ARINC renewed its contract with Korean Air to continue to provide GLOBALink data and voice communications and AviNet wide-area network service. Terms were not disclosed. Lufthansa Systems won a five-year contract extension with Germanwings to continue to provide its Lido RouteManual navigation charts and will begin providing its electronic version, Lido eRouteManual.
The European Court of Justice ruled yesterday that passengers on flights delayed for more than 3 hr. have the same right to seek compensation from airlines as passengers on cancelled flights.
Lufthansa Technik signed a Total Component Support contract with Air Berlin Group and will manage component supply for AB's 737s, A320 family aircraft, A330s and Q400s. Germany's second-largest carrier will receive on-site service at its Berlin and Dusseldorf hubs and will have access to LHT's warehouses in Hamburg and Frankfurt. A significant portion of AB's inventory already has been transferred to LHT. LHT also announced a seven-year engine support contract with Yemen's Felix Airways.
ARC and American Airlines are developing what the pair described as "a revolutionary" revenue recovery tool that will enable participating airlines to identify duplicate bookings in virtually real time across multiple distribution channels. Although carriers do not disclose the amount of revenue lost through such activities, which typically occur when passengers deliberately make multiple bookings to cover more than one trip, the figure is very large, AA MD-Revenue Management Rick Elieson noted.
IATA reported "an interruption" in the recovery in premium airline travel evidenced in July and August as international premium traffic declined 13.9% year-over-year in September, marking "a deterioration from the 12% August fall." In its latest Premium Travel Monitor, the organization stated, "The question is whether this setback is just the usual volatility--upturns are never smooth--or a change in the previously improving trend." It added that "most analyses" of recent dips in world trade and US consumer confidence, key indicators of passengers' willingness to purchase first-
RDC Aviation said its fuel burn and emissions calculator "has been recognized by the UK Government as fulfil[ing] the approval requirements on specific emissions factors." According to the firm, "this is the first time that a standalone methodology has received such an approval in the UK, paving the way for RDC Aviation to offer its emissions calculator as an approved alternative to simple, generic calculators." RDC Aviation's flight emissions calculator is available at www.rdcaviation.com and on ATWOnline here.
Dunlop Aircraft Tyres opened its new Chinese retread and distribution facility in Jinjiang. The facility, operating as Dunlop Taikoo (Jinjiang) Aircraft Tyres Co., is a joint venture with Hong Kong Aircraft Engineering (28%) and Taikoo (Xiamen) Aircraft Engineering (9%). It has full site and product approval from CAAC and repair station approval from EASA. In addition to retreading, it will support Asia/Pacific customers by distributing new tires manufactured at Dunlop's Birmingham site.
Aer Lingus yesterday threatened to "proceed to implement an alternative means" of delivering the required €97 million ($144.7 million) in cost savings if it cannot reach an agreement with unions by Nov. 30 ( ATWOnline, Nov. 10). It said it accepted an invitation from Ireland's National Implementation Body to mediate negotiations.
Embraer, GE, Azul Linhas Aereas Brasileiras and Amyris, a US/Brazilian biotechnology company, signed an MOU to evaluate the technical and sustainability aspects of Amyris's renewable jet fuel developed from existing sugar cane feedstock. The group is targeting a demonstration flight by early 2012 aboard an Azul E-190. The fuel already has been tested by the US Air Force Research Laboratory, Southwest Research Institute, GE Aviation and others, the companies said. The Brazilian government contributes funding to Amyris's renewable jet fuel production.
ARINC announced that its vMUSE passenger system qualified as a CUPPS Certified Platform. ARINC installed vMUSE technology as a CUPPS platform at Las Vegas McCarran in "a live operational environment" in cooperation with WestJet on Jan. 15. It now has checked in "more than 70,000 passengers" for WS and Continental Airlines and handled as many as 20 flights per day, ARINC said.
Norwegian yesterday revealed its new loyalty program, Norwegian Reward, under which members will receive cash points worth NOK1 each at a 10% rate on full flex tickets and 2% on low-fare tickets for use as full or partial payment on future fares or services. Points can be used at any time, although the airline said that law prohibits individual passengers from earning points on domestic flights. The program is independent from credit card promotions and other schemes.
