Air Transport World articles from October 2008

Air Transport World archives from October 2008

Trends.(Statistical table)
October 1, 2008... WORLD AIRLINE TRAFFIC JANUARY-JUNE 2008 US Europe 2008 2007 % chg. 2008 2007 % chg. RPKs (mil.) 662,747 653,254 1.5 380,338 368,545 3.2 ASKs...

You're safer on an airplane.(Editorial)
October 1, 2008... In an average year, approximately 98,000 Americans die from infections they acquire in hospitals, according to the Centers for Disease Control and Prevention. Many and perhaps most of these deaths could be avoided if well-understood sanitary...

Lufthansa.(NEW MUSCLE IN BRUSSELS)(Brussels Airlines)(Brief article)
October 1, 2008... Lufthansa is acquiring a 45% stake in Brussels Airlines, which will continue to operate independently in the same manner as Swiss. [ILLUSTRATION OMITTED] FINANCIAL RESULTS, NEW DEALS, AND REPORTS FROM EVERY CORNER OF THE GLOBE

Clash of the titans.(NewsBriefs)(Brussels Airlines)(Brief article)
October 1, 2008... Consolidation activity moved to the front burner in Europe as the continent's leading airlines turned up the heat at the end of the summer. After a brief absence, Air France KLM returned to the teetering Alitalia table while Lufthansa is taking...

Alitalia future in the air.(NewsBriefs)(Brief article)
October 1, 2008... Continued refusal of Alitalia's main unions to accept significant job cuts and salary restructurings at press time had imperiled a rescue effort by Compagnia Aerea Italiana, a group of Italian investors including Air One that had the possible...

BAA to sell Gatwick.(NewsBriefs)(Brief article)
October 1, 2008... BAA last month said it plans to sell London Gatwick in response to the provisional report of the UK Competition Commission that identified "significant" problems with BAA's common ownership of LGW, Heathrow and Stansted as well as Edinburgh and...

FAA promises improved safety oversight.(NewsBriefs)(United States. Federal Aviation Administration)(Brief article)
October 1, 2008... US Transportation Secretary Mary Peters said last month that FAA has accepted the recommendations from an Independent Review Team of outside safety experts formed last spring to review the US aviation safety system in light of well-publicized...

Strike means more delays to 787.(NewsBriefs)(Brief article)
October 1, 2008... Boeing's troubled 787 program received another blow when assembly line workers represented by the International Assn. of Machinists and Aerospace Workers walked off their jobs Sept. 6 after rejecting management's final contract offer. The...

Russian government.(EUROPE Report)(Brief article)
October 1, 2008... Russian government plans to create a new state-owned airline company intended to rescue the cash-strapped AiRUnion alliance comprising KrasAir, Domodedovo Airlines, Samara Airlines, Omskavia and Sibaviatrans. The holding company will rival...

Final assembly.(A DREAM ON HOLD)
October 1, 2008... Final assembly work on the first 787 was halted when Boeing assembly line workers went on strike last month. [ILLUSTRATION OMITTED]

Spanair MD-82.(EUROPE Report)(Brief article)
October 1, 2008... Spanair MD-82 that crashed Aug. 20 on takeoff from Madrid Barajas may have taken off without its flaps and slats extended, according to the Wall Street Journal, which cited sources close to the accident investigation. Investigators are...

UK Air accidents investigation branch.(EUROPE Report)(Brief article)
October 1, 2008... UK Air Accidents Investigation Branch said that ice within the fuel feed system "most probably" caused restricted fuel flow to the Trent 800s powering the British Airways 777-200ER that crash-landed about 300 m. short of London Heathrow's...

Aeroflot Nord.(EUROPE Report)(Brief article)
October 1, 2008... Aeroflot Nord 737-500 en route from Moscow Sheremetyevo to Perm crashed Sept. 14, killing all 82 passengers and six crew onboard. The 737-500 was approaching Perm for a landing when it lost radio contact at 3,600 ft. and crashed just hundreds...

