Austrian Regional carrier Styrian Spirit shut down operations Friday, stranding hundreds of passengers, and subsequently declared insolvency. The Graz-based airline had been hopeful of securing a potential partner who would have injected €5 million ($6 million), but the deal fell through and 152 employees will lose their jobs. CEO Andreas Roesslhuber told ATWOnline a few days prior to the closure that the carrier needed €6-€9 million in fresh capital. Total debts are estimated at around €44.4 million.
Unisys Corp. said Air China chose the Unisys Logistics Management System to manage its air cargo operations. Under a five-year agreement, Unisys also will be providing hosting and integration services and working closely with Air China on customization of services for the Chinese domestic marketplace as well as the implementation and cutover expected in March 2007.
Avexus announced that Kitty Hawk Aircargo selected Avexus software solutions--hosted centrally through the Internet-based Avexus Hosted Solution Environment--to manage the end-to-end maintenance operations of its fleet. Included are Avexus Asset Management & Operations as well as its Maintenance, Repair & Overhaul software solutions. Additionally, the solutions will provide performance reporting and analytics.
SITA said a new Web-based check-in application it developed for Swissport went live with launch customer Swiss International Air Lines Friday. Under a year-old alliance between Swissport and SITA, the ground handling company is introducing Swissport branded self-service check-in kiosks on both sides of the Atlantic that are programmed to serve up to 60 airlines.
Air New Zealand launched a three-times-weekly A320 service to Adelaide. The "born again" New Zealand airline, in a swipe at Qantas, is claiming Adelaide residents will have one of the fastest connection times to Los Angeles and San Francisco. On the SFO service from Auckland, ANZ is using its new 777s, while the LAX service is operated by 747s that have been upgraded with the airline's new interior featuring lie-flat seat-beds and premium economy products.
CAE was awarded a five-year contract by JetBlue to maintain four A320 simulators, two Embraer 190 simulators and six flight training devices that CAE already has sold to the airline. In addition, CAE will provide maintenance services for two evacuation trainers also located at JetBlue's Orlando training center. CAE valued the contract at approximately C$17 million.
Mesa Air Group yesterday announced the name and launch date of its new Hawaii-based inter-island carrier. The airline will be called go! and will commence operations June 9, flying regional jets and charging one-way fares of $39. "We are delighted to initiate service in Hawaii. Our goal is to provide local families, friends and business people with a fun, high-quality and low-cost airline for travel between the islands," Mesa Air Group Chairman and CEO Jonathan Ornstein said in a statement.
Rockwell Collins said its SAT-2100 high-speed data satellite communication system was selected as a supplier-furnished equipment option on the A320 family. Certification, expected in January 2007, will mark the first Airbus certification for the SAT-2100.
CIT Group placed a $165 million order for CFM56-5B installed and spare engines to power 12 firm A320 family aircraft scheduled to begin delivery in 2007.
MASkargo, Malaysia Airlines' cargo operation, took delivery of its firm 747-400 freighter from Boeing earlier this week. It will receive a second later this year.
BWIA West Indies Airways appointed Peter Davies CEO effective March 17, replacing interim CEO Nelson Tom Yew. Davies most recently was CEO of SN Brussels Airlines. Prior to joining SN Brussels, he spent 14 years at DHL.
IATA halved its loss forecast for 2006 to $2.2 billion from a previous forecast of $4.3 billion and now expects the world's airlines to earn $7.2 billion in 2007, increased from earlier estimates of a $6 billion profit next year. The improvement is being driven by events in North America and particularly the US, where a 3% reduction in domestic capacity coupled with strong traffic is producing double-digit unit revenue growth. IATA now expects US carriers to lose $5.4 billion this year, down from $10.4 billion in 2005.
Emirates will go to double-daily service between Dubai and Paris Charles de Gaulle from March 26, up from 12 flights per week currently. The additional frequencies will be operated by an A330-200 configured for 237 in three classes. Jet Airways will introduce a second daily flight on the London Heathrow-Mumbai route from July 10. Jet also operates a daily Delhi-London service using A340-300s leased from South African Airways.
World Airways pilots, represented by the International Brotherhood of Teamsters, ratified a three-year contract by a vote of 242 to 132. Pilots and company officials reached a tentative agreement Feb. 5.
KLM uk Engineering, a subsidiary of KLM Engineering & Maintenance, signed an exclusive five-year, €15 million contract with TNT Airways for heavy maintenance of TNT's BAe 146 fleet. The agreement is a renewal of a current contract and extends the number of aircraft covered to 21.
Lufthansa Group overcame the effect of soaring fuel prices that added €843 million to expenses, along with tough competition from European low-fare airlines, as it reported net earnings for 2005 of €453 million ($547 million), up 12.1% over earnings of €404 million in 2004.
Prospect of a merger between state-run Indian Airlines and Air India gained momentum with Indian Prime Minister Manmohan Singh signing off on development of a strategy for the combination, according to Indian Express. The newspaper reported that Civil Aviation Minister Praful Patel briefed Singh yesterday and outlined scenarios including merger.
Industrial action is brewing at Malaysia Airlines over the government's recent decision to allow AirAsia to take over most of the national carrier's loss-making domestic routes. MAS unions are threatening picket-line action, which may escalate. The unions fear that up to 7,000 staff may lose their jobs. The move to allow AirAsia access to all MAS routes has been on the table for more than 18 months as the LCC posts solid profits while MAS struggles to find blue skies.
Swiss International Air Lines' fourth-quarter loss narrowed to CHF97 million ($74 million) compared with CHF123 million a year earlier, Bloomberg reported.
British Airways yesterday said it wants to raise the retirement age for staff as one of a series of measures aimed at easing its pension obligations. The airline currently has a pension deficit liability of £1 billion ($1.75 billion) in its New Airways Pension Scheme. It said it will make a payment of £500 million into the plan once the changes are accepted by unions.
Lufthansa beginning April 3 will expand its betterFly €99 return fares being offered from Hamburg to the rest of Germany for travel within Europe. The offer applies to all LH nonstop flights from any German airport to any destination in the EU, Switzerland, Norway and Turkey, a total of 181 routes to 76 points in 25 countries.
GA Telesis was awarded a servicing contract to manage and remarket more than 50 aircraft including 747-200s, 757-200s, 737-200s, 727-200Fs, MD-82s, DC-9-30s, DC-10-30s and Super 27Fs on behalf of Aviation Refinancing Transaction. The five-year contract also includes 70 spare engines.
Lufthansa named Stephan Gemkow CFO effective June 1. He is a member of Lufthansa Cargo's executive board and is responsible for finance and human resources. His term will last three years. Predecessor Karl-Ludwig Kley resigned earlier this month to take a position at Merck ( ATWOnline, March 14). Deutsche Lufthansa Senior VP-Corporate Finance Roland Busch will succeed Gemkow at Lufthansa Cargo.
