Bmi launched a reciprocal codeshare agreement with EgyptAir on flights between London Heathrow and Cairo, effectively doubling the number of weekly nonstop services available to 14. The agreement follows on from the launch by bmi on Nov. 4 of a daily LHR-Cairo service and the formal invitation of EgyptAir into Star Alliance ( ATWOnline, Oct. 18). Separately, bmi will launch thrice-weekly LHR-Dammam flights early next year aboard A330s, bringing to three the number of destinations served in Saudi Arabia.
IATA said worldwide premium traffic growth slowed to 2.6% in September from 5.3% in August. "There is much volatility and distortion in the data at present but the [premium traffic] growth trend remains positive," IATA said. "Excluding structurally weak within-Europe markets, premium traffic grew 6.8% in September. . .Strong premium revenues have been key to protecting profitability from high fuel costs."
Dutch Transport and Water Management Inspectorate levied a €30,000 ($43,740) penalty on TAP Portugal and a €15,000 fine on Pegasus Airlines for repeated abuse of the legally set special noise regime during the night and early morning period at Amsterdam Schiphol. Compliance with the relevant environmental standards at AMS has been tightened since July following an agreement between Airport Coordination Netherlands, the Dutch slot coordinator, and the Inspectorate of the Ministry of Transport and Public Works.
Etihad Airways and Virgin Blue announced a comprehensive interline deal that will provide passengers connectivity to 22 Australian cities and from Brisbane and Sydney to Abu Dhabi and beyond to Etihad's 45 international destinations. Deal is effective immediately. Etihad launched daily flights to Sydney in March (becoming 11-times-weekly in March 2008) and thrice-weekly service to Brisbane in September.
EU Consumer Commissioner Meglena Kuneva yesterday said that an investigation of websites selling airline tickets showed that "over 50% used misleading advertising and unfair practices." According to a statement from the European Commission, the investigation covered "Europe's leading airlines, low-cost carriers as well as other websites selling airline tickets." Kuneva did not identify any airlines by name, but in a preemptive move Ryanair defended its pricing transparency and availability of low fares in a statement issued Tuesday: "Ryanair hasn't been contacted by the [EC] as part of
Lufthansa Systems said Silverjet chose its Lido Operations Center flight planning application. Silverjet operates three 767s in an all-business-class configuration from London Luton to New York.
SR Technics concluded a seven-year Integrated Component Solutions agreement with Air India covering component services for A330-200 aircraft with a potential worth of approximately CHF19 million ($16.9 million). Under the accord, SRT will provide full component support including exchange, component maintenance, logistics and access to a consignment stock based at Mumbai.
Sky West Inc., parent of SkyWest Airlines and Atlantic Southeast Airlines, reported third-quarter net income of $42.9 million, up 5.4% from a $40.7 million net profit in the year-ago quarter. Operating revenue increased 10.6% to $875.6 million while expenses rose 11.2% to $783 million, producing operating income of $92.4 million, up 5.4%.
European Parliament yesterday voted as expected to include aviation in the EU's Emissions Trading System from 2011 and to place tighter pollution caps on airlines than initially had been proposed by the European Commission. The move sets up a likely legal challenge from the US and any number of nations opposed to the EU's unilateral action.
KLM Engineering & Maintenance was contracted by Pegasus Airlines to overhaul five CFM56-7Bs plus two options. KLM E&M will provide two leased engines to the Istanbul-based carrier as part of the deal.
South Africa's Civil Aviation Authority ordered the grounding all 737-200s in the country for inspections after an engine fell off a Nationwide Airlines -200 during takeoff in Cape Town last week. The plane returned safely to CPT on one engine.
Boeing said Transavia France signed up for five modules of its Maintenance Performance Toolbox--Structures, Systems, Library, Authoring and Tasks--in an effort to streamline maintenance on its 737-800 fleet.
International Aero Engines said its V2500 SelectOne build standard is on target to deliver a 1% reduction in fuel burn plus savings in other areas. The engine upgrade package is undergoing a three-engine test program, and "performance results indicate" it will provide a 20% improvement in time on wing, "reduce miscellaneous shop visits by up to 40% and demonstrate compliance with the most stringent CAEP/6 NOx standards, in addition to the fuel savings." The flying testbed flight plan has been completed with seven flights and approximately 45 flight hr.
