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.
Southwest Airlines (SWA) announced it will deploy the Flightcom wireless aviation ground support communications system at each of its gates at all 73 of its destinations across the US. It expects deployment to be complete in the first quarter of 2012. “We are the first major airline to widely deploy this type of wireless system, and we expect it will strengthen our team communications and operational efficiency,” SWA senior manager-safety, standards and regulatory compliance, ground ops Marc Stank said.
Shanghai-based Spring Airlines, the most successful Chinese low-cost carrier, is preparing to launch a carrier in Japan to gain a deeper foothold in the Japanese market.
Taiwan-based China Airlines (CI) wants to increase its share of transfer business at Taiwan Taoyuan International (TPE) as part of its strategy for international growth and profitability.
Aeroflot (SU) launched Sukhoi Superjet 100 (SSJ100) international services Dec. 4 when the aircraft (RA 89002) flew between Moscow (SVO) and Oslo (OSL) ( ATW Daily News, Nov. 14). By the end of the year, the aircraft is expected to fly from SVO to Budapest (BUD).
Russia`s second-largest carrier Transaero (UN) has confirmed an order for eight Airbus A320neos following an MOU signed in August ( ATW Daily News, Aug. 17). The first delivery is scheduled for 2017. The carrier has not yet announced an engine selection between CFM International's Leap-X and Pratt & Whitney's PW1100G.
Air France (AF) will open bases in Toulouse (TLS), Nice (NCE) and Bordeaux (BOD) in 2012, as it tries to regain the market share from low-cost carriers (LCC).
LAN Airlines and Amadeus have signed a full-content distribution agreement. The multi-year agreement guarantees Amadeus travel agents worldwide access to the entire range of fares, schedules and inventory relating to the more than 18 million seats sold annually by the LAN Group Airlines (LAN Airlines, LAN Ecuador, LAN Perú, LAN Argentina, Aires and LAN Express). Amadeus has content agreements with key airlines in Latin America including AviancaTaca, Copa Airlines and TAM.
Ryanair (FR) said it will cut 42 frequencies from its network to/from Riga airport (RIX), citing the new €6.50 ($8.75) security tax imposed by the Latvian government that becomes effective Jan. 1. Beginning Jan. 12, FR will close routes to/from Bristol and Bremen and reduce frequencies on another eight routes, including London Stansted, Bergamo and Rome Ciampino. It serves 16 destinations to/from RIX. The LCC predicts the capacity reduction will result in the loss of more than 300,000 passengers, 300 jobs and over €30 million in tourism revenue.
The Chinese government has raised domestic jet fuel prices to CNY7,655 ($1,206) per ton, up 5.17% from CNY7,279 per ton in November, citing rising international fuel prices triggered by political instability in the Middle East. This is the first fuel price increase since September ( ATW Daily News, Nov. 14).
