AIRLINE NEWS
Friday, August 29, 2008
Turkish Airlines interested in Austrian Airlines stake
Turkish Airlines (THY) said Wednesday that it was interested in buying a stake in troubled Austrian flag carrier Austrian Airlines (AUA).
THY is the third company to officially do so after leading German airline Lufthansa and Russia's number two carrier S7.
The airline contacted the relevant authorities "regarding our interest in the privatization tender of Austrian Airlines," THY said in a statement sent to the Istanbul stock exchange.
According to the Austrian daily Oesterreich, a total of six airlines, including Air France-KLM, are in the running to buy the 42.75-percent AUA stake, currently held by the state-owned holding company OeIAG.
OeIAG has until the end of the year to find a partner for AUA, which has nearly 900 million euros (1.4 billion dollars) of debt and lost 48.7 million euros (72 million dollars) in the first six months of 2008.
The Austrian government agreed AUA could be fully privatised on condition that a blocking minority stake of 25 percent plus one share remain in Austrian hands. Most of the airline's shares are currently held by private investors.
Source: news.google.com
THY is the third company to officially do so after leading German airline Lufthansa and Russia's number two carrier S7.
The airline contacted the relevant authorities "regarding our interest in the privatization tender of Austrian Airlines," THY said in a statement sent to the Istanbul stock exchange.
According to the Austrian daily Oesterreich, a total of six airlines, including Air France-KLM, are in the running to buy the 42.75-percent AUA stake, currently held by the state-owned holding company OeIAG.
OeIAG has until the end of the year to find a partner for AUA, which has nearly 900 million euros (1.4 billion dollars) of debt and lost 48.7 million euros (72 million dollars) in the first six months of 2008.
The Austrian government agreed AUA could be fully privatised on condition that a blocking minority stake of 25 percent plus one share remain in Austrian hands. Most of the airline's shares are currently held by private investors.
Source: news.google.com
Labels: austrian airlines, turkish airlines
Zoom Airlines goes into administration
Low-cost carrier Zoom Airlines has announced that it will go into administration.
The airline, which operates services between the UK and the United States and Canada, has blamed rising fuel costs and the general economic downturn for the decision.
telegraph.co.uk
The airline, which operates services between the UK and the United States and Canada, has blamed rising fuel costs and the general economic downturn for the decision.
telegraph.co.uk
Labels: Zoom Airlines
Thursday, August 21, 2008
More than 150 die as tourist plane crashes in Spain
A total of 153 people have been confirmed dead and 19 injured after a jet owned by the troubled Spanair airline overshot a runway at Madrid's international airport and exploded into flames.
theage.com.au
theage.com.au
Sunday, August 17, 2008
Virgin Blue announce new baggage prices
Virgin Blue have announced that from Monday they will charge passengers $20 if they fail to pay new baggage fees before they get to the airport.
Customers on discount fares will pay a minimum of $8 for checked luggage for each one-way flight, but those who fail to pay the new charge before they reach the departure gate will be forced to pay $20 at the check-in desk, a News Limited report said.
A spokeswoman for Virgin Blue said the $20 fee was an "incentive" for people to pay online, adding it would be easy for customers to include it when they booked.
The airline said the policy is part of a restructuring plan to offset higher fuel prices without increasing the cost of fares.
Source: au.news.yahoo.com
Customers on discount fares will pay a minimum of $8 for checked luggage for each one-way flight, but those who fail to pay the new charge before they reach the departure gate will be forced to pay $20 at the check-in desk, a News Limited report said.
A spokeswoman for Virgin Blue said the $20 fee was an "incentive" for people to pay online, adding it would be easy for customers to include it when they booked.
The airline said the policy is part of a restructuring plan to offset higher fuel prices without increasing the cost of fares.
Source: au.news.yahoo.com
Labels: baggage, Virgin Blue
Monday, August 11, 2008
BA will give up hundreds of U.S. flights to forge American Airlines pact
British Airways is preparing to surrender its right to hundreds of transatlantic flights in an attempt to win the backing of US authorities for an alliance with American Airlines.
The slots are worth tens of millions of pounds, but BA chief executive Willie Walsh sees it as a price worth paying to secure a three-way tie-up with AA and Spain's Iberia.
The alliance would give the joint venture huge dominance in transatlantic flights.
It would have 46 per cent of all the slots and handle 62 per cent of all transatlantic passengers.
On one route - Heathrow to Houston - the combined group would control 100 per cent of all scheduled flights.
BA will meet US Department of Justice officials early this week and offer to give up the flights.
In return, the airline hopes to win immunity from prosecution under US anti-monopoly laws, allowing it to press ahead with its link-up without the risk of a lengthy legal battle.
