Airline Business articles from July 2007

Airline Business archives from July 2007

American turns on Spirit.(Briefing)
July 24, 2007... American Airlines is fighting back at low-cost challenges to its strong Caribbean operation by launching new routes that rival services begun by Spirit Airlines. American, which is already the dominant player at Miami with a 71% market share,...

Carriers tackle Canadian duopoly.(Briefing)
July 24, 2007... A group of secondary Canadian carriers, led by regional start-up Porter Airlines and leisure carrier Air Transat, is refusing to accept that the Air Canada-WestJet duopoly is cast in stone. Since the demise of CanJet, Jetsgo, and Harmony...

Southwest's profit lag.(Briefing)(Financial report)
July 24, 2007... Byline: DAvid Field Washington Southwest Airlines is planning job and capacity cuts and a tweak to its business model to help restore its falling profits. After reporting a 17% drop in second quarter profits to $278 million in...

TAM braced for competition in Brazil.(Briefing)(TAM Brazil)
July 24, 2007... Byline: Kerry ezard PARIS TAM's plan to expand its long-haul network has received a boost with the award of rights from Brazil's civil aviation authority to serve Frankfurt and Madrid. TAM president Marco Antonio Bologna says the...

US travel troubles continue to stack up.(Briefing)
July 24, 2007... Byline: David Field Washington A summer of delays, cancellations and other significant disruption is on track to produce the worst summer ever for US air travel. The delays have led to rising passenger and public outrage, which is...

US unions raise fatigue flag.(Briefing)
July 24, 2007... US airline unions continue to press for higher pay and better working conditions and are warning they intend to link the issues of work duty hours and fatigue with compensation demands. Air Line Pilots Association president John Prater...

In brief.(Briefing)
July 24, 2007... Northwest to sell nine A319s Northwest Airlines unveiled plans in July to sell nine of its 65 Airbus A319s. Its Air Line Pilots Association chapter protested the plan, which shifts mainline flying that its members had performed to...

In brief.(Briefing)(VivaAeroBus)(Pluna)(Brief article)
July 24, 2007... VivaAeroBus picks Austin VivaAeroBus plans to launch flights in November to Austin, Texas from five Mexican cities, subject to government approval. Monterrey-based VivaAeroBus will join Click as the second Mexican low-cost carrier serving...

In brief.(Briefing)
July 24, 2007... Ramiz plans US carrier Nelson Ramiz, chief executive and owner of Venezuelan carrier Aeropostal, plans to launch a new US carrier tentatively named ufly Airways. The carrier plans to offer vacation packages from Miami to Aruba, Colombia,...

Analysis.
July 24, 2007... Reasons to be cautious Aircraft cancellation rates are worth keeping an eye on, writes Chris Tarry of CTAIRA, with analyses from Antonio Panariello of Flight Data The role of an analyst is to look for and seek out market turning...

Qantas and ANZ cut ties.(Briefing)
July 24, 2007... Byline: David Knibb Brisbane The book on trans-Tasman co-operation has closed following the sale by Qantas Airways of its 4.2% stake in Air New Zealand. Qantas bought the stake in 2002 when the two airlines were planning a strategic...

Hainan to become Grand China Air.(Briefing)
July 24, 2007... China's Hainan Airlines has won approval to restructure its airline units under the Grand China Air name and have its operations base in Beijing. It is a development that it hopes will lead to a foreign stock exchange listing. Hainan,...

India to lift five-year rule.(Briefing)
July 24, 2007... Byline: Nicholas Ionides Singapore and Brendan Sobie Paris A new civil aviation policy to steer the next stage of development in India's growing air transport sector finally looks set to be approved. A new aviation policy has been...

JAL accelerates job and cost cuts.(Briefing)(Japan Airlines Company Ltd.)
July 24, 2007... Byline: Nicholas Ionides Singapore After again missing earnings targets for the last financial year, Japan Airlines is looking to make deeper cuts and will further reduce its workforce. The carrier has been in financial difficulty for...

