NewsDelta To Wait For New Jets To Prove ThemselvesUS carrier Delta Air Lines will watch the wave of orders for the latest Airbus and Boeing planes and wait for the aircraft to prove themselves before ordering any, its chief executive told Reuters on Wednesday. The two plane makers have orders for more than 3,000 of their narrow-bodied models, the Boeing 737 MAX and the Airbus A320neo, which boast fuel savings of about 15 percent. The new models are to be in service from the second half of the decade. "We'd rather get toward the end of a production line because one, the airplane has probably been stretched, and stretched economics are always better than the original economics," the airline's chief executive Richard Anderson told Reuters.
LinkAirAsia Q1 Profit Hit By Financing CostsMalaysia's AirAsia, Southeast Asia's biggest budget airline by passenger traffic, posted a 39.23 percent fall in first-quarter profits on Wednesday, hurt mainly by higher finance costs and a foreign exchange loss on borrowings. AirAsia earned MYR104.79 million ringgit (USD$34.72 million) in the three months ended March, down from MYR172.44 million in the same period last year, although the operating profit was up 6 percent, according to a stock exchange filing.
LinkBoeing CEO Says Interest In 777X Is HighBoeing chief executive Jim McNerney said on Wednesday customer interest in the 777X wide-body plane is "high and still growing," and he expects to formally launch the aircraft later this year. The company began offering the next-generation aircraft to customers on May 2. Ray Conner, who heads the company's commercial plane division, said he had not given up on possible sales of the 777X to British Airways, despite the airline's USD$6 billion order for 18 Airbus A350-1000s in April.
LinkRolls-Royce Wins Engine Order From Lessor CITRolls-Royce has won a contract to supply engines to power 23 Airbus aircraft ordered by US leasing company CIT Aerospace, Rolls said on Wednesday. Rolls-Royce said the deal included Trent XWB engines to power 10 A350 aircraft and Trent 700 engines for 13 Airbus A330s. The Trent XWB, specifically designed for the Airbus A350, is the fastest selling Trent engine ever, with more than 1,200 already sold, according to Rolls. The A350 is due to enter service in 2014.
LinkBoeing Bleeding Cash As 787 Dreamliners Cost $200M But Sell For $116M, But Productivity Is ImprovingAfter the Dreamliner battery fiasco, Boeing managed to get its 787s up in the air again and resumed deliveries. The company has improved its cash costs and thus reduced its cash burn over the coming years, according to UBS , but Boeing will have to push hard if it expects bring those costs down to about $110 million per unit, the point at which it will stop losing money selling Dreamliners. To do this, Boeing will have to be 50% more efficient than it was with the 777. With the Dreamliners back in the air, Boeing managed to start deliveries again last week. This year, Boeing is expected to produce between 75 and 76 Dreamliners, meaning it will exceed deliveries which are forecast at 67 by UBS.
LinkOman Air orders three more A330s Middle Eastern carrier Oman Air has ordered another three Airbus A330-300s, which will take its overall A330 fleet to 10 aircraft. The airline ordered three A330-300s and two -200s in November 2007 as it transformed its operational strategy, re-establishing itself as a long-haul carrier. Oman Air also leased a pair of A330s to supplement its fleet, and selected Rolls-Royce Trent 700 engines for the jets.
LinkChina Southern to become first Chinese 787 operator by early June China Southern Airlines is expecting to take delivery of its first Boeing 787-8 by early June, making it the first Chinese operator of the type. The carrier is awaiting Boeing's confirmation of a definite delivery date, but understands that it should be around end-May or early June, a company official said. "Our schedules have been prepared and we've also trained our pilots. The aircraft type has been delayed for a while now, so we're hoping they will come in soon," he says. He adds that China Southern is likely to receive at least half of its 10 787s on order within the year - which means the carrier will be taking one 787 on average for the next several months. The aircraft will first be used on domestic services, likely from its base in Guangzhou to major cities such as Beijing and Shanghai, before it is used on international routes, says the official.
LinkNorthrop Grumman MQ-4C Triton makes first flight The Northrop Grumman MQ-4C Triton unmanned air system (UAS) has made its first flight. The flight 1h 20m flight from Northrop's Palmdale, California facility reached 20,000ft (7,000m) altitude. “Our goal is to mature the Triton UAS before supporting the Navy’s maritime [intelligence, surveillance and reconnaissance] mission,” said Capt. Jim Hoke, programme manager for Triton . “The data we collect the next few years is essential to certify the system for operational use.” The MQ-4C is a heavily modified version of the RQ-4 Global Hawk, replacing the original surveillance equipment with an electronically-scanned maritime radar, amongst other things.
LinkUS Airways revives daily Philly-Ireland routeUS Airways began daily direct service from Philadelphia International Airport to Shannon Airport in Ireland today. The service will run through Sept. 6. The route, which has been inactive for about four years, will take off on a Boeing 757-200.
LinkUnited plans upgrades at Newark AirportUnited CEO Jeff Smisek was at Newark Liberty International Airport on Tuesday to discuss changes to the carrier's Terminal C facility. Upgrades will include a new system to screen checked luggage, new flight information display screens and the construction of a maintenance hangar for wide-body jets that is expected to generate $52 million in economic activity for the area. Smisek said in a written statement: "We are pleased to celebrate United's long history at our Newark hub — a premier global gateway and a powerful economic engine."
LinkPreCheck goes global on international flightsAccording to a Transportation Security Administration statement, passengers flying internationally from the 40 airports that participate in its PreCheck program may be able to have quicker screening. Travelers are not always breezed through lines, though, as the TSA sometimes imposes random checks. Frequent fliers on Alaska Airlines, American Airlines, Delta Air Lines, United Airlines and US Airways can qualify for the program.
LinkBoeing's 747-8 is more efficient after latest upgradesThe test flight of a Boeing 747-8 Intercontinental was completed this week after the plane underwent performance enhancements to the GEnx-2B engine and Flight Management Computer software. The latest improvements have boosted efficiency by 1.8%.
LinkAirlines manage for profit, run more long-haul flightsAirlines have adopted a more disciplined approach to their supply, demand and capacity models as they manage for profit versus share. They now use aircraft with more seats than they used to and operate more long-haul flights. In 2000, the average passenger trip length was about 870 miles; that is set to hit 1,025 miles either this year or next year. Hudson Crossing analyst Henry Harteveldt noted that a "consistently profitable" airline business could serve the broader travel industry in the long term.
LinkU.S. carriers attract fliers on domestic routesFliers no longer have to take an international flight to get high-end treatment. Many U.S. carriers such as Virgin America, United, Delta, American and JetBlue offer features such as fold-flat seats on domestic flights. "That transcon market is incredibly important because it helps you become the preferred carrier across the board," said Gail Grimmett, Delta's senior vice president for New York.
LinkTake advantage of carrier alerts for great dealsAirlines commonly offer exclusive deals directly, and people who sign up for the alerts can take advantage of these promotions. This roundup includes links to sign up for alerts from U.S. airlines.
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