TO TAKE OVER IN MID-COURSE THE reins of an airline with a culture that places a high value on tradition, honor and respect for hierarchy takes courage. That is what Japan Airlines Senior VP-Finance and Purchasing Haruka Nishimatsu had to do in early 2006 as the company was riven by dissension in the senior ranks while simultaneously confronting a spate of embarrassing operational incidents, some with implications for safety. Nishimatsu, who had joined JAL in 1972, was named president and CEO, becoming the third person to hold the position in just 18 months.
FINALLY, THE END IS IN SIGHT FOR the biggest--and longest--airport capital improvement program underway in the US. Miami International's new North Terminal, the last piece of the airport's $6 billion-plus modernization that began in 1992 and already has produced a 28-gate, 1.7-million-sq.-ft. South Terminal, a fourth runway and expanded cargo, parking and road facilities, is on track for completion in 2011. When this reporter last visited MIA in late 1999, the target date was 2007--and even that was four years later than previous estimates.
Aer Lingus Group appointed Colm Barrington chairman. Airbus promoted Andy Shankland to head-worldwide marketing, Stefan Schaffrath to head-media relations, Maggie Bergsma to deputy head-media relations, Chris Jones to VP-sales-Airbus Americas and Mary Prettyman to VP-marketing-Airbus Americas. Air France KLM elevated Francoise Dessy to communication mgr.-Europe & North Africa. Air Pacific promoted Jona Sevura to mgr.-government & industry affairs.
IF TUI TRAVEL CONSOLIDATED ITS SEVERAL AIRLINES, IT would rank just behind British Airways as Europe's sixth-largest carrier in terms of passengers and 18th on ATW's list of the world's Top 25. The group's airlines enplaned 33 million passengers in 2007, RPKs topped 88 billion and they flew 99 billion ASKs for a TUI-wide load factor of 88%.
EU and India signed a horizontal aviation agreement that brings the 26 bilateral agreements India has with individual EU members into conformity with Community law. With nearly 5.7 million passenger traveling between the EU and India last year, India ranked 11th in passenger traffic between EU and non-EU countries. Over the past three years, EU-India passenger traffic has increased 75%.
Air One will suspend its recently launched five-times-weekly Milan Malpensa-Boston service from Oct. 6 until April 4, 2009. Brussels Airlines will add a fourth daily Brussels-Manchester on Oct. 26.
Japan Airlines yesterday said it is canceling cargo flights between Tokyo Narita and New York JFK from Oct. 1, part of a reduction in freighter services for the second half of its fiscal year ending March 31. "The airline is currently facing a tough environment, particularly in terms of its North American freighter business," JAL said. "Even though the price of fuel has stabilized, it has remained at a very high level.
Global Infrastructure Partners, a Connecticut-based investment fund, said it has entered into a definitive agreement to acquire AIG-Financial Products' 50% interest in London City Airport. The transaction is expected to close in October.
AirAsia CEO Tony Fernandes said the airline is "much closer to achieving our dreams of boosting the growth of Kuala Lumpur as the low-cost hub in Asia" as the LCC announced the addition of four additional daily KUL-Singapore flights beginning Dec. 1.
Foreign ownership rules and cabotage rights were key topics of discussion during EU-US Phase Two open skies negotiations last week in Washington, according to European Commission Director-Air Transport Daniel Calleja. Briefing reporters before departing Washington, Calleja said the second-stage air transport services agreement being negotiated "is about unfinished business" from the first-stage EU-US accord that kicked in on March 30 ( ATW, March 2008).
Kenya Airways will launch thrice-weekly Nairobi-Guangzhou on Oct. 28 using a 777-200ER. AirBaltic will launch flights from Riga to Amsterdam (daily), Hannover (five-times-weekly), Tampere (twice-daily) and Dubai (twice-weekly) on Oct. 26. It will offer 49 routes from Riga and 14 from Vilnius during the winter schedule.
UK CAA yesterday released its response to the Competition Commission's provisional report on airport services and BAA's decision to sell London Gatwick, saying it "strongly supports" the CC's recommendation that BAA sell three airports and that the move "can be expected to significantly increase competition between airports in the South East and Scotland, to the benefit of passengers, airlines and the wider UK economy." It said the sale of LGW is "an important first step to realizing these benefits" and that the CC should reject BAA's contention that "airports cannot compete when their
British Airways CEO Willie Walsh described London Mayor Boris Johnson's idea to replace London Heathrow with a new facility on an island in the Thames as "madness," Bloomberg News reported. Johnson has said he believes LHR is "a 1950s planning error" and vowed during his successful election campaign to review the feasibility of a new four-runway airport east of London. "It's not going to work," Walsh said at the World Low Cost Airlines Congress in London. "It's a distraction to a tough decision that has to be made in relation to Heathrow airport."
