airlineberg » Airlines

New Myanmar private airline starts to operate soon

Editor — Thu, 03 Jan 2013 11:28:25 +0000

A new private airline Shwe Myanmar Airways starts to operate its maiden flight in Myanmar on January 17, aimed at facilitating travelers with cheaper air fares, according to airlines sources Thursday.

Using 108-seated Air Bus, the flight will leave Yangon at 8 am (local time) and arrive Mandalay International Airport at 8:45 am (local time) on that day.

The return flight will leave Mandalay for Yangon at 9:30 am (local time).

The airlines will introduce a cheap fare about $32 for each way.

In addition to the 64-year-old state-operated domestic Myanma Airways (MA), there are five other private-run domestic airlines in Myanmar, namely Air Mandalay, Yangon Airways, Air Bagan, Asian Wings and Air Kanbawza.

Iberia pilots union demands airline growth plan

Editor — Thu, 03 Jan 2013 11:23:26 +0000

(Reuters) – The pilots union of struggling Spanish airline Iberia demanded a growth plan as it headed into talks on Wednesday with executives over deep job cuts that have also stoked alarm in a country with the highest unemployment in the European Union.

Iberia, part of the International Airlines Group (IAG) along with British Airways, plans to axe about 4,500 jobs – a quarter of the Spanish carrier’s workforce – and cut salaries to become more competitive.

Loss-making Iberia says the cuts are needed to guarantee its survival amid low-cost competition and Spain’s deep economic recession, both of which have weighed on the airline and made it a drag on its more profitable partner, British Airways.

To back the restructuring plan, unions want proof that there is a growth strategy for the airline beyond the cost cuts.

“We’re not very optimistic going into the talks because there still isn’t anything on the table showing how this plan saves Iberia, showing how Iberia will grow in the future,” a union source who asked not to be named said.

No agreement was expected on Wednesday but the talks, to begin at 5 p.m. (1600 GMT), were to set the tone for a deal before the January 31 deadline that Iberia has set for the unions to support the plan.

Airline fees get more complex as American, Southwest make changes

Editor — Thu, 03 Jan 2013 11:20:30 +0000

American Airlines eliminates some fees while Southwest adds some. In a move being watched by competitors, American Airlines is experimenting with a new pricing option that eliminates the potential penalty fee for changing flights for customers who pay a little extra for a basic coach ticket.

The initiative is arguably counterintuitive because domestic airlines have been piling up money in recent years from all sorts of fees — baggage fees and the change-penalty fees among them — on top of the base fares.

American’s new coach fare options are “another example of how we’re building toward a new, innovative and more modern airline,” said Rob Friedman, vice president for marketing at the airline, which is about to emerge from bankruptcy court protection and is in talks with US Airways.

Oddly, while American moves to incorporate some stand-alone fees into some base fares, a process known as bundling a fare, Southwest Airlines seems to be going in the other direction. Southwest, which has long bragged about having simple fare structures that don’t include fees for things like changing tickets or checking bags, recently announced plans to increase its dependence on fees, a process known as unbundling.

Jet confirms talks with Etihad, deal likely next week

Editor — Thu, 03 Jan 2013 10:59:36 +0000

In its first confirmation of a potential deal with Abu-Dhabhi based Etihad, Jet Airways has said that it is in talks with the Gulf airline for a potential stake sale, although terms have not been finalised yet.

The statement comes a day after a government source said Etihad could pay up to Rs 1,800 crore for a 24 percent stake in Jet.

Even a CNBC-TV8 report said that the two airlines are in final stages of discussion and a deal could be signed by next week.

The two airlines are negotiating a two-part deal structure. The founder of Jet Airways Naresh Goyal is likely to convert shares owned by its holding company into his personal stake to comply with foreign investment regulations. Tail Winds Ltd, the Isle of Man-based investment vehicle of Goyal, currently holds 79.99 percent of Jet Airways.

Jet promoters will sell stake via the issue of preferential shares and warrants. The latter will be converted into equity within 18 months, the CNBC-TV18 report said.

Emirates set to become second largest airline this year

Editor — Thu, 03 Jan 2013 10:55:36 +0000

Emirates, the ambitious Dubai carrier, will move within touching distance of becoming the world’s biggest airline this year, research suggests.

In a major shake-up of the global aviation market, the Middle Eastern carrier, which has grown at a phenomenal pace since its inaugural flight in 1985, will overtake US giant Delta within the next 12 months to claim the number two spot in the world.

