Air Transport

Russia’s United Engine Corporation (UEC) has made a vital step in the development of the PD-35, its largest turbofan engine.

Air France-KLM, pledging to step up its restructuring plans as it unveiled a massive quarterly loss caused by the COVID-19 crisis, said it expects capacity to remain at least 20% below 2019 levels in 2021, with a recovery to pre-crisis capacity by 2024.

A senior United Airlines executive said up to a third of the company’s pilots may be furloughed this fall, as carriers increasingly warn of the need to cut labor costs following the expiration of federal payroll support on Sept. 30.

The 737 MAX is the only Boeing commercial program slated to see its monthly production rate increase during the next few years.

Allegiant Air will furlough 275 pilots in October, after posting a $95 million net loss in the 2020 second quarter (Q2), despite outperforming its peers on a host of key metrics.

Garmin said it was returning to normal operations following a cyberattack that disrupted its web-based aviation and consumer applications for several days.

As part of its efforts to preserve cash, Singapore Airlines (SIA) will be expanding its pay cuts to all employees, ranging from 10% to 35% depending on seniority.

GLOBAL CROSSING AIRLINES says it expects in 2H20 to finalize deals to acquire 10 A320 Family aircraft, plus 5-10 converted A321Fs, for delivery

HAWAIIAN AIRLINES soald two GTF-powered A321neos (TBA) to unidentified lessor for leaseback; deal raised $114m.

AVOLON lost $162m in 2Q20 (vs $185m profit in 2Q19) on 9% lower revenues; it has owned/managed/committed fleet of 824 aircraft. It says 12 customers

WILMINGTON TRUST was appointed by Nordic Aviation Capital as its security trustee for US$6b debt restructuring.

ALLEGIANT AIR lost $105.4m in 2Q20 (vs $115.5m profit in 2Q19) on 73.5% lower revenues. It reduced 2Q20 capacity by 50.1% and anticipates 3Q20

LAX reported a year-to-year drop in pax traffic of 87.1% in June; cargo fell 9.6%.

The European Council has further reduced its list of countries from which it recommends lifting COVID-19 travel restrictions, removing Algeria from the “safe list” in its latest update.

AirAsia X (AAX) has signaled it will not resume scheduled flights until late 2020 and is cutting its fleet and network to aid its eventual recovery.

Safran is taking the opportunity of the ongoing COVID-19 crisis to accelerate the reorganization of its cabin interiors activity, aiming at making it stronger than before the pandemic.

The municipal government of Fuzhou, China, is moving to take a larger stake in HNA’s Fuzhou Airlines as part of a drive to expand local air services.

Irish lessors AerCap and Avolon have both released second quarter (Q2) 2020 financial results that reveal the initial impact of the COVID-19 crisis on their balance sheets.

Emirates Airline has notified its passengers that all travelers arriving in Dubai or transiting at its Dubai (DXB) hub must have a negative COVID-19 PCR test certificate, starting from Aug. 1.

Kenya Airways will be resuming its international passenger services on Saturday 1 August 2020 following the easing of movement restrictions as directed by H.E President Uhuru Kenyatta.

As production rates have decreased amid the COVID-19 crisis, Airbus’ suppliers are in a difficult but still viable situation, according to Guillaume Faury, the airframer’s CEO.

While many Asia-Pacific carriers have restored their domestic networks, new COVID-19 outbreaks threaten to dampen the recovery.

COVID KPIs: Deliveries

FRONTIER agreed to sell three US-assembled A320neos with LEAPs to CDB Aviation for leaseback; first (10031) delivered.

AIR ATLANTA ICELANDIC purchased ex-China Cargo 747-400F (28263) with PW4056s from GECAS for sublease to SAUDIA.