Tiger prompts Jetstar rule change.(Briefing)
July 24, 2007... Tiger Airway's imminent entry into Australia's domestic market has prompted Qantas to change a long-standing policy on where Jetstar flies. Until now the Qantas group has required Jetstar to avoid domestic routes also served by Qantas to...

In brief.(Briefing)
July 24, 2007... Indigo seeks faster deliveries Indian low-cost carrier Indigo says it is on track to become profitable in the fiscal year ending March 2009 despite stiff losses in its first year of operations. Founder and majority owner Rahul Bhatia...

Buyout move at Thai AirAsia.(Briefing)
July 24, 2007... Uncertainty over the ownership structure of Malaysian low-cost carrier AirAsia's Thai associate Thai AirAsia has been removed following a management buyout of the Thai shareholding. Thai AirAsia is now 51%-owned by six of the carrier's Thai...

In brief.(Briefing)
July 24, 2007... Virgin Blue applies for routes Virgin Blue has applied to the Australian and US governments for permission to launch 10 weekly Australia-USA non-stop flights next year. Its US application also seeks rights to serve the USA via the Pacific...

Mexican.(Forum)(Emilio Romano exits at Mexicana Airlines)
July 24, 2007... Romano exits Mexicana Mexicana has appointed its chief financial officer Manuel Borja Chico to replace Emilio Romano as managing director of the airline. Borja has only been with Mexicana a year and has no prior airline experience, but he...

In brief.(Forum)
July 24, 2007... Christoph Mueller has been promoted to head airline operations at TUI Travel, the German leisure company formed from the merger of TUI's tourism activities and First Choice Holidays. He will oversee seven carriers with a total of some 160...

Malev Hungarian Airlines.(Forum)
July 24, 2007... Paxton leads Malev A British Airways veteran and former head of Air Astana, Lloyd Paxton, has taken the helm at recently privatised Hungarian flag carrier Malev. He replaces Dr JA nos GA[paragraph]nci as chief executive. GA[paragraph]nci...

bmi.(Forum)
July 24, 2007... Spencer moves to bmi UK carrier bmi has recruited former British Airways veteran Peter Spencer to bolster its senior management team. It is understood that Spencer, who will join the carrier later this summer, will report to chief...

Tiger Airways.(Forum)
July 24, 2007... Negline takes Tiger role Singapore-based low-cost carrier Tiger Airways has appointed a Hong Kong-based airline and transport analyst as its new chief financial officer. Tiger says Peter Negline will replace Evelyn Tan who will be leaving...

The presentations.(Features)
July 24, 2007... Over 200 guests from around the world gathered in the spectacular setting of Lincoln's Inn in London on 15th July to witness the presentation of the 2007 Airline Strategy Awards Norman Mineta, former US Transportation Secretary (left), was...

Airline Business Award.(Features)
July 24, 2007... Norman Y Mineta's biography reads like an American legend: the child to immigrant parents, the victim of childhood discrimination, hard work, progress up the ladder and recognition. But for a man known in the world of aviation and in...

Executive leadership.(Features)
July 24, 2007... When it comes to mergers the airline industry has a poor track record. All the more remarkable then that not only have Air France and KLM merged, but that by most measures it is proving a success. The judges of the Airline Strategy Awards...

Finance.(Features)
July 24, 2007... Corporate deals take place every day, but few involve as many elements as Constellation, the covert project that resulted last year in strengthened ties between Hong Kong's Cathay Pacific Airways and Chinese flag carrier Air China. The...

6th Airline Strategy Awards.(Features)
July 24, 2007... The 2007 Airline Strategy Awards have once again recognised the industry's leading executives and top management teams. Now in their sixth year, the Awards have quickly become a highly sought-after and respected badge of honour among the...

Features.
July 24, 2007... Sir Rod Eddington Sir Rod has returned to Australia after five years as chief executive of British Airways. In 1979 he joined the Swire Group, becoming Cathay Pacific Airways managing director and chief executive in 1992. In 1997, News...

Marketing.(Features)
July 24, 2007... Singapore Airlines is an airline of firsts when it comes to marketing and new products. The introduction of new economy, business- and first-class seats late last year on its fleet of Boeing 777-300ERs was no exception. The first-class...

