Lufthansa yesterday confirmed that the pilots strike launched Monday has ended and that it expects to resume normal operations on Friday "at the latest," with 400 additional flights added to today's reduced schedule.
Buoyed by Japan Airlines' decision to maintain its membership in the alliance and the US Dept. of Transportation's tentative approval of transatlantic antitrust immunity, oneworld yesterday announced that its Asian presence will be expanded further with the 2011 addition of India's Kingfisher Airlines.
Singapore Airlines flew 7.29 billion RPKs in January, a 1.6% fall from the year-ago month. Capacity was cut 7.8% to 9.21 billion ASKs, lifting load factor 5 points to 79.1%. China Southern Airlines flew 8.34 billion RPKs in January, up 10.6% year-over-year, against an 8.6% increase in capacity to 10.99 billion ASKs. Load factor rose 1.4 points to 75.9%. Cathay Pacific Airways and Dragonair flew 8.01 billion RPKs in January, a 1.6% rise year-over-year. Capacity was cut 3.6% to 2.14 billion ASKs, lifting load factor 4.3 points to 83.8%.
Skywest Airlines, the Perth-based regional operator, reported a S$7.1 million ($5 million) net profit in the half-year ended Dec. 31, reversed from a S$2.8 million loss in the year-ago semester. Skywest's parent company is incorporated in Singapore. Revenue climbed 10% year-over-year to S$107.1 million. Skywest said it "has continued to engage. .
American Airlines reached a deal with Chautauqua Airlines to operate AmericanConnection flights out of Chicago O'Hare. Fellow AMR Corp. subsidiary American Eagle was its sole regional partner out of ORD but an AA spokesperson confirmed to ATWOnline that the company's decision to downsize in St. Louis, where it partnered with Chautauqua, prompted the move
British Airways flight attendants represented by Unite overwhelmingly approved a strike in a ballot that closed yesterday ( ATWOnline, Feb. 22). The union said that 80.7% (7,482) of members who voted favored industrial action, with a 78.7% turnout recorded. Unite stressed that it has not announced a strike date.
China Southern Airlines received a CNY1.5 billion ($219.6 million) capital injection from the Chinese government that is expected to reduce the carrier's debt ratio, which stood at around 80% last Sept. 30.
Malaysia Airlines reported 2009 net income of MYR493.1 million ($147.5 million), double the MYR245.7 million profit earned in 2008, as a strong fourth quarter enabled it to overcome an uneven year in which it was in the red in the first and third quarters.
Unsuccessful in its bid to purchase Olympic Air from the Greek government last year, Aegean Airlines yesterday announced a merger designed to create "a national airline champion with enlarged presence in the European market as well as seamless coverage of even the most remote islands of our country."
Lufthansa yesterday reached a settlement with pilots represented by Vereinigung Cockpit, suspending the scheduled four-day strike that started at midnight Sunday/Monday until at least March 8.
Air France KLM said January unit revenue fell year-over-year. It flew 15.87 billion RPKs, down 1.6%, against a 3.4% decline in capacity to 20.34 billion ASKs. Load factor rose 1.4 points to 78%. British Airways flew 8.26 billion RPKs in January, down 7% from the year-ago month. Capacity dropped 8.3% to 11.13 billion ASKs, lifting load factor 1 point to 74.2%.
EasyJet Chairman Michael Rake said at the company's annual general meeting last week that a cost-reduction program designed to save £190 million ($296.6 million) per year is expected to deliver net savings after inflation of £1 per seat by the conclusion of the fiscal year ending Sept. 30, 2012. He also said that the board agreed to increase seat capacity by 7.5% per year over the next five years, which it expects to boost its share of the European short-haul market from the current 7% to 10%.
Mapjet, a Vienna-based startup, said it will begin selling tickets on March 15 for flights to Stockholm Arlanda, Amsterdam, Sulaymaniyah and Baghdad. Service to Frankfurt, Stuttgart and Munich also is planned. Flights should begin on March 28 aboard three leased E-195s.
