CommercialUnited Continental Swings To Q4 ProfitUnited Continental on Thursday reported a quarterly profit that easily topped Wall Street expectations, helped by an increase in passenger travel, higher ticket prices and lower fuel costs. The parent of United Airlines said fourth-quarter unit revenue increased 3.2 percent from last year, while a measure of passenger miles traveled also rose 2.7 percent. For the fourth quarter, the company earned USD$298 million, compared with a loss of USD$190 million last year. Taking into account merger-related charges, the company earned USD$140 million. Revenue rose 7 percent to USD$9.3 billion. United said it expects unit revenue for the current quarter to be flat to up 2 percent over last year and said consolidated capacity is expected to be up 0.3 - 1.3 percent.
LinkSouthwest Reports Stronger Q4 ProfitSouthwest Airlines posted a stronger profit in the fourth quarter, aided by higher fares and lower costs for fuel and aircraft maintenance. Net income rose to USD$212 million in the fourth quarter, from USD$78 million a year earlier. Quarterly revenue increased 6 percent to USD$4.43 billion. The average airfare rose 5 percent to USD$156.05. Operating expenses fell 1 percent, with fuel and oil costs down 9 percent. Expenses for maintenance materials and repairs dropped about 12 percent. The carrier cited strong demand and forecast that unit revenue, or passenger revenue per available seat mile, would rise in the current quarter.
LinkLower Fuels Costs Help Alaska Air Boost ProfitsAlaska Air reported a higher fourth-quarter profit on Thursday, aided by lower fuel costs. Net income was USD$78 million, up 77 percent from USD$44 million a year earlier. Fourth-quarter revenue rose 7 percent to USD$1.2 billion. Operating expenses were up 2 percent, but fuel costs fell 5 percent.
LinkEU Court Adviser Backs Vueling Baggage ChargesAn adviser to Europe's top court has backed a key element of budget airlines' business model, saying extra charges levied by Spanish carrier Vueling for checking in baggage are in line with European Union rules. Budget airlines generate a hefty chunk of their revenues from supplementary fees related to check-in, luggage and boarding passes, which for some carriers could be two-fifths of their turnover. Ultra low-cost US carrier Spirit Airlines, for example, makes around 40 percent of its revenue from extra costs such as bag fees and seat selection, and its CFO Ted Christie told a conference in Dublin this week he would like to see more. "We try not to put a ceiling on it, but we would love to get at least parity between ticket and non-ticket," Christie said.
LinkAirbus confirms A350 for Singapore AirshowThe Airbus A350-900 aircraft will make its Asian debut at the Singapore Airshow in February, marking the aircraft’s first full display at an international trade show. The test aircraft bearing registration MSN 003 will appear in the static display from 11-12 February, and will also be performing in the flying display on both days, says Airbus in a statement. The 11th and 12th are the first two trade days of the show, which runs through Sunday 16 February. The 15th and 16th are public days.
LinkAirlines report fourth quarter 2013 profitsAlaska Air Group, Southwest Airlines and United Continental today announced fourth quarter 2013 financial results. Alaska Air Group announced net income of $78 million, or $1.11 a diluted share, an increase of 77% from the prior year, when the carrier reported a profit of $44 million, or 61 cents a share. Southwest Airlines posted net income of $212 million for the fourth quarter, or 30 cents per share. In the fourth quarter of 2012, the carrier reported $78 million net income, or 11 cents per share. United Continental reported $140 million in net income for the fourth quarter, or 37 cents per share compared to the same period last year when the carrier reported a loss of $620 million, or $1.87 per share.
LinkUnited offers jobs to furloughed flight attendantsUnited Airlines plans to offer flight attendants who were scheduled for furlough in April a chance to work for Continental Airlines. The airlines, which merged in 2010, still operate with separate flight crews. "Allowing flight attendants who wish to work the opportunity to do so is definitely the right thing," Sam Risoli, United's vice president for inflight services
LinkJapan Airlines executive expresses confidence in 787sJapan Airlines expressed confidence in the Boeing 787 and does not anticipate further issues with its fleet. "There will be no problem in operating our 787s going forward," said Yoshiharu Ueki, JAL president.
LinkAEA to buy 60 new planes, keep at least 170 aircraft in fleet with new contractPedro Fábregas, president of American Eagle Airlines (AEA), pledged to keep a minimum of 170 aircraft in the carrier's fleet in proposed pilot agreement. "We are now providing a guarantee that with the new contract, our fleet will not have fewer than 170 aircraft for the next 10 years," Fábregas said. American Eagle also plans to buy 60 new Embraer 175 regional jets, which seat 76 passengers each.
LinkSouthwest installs gadget to help mitigate bad weatherSouthwest Airlines has installed a gadget on the side of planes that measures water vapor and other weather conditions, which helps the airline detect storms. "We're in the business of getting people from Point A to Point B safely," said Rick Curtis, a Southwest meteorologist. "And if this helps, that's why we're here."
LinkTSA considers cell phones for agentsThe Transportation Security Administration (TSA) is considering a policy change to let airport security screeners carry mobile phones in response to the November incident at Los Angeles International Airport, which would allow them to make calls in the event of an emergency.
LinkTravelers' favorite airportsTravelers' favorite airports to spend their time between flights include Charlotte Douglas International Airport, which features comfortable rocking chairs, and London Heathrow Airport, which has a supervised play area for children. Yoga rooms are also available at Burlington International Airport in Vermont, Chicago O'Hare, Dallas-Fort Worth Airport and San Francisco International. San Francisco is also opening its second yoga space on Jan. 28, which will be located in the new Boarding Area E for United Airlines. Other amenities that travelers enjoy include adjoining hotels, art exhibits and restaurants.
LinkIATA: Premium air travel grew in November 2013A new International Air Transport Association report finds that premium air travel in November 2013 increased internationally by 5.4% year over year. The biggest growth was on routes between South America and North America, which were up 9.3%. Traffic on Europe-Far East routes increased 9% while routes between Europe and the Middle East were up 8.7%.
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