British Airways flew 8.8 billion RPKs in November, up 6.3% compared to November last year, on a 3.6% capacity increase to 12.06 billion ASKs. Passenger load factor rose 1.9 points to 73.2%. The gain in traffic comprised growth of 12% in premium and 5.2% in nonpremium traffic, BA said. Cargo RTKs fell 1.9% and overall cargo load factor declined 0.5 point to 70.1%. Ryanair reported 2.75 million earned seats flown in November, up 25% from 2.19 million in the year-ago month. Load factor slipped 1 point to 82%. For the rolling 12 months ended Nov.
Iberia will bow to pressure from LCCs and begin to eliminate routes that do not pass through Madrid, MD Angel Mullor told Iberiavion. "These will be routes which only low-cost companies are going to be able to operate," he said, according to Reuters. "They have already thrown us out of six routes from Barcelona, and now in serious danger are our routes, for example, from Galicia to England where easyJet or Ryanair have started and we can't compete with them." He said domestic traffic also will evaporate "to a great extent."
Malaysia Airports wants to lift passenger spending at its showcase Kuala Lumpur International by 50%. Speaking at the Centre for Asia Pacific Aviation's 2006 Outlook Summit in Kuala Lumpur, Malaysia Airports Holdings MD Seri Bashir Ahmad unveiled a plan to improve retail offerings by finding new uses for underutilized assets, such as the possible construction of a theme park on vacant land adjacent to the airport, to boost nonaeronautical revenues.
A380 wake vortex may be a more serious issue than previously understood, according to a Nov. 10 letter from ICAO that states initial tests and modeling undertaken by both European and US authorities have "raised concerns about horizontal and vertical wake turbulence spacing criteria for approach, landing, departure and en-route operations of the A380 relative to other aircraft."
Malaysia PM Abdullah Ahmad Badawi told reporters that the government is prepared to lend money to troubled Malaysia Airlines but will not bail it out, Reuters reported. He also did not rule out selling some of the government's stake depending on the content of MAS's new business plan.
GATX Corp. will sell up to $450 million worth of older aircraft, or around 23% of its leasing portfolio, as part of a strategy to focus on "newer more profitable aircraft," the company said in a statement. As a result of the decision, it will take an after-tax noncash charge in the range of $110-$130 million in the fourth quarter, with incremental gains or losses possibly occurring as sales are completed through the end of 2006.
Cathay Pacific Airways' love affair with the 747-400 is set to continue for "many years yet," according to COO Tony Tyler. Speaking to this website after the selection of the 777 ( ATWOnline, Dec. 2), Tyler confirmed that the 777-300ERs ordered last Thursday will be used for "new services" that will include new destinations and increased frequencies. The longer-term 747 replacement for the heaviest routes at Cathay will pit the A380--which Airbus COO-Commercial John Leahy vows the airline will buy--against the born-again 747-8.
Qantas will increase its Sydney-New York service from three to five flights per week beginning Feb. 27. Ryanair will launch new routes from its Shannon base to Manchester, Wroclaw, Rome and Murcia Feb. 22 while dropping service from Shannon to Hamburg and Stockholm. It will launch semi-weekly service between Dublin and Lodz April 4. The Polish routes are the LCC's first from Ireland.
Finnair converted four options for Embraer 170s into firm orders for 190s. These are in addition to an original 2004 order for 12 170s. Deliveries of the additional jets are scheduled for 2007. Finnair still holds options on four 170s.
JetStar Asia named Neil Thompson acting CEO following CEO Ken Ryan's decision to return to Australia from Singapore. Thompson was GM-customer relationship marketing at Qantas.
Aerolineas Argentinas said in a press release that the Argentine Labor Ministry ordered the Asociacion de Pilotos de Lineas Aereas and the Asociacion de Personal Tecnico Aeronautico to fulfill their obligations on 50% of domestic scheduled flights and 75% of international flights.
US-based Flight Safety Foundation and the Aviation Safety Alliance will merge their organizations under the FSF name effective Dec. 31. FSF said the new group "will focus its dual strengths to provide the most expert knowledge to industry and media on global aviation safety issues and best practices." Susan Coughlin will step down as president and CEO of ASA but will remain on the FSF board of governors and serve in an advisory role. "This merger pulls together the best expertise in the world on aviation safety," said FSF President and CEO Stuart Matthews.
