North American Airlines took delivery of a 767-300ER, bringing its fleet to 10 aircraft. It operates scheduled and charter service for the US military and commercial customers.
Boeing Friday confirmed an order from Azerbaijan Airlines for three 787-8s and two 737-900ERs valued at $609 million at list prices ( ATWOnline, Feb. 7). AZAL is the first airline from the former Soviet Union to order either type, Boeing said. The carrier will fly the 787 to destinations in East and Southeast Asia and North America, entering the long-haul market "for the first time," according to AZAL DG Jahangir Askerov. The aircraft will be powered by the GEnx. No engine choice was announced for the 737s.
European Commission extended until June 13 its deadline to rule on Ryanair's €1.48 billion ($1.94 billion) hostile bid for Aer Lingus, both the EC and Ryanair confirmed yesterday, although neither offered a reason for the 20-day extension. The regulator set an initial deadline of May 11 to investigate worries that the acquisition would raise "serious competition concerns," ( ATWOnline, Dec. 22, 2006).
Hamilton Sundstrand announced the acquisition of Page Group, an aerospace lighting and cockpit controls designer and manufacturer based in the UK. Page had 2005 revenues of £23 million ($44.9 million).
Airlines looking to make operational or marketing decisions based upon feedback from customers may be wasting their time, Aerobrand President David Hedley-Noble said yesterday during a forum dubbed "Winning Passenger Strategies" at ATW's Winning Airline Strategies conference in Washington. Aerobrand counts MAXjet Airways, Spirit Airlines, TACA, KLM, Lufthansa and Embraer among its clients.
SR Technics and Vueling Airlines signed a 12-year contract for CFM56-5B4/P services on the LCC's 16 A320s. The deal includes a possible extension of 6-12 years. Separately, SRT Group named nine-year company veteran Georg Radon CFO effective March 1.
Air New Zealand upgraded its long-haul Pacific Premium Economy service to include several features available in business class, such as pre-flight drinks, printed menus and amenity kits. ANZ added eight seats to its 747 PPE class last October. The upgrade also is available on 777s.
Airline Partners Australia may be facing a conflict of interest as it works to convince the government to approve its A$11.1 billion ($8.75 billion) buyout of Qantas ( ATWOnline, Feb. 22). The Australian reported that Lynton Crosby and Mark Textor, founders of the consulting firm credited with masterminding the ruling Liberal party's past four election victories, have been retained for A$50,000 by APA to lobby government ministers and members.
Virgin Blue could be a target for an equity buyout by Singapore Airlines, according to the Centre for Asia Pacific Aviation. Speaking to ATWOnline, CAPA Executive Chairman Peter Harbison said, "Virgin Blue's 62% owner, Australia's transport giant Toll Holdings, has again refused to rule out the possibility of liquidating its interest in the airline beyond the end of the current financial year to June 2007." He added that "this is near to an effective signal to the equity markets that Virgin Blue is up for bids." Some analysts believe Toll indeed is ready to sell down.
SkyWest Airlines named Russell Childs president and COO replacing Ron Reber, effective April 2. Reber will remain at the airline and work on special projects. Childs came to SkyWest as senior director and controller in January 2001 and was named VP and controller later that year.
The complexity of airline operations coupled with increased customer expectations have made development and implementation of reliable IT, communication with customers and accurate databases even more critical, according to a panel of industry experts who spoke yesterday at ATW's Winning Airline Strategies conference in Washington.
American Airlines wishes to become "the clear-cut airline of choice for passengers in the New York market" and yesterday unveiled a series of service enhancements and promotions designed to achieve that end.
Alitalia shareholders officially removed Giancarlo Cimoli as chairman and CEO yesterday and installed Banca di Roma Chairman Berardino Libonati, the Associated Press reported from Rome ( ATWOnline, Feb. 13). A new board also was appointed. Meanwhile, Il Sole-24 Ore reported that the new board is considering writing down the value of AZ's fleet by €400 million ($525.5 million), which would increase the company's 2006 net loss to approximately €780 million.
AirTran Airways launched daily Orlando International-Charlotte and daily MCO-Richmond service. Daily Baltimore-West Palm Beach flights will operate March 6-April 16. AirTran is operating Saturday Buffalo-Fort Lauderdale service through April 15, a second BWI-Fort Myers flight March 6-April 16 and a fifth daily Atlanta-New Orleans flight. Royal Jordanian launched A310 freighter services to Beirut (weekly) and Cairo (twice-weekly). Korean Air will launch twice-weekly Incheon-Vienna service on March 28, becoming thrice-weekly on June 1.
JAL Group announced its intention to introduce the Embraer 170 on its domestic network, starting next year. The company said it "will conclude a purchase agreement" with the Brazilian manufacturer for 10 firm aircraft plus five options this spring. They will be powered by GE CF34-8s and be operated by regional subsidiary J-AIR, which currently relies mainly on the CRJ200. JAL said the aircraft will allow it to match demand more efficiently on domestic routes and take advantage of an increase in slots at Tokyo Haneda from 2009.
Avitas Senior VP Adam Pilarski projected that the airline industry's return to profitability in 2006, excluding the results of bankrupt US carriers, will continue for two to three years barring unforeseen events. Speaking yesterday at ATW's Winning Airline Strategies conference in Washington, he rejected the notion that consolidation is necessary. "Did United go into Chapter 11 because it was too small?" he asked. "What we really need is restructuring instead of consolidation. .
Indian government ministers approved the merger of Air India and Indian Airlines ( ATWOnline, Jan. 18). The next stage is final approval at a cabinet meeting next month, and Civil Aviation Minister Praful Patel told media he expects approvals to be completed by the end of March. According to sources, the name and head office of the new airline are yet to be decided but what has been approved is a structure around six business units.
US Airways chose Pittsburgh International Airport for a new $25 million, 60,000-sq.-ft. flight operations control center that eventually will house approximately 600 employees and monitor 1,400 daily mainline flights. Groundbreaking is scheduled for later this year and the center is expected to go live in early 2009. US also considered Phoenix and Charlotte.
CSA Czech Airlines terminated its Prague-Dubai service, calling it "unprofitable." It also announced that it will save CZK100 million ($4.7 million) annually on insurance premiums after selecting Renomia and JLT as its new insurance brokers.
Brussels Airlines, the new carrier resulting from the merger of SN Brussels Airlines and Virgin Express ( ATWOnline, Nov. 8, 2006), changed its logo, adding a dot to its stylized b mark after passengers complained the 13 dots that comprised the original symbol were unlucky. The new logo is up on the carrier's website. "We are never surprised by reactions, but that it was that bad? It really took us aback," a Brussels spokesperson told the BBC. The carrier will launch formally on March 25.
Indian Airlines reached a deal with KfW IPEX-Bank of Germany for $500 million in financing toward the carrier's purchase of 20 A321s, 19 A319s and four A320s ( ATWOnline, Feb. 22, 2006). The carrier expects to take delivery of 10 aircraft this year and has 12 years to repay the loan. HSH Nordbank is joint underwriter. Separately, Indian launched thrice-weekly nonstop Delhi-Kochi service Feb. 18 aboard an A319. It will continue to connect the cities daily via Mumbai.
Hurt by high fuel prices and increased competition in the transpacific and inter-island markets, Hawaiian Airlines parent Hawaiian Holdings reported a net loss of $40.5 million for 2006, widened from a net loss of $12.4 million the prior year.
