US air express revenues reached a record $31.3 billion in 2005, a 4.7% increase over 2004, but traffic remained flat, according to an industry study released last week.
S7 Airlines will use an A310-200 on its services to and from Yakutsk following the resolution of operational issues at the airport. It has been using Tu-154s. Also, S7 will place its code on 10-times-weekly flights between Moscow Domodedovo and Chisinau operated by Air Moldova aboard A320s.
Singapore Airlines flew 7.38 billion RPKs in June, an 8.5% increase over the year-ago month. Capacity rose 2.1% to 9.24 billion ASKs, lifting load factor 4.7 points to 79.9%. Hawaiian Airlines flew 575.5 million RPMs in June, a 1.1% increase over the year-ago month. Capacity rose 0.2% to 661.4 million ASMs and load factor climbed 0.8 point to 87%. Air Berlin transported 1.5 million passengers in June, a 14.9% increase over the year-ago month. Load factor rose 4.3 points to 84.5%.
SkyEurope Airlines will begin thrice-weekly Salzburg-Paris Orly service on Sept. 15. Innsbruck-Orly service will be discontinued. Also, SkyEurope took delivery of its fifth 737-700 last month. It will be based in Krakow. The airline flew 283,388 passengers in June, a 36.3% increase over the year-ago month. Load factor plunged 9.6 points to 77.6%. The drop "reflects a significant reduction in the proportion of nonscheduled services, which are accounted as fully booked flights," SkyEurope said.
Continental Airlines on Friday officially selected Chautauqua Airlines to provide and operate 44 regional jets as a Continental Express carrier beginning in 2007, filling a void created earlier this year when the Major failed to reach agreement with ExpressJet on a new capacity purchase deal to keep the Regional's 69 aircraft flying under the CO code.
Demand that outpaced capacity, floundering competition and effective cost and fuel management resulted in another good quarter for Gol, which finished the three months ended June 30 with a net income of BRL106.7 million ($48.8 million), an increase of 45.4% over the BRL73.4 million earned in the second quarter of 2005.
Embattled Airbus ended the Farnborough Airshow on a high note, announcing Friday that Singapore Airlines signed a letter of intent for up to 40 A350-900 XWBs and up to 15 A380s, for which SIA is the launch customer. The LOI covers 20 firm plus 20 options for the A350 XWB and nine new orders for the A380 plus six new options. The A350s will be delivered in 2012 and as an interim measure SIA will lease 19 A330-300s for delivery in 2009-10. The first of the newly ordered A380s will be delivered in mid-2008.
SAS Group airlines flew 3.66 billion RPKs in June, a 7.1% increase over the year-ago month. Capacity climbed 3.3% to 4.78 billion ASKs, lifting load factor 2.7 points to 76.6%. SAS Scandinavian Airlines flew 2.6 billion RPKs, a 0.5% decline, against a 2.4% fall in capacity to 3.26 billion ASKs. Load factor rose 1.5 points to 79.9%.
Caribbean Star Airlines and Caribbean Sun Airlines announced cost-cutting initiatives including the retirement of two leased Dash 8-100s and suspension of Sun service to St. Croix, St. Thomas and Santiago and Star flights to Anguilla as of Sept. 11. Sun will continue to fly to the Dominican Republic with a new four-times-daily San Juan-Santo Domingo service launched last week.
Comair was granted permission Friday by the US Bankruptcy Court to void the labor agreement with its approximately 1,000 cabin staff and impose a reduced $7.9 million in annual concessions. The airline submitted a second request for relief following the breakdown of negotiations last month ( ATWOnline, June 28).
Saab Aerostructures was awarded a renewed, $60 million contract by Airbus UK to supply ailerons for A320 family aircraft. Saab has delivered more than 1,000 units since 2000.
China Eastern Airlines confirmed Friday it is in talks with several potential foreign investors including Singapore Airlines, according to press reports. Reuters reported that the carrier is considering selling at least a 20% stake, which would be worth approximately $260 million.
ST Aerospace completed the transfer of Airline Rotables of the UK to SAS Component for $22.5 million. The consideration comes by way of issuance of new shares in SAS Component to STA. The transaction was announced in December as part of ST's acquisition of 67% of SAS Component ( ATWOnline, Dec. 16, 2005). It now holds 71.3%.
Futura International Airways of Palma de Mallorca ordered three 737-800s plus three purchase rights, Boeing announced Friday. The three firm aircraft are worth about $210 million at list prices and are scheduled for delivery in 2009 and 2010. Futura, owned in part by Spanish equity firm Corpfin Capital (65%) and Aer Lingus (20%), operates 11 dash 800s and 13 other 737 family aircraft.
MAXjet Airways took delivery of its third 767 and reported that it carried around 3,950 passengers from New York JFK to London Stansted in May, achieving a load factor of 72%. The all-business-class carrier will add a fourth aircraft this year and a third US city to its network. It also serves Washington Dulles five times weekly.
Continental Airlines concluded its best quarter since 2001 with a net profit of $198 million, nearly double the $100 million earned in the second quarter of 2005. "After five years of challenges and hard work, it's great to see a payoff for everyone's efforts. But, even with the progress made, we must continue our focus on eliminating unnecessary costs," Executive VP and CFO Jeff Misner said.
Austrian Airlines Group is looking for further cost-cutting measures and is considering reducing or ending service to Australia. According to a source close to airline management, Austrian pays €400,000 ($500,600) in operational costs for each one of its nine weekly 777-200ER rotations to Australia, where it serves Sydney six-times-weekly and Melbourne thrice-weekly. The route is being pressured by high fuel prices and fierce competition from Middle Eastern carriers operating between Europe and Australia.
ARINC and Bird Consultancy Services announced the introduction of GLOBALink VHF data link communications at Chennai, Delhi, Kolkata, and Mumbai airports. Separately, ARINC was selected by Atlantic Southeast Airlines to provide integrated air/ground communications services. Full installation of the required avionics on ASA's fleet of more than 140 Bombardier jets will not occur until summer 2007. ARINC called the deal "the most advanced package of data applications ever specified by a US Regional carrier."
NAV Canada said this week it is taking the "first step" toward moving to ADS-B satellite-based positioning technology for air traffic control. The first NAV Canada ADS-B deployment will be in northern Canada and cover 250,000 sq. nm. of airspace over Hudson Bay. Cost of the deployment is $10 million. "The initial deployment alone promises to save customers well over $200 million in reduced fuel costs over 15 years through more flexible and fuel-efficient routes," NAV Canada President and CEO John Crichton said.
HEICO Aerospace Holdings acquired Arger Enterprises and "related companies" from Melrose PLC for cash considerations. Arger, based in Nevada, designs, manufactures and distributes approved aircraft and engine parts.
Boeing named Joy Romero president of Boeing Canada Operations and GM of Boeing Winnipeg. Romero had been running Boeing's Salt Lake City components manufacturing site.
Varig may not be well, but it is alive; three days after its bid was rejected by the airline's creditors, freight and logistics company VarigLog, the former Varig subsidiary purchased this year by a consortium led by Volo do Brasil, was the sole and winning bidder at a public auction.
