Air France Industries and Thales signed an MOU for maintenance, logistics, supply chain, repair and overhaul of the Top Series IFE systems for Air France A380s. The companies said they will "jointly explore innovative modes of cooperation to ensure cost-effective IFE maintenance and high level of IFE system reliability and availability." This cooperation will lead to a common support offer on a Paris CDG platform for other potential Thales TopSeries IFE customers.
Boeing began final assembly yesterday on the first 737-900ER, which will undergo a five-month flight test program later this year and eventually be delivered to Indonesia's Lion Air.
Delta Air Lines pilots yesterday ratified a new labor agreement that includes $280 million in annual concessions the airline says are "crucial" to its effort to emerge from Chapter 11 bankruptcy protection.
Pakistan International Airlines took delivery of its first new ATR 42-500 yesterday, part of a $100 million order for seven signed in November ( ATWOnline, Nov. 4). It will receive the next two aircraft in November and December and four more in the first five months of 2007. They will replace PIA's aging F27 fleet.
Cathay Pacific Airways will launch twice-weekly 747-200F Hong Kong-Mumbai-Chennai cargo flights Friday. Estonian Air will close its Talinn-Manchester route on July 1 and its Talinn-Dublin service on Sept. 1. In the autumn, flights to Paris and Hamburg will be suspended for the winter season. Finnair today will launch daily Helsinki-Geneva flights aboard an Embraer 170 and on Saturday will start thrice-weekly Helsinki-Nagoya Chubu flights. It launched Helsinki-Pisa service earlier this month aboard an A320.
Competition regulators gave preliminary clearance to Qantas to establish an interlinked low-cost airline network in Asia through its Jetstar brand despite opposition from rival LCC Tiger Airways.
Kenya Airways posted a net profit of KES4.83 billion ($66.5 million) for the fiscal year ended March 31, a 24.4% increase over the KES3.88 billion earned in FY05. Revenues rose 25.1% to KES52.8 billion as the airline carried 2.4 million passengers during the year, an increase of 17%. It plans to take delivery of three new 737-800s this year and a fourth 777 in early 2007.
Aeroports de Paris yesterday launched its long-awaited initial public offering that will see the French government reduce its 100% stake in the airports operator by 28%-33%. ADP expects to raise €1.2 billion ($1.54 billion) in total, placing 30 million shares. Shares are priced at between €42 and €48.5 each for institutional investors and between €41 and €47.50 for French retail investors. Employees will be able to buy shares at between €32.80 and €38. About 10% of the shares to be sold are expected to be reserved for ADP employees.
Air Transport Assn. said it believes the US and EU can reach a new agreement on the processing and transfer of PNR data by air carriers that will not subject airlines to "conflicting demands." ATA President and CEO James May noted that Tuesday's European Court of Justice ruling invalidating a 2004 agreement on data transfer ( ATWOnline, May 31) does not go into effect until Sept. 30, giving authorities time to "find a practical solution to this issue."
Aeroflot stockholders overwhelmingly approved the previously announced purchase of 30 new regional jets from Sukhoi Civil Aircraft. Sukhoi's 75/95-seat aircraft program has lined up an impressive list of partners including Honeywell, Parker, Thales and Goodrich, with Boeing serving in an advisory role. The company also is negotiating with Boeing for customer support, warehousing of spare parts and a joint-venture training facility based in Moscow. "Up until now it's been in the role of consultant," said Sukhoi representative Svetlana Issaeva at last week's Regional Airline Assn.
Atlas Air Worldwide Holdings, parent of Atlas Air and Polar Air Cargo, received approval from Nasdaq for its common stock to begin trading on the exchange today under the symbol AAWW. President and CEO Jeffrey Erickson said trading on Nasdaq was "one of our most important post-reorganization business goals" after emerging from bankruptcy protection in July 2004.
Alaska Airlines reached tentative agreements last week with the International Assn. of Machinists and Aerospace Workers on two four-year labor contracts covering 3,700 employees. One covers 3,100 workers, including customer service and reservations agents, while the second pact covers 600 ground handlers. Terms of the deals were withheld pending ratification, which is expected to occur in voting next month.
Rolls-Royce, well aware that its foothold in the regional jet market depends largely on the continued viability of Embraer's 145 family, last week unveiled enhancements to the TotalCare support services it provides for the AE3007.
The European Court of Justice yesterday ruled that the May 2004 agreement between the European Community and the US on the processing and transfer of PNR data by air carriers is illegal.
Delta Air Lines this week launched daily Atlanta-Athens and New York JFK-Kiev flights and next week will start daily services from ATL to Edinburgh and Venice, all aboard 767-300ERs. Turkish Airlines and TAP Portugal concluded a codeshare agreement that will see TAP place its code on THY's thrice-weekly Lisbon-Istanbul service beginning July 1.
WestJet and Air Canada settled their contentious dispute over alleged corporate spying and unauthorized data collection by WestJet executives, with the Calgary-based LCC agreeing to pay C$15.5 million ($14 million)--C$5.5 million covering AC's legal costs in the matter and C$10 million to charity--and Chairman and CEO Clive Beddoe apologizing to his primary rival for "misconduct."
Transavia.com, celebrating its 40th birthday this year, achieved its 28th consecutive annual profit with a net result of €11.1 million ($14.1 million) for the financial year ended March 31. This compares to a net profit of €13.6 million in FY05, the 18.4% decline owing to a switch to EU-IFRS accounting standards. Revenues rose 15% to €597.1 million and operating costs increased 16% to €573.5 million. Cost per seat grew 6%, driven largely by fuel. Operating profit at the low-cost and charter subsidiary of Air France-KLM was €18.1 million.
News from Travel Technology Update: Expedia's chief unveiled some details of its new loyalty program, first announced in February, saying it will "react in a real-time way" to who and where customers are when they log onto the Expedia site. Dara Khosrowshahi, president and chief executive officer, told attendees at the Goldman Sachs Seventh Annual Internet Conference that Expedia hopes to launch the program by the end of the year.
Ferrovial Group upped its BAA takeover bid but the UK airports operator said yesterday that the Spanish firm still is undervaluing the company and advised shareholders to reject the increased offer. Ferrovial modified its bid to £9.73 billion ($18.09 billion), or 900 pence per share, which still "falls well short" of the "more than 940 pence per share" value of the company, BAA said. The initial bid of £8.75 billion was dismissed by BAA Chairman Marcus Agius last week as "cheap" ( ATWOnline, May 29).
Aer Lingus and oneworld confirmed yesterday that Ireland's flag carrier is leaving the alliance. The decision was approved at the airline's board meeting last week, concluding a process that began when former Aer Lingus boss Willie Walsh toyed with leaving the partnership as he began the transformation of the state-owned carrier from a network operator into a point-to-point LCC.
Bombardier reported earnings of $53 million before taxes and special items for its fiscal first quarter ended April 30, an improvement over earnings of $42 million in the year-ago quarter despite falling revenues that resulted from "lower deliveries of regional jets." The aerospace unit posted quarterly earnings of $55 million before financing charges, taxes and special items, a slight improvement over last year's $52 million that the company attributed to increased deliveries of business aircraft. The airframer received 19 net RJ orders in the quarter, including six CRJ900s ordered
Gol secured a R$75.7 million ($33.6 million) loan from the Brazilian National Economic and Social Development Bank Monday and plans to use the money to finance the building of an aircraft maintenance facility at Confins International Airport in Minas Gerais.
