Kunpeng Airlines, the Xi'an-based JV regional carrier created by Shenzhen Airlines and Mesa Air Group, is scheduled to launch services today by opening 11 routes to destinations including Taiyuan, Tianjin, Yichang, Huhehaote, Nanchang, Zhengzhou and Hefei. It is noteworthy that Kunpeng was registered in Beijing but its operating base is located in Xi'an. Chinese industry analysts suggest that this "western attraction" for regional startups is driven partly by CAAC's policy of encouraging growth in the region through subsidies.
The legal dispute between Hawaiian Airlines and Mesa Air Group took an unexpected turn this week when Mesa attorneys told a US Bankruptcy Court in Honolulu that CFO Peter Murnane mistakenly deleted files related to the case as he attempted to purge pornography from his computer.
SAS said it is not yet able to estimate the potential total financial damage from the grounding of its 27 Q400s, now in its 17th day. The carrier has said it is losing about SEK10-SEK15 million ($1.5-$2.3 million) daily ( ATWOnline, Sept. 26). A spokesperson told ATWOnline that SAS is wet-leasing several aircraft from other companies to allow it to operate an "emergency" schedule. "The number of aircraft we lease varies every day," the spokesperson explained.
Lufthansa will launch weekly Saturday flights from Dusseldorf to Newquay Cornwall in June, Newquay Airport Project Director Chris Cain revealed this week. KLM will launch daily Amsterdam-Dallas/Ft. Worth service aboard A330-200s from March 30.
US President George W. Bush said yesterday that airline passengers are "just not being treated right" and vowed to "address the problem." Following a summer marked by high levels of flight delays and cancellations in the US, Bush summoned Transportation Secretary Mary Peters and Acting FAA Administrator Robert Sturgell to the White House yesterday for what he called "a discussion about the fact that a lot of our air travelers are not only inconvenienced, they're. . .just not being treated fairly."
Quest Mexicana, the Cancun-based startup, signed a lease deal with BAE Systems Regional Aircraft for four BAe 146-200s. Delivery of the aircraft will take place between October and February 2008. They will be configured in an 85-seat, five-abreast format. The airline, part of the Lomas Travel group, aims to operate both charter and scheduled flights between cities in southeast Mexico, the Caribbean and Central America.
Air India could finalize another aircraft order by the end of November and the Indian government will not delay granting approval, according to Civil Aviation Minister Praful Patel. "If they complete their fleet planning by November-end, we can give in-principle approval by December," he told India's Economic Times.
A full-fledged bidding war for AeroMexico is now underway as the Saba family yesterday boosted its offer by more than 58% to MEX1.74 billion ($158.8 million), topping the bid valued at more than $150 million made earlier this month by a group of investors represented by Banamex.
Air France KLM is preparing to launch a bid for Iberia in conjunction with several Spanish companies, Madrid's Expansion newspaper reported. The consortium likely would include investment firm Torreal and publishing house Grupo Planeta, which currently is the largest shareholder in Vueling Airlines. The AF KLM offer would keep 51% of Iberia in Spanish hands, allowing it to maintain its traffic rights for non-EU and US routes. In recent weeks, AF KLM Chairman and CEO Jean-Cyril Spinetta has stated several times that the group is "studying" the Iberia dossier.
FAA granted Phoenix-based US Airways a single operating certificate, officially cementing as one entity the carrier created in September 2005 when America West Airlines acquired the assets of the former US Airways, which was enduring its second bankruptcy in three years.
Singapore and Malaysia governments stated yesterday that unlimited access to the Singapore-Kuala Lumpur route, which a number of carriers have expressed interest in operating, will not be allowed until at least the end of 2008.
EasyJet will launch four-times-weekly East Midlands-Barcelona service from Dec. 7. The LCC expects to carry more than 70,000 passengers on the new route in the first 12 months of operation. Virgin America yesterday started twice-daily Washington Dulles-San Francisco service aboard its new A319s/A320s. The startup, which launched last month, plans to begin thrice-daily SFO-Las Vegas service from Oct. 10. Routes currently served include SFO-New York JFK, SFO-Los Angeles and JFK-LAX.
