Airline Partners Australia's proposed A$11.1 billion ($8.68 billion) buyout of Qantas hit turbulence when a Senate inquiry investigating a private member's bill was told that QF would be forced to sell off its airline interests in New Zealand, Fiji and Singapore if the Qantas Sale Act was applied to all subsidiaries. The 1994 act, which governed the carrier's transition to a publicly listed company, mandates that QF remain 51% Australian owned, maintain its headquarters in Australia and have a home-grown majority on its board.
European Commission VP-Transport Jacques Barrot told the European Parliament in Strasbourg yesterday that the draft open skies agreement ( ATWOnline, March 13) is "more balanced in favor of Europe" than the former deal that was rejected by the EU transport ministers in November 2005 and that it contains terms forcing the US to return to the negotiating table for a second stage of talks.
Cebu Pacific signed up for 10 more A320s with options and purchase rights on an additional 10. It placed an initial order for 12 A320 family aircraft in September 2004 ( ATWOnline, May 24, 2005) and took delivery of the last of that order this month. Cebu has been phasing out its fleet of DC-9-30s and 757s. The order is worth $1.3 billion, the Philippine carrier said. No engine choice was announced. Firm aircraft will be delivered in 2010-12 with options arriving in 2011-13.
Estonian Air will introduce a sixth aircraft to its fleet, a 737-500, in June and launch four-times-weekly Tallinn-Vienna service. It also will reintroduce thrice-weekly flights to Hamburg beginning March 26 and announced summer services to Paris Charles de Gaulle (four-times-weekly), Dubrovnik (twice-weekly) and Simferopol (twice-weekly).
TAP Portugal posted a €7.3 million ($9.6 million) net profit in 2006, which it called a "remarkable" turnaround from the €10.3 million loss in 2005, citing overall activity increases along with efficiency improvements. Consolidated revenues rose 21.7% to €1.65 billion and operating costs grew 18.1% to €1.47 billion as the fuel bill climbed 30.5% to €373 million. Operating profit came in at €30.3 million compared to a €9.5 million loss in 2005. TAP said all divisions contributed to the improved performance.
Qatar Airways CEO Akbar Al Baker told ATWOnline during last week's ITB convention in Berlin that the carrier is not making money but that it will earn "tons" from 2012 onward.
With environmental politics taking center stage in the UK, the opposition Conservative Party said this week that new taxes on both airlines and passengers should be considered as a means to reduce carbon emissions.
Lufthansa's domestic schedule will rely entirely on e-ticketing by April, it said yesterday. It currently is at 96%. Passengers on a domestic flight connecting to a foreign destination still will have access to paper tickets, albeit with a higher service charge.
A tumultuous year that featured an IPO, an attempted takeover by Ryanair and an announced withdrawal from oneworld ended on a down note for Aer Lingus as a lengthy list of exceptional items resulted in a €69.9 million ($91.9 million) full-year loss compared to a 2005 profit of €88.9 million.
Fewer than 10 days remain before transport ministers of the 27 EU member states cast their votes on the EU-US open skies draft agreement and speculation is rife on whether the UK will exercise its right to veto the deal. Last week, UK Transport Secretary Douglas Alexander said he would push for a more balanced agreement, specifically on the thorny issue of foreign ownership and control of US airlines.
Dubai International Airport was closed for 8 hr. yesterday following the aborted takeoff of a Biman Bangladesh Airlines A310, which reportedly skidded on the runway and lost its nosewheel. The airport said 27 of 229 people aboard "sustained minor injuries" and that 71 flights were affected by the closure. Incoming flights were diverted to other airports in the United Arab Emirates as well as Muscat, Kuwait and Shiraz.
China plans to enter the large aircraft manufacturing fray, announcing yesterday via the official state Xinhua News Agency that the "dream" of challenging Boeing and Airbus with domestically produced jets "is expected to come true by 2020 if everything goes well." Liu Daxiang, deputy head of the Dept. of Science and Technology Development at China Aviation Industry Corp. I, said, "We are now fairly well conditioned for making large aircraft with the sound support from growing national economic strength, technological development and experience in manufacturing."
RegionsAir, a codeshare partner of American Airlines and Continental Airlines, may remain grounded for up to 120 days after US FAA found fault with the carrier's pilot training program. "They discovered that their check pilots had not received proper training," an FAA spokesperson told ATWOnline. "They signed a consent order [on March 9] where they said they would stand down for 120 days until they could get it fixed." As a result, RegionsAir lost its Essential Air Service contracts. US Dept.
US Airways lost its bid to merge with Delta Air Lines ( ATWOnline, Feb. 1), but US Chairman and CEO Doug Parker remains convinced that the "facts are irrefutable and compelling in favor of consolidation" among US carriers. Speaking to the International Society of Transport Aircraft Trading 24th annual conference in Phoenix Monday, Parker cited the experience of America West Airlines and the old US Airways as evidence of consolidation's benefits.
News from Travel Technology Update: British Airways signed a new three-year agreement with Galileo, the GDS unit of Travelport. It is the first GDS agreement announced by the carrier since its previous pacts expired at the end of February. The new deal, which goes into effect April 10, is basically a "continuation" of Galileo's travel agency opt-in program that was launched in 2004, according to the carrier. The program gives Galileo subscribers in the U.K. and Ireland access to all publicly available fares, provided they opt in to the program.
Vueling Airlines selected Paris Charles de Gaulle as its first base outside Spain ( ATWOnline, Feb. 27). The carrier will base three new A320s at CDG and operate services to Spain, Italy and the Netherlands from May 16.
Boeing enjoyed a $4.6 billion day Monday, announcing orders from Volga-Dnepr Group's AirBridge Cargo for five 747-8 freighters, Continental Airlines for five 787-9s and Kuwaiti lessor ALAFCO for 12 787-8s and six 737-800s. Volga-Dnepr Group's order is valued at $1.4 billion. Aircraft will be powered by the GEnx and are scheduled for delivery in 2010-13. The order includes five options. V-D is the type's seventh customer.
Airbus has received authorization to boost A330/A340 production from eight aircraft per month to nine and is contemplating a further increase to 10 owing to the strong sales performance of the A330, COO-Customers John Leahy said yesterday. Speaking to the International Society of Transport Aircraft Trading's 24th annual conference in Phoenix, Leahy said the bump to nine will occur in 2009. Should the company decide to raise it to 10, this could occur at the end of that year, he said.
BAE Systems Regional Aircraft concluded a long-term lease of an additional BAe 146-200 to Romavia. The Romanian carrier also extended the lease on its first -200.
US and Canada signed an aviation agreement yesterday in Washington that will build upon the countries' 1995 arrangement by affording seventh freedom rights to passenger and cargo carriers, allowing them to fly to third-country markets from cities across the border. It also provides for "market-based pricing, open routes for cargo flights and a liberal charter regime," the US Dept of Transportation said.
