Virgin Australia ATR 72-600. Courtesy, ATR Singapore-based leasing company Avation PLC has inked a contract for five ATR 72-600s plus eight options in a deal worth over $295 million (including the options). The aircraft, to be delivered in 2013 and 2014, will be operated by Perth-based Skywest Airlines (XR) on a range of routes on behalf of Virgin Australia (VA).
Germany's state-owned air traffic service Deutsche Flugsicherung (DFS) is preparing to make a bid for a stake in its British counterpart National Air Traffic Services (NATS), according to the UK’s The Sunday Times.
UTair (UT) subsidiary UTair Express (UR) will reduce its Tupolev Tu-134 and Antonov An-24 fleet significantly by 2012, when new federal aviation regulations take effect requiring all Russian aircraft to be equipped with a traffic collision avoidance system (TCAS) and an enhanced ground proximity warning system (EGPWS). The regional carrier, formerly known as KomiInterAvia, will reduce its fleet to from 28 Tu-134s to 6-8, and from 25 An-24s to 15 of the type. UR’s fleet also includes two passenger-version An-26 aircraft.
The Assn. of European Airlines (AEA) predicts its member airlines will post a €1 billion ($1.3 billion) to €2 billion EBIT loss for 2012 and is urging European institutions and the EU's 27 member states to take concrete action to improve this outlook.
Virgin Atlantic Airways (VS) and Lufthansa Group (LH) confirmed Monday they have signed a terms and conditions contract on the sale of LH’s loss-making UK subsidiary British Midland (bmi).
Jetstar Airways (JQ) has reiterated its commitment to Jetstar Pacific (BL) and dismissed erroneous claims that the Vietnam-based low-cost carrier will be absorbed as part of a proposed airline deal. BL is majority owned by the Vietnamese State Capital Investment Corp. (SCIC) and 27% owned by the Qantas Group (QF). JQ said the misleading claims stem from reports of a proposed ownership swap between SCIC and Vietnam Airlines (VN)—a swap QF has publicly said it supports. QF’s 27% stake would be unaffected by the deal.
Qantas (QF) CEO Alan Joyce is convinced the future of travel in Asia, the world's fastest-growing market, is just as much about premium airlines as LCCs. Joyce told a conference in Sydney last week that within two decades, 16% of the world's middle class would be in East Asia. ''We are convinced the future of Asia is not just about low-fares airlines travel,'' he said. ''Chinese visitors are pouring into Australia. And we know that Chinese travelers rate prestige brands and safety as among their top travel priorities.''
Two Cargolux Airlines International (CV) executives, including its former CEO, have entered into a plea agreement with the US Dept. of Justice (DOJ) in which they agreed to serve 13 months in prison for fixing surcharge rates on air cargo shipments.
Malaysia Airlines (MH) unveiled a plan to return to profitability by 2013 that includes launching a new regional premium airline, shrinking its network, focusing on costs and making aggressive efforts to win back customers.
Estonian Air (OV) has joined the European Regions Airline Assn. The carrier operates two Boeing 737-500s, two Bombardier CRJ900NextGens and two Saab 340s. This month, OV will add the third CRJ900 NextGen. In 2010 the airline carried 582,320 passengers. Etihad Airways announced a reciprocal frequent flyer agreement with codeshare partner Malaysia Airlines.
Thai Airways International (TG) expects a fourth-quarter loss of THB3 billion ($97.6 million) owing to the flooding in Thailand, TG president Piyasvasti Amranand said in an interview with the Bangkok Times.
Iberia (IB) pilots, represented by the SEPLA union, announced one-day strikes Dec. 18 and Dec. 29 to protest the company's plans to create Iberia Express.
Pinnacle Airlines Corp., the Memphis-based parent of regionals Pinnacle Airlines, Colgan Air and Mesaba Aviation, said Thursday it has serious financial issues it must address and will initiate a "comprehensive program to reduce short- and long-term costs and enhance liquidity."
Air Seychelles (HM) will slash all its remaining European routes as demand weakens and competition increases. According to CEO Bram Steller, the European economic crisis—coupled with tough competition from the Middle East—has led HM to shut down its long-haul operations. HM will stop flights from Mahe to Rome Fiumicino, Milan Malpensa as well London Heathrow from Jan 8. Services to Paris Charles de Gaulle will be reduced from 5X to 3X weekly from January and will stop completely by March 25. HM stopped flights to Singapore Nov. 24.
Austrian Airlines (OS) may have to extend its cost-cutting program as the economic outlook weakens demand ( ATW Daily News, Sept. 28). OS will save up to €100 million ($134 million) this year but this may not be enough.
Delta Air Lines (DL) signed a binding agreement to invest $100 million in GOL to gain preferred shares in the Brazilian airline and a seat on the GOL board of directors.
