 2.5-point rise in load factor to 51.8%. Austrian Airlines flew 1.75 billion RPKs in March, down 0.4% from the year-ago month. Capacity dropped 4.2% to 2.35 billion ASKs, lifting load factor 2.8 points to 74.7%.
A first quarter that JetBlue Airways would like to forget ended with a $22 million loss, a narrowing of the $32 million deficit posted in the first quarter of 2006 but a result that Chairman and CEO David Neeleman described as disappointing despite the major operational disruptions--and bad publicity--that accompanied the two ice storms in the northeast US. "We learned a great deal following the events and consequently, we're better able to recover from irregular operations and provide the superior service our customers deserve and have grown to appreciate," Neeleman said.
Martinair posted a €7 million ($9.5 million) net loss in 2006, reversed from a profit of €14 million in 2005, as both its cargo and passenger activities were impacted by high fuel prices. Operating loss was €17 million compared to a prior-year operating profit of €22 million. Turnover climbed 9.1% to €1.2 billion. Passenger revenue rose 10% to €377 million but the operation suffered a loss of €15 million, widened from €7 million in 2005. Cargo revenue was up 13% to €798 million on a 6% growth in volume to 3.7 billion CTKs.
Norwegian Air Shuttle signed an MOU with Finnair for acquisition of the latter's Swedish subsidiary FlyNordic, the carriers announced yesterday. The transaction will take place during the second quarter and is subject to regulatory clearance. FlyNordic will maintain its brand and continue to operate a low-fare service.
Air Canada and Virgin Atlantic Airways yesterday announced major 787 orders. The Virgin deal, flagged last month by this website ( ATWOnline, March 19), is for 15 787-9s plus options for an additional eight and purchase rights on another 20. The AC order converts 23 options and purchase rights into firm orders, lifting the carrier's Dreamliner commitment to 37. It also took 23 new options.
Aviation Partners Boeing officially launched its 767-300ER blended winglet program this week, saying it has firm orders for 68 shipsets from three airlines on three continents. It expects US FAA certification in the fourth quarter of 2008. AVP said the winglets, available for both passenger and freighter versions, are worth 350,000 gal. in annual fuel savings per aircraft, a payload improvement of up to 12,000 lb. and a range increase of up to 360 nm.
American Airlines yesterday announced plans to upgrade its 124 757s with new seats, new interiors and updated IFE. The first class cabin will increase to 24 seats from 22 while new economy seats, sidewalls, LCD monitors that will replace CRT monitors and new digital media file servers will be added. Work will begin next year and will be conducted in-house, AA said.
Low-cost startup Skybus Airlines yesterday unveiled its initial destinations, touted $10 fares and began accepting reservations on its website. The Columbus-based carrier will begin flying May 22, launching daily A319 service from Columbus to Burbank, Portsmouth, Kansas City and Richmond. One week later it will start operating daily to Greensboro, Fort Lauderdale and Bellingham. Flights to Oakland and a second daily Burbank service will begin June 12.
British Airways confirmed yesterday that it approached "a number" of unidentified private equity companies about participating in an offer for Iberia, of which BA holds 10%, saying it has ruled out an independent bid. "As well as a private equity partner, this consortium is likely to include one or more Spanish partners," the airline said in a statement, adding that "any consortium bid would not involve further capital investment by British Airways."
Austrian Airlines Technik and Lufthansa Technik signed an MOU for "long-term cooperation" that AAT said will help "make a lasting improvement to its competitiveness and consolidate its market position, particularly at the Vienna location." The deal includes no capital integration between the companies but will help AAT reduce costs, retain Vienna as an independent MRO center and "redevelop joint locations." More details will be announced "in the coming weeks." The move is part of Austrian's plan to reduce costs associated with its 1,100-employee MRO department, which came to €270
FlyAsianXpress, operator of AirAsia's new long-haul, low-cost AirAsia X subsidiary, confirmed its order for 10 A330-300s for delivery starting late next year. The deal also includes five options ( ATWOnline, April 2). The airline had evaluated the 777 but was unable to secure early delivery positions. AirAsia's Tony Fernandes said AirAsia X hopes to be flying 25 A330-300s in the next five years, according to AFX News, which also reported that the aircraft will be configured in two classes.
BAE Systems Regional Aircraft placed three BAe 146-200s with Johannesburg-based Airlink. The independent regional airline will operate the aircraft in a two-class configuration with seating for up to 89 passengers. It currently flies 15 29-seat Jetstream 41s, two of which are leased to Mozambique Express, and five ERJ-135s.
News from Travel Technology Update: The OpenTravel Alliance, the organization that develops XML messaging specifications for electronic travel distribution, is adopting a new identity that reflects a philosophical shift: It is setting standards for the industry. In the alliance's seven-year history, OpenTravel stressed that it creates and encourages the adoption of "specifications" rather than standards.
Delta Air Lines reported a first-quarter net loss of $130 million, significantly narrowed from a net loss of $2.1 billion in the year-ago quarter, but was profitable at the operating level and is eyeing an exit from bankruptcy as soon as the end of this month.
Horizon Air, launch customer for the Q400, placed a firm order for an additional 15 with options on 20 of the 74-seat turboprops. The firm order contract is valued at $393 million with deliveries slated to begin in October 2008. Horizon previously has placed orders with Bombardier for 46 Q400s, 28 Q200s, 21 Dash 8s and 20 CRJ700s, according to Bombardier.
Air Greenland said it posted a DKK75 million ($13.7 million) profit in 2006 on record revenues of more than DKK1 billion. It recorded a 2005 profit of $6.5 million on $137.8 million in revenue, according to ATW's "World Airline Report." The company also announced the election of Greenland Tourism and Business Council Communications Manager Julia Pars as chairman replacing retiring Peter Gronvold Samuelsen.
SAS Sweden said its summer expansion from Stockholm Arlanda, from which it has launched 11 new routes, had a successful start. European Route Manager Niklas Hardange told this website that the airline expects 2007 passenger numbers to climb 8.3% thanks to the new services. SAS Sweden operates four 737-800s, 16 737-600s, 15 MD-80s and seven Dash 8s, along with one Avro RJ leased from Transwede for its London City operation. It is looking to add two more aircraft and is exploring up to four new leisure destinations.
