Qantas will increase its thrice-weekly Sydney-San Francisco service to five-times-weekly from March 26 by shifting flights from Los Angeles. It will add 18 "supplementary flights" to LAX between June 19 and July 28, after which it will fly 35-times-weekly to LAX and five-times-weekly to SFO.
Centre for Asia Pacific Aviation called 2006 a "bumper year for airport transactions, with 15 major airports/airport groups privatized," according to the consultancy's "Global Airport Privatization" report issued last week.
British Airways' hopes to resolve its pension deficit issue were dashed Friday when the GMB Union rejected its latest proposal, which included a one-time company contribution of £800 million ($1.55 billion) into its New Airways Pension Scheme and annual contributions of about £280 million for the next 10 years subject to the unions' acceptance of benefit changes.
EgyptAir now issues e-tickets on all its domestic routes and can do so to some international destinations as well. According to the Arab Air Carriers Organization, remaining international routes should be e-ticket enabled by the end of March. Interline capabilities should be in place by the end of this month.
Cathay Pacific Airways flew 6.33 billion RPKs in December, a 4.6% increase over the year-ago month. Capacity climbed 3.3% to 7.8 billion ASKs and load factor rose 1 point to 81.2%. Delta Air Lines flew 9.44 billion system RPMs in December, a 3.5% rise over the year-ago month. Capacity grew just 0.2% to 12.12 billion ASMs, lifting load factor 2.5 points to a December record 77.8%. Domestic RPMs fell 4% to 6.59 billion against a 7.3% decline in capacity to 8.46 billion ASMs, raising load factor 2.7 points to 77.9%.
US and EU met for two days in Brussels last week "in a friendly and positive atmosphere" after which they reaffirmed their interest in reaching an open skies agreement and agreed to meet in Washington the week of Feb. 5 "to identify areas where improvements might be made." In a statement signed by delegates representing both bodies, the EU reiterated its "deep regret and disappointment" over the US Dept.
American Airlines said that it no longer will sell tickets for international flights or domestic first and business class seats through Expedia.com or any of its affiliates. Domestic coach tickets will remain available through Expedia. AA did not give a reason for the move.
Airports of Thailand last week approved the use of Don Muang Airport for domestic flights with no international connections beginning in March, according to press reports. Don Muang was to have been closed to commercial traffic in September when the new Suvarnabhumi Airport opened for business ( ATWOnline, Sept. 29, 2006). The Bangkok Post said reopening DMK, which now handles only charter flights, would give airport officials "flexibility" to solve problems at the new facility.
SR Technics announced Friday that it will not convert its option to acquire 60% of Empire Aero Center of New York, which it has held since signing an MOU last April ( ATW, November 2006). "Though SR Technics continues to be interested in the North American market, for the present it intends to focus its investment interests on the high-growth markets in the Middle East and Asia," the company said.
TUIfly is scheduled to launch services under its new name today. The carrier is the result of the merger announced last month of Hapagfly and Hapag-Lloyd Express, whose brands will disappear from the market ( ATWOnline, Dec. 18, 2006). TUIfly expects to fly 13.5 million passengers in 2007, up 22% from the number transported by HLX and Hapagfly together last year.
Northwest Airlines plans to emerge from Chapter 11 as an independent company in the second quarter and to eliminate unsecured debt by paying unsecured creditors with common stock in the reorganized carrier, according to its reorganization plan filed Friday.
Boeing said Friday that it is making "steady progress toward building the first 787," pointing to the rollout of its second 747-400LCF, the Dreamlifter designed to move 787 parts among factories around the world. The manufacturer plans to operate three of the modified freighters at the height of 787 production. It said the first Dreamlifter made a successful pickup last week of the first 787 parts produced in Japan, including a forward fuselage section made by Kawasaki Heavy Industries and the center wheel well and center wing tank made by KHI and Fuji Heavy Industries.
