The South African government has confirmed that national carrier South African Airways (SAA) will receive recapitalization totaling ZAR10 billion ($700 million) in the 2017-18 financial year.
International Airlines Group (IAG) has reported what it described as a strong third quarter, despite disruptions caused by weather and terrorism during the period.
Finnair reported a 2017 third-quarter net income of €93.6 million ($109.3 million), up 6.8% compared to net profit of €87.6 million a year ago as the Finnish national carrier continues expansion plans based on the strong quarterly performance.
Bankrupt German carrier airberlin operated its last flight Oct. 27 from Munich to Berlin Tegel. The final Airbus A320 flight carried 178 passengers. The oneworld member ceases operations officially Oct. 28, ending nearly 39 years of service.
Fort Lauderdale-based ultra LCC Spirit Airlines posted a $60.2 million net profit for the 2017 third quarter, a 26% decline from $81.4 million in 3Q 2016.
LCC Norwegian has reported a 2017 third-quarter net profit of just over NOK1 billion ($122 million, up 4% year-over-year (YOY), on strong international passenger growth and increasingly high load factors.
American Airlines said it lost an estimated $75 million in pre-tax earnings from the three hurricanes that struck the Caribbean and US mainland in August and September; the company’s $624 million net profit for the 2017 third quarter was a 15.3% drop from 3Q 2016.
Southwest Airlines weathered hurricanes and a competitive fare environment to post a 29.6% year-over-year (YOY) net profit gain in the third quarter, and the Dallas-based carrier is confident about its prospects for 2018.
Two days before the insolvent airberlin ceases operations, last-minute negotiations with both German leisure carrier Condor and UK LCC easyJet about the transfer of assets continue, but many airberlin aircraft are expected to be grounded at least temporarily.
Irish LCC Ryanair has postponed plans to cut its regular hand-luggage allowance from two pieces to just one, shifting the change from Nov. 1 this year to Jan. 15, 2018.
Passenger revenue and strong yield performance on Air Canada’s Atlantic routes helped to propel record 2017 third-quarter results, as the airline reported C$950 million ($763 million) in adjusted net income, up 15.7% from $821 million in adjusted net income for 3Q 2016.
Alaska Air Group executives acknowledged the company’s network expansion this year—44 routes including 32 in California alone—has been met with intense pricing competition, which, combined with pilot shortages at regional carrier Horizon Air, have impacted the 2017 third-quarter results.
Airlines have a unique advantage over every other retail business: their customers are forced to be in one place—an assigned aircraft seat—for multiple hours.
IATA revised its annual 20-year air passenger forecast upward by over a half-billion passengers Oct. 24, and indicated China will overtake the US as the world’s largest aviation market “around 2022,” several years faster than previously predicted.
JetBlue Airways, the airline with the largest presence in Puerto Rico, expects the island’s recovery from Hurricane Maria to last through the end of 2018 and will adjust its operations until then, trimming capacity to/from the US territory by about 33%.
Lufthansa Group LCC subsidiary Eurowings CEO Thorsten Dirks said the European aviation industry is undergoing massive changes following the bankruptcies of Germany’s airberlin, Italian flag carrier Alitalia and UK leisure carrier Monarch Airlines.
Delta Air Lines is exploring making Aeromexico a “second-tier” member of the Delta-Air France-KLM-Alitalia transatlantic joint venture (JV), according to Delta CEO Ed Bastian.
North American airlines are facing headwinds in 2017 that are lowering operating margins compared to 2015 and 2016, but air travel demand in the region remains strong and the overall industry outlook remains stable, according to Fitch Ratings.
