Air Canada and Jazz flew 3.9 billion combined RPMs in October, down 3.9% from the year-ago month. Capacity fell 5.9% to 4.86 billion ASMs, lifting load factor 1.6 points to 80.2%.
Mexicana CEO Manuel Borja, who saw his company's takeover bid for rival Aeromexico rejected by Mexican authorities last year ( ATWOnline, Oct. 19), said he remains a "firm believer that the Mexican market should become consolidated." Speaking at last week's ALTA Airline Leaders Forum in Cancun, Borja said he was in favor of competition but only among airlines "that have differentiating points." He said Mexico needs "different models in the market.
Thales signed a contract with Aviation Training Centre of Tunisia for a second A320 full flight simulator to be combined with a Thales Formation System Trainer.
UK's revised Air Passenger Duty, under which passengers will be charged ascending fees based on distance traveled, continued to be criticized heavily around the world following its Nov. 24 unveiling. The scheme, effective Nov. 1, 2009, is designed to hold passengers accountable for the "environmental impact" of their travel ( ATWOnline, Nov. 25). "This is another cash grab by the [UK] Treasury, thinly disguised as an environmental measure," IATA DG and CEO Giovanni Bisignani said.
Virgin Atlantic Airways is considering additional aircraft orders, possibly for 777s or the A350 XWB, while it is in talks with Boeing on compensation for the delay of its 787s. A potential new order is separate from discussions regarding replacement/interim lift for the delayed Dreamliners ( ATWOnline, Nov. 11), although part of an order could substitute the options and purchase rights the carrier has on an additional eight and 20 787s, respectively.
KLM appointed Air France KLM GM-Singapore Vincent Knoops as senior VP-corporate communications effective Dec. 1. American Airlines named Southwest Division MD-Line Maintenance Ken Durst as the carrier's new VP-line maintenance, succeeding the retiring Danny Martinez.
El Al reported a third-quarter net profit of $30.4 million, down 25.3% from $40.7 million in the year-ago period, a result President Haim Romano called "remarkably gratifying in light of the difficult business situation and the signs of international economic recession." The Tel Aviv-based airline said high fuel costs and "effects of exchange rates" owing to the dollar's weakness against the shekel during the quarter were the primary drivers of the profit decrease.
Icelandair Group reported a third-quarter net profit of ISK4.39 billion ($30.5 million), up 65% on a pro forma basis from ISK2.66 billion last year, but warned that "the future outlook is uncertain" because of the slowing global economy ( ATWOnline, June 30). Revenue rose 51% to ISK41.47 billion while expenses increased 53% to ISK35.28 billion owing in part to a 110% jump in fuel costs to ISK9.98 billion. EBITDA lifted 40% to ISK6.18 billion.
Virgin Atlantic Airways asked the European Commission to reject what the carrier called the "virtual merger between two of the world's biggest airlines" and yesterday submitted a document to competition authorities outlining its objection to the antitrust alliance between American Airlines and British Airways. The Commission opened its investigation into the tie-up, which also includes Iberia, in August ( ATWOnline, Sept. 1).
Lufthansa opted not to wait for a decision on a foreign partner for the restructured Alitalia and will be launching its own subsidiary at Milan Malpensa, called Lufthansa Italia, in February. Six former Germanwings A319s will comprise the venture, designed to take advantage of AZ's cutbacks in Lombardy. LH originally had planned to base Air Dolomiti E-195s at MXP but instead has decided to pursue its own Italian Air Operator Certificate ( ATWOnline, April 29).
Siem Reap Airways International, the Cambodian carrier blacklisted by the EU this month ( ATWOnline, Nov. 17), suspended domestic services on Nov. 22 and will suspend international flying on Dec. 1 as it works to "clarify" the EU ban. Siem Reap GM Lao Santi said the airline was forbidden to fly aircraft registered in Cambodia into the EU but that its flights "are entirely operated on a wet-lease basis, at and to international standards."
Bangkok's Suvarnabhumi International, which suspended takeoffs Tuesday after antigovernment protesters stormed the airport ( ATWOnline, Nov. 26), was closed completely yesterday as the political crisis deepened and governments throughout the world warned citizens against traveling there. The protesters, calling themselves the People's Alliance for Democracy, claimed they had taken control of BKK and that airlines would have to seek their direct authorization to land.
United Airlines expects to record $232 million in cash fuel hedging losses and $138 million in noncash mark-to-market hedging losses in the fourth quarter based on Nov. 20 closing forward curve prices, it said yesterday in a US Securities and Exchange Commission filing.
TAM flew 1.96 billion RPKs in October, up 7.3% from the year-ago month. Capacity rose 15.8% to 3.02 billion ASKs and load factor fell 5.2 points to 64.7%. International RPKs grew 35.2% to 1.41 billion against a 26.3% lift in ASKs to 1.82 billion, sending load factor up 5.1 points to 77.8%. Gol flew 1.79 billion RPKs in October, down 17.5% year-over-year. Capacity was level at 3.14 billion ASKs and load factor dropped 12 points to 56.8%.
Qantas warned that its full-year pre-tax profit may fall 64% from its previous guidance of A$1.4 billion ($888.1 million) to A$500 million for the current fiscal year ending June 30, 2009, nearly halving the $A970 million earned in the 12 months ended last June 30.
ExpressJet Holdings' board authorized an additional $10 million for the company's previously announced securities repurchase program. It said purchases of stock and/or notes will be "made from time to time in the open market or in privately negotiated transactions."
Ryanair will close its two routes from Blackpool (daily to Dublin and thrice-weekly to Girona) on Jan. 4 following the airport's decision to impose a £10 ($14.97) "Airport Development Fee" on all passengers from Jan. 5. Blackpool is the fourth airport from which the LCC has withdrawn or threatened to withdraw all services, following Valencia ( ATWOnline, Oct. 27), Fuerteventura ( ATWOnline, Nov. 20) and Maastricht ( ATWOnline, Nov.
Etihad Airways said it secured $210 million in financing covering the purchase of two new A340-600s. A 12-year, $102 million facility provided by Abu Dhabi Commercial Bank, Standard Chartered Bank and Sumitomo Mitsui Banking Corp. Europe will cover one aircraft while a 12-year, $110 million facility from Al Hilal Bank in Abu Dhabi will cover the other. EY took delivery of one -600 last month and will take the second in December.
Air France KLM remains interested in acquiring 20%-25% in the new Alitalia as well as the Austrian government's 41.6% stake in Austrian Airlines Group, Chairman and CEO Jean-Cyril Spinetta confirmed.
Argentine court appointed an administrator to take over day-to-day oversight of Aerolineas Argentinas's operations as the Argentine government and Spain's Grupo Marsans, the airline's current owner, argue over terms of the carrier's nationalization ( ATWOnline, Sept. 5). Marsans has agreed to sell its holding to the Argentine government but claims the government has violated terms of the deal by not finding a third party to perform a valuation.
Pinnacle Airlines flew 425.3 million RPMs in October, up 5.6% from the year-ago month. Capacity rose 7% to 543.1 million ASMs, dropping load factor 1.1 points to 78.3%. Mesa Air Group flew 476 million RPMs in October, down 12% year-over-year, against a 16.6% fall in ASMs to 604.6 million. Load factor rose 4.1 points to 78.7%.
ILFC Chairman and CEO Steven Udvar-Hazy confirmed last week at the ALTA Airline Leaders Form in Cancun that American International Group "is in the process of selling ILFC to a group of investors, including management."
