Air Transport World articles from June 2007

Air Transport World archives from June 2007

World Airline Traffic.(TRENDS)
June 1, 2007... WORLD AIRLINE TRAFFIC [GRAPHIC OMITTED]

Jet Fuel Prices.(TRENDS)(Statistical table)(Brief article)
June 1, 2007... JET FUEL PRICES* April 20, 2007 New York 201.53 US Gulf Coast 201.73 Los Angeles 204.93 Rotterdam 194.51 Singapore 193.21 *Spot cash markets (average). Source: US Dept. of Energy

Top 20 Airlines System Traffic: January-April 2007.(TRENDS)(Statistical table)(Brief article)
June 1, 2007... TOP 20 AIRLINES SYSTEM TRAFFIC JANUARY-APRIL 2007 RANK AIRLINE RPKs (000) 1 American 70,979,593 2 Air France KLM 64,652,000 3 United 60,526,946 4 ...

Top 20 Airlines International Traffic: January-April 2007.(TRENDS)(Statistical table)(Brief article)
June 1, 2007... TOP 20 AIRLINES INTERNATIONAL TRAFFIC JANUARY-APRIL 2007 RANK AIRLINE RPKS (000) 1 Air France KLM 60,326,933 2 Lufthansa 35,398,893 3 British Airways 35,381,464 4 Singapore...

Privatization problem.(EDITORIAL)
June 1, 2007... To get a sense of the excitement that the possibility of owning an airport is generating these days, consider that within the past six weeks, more than $6 billion was committed separately to purchase control of three of them. None of the...

Delta emerges from bankruptcy with new look, high hopes.(News Briefs)(Delta Air Lines Inc.)(Brief article)
June 1, 2007... Delta Air Lines' 19-month journey through Chapter 11 ended on April 30 with the launch of what CEO Gerald Grinstein called "a new and prosperous era." In conjunction with the launch, DL unveiled a new livery, its third in little more than a...

Qantas chairman out in wake of failed APA bid.(News Briefs)
June 1, 2007... Qantas Chairman Margaret Jackson said she will not stand for reelection at the company's November annual meeting following the failure of Airline Partners Australia's bid to acquire the airline. She had campaigned openly in favor of the deal,...

EU, US sign open skies agreement.(News Briefs)(European Union)(Brief article)
June 1, 2007... After years of contentious negotiations, representatives from the US and EU enjoyed a bit of ceremony April 30--and looked ahead--as the open skies agreement reached in March was signed at a Washington event attended by Europe's VP-Transport...

IATA says 2006 safest year for airlines.(News Briefs)(International Air Transport Association)(Brief article)
June 1, 2007... Last year was the "safest year on record" for commercial air transport, according to IATA, although it criticized Russia, the CIS states and Africa for accident rates far exceeding the world average. The association reported that the 2006...

Skybus brings Ryanair model stateside.(News Briefs)(Skybus Airlines)(Brief article)
June 1, 2007... Columbus, Ohio-based low-cost startup Skybus Airlines was set to take to the air May 22, launching A319 service to four US destinations. Additional destinations will come as it adds to its fleet, which will comprise leased A319s until it begins...

Neeleman out as JetBlue CEO.(News Briefs)(JetBlue Airways Corp., David Neeleman)(Brief article)
June 1, 2007... JetBlue's Valentine's Day ice storm meltdown claimed another victim last month as founder and CEO David Neeleman announced he would yield the CEO position to longtime President Dave Barger, who will continue in that role as well. Neeleman will...

Northwest Airlines.(NORTH AMERICA Report)(plans for its reorganization)(Brief article)
June 1, 2007... Northwest Airlines was expected to have its reorganization plan confirmed last month, clearing the way for its emergence in June despite union protests over the awarding of 5% of its new common stock to management, including shares and options...

Air Canada.(NORTH AMERICA Report)
June 1, 2007... Air Canada reported a first-quarter net loss of C$34 million ($30.7 million), narrowed from a C$126 million deficit last year, on a 5.9% increase in revenue to C$2.53 billion. Operating loss for the period was C$78 million, trimmed from a C$124...

