Air One yesterday said it has converted options and purchase rights for 50 A320s into firm orders, boosting its commitment to the type to 90 ( ATWOnline, Feb. 12).
Kenya Airways said yesterday that the flight data recorder from the 737-800 that crashed after takeoff from Douala on Saturday, killing all 114 on board ( ATWOnline, May 8), was recovered "and appears to be in good condition," adding that "the recovery is still going on under very difficult circumstances" and that the airline is flying victims' relatives to Cameroon while working to "put measures in place to minimize disruptions on our flight schedules."
Pinnacle Airlines reported net income for the first quarter of $9.3 million, a 29.5% drop from the year-ago period, on operating revenue of $179.6 million, down 13% from the first three months of 2006. Expenses dipped 10% to $166.7 million while operating income fell 40% to $12.8 million. Pinnacle officials attributed the differences primarily to changes in the carrier's service agreement with partner Northwest Airlines ( ATWOnline, Dec. 25, 2006). The first quarter was eventful for the Memphis-based regional.
AerCap Holdings named Willis Lease Finance Senior VP-Worldwide Sales & Marketing Thomas MacAleavey to the new position of chief executive-engine leasing effective June 1.
EasyJet said unit revenues fell in April and it sees "pressure on yields in the summer against high comparatives from last year and due to continued competition." It maintained its projection of 40%-50% in pre-tax profit for the fiscal year ending Sept. 30. The LCC transported 3.1 million passengers in April, up 10% from the year-ago month. Load factor dropped 3.3 points to 83.1%. US Airways said consolidated passenger RASM fell in April.
The Boyd Group issued a report predicting that "dozens of smaller communities" could face a reduction in or even loss of commercial air service because of evolving airline economics. By May 4, some 75 applications had been filed under the US Dept. of Transportation's Small Community Air Service Development Grant Program, but only about 40 of those have "potential for success," according to the report.
Atlas Air and Polar Air Cargo parent Atlas Air Worldwide Holdings reported first-quarter net income of $6.2 million, reversed from a net loss of $3.7 million in the year-ago quarter, on a 6.1% rise in revenue to $353.6 million, the highest total it has ever generated in a first quarter.
Gulf Air will be fully owned by the government of Bahrain following the withdrawal of Oman, which signed a letter of intent to withdraw from the money-losing carrier, the Arab Air Carriers Organization announced. Oman follows the emirate of Abu Dhabi and Qatar ( ATWOnline, Sept. 14, 2005). AACO said Bahrain and Oman "have agreed to form a joint committee to assess the airline's assets and to appoint auditors and technicians for this purpose, a process expected to be finalized within six months."
JetBlue Airways flew 2.27 billion RPMs in April, up 11.6% from the year-ago month, against a 12.8% rise in capacity to 2.67 billion ASMs that lowered load factor 0.9 point to 84.7%. Gol flew 1.67 billion RPKs in April, up 49.1% from the year-ago month. Capacity climbed 63.5% to 2.35 billion ASKs and load factor fell 6.8 points to 70.8%.
Austrian Airlines narrowed its adjusted pre-tax first-quarter loss to €36.5 million from €67.7 million in the year-ago period, an improvement the carrier said resulted from the benefits associated with last year's capital increase ( ATWOnline, Nov. 29, 2006), rising traffic and its effort to revamp its long-haul operation ( ATWOnline, Dec. 12, 2006).
Emirates followed through on its interest in increasing its A380 order ( ATWOnline, April 27), signing a contract for an additional four, Airbus said yesterday. It now has committed to 47 of the jumbo aircraft and is due to receive its first in the third quarter of 2008.
Saudi Arabian Airlines is looking to buy up to 60 new aircraft, the Arab Air Carriers Organization confirmed yesterday ( ATWOnline, Jan. 8), and intends to establish a low-cost subsidiary. SAA also announced a service expansion including an increase in flights to Dubai to 44 weekly from 30 and added frequencies to London Heathrow, Paris Charles de Gaulle, Madrid, Frankfurt, New York JFK and Washington Dulles and new seasonal services to Vienna, Athens and Munich.
