Jet Airways reported net earnings of INR400 million ($9 million) for the third fiscal quarter ended Dec. 31, 2006, a 34% decline from year-ago profits of INR610 million. The carrier said its third quarter "is traditionally the peak quarter in the company's fiscal year" but that overcapacity on the subcontinent once again was a drag on its bottom line.
Iberia Maintenance began servicing CF34 engines last month under a contract signed with General Electric. The first engine serviced belonged to IB affiliate Air Nostrum, but the company is licensed to perform third-party maintenance.
SAS Ground Services UK established a ground handling organization at Aberdeen Airport that will include passenger handling, ramp services and deicing operations. The company said it expects to secure third-party customers by spring. Separately, Icelandair chose SAS Ground Services for handling at Oslo, Bergen, Stockholm Arlanda and Gothenburg.
Air New Zealand played down suggestions that the challenges facing the airline are over even as receding fuel prices are prompting a share price rally. In the past five months, ANZ's shares have climbed from NZ$1.20 ($0.82) to just above NZ$2, with some analysts suggesting it will triple its profit over the next four years. But CEO Rob Fyfe warned the carrier is far from where it needs to be. "The improving profit picture is deceiving. We have a long, long way to go before we will be performing as a normal business," he told ATWOnline.
Singapore Technologies Aerospace announced a massive freighter conversion deal with FedEx Express yesterday covering 87 757s, with ST Aero President Tay Kok Khiang putting the value of the contract at $450-$470 million over the seven-year life of the program. Work will be done at ST Mobile Aerospace Engineering in Mobile, Ala., using an STC developed and owned by ST Aero based on data licensed from Boeing, including design and certification data from a previous 757 passenger-to-freighter conversion, according to Boeing VP-Technical Services Tim Copes.
Air Nostrum will operate a thrice-weekly Santander-Amsterdam service from March 25 aboard a CRJ200. Bmi will stop flying to Paris Charles de Gaulle from London Heathrow and Leeds Bradford airports on March 25.
Virgin America unveiled "sweeping changes" designed to counter the US Dept. of Transportation's tentative rejection last month of its application for an operating certificate ( ATWOnline, Jan. 3).
Worldwide Flight Services was awarded a contract by Nippon Cargo Airlines to handle freight at London Stansted. The deal coincides with the appointment of Air Logistics as NCA's GSA in the UK. NCA's cargo formerly was sold and handled by ANA but the carriers now are "pursuing separate cargo strategies," according to WFS.
AirAsturias will cease operations Jan. 26, just two months after it launched its first flight ( ATWOnline, Aug. 23, 2006). The Oviedo-based carrier started with a leased A320 and currently flies to Madrid, Lisbon, Rome Fiumicino and Paris Charles de Gaulle. It had intended to expand to Brussels and Amsterdam. Reportedly, it is seeking to relaunch with long-haul A340 service to South America via Madrid.
Verified Identity Pass, which was approved by the US Transportation Security Administration last month to operate its Clear Registered Traveler program at select US airports ( ATWOnline, Dec.
Despite a fourth-quarter net loss of $26 million, Continental Airlines reported 2006 net income of $343 million, a strong turnaround from a 2005 loss of $68 million, as full-year revenue jumped 17.1% to $13.13 billion.
Boeing unveiled its 787-inspired revised interior mockup for the 747-8 Intercontinental in Renton. A number of changes were introduced after airline interest ramped up last year ( ATW, December 2005). The staircase to the upper deck has been shifted back to its original position after carriers insisted the second door on the right side be freed for catering. There was concern that boarding passengers would obstruct the area.
Vienna Airport operator Flughafen Wien announced yesterday that it plans to acquire a 25.15% stake in Flughafen Friedrichshafen. The companies recently signed a letter of intent and will request the approval of their responsible corporate bodies in the coming weeks. Friedrichshafen Airport is located at the crossroads between Germany, Austria and Switzerland.
Guggenheim Aviation Partners yesterday became the third customer for the A330-200F ( ATWOnline, Jan. 17), finalizing an October letter of intent for six on behalf of one of its investment funds. Deliveries are expected to begin in early 2010. "Guggenheim Aviation Partners is making a significant investment in the acquisition of medium-range and long-haul freighters as we believe this is a market that is currently underserved and is expected to benefit from near-term industry growth," MD Paul Newrick said.
Northrop Grumman began testing and evaluation of its laser-based Guardian counter-Manpad missile defense system this week aboard an MD-10 at Los Angeles International. FedEx is the likely operator of the aircraft. Testing will run through March 2008 and will include eight other MD-10s in revenue service. The Guardian system is designed to detect shoulder-fired missiles and direct a nonvisible laser to the seeker head that will disrupt its guidance and cause it to miss the aircraft.
AirTran Holdings, which has launched a tender offer to acquire control of Midwest Air Group, said yesterday that the latter's plan for growth is "not well suited for low-cost competition" and relies too heavily on the use of older aircraft such as 50-seat CRJs and MD-80s. Last week Midwest unveiled its plan to boost revenue and increase capacity in an effort to bolster shareholder value and fend off AirTran's takeover effort.
STG Aerospace of the UK signed supply deals with both British Airways and Air Canada for its SafTGlo photoluminescent cabin floorpath marking system. BA will install STG's ColorMatch product across its 757 fleet. AC's order was one of the largest single deals in STG's history, the company said, adding that 2006 marked a record sales year thanks in large part to the ColorMatch technology that allows airlines to install strips that match cabin decor.
Pinnacle Airlines Corp. announced the purchase of Colgan Air, a Virginia-based, family-owned turboprop operation that serves as a regional partner for Continental Connection, United Express and US Airways Express. Pinnacle, which operates 127 CRJs as Northwest Airlink, will pay $20 million for all of Colgan's stock, with an immediate payment of $10 million cash and an additional $10 million in the form of a one-year note secured by shares in the company.
Calling the problems associated with A380 production "a major shock for Airbus and a major disappointment to all our stakeholders," EADS co-CEO and Airbus President and CEO Louis Gallois yesterday said the manufacturer "most probably" will report negative EBIT for 2006 and will trail Boeing in aircraft orders for the first time since 2000.
Indian government said that Minister for Civil Aviation Praful Patel met with employee groups from Air India and Indian Airlines yesterday to "explain in detail the benefits that would accrue to the airlines post-merger and the collective wisdom behind the entire process." Patel said the merger between the two state-owned carriers would "involve no retrenchment, no cuts or losses in pay scale, perks or allowances" and that "service conditions would further improve." He said the new airline will operate a fleet of approximately 112 aircraft and by the end of the third year of operatio
