Austrian Airlines Executive Board Member and CCO Andreas Bierwirth told ATW that OS plans to reduce capacity 40% to destinations in Northern Africa/Middle East on its summer schedule.
International Airlines Group, formed by the merger of British Airways and Iberia in January, reported a first-quarter net profit of €33 million ($48.7 million), turned around from a pro forma net deficit of €243 million in the year-ago period.
Air Canada reported a first-quarter net loss of C$19 million ($19.7 million), narrowed from a C$112 million net deficit in the year-ago period, and cut domestic capacity in the face of escalating energy expenses.
Alaska Airlines and the Transport Workers Union jointly announced the carrier's 36 dispatchers have ratified a new four-year contract by a ratio of nearly 86%. The contract includes wage increases and provisions that improve quality of life issues, among other changes. A tentative agreement was reached in March ( ATW Daily News, April 5) and becomes amendable March 24, 2015.
Vueling Airlines reported a first-quarter net loss of €23.6 million ($35 million), widened from a €6.3 million deficit in the year-ago period, citing sharp increases in fuel costs and a “significant” 15% fare reduction owing to the weak domestic Spanish market and increased competition.
Copa Holdings, parent of Panama's Copa Airlines and Copa Airlines Colombia (formerly Aero Republica), reported first-quarter net income of $94.5 million, more than double the $42.6 million earned in the year-ago period, as strong sales growth more than offset a near 50% rise in fuel expense.
Lufthansa Group incurred a first-quarter net loss of €507 million ($752.6 million), widened 70.1% from a €298 million net deficit in the year-ago quarter.
Copa Holdings, parent of Panama's Copa Airlines and Copa Airlines Colombia (formerly Aero Republica), reported first-quarter net income of $94.5 million, more than double the $42.6 million earned in the year-ago period, as strong sales growth more than offset a near 50% rise in fuel expense.
Royal Jordanian confirmed to shareholders that its first Boeing 787 delivery is now scheduled for the first-quarter 2014. It was originally scheduled to take delivery of its first Dreamliner last September and now hopes to receive three in 2014 and eight in 2016 and 2017.
Lufthansa CEO Christoph Franz said Tuesday following an LH board meeting that the airline expects to be able to work through a number of challenges this year to remain profitable.
Virgin Group Chairman Richard Branson, in Australia to launch the re-branded Virgin Australia, dismissed media speculation about his departure from the airline industry. "To quote Mark Twain, the rumors are greatly exaggerated and to my dying day I will always be involved in some way with airlines," Branson told ATW on Wednesday.
SkyWest Inc., the Utah-based parent of regionals SkyWest Airlines, Atlantic Southeast Airlines and ExpressJet, reported a first-quarter net loss of $11.1 million, reversed from a $15 million profit in the year-ago period.
Virgin Blue and its associate airlines—V Australia and Pacific Blue—will be rebranded "Virgin Australia" after Singapore Airlines, 49% owner of Virgin Atlantic Airways, reached an agreement with Virgin Group Chairman Richard Branson regarding the use of the Virgin name on international services to/from Australia.
Shandong Airlines reported a first-quarter net profit of CNY169.5 million ($26 million), up 79.5% over net income of CNY94.39 million in the year-ago period.
The era of double-digit growth and profit margins probably are over for US regional airlines. But opportunities still exist for those who can find them.
Virgin Blue and its associate airlines—V Australia and Pacific Blue—will be rebranded "Virgin Australia" after Singapore Airlines, 49% owner of Virgin Atlantic Airways, reached an agreement with Virgin Group Chairman Richard Branson regarding the use of the Virgin name on international services to/from Australia.
Qatar Airways plans to acquire a 33% stake in Cargolux Airlines International, QR CEO Akbar Al Baker told reporters in Dubai on Monday. “Yes we are, 33% ... We are to sign an agreement with them, in the next few weeks. We see there are synergies. Qatar Airways would like to expand and I always said we would only be interested [in other airlines] if they are healthy and well-established,” Baker reportedly told media. He did not mention the value of the planned transaction.
IATA reported that scheduled international passenger traffic (RPKs) rose 3.8% in March compared to the year-ago period, down sequentially from the 5.8% year-over-year increase recorded in February. Capacity growth of 8.6% pushed load factor down 3.5 percentage points to 74.6%
Airbus confirmed Korean Air has ordered five A330-200s, which brings KE’s orders for the type to 30, of which 23 have already been delivered ( ATW Daily News, Feb. 27, 2009). Airbus said the A330s will be powered by Pratt & Whitney PW4000s.
Republic Airways Holdings reduced its loss for the first quarter ended March 31, but its branded flying under the Frontier Airlines banner continued to be a drag on earnings as the parent of Republic, Chautauqua, Shuttle America, Frontier and Lynx posted a loss of $22.4 million, improved from a deficit of $36.5 million in the year-ago period.
WestJet reported first-quarter net income of C$48.2 million ($50.8 million), a big increase over a C$2.4 million profit in the year-ago period, as revenue jumped 24.7% year-over-year to C$772.4 million.
Embraer reported first-quarter net income of $106.3 million under IFRS accounting standards, an almost fourfold increase from a $27 million profit in the year-ago period.