Indonesian authorities appear to be closing in on the wreckage of the Adam Air 737-400 that was lost on Jan. 1 with 102 aboard ( ATWOnline, Jan. 10). A fisherman reportedly found a section of what has been described as a piece of the aircraft's right horizontal stabilizer in the Makassar Strait some 185 mi. off Sulawesi Island. Reports continued to surface yesterday of more wreckage--at least 11 pieces--found floating nearby. USNS Mary Sears, an oceanographic survey ship, arrived in an area 125 mi.
AirTran Holdings yesterday launched an exchange offer for shares of Midwest Air Group, announcing it would pay $13.25 including $6.25 in cash and 0.5884 shares of AirTran stock for each outstanding Midwest share. The new offer values the Milwaukee-based parent of Midwest Airlines at $345 million and represents an 18% hike compared to AirTran's previous offer of $11.25 per share or $290 million.
Tiger Airways secured a $100 million loan facility to finance pre-delivery deposits for eight new A320s on order ( ATWOnline, Oct. 18, 2006). The facility was arranged and underwritten by BNP Paribas. Deliveries are scheduled for 2008-10.
Northwest Airlines reported a $274 million net loss in November but a positive operating result of $52 million. Revenues were $981 million and expenses came to $929 million. American Airlines parent AMR Corp. announced that its 4.5% Senior Convertible Notes due 2024 have become convertible into shares of AMR common stock.
The ambitious A$11.1 billion ($8.64 billion) buyout bid from Airline Partners Australia to take Qantas private will succeed, according to the Sydney-based Centre for Asia Pacific Aviation, if only because the consequences of failure "are too grotesque to imagine." Speaking yesterday to ATWOnline, Executive Chairman Peter Harbison said, "If the deal is knocked back, there would be a massive loss of confidence and the share market would bail out of the stock, sending the share price below last year's lows."
Oasis Airlines of Hong Kong is expected to expand its low-cost long-haul operation to Oakland in June. Plans call for four flights per week. Earlier this month the airline celebrated its 25,000th passenger on its Hong Kong-London Gatwick service. It launched in October and operates two 747-400s. EasyJet will launch four-times-weekly Newcastle-Krakow service from April 1, a twice-daily Newcastle-Mahon service from July 14 and a thrice-weekly Bristol-Bordeaux flight (launch date not provided) that will become daily in June.
British Airways said it will change its baggage policy from Feb. 13 by placing restrictions on the number and size of bags that can be checked and charging customers fixed fees of up to £120 ($232) per excess bag.
CAE received an order for two A320 and two 737NG Level D full-flight simulators valued at C$52 million ($44.2 million) from Flight Simulation Co. of the Netherlands. Delivery is scheduled for the second half of this year.
DaimlerChrysler will sell a 7.5% stake in Airbus parent EADS to a consortium that reportedly includes Deutsche Bank, Commerzbank, KfW and Goldman Sachs. A company spokesperson told German media this week that an agreement had been reached and "final details" were being settled. DaimlerChrysler will hold a 15% stake in EADS after the sale, which is expected to net nearly $2 billion.
Iberia flew 4.28 billion RPKs in December, an 11.6% increase from the year-ago month. Capacity climbed 3.8% to 5.45 billion ASKs and load factor rose 5.5 points to a December record 78.5%. Air Canada and Air Canada Jazz flew a combined 3.9 billion RPMs in December, up 6.7% from the year-ago month. Capacity grew 4.5% to 4.98 billion ASMs, lifting load factor 1.6 points to 78.3%. Copa Airlines flew 398.5 million RPMs in December, up 30% from the year-ago month. Capacity rose 24.1% to 502.1 million ASMs and load factor was ahead 3.6 points to 79.4%.
WestJet yesterday finalized a term sheet with Singapore Aircraft Leasing Enterprise to lease two 737-700s for delivery in July and August 2009. Meanwhile, the LCC suspended its aiRES contract, saying it hopes to negotiate new installation terms with aiRES provider Travelport but conceding it may have to scrap the system altogether.