WestJet.(NORTH AMERICA Report)(financial results of WestJet Airlines Ltd.)(Brief article)
June 1, 2007... WestJet credited growing ancillary revenue and effective seasonal capacity deployment for contributing to a first-quarter net profit of C$29.9 million ($26.8 million), more than double the C$12.9 million earned in the March 2006 quarter....

American Airlines pilots.(NORTH AMERICA Report)(Allied Pilots Association)(Brief article)
June 1, 2007... American Airlines pilots, represented by the Allied Pilots Assn., last month presented a contract proposal seeking a 30.5% pay rate increase on the date a new labor agreement is signed, retroactive to May 1, 2008, plus a 15% signing bonus and...

Southwest Airlines.(NORTH AMERICA Report)
June 1, 2007... Southwest Airlines will equip its entire fleet for RNP, including retrofitting its 737 Classics. There is no timetable on the retrofit.

Hawaiian Airlines.(NORTH AMERICA Report)
June 1, 2007... Hawaiian Airlines parent Hawaiian Holdings' first-quarter net loss narrowed to $11.9 million from a deficit of $12.3 million a year ago as it continued to face stiff competition both on flights to the US mainland and on inter-island routes....

Aloha Airlines.(NORTH AMERICA Report)(Brief article)
June 1, 2007... Aloha Airlines, which like Hawaiian is locked in a fierce inter-island fare war launched by Mesa Air Group's go!, agreed to transfer a minority equity stake to United Airlines and a seat on its board of directors as part of an expanded...

Midwest Air Group.(NORTH AMERICA Report)(financial results)(Brief article)
June 1, 2007... Midwest Air Group earned $8 million in the first quarter ended March 31, reversing an $8.7 million loss in the year-ago period, as operating revenue climbed 10% to $165.8 million.

Boeing.(NORTH AMERICA Report)
June 1, 2007... Boeing posted a 26.7% increase in first-quarter net earnings to $877 million from $692 million in the year-ago period. Revenue grew 8% to $15.4 billion and earnings from operations rose 36% to $1.3 billion. Backlog reached a record $262...

GE Aviation.(NORTH AMERICA Report)(GE Capital Aviation Services Inc. acquires Smiths Group PLC. Smiths Aerospace)(Brief article)
June 1, 2007... GE Aviation completed the $4.8 billion all-cash acquisition of Smiths Aerospace, bolstering its long-sought role in aviation components and systems. GE Plastics announced the launch of a new line of cabin materials specifically designed to...

Boeing Commercial Aviation Services.(NORTH AMERICA Report)(Brief article)
June 1, 2007... Boeing Commercial Aviation Services said Air Pacific is the launch customer for its 737NG landing gear overhaul and exchange program. Separately, BCAS said it signed Spirit AeroSystems to repair and overhaul nacelles for 777s and 737NGs as...

Engine Alliance GP7200.(NORTH AMERICA Report)
June 1, 2007... Engine Alliance GP7200, which will power the A380, attained EASA certification. US FAA certified it in December 2005.

Honeywell.(NORTH AMERICA Report)
June 1, 2007... Honeywell was selected by Boeing to provide engine nacelle anti-ice regulators on all 787s.

Goodrich Corp.(NORTH AMERICA Report)(TAM Brazil)(Brief article)
June 1, 2007... Goodrich Corp. unveiled Prime Solutions, a nacelle system aftermarket MRO program. Goodrich reached a deal with TAM to provide nacelle and thrust reverser service for TAM's A320s; in conjunction with the agreement, it will open a 30,000-sq.-ft....

Delta TechOps.(NORTH AMERICA Report)
June 1, 2007... Delta TechOps announced a 12-year deal worth approximately $300 million to support CF34 engines powering Mesa Air Group's CRJs.

Lufthansa Technik.(NORTH AMERICA Report)(Virgin America )(Brief article)
June 1, 2007... Lufthansa Technik reached agreement with Virgin America on a 10-year contract valued at more than $250 million to provide total material operations and line maintenance support.

AAR.(NORTH AMERICA Report)
June 1, 2007... AAR announced the acquisition of Reebaire Aircraft, an Arkansas regional aircraft MRO provider. It renamed it AAR Aircraft Services-Hot Springs.

