UPS and Airbus signed an agreement last week that delays delivery dates for 10 A380Fs the cargo carrier has on order and gives both companies the option of terminating the order later this year. UPS is the last remaining customer for the freighter version of the aircraft. The original delivery schedule ran from 2009 through 2012 ( ATWOnline, Jan. 22).
European Commission extended until June 13 its deadline to rule on Ryanair's €1.48 billion ($1.94 billion) hostile bid for Aer Lingus, both the EC and Ryanair confirmed yesterday, although neither offered a reason for the 20-day extension. The regulator set an initial deadline of May 11 to investigate worries that the acquisition would raise "serious competition concerns," ( ATWOnline, Dec. 22, 2006).
SkyWest Airlines named Russell Childs president and COO replacing Ron Reber, effective April 2. Reber will remain at the airline and work on special projects. Childs came to SkyWest as senior director and controller in January 2001 and was named VP and controller later that year.
American Airlines wishes to become "the clear-cut airline of choice for passengers in the New York market" and yesterday unveiled a series of service enhancements and promotions designed to achieve that end.
Alitalia shareholders officially removed Giancarlo Cimoli as chairman and CEO yesterday and installed Banca di Roma Chairman Berardino Libonati, the Associated Press reported from Rome ( ATWOnline, Feb. 13). A new board also was appointed. Meanwhile, Il Sole-24 Ore reported that the new board is considering writing down the value of AZ's fleet by €400 million ($525.5 million), which would increase the company's 2006 net loss to approximately €780 million.
JAL Group announced its intention to introduce the Embraer 170 on its domestic network, starting next year. The company said it "will conclude a purchase agreement" with the Brazilian manufacturer for 10 firm aircraft plus five options this spring. They will be powered by GE CF34-8s and be operated by regional subsidiary J-AIR, which currently relies mainly on the CRJ200. JAL said the aircraft will allow it to match demand more efficiently on domestic routes and take advantage of an increase in slots at Tokyo Haneda from 2009.
Indian government ministers approved the merger of Air India and Indian Airlines ( ATWOnline, Jan. 18). The next stage is final approval at a cabinet meeting next month, and Civil Aviation Minister Praful Patel told media he expects approvals to be completed by the end of March. According to sources, the name and head office of the new airline are yet to be decided but what has been approved is a structure around six business units.
CSA Czech Airlines terminated its Prague-Dubai service, calling it "unprofitable." It also announced that it will save CZK100 million ($4.7 million) annually on insurance premiums after selecting Renomia and JLT as its new insurance brokers.
Indian Airlines reached a deal with KfW IPEX-Bank of Germany for $500 million in financing toward the carrier's purchase of 20 A321s, 19 A319s and four A320s ( ATWOnline, Feb. 22, 2006). The carrier expects to take delivery of 10 aircraft this year and has 12 years to repay the loan. HSH Nordbank is joint underwriter. Separately, Indian launched thrice-weekly nonstop Delhi-Kochi service Feb. 18 aboard an A319. It will continue to connect the cities daily via Mumbai.
Hurt by high fuel prices and increased competition in the transpacific and inter-island markets, Hawaiian Airlines parent Hawaiian Holdings reported a net loss of $40.5 million for 2006, widened from a net loss of $12.4 million the prior year.
Ethiopian Airlines said it moved to the Sabre Passenger Services Management IT system. It also launched a thrice-weekly Addis Ababa-Juba service aboard 737-200s.
Australia's Virgin Blue reported an 80.9% year-over-year increase in net earnings to A$124.3 million ($97.8 million) for the six months ended Dec. 31 on a 16.7% lift in revenue to A$1.12 billion, results that have it primed for expansion including considering an order for 777-300ERs to be deployed on planned long-haul operations ( ATWOnline, Feb. 13).
