CommercialGECAS orders 40 737s: Boeing Boeing has named GE Capital Aviation Services (GECAS) as the unidentified buyer of 20 737 Max 8s and 20 737-800s. The deal, worth $3.9 billion at list prices, increases the GECAS fleet of 737s either delivered or on backlog to 482 aircraft. The GECAS order book now includes 387 737NGs and 95 737 Max aircraft.
LinkBombardier took 81 commercial orders in 2013Bombardier ended 2013 with net orders for 81 commercial aircraft, down by 40% on the previous year's total of 138, but increased commercial deliveries by five to 55. Its firm order customers included Ilyushin Finance and Iraqi Airways for the new CSeries twinjet. The company gained net orders for 34 CSeries, as well as 30 CRJs and 17 Q400 turboprops.
LinkTransall crew's error preceded head-on incursionPilots of a Dassault-Breguet C-160 Transall transport misunderstood a taxi clearance before lining up on a runway on which an Airbus A319 was departing in the opposite direction. Investigators state that, although the German Armed Forces Transall had been given special approval for the runway 21 departure from Zweibrucken, it had only been cleared to a holding point. Around the same time a Germanwings A319 bound for Berlin, having backtracked, was commencing its take-off roll along the opposite runway 03. The A319 had already passed the V1 decision speed when an air traffic controller ordered its crew to “break up”, in a bid to abort the departure.
LinkDoric Expects To Complete Airbus A380 Order SoonDoric Lease expects to complete an order for 20 Airbus A380 superjumbos in the next couple of months, a senior executive said on Monday. "Airbus has said it expects to have the order finalized in the next couple of months. That is where we are and where we expect to be," Paul Kent, chief commercial officer, told a conference hosted by Airline Economics.
LinkRyanair Ponders Debt Market To Renew FleetRyanair is looking at tapping capital markets directly for the first time as it prepares to take delivery of recently ordered Boeing aircraft, a senior executive said on Monday. Ryanair has raised funds in the past through bonds backed by the US government-owned ExIm bank, but is in the process of seeking a rating to gain direct access to the debt markets. "We are putting ourselves in a position to allow us access to capital markets. We have done it using US government export credit... (but) we haven't raised any money on Ryanair's book in debt markets," corporate treasurer James Dempsey said.
LinkAirline Industry Mulls Jet Fuel Hedging OptionsTaking out complex call options or even buying a refinery are some of the measures airlines should consider as they try to combat volatile oil prices, air finance industry experts said. Jet fuel can account for anywhere from between 20 and 50 percent of an airline's operating costs, and predicting oil prices is a headache. "No one knows where oil prices will be in six months, let alone 10 years away," James Dempsey, Ryanair group treasurer, told a conference hosted by Airline Economics. "Oil prices are the single biggest risk factor in the business." Delta Air Lines bought its own refinery in 2012 to address the risks from fuel prices.
LinkAirline: Internal survey shows passengers like slim-line seats “Slim-line” seats, with thinner seat-back cushions, are increasingly popular with airlines because they weigh less and help squeeze more passengers into a plane. But the seats may not be so popular with passengers. A new survey by the travel website TripAdvisor shows that many passengers who have tried slim-line seats are not fans. In a survey of 1,391 travelers, the website found that nearly half weren’t sure whether they had sat in slim-line seats. But of those who said they had tried the seats, 83% said they were less comfortable than traditional seats, 8% said the slim-line seats were more comfortable, and 9% said they couldn’t tell the difference.
LinkCharlotte Douglas plans $1B in renovations Charlotte’s airport, already in the midst of building a new parking deck and entrance road, plans to embark on a major terminal renovation this year that could include nicer finishes, replacements for aging equipment and a new food court. Construction projects planned or underway at Charlotte Douglas total nearly $1 billion. The renovations outside and inside highlight a push at the nation’s biggest hub airports to add capacity and amenities.
LinkAmerican Airlines to serve 10 new cities from LaGuardiaAmerican Airlines announced service to 10 new cities from New York's LaGuardia airport. "We are excited about moving forward as the new American Airlines, which will fly more customers to more places than ever before," said Andrew Nocella, senior vice president and chief marketing officer for the carrier. The cities include Louisville, Ky., Knoxville, Tenn., and Dayton, Ohio, among others.
LinkAirlines increased unit revenue by 11.5% in Dec.Airlines for America estimates U.S. airlines improved unit revenues by 11.5% in December, as compared to the same month of the prior year. Hunter Keay, an airline analyst for Wolfe Research, also said the fourth quarter "should conclude an overall very strong year in 2013 for the industry, which was driven by continued pricing gains and cooperative fuel prices."
LinkReport: Airfares down when adjusted for inflation, airlines' operational performance upAccording to a report by PricewaterhouseCoopers, Jonathan Kletzel said airfares have been "actually decreasing when adjusted for inflation." The report also found that arrival delays are down by 17% in the past five years, departure delays have decreased by 8% and 26% fewer flights have been canceled since 2008.
LinkAriz. lawmakers: Pointing lasers at aircraft could mean prison timeArizona lawmakers are considering a plan to make pointing lasers at aircraft a felony in the state. Ian Gregor, a spokesman for the Federal Aviation Administration, said the agency "has worked with airlines, private pilots and law enforcement to address" the issue.
LinkTSA plans "rapid expansion" for PreCheck in 2014 There is little love among the flying public for the Transportation Security Administration. Complaining about the TSA screeners that staff airport security gates, baggage control, and select transportation points around the United States has become as much a travel-related pastime as commenting on airline peanuts or mocking the safety instructions at the beginning of every flight. But as 2013 came to a close, it looked as if the TSA was finally doing something people didn’t respond to with knee-jerk hate: its PreCheck expedited traveler system. Of course, positive chatter about PreCheck was accompanied by complaints that the popularity of the service was so great that lines were becoming too long. But the TSA isn’t new to complaints.
LinkJudge rejects order request by union U.S. District Judge Sam A. Lindsay on Friday denied the Transport Workers Union’s request for a temporary restraining order against Southwest Airlines Co. in a dispute over absences and sick leave. TWU Local 555, which represents baggage handlers and other ramp workers, had requested the order to stop Southwest from requiring ground employees at Chicago’s Midway Airport to justify their use of sick leave, after the carrier was short-handed during early January.
LinkLGA Airport to receive $3.6B upgradeThe planned $3.6 billion in improvements under the leadership of the State of New York include a brand new central terminal at LaGuardia, with more open spaces, restaurants, shopping plazas, new parking garages, free Wi-Fi and other amenities seen more commonly in other airports. Gov. Andrew Cuomo also wants to develop a plan to improve John F. Kennedy International Airport's cargo operations. At his annual State of the State address, Gov. Cuomo said, "We are going to redevelop those airports the way they should have been redeveloped many, many years ago."
LinkQ&A: Robert Crandall, pioneer of airline loyalty programs Former American Airlines CEO Robert Crandall pioneered the development of airline loyalty programs, yield-management concepts and computer reservations systems during his tenure in the industry. The inaugural member of The BTN Group's Business Travel Hall of Fame, who has been more frequently named on BTN's annual list of the most influential executives in the business travel industry than any other person, recently spoke with David Meyer as part of BTN's Vision: 2020 project about potential changes in the airline industry, or lack thereof. An edited transcript follows.
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Every airplane has a min-fuel-consumption point (min drag, if I remember correctly).