Air France KLM.(EUROPE Report)(changes its management structure)(Brief article)
June 1, 2007... Air France KLM will be changing its top management structure in line with increasing integration between the airlines marking the end of the three-year phase-in period since their May 2004 merger. The group now will be managed by an executive...

Lufthansa.(EUROPE Report)
June 1, 2007... Lufthansa earned [euro]554 million ($755.7 million) in its first quarter ended March 31 and said it will achieve a [euro]1 billion full-year operating profit assuming "the current positive framework conditions remain intact." It said its...

British Airways.(EUROPE Report)(Brief article)
June 1, 2007... British Airways confirmed it approached "a number" of unidentified private equity companies about making an offer for Iberia, in which BA holds 10%. The move follows Texas Pacific Group's expression of interest in IB. In a statement, BA said...

Iberia Group.(EUROPE Report)(financial results)(Brief article)
June 1, 2007... Iberia Group posted a first-quarter net profit of [euro]12.2 million ($16.5 million), reversed from a [euro]57.2 million loss in the year-ago period. Improvement was attributed to continued network restructuring and cost-cutting initiatives....

SAS Group.(EUROPE Report)(financial results)(Brief article)
June 1, 2007... SAS Group had a net loss of SEK47 million ($7 million) in the March quarter, narrowed significantly from the SEK1.06 billion loss suffered a year earlier. Improvement was attributed to a SEK370 million gain from the sale of SAS Flight Academy,...

EasyJet.(EUROPE Report)(financial results)(Brief article)
June 1, 2007... EasyJet narrowed its pre-tax loss for the six months ended March 31 to [pounds sterling]17 million ($33.9 million) from [pounds sterling]40 million in the year-ago semester and confirmed it expects full-year pre-tax earnings to increase 40%-50%...

Bmi Group.(EUROPE Report)(financial results)(Brief article)
June 1, 2007... Bmi Group reported a pre-tax profit of [pounds sterling]29.7 million ($59.4 million) for 2006, nearly triple the [pounds sterling]10 million generated in 2005. Operating profit before exceptional items increased 85.5% to [pounds sterling]10.2...

Finnair.(EUROPE Report)
June 1, 2007... Finnair cited a 40.6% increase in revenue from its Asian services among several factors contributing to a [euro]9.3 million ($12.6 million) first-quarter profit, which reversed a [euro]4 million loss suffered a year ago. Revenue rose 10% to...

Austrian Airlines.(EUROPE Report)
June 1, 2007... Austrian Airlines narrowed its adjusted pre-tax first-quarter loss to [euro]36.5 million from [euro]67.7 million in the 2006 period. Revenue climbed 2.7% to [euro]561.5 million and expenses declined 2.3% as loss-making long-haul routes were...

MyTravel Group and Thomas Cook.(EUROPE Report)(financial results)
June 1, 2007... MyTravel Group and Thomas Cook raised the estimated annual pre-tax benefits of their merger to "at least" [euro]140 million ($191.1 million) from the original estimate of [pounds sterling]75 million. Costs associated with the merger will be "no...

AiRUnion.(EUROPE Report)(mergers of Domodedovo Airlines, Sibaviatrans, Samara Airlines and Omskavia)(Brief article)
June 1, 2007... AiRUnion, the alliance of Russian carriers KrasAir, Domodedovo Airlines, Sibaviatrans, Samara Airlines and Omskavia, received final approval from the government on May 2 to complete their merger, which should take place within six months and...

Aeroflot.(EUROPE Report)(financial results of Aeroflot Russian Airlines)(Brief article)
June 1, 2007... Aeroflot said it achieved a RUB7.98 billion ($309.4 million) profit in 2006, a 32.3% increase from 2005 earnings of RUB6.03 billion. Revenue rose 13.5% to RUB71.35 billion on an 8.7% gain in passenger numbers to 7.3 million. Pre-tax profit...

Icelandair Group.(EUROPE Report)(acquires Travel Services Group Inc.)(Brief article)
June 1, 2007... Icelandair Group signed a letter of intent to acquire Travel Service, the largest private airline in the Czech Republic and owner of LCC Smart Wings. Its revenue in 2006, when it carried more than 1.8 million passengers, totaled [euro]190...