Singapore Technologies Aerospace won three contracts valued at S$232 million ($160 million) from Delta Air Lines. The first will take effect in January and is a two-year heavy maintenance deal on 757-200s with an option to extend it three additional years. The second calls for business class interior modification on 757-200ERs. Work on the 757-200s and 757-200ERs will take place at San Antonio Aerospace. Under the third contract, modifications of 767 IFE systems will begin this month at ST Mobile Aerospace Engineering.
Embraer reported third-quarter net income of $194.9 million, nearly triple net earnings of $67.2 million in the year-ago quarter, as net sales jumped 62.9% to $1.43 billion. The manufacturer delivered 47 jets during the quarter, comprising 38 commercial and nine business aircraft. It delivered 38 jets in the year-ago period. Its firm order backlog reached a record $17.2 billion as of Sept. 30. The company produced 13 jets per month during the quarter and said it aims to build 14 per month by year end. It maintained a delivery forecast of 165-170 for 2007.
Honeywell announced that it signed a contract with AirTran Airways to supply avionics systems on new aircraft and provide maintenance on Honeywell products across the airline's entire fleet through 2030. The contract, which builds on an existing agreement with the Orlando LCC, has a value of $1 billion, of which around 50%-55% represents new business, according to Honeywell VP-Airlines Mike Madsen.
Mexicana and Amadeus announced Friday that the airline signed a preliminary agreement to adopt the full Altea Customer Management Solution to manage its reservations, inventory and departure control. Mexicana CIO Santiago Ontanon pegged the value of the investment at around $40-$50 million out of $100 million the airline has committed to invest in IT systems over five years. He told ATWOnline at the ALTA Airline Leaders Forum that the carrier began its search for a new reservations system around the time it was privatized in 2005.
ABX Air declared Friday that DHL is "in default" of its contracts with the Ohio-based airline that transports cargo throughout the US for the express giant. ABX has both an ACMI and a hub and line-haul service agreement with DHL under which the latter reimburses the former for many of the expenses incurred while conducting DHL business.
Air transport brings economic benefits of $157 billion and supports 27 million jobs in Latin America, IATA DG and CEO Giovanni Bisignani said last week in Cancun as he called for greater transparency about the benefits that airlines bring to the region and the challenges they face in the areas of safety, infrastructure, liberalization and the environment. IATA and the Latin American Civil Aviation Commission are in the process of carrying out economic studies showing the contribution airlines make to the economies and job rolls of nations in the region.
Singapore Airlines is the first customer for A380 Flight Hour Services, a new Airbus support package to provide airlines with "enhanced maintenance and logistics support for spare parts and services for their A380s." The agreement signed with SIA is for an initial 10-year period and covers Airbus LRU spare parts and services for avionics, cabin and integrated modular avionics systems on all the A380s SIA will operate.
Goodrich and Turkish Technic signed an MOU yesterday to establish a joint venture in Istanbul to perform maintenance and repair work on nacelles. The JV, to be known as Goodrich HABOM, will provide MRO services and rotable support for nacelles on Turkish Airlines aircraft. It anticipates opening a certified repair station at Sabiha Gokcen International in 2009. "In addition to servicing the Turkish Airlines fleet, the planned 43,000-sq.-ft. facility would also focus on MRO support for other carriers in Turkey and the neighboring region," Goodrich said.
United Airlines said it is adding a $5 one-way and $10 roundtrip fuel surcharge onto "most domestic fares. . .to offset record-breaking fuel costs." The surcharge, effective immediately, will exclude flights to and from Hawaii. "Every dollar increase in the price of crude oil increases United's annual costs by approximately $65 million," UA said in a statement. It noted that the per-barrel price topped $98 this week "compared with $55 a barrel just nine months ago and $20 a barrel six years ago."
JetBlue Airways said yesterday that Executive VP-Corporate Services and CFO John Harvey resigned effective immediately "to pursue other professional interests." It named Senior VP-Finance and Principal Accounting Officer Ed Barnes interim CFO. CEO Dave Barger said the LCC will "implement an executive search for a permanent CFO.''
