Southwest Airlines’ new cabin refurbishment program, which adds another row of seats to each of the carrier's Boeing 737-700s, will give the airline additional revenue capabilities on each frequency as it reduces the number of aircraft in its fleet.
In a court filing that is more about the future than the present, an association representing U.S.-based global distribution systems (GDSs) and online travel agencies is defending the U.S. Transportation Department’s right to force airlines to include all government-imposed taxes and fees in their advertised prices.
AMR Corp.’s commitment to its pension obligations appears to be weakening after the company contributed a mere 6.5% of a $100 million payment due earlier this week. “On Jan. 15, AMR failed to make a $100 million payment to fund its pension benefits. This is a disturbing development, as the airline has more than $4 billion in cash,” says the Pension Benefit Guaranty Corp. (PBGC) in a statement issued Jan. 19.
The European Aviation Safety Agency (EASA) is ordering inspections of relatively high-cycle A380s to assess the extent to which a new set of wing cracks is affecting the Airbus fleet. The inspections and potential repairs could impact A380 operations, although so far the damage prompting the EASA airworthiness directive has been found only on two of nine aircraft inspected. The culprit is an L-shaped bracket that attaches the wing skin to the ribs.
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A new privately owned airline, Eaglexpress Air Charter, is planning to start Boeing 747-400 operations in Malaysia as early as next month, assuming its air operator certificate (AOC) is approved. [The AOC] "hasn’t been approved yet, but they have been issued with a service permit for provisional approval,” says Mohd Yunus Charlie Charrington, director of air transport within Malaysia’s department of civil aviation. “They have to pass a technical audit before they are issued with an AOC and certificate of airworthiness.”
Several international carriers are threatening to reduce or eliminate service to Indira Ghandi International Airport (IGI) because of a dramatic increase in fees proposed by the facility’s operator, Delhi International Airport Pvt. Ltd. (DIAL)
President Barack Obama issued an executive order yesterday that aims to boost travel and tourism to the U.S., and later in the day in a speech at Walt Disney World, he outlined how the administration plans to improve the process for issuing visas. The news cheered the airline and travel industries, which long have said easing U.S. visa policies would boost travel to the U.S. and benefit the economy.
International Civil Aviation Organization (ICAO) Secretary General Raymond Benjamin’s comments that the organization is studying market-based measures to combat aviation’s carbon dioxide emissions encouraged environmentalists and raised questions as to what those measures might be. Benjamin would not answer what proposals ICAO is studying (Aviation Daily, Jan. 18), but ICAO previously outlined the systems it has considered. These include emissions trading, government levies and carbon offsetting.
New flight time limitation (FTL) rules proposed by the European Aviation Safety Agency (EASA) have elicited varied responses from industry. The Association of European Airlines (AEA) generally welcomed the new regulations, while the European Cockpit Association (ECA) and some pilot unions said they are concerned the new proposals are not going far enough.
Japan Airlines has confirmed that it will be switching its Tokyo-Singapore flights to Boeing 787s late this year. In its latest route plan, JAL has scheduled 787s to take over its daily Tokyo Haneda-Singapore and Tokyo Narita-Singapore flights from September. Both routes are currently served with 767-300ERs. In addition, a second daily Narita-Singapore flight will be added on Oct. 28, also operated with 787s. This will give JAL three daily Singapore flights from the Tokyo airports.
Bernard Gustin, co-CEO of Brussels Airlines, has been elected chairman of the Association of European Airlines (AEA). He succeeds Virgin Atlantic CEO Steve Ridgway, who headed the organization in 2011. “Our focus for the coming 12 months will be on removing inefficiency from the system and driving external costs down. As a key priority, we urgently need member states to deliver on their Single European Sky promises,” Gustin says. But as we enter 2012, the political focus is sadly dominated by tensions over aviation’s inclusion in the EU Emissions Trading System.
In a bid to bring in money and expertise to help its ailing aviation sector, India’s civil aviation ministry has proposed allowing international airlines to acquire stakes of up to 49% in the country’s airlines. “We all know the aviation industry is facing a lot of stress,” says Civil Aviation Minister Ajit Singh. “FDI [foreign direct investment] is one of the factors that will help the sector in this financial stress.”
Salt Lake City International Airport will be drastically remodeled under a $1.8 billion, 12-year program unveiled by the city’s mayor. The renovation will use an undeveloped apron west of the current airport to build a new terminal and concourse before proceeding with a light rail system and parking garage. The new terminal, South Concourse West and the parking area are scheduled to open in 2018, the year before demolition of the existing two terminals and parking area begins.
None of four foreign manufacturers has yet dropped out of talks with Chinese fighter builder Avic Aviation Techniques (AAT) aimed at joint development and manufacture of business jets. It is unclear, however, whether all of the bidders are keen to participate in the whole program proposed by AAT—transfer of a current business jet production line to the company’s Chengdu works and joint development of a large new aircraft, with considerable technological transfer.
Bolstered by record orders, turboprop-maker ATR plans to step up production quickly to keep pace with demand. ATR this year expects revenue to jump to $1.6-1.65 billion, and rise to $1.75 billion in 2013 and $2 billion “in the near future.” In 2011, revenue topped $1.3 billion, and the company expects an earnings margin for 2011 of 8-8.5%, with cash flow of $150-160 million. The goal is to keep margins at similar levels, although a planned increase in output will put that under pressure.
Etihad Airways reduced its order for Airbus A350-1000s by six aircraft. Airbus lists 19 firm orders for the type from Etihad, down from 25 the airline originally ordered. The Abu Dhabi-based carrier stated that the 25 options and purchase rights it holds in addition to the firm order will remain in place and will “no doubt play a crucial role in the airline’s growth.” Etihad could not immediately be reached for further comment.
Click here to view the pdf Top Carriers: San Diego-San FranciscoYear Ended Second Quarter 2011, Ranked By Passengers Top Carriers: San Diego-San Francisco Year Ended Second Quarter 2011, Ranked By Passengers Pax Daily Pax Rev
President Barack Obama today is expected to speak about the need to increase the number of foreign visitors to the U.S. and to streamline U.S. visa procedures at an appearance at Walt Disney World in Orlando, Fla. The speech is expected to highlight administration policies on increasing the number of visitors from “strategic countries,” including Brazil, India and China, says Blaine Rothmeier, U.S. Travel Association senior VP-public affairs.
The top executive at Cessna Aircraft’s parent company says the struggling business jet manufacturer needs to stay focused on its core market of small- and medium-sized aircraft and dismisses talk it could revive a project to develop a larger jet anytime soon.