Virgin Atlantic Airways.(EUROPE Report)(contracts with GE Capital Aviation Services Inc.)(Brief article)
June 1, 2007... Virgin Atlantic Airways' recent order for up to 43 787s (see Equipment, p. 19) includes an "environmental partnership" between airline and manufacturer that covers a biofuel demonstration on a Virgin 747-400 next year. The project, which also...

Cargolux.(EUROPE Report)
June 1, 2007... Cargolux reported a 2006 net profit of $82 million, up 6.5% over 2005, on a 5% gain in revenue to $1.5 billion.

Martinair.(EUROPE Report)(financial results of Martinair Holland N.V.)(Brief article)
June 1, 2007... Martinair lost [euro]7 million ($9.5 million) in 2006, reversed from a profit of [euro]14 million in 2005. Operating loss was [euro]17 million compared to a 2005 operating profit of [euro]22 million. Turnover climbed 9.1% to [euro]1.2 billion.

European Commission.(EUROPE Report)(Ryanair Ltd. acquires Aer Lingus Group PLC)(Brief article)
June 1, 2007... European Commission extended its investigation into Ryanair's proposed acquisition of Aer Lingus to July 4 from June 13, itself an extension from the original deadline of May 11.

Norwegian Air Shuttle.(EUROPE Report)(Air Shuttle acquires Finnair Oy)(Brief article)
June 1, 2007... Norwegian Air Shuttle will acquire Finnair's low-fare Swedish subsidiary FlyNordic via a stock swap under an MOU signed in late April. In exchange, Finnair will receive ordinary shares and stock options in Norwegian that could result in Finnair...

SkyEurope.(EUROPE Report)(SkyEurope Airlines a.s. appoints Nick Manoudakis)(Brief article)
June 1, 2007... SkyEurope said Nick Manoudakis was appointed CFO and COO. Jason Bitter will take up the newly created deputy CEO position. Co-founder and Chairman Alain Skowronek will relinquish executive functions and remain available as an adviser....

Malev.(EUROPE Report)(Malev sale to AirBridge)(Brief article)
June 1, 2007... Malev's sale to AirBridge, a consortium led by KrasAir CEO Boris Abramovich, was completed with the transfer of shares from the Hungarian government. Transaction includes AirBridge's assumption of Malev's loans and is part of the consortium's...

Air Greenland.(EUROPE Report)
June 1, 2007... Air Greenland posted a DKK75 million ($13.7 million) profit in 2006 on record revenues of more than DKK1 billion.

British Airways.(EUROPE Report)
June 1, 2007... British Airways cabin staff voted by a 76% majority to accept the labor deal reached in January that averted a two-day strike.

EADS.(EUROPE Report)
June 1, 2007... EADS reported a [euro]10 million ($13 million) net loss in the first quarter, reversed from a profit of [euro]522 million last year. Airbus had negative EBIT of [euro]69 million, reflecting a charge of [euro]688 million related to Power8. ...

GKN Aerospace.(EUROPE Report)(Boeing Co.)(Brief article)
June 1, 2007... GKN Aerospace was selected by Aviation Partners Boeing to produce blended winglets for 767-300ERs and 737-300s/500s. Agreement covers up to 300 767-300ER and 200 737-300/-500 shipsets.

Austrian Airlines Technik and Lufthansa Technik.(EUROPE Report)
June 1, 2007... Austrian Airlines Technik and Lufthansa Technik signed an MOU for "long-term cooperation" that AAT said will help make it more competitive.

Pratt & Whitney.(EUROPE Report)
June 1, 2007... Pratt & Whitney signed a five-year, $84 million agreement with UK-based cargo carrier MK Airlines to upgrade its JT9Ds with 36 Pratt durability kits.

Iberia Maintenance.(EUROPE Report)
June 1, 2007... Iberia Maintenance signed a five-year deal with Cygnus Air to maintain and repair the freight operator's 757.

AJ Walter Aviation.(EUROPE Report)
June 1, 2007... AJ Walter Aviation opened a 60,000-sq.-ft. logistics center in Billingshurst.

Fraport and Turkey's IC Holding.(EUROPE Report)(Brief article)
June 1, 2007... Fraport and Turkey's IC Holding combined to pay [euro]2.37 billion ($3.19 billion) for the concession to run all three passenger terminals at Antalya Airport until 2024. AYT reported passenger throughput of 14.8 million in 2006.