XL Airways UK.(EUROPE Report)(XL Airways UK)(Brief article)
October 1, 2008... XL Airways UK grounded all flights Sept. 12 after its parent company, XL Leisure Group, the UK's third-largest tour operator, was put into administration. CAA estimated that 85,000 XL passengers were stranded abroad and that customers held...

Virgin Atlantic.(EUROPE Report)(Virgin Atlantic Airways Ltd.)(Financial report)(Brief article)
October 1, 2008... Virgin Atlantic earned [pounds sterling]47.7 million ($88.2 million) in the year ended Feb. 29, up from [pounds sterling]6.6 million the previous year, citing a surge in business traffic. Group revenue rose 9.1% to [pounds sterling]2.34...

Turkish Airlines.(EUROPE Report)
October 1, 2008... Turkish Airlines reported a first-half profit of $208 million, a figure it said represented a 219% increase from the year-ago semester. Operating revenue rose 37% to $2.13 billion and operating profit climbed 25% to $267 million despite a 61%...

Air Berlin.(EUROPE Report)(Financial report)(Brief article)
October 1, 2008... Air Berlin's second-quarter net profit rose 38.3% to [euro]8.3 million ($12.2 million) compared to [euro]6 million in the year-ago period if the 2007 results of LTU, AB's acquisition of which was approved in last year's third quarter, are...

European Airline Traffic August 2008.(FACT FILE)(Statistical table)(Brief article)
October 1, 2008... European Airline Traffic August 2008 Load RPKs % chg. ASKs % chg. factor +/- Airline (billions) 2007 (billions) 2007 (%) 2007 ...

Aer Lingus.(EUROPE Report)(Financial report)(Brief article)
October 1, 2008... Aer Lingus cited unprecedented fuel costs, slowing economic growth in its main markets and weakness in the US dollar and UK pound as it reported a net loss of [euro]20.6 million ($30.3 million) for the first half of 2008, reversed from a...

LOT Polish Airlines.(EUROPE Report)
October 1, 2008... LOT Polish Airlines low-fare subsidiary Centralwings ceased operating scheduled services last month and become a charter and ACMI carrier.

CSA Czech Airlines.(EUROPE Report)
October 1, 2008... CSA Czech Airlines lost CZK178 million ($10.2 million) in the first half, a result it said was "on last year's level." However, it reported a CZK201 million operating profit that represented a turnaround from a CZK449 million loss a year...

Aegean Airlines.(EUROPE Report)(Financial report)(Brief article)
October 1, 2008... Aegean Airlines reported a net profit of [euro]5.5 million ($8.1 million) for the first half, down 13% from the [euro]6.4 million it earned in the year-ago period. Revenue rose 26% to [euro]262.7 million but EBIT fell 42% to [euro]6 million.

SkyEurope Airlines.(EUROPE Report)(Financial report)(Brief article)
October 1, 2008... SkyEurope Airlines suffered a [euro]16.8 million ($24.8 million) loss in the fiscal third quarter ended June 30, widened from a [euro]5.1 million deficit in the year-ago quarter.

Palma-based Futura International Airways.(EUROPE Report)(Brief article)
October 1, 2008... Palma-based Futura International Airways sought bankruptcy protection early last month and ceased flying a few weeks later. According to the airline's website, its fleet comprised 38 737s last year. It added two 737-900ERs this year.

Wizz Air.(EUROPE Report)
October 1, 2008... Wizz Air will open a base at Timisoara, Romania, in March 2009, its 10th overall.

Sterling Airlines.(EUROPE Report)
October 1, 2008... Sterling Airlines reappointed Almar Orn Hilmarsson president and CEO replacing Reza Taleghani, who had held the post since taking over from Hilmarsson in March.

IATA, Eurocontrol and the Civil Air Navigation Services Organization.(EUROPE Report)(Brief article)
October 1, 2008... IATA, Eurocontrol and the Civil Air Navigation Services Organization announced a three-way deal to "expedite efficiency improvements in European air traffic management" that will achieve annual savings of 470,000 tonnes of fuel, $550 million...

