US FAA projected a "near term. . .definite pause in growth" for the domestic airline market in its annual aerospace forecast released yesterday but emphasized that growth will be "vibrant down the road." Speaking at the FAA Aviation Forecast Conference in Washington, Acting Administrator Bobby Sturgell said, "We're talking flat growth in operations and slow growth in passengers." He cited a "series of cascading events" that led to the slowdown, including "$100 oil, an economic picture that's in flux, potential consolidations, and credit market woes."
Lufthansa released further details about its plans to operate its own private jet service beginning this year to replace the agreement it had with NetJets to provide the service. First announced three months ago ( ATWOnline, Dec.
Delta Air Lines promoted Delta TechOps Senior VP Tony Charaf to president of the MRO division. VP-Maintenance Operations John Laughter was promoted to senior VP and VP-operational control and reliability while Neil Stronach was elevated to senior VP-operations control. Gil West will join DL as senior VP-airport customer service.
Flight Safety Foundation, winner of Air Transport World's Joseph S. Murphy Industry Service Award for 2008 ( ATWOnline, Jan. 29), announced a partnership with Aviation Safety Foundation-Australasia designed to "better spread the FSF safety message through Australia and Southeast Asia" and offer the Melbourne-based organization access to FSF resources and assistance.
GE Aviation began a scrap reclamation program with Turkish Airlines as launch partner to recycle hardware containing rhenium. Program calls for customers to return scrap HPT blades made from nickel superalloys containing rhenium to GE. "The program will help them with their environmental efforts as well as help reduce the costs associated with material disposal. For GE, it will help us reduce our need for rhenium, which is a rare and costly element," VP-Supply Chain Scott Ernest said. Material is to be cleaned and melted for reuse.
China Southern Airlines Chairman Liu Shaoyong told reporters in Beijing yesterday that he hopes to sign a joint venture cargo agreement with Air France KLM this year, Reuters reported. "Our discussions with Air France are going smoothly," he said. The airline announced last year that it had entered into exclusive talks with AF-KLM to launch a JV freight carrier in China ( ATWOnline, May 16, 2007).
TUIfly's brand will not disappear should the carrier complete its merger with Germanwings, TUI Germany CEO Volker Bottcher said in Berlin yesterday. TUI signed an MOU with Lufthansa in January to combine their LCC subsidiaries into one "joint and independent holding company" ( ATWOnline, Feb. 27). Travel conglomerate TUI owns TUIfly, the combination of Hapag-Lloyd Flug and Hapag-Lloyd Express, while LH partners with Germanwings and Eurowings along with Albrecht Knauf Industriebeteiligung.
Condor Airlines will fit out its nine 767-300ERs with a new premium economy cabin featuring 35 seats with 36-in. pitch. Installation, which is scheduled to be finished by November, will necessitate the reduction of Condor's Comfort Class business cabin to 18 seats from 24.
B/E Aerospace said it won a $200 million contract with an unnamed international airline to retrofit existing widebodies and outfit new aircraft with its Super First Class private suites. Features include personal beds, interactive IFE and dining amenities.
US FAA yesterday proposed a $10.2 million civil penalty against Southwest Airlines "for operating 46 airplanes without performing mandatory inspections for fuselage fatigue cracking," representing "deliberate violations" of an agency airworthiness directive.
Italian conservative leader Silvio Berlusconi toned down his opposition to Air France KLM's acquisition of Alitalia ( ATWOnline, March 6), telling Rai Uno television, "I think it's possible to envision a public company with Alitalia, Air France and KLM, so long as Alitalia remained a national company with the Italian flag on the planes and offices across the world," Agence France Presse reported. Exclusive negotiations between AZ and AF KLM must conclude by March 14.