If Emirates continues to expand at the same pace seen in 2012, when it boosted capacity by 18.4pc, it will be on a flight path to surpass United, currently ranked number one in the world, according to the CAPA Centre for Aviation.

United became the world’s biggest airline through its 2010 merger with Continental.

CAPA ranks long-haul carriers by available seat kilometres (ASK), a measure of an airline’s capacity, which is calculated by multiplying the number of seats on aircraft by the distance flown.

British Airways retained its spot as the seventh biggest airline globally ahead of Air France although the UK airline’s sister carrier, Iberia, was listed separately. Lufthansa remained Europe’s biggest long-haul carrier

Airlines Face Acute Shortage of Pilots

Editor — Tue, 13 Nov 2012 13:11:52 +0000

U.S. airlines are facing what threatens to be their most serious pilot shortage since the 1960s, with higher experience requirements for new hires about to take hold just as the industry braces for a wave of retirements.

Federal mandates taking effect next summer will require all newly hired pilots to have at least 1,500 hours of prior flight experience—six times the current minimum—raising the cost and time to train new fliers in an era when pay cuts and more-demanding schedules already have made the profession less attractive. Meanwhile, thousands of senior pilots at major airlines soon will start hitting the mandatory retirement age of 65.

Global Eagle makes $430-million airline entertainment deal

Editor — Fri, 09 Nov 2012 13:10:08 +0000

Two entertainment industry executives announced plans to acquire two companies in a $430-million transaction aimed at capitalizing on the growing consumer demand for in-flight services.

Global Eagle Acquisitions said it has reached an agreement to buy privately held Row 44 Inc., a Westlake Village company that provides satellite broadband service for Southwest Airlines, the nation’s largest domestic carrier. It also agreed to acquire 86% of the outstanding shares of Advanced Inflight Alliance, a German company that supplies games, movies, general entertainment and applications to more than 130 airlines worldwide. The all-stock deal is subject to regulatory approval.

“This is exactly the kind of worldwide digital media opportunity we’ve been seeking for Global Eagle since our initial public offering,” said Harry Sloan, Global Eagle’s chairman and chief executive.

Sloan, the former chairman and chief executive of Metro-Goldwyn-Meyer, and co-founder Jeff Sagansky, a former executive at CBS and Sony, see opportunity in the skies. Only about 1,800 planes out of a global commercial aircraft fleet of 13,000 offer Internet access. Some 3.1 billion passengers — many carrying laptops, tablets and other portable devices — represent a captive audience, eager for Internet-delivered diversions.

Global Eagle is betting that, by combining digital content and connectivity, the company will be well positioned to capitalize on the global airline market.

Row 44′s biggest competitor is Gogo, which provides Wi-Fi access to more than 1,600 commercial aircraft, including domestic Delta Air Lines flights, all AirTran Airways and Virgin America flights, and select Air Canada, Alaska Airlines, American Airlines, Frontier Airlines, United Airlines and US Airwaysflights. Row 44 uses satellite technology, which it believes provides faster and more dependable Internet access than signals sent from ground towers.

dawn.chmielewski@latimes.com

hugo.martin@latimes.com

Spanish Airline Said to Be in ‘Fight for Survival’

Editor — Fri, 09 Nov 2012 13:03:14 +0000

PARIS — The parent company of Iberia, Spain’s loss-making flag carrier, warned Friday that a deepening recession there and heightened competition from low-cost airlines had placed it in a “fight for survival” and announced a sweeping restructuring that will eliminate at least 4,500 jobs and cut capacity by 25 percent.

The planned reductions, equivalent to more than 20 percent of the airline’s work force, came as International Airlines Group — formed by the merger of Iberia with British Airways last year — reported a 24 percent drop in third-quarter net profit and forecast an operating loss of €120 million, or $150 million, for the full year.

“Iberia is in a fight for survival and we will transform it to reduce its cost base so it can grow profitably in the future,” Willie Walsh, the IAG chief executive, said in a statement. Iberia’s unions were given a deadline of Jan. 31 to reach an agreement on the job cuts or face possibly deeper retrenchments.

Labor unions have been bracing for major layoffs at Iberia for months as the grip of Spain’s recession tightens and IAG has gradually shifted operation of many domestic and European flights to its low-cost subsidiary, Iberia Express. On Thursday, IAG, which owns 46 percent of Vueling, a rival Spanish low-cost carrier, made a €113 million bid for the rest of the airline, though it said it had no immediate plans to merge it with Iberia Express.

