Iberia (IB) and unions representing flight attendants reached an accord, averting a strike to protest the possible impact on their jobs due to Iberia Express. The 4,000 cabin crew had planned to walk out Feb. 3, 6, 10 and 13. However, the airline’s pilots are still moving ahead with their industrial action Friday and Monday ( ATW Daily News, Jan. 25).
Alaska Air Group (AAG), parent of Alaska Airlines (AS) and Horizon Air, reported 2011 net income of $244.5 million, up 2.6% from $225.1 million year-over-year, in its second consecutive year of record earnings. AAG Chairman and CEO Bill Ayer told investors and reporters that the improvement was the result of company initiatives, including “schedule optimization and network expansion, high load factors, lower non-fuel unit costs and operational performance.”
JetBlue Airways (B6) reported 2011 net income of $86 million, down 11.34% from a $97 million profit in the year-ago period because of a 49.2% year-over-year increase in fuel-related expenses, as well as debt payments and capital expenditures amounting to approximately $234 million in the fourth quarter. However, the carrier told reporters and analysts it recorded "the best fourth-quarter performance in our history," reporting a net income of $23 million, up 187.5% from the $8 million earned in the year-ago quarter.
The good news continued Thursday for the US airline industry as United Continental Holdings (UCH), parent of merger partners United Airlines (UA) and Continental Airlines (CO), reported 2011 net income of $840 million.
The management shakeup at Airbus and its parent EADS that was announced Thursday, which promotes Airbus CEO Tom Enders to chief executive at EADS, marks a follow-through on the Franco-German compromise hammered out in the 2007 summer.
Airbus chief Tom Enders will take the helm of EADS as its next CEO and Fabrice Brégier will replace Enders as Airbus CEO, the company announced Thursday.
German regional carrier Cirrus Airlines (C9) ceased operations Jan. 20, announcing insolvency at a court in Saarbrucken. German Aviation Authority Luftfahrt-Bundesamt said the financially troubled carrier was not permitted to transport passengers and freight on a regular air services basis. C9 said that all 300 employees are still working but it is unclear if and when the carrier will restart operations. One possible investor, Swiss regional SkyWork Airlines, recently ceased negotiations with C9, a source told ATW.
Krasnodar-based Kuban Airlines (GW) carried nearly 900,000 passengers in 2011, up 35% over the previous year. International traffic grew 82% to 239,000 passengers. On domestic routes, GW carried more than 660,000 passengers, up 23.5% year-over-year. Load factor grew 17.8 percentage points to 72%. In 2011, GW operated more than 5,500 flights, up 7.5% over 2010.
Boeing posted 2011 net income of $4.02 billion, up 21.5% over a net profit of $3.31 billion in 2010, as the company's Boeing Commercial Airplanes (BCA) unit increased revenue 13.6% year-over-year to $36.17 billion.
Oman Air appointed Wayne Pearce as its new CEO, succeeding Peter Hill who retired at year end. PAS Technologies has elected Tom Hutton as CEO. Hutton most recently served as VP-Pratt & Whitney Global Service Partners. Cargolux Italia has selected Pierandrea Galli as CEO and accountable manager. Galli brings over 23 years of experience with Alitalia S.p.A. and Skylink Inc.
With an eye toward the Asia/Pacific region's growing importance for the commercial aircraft leasing business, International Lease Finance Corp. (ILFC) said it will establish offices in Beijing and Singapore this year. It also named head of transactions David Nixon to the newly created post of senior VP and head of Asia/Pacific.
Iberia (IB) pilots represented by the SEPLA union plan to take strike action Jan. 25, Jan. 27 and Jan. 30 to protest company plans to create a lower-cost carrier, Iberia Express, for its loss-making medium-haul network.
Turkish Airlines (TK) has equipped its first Boeing 777-300ER with Wi-Fi Internet connectivity in all cabins and plans to expand the service to 11 777-300ERs and 10 Airbus A330-300 aircraft in its fleet “as quickly as possible.” The Istanbul-based carrier added high-speed Wi-Fi broadband Internet access to its existing live inflight television service using Panasonic Avionics Corp.’s IFE platform, Planet. TK launched live television with a variety of programming on its 777-300ER transatlantic flights in September.
Ukraine International Airlines (UIA) has expanded its fleet with a Boeing 737-300, which offers 136 business- and economy-class cabin seats. This is the carrier’s 20 th 737, it said in a statement. According to UIA, its fleet expansion program became more urgent after adopting the new strategic model of a network carrier based at Kiev Boryspil. The airline’s fleet includes a mix of 20 737-300/400/500/800s, one Fokker 50 and two Antonov An-148 aircraft.
Russian UTair airline (UT) has signed a leasing agreement with Sberbank Leasing Co., for two Boeing 737-800s and five 737-500s for five years, in a deal estimated to be worth $100 million. According to a UT statement, the aircraft were delivered at the end of 2011. Sberbank Leasing said one of its main company strategies is to strengthen positions in the aviation market. After the first nine months of 2011, the company had a backlog worth more than RUB202 billion ($6.5 billion).
New York-based Bernstein Research has cautioned that the Airbus A350 and the Boeing 787 face challenges and that doubts continue on delivery schedules and weight.
All Nippon Airlines (ANA), launch customer for the Boeing 787, operated the first scheduled Boeing 787 long-haul service Jan. 21 from Tokyo Haneda (HND) to Frankfurt (FRA).
Southwest Airlines (SWA) said it will continue to operate to 22 airports now served by AirTran Airways, over time converting flights to/from those destinations to the SWA brand.
Kuala Lumpur-based AirAsia X has announced it will fly to Sydney Australia from April 1. Sydney is AirAsia X’s fourth Australian destination after Gold Coast, Melbourne and Perth.
