Aviareps named Johnny Gardsaeter GM-Stockholm. Boeing appointed Roger Bone president-Boeing UK. CSA Czech Airlines selected Lubos Frank as UK sales dir. and Julie Sumner as sales mgr.-North of England.
Lufthansa Systems' O&D-based ProfitLine/Yield revenue management system was chosen by AiRUnion, a new airline alliance in Russia comprising KrasAir, Omskavia, Sibaviatrans, Domodedovo Airlines, Samara Airlines and SAT Airlines. Together the carriers serve more than 5.5 million passengers annually. LHS said it will work closely with Moscow-based Transport Automation Information Systems to implement the solution.
Bucking the trend toward outsourcing maintenance, Qantas said it intends to establish a new consolidated "center of excellence" in Sydney for maintenance of Rolls-Royce RB211 engines. However, the airline also said it will eliminate 60 positions from its Sydney workforce as a result of consolidation and the establishment of Jet Turbine Services, a joint venture with Virgin Blue parent Patrick Corp. for maintenance of CF6 and CFM56 engines in Melbourne. The consolidated facility will employ around 300.
Republic Airways Holdings acquired three Embraer 170s previously ordered by US Airways. They will be leased from GE Commercial Aviation Services and placed into service on the Republic Airlines operating certificate for service in the US Airways Express network.
Air New Zealand, which announced an 8% improvement in net earnings to NZ$180 million ($125.6 million) for its June 30 fiscal year ( ATWOnline, Aug. 30), is reconstructing its service strategy for the Tasman in a bid to become more cost-competitive as a sharply rising fuel bill and falling yields threaten to reduce profit by 40% for 2005-06.
A strategic plan outlining future cooperation between SN Brussels Airlines and Virgin Express is to be presented to the board of parent SN Airholding today, Virgin Express MD Neil Burrows confirmed to ATWOnline.
Alitalia denied press speculation that it is increasing its planned workforce reduction to eliminate an additional 2,000 jobs as part of a revision to its business plan.
China Southern Airlines said it finalized an earlier commitment for 10 787s, part of a commitment from six Chinese airlines for 60 Dreamliners announced in January. The first 787 will be delivered to China Southern in July 2008, one month prior to the start of the 2008 Summer Olympic Games in Beijing. The remaining aircraft will be delivered through 2010. Last month, China Eastern, Air China, Shanghai Airlines and Xiamen Airlines said they had signed up for 42 787s ( ATWOnline, Aug. 9), leaving only Hainan Airlines to consummate an order for six.
General Electric said Republic Airways signed a 10-year, $150 million OnPoint Solutions service agreement covering maintenance, overhaul and repair of 110 CF34-8E engines powering its Embraer 170s. OnPoint services include overhaul, on-wing support, new and used parts, component repair, technology upgrades, engine leasing and diagnostics.
United Airlines awarded a five-year contract covering all of its 777 heavy airframe maintenance to Ameco Beijing, the 60/40 joint venture between Air China and Lufthansa. Value of the deal was not supplied. More than 50 heavy maintenance visits are planned for the first three years, with as many as 80 over the contractual period. Work begins in October with five aircraft nose-to-tail, Ameco said. United's 777 fleet numbers 53 aircraft of which 52 are in service, according to Airclaims data.
ARINC was selected as data link service provider for AeroMexico. Under a contract just signed, ARINC will provide its GlobaLink VHF data link service to the carrier.
Arab Air Carrier Organization said its 23 member airlines transported 9.1 million passengers in the first quarter of 2005, up 6.7% compared to the year-ago period. Based on data from most of the carriers, RPKs for the group rose 8.7% to 1.9 billion while ASKs grew 7.1% to 2.78 billion. Load factor improved slightly to 68.6% from 68.4%.
American Airlines Cargo will raise its fuel surcharge from $0.45/kg. to $0.50/kg. for most US-origin international shipments and from $0.18/lb. to $0.20/lb. for domestic shipments, effective Sept. 5. It hiked the surcharge associated with its Priority Parcel Service product from $1 to $3 per shipment.