BAA.(EUROPE Report)(sale of Budapest Airport )(Brief article)
June 1, 2007... BAA announced the sale of Budapest Airport to a consortium led by Hochtief Airport for [pounds sterling]1.31 billion in order to allow parent Ferrovial to focus on its seven UK airports. Ferrovial plans to spend [pounds sterling]9.3 billion...

Leeds Bradford International Airport.(EUROPE Report)(acquired by Bridgepoint Capital)(Brief article)
June 1, 2007... Leeds Bradford International Airport was sold to Bridgepoint, a private equity firm, for [pounds sterling]145.5 million ($289.9 million). Bridgepoint will implement a [pounds sterling]70 million investment plan designed to help double capacity...

Aviareps.(EUROPE Report)
June 1, 2007... Aviareps will represent French startup L'Avion in the US and Kazakhstan's Air Astana in Italy. It will handle Hainan Airlines in Germany and Austria.

Japan Airlines Corp.(ASIA/PACIFIC Report)(financial results)(Brief article)
June 1, 2007... Japan Airlines Corp. narrowed its net loss for the fiscal year ended March 31 to [yen]16.2 billion ($135.1 million) from [yen]47.2 billion in the prior year, although the bottom line was hurt by the removal of a [yen]54.4 billion deferred tax...

ANA Group.(ASIA/PACIFIC Report)(financial results)(Brief article)
June 1, 2007... ANA Group's fiscal year ended March 31, during which it was named ATW's Airline of the Year, concluded with net earnings of [yen]32.6 billion ($273.9 million), representing the second-highest profit in its history and a 22.2% increase over...

Singapore Airlines Group.(ASIA/PACIFIC Report)(financial results)(Brief article)
June 1, 2007... Singapore Airlines Group posted a stunning S$2.13 billion ($1.4 billion) profit for the fiscal year ended March 31, a 71.6% surge over the S$1.24 billion earned in FY06. An 8.6% increase in operating revenue to S$14.49 billion was boosted by...

Korean Air.(ASIA/PACIFIC Report)
June 1, 2007... Korean Air reported first-quarter net income of KRW130.8 billion ($139.2 million), up 2.7% over the year-ago period, on a 10.7% lift in revenue to KRW2.03 trillion. With expenses rising just 7.8%, operating income increased 66.1% to KRW151.4...

Air China.(ASIA/PACIFIC Report)(financial results)(Brief article)
June 1, 2007... Air China earned CNY403 million ($52.1 million) in the first quarter. It did not provide year-ago figures. The company cited "expansion of its principal operations and the investment income derived from Cathay Pacific Airways" as key to its...

China Southern Airlines.(ASIA/PACIFIC Report)
June 1, 2007... China Southern Airlines had a first-quarter net loss of CNY188 million ($24.3 million), narrowed from a CNY665 million deficit in the year-ago period, on a 26.1% lift in operating revenue to CNY11.89 billion. Operating expenses rose 24.3% to...

China Eastern Airlines.(ASIA/PACIFIC Report)
June 1, 2007... China Eastern Airlines posted a CNY510.9 million ($66.26 million) loss in the March quarter, reduced from a CNY955.1 million deficit last year. It identified "high gearing ratio and intensified market competition" as the culprits and said it...

HNA Group.(ASIA/PACIFIC Report)
June 1, 2007... HNA Group, parent of Hainan Airlines, had a net profit of CNY51.2 million ($6.6 million) in the first quarter, up from earnings of CNY12.1 million in the year-ago quarter. Operating revenue rose 20.6% to CNY3.45 billion against a 21.5% lift in...

Shanghai Airlines.(ASIA/PACIFIC Report)(financial results)(Brief article)
June 1, 2007... Shanghai Airlines' annual profit plummeted 82.2% to CNY8.2 million ($1.1 million) for 2006 from CNY46 million in 2005 as revenues rose 24.5% to CNY9.93 billion and costs climbed 27% to CNY8.49 billion. In the 2007 first quarter, SAL remained...

