The economic environment has not been kind to Europe over the last couple of years, and in 2011 Lufthansa Systems took steps to realign the company not only for significant cost reductions but for an equal amount of revenue growth as well. It reorganized into profit centers that are defined by the customer base. The commercial division has focused on tools that help airlines boost their own revenues, Stefan Auerbach, senior vices president of airline solutions, said.
The Qantas Group (QF) announced it will split the carrier’s international and domestic operations into two distinct businesses as part of its five-year transformation plan launched in August 2011.
Southwest Airlines (SWA) has reached a tentative agreement with Delta Air Lines (DL) and Boeing Capital Corp. to sublease all 88 AirTran (FL) Boeing 717 aircraft to DL, transitioning three aircraft per month over a three-year period beginning in the second half of 2013.
Sweden’s Skyways Express (JZ) and subsidiary City Airline (CF) have stopped all flights and will file for bankruptcy, according to a statement on their website. CF was acquired by JZ last November.
Indian flag-carrier Air India’s (AI) long-haul flights on international routes continued to be crippled as the pilot strike enters the 15th day, overshadowing the carrier’s Boeing 787 delivery later this month.
Bogota-based AviancaTaca Holding (AV), parent of Avianca, TACA, Aerogal and Tampa Cargo, reported a first-quarter net profit of $34.9 million, up 47.3% compared to the year-ago quarter.
SR Technics named Andy Best head of Line Maintenance International, taking over from Antoine Gervais who becomes head of Operations Development. Line Maintenance International will now become an independent business unit. Vueling promoted director-quality and safety inflight Fernando Val to COO and director-revenue Julio Rodriquez to director-network planning, revenue management and distribution.
Interjet, the launch airline of the Sukhoi Superjet 100 in Latin America, said it will continue with plans to incorporate the aircraft into its fleet, with first deliveries to begin by the end of the year.
Irish-based low-cost carrier Ryanair (FR) has announced a 25% leap in annual post-tax profits to a record €503 million ($641 million), compared to €401 million in the year-ago period.
Mexicana Airlines (MX), which suspended operations under severe financial distress in August 2010, may relaunch operations June 9 after Spanish hotel and air transport group Med Atlantica acquired 95% of the bankrupt carrier’s shares
Air China (CA) has launched Beijing Airlines after a one-year trial operation to enhance its position in the fast-growing domestic business aviation market
Delta Air Lines (DL) said will cut capacity by 5% on transatlantic routes in the fourth quarter as a “proactive measure” against high fuel costs and a weakening euro. It will also reduce Pacific capacity by 1%-2%.
Leaders of the 12,000 ALPA-represented pilots at United Continental Holdings (UCH) have called for a strike vote after failing to reach a contract agreement through two years of post-merger negotiations.
A US bankruptcy court approved Delta Air Lines’ (DL) $74.3 million in debtor-in-possession (DIP) financing for Pinnacle Airlines Corp., a significant provider of regional service for DL.
MTU Aero Engines Holding AG has named Melanie Wolf as head of press and PR, succeeding Odilo Mühling, who retires May 31. Wolf joins MTU from Eurocopter where she served as spokesperson. PASSUR Aerospace promoted Tom White to EVP-ops, and Renee Alter to VP-airports. It also hired Bill Leber as VP-air traffic innovations.
Fiji’s national carrier Air Pacific (FJ) has announced it will rebrand as part of its restructuring efforts, returning to the name Fiji Airways, under which it operated from 1958-1970.
Oneworld member Air Berlin (AB), Germany’s second largest carrier, reported a first-quarter net loss of €102.9 million ($132.4 million), narrowed from a loss of €120.6 million in the year-ago quarter.
Chinese carriers earned a collective profit of CNY1.84 billion ($290.5 million) in April, down 46%, from a net income of CNY3.4 billion in the year-ago month.
