Aer Lingus intends to add 26 long-haul flights per week following delivery of two new A330s in May and June that will boost its long-haul fleet to nine aircraft. "The arrival of two new long-haul aircraft next year marks the first phase of the long-haul expansion plan and gives Aer Lingus the opportunity to develop its presence in the US market," CEO Dermot Mannion said in a statement. The Irish carrier, which is the target of a hostile takeover by Ryanair, currently serves four destinations in the US and one in the Middle East.
AirCell yesterday received a US Federal Communications Commission frequency license that the company said will enable it "to provide exclusive broadband connectivity to US airlines and business aircraft beginning in early 2008." AirCell President and CEO Jack Blumenstein said, "Receiving this exclusive air-to-ground broadband license is a historic event in the airborne telecommunications industry. In just over a year, the flying public will have the ability to use their own Wi-Fi-enabled laptops and PDAs to communicate just like they do on the ground."
Delta Connection carrier Comair yesterday asked a US Bankruptcy Court to allow it to impose pay concessions if it fails to reach agreement with its 1,500 pilots on cost cuts. The bankrupt Regional is seeking $15.8 million in annual savings from pilots.
FedEx Express, the delivery giant's airline unit, yesterday signed an agreement to acquire its Indian service provider, Prakash Air Freight, for $30 million in cash. PAFEX has 384 offices in India and serves nearly 4,400 destinations. It has been FedEx's service provider there since 2002, providing domestic logistics and courier delivery support for the US express company's airline operations in India. The deal is subject to regulatory approval by India's government.
Insisting that his carrier has "a number of weapons to choose from," Southwest Airlines CEO Gary Kelly told reporters and analysts at the company's Dallas headquarters this week that a 15% increase in year-end earnings remains a goal for both 2006 and 2007.
Austrian Airlines said yesterday that it will cut its long-haul fleet from 16 to 10 aircraft, resulting in route eliminations and likely job reductions. The carrier's supervisory board on Nov. 1 approved a proposal to eliminate four A330-200s in 2007. With the sale of two remaining A340-300s slated to be completed next year, the long-haul fleet will consist of four 777-200ERs and six 767-300ERs by no later than the end of 2007.
Eos Airlines, which operates premium-class service between New York JFK and London, secured $75 million in capital investment funding that will be used to expand its fleet in 2007. Currently, Eos operates three 757-200s configured with 48 fully horizontal flat bed seats and features curbside access for "fast track" check-in for passengers. Company officials said it is maintaining load factors in excess of 65%.
TAM said late Tuesday that it placed a firm order for four 777-300ERs, the first Boeing jets it has ever purchased, and will take delivery of the aircraft in mid-2008. Additionally, Brazil's largest airline reported that it more than doubled its third-quarter net profit to BRL212.7 million ($99.2 million) from BRL93.3 million in the year-ago quarter on a 34.8% jump in revenues to BRL2.08 billion.
Turkish Airlines President and CEO Temel Kotil told ATWOnline yesterday in Istanbul that the carrier is moving forward with preparations to join the Star Alliance and expects to achieve full membership by the fourth quarter of 2008 at the latest. Tokil said Star will benefit from access to a Turkish market with 70 million people and Istanbul's proximity to Central Asia, the Middle East, the Far East and Africa. "We want to make Istanbul a strong hub for Star," he said. "From here we reach 85 capitals in three hours flying time."
Mexicana Airlines reached a cost-cutting agreement with its pilots that the carrier said will lower expenses by $50 million annually. Reuters reported that the more than 800 pilots agreed to benefit cuts, including lower overtime pay and a shortening of vacations, in exchange for pay raises in each of the next four years. The wage increases will be calculated by taking the rate of inflation and adding one percentage point.
HLX and Hapagfly plan to announce a new name for their joint airline operation this month. The carriers will offer a joint summer schedule that they estimate will increase collective capacity by 25%. The new airline will operate flights to 16 countries with a fleet of 56 aircraft.
Mesaba Airlines, which has been working to avoid work stoppages as it goes through a Chapter 11 restructuring, reached a tentative agreement yesterday on a new labor contract with its mechanics, represented by the Aircraft Mechanics Fraternal Assn., one of three unions representing the Regional's employees. Members of the Assn. of Flight Attendants and Air Line Pilots Assn. reached tentative agreements late last week on new wage and benefit packages ( ATWOnline, Oct. 31).
Sun Country Airlines has been acquired by a group of investors who said they plan to expand the airline and develop markets for both business and leisure travelers. The acquisition of the St. Paul, Minn.-based carrier by Petters Group and Whitebox Advisors was concluded Oct. 31.