Operations.(Features)
July 24, 2007... This year's Operations award goes to a wholly owned subsidiary of another airline, thus recognising the subsidiary's achievements apart from those of its parent. This is the first time an award in any of the six categories has gone to such a...

Regional & low-cost leadership.(Features)
July 24, 2007... Anyone can start a low-fare airline, and many have, but few low-fare carriers can come back from the brink of failure and grow to become one of their nation's most prosperous airlines, influencing the future of the sector as a whole. This...

Technology.(Features)
July 24, 2007... Presented to Royal Jordanian Airlines Royal Jordanian Airlines has come a long way in a short time to introduce the relevant information technology systems for its entry into the oneworld Alliance in early April. It is the use of...

Danger signs.(Comment)(International Air Transport Association forecasts 2007 and 2008 industrial profits)
July 24, 2007... IATA is forecasting a further improvement in industry profits in 2007 and 2008. But recent signs point to a downturn sooner rather than later. The "super cycle" many were hoping for may no longer be on the cards and with oil prices rising...

Events diary.(Forum)(Calendar)
July 24, 2007... September 2007 3-6 Asian Aerospace Hong Kong See Highlights 9-11 ALTA Aviation Law Americas Conference Miami, Florida Contact Michael Miller Tel +1 703 608 2071 Website www.alta.aero 14-16 Aviation...

Aegean IPO raises $170m.(Briefing)
July 24, 2007... Byline: Kerry Ezard London Greek carrier Aegean Airlines has floated a quarter of its stock on the Athens Stock Exchange in an initial public offering that has generated proceeds of around [euro]125 million ($172.2 million). Aegean in...

Alitalia fails to attract any bidders.(Briefing)
July 24, 2007... Byline: Kerry Ezard London Loss-making Alitalia is staring the possibility of liquidation in the face after the decision by all remaining bidders to withdraw from the privatisation process. Fellow Italian carrier Air One dropped out...

American stretches out in London.(Briefing)
July 24, 2007... American Airlines will transfer some of its London Gatwick flights to Heathrow next March, but has also unveiled plans to resume flights to London Stansted after a 14-year absence in response to pressure from all-premium carriers. The...

KLM closer to Martinair control.(Briefing)
July 24, 2007... Byline: Kerry Ezard London KLM is hopeful that Martinair's decision to pull out of the short-haul leisure market will sway the European Commission towards approving the Dutch flag carrier's second attempt to take full control of the...

Air Comet and Aerolineas to join Star?(Briefing)
July 24, 2007... Byline: Brendan Sobie Paris Spain's Marsans Group is eyeing potential membership in the Star Alliance for its subsidiaries Air Comet and Aerolineas Argentinas and a long-haul operation for acquisition target Spanair. Spanair joined...

Railteam to arrive by 2009.(Briefing)
July 24, 2007... Byline: Kerry ezard london Europe's airlines are bracing themselves for increased competition from high-speed train operators following the creation of a new pan-European rail alliance. Seven European rail companies and three...

Europe closes in on Single Skies.(Briefing)
July 24, 2007... Byline: kerry ezard london The long-awaited Single European Sky (SES) has moved a step closer with the European Commission's High Level Group having released its findings and set 2014 as the date by which its proposals must be implemented....

In brief.(Briefing)
July 24, 2007... EC blocks Irish tie-up Irish budget carrier Ryanair has vowed to appeal against the European Commission's decision to block its proposed takeover of Aer Lingus. The EC in late June ruled against the tie-up on competition grounds, pointing...

In brief.(Briefing)
July 24, 2007... Thomsonfly adds Tel Aviv UK carrier Thomsonfly will launch flights in November from London Luton and Manchester to Tel Aviv. The flights will initially be operated as charters because talks between the UK and Israel over an amended...

Back*on track.(Features)
July 24, 2007... Byline: Report by Nicholas Ionides in manila Asia's first low-cost carrier Cebu Pacific is returning to its low-cost roots to fight back against a resurgent Philippine Airlines This is a classic story of an airline that had a promising...

