Southwest Airlines now operates five hangars at Dallas Love Field. The carrier’s 80,000-square foot, $18.5 million new addition, under construction since November 2006, is open and performing basic checks, a Southwest representative confirmed yesterday. Southwest’s fifth hangar already has two aircraft in for A checks, the spokeswoman said, adding that the carrier can simultaneously accommodate up to three Boeing 737-700NG aircraft with winglets.
American yesterday said it is applying for code share authority with Israeli carrier El Al. The agreement would apply from Feb. 1, 2008, allowing American to put its code on El Al flights between Tel Aviv and New York Kennedy Airport, Miami, Newark and European gateways. El Al will put its code on American domestic flights out of JFK, Miami, Los Angeles, Newark and Toronto.
Flights operated by 20 U.S. scheduled airlines arrived on time some 78.2% of the time in October 2007, better than October 2006’s 72.9% but below September 2007’s 81.7%, the U.S. Transportation Dept. reported in its latest Air Travel Consumer Report. Figures compiled by Bureau of Transportation Statistics show a similar pattern in cancellations -- 1.2% of all scheduled flights were canceled in October, down from 1.9% in October 2006 but up from September 2007’s 1.1%.
Argentine commuter carrier AIR Business said it will invest US$3 million in two 19-seat Beechcraft Commuters that will be used to start scheduled service between Santa Fe and Buenos Aires, filling the gap created after Sol Airlines cut operations on that route by 50%. AB serves business travelers in the province of Santa Fe from its base in Rafaela.
Grand China Air, which is to bringing together the operations of a group of formerly independent carriers, including Hainan Airlines, has begun operations. Hainan Airlines Chairman Chen Feng predicts Grand China will be a world-leading airline and a globally known brand within five years. Hainan, headquartered in the island province that has the same name and is its major shareholder, is already the fourth-largest airline in mainland China.
The European Union and the United Arab Emirates yesterday announced a new aviation agreement that allows EU airlines to fly between the UAE and any EU member state. The agreement does not replace bilateral agreements between EU member states and the UAE, but it removes the nationality restrictions in those agreements. By doing so, the new deal brings the existing bilateral agreements in compliance with central EU law.
All-business-class carrier Silverjet saw passenger numbers increase by 10% in November from the previous month. As the airline expanded capacity, load factor dropped from 58% to 55%. The airline stated, however, that “yields continue to strengthen and forward bookings remain strong.” Silverjet will take delivery of two additional Boeing 767s next March, but has not yet said where it will fly them. The carrier launched a new service to Dubai in November.
The American Society of Travel Agents board of directors has chosen South Africa as the host venue for the 2009 International Destination Expo, and Turkey as the host for the 2010 Expo.
Rising jet fuel prices will dampen Delta’s fourth-quarter results, along with those of the rest of the industry, said president and CFO Ed Bastian at the Calyon Securities U.S. Airline Conference yesterday.
Continental said it is not yet seeing any sign of the downturn that is worrying the U.S. aviation industry, although the carrier still reduced capacity growth forecast for next year due to higher fuel prices.
Southwest yesterday reduced its capacity growth plans for next year, due to higher oil prices and concerns about an economic slowdown, and revealed its intent to speed up retirement of older Boeing 737s.
After 15 months of making superhuman efforts and forfeiting wages and benefits to keep the airline alive, workers in control of Lloyd Aereo Boliviano (DAILY, Nov. 13, 14, 15 ) were caught in a fast-closing maze of lawsuits, unfulfilled commitments, and zero resources.
United has not been dissuaded by union groups opposed to selling off or disaggregating its non-core businesses, and says the top priorities of executives is to focus on the core business.
Emirates plans to add two more markets in the U.S. in its next calendar year, said chairman and CEO, Sheikh Ahmed Bid Saeed Al-Maktoum in remarks commemorating the beginning of service between Houston and Dubai Dec. 3.
Ryanair will write down the value of its stake in Aer Lingus in the “not too distant future,” CFO Howard Millar said yesterday. The airline bought a 29% stake in its rival at EUR2.50 a share, but the value has recently been down to below EUR2. Ryanair has been trying to buy Aer Lingus in a hostile takeover bid, but was blocked by Aer Lingus shareholders and the European Commission. Ryanair has appealed the decision.
LAN this month launched Business Express Class on flights between Peru and Quito, Bogota and Caracas and plans to expand the offering to regional flights within South America next year. Similar to the model used by European carriers to cater to the special needs of business travelers on flights less than four hours long, LAN’s version will include express check-in at separate counters and through the Internet, access to VIP lounges, preferential boarding and priority deplaning, baggage delivery and other time-saving provisions.
Delta’s combination of increased international flying and domestic capacity cuts have helped make it the fastest-growing and most profitable network carrier, said President and CFO Ed Bastian at the Calyon Securities U.S. Airline Conference yesterday.
The four Latin American airlines that have gone public were all profitable in the third quarter and the year to date, reports DAILY affiliate AvNews Latin America & Caribbean . Panama’s Copa had the highest operating margin of the foursome in both the third quarter and for nine months at 17.7% and 19.8%, among the industry’s best. Chile’s LAN also recorded double-digit operating margins of 11.6% and 11.4%, respectively. TAM and GOL were both profitable, but margins were down significantly from 2006.
Four U.S. carriers are in the top 10 worldwide airlines that have implemented interline electronic ticketing, IATA data show. Northwest leads the pack with 118 IET agreements; Singapore ranked second with 109, followed by British Airways (108), Delta (103), Continental (102), Korean (94), Swiss (90), KLM (89), American (87) with Air Canada rounding at the top 10 with 83. IATA says it is on track to meet its June 1 deadline for 100% e-ticketing (DAILY, 10/1). [email protected]
