Airlines & Lessors

Briefs from the October 28, 2013 issue of ATW's Skypaths

United Parcel Service (UPS) credited its successful adaptation to changing shipping preferences for is third-quarter net profit of $1.1 billion, which more than doubled net income of $479 million in the prior-year period.

Finnair has reported a third-quarter net profit of €23.5 million ($32.4 million), down 54.7% from €51.9 million in the same period last year.

Irish low-cost carrier Ryanair has announced a series of measures to improve passenger service following CEO Michael O’Leary’s recent pledge to tone down company regulations that were unduly irritating travelers.

Jazeera Airways has recorded reduced earnings in the third quarter following renewed unrest in the Middle East.

Russia’s Transaero Airlines will launch scheduled flights from Moscow to Montego Bay and Havana in the upcoming IATA winter schedule.

US airlines reported only two domestic flights with tarmac delays exceeding three hours in August; no international flights were reported experiencing with a tarmac delay exceeding four hours, according to the US Department of Transportation (DOT) Air Travel Consumer Report and the Bureau of Transportation Statistics.

Low-cost carrier Norwegian Air Shuttle has reported a third-quarter, pre-tax profit of NOK604 million, down from NOK873 million ($102.3 million) year-over-year.

The US Department of Transportation (DOT) has fined United Airlines $1.1 million for a series of lengthy tarmac delays at Chicago-O’Hare International Airport one day last year when the airport was affected by severe thunderstorms.

Leisure carrier Monarch Airlines is weeks away from a final decision on an order for 60 narrowbodies, according to comments made by group chairman Iain Rawlinson.

The US National Transportation Safety Board (NTSB) will hold a two-day investigative hearing in December on the crash of Asiana Airlines Flight 214.

A Turkish Airlines spokesman told ATW the carrier has not finalized its aircraft assessments for the 2020-2023 period after several media outlets reported the carrier is in talks with manufacturers for aircraft orders.

Russia’s Aeroflot will provide a RUB430 million ($13.5 million) loan for its Far East subsidiary Aurora Airline for initial investments.

Following the scrapping of Ireland’s air travel tax, Ryanair has announced a batch of new services starting in April 2014.

Lufthansa is ending turboprop services Oct. 26 with Italian subsidiary Air Dolomiti’s final ATR 72-500 flight from Munich to Triest, Italy, as the German-based carrier moves ahead with its restructuring program SCORE.

GE Capital Aviation Services (GECAS) has taken delivery of the first of three 777-300ERs for lease to Kenya Airways.

People

Source: U.S. Energy Information Administration.

* Ranked by reports per 1,000 passengers. Source: US DOT Aviation Consumer Protection

Korean Air has finalized an order for five Boeing 747-8Is and six 777-300ERs that was announced as a commitment during the Paris Air Show in June.

El Al Israel Airlines has finalized an order for two additional Boeing 737-900ERs, bringing the total number of orders for the type to eight.

United Continental Holdings (UCH), parent of United Airlines, is reporting third-quarter earned net income of $379 million, up substantially from a $6 million net profit during 2012’s third quarter.

Alaska Air Group, parent of Alaska Airlines and Horizon Air, has reported a third-quarter net profit of $289 million, up 77.3% compared to a net income of $163 million in the year-ago quarter.

Southwest Airlines reported a third-quarter net income of $241 million, more than doubled from a $97 profit in the year-ago quarter.

Aegean Airlines has signed a definitive agreement with Marfin Investment Group to acquire Olympic Air for €72 million ($99.2 million) in cash, and the transfer of 100% of Olympic Air shares has been completed.