When BA last tried a deal with AA in 2002, it was told it would have to surrender 16 flights a day to win anti-trust immunity.
That figure was deemed too high at the time, but this time round BA hopes to convince US authorities a much lower figure will satisfy their concerns.
BA is planning a full merger with Iberia and wants a deal to share costs and revenues with AA.
Walsh believes such a three-way venture is the only way airlines will be able to survive at a time of soaring fuel costs and falling demand.
He is shuttling between London and Washington to lay the groundwork for a successful application. This will be the third attempt by BA to link up with AA.
BA will run into tough opposition from rival Virgin Atlantic, which has pledged a full-blown campaign of opposition.
Virgin Atlantic chief executive Steve Ridgway said: "This alliance would give them a stranglehold on Heathrow-US flights. BA and AA will not face enough competition on their huge network to stop them raising prices."
The open skies agreement signed last year between Britain and the US means the domination of the transatlantic route by BA, American, Virgin and United has gone.
A further six US airlines have since been allowed to land at Heathrow.
Even more significant from BA's point of view is the fact that its rivals - Northwest Airlines, Delta Air Lines, Air France, KLM and Alitalia - have all won anti-trust immunity.
Faced by such a huge challenge Virgin is looking to merge with another airline. Its first choice would be to buy BMI, which has 11 per cent of all the slots at Heathrow.
Source: dailymail.co.uk
The slots are worth tens of millions of pounds, but BA chief executive Willie Walsh sees it as a price worth paying to secure a three-way tie-up with AA and Spain's Iberia.
The alliance would give the joint venture huge dominance in transatlantic flights.
It would have 46 per cent of all the slots and handle 62 per cent of all transatlantic passengers.
On one route - Heathrow to Houston - the combined group would control 100 per cent of all scheduled flights.
BA will meet US Department of Justice officials early this week and offer to give up the flights.
In return, the airline hopes to win immunity from prosecution under US anti-monopoly laws, allowing it to press ahead with its link-up without the risk of a lengthy legal battle.
When BA last tried a deal with AA in 2002, it was told it would have to surrender 16 flights a day to win anti-trust immunity.
That figure was deemed too high at the time, but this time round BA hopes to convince US authorities a much lower figure will satisfy their concerns.
BA is planning a full merger with Iberia and wants a deal to share costs and revenues with AA.
Walsh believes such a three-way venture is the only way airlines will be able to survive at a time of soaring fuel costs and falling demand.
He is shuttling between London and Washington to lay the groundwork for a successful application. This will be the third attempt by BA to link up with AA.
BA will run into tough opposition from rival Virgin Atlantic, which has pledged a full-blown campaign of opposition.
Virgin Atlantic chief executive Steve Ridgway said: "This alliance would give them a stranglehold on Heathrow-US flights. BA and AA will not face enough competition on their huge network to stop them raising prices."
The open skies agreement signed last year between Britain and the US means the domination of the transatlantic route by BA, American, Virgin and United has gone.
A further six US airlines have since been allowed to land at Heathrow.
Even more significant from BA's point of view is the fact that its rivals - Northwest Airlines, Delta Air Lines, Air France, KLM and Alitalia - have all won anti-trust immunity.
Faced by such a huge challenge Virgin is looking to merge with another airline. Its first choice would be to buy BMI, which has 11 per cent of all the slots at Heathrow.
Source: dailymail.co.uk
Labels: american airlines, British Airways, merger
Friday, August 08, 2008
American Airlines ups miles needed for free trip
It will soon cost you $50 for a mileage earned reward trip within the United States on American Airlines.
American, which invented the mileage program 25 years ago, notified customers Thursday it will raise fees and miles needed for upgrades and free trips.
Under changes that take effect Oct. 1, an upgrade from economy coach on a one-way domestic flight will cost $50, plus the previously required 15,000 miles. A round trip upgrade would be $100 and 30,000 miles.
Fees for upgrades were also raised on international flights.
The airline told members of its AAdvantage frequent-flier program of the changes in an e-mail message.
American's moves follow changes at Delta Air Lines Inc.'s mileage program last week.
Delta said it would give frequent fliers a guaranteed ability to redeem miles for a free trip but sometimes at the cost of many more miles. Under a new three-tier program, fliers who spend more miles will get a better shot at winning one of the limited number of seats set aside for reward tickets.
Airlines are raising fares and a variety of fees to cover higher jet fuel costs, but most U.S. carriers are still losing money. American parent AMR Corp. lost nearly $1.8 billion in the first six months of this year after earning profits in 2006 and 2007.
