Aer Lingus is holding meetings with its ground staff at all Irish airports to warn workers that they will be suspended if they engage in next week's revolving strike organized by Services, Industrial, Professional and Technical Union. "Aer Lingus will not tolerate action that will discommode its customers and sees no legitimate reason why services will not operate next week," said the carrier. Strikers will be suspended for "unauthorized absence from duty," airline CEO Dermot Mannion wrote in a letter to the personnel.
The lawyer representing some bankruptcy favoring Lloyd Aereo Boliviano creditors is suing the airline's U.S.-based joint-venture partner for breach of investment agreements and payment arrangements.
Teamsters head James Hoffa intends to send a letter today to UAL CEO Glenn Tilton, asking him not to spin off crucial company assets. In the letter, Hoffa says the union is particularly concerned with plans to sell the United Services maintenance division, and the Mileage Plus program. Selling off Mileage Plus would represent a short-term gain that would be detrimental in the long run. But if it is sold, the proceeds should go to restore the retirement security of UAL employees, Hoffa said.
Airbus yesterday wrapped up a very productive Dubai Air Show, during which it announced nearly 300 new orders and commitments. The manufacturer received 163 firm orders from 10 customers, and commitments for 132 aircraft from three customers. The total list value of the firm orders is more than US$28 billion, and Airbus received its largest ever order in terms of list value from Emirates, with an 81-aircraft order. The show "confirmed that Airbus is very much back on the market," said Chief Operating Officer John Leahy.
Ryanair has started legal proceedings against the European Commission for failing to act on what the low-cost carrier considers illegal state aid to Air France and Lufthansa. Ryanair lodged two separate complaints with the European Union's Court of First Instance in Luxembourg, denouncing Lufthansa's and Star Alliance's exclusive use of terminal two at Munich Airport as well as discounted domestic airport fees in France, which almost exclusively benefit Air France.
The European Commission took potshots at Boeing at a European Parliament hearing, while defending Europe's support for Airbus as resulting in "innovation, increased safety, and efficiencies in air transportation." Calling EU support for Airbus "modest," Louis Michel, EC commissioner for development and humanitarian aid, told MEPs in Strasbourg late Tuesday that Airbus has repaid 40% of the aid it has received. Moreover, this aid has not had any "impact on Boeing's ability to compete," he said.
Hyderabad-based, third-party logistics service provider Gati is entering the air cargo segment with a fleet of five Boeing 737s leased from Air India, creating the first public-private partnership in the Indian cargo arena. The first of the five freighters will operate on the Delhi-Mumbai-Bangalore-Delhi sectors. In line with the planned hub-and-spoke business model, the freighters will later operate with Nagpur as a hub. Nagpur will be a one-stop integration point for freighters from all metros.
"How can you be successful in any industry, any country, if your employees only work 59 hours a month?" Mexicana Chairman Gaston Azcarraga asked in a luncheon address at last week's ALTA Airline Leaders forum.
Mexican low-cost carriers like Volaris and ALMA continue to see opportunities for growth in the region, but are very aware of the challenges they will face because of that growth. "We have seen development of competitive trends that normally take 10-15 years to develop occur in Mexico in the course of a few years," ALMA CEO Guillermo Heredia said at a session during last week's ALTA Airline Leaders forum. The new market is one "of challenges and opportunities, but we see more opportunities," Volaris CEO Enrique Beltranena said.
British Airways yesterday admitted it has recently been operating some transatlantic flights without passengers, but said it is purely because of cabin crew scheduling problems rather than for commercial reasons. "On very rare occasions recently we have experienced a lack of availability of cabin crew for certain flights," BA said. Only 0.3% of its global schedule was affected this month. "This type of decision is not made lightly," BA noted.
More details are emerging about the operational arrangement between Brazilian carriers Ocean Air and BRA, following BRA's provisional suspension of domestic and international operations last week. The agreement, which will be in force for 120 days, essentially covers only BRA's charter flights, which account for some 27,000 passengers who bought all-inclusive vacation packages marketed through Brazil's PNX wholesale tour operators. BRA rehired 100 employees previously furloughed to work on this operation in Sao Paulo.
The chairman of the House Homeland Security Committee promised a dogged investigation of the Transportation Security Administration yesterday over an e-mail warning that reportedly tipped off airport screeners to an upcoming undercover test. "Today's hearing is just the first step in my committee's investigation," Rep. Bennie Thompson (D-Miss.) told a Capitol Hill hearing. "We will follow this investigation wherever it takes us."
Delta yesterday reiterated it is reviewing strategic options -- including a potential merger -- in response to a letter sent by shareholder Pardus Capital Management LP urging the carrier to take the lead in any industry consolidation. The carrier also flatly denied press reports of a potential merger with United.
Lufthansa Technik secured new business at this week's Dubai Air Show, inking a five-year deal with Maximus Air Cargo based in Abu Dhabi to support components on the carrier's two Airbus A300-600s. The carrier has preselected part numbers for more than 500 line replaceable units, and has access to LHT's parts pool. Engine and auxiliary power units are included in the agreement.
The European Parliament late Monday approved plans to include airlines in an emissions trading scheme, but made airline requirements far stricter than those proposed by the European Commission.
Nigerian carrier Dana Airlines plans to buy aircraft from both members of Embraer's light jet family, ordering two Phenom 100s and a single Phenom 300. The four-seat Phenom 100s are set for delivery during the third quarter of 2011, followed by the delivery of the seven-seat Phenom in 2012. Dana Airlines, which is branding itself as a low-cost carrier, plans to start flying during the first quarter next year. Earlier this week at the Dubai Air Show, Dana ordered a Bombardier Learjet 45 XR and a Challenger 605.
Airbus announced another wave of orders from Middle East airlines on the second day of the Dubai Air Show, following the hundreds of orders and commitments already unveiled by Airbus and Boeing on the first day of the show. Yemenia signed a deal for 10 Airbus A350-800s, which the airline says is part of its long-haul fleet modernization effort. The Yemeni carrier already operates four A310s and two A330-200s in its long-haul fleet. It flies from Sanaa and Aden to cities in Europe, the Middle East and Asia, and intends to expand its network in Africa.
Gulf Air has decided to completely overhaul its aircraft fleet as soon as possible. The carrier has been undertaking a broad, strategic review to chart its way ahead in the face of strong competition and weak financial performance. The Bahrain-based carrier also suffered this year when its aging Boeing 767s had to undergo emergency maintenance, taking some of the aircraft out of service and disrupting the entire network.
A new union formed specifically to represent US Airways pilots has filed a representation petition with the National Mediation Board. The US Airline Pilots Association (USAPA) was formed by pilots who were dissatisfied with efforts by the Air Line Pilots Association to reach a new contract with merged seniority lists from America West and US Airways.
Polish/Hungarian LCC Wizz Air plans to open its eighth base in Cluj, Romania, in May 2008. New service from Cluj will include flights to Budapest, Barcelona, Rome and London. The carrier yesterday moved its flights currently serving Transylvania from Tirgu Mires Airport to Cluj-Napoca, including Budapest, Rome and Barcelona. Wizz Air plans to hire 40 employees to fly its aircraft from Cluj.
Travelport, owner of the Galileo GDS and -- for 41 days in the third quarter -- of Worldspan, reported its net income rose from a $1.1 billion loss in third quarter 2006 to a net income of $165 million.
