Philippine Airlines subsidiaries PAL Express and Air Philippines will launch operations today at Manila Ninoy Aquino's new Terminal 3. The two carriers will operate a combined 131 weekly flights from the facility. The mainline will continue to operate out of T2.
Qantas Airways CEO Geoff Dixon said he believes the airline industry is on the verge of a period of consolidation into a few very large carriers that will be able to cope better with higher fuel costs.
Garuda Indonesia pilot Marwoto Komar, who captained the 737 that crashed at Yogyakarta in March 2007, will go on trial beginning today, Deputy Attorney General-General Crimes Abdul Hakim Ritonga told reporters, according to Reuters. Komar was arrested on manslaughter charges in February ( ATWOnline, Feb. 6). Ritonga said that "both aviation and criminal codes can be used" at the trial, at which Komar will be charged with "negligence." Twenty-one people died in the crash.
SunExpress, the joint venture between Turkish Airlines and Lufthansa, said first-half turnover rose 31.3% year-over-year to €161.6 million ($256.8 million). Passenger numbers climbed 35% to 1.8 million and load factor was up 2.9 points to 75%. MD Paul Schwaiger said demand is very strong and that the carrier has had to lease an additional 737-800, resulting in a fleet of 18 -800s and 757-200s.
Ryanair said it won a third injunction, this time from the TAR Lazio court, overturning ENAC's decision to divert late-evening flights from Rome Ciampino to Fiumicino. The LCC said the aviation authority "unlawfully" diverted 18 flights this year.
Atlantic Southeast Airlines flight attendants represented by the Assn. of Flight Attendants ratified a new three-year contract, with 70% of participating cabin staff voting in favor.
Rising load factor and ancillary revenue, in addition to capacity cuts by competitors, helped Allegiant Air parent Allegiant Travel Co. to a $2.6 million second-quarter profit that was a steep drop from the $10 million earned in the year-ago quarter but left it as "yet again one of the few companies in our space who are profitable," according to Chairman, President and CEO Maurice Gallagher Jr.
Continental Airlines and nine Star Alliance carriers asked the US Dept. of Transportation to allow CO to join the group already holding antitrust immunity. CO last month declared its intention to leave SkyTeam and join Star ( ATWOnline, June 20).
Transaero announced a partnership with Gazprom Neft that "guarantees prompt and efficient jet fuel supply" in Russia "on favorable terms" in return for reduced fares for Gazprom employees.
Ukraine International Airlines launched thrice-weekly 737-300SF cargo service between Kiev Boryspil and Vienna in partnership with Austrian Airlines, European Cargo Services and TNT. Service increases to five-times-weekly on Sept. 1. Five-times-weekly flights to Liege via VIE will begin in September. UIA said its cargo subsidiary also will offer charter flights and is negotiating with "prospective clients."
Northwest Airlines reported a second-quarter net loss of $377 million owing mainly to a noncash goodwill impairment charge of $547 million, reversed from a $2.15 billion profit in the year-ago period that benefited heavily from one-time bankruptcy exit gains. Absent the goodwill impairment charge, NWA said it would have posted $170 million in net income for the quarter, down 17% from $205 million earned excluding Chapter 11 restructuring gains in the same period last year. The carrier said it benefited in the 2008 second quarter from a $250 million gain related to fuel hedging.
Kuwait parliament on Monday gave final approval to the privatization plans of Kuwait Airways. The state plans to sell 40% of the carrier to the public and 35% to a long-term investor within two years. The airline, which operates 17 aircraft, is expected to be privatized within 10 months ( ATWOnline, Jan. 10).
SkyEurope Airlines will close eight routes and ground two of its 15 737-700s for the coming winter schedule. Chairman Jason Bitter confirmed that it will drop routes from Bratislava and Kosice to Cork, Dublin and Birmingham as well from Prague to Sophia and Lisbon. He said rising fuel prices have made operating certain longer routes uneconomical.
Honeywell won a 10-year extension on its contract with Southwest Airlines to provide MRO for avionics and mechanical products on 737s. Contract covers up to 520 aircraft plus future deliveries and includes Honeywell APUs, HMUs, lighting, components and wheels and brakes.
Boeing said it received an offer from TRC Capital Corp. to purchase 2 million shares of common stock, representing less than 1/3 of 1% of its outstanding shares, at $63 per share. The manufacturer said it "does not express an opinion and does not make a recommendation as to whether shareholders should tender their shares in TRC's mini-tender offer."
LOT Polish Airlines President and CEO Dariusz Nowak told ATWOnline that LOT is restructuring ahead of its planned privatization, a process that will be its "biggest challenge." He said one move will be to add more charter flights to its low-fare subsidiary Centralwings, which operates 737 Classics. He said the company is looking to position Centralwings as "a kind of mixed charter and maybe LCC flights to some selected points." He said the mainline has adopted some of Centralwings' low-cost strategies in order to reduce its own cost base.
Rockwell Collins reached a deal with ILFC to add its Digital Programmable Audio Video Entertainment System as an option included with its PAVES analog technology onboard 737NGs. System features a broadcast digital server with moving map hosting capabilities.
United Airlines parent UAL Corp. reported a second-quarter net loss of $2.7 billion mostly attributable to $2.6 billion in previously announced accounting charges, reversed from a $274 million profit in the year-ago period, and said it will slash 5,500 frontline workers by the end of 2009 in addition to the 1,400-1,600 salaried and management employees and contractors it already planned to cut.
Lufthansa said it was "surprised" by a strike called by 1,000 pilots flying for LH subsidiaries Eurowings and CityLine that resulted in the cancellation of 465 flights yesterday and 525 scheduled for today. Pilots walked out at noon yesterday and will remain on strike until midnight tonight. The Cockpit union called the strike on short notice and said all major airports in Germany would be affected. Its strike window will close at the end of this week, but it is expected that members will vote on further strike action shortly.
Airbus won EASA certification for its OnAir mobile phone system for its single-aisle aircraft. The manufacturer is the first to receive this type of certification for production and forward-fit installation. Separately, EASA granted Airbus Production Organization Approval, recognizing the manufacturer's status as a single integrated European company and confirming the establishment of a global quality framework for management, responsibilities, procedures and resources.
Copa Airlines placed a firm order for two additional 737-800s for delivery in 2010 and 2011, increasing the total number of 737NGs it has on order to nine. Its fleet currently is comprised of 27 737NGs and 13 E-190s. Its -800s seat 16 in business class and144 in economy.
JetBlue Airways unveiled plans to cancel growth plans and defer aircraft deliveries as it announced a second-quarter net loss of $7 million, reversed from a $21 million profit in the year-ago period. CEO Dave Barger said the LCC enjoyed "strong unit revenue growth" during the quarter and that summer bookings showed "continued strength," but that like its US counterparts it is facing an environment in which "revenue gains are clearly not keeping pace with the extraordinary increase in the price of jet fuel."