Lufthansa supervisory board Chairman Juergen Weber told Frankfurter Allgemeine Zeitung that "if the conditions are right, SAS will become interesting for us" as an acquisition target.
Fraport plans to sell its 65% stake in loss-making subsidiary Frankfurt-Hahn next month, CEO Stefan Schulte said during a German Luftfahrt Presse Club event.
Russia's S7 Airlines has canceled its order for 15 787s, it confirmed yesterday, becoming the first carrier to terminate a major deal for Boeing's delayed next-generation widebody.
Sun Country Airlines reported a $21.4 million loss in 2008, narrowed from a $35 million deficit the year before. Chairman and CEO Stan Gadek called the result "a significant improvement based upon the successful turnaround" of the company. "Based on current booking and revenue trends, we expect to be profitable in first quarter and full-year 2009," he claimed. Fourth-quarter net profit of $955,000 compared to an $18 million loss in the year-ago period and was SY's first profitable fourth quarter in five years.
Lufthansa Italia took to the skies yesterday with a panoramic flight over the Alps that followed a ceremony christening of its first two A319s. The aircraft were named "Milano" and "Varese," breaking with LH's tradition of naming planes after German cities and marking a new phase in its aggressive expansion strategy, which now includes the first establishment of a carrier outside its home market.
Frontier Airlines Holdings reported a $1.1 million net profit in the December quarter and an operating profit of $5.6 million. Excluding special items, it was $7.7 million in the black on a net basis. Special items included $8.7 million in mark-to-market fuel hedge losses and $2.7 million in gains on reorganization activities that included the sale of four A319s. Its December net profit was $18.7 million. Fourth-quarter mainline passenger unit revenue rose 7.2% year-over-year against a 4.2% fall in unit cost excluding fuel to 6.2 cents.
AirTran Airways reported a 2008 net loss of $273.8 million, reversed from a $52.7 million profit in 2007, citing "multiple financial challenges" and noting that the result included nonoperating losses of $150.8 million related to its "out-of-the-money" fuel hedge contracts.
SR Technics reached a three-year deal with Spanair to provide MRO on wheels, brakes and tires for 48 717s, A320s, A321s and MD-80s. Work will take place at SR Technics' shops in Palma de Mallorca and Madrid.
Lufthansa canceled 80 flights Wednesday owing to a 6-hr. strike by the UFO cabin crew union at Frankfurt, Berlin Tegel and Berlin Schoenefeld. UFO now has staged two strikes in four days and is pushing for a 15% wage increase for its 16,000 members. LH has lifted its offer to 10%.
Iberia will report net income of €32 million ($42.2 million) for 2008, a 90.3% plunge from the prior year, it announced at an investors conference yesterday. It will suffer a €79 million operating loss on a 1.3% decline in revenue to €5.45 billion. Passenger revenue fell 2.5% to €4.22 billion. Operating costs rose 5.5% to €5.53 billion on a 45.5% surge in fuel expenses to €1.67 billion. Capacity dropped 0.5% year-over-year and load factor was down 1.6 points to 80%. IB will release its complete full-year and fourth-quarter results on Feb. 27.
Alliant Techsystems yesterday announced it won a contract with Rolls-Royce to produce composite aft fan cases for the Trent XWB that will power the A350. Contract is valued at more than $200 million and includes integration of additional components to support Rolls' assembly. Fan case delivery is slated to begin later this year. Trent XWB ground testing is expected in 2010.
Air Jamaica released a 2009 business plan designed to "quickly stem the substantial cash losses at the company." It includes a reduction of its fleet to nine aircraft and the cancellation of flights to Atlanta, Los Angeles, Miami, Grand Cayman, Barbados and Grenada.
Ryanair yesterday announced the formal withdrawal of its €748 million ($987.4 million) cash offer for Aer Lingus, which followed the Irish government's refusal to sell its stake to the LCC. "Ryanair acknowledges that its offer cannot now be successful," it said. The carrier also announced the launch of a daily London Gatwick-Marseille service, its seventh route from LGW, on March 30.
Emirates will operate the A380 to Incheon beginning in November. It will be EK's fifth A380 market after London Heathrow, New York JFK and soon-to-be-launched Sydney and Auckland. It also said it will commence its deferred Dubai-Durban service on Oct. 1 and will resume its third daily DXB-Johannesburg flight on Feb. 1. Durban flights had been scheduled to launch Dec. 1 but were delayed due to aircraft deployment issues.
ANA and Japan Airlines yesterday each released plans for their fiscal years beginning April 1 that feature network cutbacks and a greater focus on operational efficiency. ANA said it intends to "minimize the risk of falling revenue" and is focusing on opportunities "afforded by the expansion" of Tokyo Haneda and Narita in 2010. International capacity is expected to fall 8% in the upcoming fiscal year while domestic ASKs decline 4.3%. It will suspend flights from Nagoya to Tainjin and Guangzhou from March 29 and temporarily suspend and/or decrease frequency on five other Asian routes.
Boeing's 2008 net profit plunged 34% to $2.7 billion from $4.1 billion in the prior year owing to the now-settled machinists' strike, lower aircraft deliveries and development delays in aircraft programs, leading the company to announce yesterday that it will cut 5,500 additional jobs this year. The manufacturer, which posted a rare quarterly net loss in the fourth quarter of $56 million compared to a $1.03 billion profit in the year-ago quarter, already had said it would cut 4,500 workers in 2009, bringing total planned cuts to 10,000.
Nordic Airways, a charter and ACMI carrier based at Stockholm Arlanda that included a scheduled regional subsidiary called Nordic Regional, ceased operations over the weekend after losing its operating certificate. Swedish media reported that the carrier was granted a temporary AOC after refinancing in October but that authorities revoked the license after Nordic was unable to pay its bills. It operated MD-80s and counted Air Berlin, Germanwings and Spanair among its customers.
LAN Airlines managed to keep expense and revenue growth in line in 2008 and reported a full-year profit of $335.7 million, up 8.9% from the $308.3 million earned in 2007. The company credited its "solid and flexible business model and the leadership position it has established in the markets in which it operates" for its ability to produce positive results "despite the various elements that constantly affect the airline industry." It plans to continue its growth this year, increasing ASKs 10%. It will take delivery of four passenger aircraft and two 777 freighters in 2009.
American Airlines mechanics and technical specialists represented by the Transport Workers Union filed for US federal mediation yesterday following 14 months of negotiations. AA's negotiations with the Allied Pilots Assn. and Assn. of Professional Flight Attendants already are in mediation. TWU represents more than 12,000 mechanics, related workers and technical specialists at AA parent AMR Corp.
Aegean Airlines announced that it will begin A320/A321 flights from Athens to Brussels, Berlin, Barcelona and Venice in March, increasing its summer network to 47 routes. It transported 6 million passengers in 2008, up 14% from the prior year, on a 5% rise in flights to 57,635. It plans to take delivery of six more Airbus aircraft in the next four months and operate a fleet of 31 aircraft during the summer schedule.
FedEx ATR 42 operated by Empire Airlines crashed on landing at Lubbock, Tex., early yesterday morning, leading to a fire that destroyed the aircraft. Both crewmembers survived. En route from Fort Worth Alliance, the aircraft skidded off the runway after touching down and the right wing caught fire, according to Flight Safety Foundation's Aviation Safety Network. The accident occurred just after 4:30 a.m. in poor weather conditions that included "freezing drizzle and mist," ASN reported. FedEx said the two pilots escaped with only "minor injuries."
