Despite a successful year in which it rebounded from a €34 million 2009 loss to earn a €1.1 billion ($1.53 billion) net profit in 2010 (ATW Daily News, March 18), Lufthansa Group Chairman and CEO Christoph Franz conceded last week in a letter to shareholders that the performance of LH subsidiary airlines was "mixed."
Taipei-based China Airlines plans to introduce a strategic investor to help fund fleet expansion as air traffic across the Taiwan Strait increases, according to widespread news reports from Hong Kong.
Air New Zealand criticized Qantas and the New Zealand Commerce Commission over press releases issued Friday related to the Australian airline agreeing to plead guilty to cargo price fixing.
Southwest Airlines said it will seek assistance from the National Mediation Board as it negotiates with its 185 dispatchers, represented by Transport Workers Union 550.
US Air Transport Assn. said that passenger revenue rose 13% in February compared to the year-ago period, marking the 14th consecutive month of year-over-year revenue gains. RPMs rose 2.1% while average price per flown mile (yield) climbed 10.8%. The information was based on data from most US majors excluding Southwest Airlines. ATA said that international markets "remained especially strong" as passenger revenue grew 17%, led by a 27% increase in Pacific revenue. Domestic revenue grew 11.5% largely driven by a 10.5% rise in yield.
FedEx reported net income of $231 million for its fiscal third quarter ended Feb. 28, down 3% from a $239 million profit in the prior-year period, but it posted an 11% year-over-year rise in quarterly revenue to $9.66 billion and gave positive guidance for the current quarter and beyond.
Lufthansa Group Chairman and CEO Christoph Franz said the company's turnaround from posting a €34 million net loss in 2009 to earning a €1.1 billion ($1.53 billion) net profit in 2010 showed that LH "has quick reactions and responded to market changes with the utmost flexibility in terms of capacities and costs," putting it in a strong position "strategically, financially and operationally."
The planned strike by the Indian Commercial Pilots Assn., the union representing 800 Air India pilots who were Indian Airlines pilots prior to the 2007 merger, has been deferred for four weeks as talks begin with the labor commissioner ( ATW Daily News, March 15).
Rolls-Royce said Wednesday that Asiana Airlines selected the Trent 900 to power the six Airbus A380s the Seoul-based carrier has on order for delivery from 2014-2017 ( ATW Daily News, Jan. 7). The contract includes a TotalCare long-term service agreement.
The impact for European airlines and airports owing to the Japanese earthquake, tsunami and crisis at the Fukushima nuclear plant should be limited to global GDP, FX rates, fuel prices and a possible shift of capacity away from Japan, according to a research report by Citi Investment Research & Analysis.
Air Berlin CEO Joachim Hunold told ATW on the sidelines of ITB Berlin last week that the carrier is busy completing the necessary requirements to join oneworld by April 2012.
Lufthansa's supervisory board on Wednesday approved orders for 35 new aircraft comprising 25 Airbus A320neos, five A321neos and five Boeing 777 freighters.
Air New Zealand warned it will lose money in the second half of the financial year because of high fuel prices and the impact of earthquakes in New Zealand and Japan. It expects full-year earnings to fall below NZ$100 million ($75 million). Japan Airlines is calling on its JAL Mileage Bank members to donate miles to raise funds for relief work in Japan. The airline told members that for every 7,500 miles donated, ¥7,500 ($91.60) will be contributed to help victims of last Friday’s devastating earthquake and support recovery and restoration process.
BAE Systems and California-based engine lessor Willis Lease Finance Corp. signed an agreement under which BAE Systems’ Regional Aircraft Asset Management unit will provide aircraft acquisition, remarketing and lease management services to Willis Lease. Willis is looking to expand beyond the engine leasing business into the market for used aircraft. The company in September signaled its shift into the airframe market when it signed an MOU with SuperJet International for the purchase of six Sukhoi SuperJet-100s with options for another four (ATW Daily News, Sept. 3, 2011).
Air New Zealand began daily ASPIRE (Asia and South Pacific Initiative to Reduce Emissions) flights between Auckland and San Francisco last month, moving the program beyond the demonstration stage. It launched ASPIRE—a JV between US FAA and its counterparts and airlines in Australia, New Zealand, Japan and Singapore to reduce fuel burn--with the first demonstration flight in the fall of 2008.
Cathay Pacific Airways Head of Environmental Affairs Mark Watson warns that an emerging patchwork of regional environmental schemes to tax carbon and aviation will cause major market distortions and a nightmare of paperwork. Speaking with ATW’s Eco-Aviation Today, Watson said a number of countries such as Australia are moving to tax aviation carbon and warned that in the absence of a global scheme there could be “a plethora of competing schemes with significant overlap.”
Air service to Tokyo Narita and Haneda airports was largely operating normally Monday, though governments worldwide continued to advise against travel to Japan as the nation attempts to manage unstable nuclear reactors in the aftermath of last week's devastating earthquake and tsunami.
Long-time Pinnacle Airlines Corp. President and CEO Philip Trenary announced his resignation Monday, effective March 24, to “pursue other interests,” the company said in a statement.
American Airlines and United Airlines on Monday agreed to drop their lawsuit against the City of Chicago after reaching agreement with Mayor Richard Daley to allow a portion of the planned second phase of Chicago O'Hare expansion to move forward.
The Indian Commercial Pilots Assn., the union representing 800 Air India pilots who were Indian Airlines pilots prior to the 2007 merger, said its members will go on strike starting Wednesday.
Aegean Airlines posted a net loss of €23.3 million ($32.4 million) for 2010, reversed from a €23 million net profit in 2009, confirming earlier predictions that the Greek airline would suffer a loss “of over $22 million” for the year.