United Airlines announced the issue of $810 million in enhanced equipment trust certificates comprising two classes due in 2016 and 2017 respectively that it said will generate $290 million in new liquidity. It will use remaining proceeds to repay at par $493 million in equipment notes related to its 2000-02 trust certificates. It said principal payment obligations will be reduced by some $225 million next year and by $175 million in 2011.
Gulfstream International Airlines reported a $3.5 million third-quarter loss, a 13.5% improvement from the $4.1 million deficit posted in the year-ago quarter. The Fort Lauderdale-based regional suffered a 7.3% year-over-year decline in revenue to $19.5 million but its operating loss narrowed to $2.9 million from $4.4 million last year. Nine-month loss of $567,000 compared to an $8.9 million deficit in the year-ago period.
Bombardier's CSeries program took another step forward this week when construction began on a wing manufacturing facility in Belfast. The 600,000-sq.-ft. factory will be built in two phases, incorporating an existing structure. First test wing is expected in 2011. The first test fuselage barrel arrived at Bombardier's Saint-Laurent facility in August ( ATWOnline, Aug.
SAS Group Airlines flew 2.32 billion RPKs in October, down 13.5% from the year-ago month. Capacity fell 18.6% to 3.11 billion ASKs, lifting load factor 4.3 points to 74.3%. SAS Scandinavian Airlines flew 2.13 billion RPKs, down 14.6%, while capacity was cut 20.1% to 2.83 billion ASKs. Load factor rose 4.8 points to 75.4%. Turkish Airlines flew 33.08 billion RPKs through the first 10 months of 2009, up 15.1% year-over-year. Capacity rose 20.9% to 46.28 billion ASKs and load factor dropped 3.6 points to 71.5%.
Horizon Air and the Assn. of Flight Attendants announced a tentative agreement on a proposed two-year labor accord covering 548 cabin staff. Union members will vote by Dec. 21.
Lufthansa is looking at "using some elements from the LCC business model," Passenger Airlines CEO Christoph Franz was quoted as saying this week in several German newspapers. "We have to create additional markets through lower fares." Last week Air France simplified its European product in an effort to lower costs and drive efficiencies, and Franz said LH is considering adding more seats to aircraft serving domestic and continental routes and reducing the amount of onboard service. It currently offers up to six different catering options, from a snack to full dinners.
Finnair was scheduled to resume "a little less than half" of its flight program today after pilots represented by the Finnish Airline Pilots' Assn. agreed to a settlement proposal submitted yesterday by a government mediator. AY was forced to cancel two full days of flying after pilots went on strike late Sunday/early Monday ( ATWOnline, Nov. 17). "In addition to structural changes, we achieved through this agreement significant short-term cost savings.
Jazeera Airways reported a KWD762,745 ($2.7 million) third-quarter profit, down 53.2% from the KWD1.6 million earned in the year-ago period, according to a filing with the Kuwait Stock Exchange cited by several press reports. Revenue rose 4% year-over-year to KWD15.9 million on a 65% lift in passenger numbers to 582,490.
LAN Airlines is "looking at all the possibilities around" for potential mergers or acquisitions, COO Ignacio Cueto told Bloomberg News. "We are window shopping," he said. "There is nothing concrete."
News from Travel Technology Update: OAG, which has played an integral role in the history of commercial aviation, is marking its 80th anniversary this year. For decades, the Official Airline Guide, its flagship product, was essential for travel agents, tour operators, interlining carriers anyone who needed to know which airline flew where and when. The OAG brand is venerable. That's a nice word for "old."
Indian government has "assured support" and promised a INR4 billion ($86.5 million) equity infusion to Air India by January, parent National Aviation Co. of India said yesterday. "Further installments would be tied up to the milestones of savings effected on account of cost-cutting exercise[s] adopted by the national carrier at various levels," NACIL said, adding that it plans to "aggressively rationalize its fleet size and network. . .in the coming months" ( ATWOnline, Nov. 13).
US Transportation Security Administration issued a Notice of Proposed Rule Making that would "establish security requirements for maintenance and repair work conducted on aircraft and aircraft components at domestic and foreign repair stations" and make the repair stations subject to US Dept. of Homeland Security inspections that could lead to decertification.
