Copa Airlines parent Copa Holdings SA filed a registration statement with the US Securities and Exchange Commission covering a proposed offering of 14 million Class A nonvoting shares by two of its shareholders, Continental Airlines and Compania de Inversiones Aereas S.A. The international offering will be led jointly by Morgan Stanley and Goldman, Sachs & Co. Copa estimated the offering will be priced in the range of $15-$17 per share, raising up to $238 million in gross proceeds for the sellers.
Czech Airlines said that an overhaul of its purchasing processes has saved more than CZK140 million ($5.64 million) and should result in further savings of up to CZK300 million next year. Central to the improved performance has been creation of a Central Procurement Dept. and adoption of new purchasing rules, the "unambiguous definition of tender subjects, aggressive price negotiations, and the application of modern purchasing methods, for example electronic auctions." Additionally, the number of CSA suppliers is being cut from 6,500 to some 2,000.
EasyJet intends to cut 10% of its approximately 500-member management and administrative staff. The layoffs were announced in an internal memo circulated by departing CEO Ray Webster and confirmed by an easyJet spokesperson, according to the London Times. Members of the airline's sales and marketing staff, IT and call center employees will be affected. The move came days after the carrier announced a half-year profit of £64.9 million ($111.2 million) ( ATWOnline, Nov. 23).
Airbus is finishing strong in Dubai after receiving a commitment for 70 A320s from AerCap, the Amsterdam-based leasing and asset management firm formerly known as debis AirFinance.
US National Transportation Safety Board added a new page to its website providing the public with information on foreign aviation accident investigations in which NTSB has participated. The page may be accessed at www.ntsb.gov/ntsb/foreign.asp
Czech Airlines and Czech Railways signed a contract for joint marketing of SC Pendolino express trains on the Ostrava-Prague route. The trains will be operated as codeshare connections.
US Airways Group said in a filing with the US Securities and Exchange Commission that it raised $189 million from a public stock offering in September. It said at the conclusion of the filing that "America West Holdings and US Airways Group anticipate the combination of America West Holdings and US Airways Group will result in significant annual revenue, operating and cost synergies that would be unachievable without completing the merger.
UAL Corp., parent of United Airlines, reported in a filing with the US Bankruptcy Court an October net loss of $698 million, or $114 million excluding reorganization expenses driven by charges related to the termination of its pilots defined benefit pension plan. The monthly operating loss of $71 million was about level with the $65 million loss reported in October 2004.
Air France-KLM's net earnings nearly quadrupled in the fiscal second quarter ended Sept. 30, soaring to €717 million ($846.8 million) from €195 million in the year-ago period as traffic rose and the sale of the company's stake in Amadeus resulted in a €504 million capital gain.
Air Paradise International of Indonesia announced yesterday it was suspending service due to the "devastating effects" of the recent Bali terrorist attacks. Chairman and owner Kadek Wiranatha expressed his "sincere regret to the airline's employees, creditors and the traveling public for having to suspend the airline's operations" on the company's website. The number of tourists visiting Bali in October compared to the year-ago month fell 37% to 81,109, according to The Australian.
SAS Group in keeping with its "ongoing program of capital release" agreed yesterday to sell European Aeronautical Group, its wholly owned navigation and flight planning subsidiary, to Canada's Navtech for SEK162 million ($20 million). The sale "fits with our strategy to focus mainly on our core business," SAS President and CEO Joergen Lindegaard said. "Today's acquisition is a significant step toward Navtech's strategic goal of becoming the premier supplier of integrated flight operations solutions to airlines around the world," Navtech President and CEO David Strucke said.
B/E Aerospace announced that President and CEO Robert Khoury will retire at year end. Senior VP and GM-Commercial Aircraft Segment Michael Baughan will be promoted to president and COO. Founder and executive chairman Amin Khoury will assume the role of CEO.
International Lease Finance Corp. signed a deal with Airbus for 12 A350s one day after confirming an order for 20 787s. ILFC is the airframer's largest customer worldwide, having ordered more than 600 new Airbus aircraft since 1989, and was a launch customer for several models including the A380. The order will include dash 800s and dash 900s and took the combined Airbus and Boeing haul in Dubai to more than $20 billion. "The A350's innovative features combined with operational commonality with existing Airbus fleets. . .[make] it an attractive asset to invest in for the future.
Malev formally accepted an invitation to join oneworld at a ceremony yesterday in Budapest, having satisfied most of the conditions established by an MOU signed six months ago ( ATWOnline, May 25).
Passengers boarding international flights in France could pay a tax of up to €40 ($46.90) per ticket under a plan by President Jacques Chirac to be discussed today by the government, AFX News reported. The money reportedly would go toward alleviating health problems in the developing world. The tax would slide depending upon distance and cabin class (business and first class travelers would pay 10 times the levy) and would not apply to inbound flights.
Air Zimbabwe grounded its fleet Monday because of a lack of fuel but was able to resume some flights yesterday. The airline's senior management was suspended, according to the state-run Herald.
Cintra SA, Mexico's state-owned airline company that has managed AeroMexico and Mexicana since the mid-1990s and is attempting to privatize them ( ATWOnline, Feb. 14), said late Monday that only two bidders remain in the running for the government's shares in the airlines, according to media reports. Hotel operator Grupo Posadas and Grupo Xtra, a holding company run by a Mexican businessman, are the only remaining bidders from 10, including Iberia and Icelandair, that were approved in August.
SunExpress, a Turkish leisure carrier owned by Condor and Turkish Airlines, opened a new base in Izmir, where it will keep two aircraft and offer flights to Antalya, Andana, Diyarbakir and Trabzon. Next summer it will begin service to Amsterdam, Paris Orly, Athens and London Stansted. From its Antalya base it will launch service to Vienna, Stansted and possibly Scandinavia. The airline will add three 757-200s in 2006, bringing the fleet to nine 737-800s and four 757s. It also will add 200 employees.
EasyJet, Europe's second-largest LCC, reported a second-half profit of £64.9 million ($111.5 million), a 6.7% rise from the £60.8 million recorded in the year-ago semester and an increase over forecasted numbers ( ATWOnline, Aug. 8). End of fiscal year numbers released by the carrier yesterday showed a 12-month retained profit of £42.6 million, about level with the £41.1 million in net earnings recorded for the year ended Sept. 30, 2004. Pre-tax profit rose 9.1% to £67.9 million.
Sukhoi received a $1 billion order for 20 RRJ-95s plus 20 options from Dubai-based leasing firm Concord Aviation, according to media reports. Known for its military platforms, state-owned Sukhoi is developing civil aviation products at the behest of the Russian government and with the help of foreign firms like Boeing and Snecma. "We are delighted to welcome our first customer outside Russia," Civil Aircraft GD Viktor Subbotin said in a statement. "This is a real breakthrough." Deliveries of the 98-seat regional jets will begin in 2009. Sukhoi also plans a 78-seat RRJ-75.