OzJet, the startup all-business-class carrier, canceled two of its eight daily flights between Sydney and Melbourne and cut fares through Jan. 9 by 18% less than a week after beginning operations ( ATWOnline, Nov. 29). Founder Paul Stoddart told The Sydney Morning Herald that he expected business traffic to decline during the summer months.
Victoria International Airline Uganda has been formed through a partnership between the Ugandan government and Arch Airways of South Africa. The new flag carrier has been registered and is expected to be operational in February with a 130-seat Fokker, New Vision reported.
Cyprus Airways' cost-cutting talks between management and staff have hit a deadlock, with the future of the national carrier hanging in the balance. According to Reuters, talks broke down when unions refused to endorse a restructuring plan that would see 20% of the airline's 1,830 staff members laid off and pay cuts imposed on those who remain. The Cypriot government, which owns 70% of the carrier, said deep cuts are needed urgently to salvage the airline, which faces losses of up to CYP28 million ($57.2 million) this year.
Plans to expand and update Los Angeles International Airport have been scrapped as part of a settlement with local civic groups and neighbors who have fought for years to stop the development.
US Transportation Security Administration is easing rules regarding carry-on items in time for the busy Christmas holiday travel period. Beginning Dec. 22, scissors with a cutting edge of 4 in. or less and tools such as screwdrivers, wrenches and pliers smaller than 7 in. will be permitted in carry-on baggage. Other work tools such as larger scissors and crowbars, drills, hammers and saws still will be banned from cabins and lighters are prohibited from both cabins and checked baggage.
Boeing engineers and technical workers ratified a three-year contract covering nearly 18,000 workers in the Puget Sound area represented by the Society of Professional Engineering Employees in Aerospace.
Continental Airlines reported strong unit revenue growth for November, with consolidated passenger revenue per ASM estimated to have increased 9.5%-10% compared to November 2004 with mainline RASM up 8%-9%. By comparison, October 2005 consolidated RASM rose 5.1% year-over-year with mainline RASM up 4%. Continental said it flew 5.6 billion RPMs in November in mainline operations, up 8% over the year-ago period. Mainline ASMs rose 6% to 7.1 billion and load factor climbed 1.4 points to 78.7%.
European Union environment ministers on Friday reaffirmed their conclusion that aircraft emissions are "a serious and growing problem" and supported the European Commission's recommendation to include the industry in the EU Emissions Trading Scheme ( ATWOnline, Sept. 28) as "the best way forward." The ministers urged the EC to bring forward a legislative proposal by the end of 2006 together with an assessment providing analysis of the environmental, economic and social impacts.
BAA beat out Hochtief and Fraport in bidding for Budapest Airport with an offering of more than HUF400 billion ($1.85 billion), Hungary's Nepszabadsag reported. Prime Minister Ferenc Gyurcsany said the winner will be picked after Dec. 7 and the deal closed by year end.
Atlas Air Worldwide Holdings said yesterday that it has identified potential cost savings and revenue enhancement opportunities with the help of a consultant that "if successfully realized, could benefit [it's] operating performance by more than $100 million over the next several years." While the potential cost savings and revenue enhancements would occur over several years, prospective savings and revenue enhancements that could be realized in 2006 and 2007 "would not be insubstantial," it added.
LTU German Airlines plans to grow at a rate of 3%-5% per year and add a new aircraft every year. Most of the growth will be on long-haul sectors on which the carrier earns around 50% of its total turnover. On the medium sectors, LTU wants to strengthen its position at its Dusseldorf base and continue with its low-fare segment, LTU City-Quickies, which operates to sun destinations such as the Balearic Islands. It has suspended thrice-daily service between Dusseldorf and Vienna.
SkyEurope announced that it will add 27 weekly flights to nine new destinations from its base at Krakow with the start of the summer season in March. New cities are Brussels, Stockholm, Edinburgh, Birmingham, Bologna, Naples, Turin, Athens and Barcelona. It currently serves seven destinations from Krakow: London Stansted, Paris Orly, Rome, Milan Bergamo, Amsterdam, Manchester and Dublin.