Finnair Flight AY022 from Delhi to Helsinki today is the airline's final scheduled passenger flight aboard an MD-11. The type served Finnair for nearly 20 years and flew some 400,000 hr. on more than 50,000 segments. It became the first airline to operate the MD-11 in December, 1990 and had up to seven at one time. It now uses A330s and A340s on its long-haul routes. It has two owned MD-11s up for sale and is considering using the aircraft for cargo operations.
Chile President-elect Sebastian Pinera will sell an 8%-10% stake in LAN Airlines to the Cueto family, which already owns about 20%-25% of the carrier, Reuters reported. Pinera, who will take office next month and is trying to offload holdings that could represent a conflict of interest, owns 26% of LAN, the largest single shareholding in the carrier
Cargolux President and CEO Ulrich Ogiermann, current chairman of The International Air Cargo Assn., predicted that "volatility" in air cargo demand will continue in 2010 but that the airfreight industry will emerge from the economic downturn in a "stronger position."
Swedish government intends to reduce its 21.4% stake in SAS Group. Deputy Prime Minister Maud Olofsson said, "We have previously said that we should reduce ownership in companies that operate in competitive markets and where there are no special reasons for continued ownership. SAS is one such company," the Associated Press reported from Stockholm. She said a divestiture would occur "at a suitable time" and that "in the long run, we don't see any intrinsic value in owning shares in an airline." The Danish and Norwegian governments each hold 14.3%.
ExpressJet Holdings and United Airlines signed an agreement under which the regional will operate 32 ERJ-145s for United Express. The original deal announced last fall was amended to include an additional 10 145s from ExpressJet's corporate aviation fleet ( ATWOnline, Nov. 17, 2009). It ended last month with 10 aircraft in operation for UA and will add six this month, six next month and 10 in May.
Lufthansa said the four-day pilots strike scheduled for next week will cost it approximately €100 million ($136.9 million) and that the company's attorneys are examining whether the Vereinigung Cockpit action is legal ( ATWOnline, Feb. 18). Its plan to weather the strike includes help from subsidiaries Austrian Airlines and Swiss International Air Lines. For example, OS will operate larger aircraft on flights from Vienna to Dusseldorf, Frankfurt and Munich.
The Indian government yesterday announced final approval of an INR8 billion ($173.7 million) equity infusion into Air India parent National Aviation Co. of India, with the release of the funds "calibrated to the achievement of milestones laid down by the [cabinet]" including a 28% fleet reduction.
Niki President Niki Lauda told ATWOnline in Vienna that he will remain in charge of the LCC following Air Berlin's move to increase its share to 49.9% and that the airlines will work together to create efficiencies that will allow them to compete with heavyweights Lufthansa and Austrian Airlines ( ATWOnline, Feb. 18).
Qantas yesterday reported a A$58 million ($52.2 million) profit for the half-year ended Dec. 31, down 72% from the A$210 million earned in the year-ago semester, and announced the elimination of first class service to all but two destinations in an effort to lift yield.
FAA yesterday proposed a $2.9 million civil penalty against American Eagle Airlines for operating more than 1,000 flights using four CRJ700s "on which improper repairs were performed on landing gear doors," the second significant fine for an alleged safety violation proposed against AMR Corp.'s regional subsidiary this month.
Sri Lankan government is negotiating the purchase of Emirates' 43.6% stake in SriLankan Airlines, Chairman Nishanta Wickremasinghe told reporters yesterday. EK said it "can confirm that the Sri Lankan government has been investigating the possibility of increasing their share in SriLankan Airlines," in a statement cited by Bloomberg News. EK opted out of its management contract with UL two years ago and said it would look to sell its stake ( ATWOnline, Jan. 10, 2008).
WestJet reported 2009 net income of C$98.2 million ($94 million), down 45% from C$178.5 million in 2008, and said it plans to reaccelerate growth this year after slowing annual capacity expansion to just 2.6% in 2009. President and CEO Sean Durfy acknowledged that last year was "very challenging" owing to the recession, H1N1 and "enhanced airport security measures," but said he was "ecstatic" despite the profit decrease because the Calgary-based LCC achieved profitability in all four quarters to extend its streak of consecutive reporting periods in the black to 19.