Jet Airways.(ASIA/PACIFIC Report)(acquisition of Sahara Airlines Ltd.)(Brief article)
June 1, 2007... Jet Airways completed its INR14.5 billion ($344 million) acquisition of Air Sahara, which will transition to a wholly owned subsidiary called JetLite positioned "between a low-budget and full-service carrier." While operating as separate...

Qantas.(ASIA/PACIFIC Report)
June 1, 2007... Qantas announced an agreement with Vietnam's State Capital Investment Corp. to purchase 30% of Pacific Airlines, Vietnam's second-largest carrier. Financial terms were not disclosed.

US FAA.(ASIA/PACIFIC Report)(Federal Aviation Administration)(Brief article)
June 1, 2007... US FAA in mid-April announced that Indonesia "does not comply with international safety standards set by ICAO" and lowered the country's safety rating to Category 2.

Airbus.(ASIA/PACIFIC Report)(Airbus S.A.S.)(Brief article)
June 1, 2007... Airbus said construction began last month on its A320 family Final Assembly Line in Tianjin with the aim to deliver the first aircraft assembled in China in the first half of 2009.

Singapore Technologies Aerospace.(ASIA/PACIFIC Report)(contracts with Martinair Holland N.V.)(Brief article)
June 1, 2007... Singapore Technologies Aerospace's SAS Component subsidiary will continue to support Martinair's six 767s under its material supply program for another three years in a deal valued at [euro]18 million.

China Southern Airlines and Air France KLM.(ASIA/PACIFIC Report)
June 1, 2007... China Southern Airlines and Air France KLM entered into exclusive talks to launch a joint venture cargo carrier in China.

Goodrich.(ASIA/PACIFIC Report)
June 1, 2007... Goodrich was selected by China Southern to supply wheels and electronically actuated brakes for 10 787s.

ARINC.(ASIA/PACIFIC Report)
June 1, 2007... ARINC's AviNet Airport global IP network service was chosen by China Southern to connect its Beijing computer system to systems in Australia, Korea and Japan.

PROS.(ASIA/PACIFIC Report)
June 1, 2007... PROS said it successfully has deployed its O & D revenue management suite at Cathay Pacific Airways.

TAM and LAN Airlines.(LATIN AMERICA/CARIBBEAN Report)(TAM Brazil, LAN Airlines S.A.)(Brief article)
June 1, 2007... TAM and LAN Airlines last month announced agreement on an alliance for services in South America, to be implemented "within the next months," that apparently will include codesharing as well as linking loyalty programs and lounge sharing.

LAN.(LATIN AMERICA/CARIBBEAN Report)(financial results of LAN Airlines S.A.)(Brief article)
June 1, 2007... LAN earned $86.1 million in the first quarter ended March 31, an 8.1% increase over a year-ago profit of $79.7 million. Year-ago results were boosted by a one-time nonoperating gain of $33.7 million. A 14.2% lift in operating revenues to $831.3...

TAM.(LATIN AMERICA/CARIBBEAN Report)(financial results of TAM Brazil)(Brief article)
June 1, 2007... TAM reported first-quarter net income of BRL59.2 million ($29.2 million), down 53.3% from BRL126.7 million last year, mainly attributable to a 37.4% year-over-year increase in aircraft costs and a 40.9% rise in personnel expenses as it...

Gol.(LATIN AMERICA/CARIBBEAN Report)(financial results of Gol Transportes Aereos)(Brief article)
June 1, 2007... Gol earned BRL116.6 million ($57.3 million) in the first quarter, down 35.2% from BRL179.8 million in the 2005 period. Revenue climbed 20.7% to BRL1.04 billion against a 43.3% lift in operating expenses to BRL916.2 million driven by a 42.1%...

Sabre Airline Solutions.(LATIN AMERICA/CARIBBEAN Report)(Aerolitoral)
June 1, 2007... Sabre Airline Solutions said Aerolitoral became the fourth airline to sign up for the Ramco MRO System provided by Sabre to maintain and engineer its fleet.

Kenya Airways 737-800.(AFRICA/MIDDLE EAST Report)(Brief article)
June 1, 2007... Kenya Airways 737-800 crashed May 5 shortly after taking off from Douala, killing all 105 passengers and nine crewmembers onboard. Flight KQ507, bound for Nairobi, reportedly made a distress call 13 min. after takeoff before contact was lost....