Air France launched a fifth weekly Paris Charles de Gaulle-New York JFK flight aboard an A330. Service will become daily on June 4. Separately, AF KLM flew 17 billion RPKs in April, a 3.1% increase from the year-ago month. Capacity was up 4.1% to 20.67 billion ASKs, dropping load factor 0.8 point to 82.3%.
Finnair's fortunes are rising in the east, where a 40.6% increase in revenue from its Asian services was among several factors contributing to a €9.3 million ($12.6 million) first-quarter profit, which reversed a €4 million loss suffered in the year-ago period. "Demand is now strong both in Asian traffic and on European routes, and our market share in Europe-Asia traffic is growing," President and CEO Jukka Hienonen said. "Development of unit revenues in all types of traffic is positive and unit costs are decreasing, so profitability is improving."
Aloha Airlines has found a powerful partner in its effort to survive the inter-island fare war launched last year by Mesa Air Group's go!, agreeing to transfer a minority equity stake to United Airlines as part of an expanded partnership announced Friday. The size of the stake was not announced, but the companies did say that it "could expand over time." UA, which did not pay cash for the stake, also will take a seat on the nine-member Aloha board, the chairman of which is former Continental Airlines Chairman and CEO Gordon Bethune.
Northwest Airlines flew 6.52 billion consolidated RPMs in April, a 0.1% decline from the year-ago month. Capacity rose 0.5% to 7.8 billion ASMs and load factor fell 0.5 point to 83.7%. Domestic traffic lifted 0.8%, capacity climbed 0.7% and load factor remained at 84.3%. International traffic grew 0.9%, capacity was up 2.8% and load factor was down 1.6 points to 84.3%. AirTran Airways flew 1.43 billion RPMs in April, up 18.5% on the year-ago month. Capacity climbed 21.5% to 1.86 billion ASMs, dropping load factor 2 points to 76.8%.
The Qantas board announced Sunday that the five-month, A$11.1 billion ($9.11 billion) takeover bid by Airline Partners Australia had failed despite a weekend of frantic appeals by the consortium to Australian regulators.
Malev Hungarian Airlines announced last week that its sale to AirBridge, a consortium led by KrasAir CEO Boris Abramovich, was completed with the transfer of shares from the Hungarian government ( ATWOnline, Feb. 27). The transaction includes AirBridge's assumption of Malev's loans and is part of the consortium's €102 million ($138.6 million) investment in the carrier.
Airbus workers at two French plants temporarily walked off the job last week over the company's proposal for worker bonuses that one union leader called "shocking." Airbus and parent EADS executives, meanwhile, reportedly got a hostile reception during an EADS shareholder meeting Friday, with shareholders shouting at them about Airbus's financial troubles as they made presentations on the manufacturer's restructuring program.
American Airlines pilots, represented by the Allied Pilots Assn., last week presented a proposal to management asking for a 30.5% pay rate increase on the date a new labor agreement is signed retroactive to May 1, 2008, a 15% signing bonus and 5% annual raises in following years. APA President Ralph Hunter said other stakeholders "have already recovered their investment in our airline's turnaround. .
Austria's regional market is getting two new carriers and losing another. Robin Hood Aviation will launch 10-times-weekly Graz-Zurich service May 29 using Saab 340s and said it has two more of the type on order. Another new regional, Salzburg-based Austrojet, said it will take delivery of its first aircraft, a Dash 8-300, this month. Meanwhile, startup Smartline ceased operations after just three weeks. It operated flights between St. Gallen/Altenrhein and Monchengladbach with Beech 1900s.
Hawaiian Airlines parent Hawaiian Holdings reported a first-quarter net loss of $11.9 million, narrowed from a net loss of $12.3 million in the year-ago quarter, as it continued to face stiff competition both on flights to the US mainland and on inter-island routes.
Airline Partners Australia's five-month race to acquire Qantas will reach the finish line today at 4 p.m. Australian Eastern Time, by which time the consortium must have 50% acceptance ( ATWOnline, May 1). It has gained some ground, announcing yesterday that it has secured 32.96%, up from just 25.94% 24 hr. earlier, while its voting power has risen to 27.78% from 17.63%.
SAS reported a net loss of SEK47 million ($7 million) for the first quarter ended March 31, a significant narrowing from the SEK1.06 billion loss suffered in the first three months of 2006.