Alaska Airlines named Bob Bernicchi MD-maintenance engineering. He has been director of MD-80 and 737-200 fleet engineering since joining the airline in 2005. He previously spent 21 years at United Airlines, where he served as chief engineer of narrowbody aircraft.
ON HIS VERY FIRST TRIP to Brazil, Flybe CEO Jim French picked up a little something that he couldn't wait to get home and use: The first 118-seat Embraer 195, newest and largest member of the 170/190 family. It is, by his account, the ideal aircraft for the British low-fare carrier, which has evolved away from its Regional airline roots yet still maintains a close kinship in many respects, including operating the world's largest fleet of Q400 turboprops and connecting many of the UK's smallest cities. "The great thing about [the 195 is] it will blend entirely with our Q400 fleet
WestJet executives and employees gathered in the airline's hangar here earlier this year for a "farewell party" to commemorate the retirement of the low-cost carrier's last 737-200, an aircraft type that was once its workhorse but has given way to a new, more fuel efficient fleet of 63 737NGs. The January bash to toast an airplane whose time had passed was, in a sense, also a way to say goodbye to WestJet's founding era.
AirCell appointed Thomas E. Weigman senior VP-wireless services. Air France Industries named Pierre Bosse senior VP-Components & Logistics Services business unit and Patrice Mathonniere to succeed Bosse as GM-narrowbody overhaul. ACI-Europe tapped Olivier Jankovec as DG. ACI-NA elected Frederick Piccolo chairman, Roy Williams first vice chairman, Randall Walker second vice chairman and John D. Clark secretary-treasurer.
IF THERE IS A SINGLE EXAMPLE that reinforces the belief that the 787 is a game-changer for Boeing, it can be found in Nagoya, where in the space of a few minutes you can observe the wing box construction for the 787 and the earlier 777. While it may be just a short journey from one facility to the other, it feels as if you have stepped into a time machine. The 777 production hall looks like a relic from the last century; the 787 facility could double as the set for the next James Cameron-directed space adventure, "Avatar." Gone are the ear-shattering rivet
THE PAST FEW YEARS HAVE BEEN A major ordeal for Russia's commercial airlines. Beginning in 2000 and continuing through 2004, operators enjoyed significant traffic growth, with passenger numbers increasing at an average rate of 10% annually. But in 2005 that growth slowed dramatically, to just 3.9% from 14.9% the year before. The root cause of the slowdown was the rapid rise in fuel prices, up 60% from June to December 2004, which worsened the economics of Soviet-built aircraft just as carriers faced increased maintenance costs to operate them. In response, airlines
Shanghai Airlines became an Airbus customer for the first time with an order for five A321s. The aircraft are part of China Aviation Supplies Import and Export Group's order for 150 A320 family aircraft placed last year. Although the airline operates a nearly all-Boeing fleet (it said it flies 13 757-200s, six 767-300s, six 737-700s and 16 737-800s), President Zhou Chi said the A321 "meet[s] our strategic development plan," which includes "entering into the new phase of expanding internationally and comprehensively."
Iberia will report a third-quarter profit of €75.5 million ($96.1 million), down 79.7% from the €372.5 million earned in the year-ago quarter, when it releases its results in two weeks, according to figures presented this week at the carrier's Investor and Analyst Day in Madrid. The year-ago period's profit was buoyed by a €635.1 million gain resulting from IB's sale of its stake in Amadeus. Operating revenues rose 6.7% to €1.42 billion and operating profit increased 8.6% to €87.7 million in the quarter.
United Airlines parent UAL Corp. reported second-quarter net income of $190 million, reversed from a $1.77 billion net loss in the year-ago quarter and its second straight profitable quarter following a lengthy bankruptcy restructuring. Chairman, President and CEO Glenn Tilton said cost controls, revenue optimization and a focus on core strengths were behind the results, which "underscore our progress" and show that the company is "building momentum." Added CFO Jake Brace: "We are generating cash and we are making progress reducing our costs to lessen inflationary pressures."
Regional Airline Assn. President Deborah McElroy said yesterday that she is leaving her post to accept a senior management position with Airports Council International-North America. McElroy, who has worked for RAA for 20 years, will become ACI-NA's senior VP-government affairs and will be responsible for managing lobbying efforts and policy development. She will assume the new position in mid-December.
Caribbean Star Airlines took delivery of a Q300, the fourth new aircraft added this year as part of its fleet expansion program. In addition to the four Q300s, the carrier operates seven Dash 8s to 12 Caribbean destinations. Separately, it reinstated plans for service between Trinidad and Curacao.
