NEWS
Delta expects immediate payoffs through oil refinery acquisition
Delta Air Lines (DL) anticipates its US northeast operations will easily take up all the fuel available from the oil refinery that the carrier is purchasing and that payoffs of the daring strategy will be almost immediate. DL announced Monday that its Monroe Energy LLC subsidiary is acquiring an idled Pennsylvania refinery in a $180 million deal that includes $30 million state assistance from Pennsylvania.
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Etihad acquires stake in Aer Lingus
Etihad Airways (EY) said Tuesday it has acquired a 2.987% stake in Aer Lingus. The airline said the purchase would forge a commercial partnership with the Irish national carrier. The Irish government announced in September it would sell its stake in EI as part of efforts to reduce public debt.
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WestJet commits to Q400s for new regional carrier; 1Q income up 41.6%
WestJet (WS) has signed a letter of intent to buy 20 Bombardier Q400 turboprops, the Canadian low-cost carrier announced Tuesday. The deal also includes options on a further 25 aircraft. Calgary-based WS said the aircraft will be operated by its new regional airline, which is expected to launch in the second half of 2013.
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Qatar To Spend Extra USD$2 Billion On New Airport
Qatar will spend an additional USD$2 billion on its new airport at Doha to accommodate aggressive expansion by its airline, a senior government official said on Tuesday.
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Airlines Ready To Pay To End Heathrow Delays - IAG
Airlines using London's Heathrow Airport would be prepared to pay higher landing fees to cut delays at the British hub which have reached "crisis" levels, according to the chief executive of IAG.
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US offers Singapore $435 million F-15SG support package
The US government could sell Singapore a support package related to Republic of Singapore Air Force Boeing F-15SG detachment located at Mountain Home air base in Idaho. The five year Foreign Military Sales (FMS) package includes a range of bombs and guidance units, as well as other support services related to the Singapore Peace Carvin V detachment, says the Defense Security Cooperation Agency. It values the deal at $435 million.
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US to re-visit F-16 C/D sales to Taiwan
The United States will re-visit the sale of Lockheed Martin F-16 C/D fighter aircraft to Taiwan, less than one year after shunning Taipei's request for new fighters. Washington's apparent change of position became public on the web site of Texas senator John Cornyn, an implacable supporter of an F-16 C/D sale to Taipei. Cornyn, whose constituency includes Fort Worth, where Lockheed Martin has a major manufacturing presence, published a letter from Robert Nabors, assistant to the president and director of the office of legislative affairs.
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Lockheed unveils gravity bomb for UAV
The US Army has confirmed successful the 28 March demonstration of a previously-undisclosed bomb from an AAI RQ-7 Shadow unmanned air vehicle (UAV) at Dugway Proving Grounds in Utah. The bomb, a Lockheed Martin-built drop-glide weapon called Shadow Hawk is capable of precision guidance by a laser designator attached to the RQ-7. The bomb weighs 4.9kg (11lb) and has a diameter of 6.9 centimetres (2.75 inches). The munition impacted approximately eight inches from the designator target.
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Some F-22 pilots decline to fly
A "very small number" of Lockheed Martin F-22 Raptor pilots are refusing to fly the jet, a top US Air Force official says. "Obviously it's a very sensitive thing because we are trying to ensure that the community fully understands all that we're doing to try to get to a solution," says Air Combat Command chief Gen Mike Hostage. He was speaking at press conference at Joint Base Langley-Eustis, Virginia on 30 April.
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Frontier Airlines will trim service at Milwaukee airport
Frontier Airlines has announced plans to trim service at General Mitchell International Airport in Milwaukee. By June 1, Frontier will cut 11 flights and furlough 125 workers at the airport. Meanwhile, Delta Air Lines has announced plans to add four daily flights from Milwaukee to New York's LaGuardia Airport beginning in July.
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United Airlines pilots ask for release from contract talks
United Airlines pilots are asking to be released from contract negotiations being mediated by the National Mediation Board. In a statement, United said it was "committed to reaching agreements quickly, but those agreements must be fair to the company and fair to employees."
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Survey shows low-cost carriers soared in 2011
A survey of 75 low-cost carriers found that the carriers transported 11.6% more passengers in 2011. The Airline Business survey also found that the majority of low-cost carriers enjoyed revenue growth in 2011.
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Boeing predicts strong demand for its commercial aircraft
Boeing says that demand for its commercial aircraft continues to grow as the manufacturer faces cutbacks in defense spending. Boeing's 787 Dreamliner has garnered orders since its debut last year, and the company plans to introduce its 737 MAX soon.
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FAA should improve safety data, DOT says
The Department of Transportation is urging the Federal Aviation Administration to improve its analysis of safety. "The FAA is taking important steps to improve safety, such as implementing voluntary safety reporting for controllers, but the agency has not yet realized the full benefits of these efforts," said Jeff Guzzetti, assistant DOT inspector general for aviation.