Delta Air Lines flew 8.47 billion system RPMs in February, a 6.7% increase over the year-ago month. Capacity rose 5.6% to 11.31 billion ASMs and load factor was up 0.8 point to 74.9%. Northwest Airlines flew 5.92 billion consolidated RPMs in February, up 5% on the year-ago month. Capacity climbed 4.5% to 7.38 billion ASMs, lifting load factor 0.3 point to 80.2%. Republic Airways flew 712.7 million RPMs in February, up 39.7% on the year-ago month, against a 37.9% increase in ASMs to 1.02 billion. Load factor rose 0.9 point to 70%.
Qantas yesterday introduced into service its first aircraft, a 747-400, fitted with a premium economy cabin ( ATWOnline, July 24, 2007). Executive GM John Borghetti said the product will be installed in all of QF's 747-400s and A380s. It will be available initially on Sydney-Hong Kong -400 service, with London Heathrow and Johannesburg coming on line as three more -400s are outfitted later this month. The PE cabin has 32 seats in a 2-4-2 configuration. Pitch is 42 in.
Emirates President Tim Clark said the carrier will "have to raise fares and strip costs to compensate" for rising fuel prices. He told Zawya Dow Jones yesterday that EK is targeting cost savings of "at least $100 million" as well as higher fares in the fiscal year ending March 31, 2009.
British Airways subsidiary OpenSkies revealed several product features for the transatlantic 757 service it plans to launch in June. The three-class, 82-seat 757-200s will have 24 business class seats, MD Dale Moss wrote on the startup's website. The cabin, dubbed Biz, will feature lie-flat seats, on-demand IFE with more than 50 hr. of programming and an expanded menu with "more fresh, healthy, a la carte selections. . . and a service style that is modeled from a fine dining restaurant." A Biz ticket also will include dedicated check-in and private airport lounges.
CTC Aviation and flyLAL Training signed an agreement to cooperate in the training and supply of flight deck and cabin crew. Contract calls for delivery of training courses and other activities to support airlines in Europe and Russia.
British Airways flew 8.04 billion RPKs in February, a 5.3% increase over the year-ago month. Capacity climbed 4.4% to 11.77 billion ASKs and load factor rose 0.6 point to 68.4%. Southwest Airlines flew 5.43 billion RPMs in February, up 12% from the year-ago month, against a 9% increase in ASMs to 7.91 billion. Load factor rose 1.8 points to 68.6%. Ryanair transported 3.8 million passengers in February, up 20% from the year-ago month. Load factor slipped 2 points to 75%.
Clarity Systems said JetBlue Airways, Eos Airlines, British Airways and other international and regional carriers selected its Clarity 6 and Clarity FSR technology to streamline budgeting, forecasting and regulatory reporting operations.
Varig added to its growing list of interline agreements by reaching deals with six more European carriers: Aegean Airlines, Air Moldova, Air Comet, CSA Czech Airlines, LOT Polish Airlines and Ukraine International Airlines. The new agreements follow interline accords already forged with its parent Gol, Air France KLM, Hahn Air, Malev Hungarian Airlines, El Al, Air One, Japan Airlines, Mexicana, Korean Air, Iberia, Qatar Airways and Delta Air Lines.
Germanwings will increase the number of employees from the current 1,087 to 1,300 during 2008, MD Thomas Winkelmann said at the ITB convention in Berlin Wednesday. Some 200 new employees will be needed as cabin and cockpit crew as the A319/A320 fleet increases from 28 to 31 this year. He said the carrier was profitable in 2007 but declined to provide figures. Turnover rose 12.7% to €630 million ($957.7 million) and passengers increased 12.5% to 8 million. Last year's load factor was 82%.
JetBlue Airways named Joseph Eng to the new position of executive VP-systems and technology. He formerly was president and CEO of IT solutions and services provider Spectrum Systems. SkyWest Airlines promoted Casey Madsen to director-employee relations, Christopher Brown to director-flight operations and Robin Wall to director-training.
United Airlines announced the distribution of $110 million in profit-sharing payments to US-based employees, bringing to $170 million the amount employees earned in 2007 from performance incentives.