Singapore Airlines will commence four-times-weekly Singapore-Dubai-Riyadh on Dec. 14 aboard 777-200s. SIN-Dubai-Istanbul Ataturk will increase to six-times-weekly from four. Royal Jordanian will resume service to Brussels after five years, launching a twice-weekly flight from Amman on April 1 with an A319. Blue Air will commence twice-weekly Brussels-London Stansted on Oct. 23, becoming thrice-weekly Dec. 11.
Ryanair will reduce its presence at London Stansted this winter from 42 aircraft to 28, the LCC confirmed, although it remains confident it can meet its target of growing passenger numbers in the year ending March 31, 2009, by 14% to 58 million.
Saudi Arabian LCC Sama announced a reduction in its domestic schedule and the possibility of suspension of all domestic service, saying that "it is impossible. . .to make money on domestic routes despite high passenger demand and full aircraft" because of a fixed economy fare cap that prevents the airline from adding fuel surcharges.
Hungarian real estate developer Biggeorge's Holding announced plans to build a new airport in Szekesfehervar about 60 km. southwest of Budapest, in a statement cited by Reuters. Alba Airport is scheduled to be operational in the first half of 2010 and "will cater primarily to low-cost, charter and other airlines serving European point-to-point destinations, offering an alternative to Budapest [Ferihegy]," it said.
British Airways said yesterday that it has cancelled its six-times-weekly London Heathrow-Islamabad service in response to the Sept. 20 Marriott hotel bombing in the Pakistani capital that killed at least 50 people. "In light of the security situation in Pakistan, British Airways has cancelled its flights from Islamabad to Heathrow indefinitely," it said. "The safety and security of our customers, our staff and our operation is always our absolute priority."
US Dept. of Transportation yesterday tentatively granted Oregon-based Evergreen International Airlines authority to operate six weekly roundtrip cargo flights between New York JFK and Shanghai from March 25. Flights would make stops at Chicago O'Hare, Dallas/Fort Worth and Columbus. Evergreen is scheduled to take delivery of three 747-400BCFs next year. FedEx, Northwest Airlines, Polar Air Cargo and UPS are the four US carriers that currently have US-China freighter rights.
Lufthansa Consulting signed an Air Service Development contract with Moscow Sheremetyevo. SVO handled 14 million passengers in 2007 and announced 10% year-over-year passenger growth in the first six months of this year.
US National Transportation Safety Board is investigating a runway incursion in which a Mesa Airlines CRJ700 carrying 60 passengers narrowly missed colliding with a Cessna 172 at Lehigh Valley International in Allentown, Pa., on Sept. 17. The incident occurred at approximately 7:45 p.m. Night visual meteorological conditions prevailed. According to NTSB, the 172 was on a landing roll on Runway 6 when the pilot was instructed to exit at taxiway A4. The CRJ had been instructed to position and hold on the same runway and was then given clearance by the same controller to take off.
Turkish Airlines will launch thrice-weekly Istanbul-Baghdad flights from Oct. 26, restarting service that was suspsended during the 1991 Gulf War. Several charter and cargo operators are operating flights to the Iraqi capital and Royal Jordanian operates flights from Amman. Jetstar announced an expanded flight schedule from Oct.
Pacific Blue Airlines, the regional international arm of Virgin Blue Australia, announced a major drive into Asia with plans to launch 11 weekly flights from Adelaide, Brisbane and Perth to Denpasar. The new services will start from Dec. 1 and will be the first to link Adelaide and Brisbane directly with the provincial capital of Bali, a popular tourist destination for Australians. Pacific Blue currently operates 62 weekly international flights from Australia's east coast to New Zealand and the South Pacific.
Singapore and Japan Friday announced an expanded air services agreement that will nearly double the number of passenger flights Singaporean airlines can operate to Tokyo and also allow carriers from both nations to operate unlimited passenger and cargo flights between Singapore and all cities in Japan other than Tokyo. Under the agreement, according to the Civil Aviation Authority of Singapore, Singaporean carriers will be allowed to operate four daily flights between Singapore and Tokyo Haneda from October 2010.
