Atlantic Southeast Airlines expected to return to service by late yesterday all 60 CRJ200s grounded for safety inspections, a spokesperson told ATWOnline. ASA, which operates as a Delta Connection carrier, voluntarily pulled the 50-seat aircraft on Tuesday after an internal audit raised questions about whether engine maintenance was in compliance with manufacturer recommendations ( ATWOnline, April 2).
Continental Airlines provided further evidence of the collapse in US air travel demand, reporting late Wednesday that March consolidated revenue per ASM plunged an estimated 19.5%-20.5% year-over-year while mainline unit revenue fell 18.5%-19.5%. In February, consolidated unit revenue was down 11.5% and mainline dropped 10%. CO flew 7.48 consolidated RPMs in March, down 9.7%, against a 6.4% fall in capacity to 9.43 billion ASMs. Load factor was down 2.9 points to 79.4% and passenger numbers declined 10.2% to 5.5 million.
US airlines may be able to return to profit this year despite the recession owning to fortuitous decisions made in the first half of last year in response to high oil prices, according to AirTran Airways CFO Arne Haak and United Airlines Senior VP-Planning Kevin Knight.
Spring Airlines expects to nearly double its net profit to CNY40 million ($5.8 million) this year and is planning a rapid fleet expansion despite shrinking domestic demand and the global economic downturn. Launched in July 2005, Spring is one of the most profitable privately run carriers in China and reported net earnings of CNY21 million last year. It maintained a load factor of 95% as it established travel agencies to attract passengers.
SkyTeam will introduce a centralized managing entity based in Amsterdam that will handle marketing, sales, airport synergies and transfer product, cargo, advertising and branding, alliance operations, finance, corporate communications and administration. It will be headed by MD Marie-Joseph Male, an Air France executive, and will be in place before year end. "In SkyTeam, we have always prided ourselves on our collaborative nature.
Atlantic Southeast Airlines, a SkyWest Inc. subsidiary operating as a Delta Connection partner, grounded 60 CRJ200s late Tuesday for engine safety inspections. ASA officials expected to complete the inspections early today. The grounding of the 50-seat aircraft was voluntary after an internal paperwork audit raised questions about whether maintenance was in compliance with manufacturer recommendations. The CRJ200 is powered by the GE CF34. "We are rolling through the inspections and expect them to be completed by mid-morning [Thursday]," an ASA spokesperson told ATWOnline.
Embraer launched steep approach testing at London City for the E-190. Certification is expected by year end. The E-170 received certification to operate into LCY in 2007. Last December British Airways signed an order six 170s and five 190s to be operated by its BA CityFlyer subsidiary ( ATWOnline, Dec. 23, 2008).
UK Secretary of State for Transport Geoff Hoon appointed Deirdre Hutton as CAA chair. The first woman named to the post, Hutton will take up the position in August when Roy McNulty's term comes to an end after eight years. She currently chairs the Food Standards Agency and will sit for five years. Hoon also will appoint a CEO.
CAE said it signed contracts for three full flight simulators in March valued at C$33 million. Customers are Avianca, Sofia Flight Training (both CAE 5000 Series A320 FFSs) and Emirates-CAE Flight Training (CAE 7000 Series A320 FFS). It also announced the termination of a 757 FFS sale to Flight Training Finance and the ensuing sale of the equipment to an unidentified customer. CAE sold 34 simulators in its fiscal year ended March 31.
The scene is quite different compared to last May, when the economy was still relatively strong in the world's largest express delivery market and DHL and UPS announced they were negotiating details of a deal under which UPS would take over DHL's airport-to-airport flying in the US. UPS estimated it would generate as much as $10 billion in additional revenue over 10 years from the proposed agreement.
Qantas Group is moving to expand its RNP use significantly. The airline, which launched RNP operations on its 737-800 fleet in 2007 into Christchurch and Brisbane, has extended those operations to 15 regional airports that have no ILS facilities. QF Chief Technical Pilot-Boeing Fleet Alex Passerini told Eco-Aviation Today that the group has committed to developing RNP for the A330 fleet and Jetstar's A320 fleet and will expand RNP arrivals to other Australian capital cities. During 2009 it will add 15 more airports, with Sydney to follow in 2010.