Iberia Cargo is using a new refrigeration chamber facility at Madrid Barajas to store flowers before their transshipment to other Spanish cities and Central European destinations. Iberia said it transports "about 13.5% of all the flowers carried between Latin America and Europe."
Switzerland-based elite travel specialist PrivatAir added another airline customer for its services tailored to long, thin business markets. Beginning Oct. 30, the company will operate a Boeing Business Jet on behalf of KLM between Amsterdam Schiphol and Houston George Bush Intercontinental Airport six times per week. The BBJ, which is based on the 737-700, will be equipped with 44 lie-flat business class seats in a 2-2 configuration.
Republic Airlines, a subsidiary of Republic Airways Holdings, received a Part 121 Airworthiness Certificate from FAA that will allow it to begin scheduled passenger operations of Embraer 170s for US Airways Express in September. Republic Airlines expects to operate up to 28 of the aircraft on behalf of that carrier, which is merging with America West. "Obviously we are pleased that we have completed the process," spokesperson Warren Wilkinson told ATWOnline.
AirAsia reported a profit attributable to shareholders of MYR111.6 million ($29.6 million) for the fiscal year ended June 30, more than double the previous year's income of MYR49 million but 30% below the profit of MYR160 million in its float forecast. The lower results were attributed to a number of factors, among them a shortage of aircraft, higher fuel prices, "irrational competition" and the impact on air travel demand of the December tsunami disaster.
Japan Airlines and Mexicana Airlines reached a codeshare agreement based on connections in Los Angeles that will expand JAL's network in Mexico to four cities and provide Mexicana with access to Tokyo and Osaka. Subject to government approval, the accord will come into effect Oct. 30. Implementation of a frequent-flier program partnership also is being discussed and will be put into effect once its scope and terms are finalized.
Air New Zealand earned NZ$180 million ($125.6 million) in its fiscal year ended June 30, up 8% over income of NZ$166.2 million in FY04, and Chairman John Palmer flagged that the airline is carrying on "a comprehensive review" of its engineering business, some parts of which are "financially underperforming." Profit before unusuals and tax was NZ$235 million, down 3% from NZ$243 million last year. Group operating revenue rose 3% to NZ$3.62 billion. EBIT declined 9.8% to NZ$212 million from NZ$235 million.
China Southern Airlines Group reported a hefty first-half net loss under IFRS of RMB907 million ($112 million), reversing income of RMB266 million in the January-June 2004 period. Turnover for the group totaled RMB17.84 billion, up 60% compared to the previous period. Passenger revenue of RMB16 billion represented 91.5% of the total. Domestic passenger revenue was RMB13 billion, up 64%, while revenue on services to Hong Kong rose 12% to RMB599 million and international route revenues climbed 77.5% to RMB2.4 billion.
Northwest Airlines has largely recovered to pre-strike levels of reliability, the carrier claimed on Friday. In the first public disclosure of operating metrics since the carrier's mechanics and aircraft cleaners went on strike at 12:01 a.m. Aug. 20, Executive VP-Operations Andy Roberts said system completion factor was running at 98.2% as of mid-afternoon Friday.
CAE received an order for a 737-800 full flight simulator from Zhuhai Flight Training Center, its joint venture with China Southern Airlines. At list prices, the contract's value is C$16 million. The order brings the number of CAE-built simulators that the facility operates to 10, making it the largest independent training facility in China, according to CAE.
Shenzhen Airlines chose CFM56-5Bs to power three A320s and two A319s on order. CFMI valued the engine deal at $60 million at list prices. GE will provide total maintenance support for the engines under a 15-year OnPoint Solution services agreement potentially worth up to $240 million.
Cash-strapped Delta Air Lines reached a revised agreement with its existing Visa/MasterCard processor to extend the terms of its contract to Oct. 31 and reduce the amount of cash "holdback" required by the processor. The contract had been set to expire Aug. 31. In a filing with the US Securities and Exchange Commission late last week, Delta said that under the amended agreement, it estimates that the holdback will reach $625 million by the new expiration date, down from $750 million it previously expected to have tied up as collateral by the end of October ( ATWOnline, Aug.