Airbus.(EUROPE Report)(Brief article)
October 1, 2008... Airbus, as expected, agreed to sell its UK-based wing component and assemblies manufacturing unit at Filton to GKN for [pounds sterling]136 million ($243.9 million). The accord with GKN also covers A350 XWB work packages for the carbon fiber...

Panasonic Avionics.(EUROPE Report)
October 1, 2008... Panasonic Avionics reached agreement with Air France to provide its eX2 IFE for 10 777-300ERs.

Oxford Aviation Academy.(EUROPE Report)(Brief article)
October 1, 2008... Oxford Aviation Academy acquired General Flying Services, an Australia-based ab initio training provider, under a deal backed by STAR Capital Partners. Financial details were not disclosed.

Lufthansa Flight Training.(EUROPE Report)(Deutsche Lufthansa AG)(Brief article)
October 1, 2008... Lufthansa Flight Training will open a multimillion-dollar center at Munich this month housing an E-190 simulator owned by Swiss Aviation Training and A320 and A330/A340 simulators owned by LFT.

Lufthansa Technik Switzerland.(EUROPE Report)
October 1, 2008... Lufthansa Technik Switzerland, formerly Swiss Technik, will launch operations under its new name on Oct. 1. It is a wholly owned subsidiary of Lufthansa Technik.

SR Technics.(EUROPE Report)
October 1, 2008... SR Technics signed an agreement with Avtrade Ltd. to provide MRO and loan services for a range of Honeywell APUs.

Guadeloupe-based Air Caraibes.(LONG-DISTANCE LAUNCH)
October 1, 2008... Guadeloupe-based Air Caraibes signed an MOU for three A350-1000s, becoming what Airbus called the European launch customer for the largest version of the A350 XWB.

Lufthansa Systems.(EUROPE Report)(Brief article)
October 1, 2008... Lufthansa Systems won a four-year deal with Tirana International for its ELWIS cargo handling solution. LHS signed seven-year contracts with Air France and KLM for use of its Sirax AirFinance Platform.

Sabre Airline Solutions.(EUROPE Report)(Brief article)
October 1, 2008... Sabre Airline Solutions reached agreement with Air One to launch Sabre's Mobile Check-In solution. Sabre also announced that Kuwaiti startup Wataniya Airways selected its SabreSonic sales and service system featuring mobile technology.

Grupo Ferrovial.(EUROPE Report)(ABN Global Infrastructure Fund)(Brief article)
October 1, 2008... Grupo Ferrovial, parent of BAA, said it will sell 100% of its shares in Belfast City Airport to ABN Global Infrastructure Fund for [pounds sterling]132.5 million ($234 million).

Southwest Airlines.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Southwest Airlines plans to cut 196 daily flights while adding just six when it launches its winter schedule on Jan. 11, a more than 5% reduction from its current schedule. It cited lower demand and poor weather during winter months as well as...

American Airlines.(NORTH AMERICA Report)(Brief article)
October 1, 2008... American Airlines said $7.1 million in civil penalties for alleged safety violations proposed in August by US FAA are "excessive." The agency claimed that AA "used the wrong provisions of its MEL" to return two MD-83 aircraft to service in...

United Airlines.(NORTH AMERICA Report)(Brief article)
October 1, 2008... United Airlines in early September reversed its decision to charge for meals in economy on transatlantic flights and in domestic business class owing to "direct, candid feedback" from customers. It plans to proceed with the testing of a free...

Air Canada.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Air Canada will begin offering passengers inflight Internet service in spring 2009 via Aircell's Gogo mobile broadband service. Gogo initially will be available on A319s operating on transborder routes as the land-based system is currently only...

Alaska Airlines.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Alaska Airlines said its winter schedule starting Nov. 9 will see an 8% year-over-year capacity cut, leading to a 9%-10%, or 1,000-employee, workforce reduction. Alaska's last MD-80 was retired Aug. 29, leaving the carrier with a fleet of...