JetBlue Airways released earnings guidance yesterday in the wake of last week's much-publicized disruptions at New York JFK ( ATWOnline, Feb. 21), projecting a difficult first quarter and lower full-year results. For the three months ending Mar. 31, the LCC expects to report an operating margin of between -4% and -2%. Its pre-tax margin for the quarter is expected to be between -10% and -8%.
Airline Partners Australia's pending $11.1 billion ($8.73 billion) buyout of Qantas is facing a chilling political wind, with a number of industry analysts and observers suggesting the deal will not fly. Sustained and vocal opposition from Prime Ministor John Howard's Liberal party has become almost a daily occurrence ( ATWOnline, Feb. 19), with former Transport Minister John Anderson telling ABC Radio he did not think the deal was in the national interest.
Air France KLM Group will increase summer schedule capacity 5.4% year-over-year, including a 5.6% hike on the long-haul network and 4.3% on medium-haul. Long-haul increase will include 11.4% growth to Latin America, 7.3% to Asia and 10.1% to North America owing mainly to the launch of new daily Paris Charles de Gaulle-Seattle service on June 11 aboard an A330-200. AF's domestic network will see only a 0.2% ASK increase. Both airlines are pursuing fleet modernization programs. By June, the entire AF long-haul fleet will be equipped with new interiors.
AirTran Airways' bid to acquire Midwest Airlines was dealt a slight setback this week when the New York Supreme Court ruled the carrier was not entitled to a list of Midwest shareholders ( ATWOnline, Feb. 2). AirTran, which sought to take its $345 million tender offer directly to shareholders, said it will appeal the ruling and continue to provide information about its merger proposal to Midwest shareholders.
British Airways yesterday took a first step toward renewal of its long-haul fleet with an order for four 777-200ERs plus four options and also placed an order for four A320s. The Boeing order, while not unexpected, was a blow to Airbus, which was pitching the A330 and saw a potential deal as an opening for the A350 XWB. BA issued an RFP for long-haul aircraft to both manufacturers in the fall ( ATWOnline, Oct. 18, 2006).
Jettainer signed a five-year deal with XL Airways of the UK to provide outsourced ULD management services. As part of the agreement, Jettainer purchased XL's fleet of ULDs, which previously was owned and managed by Air Atlanta Icelandic.
Cockpit voice recorder transcript from the ExcelAire Legacy 600 that collided with a Gol 737-800 in midair and resulted in the deaths of all 154 aboard the airliner ( ATWOnline, Jan. 23), was published yesterday by Folha de S. Paulo, Brazil's largest newspaper. It indicated that the Legacy pilots had difficulty communicating with ATC throughout the flight. "I've got a problem with the radio here," one said, according to the Associated Press.
Boeing announced 787 deals with both Air New Zealand and LOT Polish Airlines. ANZ finalized its order for four additional 787-9s ( ATWOnline, Dec. 20, 2006), which brings its commitment to the type to eight firm plus 12 price rights. Delivery of the new orders, valued at $700 million at list price, is scheduled for 2011-13. Meanwhile, LOT raised its 787 commitment to eight with an order for one additional aircraft ( ATWOnline, Sept.
Eurocontrol registered a 5.6% year-over-year growth in flights last month to 741,432, eclipsing its forecast of 4% annual growth over the next 15 years. Air traffic flow management delay soared 49.9% to 1.7 min. per flight, which Eurocontrol attributed to "adverse weather." Airport delay time rose 74.9% to 1.2 min. Alaska Airlines flew 1.28 billion RPMs in January, a 0.8% fall from the year-ago month. Capacity rose 2.8% to 1.93 billion ASMs and load factor was down 2.5 points to 66.5%.
Omani government is planning to increase its holding in Oman Air from 33.4% to more than 80% through an injection that would lift the airline's capital to OMR50 million ($129.5 million) from OMR13.3 million. The recap would support plans to buy widebodied aircraft as it looks to launch several long-haul routes ( ATWOnline, Dec. 12, 2006).