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Ancillary fees benefit passengers, report says
A new report calls ancillary fees "the ultimate compliment for the consumer" because it gives airline passengers the right to choose their services. Jay Sorensen, author of the report from IdeaWorks, said extra fees help tailor the passenger experience. "Consumers now begin the booking experience with a shopping cart into which they add services and products to the base product of an airline seat," said Sorensen.
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Survey: Legroom, fare increases are among passenger concerns
Lack of legroom and fare increases are among the list of complaints in TripAdvisor's annual passenger survey. The poll also found that mobile-device use continues to rise, with one in four travelers calling their tablets an essential carry-on and nearly half using smartphones to check flight status. Forty-five percent reported planning to book travel early because of concerns that rising fuel prices will increase fares.
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Other News
Austrian Airlines (OS) decided late Monday to transfer the company’s mainline operations—which include about 80 aircraft and 2,100 employees—to subsidiary Tyrolean Airways from July 1 after failing to reach agreement with labor representatives. The move surprised industry analysts after OS announced earlier it had struck a tentative agreement with pilots and flight attendants, heading off the carrier’s plans to shift their contracts to Innsbruck-based Tyrolean with less generous terms. However, negotiations over the past two weeks “proved impossible to reach agreement over principles” with the company’s works council.
American Airlines (AA) parent AMR Corp., which is restructuring via the Chapter 11 bankruptcy process, on Tuesday announced it will eliminate five manager positions as part of the third phase of restructuring. AMR said the cuts, combined with the previous organizational changes, represents a 20% reduction in the company’s most senior leadership positions. AMR chairman and CEO Tom Horton said the organization redesign “purposefully began at the top, and today's changes will further advance the company's restructuring objectives and bring us one step closer to ensuring American has the leanest, most capable and effective leadership team in the industry."
SAS Scandinavian Airlines (SK) has announced the latest step in its strategy of focusing on its core airline business through the divestiture of six properties at Swedish airports. The Scandinavian carrier has signed a sale and leaseback deal with Swedavia, the state-owned group that owns, operates and develops 11 airports across Sweden for the buildings, a mixture of hangars, warehouses, workshops and offices at Stockholm Arlanda (ARN), Gothenburg Landvetter (GOT) and Malmö Sturup (MMX) airports.
Spirit Airlines (NK) reported first-quarter net income of $23.4 million, almost tripled from a net profit of $7.9 million in the year-ago period. Spirit president and CEO Ben Baldanza credited the airline’s network expansion as the reason for the result. “Robust demand for our ultra-low base fares with a range of optional services for a fee resulted in our revenue growth outpacing our capacity growth,” Baldanza said in a statement. Revenue was up 29.6% to $301.5 million while expenses increased 28.4% to $264.3 million, producing an operating profit of $37.2 million, up 38.7% from $26.8 million in the year-ago quarter. NK said the operating performance was “primarily due to increased flight volumes and higher fuel expense,” which increased $27.8 million during the quarter.
US Airways (US) has priced two offerings of enhanced equipment trust certificates at approximately $623 million to refinance two Airbus aircraft and to finance 12 Airbus aircraft scheduled for delivery between September and March 2013. According to US, the $623 million financing includes approximately $380 million of Class A certificates with a final expected distribution date of Oct. 1, 2024, approximately $125 million of Class B certificates with a final expected distribution date of Oct. 1, 2019, and approximately $118 million of Class C certificates with a final expected distribution date of Oct. 1, 2015. The offerings are expected to close May 14.
Thai Airways International (TG) subsidiary Thai Smile is on track to launch July 7 with twice-daily service from Bangkok to Macau. TG chairman Ampon Kittiamporn told the National News Bureau of Thailand (NNT) that Thai Smile plans to offer more routes to regional cities as well as to China and India. The carrier will have an all new Airbus A320-200 fleet in an all-economy class configuration although its Smile Plus service will offer 30 premium seats with additional space and inflight services.
TNT Express said its acquisition by U.S. group United Parcel Service (UPS) was on schedule, as it reported a return to a first-quarter operating profit. TNT Express said on Wednesday it had first-quarter operating income of 37 million euros ($49 million), compared with a 79 million loss in the 2011 period. Revenue rose 1.3 percent to 1.82 billion euros.
Boeing and Deutsche Lufthansa AG, celebrated the flyaway of the first 747-8 Intercontinental delivered to an airline. Boeing and Lufthansa employees joined leaders from both companies, media and suppliers for a delivery ceremony at the Future of Flight Aviation Center beside Paine Field airport in Everett, Wash. At the conclusion of the ceremony, Carsten Spohr, chairman of the executive board and CEO of Deutsche Lufthansa; Nico Buchholz, executive vice president, Group Fleet Management, Lufthansa; and Elizabeth Lund, Boeing vice president and general manager, 747 Program, boarded the airplane with about 30 passengers and crew for the flight taking the airplane from Everett to Lufthansa's home base at Frankfurt, Germany.