Kidde Aerospace & Defense, Monogram Systems and Moog were added as partners for Boeing's 787 GoldCare lifecycle support program. Kidde, an operating unit of Hamilton Sundstrand, is the exclusive supplier of fire detection and suppression systems for the 787. Monogram Systems will provide the complete water and waste systems for the aircraft while Moog will supply the primary flight control actuation system, which will control all of the primary flight control surfaces including spoilers and horizontal stabilizer.
Delta Air Lines yesterday rolled out an ambitious international expansion program for New York JFK that will include nine destinations not served by any other carrier operating at the airport. DL's new JFK schedule, which includes 14 new international destinations, will be launched next summer. "We are bringing service to new and unique locations around the world," CEO Richard Anderson said. "This is profitable and sustainable flying.
Airlines need to develop detailed plans to avoid having passengers stranded onboard delayed aircraft for long periods, the US Dept. of Transportation Inspector General said in a report released this week. IG Calvin Scovell recommended that the federal government require airlines to have policies for stranded passengers that would specify how long they would have to wait before being allowed to leave an aircraft.
Boeing said this week that Latin American airlines will need 1,730 aircraft valued at $120 billion over the next 20 years. The manufacturer projects that air travel within Latin America will grow 6.6% annually during the 20-year period, above projected worldwide average growth of 5%. The regional forecast was presented by Boeing at the Latin America Airfinance Conference in Rio de Janeiro.
Gol's consolidated traffic (including Varig operations) increased 20.8% in August to 1.63 billion RPKs on a 71.8% rise in capacity to 2.99 billion ASKs, producing a load factor of 54.2%, down 22.9 points.
Brazil's National Civil Aviation Council imposed new rules for airline operations at Sao Paulo Congonhas beginning Oct. 1, changes that were anticipated in the wake of the fatal TAM A320 crash in July that killed 199 people ( ATWOnline, July 30). According to TAM, from Oct. 1 flights departing from Congonhas can only fly to destinations within 1,000 km. of the airport. In addition, all flights to and from CGH must be direct, eliminating all stopovers and connections at the airport.
Austrian Airlines Group plans to launch 10 weekly Vienna-London City flights on Oct 29 using F70s. TAM said yesterday it will launch daily Sao Paulo Guarulhos-Montevideo service from Nov. 5.
Southwest Airlines said in an investor update yesterday that third-quarter unit costs will rise 4%-5% owing mainly to a $25 million charge related to its voluntary employee buyout program. The cost increase is more than double its projected growth in quarterly unit revenue and caused analysts to project lower-than-expected earnings for the LCC in the quarter. JP Morgan's SWA third-quarter earnings estimate was lowered to 20 cents per share from 23 cents previously.
SAS said yesterday that it expects its fleet of 27 Q400s to remain grounded "for at least another week" to allow for required inspections and the replacement of landing gear components.
The US Dept. of Transportation yesterday awarded coveted new China route authorities to all six US legacy carriers. Two of the route awards, going to Delta Air Lines and United Airlines for service that can begin on March 30, are "final decisions," DOT said. Four additional routes, on which service can begin in 2009, are "proposed" designations that likely will become final "in the near future."
Dublin Airport Authority and Macquarie Airports Group completed the joint sale of their 48.25% shareholding in Birmingham Airport Holdings for a gross consideration of £420 million ($850 million). "This has been a highly successful investment for the DAA and indirectly for the Irish taxpayer," Chairman Gary McGann said.
Midwest Airlines' recent sale to investment firm TPG Capital will result in hefty payouts of stock and cash to carrier executives, the Associated Press reported. Chairman Tim Hoeksema reportedly will receive more than $10 million in cash and stock while VPs Carole Skornicka and David Reeve are in line for $1.6 million each. CFO Curtis Sawyer and VP Scott Dickson will receive about $1 million each. Northwest Airlines is the largest shareholder in the TPG acquisition.