Qantas's international operation suffered its worst-ever traffic decline in February, with passenger numbers plummeting 16.8% year-over-year to 554,000. Domestic passengers slumped 10.1% to 1.2 million, while low-cost subsidiary Jetstar Airways' domestic passenger count was off 3.3% to 556,000. The only bright spot was Jetstar International, where passengers jumped 25% to 162,000. Overall the airline group reported an 8.4% decline to 2.7 million passengers, with RPKs dropping 10.1% to 7.31 billion and ASKs falling 7.6% to 9.32 billion. Load factor sank 2.2 points to 78.4%.
SAS Group announced official completion of its sale of 80.1% of Spanair to Initiatives Empresarials Aeronautiques, a Catalonian consortium comprising Consorci de Turisme de Barcelona, Catalana d'Inciatives, Volcat 2009 and Fira de Barcelona, for €1 ($1.32). SAS will continue to hold the remaining 19.9% and to partner with the carrier ( ATWOnline, Feb. 2).
American Airlines announced it will install Aircell's Gogo inflight Internet service in more than 300 domestic aircraft over the next two years. It has been trialing the product on 15 767-200s operating transcontinental routes since August ( ATWOnline, Aug. 21, 2008). Installation on 150 MD-80s will begin next year, followed by 737-800s. The service will cost $7.95-$12.95 depending on the length of flight and whether the passenger is using a laptop computer or a PDA.
Delta Air Lines said new signage will be appearing this week at former Northwest Airlines hubs in Detroit, Memphis and Minneapolis-St. Paul as part of its $500 million integration effort. It expects to have all domestic airports re-branded by year end, with international facilities finished next year. Former NWA employees began wearing DL uniforms this week as well. The carrier said 33 NWA aircraft already have been repainted, with some 250 left to complete before the end of 2010.
Southwest Airlines has committed to growth in 2010, according to a copy of its tentative contract with the Southwest Airlines Pilots Assn. ( ATWOnline, March 30) obtained by The Dallas Morning News.
Avianca reported a $23 million profit in 2008, down from $222.4 million in 2007, a drop it attributed partly to early pension payments. Revenue rose 25.3% to $1.9 billion on a 2.4% climb in passenger numbers to 9.8 million.
Blue Wings ceased operations yesterday following suspension of its operating license by the German LBA, which had changed the Dusseldorf-based carrier's operating status to provisional in January. Blue Wings launched in 2003 and flew mainly for German tour operators with nine A320s but has faced significant financial difficulties recently. It had an additional 20 A320s on order ( ATWOnline, Oct. 18, 2006). It transported 1.1 million passengers last year and employs 400.
TAM sank to a BRL1.34 billion ($577.4 million) loss in 2008, a reversal from the BRL468.6 million profit the Brazilian carrier earned in 2007, as its fuel hedges and the depreciation of the real eclipsed operational improvements.
Reeling from a C$1.03 billion ($824.3 million) loss in 2008 and facing worker discontent over a growing pension shortfall and the pending dissolution of parent company ACE Aviation Holdings, Air Canada yesterday announced a front office restructuring and the resignation of President and CEO Montie Brewer effective today. He will be succeeded by Calin Rovinescu, who was an AC executive from 2000 to 2004 before joining Genuity Capital Markets, a Canadian investment bank.
Nav Canada said it reached a tentative collective agreement with the Canadian Auto Workers/Canadian Air Traffic Control Assn. Agreement is subject to ratification. Terms were not released.
Usablenet, a mobile-Web platform, launched mobile browser service for Emirates' and British Airways' websites, allowing travelers to access them from phones or PDAs.
East Star Airlines will go bankrupt because of its inability to pay off its debts, according to the Wuhan municipal government. East Star's six debtors reportedly have asked the local court to liquidate the carrier, which suffered a CNY500 million ($73.1 million) operating loss last year. It is in arrears with both GECAS and Wuhan Tianhe International Airport and also is behind on its fuel and insurance payments ( ATWOnline, March 25).