The Boeing 787 Dreamliner landed for the first time in Norway today, making Oslo the latest destination on its global Dream Tour. Over the next three days, guests and media invited by Boeing's airline customer Norwegian will get a chance to see first-hand the Dream Tour 787 outfitted with the Dreamliner's special cabin features including a welcoming entryway, dramatically larger dimmable widows, bigger bins and dynamic LED lighting. The 787 Dreamliner made the short flight into Oslo from London's Heathrow Airport after spending the last week visiting 787 airline customers and suppliers in the UK. It will remain at Oslo's Gardermoen airport until May 4 before heading to its next stop in Tarranto, Italy.
Boingo Wireless, Inc., the Wi-Fi industry’s leading provider of software and services worldwide, today announced an agreement with Deutsche Telekom (DT) to give Boingo customers access to in-flight Wi-Fi services on international flights – including intercontinental routes – through DT’s on-board communication service. The Wi-Fi service will be initially available to Boingo customers traveling on select Lufthansa flights between the airline’s hubs in Germany and destinations in the U.S. and Canada. Additional airlines will be made available in the future as DT expands service offerings.
JetBlue Airways today celebrates inaugural service to its 71st destination and the third destination served in the Lone Star State: Dallas/Fort Worth. Boston's largest carrier now offers three daily flights between Logan International Airport (BOS) and Dallas/Fort Worth International Airport (DFW). JetBlue now serves 44 nonstop destinations out of Boston to points all over the carrier's growing network.
AVIATION QUOTE
And let's get one thing straight. There's a big difference between a pilot and an aviator. One is a technician; the other is an artist in love with flight.
— E. B. Jeppesen
ON THIS DATE
---In 1885...Max Karl Ernst Ludwig Planck was appointed extraordinary professor of theoretical physics in Kiel.
---In 1925... The Douglas C-1 biplane makes its first flight at Santa Monica, California and during the month completes trials at McCook Field.
---In 1952... The world’s first regularly scheduled, fare-paying, jet passenger service opens with the British Overseas Airways Corporation (BOAC) Comet 1 flight from London to Johannesburg.
---In 1958... Roger Carpentier beats Watkin’s two-week-old world altitude record when he flies to 79,452 feet in a Sud-Ouest SO 9050 in Istres, France.
---In 1961… Manned Mercury-Redstone (MR-3) launch postponed because of rain squalls in the recovery area.
---In 1966... British European Airways (BEA) opens the first jet service between London Heathrow and Glasgow, using de Havilland Comet 4Bs.
---In 1970…An Overseas National Airways DC-9-30, wet leased to ALM, ditches en-route from JFK to SXM after three missed approaches to Princess Juliana International Airport. Forty passengers survived, 23 perished.
DAILY VIDEO
EDITOR’S CHOICE
HUMOR
The Chief’s Parrot
The old Chief finally retired from the Navy and got that chicken ranch he always wanted. He took with him his lifelong pet parrot.
First morning at 04:30, the parrot squawked and said, "Off yer hocks and don yer socks. Reveille"
The old chief told the parrot, "We are no longer in the Navy. Go back to sleep."
The next morning, the parrot did the same thing. The old Chief told the parrot, "Look, if you keep this up, I will put you out in the chicken pen."
Again the parrot did it, and true to his word, the Chief put the parrot in the chicken pen. About 06:30, the Chief was awakened by one heck of a ruckus in the chicken pen. He went out to see what was the matter.
The parrot had about 40 white chickens in formation and on the ground lay 3 bruised and beaten brown ones. The parrot was saying, "By God, when I say fall out in dress whites, I don't mean Khakis!
TRIVIA
General Trivia
1. Why was Kiwi International Air Lines, a U.S. scheduled air carrier from 1992 to 1999, named after a flightless bird (a kiwi)?
2. In fighter-pilot parlance, tallyho means that enemy aircraft have been sighted. It is colloquially used in civil aviation to mean that traffic is in sight. What is the source of this expression?
3. The Century-series fighters began with the North American F-100 Super Sabre, the McDonnell Douglas F-101 Voodoo, the Convair F-102 Delta Dagger, the Lockheed F-104 Starfighter, and so forth. The McDonnell F-110A Spectre became better known as what famous airplane?
4. What is VH and why is it more significant now than it has been in the past?
5. Frequently presented by the president of the United States in a White House ceremony, the Robert J. Collier Trophy probably is aviation's most prestigious award. Who was Robert J. Collier?
Lockheed unveils gravity bomb for UAV
The US Army has confirmed successful the 28 March demonstration of a previously-undisclosed bomb from an AAI RQ-7 Shadow unmanned air vehicle (UAV) at Dugway Proving Grounds in Utah. The bomb, a Lockheed Martin-built drop-glide weapon called Shadow Hawk is capable of precision guidance by a laser designator attached to the RQ-7. The bomb weighs 4.9kg (11lb) and has a diameter of 6.9 centimetres (2.75 inches). The munition impacted approximately eight inches from the designator target.
