Niki Lauda told ATWOnline that his low-cost carrier Niki, a partner of Air Berlin, is expecting a passenger increase from 940,000 in 2004 to more than 1 million this year. "Now we have to evaluate whether to add a sixth A320 in 2006, one year earlier than scheduled," he said. In addition, Niki, which operates from bases at Vienna and Salzburg, is looking for a third hub, which could be located outside Austria, possibly in nearby Bratislava. It flies four A320s and one A321, and after the summer season the A321 will be replaced by a new A320 from an order for 10.
Evans & Sutherland Computer Corp. announced that Lufthansa Flight Training-Berlin purchased an EP-1000CT visual system for use on a new A320 simulator ordered from CAE.
FLYi Inc. shareholders approved a request by the board of directors to effect a reverse stock split in an effort to avoid delisting by NASDAQ. The parent of Independence Air has until Nov. 23 for its shares to trade above the $1 threshold for at least 10 consecutive days. The reverse split could range from 1:2 to 1:10.
CAE shareholders agreed to the transfer of the company's head office from Toronto to Montreal, where CAE was founded in 1947. The firm employs more than 2,800 in the Montreal area and generates some $70 million into the economies of Montreal and Quebec.
Qantas denied a report in yesterday's Sydney Morning Herald newspaper that the airline "could issue a profit downgrade as early as Friday." Chief Executive Geoff Dixon said Qantas "would meet the current market expectations" for the fiscal year ending June 30, 2005.
Although US passenger airlines are enjoying record traffic, the number of people they employ continues to decline, according to the US DOT's Bureau of Transportation Statistics. BTS reported that the airlines employed a total of 451,915 workers in April 2005, 2.8% fewer than in April 2004. The seven network carriers--American, United, Delta, Northwest, Continental, US Airways and Alaska--employed 304,761 full- and part-time workers, down 6.1% from April 2004.
Emirates will invest $38.8 million to build a luxury conservation resort in Australia's Blue Mountains. According to the company, the development will be built on farmlands that currently border the Gardens of Stone National Park, with guest facilities occupying less than 2% of the total land. "We want to take this beautiful but sadly distressed rural farming site and turn it into a sanctuary to further showcase Australia to the world," said Emirates Chairman Sheikh Ahmed bin Saeed Al-Maktoum. Opening of the resort is planned for 2007.
L-3 Communications Security & Detection Systems received an order to provide New Bangkok International Airport, which is expected to handle more than 700,000 tons of cargo each year, with two CX-3800G high-energy x-ray cargo inspection systems. They will be deployed at the NBIA Cargo Free Zone IT Project with AMR Asia Co. Ltd.
Sun-Air of Billund, Denmark, signed an agreement with AvCraft Aerospace GmbH for a Dornier 328JET. Delivery is scheduled for next week. The aircraft originally was scheduled for delivery to Hainan Airlines. Sun-Air, which operates a fleet of 328s, has options for a second jet. AvCraft, which was reconstituted as a new company from the bankruptcy of Fairchild Dornier, is currently insolvent and in talks with potential buyers. Sun-Air operates as a British Airways franchise carrier.
SITA SC yesterday announced an alliance with INS, a California-based global provider of vendor-independent business and technology consulting services and software solutions, to provide the travel and transportation industry with "a broad range of technology-based professional services, managed services and software."
GoJet Airlines took delivery of the first of 10 CRJ700s on order. It has 40 options as well. The carrier, an affiliate of Trans States Airlines, will operate the aircraft in the United Express program beginning Aug. 1. It is the first to be fitted with upgraded GE CF34-8C5B1s, a derated version of the CF34-8C5 powering the CRJ900.
United Airlines late Tuesday announced it was implementing a 3% fare increase on most US domestic and international published fares, effective immediately. The increase came on the same day the price of oil briefly flirted with $60 a barrel, a new record. "With oil continuing to trade at historically high levels, all industries must act responsibly to offset rising costs. . .We are confident our customers will understand that we must take appropriate measures to mitigate our higher fuel costs," said Executive VP-Marketing, Sales and Revenue John Tague.
American Airlines said it made a $75 million contribution to its defined benefit pension plans, bringing its total contribution to the plans in 2005 to more than $200 million. AA employees, led by Chairman and CEO Gerard Arpey and leaders of the pilot, flight attendant and mechanic unions, lobbied in Washington yesterday in favor of pension reform legislation. AA noted that with its defined benefit pension plans funded at about 80%, "it has the best-funded defined benefit plans in the industry."
The labor agreement that would have permitted Air Canada to go forward with its order for up to 36 777s and 14 787s ( ATWOnline, June 21) was rejected primarily by Air Canada pilots unhappy over the integration of Air Canada and Canadian Airlines seniority lists following AC's purchase of its cross-country rival in 2000, the Air Canada Pilots Assn. confirmed Monday. Of pilots who voted, 54% opposed the agreement, which would have set pay rates and working conditions for 777 flightcrew.
Ryanair, while warning that its fuel costs will be higher than expected if oil prices stay at current levels, maintained its earnings guidance for its current financial year. The LCC is unhedged on fuel until September, but from that point it has hedging in place for 90% of its fuel needs at $47 per barrel. "If it stays at $60 through the remainder of the summer and the winter, our fuel bill will be higher than originally predicted," CEO Michael O'Leary said at a press briefing in London.
Vietnam Airlines yesterday signed a firm agreement with Boeing to purchase four 787-8s at a signing ceremony in Washington. The deal was announced in December ( ATWOnline, Jan. 4). The aircraft, valued at $500 million at list prices, are scheduled for delivery in 2009 and 2010. The agreement also includes purchase rights for 11 additional aircraft in the 2010-13 timeframe. Engine selection was not announced. The carrier plans to use the 787-8s to expand its route system and replace some existing aircraft.
Delta Air Lines and Delta Connection carrier Atlantic Southeast Airlines both will begin seasonal daily nonstop service between Salt Lake City and Steamboat Springs. ASA will operate flights on the route from Sept. 10 through Dec. 16, while Delta will operate mainline service between the cities from Dec. 17 through April 1.
United Airlines carried its 3,888,888th passenger from the US to China. It currently operates four daily services to China, flying from San Francisco and Chicago to Beijing and Shanghai.