Ottawa-based Zoom Airlines.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Ottawa-based Zoom Airlines suspended operations Aug. 29 and both its Canadian and UK airline subsidiaries will file for bankruptcy protection. Zoom operated a fleet of five 757s and 767s on transatlantic routes.

Southwest Airlines.(NORTH AMERICA Report)
October 1, 2008... Southwest Airlines moved to a cashless cabin. Handheld device and software service are provided by GuestLogix.

US Majors Traffic August 2008.(FACT FILE)(Statistical table)(Brief article)
October 1, 2008... US Majors Traffic August 2008 * +/- RPMs % chg ASMs % chg. LF chg. Airline (bil.) 2007 (bil.) 2007 (%) 2007 AirTran 1.97 12.7 ...

US Air Transport Assn.(NORTH AMERICA Report)(Brief article)
October 1, 2008... US Air Transport Assn. filed a formal challenge to DOT's rule that permits airports to set landing rates and charges based on "market incentives" as well as the traditional aircraft weight metric. Separately, ATA won a round in its fight...

Goodrich.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Goodrich was awarded the contracts to supply the air data system and ice detection system on the A350 XWB, deals valued at more than $600 million over 20 years.

Mechtronix.(NORTH AMERICA Report)(Richardson Capital)(Brief article)
October 1, 2008... Mechtronix announced that Richardson Capital, the private equity arm of Canada's Richardson Financial Group, has invested C$39 million ($36.4 million) in the Montreal-based simulator maker. Funds will be used for expansion of manufacturing and...

Honeywell.(NORTH AMERICA Report)
October 1, 2008... Honeywell said Alaska Airlines has equipped its entire fleet with the Runway Awareness and Advisory System.

ACSS.(NORTH AMERICA Report)(Aviation Communication & Surveillance Systems L.L.C.)(Brief article)
October 1, 2008... ACSS submitted a new software release for its runway incursion product, SafeRoute-SAMM 2.5, for certification by US FAA. The product enables own-ship and other aircraft to be displayed on a moving map of the airport surface using a Class 2...

Sabre Holdings.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Sabre Holdings launched the SabreSonic Customer Sales and Services solution, which it described as the airline industry's "first real intersection of customer-focused solutions and revenue generation in every distribution channel." The platform...

ARINC.(NORTH AMERICA Report)(Brief article)
October 1, 2008... ARINC added Inmarsat's SwiftBroadband to its portfolio and is selling the connectivity service and applications to the aviation market. ARINC said it has made "major enhancements" to its Oi Onboard Internet offering to take advantage of the...

Aveos Fleet Performance.(NORTH AMERICA Report)(Brief article)
October 1, 2008... Aveos Fleet Performance, formerly known as ACTS, and GE signed an MOU recognizing ACTS Engine Maintenance Center as a GE fulfillment center for engine MRO and on-wing and diagnostic services for CFM56-2/-3/-5A and -5C operators in the Americas....

Pratt & Whitney and Aviall Services.(NORTH AMERICA Report)
October 1, 2008... Pratt & Whitney and Aviall Services will work together to distribute JT9D spare parts under an agreement announced in September.

B/E Aerospace.(NORTH AMERICA Report)
October 1, 2008... B/E Aerospace subsidiary FSI won an FAA STC for retrofit installation of its Door 3 Overhead Attendant Crew Rest on Continental Airlines 777-200s.

Enigma.(NORTH AMERICA Report)
October 1, 2008... Enigma announced that FedEx selected the Enigma 3C Platform "to streamline maintenance and service operations for its entire fleet of aircraft."

AP Labs.(NORTH AMERICA Report)
October 1, 2008... AP Labs announced that it will enter the market for inflight entertainment hardware through AP Avionix, a new company launched last month.

TIMCO Aerosystems.(NORTH AMERICA Report)
October 1, 2008... TIMCO Aerosystems said it will offer its FeatherWeight Galley Refresh System for 767s.