Source: NYTimes.com

Boeing, Aeromexico Finalize Order for 737 MAX 8s and 9s

Editor — Fri, 09 Nov 2012 12:58:28 +0000

SEATTLE, Nov. 6, 2012 /PRNewswire/ – Boeing (NYSE: BA) and Aeromexico finalized an order for 60 737 MAX 8s and 9s, with reconfirmation rights for 30 additional 737 MAXs. The firm order by Mexico’s largest airline, which was first announced as a commitment in July, is valued at more than $6 billion at published list prices.

Today’s order brings the total 737 MAX firm orders to 938 airplanes.

“We are proud of the steps Aeromexico is taking to remain Mexico’s leading airline and one of the world’s most progressive airlines,” said Van Rex Gallard, vice president of Sales for Latin America, Africa, & Caribbean, for Boeing Commercial Airplanes. “Aeromexico has a history of leading the way for Latin America’s aviation industry and this order shows their dedication to continuous improvement in performance, customer satisfaction and efficiency.”

The 737 MAX is a new-engine variant of the world’s best-selling airplane and builds on the strengths of today’s Next-Generation 737. The 737 MAX incorporates the latest-technology CFM International LEAP-1B engines to deliver the highest efficiency, reliability and passenger comfort in the single-aisle market. Airlines operating the 737 MAX will see a 13 percent fuel-use improvement over today’s most fuel-efficient single-aisle airplanes and an 8 percent operating cost per seat advantage over tomorrow’s competition.

The 737 MAX also features the new Boeing Sky Interior. The sleek interior boasts modern lines, a spacious cabin with more headroom and LED lighting that offers vibrant color options.

Aeromexico operates an all-Boeing fleet for airplanes larger than 100 seats. Grupo Aeromexico, the parent company of Aeromexico, operates its main hub out of the Mexico City International Airport. In 2011 the Group transported more than 14 million passengers and offers more than 550 daily flights to different cities in Mexico, the United States, Canada, Central and South America, as well as Europe and Asia.

Contact:
Adam Morgan
International Communications
+1 281-386-4396
adam.k.morgan@boeing.com

Giselle Friederichsen
Aeromexico
+52 559-132-4516
gfriederichsen@aeromexico.com.mx

More information: www.newairplane.com/737max/aeromexico

Photos and captions are available here: http://boeing.mediaroom.com

SOURCE Boeing

Boeing, ALAFCO Firms up Order for 20 Boeing 737 MAXs

Editor — Mon, 05 Nov 2012 06:17:15 +0000

KUWAIT, Nov. 4, 2012 /PRNewswire/ – Boeing (NYSE: BA) and Kuwait airplane leasing company ALAFCO finalized an order for 20 Boeing 737 MAX 8s valued at $2.0 billion at current list price. The order was first announced as a commitment at the Farnborough Airshow in July.

“This is the first order for the 737 MAX from the Middle East, which is one of the aviation industry’s highest growth regions,” said Ray Conner, president and CEO of Boeing Commercial Airplanes. “We are proud of the confidence that ALAFCO has placed in the 737 MAX, and hope to continue this partnership well into the future.”

The 737 MAX is the new-engine variant of the world’s best-selling airplane and builds on the strengths of today’s Next-Generation 737. The airplane will be powered by new CFM International LEAP-1B engines. Along with the engines, aerodynamic improvements to the tail and the new Advanced Technology winglet, the 737 MAX will reduce fuel burn and CO2 emissions by 13 percent over today’s most fuel-efficient single-aisle airplane, the Next-Generation 737. The 737 MAX will have the lowest operating costs in the single-aisle segment with an 8 percent advantage per seat over tomorrow’s competition.

“Today, with rising fuel costs, the 737 MAX will provide operational cost savings to airlines in addition to being more environmentally friendly due to its latest quiet engine technology,” stated ALAFCO’s chairman and CEO Ahmad Alzabin during the Farnborough Airshow. “These are the advantages that airlines are looking for in the current competitive and demanding environment.”

The order brings the total number of 737 MAX orders to date to 878.

Contact:
Saffana Michael
Boeing Commercial Airplanes
+9 7150-4590651
Saffana.michael2@boeing.com

Photo and caption will be available here: http://boeing.mediaroom.com

SOURCE Boeing