ANA Group's profit of ¥19.7 billion ($170.3 million) for the fiscal first half ended Sept. 30 was down 34% from ¥29.8 billion earned in the year-ago period owing to the adoption of asset impairment accounting methods. However, the company reported record revenue of ¥690.9 billion and a record operating profit of ¥69.5 billion for the first half of the fiscal year, up 16.4% from ¥59.7 billion in 2004.
Continental Airlines today will become the first carrier to inaugurate scheduled nonstop service between the US and India with the launch of daily flights between its hub at Newark Liberty International Airport and Delhi's Indira Gandhi International. It will use a 283-seat 777-200ER.
United Airlines parent UAL Corp. posted a third-quarter net loss of $1.77 billion as $1.84 billion in bankruptcy-related noncash charges overwhelmed a strong performance at the operating level where the company reported a profit of $165 million, reflecting a 3.5% operating margin, compared with an operating loss of $80 million a year ago.
Emirates and Korean Air signed a codeshare agreement for service between Dubai and Seoul affecting 10 weekly flights between the cities. Emirates launched daily nonstop service to Seoul in May.
Expedia delivers another (potential) blow to Worldspan Expedia delivers another (potential) blow to Worldspan Worldspan told the Securities and Exchange Commission that Expedia has yet another deal with another GDS. "In October2005, Expedia notified us of its intention to move some portion but not all of its European transactions to another GDS provider in 2006," Worldspan said.
Pratt & Whitney will manage all parts inventory and logistics including new spare parts, used serviceable material and part repair under an exclusive contract with United Airlines covering 217 PW4000 engines powering United's 747s, 767s and 777s. The 10-year deal is the largest Materials Management Program agreement in Pratt history and includes a renewal option, the company said. Value was not disclosed. In support of the PMP, Pratt said it will establish a material and logistics hub at San Francisco International Airport that is expected to be fully functional by year end.
Deutsche Lufthansa AG purchased a 4.95% stake worth €170 million ($206.3 million) in Frankfurt Airport operator Fraport AG on Friday, strengthening its partnership with Europe's largest passenger and freight hub. Lufthansa said it plans to increase its holding to 5% in the short term. "Our stake in the airport operator will intensify our partnership with Fraport and lastingly strengthen our airline's position at the major Frankfurt hub," LH Chief Executive Wolfgang Mayrhuber said in a statement. The carrier accounts for approximately 60% of Frankfurt's traffic.
Air New Zealand took delivery Friday of its first 777-200ER, on lease from ILFC and powered by Rolls-Royce Trent 800s. A second 777, to be owned outright, is expected to be delivered Nov. 8. In total, ANZ will purchase four 777s and lease an additional four. Separately, the airline issued a statement refuting claims by EPMU, which represents its engineering staff, that the 777's arrival would mean immediate MRO outsourcing. Engineers planned to protest Saturday's Auckland unveiling wearing black armbands.
AirBridge Cargo and Nippon Cargo Airlines signed an agreement to share 747 cargo capacity between Europe and Japan beginning in January. The carriers will market capacity on twice-weekly flights through AirBridge's Krasnoyarsk hub.
Air Jamaica named Michael Conway as CEO. Conway co-founded America West Airlines in the early 1980s and served as that carrier's CEO in the early 1990s. He also founded and led National Airlines, a short-lived, Las Vegas-based carrier that failed in December 2000.
Midwest Air Group, parent of Midwest Airlines and Skyway Airlines/Midwest Connect, reported a third-quarter net loss of $26.9 million, double the $13.4 million loss in the year-ago period, owing to surging expenses.
Frontier Airlines returned to the black in its fiscal second quarter ended Sept. 30, earning $6.9 million compared to a net loss of $2.1 million in the year-ago period. It marked the carrier's best financial performance in seven quarters, but the Denver-based LCC warned it expects to post a loss in the December quarter that likely will exceed its September quarter profit "in magnitude" owing to higher fuel prices and disruption of its services to Cancun by Hurricane Wilma.
