In a move that reflects the continuing restructuring occurring in the aviation MRO aftermarket, SAS Group yesterday announced that it is "in the process of evaluating the future structure and strategy of SAS Component," including "negotiations with an international consortium of a possible partnership or acquisition." Conclusions from the evaluation and talks are likely to be drawn before the end of June. A subsidiary of SAS Technical Services, SAS Component has teamed with EADS Sogerma in the Free 2Fly program offering airlines total component support.
Gol reported its traffic results for April. Domestically, the carrier flew 680.1 million RPKs during the month, up 56.5% over the year-ago period. Capacity increased 34.3% to 903.1 million ASKs and load factor gained 10.7 points to 75.3%. Internationally, Gol flew 37.4 million RPKs on capacity of 56 million ASKs, which produced a load factor of 66.8%.
Republic Airways Holdings wrapped up the purchase of Shuttle America for $1 million and the assumption of just under $1 million in debt ( ATWOnline, April 25). The carrier is an affiliate of Wexford Capital, the majority shareholder of Republic Holdings, parent company of Republic Airlines and Chautauqua Airlines. Shuttle America, which operates a fleet of 11 Saab 340s, will begin Embraer 170 operations in June for United Express and plans to end all turboprop flying by year end.
Northwest Airlines announced that Senior VP-Labor Relations Robert Brodin will retire at the end of the month. VP-Labor Relations Julie Hagen Showers will assume leadership for the group and will report to Mike Becker, who has been named senior VP-human resources and labor relations.
US Airways flew 3.47 billion RPMs in April, down 0.2% compared to the year-ago period. Capacity climbed 5% to 4.58 billion ASMs and load factor fell 3.9 points to 75.9%. For the four months ended April 30, RPMs jumped 4.1% to 13.12 billion, ASMs increased 2.4% to 17.76 billion and load factor gained 1.2 points to 73.9%.
ARINC was selected to provide advanced passenger check-in systems and related technologies for the $4 billion Dubai International Airport Terminal 3 project.
JetBlue Airways flew 1.63 billion RPMs in April, up 26.6% over the year-ago period. Capacity climbed 25.1% to 1.86 billion ASMs and load factor rose 1 point to 87.3%. For the four months ended April 30, RPMs increased 30.1% to 6.06 billion, ASMs jumped 23.2% to 7.03 billion and load factor gained 4.6 points to 86.2%.
Iberia and Avianca have broadened their codeshare agreement to cover additional destinations in both Spain and Colombia. Effective May 1, Iberia added its code to Avianca's flights between Bogota and Barranquilla, Bucaramanga and Armenia, while Avianca placed its code on Iberia flights between Madrid and La Coruna, Santiago, Vigo, Oviedo, Bilbao, San Sebastian, Pamplona, Majorca, Malaga and Seville, as well as Las Palmas and Tenerife.
Air Canada flew 3.38 billion RPMs in April, up 4.7% over the year-ago period. Capacity climbed 1.1% to 4.2 billion ASMs and load factor gained 2.8 points to 80.5%. For the four months ended April 30, RPMs rose 4.8% to 13.49 billion, ASMs decreased 1% to 17.08 billion and load factor jumped 4.3 points to 79%.
Emirates announced that Crown Prince of Dubai and UAE Minister of Defense Mohammed Bin Rashid Al Maktoum has approved the carrier's plans to construct a new five-star, Dhs800 million ($218 million) luxury hotel in Dubai. Separately, Emirates launched Congress Solutions Dubai, a professional congress organizer that will provide "comprehensive management and consultancy services to a broad range of institutions and associations with a goal of organizing large-scale meetings in Dubai."
Ryanair said passenger numbers totaled 2.7 million in April, up 24% on the year-ago period. Load factor lost 1 point to 81%. For the rolling 12 months ended April 30, passenger numbers totaled 28.1 million and load factor averaged 84%.
WestJet flew 585.7 million RPMs in April, up 35.1% over the year-ago period. Capacity climbed 28.5% to 850.8 million ASMs and load factor gained 3.3 points to 68.8%. For the four months ended April 30, RPMs increased 40.4% to 2.52 billion, ASMs rose 30.4% to 3.48 billion and load factor jumped 5.2 points to 72.4%.
