Airport operator Fraport Group yesterday reported a 17.4% jump in net profit for 2005, and predicted another "noticeable increase" in profit for 2006. Net profit was EUR161.5 million ($192 million), with earnings before interest, taxes and other items up 6.1% to EUR547.5 million. Revenue grew 4.6% to EUR2.1 billion, the first time Fraport's revenue has topped EUR2 billion.
EasyJet plans to grow capacity from Bristol by about 10% this summer after basing its ninth plane at the airport. The airline converted its Bristol service to an all-Airbus operation last year. Starting July 21 EasyJet will launch three weekly flights to Krakaw and La Rochelle and a daily flight to Toulouse. EasyJet's three weekly flights to Marseille and Rijecka are slated to start the following day.
Northwest won tentative approval from its pilots' union to fly at least 90 aircraft with 76 seats at a reduced pay scale, of which 45 could be operated by a wholly owned subsidiary, a move management desperately wanted to stay competitive with other airlines.
Northwest's members of the International Association of Machinists and Aerospace Workers (IAM) yesterday delivered a split decision on management's $190 million concession proposal. In separate voting by classification, Northwest's proposal was accepted by the 7,677-member customer service and reservations staff and the 18-member plant protection group. A similar proposal was rejected by the 5,632-member Equipment Service and Stock Clerks and the 42-member Flight Simulator Technicians and Simulator Support Specialists.
The Chile-based LAN airline network reported a net profit of $49.9 million for the fourth quarter 2005, up from $47.6 million in the same 2004 period. The fourth-quarter results included a $5.7 million one-time tax credit, which accounted for a 19.1% increase in comparable net income.
U.S. Transportation Secretary Norman Mineta says any ATC user-fee proposal will not affect recreational or sport pilots. Mineta's comments, made at a congressional appropriations hearing yesterday, echo similar assurances made at an AOPA convention last year. DOT's proposal for FAA funding is being reviewed by the White House Office of Management and Budget.
David Mandell, chief of staff to FAA Administrator Marion Blakey, this week announced he will leave the agency, and he will be replaced by a senior policy official from the U.S. Transportation Dept.
Yemenia-Yemen Airways signed a preliminary agreement with Airbus for an order of six Airbus A350-800s, the two companies said yesterday. Once completed, the order will also include options for another four aircraft. Yemenia plans to take delivery of the A350s from 2012 onwards and wants to use them on its existing long-haul network to Africa, Europe and Asia, as well as for more services to Africa.
Delta today plans to announce new regional service from New York Kennedy as part a plan to add feed for international flights and boost unit revenue. Glen Hauenstein, chief of network and revenue management, is taking a page out of the playbook he used while at Continental that successfully grew Newark into a powerful hub. Delta last week said it was cutting 21% of its weekly JFK flights in May, many of which were Song flights to Florida (DAILY, March 3).
Bangkok International Airport (BIA) handled a record 38.88 million passengers and 1.32 million tons cargo last year, an increase of 2.72% and 4.81%, respectively, from the previous year.
North American Launching Service To The Gambia. North American Airlines on June 3 will launch the first direct service between the U.S. and The Gambia with a weekly flight from Baltimore/Washington Airport that will stop over in Banjul on its way to Accra, Ghana. The airline has asked the U.S. Transportation Dept. for authority to operate from Baltimore/Washington to Banjul with or without stopovers, either directly or through third-country points, and beyond to Accra [OST-2006-24107].
Capital Cargo, "out of an abundance of caution," wants a dormancy waiver for two U.S.-Mexico exemptions it won last December (DAILY, Dec. 19, 2005), as it has yet to receive approval from Mexico to operate its scheduled all-cargo flights. Though Capital expects to win Mexican approval by March 13, when the dormancy period on the exemptions is set to expire, it wants the waiver to "ensure that its scheduled authority...will not inadvertently lapse for reasons beyond its control." [OST-2005-22149]. -ARS
Members of the U.S. House Transportation Committee are taking the Administration to task for proposing a budget that cuts Essential Air Service (EAS) program funding 54%. Late last week, the committee's ranking Democrat, Rep. James Oberstar (D-Minn.,) sent a letter to the chairman and ranking member of the Appropriations Committee and the subcommittee on transportation asking them to reject the Administration's proposal and support authorizing the full EAS funding level of $127 million.
Island Air allows passengers to check in through the carrier's web site or through new kiosks at the airport. The airline bought the software and kiosk from NCR subsidiary Kinetics. Island Air plans initially to install Kinetics TouchPort II C kiosks at its Honolulu check-in counter and the curbside, and later at its Kahului and Kona airport terminals. With the TouchPort II C kiosks, passengers can access their itinerary, check in, check baggage and print boarding passes by using a credit card. -SL
Israeli private carrier Israir will launch scheduled flights to New York from Tel Aviv, ending flag carrier El Al's monopoly on the route. If approved by the U.S. Transportation Dept., Israir would use a Boeing 767 seating 18 in first class and 242 in economy for the four-times-weekly service that would grow to six weekly flights in the summer season. El Al operates the service more than 10 times weekly in a given month.
Royal Jordanian (RJ) recently signed a deal with Lufthansa Systems to use the company's Sirax sales-based revenue accounting system. RJ's imminent membership in the oneworld alliance "necessitates a revenue accounting system that is fully compliant with the alliance's requirements." The carrier said it needed to exchange data with both oneworld members and IATA carriers outside the alliance.
Condor will remain a part of the Thomas Cook leisure group, CEO Thomas Holtrop said yesterday. Holtrop reported that the airline last year managed to complete its restructuring and posted a small operating profit again (DAILY, June 23, 2005). In the past, Condor was rumored to be on its way out of Thomas Cook, as the tour operator shifts its focus to leisure business. -JF
Hapag-Lloyd Express (HLX) plans to expand its presence on German domestic routes, said CEO Ralf Keppler. The airline sees further potential for services in the German market, he said in a recent interview. The move would put HLX not only into direct competition with Lufthansa, but also with DBA. DBA owner Hans-Rudolf Wohrl last month acquired a majority stake in LTU International Airways (DAILY, Feb. 21) and plans to combine the two carriers into an integrated alliance but not merge them. -JF
Billionaire investor and Berkshire Hathaway Chairman Warren Buffet admitted to his shareholders last week that he was "dead wrong" last year in his prediction that his subsidiary NetJets would make money in 2005.