Swiss European Air Lines has been issued its Air Operator's Certificate by the Swiss Federal Office for Civil Aviation, allowing it to begin operations Nov. 1 ( ATWOnline, Oct. 11). The wholly owned Swiss subsidiary will operate wet-lease services in the European market on behalf of its parent company and will serve some 30 destinations. Eighteen Avro RJ 85s/100s and eight Embraer 145s will be transferred to the new company, which will be led by its own management team headed by Peter Koch. Service will commence Tuesday morning with flights from Basel and Geneva to Zurich.
In its first quarterly report since filing for bankruptcy last month, Northwest Airlines Corp. said its net loss widened to $475 million for the three months to Sept. 30 compared to a loss of $46 million in the year-ago period. Excluding $82 million in pension curtailment charges and $159 million in charges related to its Chapter 11 reorganization, net loss for the current period was $234 million. The airline did not address the impact of its continuing mechanics strike on the quarter's performance.
CAE received simulator orders from JetBlue Airways and China Eastern Airlines' training subsidiary worth C$35 million ($29.9 million). CAE will deliver an Embraer 190 full-flight simulator and two Simfinity FTDs for the 190 and the A320 to Orlando and an A320 full-flight simulator and a Simfinity 737NG integrated procedures trainer to Shanghai.
Singapore Airlines parent SIA Group reported a profit attributable to shareholders of S$343.2 million ($202.8 million) for the fiscal second quarter ended Sept. 30, down less than 1% compared to earnings of S$346.4 million last year despite a 65% jump in fuel costs between the periods. Operating revenue rose 9.7% to S$3.35 billion while expenses climbed 10.4% to S$3.02 billion. SIA noted that excluding fuel, expenses actually declined 6.1% compared to the year-ago period. Operating profit rose 3.4% to S$330.6 million from S$319.7 million in 2004.
AirTran Airways reported near-breakeven results for the third quarter to Sept. 30, losing $0.2 million for the period, narrowed from a loss of $9.8 million in the year-ago quarter. "While we continued to drive down nonfuel cost, the increasing price of fuel more than offset our effort," CFO Stan Gadek commented. Fuel expense for the quarter rose 98% to $127.8 million, representing more than a third of operating expenses for the quarter.
LAN Airlines posted a profit of $23.8 million in a busy third quarter marked by record fuel prices and startup costs related to the launch of LAN Argentina. The figure represents a 34.6% drop from $36.4 million net income in the year-ago period. Operating income plunged 75.7% to $10.01 million from $41.1 million.
Cathay Pacific and Air China will codeshare between Beijing and Hong Kong from Oct. 30. Cathay will operate 10 weekly flights to Beijing and Air China will operate thrice-daily roundtrips.
Southwest Airlines will inaugurate its new Denver service ( ATWOnline, October 21) on Jan. 3 with 13 daily nonstop flights to three destinations. Chicago Midway will get four daily roundtrips, Las Vegas five and Phoenix four. Southwest will occupy two gates on the C concourse at Denver International Airport and start with approximately 40 local employees. "Denver is a market that has been a significant gap in Southwest's system for many years, and now we can connect Denver customers into our coast-to-coast operations," CEO Gary Kelly said.
Thai Airways has raised its fourth-quarter fuel hedges. Reuters reported that the carrier increased its cover to 22% at $71 a barrel from 15% at $74 per barrel last quarter.
Air Arabia said it has carried more than 1.5 million passengers in the two years since it started operations and confirmed it will post a proft for the fiscal year ending Dec. 31. "We are now a profitable airline and going to announce our audited financial results on the current financial year early next year," Marketing Manager Jyotsna Kaur Habibullah told Gulf News. She added that the airline, the first and only LCC in the Middle East and North Africa, broke even at the end of its first year. The Sharjah-based carrier commenced operations Oct.
Republic Airways Holdings reported that net income for the third quarter ended Sept. 30 rose 63% to $14 million from $8.6 million earned in the year-ago period. Operating revenues grew 39.2% to $230.2 million while operating expenses climbed 33.2% to $192.8 million, resulting in an operating profit of $37.4 million, up 81.1% from $20.7 million. During the quarter, Republic took delivery of 11 Embraer 170s, six of which will be used for Delta Air Lines, three for US Airways and two for United Airlines.