Qantas.(ASIA/PACIFIC Report)(Financial report)(Brief article)
October 1, 2008... Qantas posted a 44.1% increase in net profit to $A970 million ($845.1 million) for the fiscal year ended June 30. Outgoing CEO Geoff Dixon said key drivers of the result, which featured a 7.5% year-over-year increase in revenue to A$16.19...

Air New Zealand.(ASIA/PACIFIC Report)
October 1, 2008... Air New Zealand blamed a NZ$300 million hike in fuel expenses for a 1% decline in profit for the fiscal year ended June 30 to NZ$218 million ($154 million) from NZ$221 million in the prior year. The profit drop was a more significant 24% to...

Thai Airways.(ASIA/PACIFIC Report)
October 1, 2008... Thai Airways set aside THB700 million ($20.6 million) that it hopes to use for early retirement packages to induce 500 workers to leave the airline, the Bangkok Post reported. The move came after the carrier posted a THB9.24 billion...

Malaysia Airlines.(ASIA/PACIFIC Report)
October 1, 2008... Malaysia Airlines earned MYR40 million ($11.9 million) in the June quarter, down 64.6% from the MYR112.8 million posted in the year-ago period. Revenue climbed 7.9% to MYR3.65 billion while operating profit slipped 32% to MYR62 million from...

AirAsia.(ASIA/PACIFIC Report)(Financial report)(Brief article)
October 1, 2008... AirAsia posted a second-quarter profit of MYR9.4 million ($2.8 million) that represented a 95% plunge from the MYR185.1 million earned in the 2007 period. Revenue soared 41% to MYR608.4 million and core operating profit lifted 2% to MYR30...

Air China.(ASIA/PACIFIC Report)
October 1, 2008... Air China's first-half net income fell 20.7% to CNY1.24 billion ($180.8 million) on surging oil prices and softening traffic resulting from May's Sichuan earthquake and heightened security surrounding the Beijing Olympics. CA remained in the...

China Southern Airlines.(ASIA/PACIFIC Report)(Financial report)(Brief article)
October 1, 2008... China Southern Airlines lost CNY1.17 billion ($169.7 million) in the first six months of 2008 compared to earnings of CNY62 million a year ago. Revenue climbed 9.1% to CNY26.78 billion against a 14% increase in operating expenses to CNY28...

China Eastern Airlines.(ASIA/PACIFIC Report)
October 1, 2008... China Eastern Airlines narrowed its first-half loss to CNY212.5 million ($31 million) from CNY305.6 million last year on a 6.6% lift in operating revenue to CNY20.31 billion. A currency exchange gain of CNY1.95 billion, more than double the...

Shanghai Airlines.(ASIA/PACIFIC Report)(Financial report)(Brief article)
October 1, 2008... Shanghai Airlines earned a CNY23.4 million ($3.4 million) first-half profit based on domestic accounting standards, reversed from a CNY134.5 million loss last year, thanks to an unexplained CNY44.5 million government subsidy, Bloomberg News...

Hainan Airlines.(ASIA/PACIFIC Report)
October 1, 2008... Hainan Airlines reported a net profit of CNY311 million ($45.5 million) in the first half, up 63.9% over the CNY189.7 million earned in the year-ago semester. Operating revenue rose 1.5% to CNY6.34 billion Despite the continuing decline in...

Shandong Airlines.(ASIA/PACIFIC Report)(Financial report)(Brief article)
October 1, 2008... Shandong Airlines earned CNY58.6 million ($8.6 million) in the first half, improved over a loss of CNY90 million last year. Operating revenue rose 22.6% year-over-year to CNY2.25 billion.

Virgin Blue Holdings.(ASIA/PACIFIC Report)(Financial report)(Brief article)
October 1, 2008... Virgin Blue Holdings blamed soaring fuel prices and one-off product enhancement costs for its 54.7% drop in net profit to A$97.7 million ($85.1 million) for the fiscal year ended June 30. Revenue increased 8.4% year-over-year to A$2.35 billion....