SAS said Sveneric Persson, currently president and CEO of its Finnish subsidiary Blue1, will take over as VP-Americas based in New York on Sept. 1. He replaces Jorgen Hoe-Knudsen, senior SAS executive in the Americas since 1996, who is retiring. Persson joined the airline in 1970.
British Airways World Cargo and worldwide logistics and forwarder grouping IFLN announced a strategic partnership to increase their business together. "The commitment from both parties recognizes the potential of the IFLN member companies to utilize BA World Cargo's global network, a benefit that will offer greater freighting possibilities to IFLN and its customers," they said in a statement.
Boullioun Aviation Services inked a medium-term lease with TUI Group for a CFM56-3C1-powered 737-300. The aircraft will be delivered later this month and will be operated by Thomsonfly, Britannia Airways' low-cost carrier. Both Britannia Airways and Thomsonfly are part of TUI Group.
Air Jamaica pilots will take a 5.6% pay cut under a new contract reached with the airline last week. According to the Associated Press, the 180 pilots also agreed to a reduction in a range of employee benefits, including meal allowances and overtime pay. The carrier, which has posted massive losses owing to higher fuel costs and a significant drop in passengers following 9/11, did not reveal how much it will save with the new deal.
Volga-Dnepr Airlines is extending its outsize and heavyweight air cargo service capability in Afghanistan to include Kandahar and Heart. Since December 2001, Volga-Dnepr has operated more than 570 cargo flights into Kabul using An-124-100 and Il-76 freighters.
Delta Air Lines, which posted an industry-leading first-quarter net loss of $1.08 billion ( ATWOnline, April 22), yesterday said that under current rules it estimates that its pension plan funding for 2005-08 will total roughly $4.1 billion.
Bmibaby plans to add three 737-300s to increase its fleet from 16 to 19 aircraft. It will take delivery of the new long-term-leased 737s this fall. Over the coming months it will be working with the airports it serves to identify where the new aircraft will be based and which routes they will be flying. "The additional aircraft will mean that by 2006 more than 4.5 million passengers will be flying with bmibaby, consolidating the airline as the second-largest low-cost carrier based in the UK," MD David Bryon commented.
Wizz Air will launch operations from Poznan, its fourth city in Poland, beginning Sept. 18, offering four weekly flights to London Luton using A320s. Wizz Air has carried more than 1.1 million passengers since launching in May 2004, more than 700,000 of whom have traveled on its Polish routes.
United Airlines flew 9.05 billion RPMs in April, down 3.8% compared to the year-ago period. Capacity declined 4% to 11.3 billion ASMs and load factor gained 0.2 point to 80.1%. For the four months ended April 30, RPMs increased 0.4% to 35.58 billion, ASMs decreased 2.5% to 45.24 billion and load factor rose 2.2 points to 78.6%.
Northwest Airlines flew 6.34 billion RPMs in April, up 8.2% over the year-ago period. Capacity climbed 6.9% to 7.81 billion ASMs and load factor gained 1 point to 81.2%. For the four months ended April 30, RPMs rose 8.6% to 24.5 billion, ASMs increased 4.9% to 30.57 billion and load factor jumped 2.8 points to 80.2%.
FLYi, parent of Independence Air, posted a preliminary net loss of $105 million in the first quarter ended March 31, a figure that exceeded its total revenues for the period and compared to net income of $3.6 million in the year-ago quarter.
Boosted by a gain in non-DHL revenue, ABX Air posted an 18.4% increase in net income to $7.1 million in the quarter ended March 31 from net income of $6 million in the year-ago period. Net earnings for the 2005 quarter included $5.1 million from the company's two commercial agreements with DHL Express (USA) and $2 million from non-DHL business. "We are extremely pleased to report another strong quarter," President and CEO Joe Hete said. "In addition to supporting DHL, we were able to sharply increase our revenues and earnings from our non-DHL business."
In a blow to Airbus, Northwest Airlines yesterday said it has ordered 18 787s with options and purchase rights for up to 50 more. NWA operates 15 A330-200s and dash 300s and has 17 more on order, so was an obvious candidate for the proposed A350. Instead, the carrier, which has not ordered a Boeing widebody since the 747-400, chose the Dreamliner. It did not disclose which version but said its 787s will be fitted with 36 World Business Class and 185 coach seats and will have a nonstop range of 8,500 nm, which implies the 787-8. Engine selection was not announced.