Chinese carriers earned a collective net profit of CNY 26 billion ($4.12 billion) in 2011, down 26% compared to CNY35.1 billion from 2010, according to an industry insider.
Taiwan-based China Airlines' (CI) cargo division, China Airlines Cargo, is making adjustments in its operations to cope with a challenging global economic environment.
Estonian Air (OV) carried 678,049 passengers last year, up 16.4 % compared to 2010. In December, OV carried 44,541 passengers, up 4%. “The positive results were supported by new network and improved products. Flights have been also made more affordable. The bookings for 2012 indicate similar growth figures to continue,” said OV commercial manager Rauno Parras. In 2011, OV operated 11,691 flights, up 11.5% compared to the previous year. In December, OV operated 883 flights, up 16.1% compared to the year-ago month.
Lufthansa (LH), the largest foreign carrier in Russia, will transfer its Dusseldorf (DUS) and Hamburg (HAM) flights from Moscow Domodedovo (DME) to Moscow Vnukovo (VKO) beginning June 3, according to a VKO statement. In November 2011, LH revealed plans to add VKO to its network ( ATW Daily News, Nov. 23). From March 25, LH will operate two out of six scheduled daily flights from Frankfurt (FRA), and from June 3 it will add 12 flights per week from Berlin.
Brussels Airlines (SN) will invest €30 million ($38.3 million) to revamp the interiors of its widebody fleet, comprising five Airbus A330-300 and two -200s. Business class will be fitted with full-flat beds with built-in LED mood lighting; economy seats will be equipped with the IMS Company’s innovative seat-centric RAVE inflight entertainment system.
Bombardier Aerospace named Mike Arcamone, a longtime executive with General Motors (GM) who most recently headed the company's South Korea unit, as Bombardier Commercial Aircraft's new president effective Feb. 1.
Nine African airlines have come together to purchase aircraft fuel jointly, a move the carriers believe will increase their leverage and raise the value and quality of fuel being procured.
Chile's LAN Airlines and Brazil's TAM said their planned merger under LATAM Airlines Group, expected to be completed by the end of March, will produce even more synergies than previously expected.
Malaysia Airlines (MH) is increasing its weekly frequencies to several ASEAN destinations as well as to Beijing (PEK) and Taipei from March 25. The changes are in line with MH’s business plan rolled out in December to streamline operations, focus on growth and cut losses ( ATW Daily News, Dec. 12, 2011).
Ryanair (FR) will introduce a €0.25 ($0.32) levy per passenger per segment for all bookings made from Jan.17 to cover costs incurred from the inclusion of aviation in the European Union Emissions Trading Scheme (EU ETS) ( ATW Daily News, Dec. 22, 2011). Europe’s largest LCC said it estimates the EU ETS will cost it between €15 million ($19.1 million) and €20 million this year.
Etihad Airways (EY) has finalized a $367 million sale/leaseback deal with Sanad Aero Solutions and Engine Lease Finance Corp. (ELF) to finance 23 spare engines. The transactions, which are for a 10-year operating lease, cover the financing for 16 in-service spare engines and seven future spare engine deliveries. Sanad will buy and lease back five GE90 and six Rolls-Royce Trent 500 engines. ELF will purchase and lease back six Trent 700 and six IAE V2500 engines, EY said. The spare engines are for EY’s fleet of passenger and cargo aircraft.
Aeroflot (SU) has signed a memorandum of understanding (MOU) with Russian state corporation Rostechnology to lease 50 Boeing 737 NGs, the two companies announced Thursday.
AirAsia X (D7) will suspend services to the UK and France from March 31, citing the European Union Emissions Trading Scheme (EU ETS) and escalating air passenger duty taxes.
Mexican low-cost carrier Volaris (Y4) has finalized a previously announced order for 44 Airbus A320 aircraft, comprising 30 A320neos and 14 A320 family aircraft.
Air France (AF) KLM Group on Thursday revealed its three-year “transformation plan” to bring the company back to profitability by cutting costs immediately by €1 billion ($1.27 billion) and rapidly reducing debt by €2 billion to €4.5 billion by the end of 2014.
Hawaiian Airlines (HA) has set a new company record for total passengers carried in a single year—with 8,666,319 in 2011. Its passenger statistics for December and the 2011 fourth quarter were also company records, it noted. Traffic for the full-year 2011 increased 17% year-over-year to 10.15 billion RPMs on an 18.6% increase in capacity to 12.04 billion ASMs. Load factor dipped 1.2 points to 84.3%. Fourth-quarter traffic rose 14.5% over the prior-year period to 2.61 billion RPMs on a 16.7% jump in capacity to 3.10 billion ASMs. Load factor dropped 1.6 points to 84%.
Etihad Airways (EY) and airberlin technik signed a reciprocal agreement, under which airberlin technik will undertake maintenance of EY aircraft in Dusseldorf and EY will be responsible for all transit checks on Air Berlin aircraft in Abu Dhabi (AUH).
China Eastern Airlines (MU) parent China Eastern Air Holding (CEAH) reported 2011 net income of more than CNY5 billion ($793 million), a slight increase over a net profit just under CNY5 billion in 2010.
Momentum appears to be building toward removing barriers to foreign airlines investing in Indian airlines, potentially opening up a new source of capital for the country's struggling air transport industry.
Flybe (BE) said the UK domestic market suffered an underlying sales decline of 8% in its third quarter ended Dec. 31, 2011, following a 6% drop in its fiscal first-half.
NORDAM named Albert Givray to succeed Russell Wienecke as general counsel. The retiring Wienecke will continue to serve as an external consultant to the company. AeroMechanical Services announced its president Richard Hayden has resigned, though will remain as a director, and will transition to a role within the company focused on strategic business development. It named CEO Bill Tempany as president and CEO, and Douglas Marlin as board of directors chairman.