American is raising the fee for a one-way upgrade from the U.S. to Europe, China, Japan, Argentina, Brazil, Bolivia, Chile or Uruguay to $350, from $300. Upgrading to India? That'll be $400. All those trips still require 25,000 miles except India, still 40,000.
American also boosted the number of miles needed to upgrade full-fare coach seats to business or first class on some routes. On flights to Hawaii, Mexico or the Caribbean, it'll take 8,000 miles instead of 5,000, and Europe will be 15,000 miles, up from 10,000.
Mileage requirements for round-trip awards were also raised for some destinations.
American spokeswoman Marcy Letourneau said the company was raising the fees because "the disparity between an economy seat and a business seat is too great to be offset just by miles."
Letourneau said customers still value the reward program, even with higher fees.
"We have many loyal customers, and we hope they remain loyal," she said.
American's AAdvantage program was revolutionary when it was introduced in the 1980s, and it is often credited with helping build loyalty to the carrier.
Could more changes be on the way for frequent fliers?
In a footnote to the e-mail sent to customers, American said it reserves the right to change the frequent-flier program rules at any time, without notice. Top of page
Source: money.cnn.com
American, which invented the mileage program 25 years ago, notified customers Thursday it will raise fees and miles needed for upgrades and free trips.
Under changes that take effect Oct. 1, an upgrade from economy coach on a one-way domestic flight will cost $50, plus the previously required 15,000 miles. A round trip upgrade would be $100 and 30,000 miles.
Fees for upgrades were also raised on international flights.
The airline told members of its AAdvantage frequent-flier program of the changes in an e-mail message.
American's moves follow changes at Delta Air Lines Inc.'s mileage program last week.
Delta said it would give frequent fliers a guaranteed ability to redeem miles for a free trip but sometimes at the cost of many more miles. Under a new three-tier program, fliers who spend more miles will get a better shot at winning one of the limited number of seats set aside for reward tickets.
Airlines are raising fares and a variety of fees to cover higher jet fuel costs, but most U.S. carriers are still losing money. American parent AMR Corp. lost nearly $1.8 billion in the first six months of this year after earning profits in 2006 and 2007.
American is raising the fee for a one-way upgrade from the U.S. to Europe, China, Japan, Argentina, Brazil, Bolivia, Chile or Uruguay to $350, from $300. Upgrading to India? That'll be $400. All those trips still require 25,000 miles except India, still 40,000.
American also boosted the number of miles needed to upgrade full-fare coach seats to business or first class on some routes. On flights to Hawaii, Mexico or the Caribbean, it'll take 8,000 miles instead of 5,000, and Europe will be 15,000 miles, up from 10,000.
Mileage requirements for round-trip awards were also raised for some destinations.
American spokeswoman Marcy Letourneau said the company was raising the fees because "the disparity between an economy seat and a business seat is too great to be offset just by miles."
Letourneau said customers still value the reward program, even with higher fees.
"We have many loyal customers, and we hope they remain loyal," she said.
American's AAdvantage program was revolutionary when it was introduced in the 1980s, and it is often credited with helping build loyalty to the carrier.
Could more changes be on the way for frequent fliers?
In a footnote to the e-mail sent to customers, American said it reserves the right to change the frequent-flier program rules at any time, without notice. Top of page
Source: money.cnn.com
Labels: american airlines, frequent flyer
Tuesday, August 05, 2008
JetBlue Starts Selling Blankets and Pillows
Wondering what airlines will charge you for next? Try pillows and blankets.
JetBlue Airways said Monday that it would sell a pillow and blanket set for $7 on flights of two hours or more. The set, which passengers can take home, includes a 10-by-12 inch pillow and a fleece blanket, which fit into a carrying case.
The kits also come with a $5 coupon for Bed Bath & Beyond.
Now that it has begun selling the kit, JetBlue has done away with the pillows and blankets it used to distribute.
"Replacing our old, recycled pillows and blankets with this state-of-the-art, high-quality take-home kit is an eco-conscious, health-conscious and customer-conscious decision," Brett Muney, JetBlue’s general manager for product development, said in a statement.
"We are constantly seeking ways to enhance the in-flight experience for our customers," Mr. Muney said, and the travel kit "delivers on that promise."
Many major airlines got rid of pillows and blankets on domestic flights in 2005, when the industry was hit by a wave of bankruptcy filings. They are still offered by Southwest and Continental in the United States, and most airlines provide them on overseas flights.
JetBlue's move to selling pillows and blankets has been long in the making. In 2006, David Neeleman, the airline’s founder and former chief executive, said JetBlue was thinking about selling them in an effort to catch up to other carriers in finding ways to produce revenue.
Airlines have faced record prices for jet fuel in 2008, prompting them to charge passengers for a variety of features that used to be free. Last week, US Airways began charging travelers for coffee, tea, water and soft drinks, while several airlines now charge to check their bags.
