Messier Services UK was selected by EgyptAir Maintenance & Engineering to provide main landing gear MRO for two A321s and MRO for the whole shipsets of another two A321s. The deal commences immediately and includes the loan of a shipset for the duration of the agreement, which runs through June.
Hawaiian Airlines scored a legal victory last week when US Bankruptcy Court Judge Robert Faris rejected Mesa Air Group's countersuit in which Mesa charged that Hawaiian had violated antitrust laws. Hawaiian's original lawsuit alleges that Mesa used proprietary information to bolster its startup proposal for go! A trial to determine the merits of the claim is set for Sept. 25, 2007.
Oman Air management presented a five-year business plan that includes expansion into long-haul services to its board and the country's Ministry of National Economy, according to CEO Ziad Karim Al-Haremi. "We're looking to develop a network spanning 42 destinations, of which 11 [would be] long-haul," he told ATWOnline in Kuwait recently, adding that the carrier is aiming to commence its first long-haul flights in fall 2008.
Austrian Airlines Group CEO Alfred Oetsch confirmed to ATWOnline during the Star Alliance meeting last week in Istanbul that none of the carrier's long-haul routes are profitable. "But with the restructuring of our long-haul network, it should become profitable soon," he insisted. The carrier has simplified its fleet and plans to operate only 777-200s and 767-300ERs on long-haul routes. It is taking delivery this month of its fourth 777-200. Along with its six 767-300ERs, Oetsch said the long-haul fleet is the right one for the airline going forward.
Varig was conspicuously absent from last weekend's Star Alliance meeting and ceremony in Istanbul, prompting speculation about whether or not the struggling Brazilian carrier remains a viable component of Star.
Star Alliance CEO Jaan Albrecht called Turkish Airlines a "rising star" but a more appropriate metaphor might be a bridge--one that connects Europe to the Middle East and Asia and offers access to a vibrant tourist destination and a growing economy in which a scant 5% of 70 million people fly commercially.
Allegiant Travel Co., parent of Allegiant Air, raised $90 million in gross proceeds late last week through an IPO of 5 million shares of common stock priced at $18 per share. Allegiant granted the underwriters a 30-day option to purchase up to an additional 750,000 shares of common stock to cover any overallotments. The stock will trade on the Nasdaq under the symbol ALGT. Allegiant Air has operated primarily in leisure markets, linking smaller cities with major tourist destinations such as Las Vegas, Orlando and Tampa/St.
Midwest Airlines signed an agreement Friday to acquire two MD-80s that will be used to expand long-haul flying from its Milwaukee hub. "The acquisition of these aircraft provides new opportunities for Midwest and its customers," said Senior VP and CMO Scott Dickson. The aircraft will be placed into service in the first half of 2007, with routes and schedules to be announced at a later date. Midwest currently operates a fleet of 11 MD-80s and 25 717s. With its wholly owned subsidiary Midwest Connect, it provides service to 47 cities.
OAO Unified Aircraft Corp. CEO Alexei Fyodorov met with senior Airbus officials in Toulouse Friday to discuss potential Russian involvement in A350 XWB production, Bloomberg News reported. Russia has been seeking a greater role in Airbus work since a state-owned bank purchased a 5% stake in parent EADS earlier this year ( ATWOnline, Sept. 13). It is unclear what kind of work Airbus officials discussed with the head of the Russian aerospace company.
Singapore Airlines CEO Chew Choon Seng told ATWOnline in Istanbul that the recently announced bid for Qantas might be a wakeup call for Australian officials who favor protecting the flag carrier to the detriment of SIA's wish to operate a transpacific service from Australia.
CAAC and Japan Airlines reached agreement to launch cooperative aviation safety study projects in conjunction with the Civil Aviation Safety Institute of China, saying their goal is to contribute "to the development of global flight safety."
Star Alliance Corporate Plus will bring in €2.2 billion ($2.9 billion) in sales in 2006, alliance officials said Saturday in Istanbul. The program, which targets corporate travel buyers by offering the entire Star network through an individual carrier's sales team, now boasts more than 80 clients and is enjoying 20% year-over-year revenue growth.
Emirates Executive Vice Chairman Maurice Flanagan remains imperturbably upbeat despite the challenges facing the global air transport industry. Bucking all recent trends, including fuel price increases that have pushed the fuel element of total airline costs from 13% five years ago to 30% today, the Dubai-based carrier continues its seemingly inexorable progress on the path to growth and increased profits.
Travelport reached a definitive agreement last week to acquire Worldspan for $1.4 billion, a merger the two companies said will make their GDS offerings more "cost effective and efficient." Travelport CEO Jeff Clarke said the takeover "will ensure that we are better positioned to meet the evolving needs of our customers, the travel suppliers, travel agencies and end consumers." In a statement, Travelport said easy-to-use airline websites are growing in usage and putting pressure on GDS providers. "Competition in the travel distribution industry has increased," the company said.
Brazilian police on Friday officially charged two ExelAire Legacy 600 pilots with endangering aircraft safety in the Sept. 29 midair collision with a Gol 737-800, a serious criminal charge that could land the US citizens in a Brazilian prison for up to 12 years if they are convicted.
US National Transportation Safety Board Chairman Mark Rosenker said airlines should voluntarily begin incorporating a 15% safety factor when calculating stopping distances on icy or wet runways. He added that thrust reversers should not be counted on by pilots to bring planes to a safe stop in poor conditions. US FAA is likely to implement an official rule change regarding calculation of stopping distances but has not done so yet.
US Congress yesterday passed legislation to create a federal Interagency Aerospace Revitalization Task Force charged with reversing the US's decline in aviation manufacturing workers. According to the Aerospace Industries Assn., which lobbied for the bill's passage, there is an "ominous shortage [of] younger, technically skilled professionals in the aerospace industry." Average age of aerospace manufacturing workers in the US now exceeds 50 and 27% of the workforce will become eligible for retirement in 2008, AIA said.
Qantas is focusing its Japanese service on Tokyo Narita following Jetstar's approval to operate long-haul flights from Australia. "We intend to grow both Qantas and Jetstar in international markets but we must match the appropriate cost structure and style of service to individual markets," Qantas CEO Geoff Dixon said.
Delta Air Lines reached aircraft purchase and sale agreements with Boeing and two aircraft lessors yesterday as part of an effort to right-size its fleet to emerge from bankruptcy as a standalone carrier with a heavy emphasis on international services.
Swiss International Air Lines reached an agreement with unions representing its ground staff that provides a 1.1% salary increase, an additional two vacation days each year and a one-time payment of CHF1,200 ($1,005) to be added to workers' December salaries.
AirTran Airways would be interested in acquiring assets from Delta Air Lines or US Airways if those carriers need to make sales to alleviate anticompetitive concerns in order to facilitate a potential merger, President and COO Bob Fornaro said yesterday.
Air Canada said new aircraft entering its fleet will continue to drive operating costs down. Costs were down across the board in the first nine months of 2006, Executive VP and CFO Joshua Koshy said yesterday in New York at the Calyon Securities Airline Conference, which was available via webcast.
