TAP Portugal and TAM signed a partnership agreement Friday under which they will codeshare on flights between Portugal and Brazil and onward to destinations in each carrier's network as well as link their loyalty programs. Specific routes or effective dates were not announced. Separately, the TAM board elected Maria Claudia Amaro chairman and Mauricio Rolim Amaro vice chairman.
AAR announced the acquisition of Reebaire Aircraft, an Arkansas regional aircraft MRO provider, that now operates under the name AAR Aircraft Services-Hot Springs. AAR said the deal doubles its regional MRO capacity.
SAS Scandinavian Airlines International said long-haul operations from Copenhagen were returning to normal Friday following a three-day wildcat strike by local cabin crew that ended Thursday night. It cancelled 28 flights on Friday. Separately, SAS announced that SAS Braathens will be renamed SAS Norge on June 1, bringing it into line with SAS Sverige and SAS Danmark. "The time is right for changing our name and identity, now when the operational integration is completed," Braathens Chairman John Dueholm said.
Sun Country Airlines announced that CEO Shaun Nugent resigned effective immediately, citing personal reasons. Petters Aviation President T. Jay Salmen, who was Sun Country's CEO in 2002-06, will serve as interim CEO.
United Airlines Union Coalition, comprising the Air Line Pilots Assn., Assn. of Flight Attendants-CWA, International Federation of Professional and Technical Engineers, Aircraft Mechanics Fraternal Assn.
Republic Airways Holdings reported $19.3 million in net income for the first quarter, a 14.1% increase over the same period a year ago, as operating revenues rose 12.9% to $290.4 million while expenses grew 12.5% to $235.6 million to produce an operating income of $54.8 million, up 14.4%.
EADS co-CEO and Airbus CEO Louis Gallois said negotiations with labor unions on Airbus's Power8 restructuring plan, which calls for 10,000 job cuts, will begin today with an aim toward concluding by mid-July. Speaking in Toulouse at the manufacturer's Technical Press Briefing, Gallois conceded that "I can't ask the unions to support my plan. . .I can ask them to accept my plan. It's difficult [for them] to be enthusiastic when 10,000 workers are being cut."
Northwest Airlines announced a tentative labor deal with cabin staff represented by the Assn. of Flight Attendants-CWA, perhaps ending a protracted dispute that has been in and out of the courts ( ATWOnline, April 17) and that featured two rejected deals last year. The new agreement would give flight attendants a $182 million unsecured claim in NWA's bankruptcy and provides for the $195 million in savings the carrier says it needs.
Embraer's board officially elected Frederico Fleury Curado as president and CEO, succeeding Mauricio Botelho, who will remain chairman. Curado was selected last summer ( ATWOnline, Aug. 7, 2006). Mauro Kern Jr. succeeds Curado as executive VP-airline market while Antonio Julio Franco was named executive VP-organizational development and Flavio Rimoli is the new executive VP-legal counsel.
EADS and United Aircraft Building Corp. will operate a joint venture to convert A320s and A321s to freighters for entry into service beginning in 2011 ( ATWOnline, May 17, 2006). Speaking yesterday at Airbus's annual Technical Press Briefing in Toulouse, COO-Customers John Leahy said the conversions will take place at facilities in Dresden and north of Moscow. The cost for an A320P2F will be $4.5 million, rising to $5 million for an A321P2F.
Delta Air Lines received confirmation of its reorganization plan yesterday from the US Bankruptcy Court, paving the way for it to exit Chapter 11 protection on April 30 after its $2.5 billion in exit financing has closed ( ATWOnline, April 17). Trading of its common stock on the New York Stock Exchange is expected to commence April 26 on a "when issued" basis and on May 3 on a "regular way" basis.
British Airways yesterday signaled its intent to delist its American Depository Shares from the New York Stock Exchange and terminate its reporting obligations under the US Securities Exchange Act of 1934, a move it said will save it approximately £10 million ($20 million) annually. BA will file the required form with the US Securities and Exchange Commission "on or about" May 8 and its deregistration form "as soon as practicable" after June 4. Its American Depository Receipts will trade on the over-the-counter market.
Emirates is looking to leverage its new seven-hangar, $353 million maintenance facility in Dubai, which it said is the largest civil aviation MRO facility in the world, to become the maintenance "Center of Excellence" for the A380. "We have made a huge investment. We now have the capacity and can look for third-party A380 work," Senior VP-Aircraft Maintenance Iain Lachlan told this website.
China's airlines maintained their rapid growth rate in the first quarter, enjoying a 15.9% year-over-year rise in passengers to 40.9 million and a 13.3% gain in freight to 858,000 tonnes, according to CAAC statistics released yesterday. International numbers lifted significantly. International passengers climbed 23.9% to 3.8 million and freight rose 25.1% to 238,000 tonnes.
Jat Airways said it expects 2007 to be "the most successful business year over the past 17 years" based on traffic trends through the first 100 days. It transported 237,201 passengers during the period, a 5.6% increase from a year ago, with a 2.5-point rise in load factor to 51.8%. Austrian Airlines flew 1.75 billion RPKs in March, down 0.4% from the year-ago month. Capacity dropped 4.2% to 2.35 billion ASKs, lifting load factor 2.8 points to 74.7%.
American Airlines yesterday announced plans to upgrade its 124 757s with new seats, new interiors and updated IFE. The first class cabin will increase to 24 seats from 22 while new economy seats, sidewalls, LCD monitors that will replace CRT monitors and new digital media file servers will be added. Work will begin next year and will be conducted in-house, AA said.
Austrian Airlines Technik and Lufthansa Technik signed an MOU for "long-term cooperation" that AAT said will help "make a lasting improvement to its competitiveness and consolidate its market position, particularly at the Vienna location." The deal includes no capital integration between the companies but will help AAT reduce costs, retain Vienna as an independent MRO center and "redevelop joint locations." More details will be announced "in the coming weeks." The move is part of Austrian's plan to reduce costs associated with its 1,100-employee MRO department, which came to €270
News from Travel Technology Update: The OpenTravel Alliance, the organization that develops XML messaging specifications for electronic travel distribution, is adopting a new identity that reflects a philosophical shift: It is setting standards for the industry. In the alliance's seven-year history, OpenTravel stressed that it creates and encourages the adoption of "specifications" rather than standards.
Air Greenland said it posted a DKK75 million ($13.7 million) profit in 2006 on record revenues of more than DKK1 billion. It recorded a 2005 profit of $6.5 million on $137.8 million in revenue, according to ATW's "World Airline Report." The company also announced the election of Greenland Tourism and Business Council Communications Manager Julia Pars as chairman replacing retiring Peter Gronvold Samuelsen.
Dragonair unveiled a revamped website that offers online booking for flights departing from Hong Kong, Beijing, Shanghai and Xiamen. It marks the first time passengers have been able to buy tickets through Dragonair's site.
Norwegian flew 374 million RPKs in March, up 41% from the year-ago month, against a 42% increase in ASKs to 481 million that left load factor static at 78%. SkyEurope Airlines transported 264,621 passengers in March, a 48.5% increase from the year-ago month. Load factor rose 14 points to 88.4%.
Air Transport Assn. President and CEO James May reiterated ( ATWOnline, April 12) last week in testimony before the US House of Representatives aviation subcommittee that passenger rights legislation mandating the terms of airline operations during ground delays will "likely aggravate. . .severe weather events" and lead to a far larger number of cancellations. "No passenger likes a delayed flight, but what they like even less is not being able to get to their destinations at all," May said.
