Air India expects revenue of $4 billion in the fiscal year ending March 31, 2008, as it moves forward with the merger between the old AI and Indian Airlines, Dow Jones reported from New Delhi. The two carriers reported pro forma revenue of $3.5 billion in the 12 months ending last March, AI Executive Director-Finance S. Venkat told the newswire. Separately, AI parent National Aviation Co. of India signed a $1.23 billion financing package with the Export-Import Bank of the US to support the acquisition of 17 Boeing aircraft and four spare engines, the bank announced.
Star Alliance said US Airways has relocated to the new South Terminal at Miami International, beginning the process that will see all five Star member carriers at MIA operating from the same terminal. The Star area is located in the new Concourse J and has 50 shared ticketing and check-in counters.
Tiger Airways confirmed its Paris Air Show order for 30 A320s plus 20 options, Airbus announced. The LCC currently operates nine A320s, with 11 scheduled for delivery by 2010. Airbus said that no engine choice had been made but Tiger announced in August that it had selected the V2500 ( ATWOnline, Aug. 31). The reason for the discrepancy was unclear. Aircraft will seat 180 in a single-class configuration.
Ryanair said it is taking France to the European Court of Human Rights over a recent ruling by the French Conseil d'Etat, the country's highest administrative court, requiring that the carrier apply French labor laws to employees located in Marseille, where it opened a base in November 2006. The LCC's decision relates to a December 2006 decree compelling foreign carriers to apply French employment laws to crews based at the country's airports.
Lufthansa Group flew 12.68 billion RPKs in September, up 25.2% from the year-ago month owing to the addition of Swiss International Air Lines. Capacity climbed 23.6% to 15.84 billion ASKs and load factor was up 1 point to 80.1%. SAS Group carriers flew 3.9 billion RPKs in September, a 5.9% increase from the year-ago month. Capacity grew 3.9% to 5.16 billion ASKs and load factor gained 1.5 points to 75.5%. SAS Scandinavian Airlines flew 2.56 billion RPKs, up 0.2%, against a 1.4% fall in capacity to 3.29 billion ASKs. Load factor rose 1.3 points to 77.8%.
Wizz Air yesterday signed a contract for 50 firm A320s plus 25 options, an order that the manufacturer said was the largest ever from Central and Eastern Europe for a single Airbus type.
Japan Airlines announced that its JAL Premium Economy cabin will be introduced beginning Dec. 1 on its daily Tokyo Narita-London Heathrow service. It will be added on flights to Frankfurt and Paris Charles de Gaulle next year, "followed by the expansion of the new service onto US and other Europe[ean] routes," JAL said. The product will feature what the airline called the world's first shell-shaped premium economy seat with 97-cm. pitch, a business class amenity kit and enhanced food service. Forty-four seats in 2-4-2 configuration will be available on 777-300ERs and 40 on 777-200ERs.
Northwest Airlines will pre-fund the financing of 27 76-seat E-175LRs with $454 million in secured public aircraft financing structured with Enhanced Equipment Trust Certificates. Morgan Stanley, Citigroup and JPMorgan were joint bookrunners. Aircraft will be operated by NWA subsidiary Compass Airlines.
AWAS delivered the second of four 767-300ERs to Gol this week. Aircraft will be operated by VRG Linheas Aereas, the new Varig that now is a Gol subsidiary. Two further 767s will be delivered over the next six months. AWAS also finalized the acquisition of an A321 to Livingston S.p.a. from Bank of China Aviation. Livingston is the Italian leisure carrier owned by Ventaglio Group, AWAS said.
AerCap Holdings announced that AerVenture, a joint venture with LoadAir and AI Fawares ( ATWOnline, Feb. 3, 2006), will lease six new A320-200s to Aeroflot for 10 years. The CFM56-powered aircraft will be delivered to the Russian carrier between July 2008 and March 2009. Aeroflot Head of Fleet Planning and Aircraft Procurement Sergei Koltovich said the carrier's new partnership with AerVenture "should develop into a truly long-term relationship."
Delta Air Lines named Comair President Don Bornhorst senior VP-Delta Connection, putting him in charge of the daily operations of nine partner carriers. He replaces Wayne Aaron, who will return to his role as VP-strategic planning and business development, DL said. Former Song head John Selvaggio will take over for Bornhorst at Comair.
