Reported plans to streamline the ownership structure of EADS are unlikely to “materially improve corporate governance issues at the aerospace company,” according to Fitch Ratings.
SAS Scandinavian Airlines has secured an agreement with its Danish pilots’ union, the last labor accord it needed to obtain a loan that will help save it from bankruptcy. The new Danish pilots’ collective agreement was the last of eight union accords SAS scrambled to conclude so that it could meet the requirements of an SEK3.5 billion ($515 million) revolving credit facility from banks and core shareholders ( ATWDaily News, Nov. 19).
Brazilian low cost carrier GOL is closing down its Webjet subsidiary, returning all 20 of the carrier’s Boeing 737-300s and laying off 850 employees. Announcing the closure Friday, GOL said, “Webjet has an operational model based on a fleet that mostly consists of aging Boeing 737-300 aircraft that are advanced age, technologically out of date and consume large amounts of fuel. Given the Brazilian sector’s new cost standards, this model is no longer competitive.
Ryanair (FR) will cut its flight schedule at Budapest Airport (BUD) by 40% following its latest spat with the airport’s operator over the cost of services. The Irish low-cost carrier will cut 10 routes and reduce the number of flights to and from the Hungarian capital from 280 to 170 a week because of what it says are increased charges and inefficiencies at the airport.
KLM will launch a twice-daily scheduled service from Manston Airport (MSE) in Kent, Southeast UK, to Amsterdam Schiphol, further consolidating its position as a significant player in the UK regional market.
Indian carriers Jet Airways (9W) and SpiceJet (SG) have reduced their losses in their second quarter (July-September), improving performance over the same period last year. Kingfisher’s (IT) losses, however, mounted as the airline operated on a limited schedule before it suspended operations.
Investec Aviation Finance has launched a new global aircraft fund to enable institutional investors and pension funds to invest in aircraft that are leased to airlines globally.
Swiss WorldCargo has reorganized its management structure into two main markets: Europe and Africa as one group, and Americas, Middle East and Asia as the other. Lalin Sabuncuoglu-Janssen, currently head of Europe, becomes VP-Europe & Africa, while Ashwin Bhat, VP-Europe & Africa, becomes VP-Americas, Middle East & Asia. Jack Lampinski, senior director of the Americas, retains his title. Susanne Wellauer becomes manager-SWISS Mail, formerly sales manager in the Basel district.
Algiers-based Air Algerie signed a memorandum of understanding (MOU) with six other Arab Airlines for cooperation in maintenance and exchanging spare parts as well to create specialized maintenance centers, news agency Algeria Press Services reported without giving more details of the air companies. The MOU also includes airlines from Egypt, Saudi Arabia, Qatar, Kuwait and the United Arab Emirates.
United Airlines (UA) was not responsible for alleged airport security lapses in the lead up to the 9/11 hijacking of an American Airlines aircraft that was deliberately crashed into New York’s World Trade Center, Reuters and other news agencies reported Wednesday. According to Reuters, U.S. District Judge Alvin Hellerstein granted a request by UA and parent United Continental Holdings to dismiss negligence claims brought by Larry Silverstein, leaseholder of the World Trade Center property (WTCP).
Chinese carriers reported a collective net profit of CNY2.33 billion ($373 million) in October, down 39% compared to the net income of CNY3.82 billion for the same period last year.
Air France (AF) chairman and CEO Alexandre de Juniac told ATW the company would like to have Air Berlin (AB) as a partner to cover AF’s weak presence in Eastern Europe, although he did not give a timeline. “This depends also on Etihad (EY)," a majority shareholder in AB, he said.
United Airlines (UA) is set to get more flexibility with the types of aircraft it can operate under a tentative agreement reached with UA and Continental Airlines (CO) pilots represented by the Air Line Pilots Assn. (ALPA) union.
US Airways (US) flight attendants, represented by the Assn. of Flight Attendants-CWA (AFA) on Tuesday voted for strike authorization, seeking a single contract for all US flight attendants seven years after the merger with America West Airlines (HP). The 6,800 US flight attendants voted 94% in favor of strike authorization.
German carrier Air Berlin (AB) has detailed plans to revamp its network to better-align its schedules with Etihad, American Airlines (AA) and its other oneworld partners.
AviancaTaca Holdings has posted a third-quarter net profit of COP$101 billion ($55.6 million), up 14.8% year-over-year, on revenues of COP$209.2 billion, up 3.5%. Operating profit was down 12% to COP$209.2 billion, mainly due to fuel price hikes of 9.9%.
Ethiopian Airlines (ET) CEO Tewolde Gebremariam believes Chinese carriers could be on the cusp of seeking greater cooperation and equity ties with African airlines.
Malaysia Airlines (MAS) has reached agreement with state-owned Turus Pesawat for a financing arrangement of up to MYR5.311 billion ($1.72 billion) to purchase eight Airbus aircraft. The bond will fund the acquisition of six Airbus A380-800s, one A330-200F and one A330-300. MAS took delivery of its third A380 on Nov. 15, part of its current order for six ( ATW Daily News, May 30).