Indian government.(ASIA/PACIFIC Report)(Brief article)
October 1, 2008... Indian government pulled back on plans to float 15% of Air India, Civil Aviation Secretary Ashok Chawla said in late August. "The ministry is not actively looking at it," he told reporters. Instead, parent National Aviation Co. of India will...

SriLankan Airlines.(ASIA/PACIFIC Report)
October 1, 2008... SriLankan Airlines reported a LKR4.9 billion ($45.4 million) profit in the fiscal year ended March 31, more than five times the LKR862 million posted in the prior year, according to press reports. Profit was driven by a LKR5.48 billion gain...

City of Incheon.(ASIA/PACIFIC Report)(Brief article)
October 1, 2008... City of Incheon said it is "indefinitely" postponing plans to launch a joint venture LCC with Singapore-based Tiger Airways in the face of widespread opposition from Korea's airline industry.

GE Aviation.(ASIA/PACIFIC Report)(Brief article)
October 1, 2008... GE Aviation won a six-year, $300 million OnPoint solution contract from Virgin Blue covering MRO services on CFM56-7Bs operated by Blue and its Pacific Blue subsidiary.

Pratt & Whitney.(ASIA/PACIFIC Report)
October 1, 2008... Pratt & Whitney reached a 10-year fleet management program agreement with Singapore Airlines Cargo valued at $500 million covering 13 747-400Fs powered by PW4000s.

Malaysia Airlines.(ASIA/PACIFIC Report)
October 1, 2008... Malaysia Airlines and GMR Hyderabad International Airport signed an MOU to establish an MRO company at the airport capable of handling "all types of aircraft."

Singapore Technologies Aerospace.(ASIA/PACIFIC Report)(ST Aviation Training Academy)(Bruce Hartwig Flying School)(Brief article)
October 1, 2008... Singapore Technologies Aerospace said its ST Aviation Training Academy subsidiary Aviation Training Academy Australia acquired the Bruce Hartwig Flying School for a cash consideration of A$120,000 ($103,655).

Singapore Changi's.(ASIA/PACIFIC Report)
October 1, 2008... Singapore Changi's 27-year old Terminal 1 is getting a S$500 million ($353.9 million) facelift.

The US government.(LEASING & FINANCE BRIEFS)
October 1, 2008... The US government's $85 billion bailout of ILFC parent American International Group last month cast a cloud of uncertainty over the megalessor that is the largest single customer of both Boeing and Airbus. ILFC Chairman and CEO Steven...

ALAFCO.(LEASING & FINANCE BRIEFS)
October 1, 2008... ALAFCO said it leased eight A320-200s to Saudi Arabian Airlines for eight years each for delivery in 2009 and 2010.

AWAS.(LEASING & FINANCE BRIEFS)
October 1, 2008... AWAS announced the acquisition of two A330-200s from ILFC. It also leased one 737-400 to Indonesia's Sriwijaya Air.

SkyWorks Leasing.(LEASING & FINANCE BRIEFS)
October 1, 2008... SkyWorks Leasing arranged the sale of two Frontier Airlines A319s to a special-purpose company affiliated with VTB Leasing, Moscow, for lease to Rossiya Airlines.

Venezuela National Civil Aviation Institute.(LATIN AMERICA/CARIBBEAN Report)(Brief article)
October 1, 2008... Venezuela National Civil Aviation Institute President Jose Martinez ordered American Airlines, Continental Airlines and Delta Air Lines to reduce flights to Caracas citing an "imbalance" in services favoring the US, whose carriers operate an...

TAM.(LATIN AMERICA/CARIBBEAN Report)(Brief article)
October 1, 2008... TAM signed a contract with OnAir, a joint venture between Airbus and SITA, that will enable its passengers to use cell phones or other mobile devices in flight on its A320s for voice, SMS messaging or e-mail on South American routes. The...