Regionalrebirth.(Features)
July 24, 2007... Byline: Report by Mark Pilling in London**Photography by Etienne de Malglaive "I said to Willie [Walsh]: you and I should have a cup of coffee" Five years ago flybe turned itself from a regional also-ran into a low-fares pioneer. Now...

Battling it out.(Features)(Philippines aviation market growth)
July 24, 2007... Byline: Report by Nicholas Ionides in Manila Tiger is making its move at Clark Few aviation markets are going through the kind of change seen in the Philippines, where foreign players are seeking to challenge the incumbents and...

Business flair.(Features)
July 24, 2007... Byline: Report by Brendan Sobie in London "We'll do our utmost to show who the national carrier is" Gregor Koncilja UK country manager, Swiss All-premium operations have generated a great deal of attention but remain a...

Features.
July 24, 2007... Byline: Report by DAvid Field in Washington And Brendan Sobie in London "We'll grow the overall size of the business class market by taking on economy and premium economy" Lawrence Hunt chief executive, Silverjet Segmentation...

The IT lever.(Forum)
July 24, 2007... After an uncertain time earlier this decade, the role of Information Technology in the boardroom has moved to centre stage as a key enabler of business transformation and differentiation, says Paul Coby, SITA board chairman and British Airways...

Virgin's dating game.(Briefing)
July 24, 2007... Byline: Mark Pilling London and DAvid Knibb Brisbane Richard Branson's Virgin Group could be at the centre of a series of ownership changes following the revelation that Singapore Airlines is thinking of selling its 49% stake in Virgin...

In brief.(Briefing)
July 24, 2007... SkyTeam seeks immunity SkyTeam is seeking to merge two joint ventures among its members. Under a request for antitrust immunity made to the US Transportation Department at the end of June, the Air France-KLM joint venture would join with a...

In brief.(Briefing)
July 24, 2007... Kuwait Airways set back Kuwait's plan to sell 80% of flag carrier Kuwait Airways was rejected in July by the country's parliament. The government had proposed selling a 40% stake to institutional investors and another 40% through an...

Is the growth sustainable?(Briefing)
July 24, 2007... Byline: Brendan Sobie London Another spate of aircraft orders by Middle Eastern carriers has revived the debate over whether their relentless expansion can continue. Arab carriers committed to more than 200 additional aircraft at the...

Routes returns.(Forum)
July 24, 2007... The World Route Development Forum comes back to Europe this year, following a stint in the Middle East in 2006, and is expecting a record turn out This year's World Route Development Forum returns for the third time to Scandinavia, where...

Special Report.
July 24, 2007... With a 34% rise in traffic in 2006, Qatar Airways cemented its place in the top 50 of the Airline Business ranking Brazil's Gol kept up its hectic growth by increasing traffic last year by more than 50%

Keep on running.(Special Report)
July 24, 2007... Byline: Report by Brendan Sobie in London**Data Compiled by Flight data The pace at which airline financials continue to improve, despite earlier expectations that the peak of the cycle had passed, has hardly slackened. More gains are...

Regional highlights.(Special Report)(revenue growth of airlines)(Brief article)
July 24, 2007... Byline: analysis by antonio panariello of flight DATA in london The world's three major air transport regions - Asia-Pacific, Europe and North America - continued to dominate the industry in 2006 in almost exactly the same proportions as in...

Special Report.(Brief article)
July 24, 2007... Financial analysisPage 58 Lead groups by regionPage 62 Top 150 Financial Ranking Page 64 Passenger analysisPage 75 Top 200 Passenger RankingPage 76 The WorldAirline Rankings This year's World Airline Rankings show...

Special Report.(Company rankings)
July 24, 2007... Regional analysis These tables show the largest airline groups in each region. They are extracted from the main top 150 financial ranking by revenue. The rankings generally show little movement from year to year, although Emirates,...

Growth path.(Special Report)
July 24, 2007... Byline: Report by Kerry Ezard and analysis by Antonio Panariello and Lloyd Dunning-Mitchell After the bumper year of 2004, traffic growth slowed once again last year. Carriers in the Asia-Pacific and the Middle East fared particularly well...