Tiger Airways opened its new terminal at Melbourne Tullamarine in addition to initiating a fare war, with transcontinental routes such as MEL-Perth going on sale for A$39.95 ($35.90) and flights from MEL to Gold Coast running A$19.95. CEO Tony Davis told media in Melbourne that 15,000 seats will be available at those fare levels. Tiger will launch domestic services next month in Australia with five A320s ( ATWOnline, July 18).
CAE is introducing a new subscription-based service called CAE True Airport designed to "keep its customers' visual databases current with constantly changing airport environments."
Air Berlin will close some routes from its London Stansted hub next month. An AB spokesperson confirmed to ATWOnline that twice-daily service to Manchester, Glasgow International and Belfast City will be shut down. AB handles 1.2 million passengers annually at the airport, its second-largest hub outside Germany after Palma de Mallorca. STN will continue to handle AB flights from eight German destinations and Spain.
Hainan Airlines is moving forward with its plan to launch Hefei-based Anhui Airlines, though the specific timetable has yet to be fixed. The capital of Anhui Province, Hefei is located approximately 200 mi. west of Shanghai. The carrier is expected to be based at the new Hefei Xinqiao Airport, upon which construction will begin this year. It is scheduled to be operational in 2010.
Qantas is matching Air New Zealand's recent product initiatives ( ATWOnline, Aug. 22), turning up the competitive heat in the NZ domestic market. Next month, QF will introduce its successful Australian domestic Cityflyer product across the Tasman. Cityflyer provides passengers free beer and wine from 4 p.m. (noon in Australia), free newspapers and an enhanced food offering.
British Airways flew 9.76 billion RPKs in September, down 0.7% from the year-ago month, against a 0.3% increase in ASKs to 12.46 billion that lowered load factor 0.8 point to 78.3%. Southwest Airlines flew 5.64 billion RPMs in September, an 8.6% increase from the year-ago month. Capacity climbed 7.8% to 8.34 billion ASMs and load factor lifted 0.5 point to 67.7%. Finnair flew 1.73 billion RPKs in September, up 16.8% from the year-ago month. Capacity climbed 18.6% to 2.31 billion ASKs, dropping load factor 1.1 points to 75%.
World Airways, a subsidiary of Global Aero Logistics, signed a one-year contract with Etihad Crystal Cargo to provide MD-11 freighter service to and from Frankfurt Hahn, Shanghai and Mumbai. Frequency of service was not announced. World was acquired by GAL last quarter ( ATWOnline, Aug. 8).
Hawaiian Airlines flew 667.7 million RPMs in September, up 21.7% on the year-ago month. Capacity climbed 15.1% to 760 million ASMs and load factor increased 4.8 points to 87.9%.
Jet Airways signed a purchase agreement with Boeing for 20 737-800s plus options for an additional 10, the carrier said in a filing to the Bombay Stock Exchange. The manufacturer did not acknowledge the order. The aircraft are scheduled to be delivered between October 2012 and December 2014 as "there are no unused delivery positions for 737NGs available till October 2012," Jet said in a statement widely quoted by media outlets. The 10 other -800s will be delivered between August 2013 and February 2015 if the options are firmed.
Alitalia's board met yesterday regarding potential sale of the carrier and released a shortlist of six potential buyers following consultation with Citigroup and industrial adviser Roland Berger. The list comprises Aeroflot, Air France KLM, AP Holding (Air One), Cordata Baldassarre, Lufthansa and TPG (formerly Texas Pacific Group). The Italian government wants to sell most of its 49.9% in AZ and asked Chairman Maurizio Prato, who was appointed in July, to identify potential buyers after its own selloff efforts failed.
Merged Air India holding company National Aviation Co. of India is planning to sell as much as 15% of the airline in an IPO next year, Chairman V. Thulasidas told reporters in Kolkata. The carrier currently is state-owned. Civil Aviation Minister Praful Patel confirmed the move in the Economic Times. He told the paper that "we are yet to take a view on the exact mode of equity dilution.
EasyJet concluded its financial year on Sept. 30 and said it now expects pre-tax profit for the 12 months to be "towards the top end" of its projected improvement of 40%-50% and that it will exceed that guidance if it includes a one-off benefit of £11 million ($22.4 million) associated with the writeback of its investment in The Airline Group. The LCC reported net earnings of £94.1 million and a pre-tax profit of £129.2 million in the year ended Sept. 30, 2006. It plans to announce its 2006-07 performance on Nov. 20.
