Low-cost carriers represented 35% of all intra-European capacity last year, virtually unchanged from 2007, according to the 2009 edition of RDC Aviation's Low Cost Monitor. Growth across all sectors "slowed sharply toward the end of 2008," with aggregate annual capacity growing just 2.2%, the smallest increase this decade. Within this overall figure, however, the low-fare sector increased available seat capacity by 11% year-over-year while capacity in the non-low-cost sector dropped 2%. Significantly, the report noted that Ryanair assumed the No.
British Air Transport Assn. named former Virgin Atlantic Airways Director-External Affairs and Route Development Barry Humphries as chairman effective May 1, succeeding Monarch Airlines Chairman Danny Bernstein. BATA has 10 member airlines. Rockwell Collins named former US FAA Acting Administrator Bobby Sturgell as senior VP-Washington operations.
TAECO redelivered a 747-400BCF to Air China Cargo. Aircraft was converted from a Combi and is the first of three -400BCFs ordered by the carrier. Work on the second plane is underway. CA Cargo currently operates three factory-built 747-400Fs and two third-party 747 conversions on lease.
EVA Air reported a TWD199.6 million ($5.9 million) first-quarter profit, reversed from a TWD2.29 billion loss in the year-ago period. The result represented its first quarterly profit since the 2007 third quarter. Revenue slid 29.8% year-over-year to TWD16.72 billion but falling fuel prices and full flights to mainland China made the difference, the carrier said. EVA suffered a TWD16.9 billion loss in 2008. The company last week also approved a recapitalization plan, according to the Taiwan Times.
CSA Czech Airlines will launch twice weekly Prague-Novosibirsk service on April 28 with an A319. Korean Air will launch daily Incheon-Shizuoka service on June 4. Jet Airways launched daily Chennai-Dubai service Friday aboard a 737-800.
Air New Zealand flight attendants working at its Zeal320 subsidiary and represented by the Engineering, Printing and Manufacturing Union voted to strike for four days beginning May 7 in a "move toward pay parity with other Air New Zealand cabin crew." Zeal320 was created to operate ANZ's A320s on transtasman, Pacific and select domestic flights. The work action will involve 240 cabin staff and may include an additional four-day strike starting May 11.
UPS posted first-quarter net income of $401 million, down 55.7% from a $906 million net profit in the year-ago period, and revealed yesterday that it retired its entire fleet of 44 DC-8 freighters during the three months ended March 31. It said the fleet grounding was "earlier than expected" but reflects the current weak demand environment and its desire to become a "leaner, more efficient enterprise." It took a $181 million charge in the quarter to retire the aircraft. Despite the steep profit decline, the delivery giant sees hopeful signs down the road.
Bombardier and Lufthansa signed an agreement to provide training for CSeries operators in Europe. Lufthansa is the launch customer for the CSeries program of 110/130-seat aircraft, the first of which is scheduled to enter service in 2013 ( ATWOnline, March 12). Lufthansa Flight Training will provide pilot and cabin crew training and Lufthansa Technical Training will provide technical training. The new Authorized Training Provider agreement will supply training through an existing network of facilities.
SR Technics said Vietnam Airlines extended an existing MRO agreement covering 23 CFM56-5Bs powering the airline's A320s for a further three years to 2012.
Frontier Airlines reported a 16% year-over-year fall in March unit revenue to 8.37 cents on an 11.32% decline in yield to 10.49 cents. It flew 716.1 million RPMs during the month, down 24%, against a 19.7% fall in capacity to 897.6 million ASMs. Load factor dropped 4.6 points to 79.8%.
US Airways reported a first-quarter net loss of $103 million, narrowed from a net deficit of $237 million in the year-ago period, and said it made "significant improvements" absent special items.
Gulf Air said it has decided not to exercise an extended dry-lease option on four 777-300ERs it currently is wet-leasing from Jet Airways. "After careful analysis of various commercial and other business considerations, Gulf Air has decided not to pursue the dry-lease option for the foreseeable future," it said. Aircraft are under wet lease for six months each ( ATWOnline, March 5).
Virgin Blue delayed the delivery of two 361-seat 777-300ERs for its V Australia operation because of the slowdown in air travel. The fifth and sixth -300ERs have been rescheduled from 2010 to 2011 and 2012. In a statement to the Australian Stock Exchange, Blue said it still planned to take the "seventh" 777 in the second half of 2010. V Australia has three 777-300ERs in service operating from Brisbane and Sydney to Los Angeles and it expects to start Sydney-Perth-Johannesburg service this year.
OB10, a b2b global invoicing network, said Lufthansa is implementing its electronic invoicing with the objective of using the service "to generate tax-compliant invoices, thereby reducing invoice management costs both in Germany and internationally."
AAR signed a seven-year agreement with CSA Czech Airlines to provide rotable component repair services on a flight-hr. basis for the carrier's's nine 737-400s and 10 737-500s.
JetBlue Airways posted first-quarter net income of $12 million, turned around from a net loss of $10 million in the year-ago period, and predicted it will "earn a profit every quarter this year."
Lufthansa Cargo will park two additional MD-11Fs in October, meaning around 30% of its fleet will not be operational. Currently, four of its 19 MD-11Fs are parked. From October, it will operate just 13 ( ATWOnline, April 3).
Alaska Airlines and Horizon Air parent Alaska Air Group lost $19.2 million in the first quarter, narrowed from a $37.3 million deficit in the year-ago period, and announced a $15 charge for the first checked bag.
Swiss International Air Lines yesterday named Chief Network and Distribution Officer Harry Hohmeister to succeed Christoph Franz as CEO on July 1, when Franz will become Deutsche Lufthansa deputy chairman and CEO and chairman and CEO of Lufthansa Passenger Airlines.
Air Nostrum unveiled a comprehensive "action plan" as it posted a pre-tax first-quarter loss of €22 million ($28.5 million) on a 9% drop in passengers and a 16% decrease in revenue. A year-ago figure was unavailable. The plan could lead to the loss of 589 jobs, or 26% of its workforce, and includes a reduction of its fleet by up 10 aircraft to 59 and an 18% cut in flights. Unprofitable routes will be abandoned and the level of free services in economy will be reduced. Cabin crew on its 50-seat aircraft will be halved to one.
Ryanair yesterday threatened to close its base at Dusseldorf Weeze, where it bases six aircraft and handles 2.5 million passengers per year, if a decision by the OVG Court in Munster to restrict the airport's operating hours is not overturned by April 29. The LCC said it stopped accepting bookings yesterday on all flights affected by the change in operating hours. It opened the base in 2007 and added a fifth and sixth 737-800 last winter.
BAE Systems Asset Management will remarket eight Avianca MD-83s powered by JT8D-219s and one Pratt & Whitney 4060-powered 767-300ER operated by the Colombian airline.
