Air New Zealand is launching a sweeping review of its long-haul business, which will encompass everything from airline partnerships to fleet mix and aircraft configuration. The review is prompted by underperformance of the long-haul division compared with the airline’s other operations. Long-haul routes have been collectively losing NZ$1 million ($800,000) per week for the past six months, one of the main reasons Air NZ’s pre-tax profit dropped 45% to NZ$75 million for the fiscal year through June 30.
Dish Network, which recently acquired satellite operator DBSD North America as well as TerreStar Networks and their spectrum assets, is asking the Federal Communications Commission (FCC) for a waiver similar to that received by LightSquared to establish a 4G network.
American Eagle Airlines’ pilots union is negotiating with American Airlines over the conditions under which the mainline carrier would agree to continue using Eagle’s services for at least nine more years following a proposed Eagle spin-off from parent company AMR Corp.
The U.S. Travel Association, seeking a turnaround from the “lost decade” of travel in the 10 years since the 9/11 terrorist attacks on the U.S., is asking the government to abide by three principles targeted at reducing security wait times when dealing with U.S. citizens and travelers from abroad.
A desire to secure access to cheaper financing may explain why Cathay Pacific Airways has decided to establish a facility to sell bonds on the Hong Kong stock exchange. The Oneworld carrier says it has applied to the Hong Kong stock exchange for permission to issue $2 billion of bonds that would be publicly traded. Permission from the stock exchange is expected to be granted on Aug. 26 which means the airline, if it decides to, could go ahead with the program from that date, says a Cathay spokeswoman.
United Continental Holdings has unveiled a wide-ranging cabin upgrade program that expands lie-flat seating across its transoceanic Boeing 767 fleet, expedites a retrofit for some 767s and confirms the addition of Economy Plus seating on its Bombardier Q400 turboprops.
The Hungarian state is putting more money into loss-making Malev Hungarian Airlines. The government said it was willing to subscribe to a capital increase for the third time this year that will allow the airline to continue operations. The total contribution in this round amounts to HUF18.5 billion ($98.5 million). Around 10 billion will be dedicated to converting loans into equity. Another 8.5 billion will be cash contributions.
Argentina’s Tourism Ministry has joined Aerolineas Argentinas in a campaign to promote domestic destinations. The campaign centers on stands at shopping malls in Buenos Aires, Cordoba and Mendoza that will process reservations and tickets sales. “The opening of stands in shopping malls is a very important step for Aerolineas, which strives to get closer to its customers and to be aware of their needs. The signing of this agreement with the Ministry of Tourism will help to promote tourism and improve the regional economies”, says the airline’s President Mariano Recalde.
Gary Scott, who has shepherded the Bombardier CSeries through its development, is stepping down as president of the manufacturer’s Commercial Aircraft division on Oct. 1. Guy Hachey, Bombardier Aerospace president and COO, will lead the unit until a permanent replacement is found, the company says in a statement. Scott first came to Bombardier after a career at Boeing and CAE in 2004 as president of the New Commercial Aircraft Program unit. Scott has led the merged Regional Aircraft and Commercial Aircraft units since 2008.
Avic International, the international sales and marketing arm of Chinese aerospace conglomerate Avic, appears set to secure a back-door listing on the Singapore stock exchange. Reports in Singapore, quoting from financial advisors for defunct Singapore-listed company Sino-Environment Technologies (SET), say SET’s shareholders have been offered one share in Avic International Investments for every 250 shares in SET. Avic International Investments is a Singapore registered company that China’s Avic International has established.
China Eastern Airlines has become the second Chinese-based carrier within a month to take delivery of a Boeing 737-700 configured with both the recently developed high-altitude/high-temperature airport operations package and the 787-inspired Boeing Sky Interior.
The U.S. airline industry in aggregate is set to report losses this year after reporting systemwide profits last year for the first time in a decade, says Air Transport Association Chief Economist John Heimlich. Between 2001 and 2009, the 13 publicly traded U.S. airlines tracked by ATA reported $65.1 billion in losses. Last year, sytemwide profits were $2.2 billion. The industry is on track to lose $290 million this year, thanks in part to rising oil fuel costs.
The Latvian government is willing to participate in a capital increase for Air Baltic, or buy the airline back, if management—in particular the current CEO Bertold Flick—resigns. A total of 60 million lati ($122 million) is set to be injected in the airline.
Boeing plans to hold a ceremony in Everett, Wash., on Aug. 26 to mark the formal award of joint FAA and European EASA type certification of the Rolls-Royce Trent 1000-powered 787-8.
The Norfolk Airport Authority, Norfolk, Virginia will accept sealed bids until 2:00 p.m. on September 22, 2011 for a variety of ARFF equipment. A pre-bid conference will be held in the Authority’s offices at 2:00 p.m. on September 8, 2011. For a copy of the bid invitation package, contact Steve Sterling, Director of Operations, Norfolk Airport Authority, Norfolk International Airport, 2200 Norview Avenue, Norfolk Virginia 23518.
Click here to view the pdf Aircraft Operating Costs and Statistics, 12 Months Ended December 2010, Regional Jet Aircraft (Pages 3 and 4) CRJ 700 Manufacturer: Bombardier
Airbus has reached the first major milestone in its production ramp-up activity for its single-aisle fleet, with output now at 38 aircraft per month. The aircraft maker has already announced plans to boost production to 42 aircraft per month in the fourth quarter of next year to meet strong demand, and is considering a further production rate increase to 44 units per month. One of the biggest concerns is whether the aircraft maker’s supply chain can support the 44 aircraft per month output level, given other manufacturers are also raising rates.
Airlines Reporting Corp. is packaging data from U.S. airline ticket sales in a new subscription service. AeroTrend, which was unveiled at the 2011 Global Business Travel Association Convention in Denver, uses data collected since 2008 to provide weekly updates that ARC says “can be months ahead of Department of Transportation or carrier-based sources.”
Low-fare Indian carrier SpiceJet says it is not in talks with private equity firm TPG Capital for a stake sale to expand its fleet size. “The company [SpiceJet] is not in discussions with TPG for [a] stake sale and further, it cannot comment on market rumors and speculative reporting,” the country’s second- largest budget airline by market share said in a filing to the Bombay Stock Exchange Tuesday.
Air service has returned to normal in Trinidad and Tobago now that the government has issued waivers to the curfew imposed between 9 p.m. and 5 a.m. under the limited state of emergency issued Aug. 22. Some late arrivals were not permitted on the first day, but carriers such as American Airlines on Aug. 23 were expecting to operate full schedules. Local operator Caribbean Airlines says none of its flights have been affected. The limited state of emergency is expected to last at least two weeks.
Airport privatization is moving forward in Brazil after a government auction of concession rights to operate the Sao Goncalo de Amarante terminal under construction near Natal. The consortium Inframerica, made up of two South American companies, submitted the winning and highest bid of BRL170 million ($106.4 million), considerably higher than the minimum bid of BRL51.7 million. Inframerica is comprised of Engevix group, an engineering company based in Brazil, and Corporacion America of Argentina.
Introducing the Aero 100 Airfare Benchmark Index Designed for anyone with risk on the future level of airfares – for example Airlines, Banks/Credit Card Companies, Corporate Travel Managers, etc. The Aero 100 Airfare Benchmark Index tracks daily airfares within the domestic airline market. The Aero 100 delivers financial risk mitigation and protection against constant fluctuation of airline ticket prices by providing the price settling mechanism for Commodity Futures Contracts.
For Air Berlin, the clock has started ticking. Its equity has been reduced to €308 million ($443 million) from €505 million at the end of 2010, and its very survival is at stake.