Airlines say the moves already have produced hundreds of millions of dollars in "ancillary revenue" and predict more such steps lie ahead.
Source: nytimes.com
JetBlue Airways said Monday that it would sell a pillow and blanket set for $7 on flights of two hours or more. The set, which passengers can take home, includes a 10-by-12 inch pillow and a fleece blanket, which fit into a carrying case.
The kits also come with a $5 coupon for Bed Bath & Beyond.
Now that it has begun selling the kit, JetBlue has done away with the pillows and blankets it used to distribute.
"Replacing our old, recycled pillows and blankets with this state-of-the-art, high-quality take-home kit is an eco-conscious, health-conscious and customer-conscious decision," Brett Muney, JetBlue’s general manager for product development, said in a statement.
"We are constantly seeking ways to enhance the in-flight experience for our customers," Mr. Muney said, and the travel kit "delivers on that promise."
Many major airlines got rid of pillows and blankets on domestic flights in 2005, when the industry was hit by a wave of bankruptcy filings. They are still offered by Southwest and Continental in the United States, and most airlines provide them on overseas flights.
JetBlue's move to selling pillows and blankets has been long in the making. In 2006, David Neeleman, the airline’s founder and former chief executive, said JetBlue was thinking about selling them in an effort to catch up to other carriers in finding ways to produce revenue.
Airlines have faced record prices for jet fuel in 2008, prompting them to charge passengers for a variety of features that used to be free. Last week, US Airways began charging travelers for coffee, tea, water and soft drinks, while several airlines now charge to check their bags.
Airlines say the moves already have produced hundreds of millions of dollars in "ancillary revenue" and predict more such steps lie ahead.
Source: nytimes.com
Labels: JetBlue
Sunday, August 03, 2008
Fuel dumped in Qantas emergency landing
The captain of a Qantas 767 flight was forced to dump fuel before making an emergency landing at Sydney Airport on Saturday due to a hydraulic leak in the controls.
It is the third mid-air emergency for the carrier in the past week, but air authorities say there is nothing to suggest any link between the incidents or any lowering of safety standards.
A leak in the wing was detected on the Manila-bound Qantas flight QF 19, a Boeing 767 300 with 200 passengers on board, shortly after take off from Sydney at 1.20pm (AEST), an Australian Transport Safety Bureau (ATSB) spokeswoman said.
The captain requested emergency clearance before returning to land safely at 3pm.
"Air traffic controllers received a call from the pilot declaring an emergency and proceeded to give priority clearance for a landing at Sydney," An Air Services Australia spokesman told AAP.
Passengers said the plane remained low in the sky for about five minutes after take-off and dumped fuel over the ocean east of Sydney before circling for more than an hour.
"About five minutes after taking off it was very obvious the plane was very low in the sky. ...It was very strange," a passenger told Fairfax.
"For 45 minutes we did not know what was going on."
The ATSB said the aircraft made a "precautionary return" to Sydney and landed without incident.
Qantas confirmed the leak was not detected before the plane took off.
"On inspection, engineers determined that fluid was coming from the spoiler actuator that was not evident before departure," a Qantas spokeswoman told AAP.
The spoiler is situated on top of the wing to slow the aircraft down. The actuator is a mechanism which moves the spoiler.
"There was no safety issue at any time," the spokeswoman said.
Passengers were transferred to another aircraft which left Sydney for Manila about 5.45pm (AEST).
The ATSB is awaiting a report from Qantas engineers before deciding whether to launch an investigation into the incident.
An ATSB spokeswoman said all backup systems had worked normally.
It comes a week after an explosion blew a hole in a Qantas jet flying from Hong Kong to Melbourne , forcing the plane to make an emergency landing in Manila.
On Tuesday a Melbourne bound Boeing 737-800 departed Adelaide at 6.08pm (AEST) and returned 37 minutes later after a door opened during a flight to Melbourne .
Qantas was completing checks on oxygen bottles on its fleet of Boeing 747s on Friday.
A CASA spokesman said there was no evidence of any lowering of safety standards at Qantas and the last audit did not detect any "significant safety issues".
Source: au.news.yahoo.com
It is the third mid-air emergency for the carrier in the past week, but air authorities say there is nothing to suggest any link between the incidents or any lowering of safety standards.
A leak in the wing was detected on the Manila-bound Qantas flight QF 19, a Boeing 767 300 with 200 passengers on board, shortly after take off from Sydney at 1.20pm (AEST), an Australian Transport Safety Bureau (ATSB) spokeswoman said.
The captain requested emergency clearance before returning to land safely at 3pm.
"Air traffic controllers received a call from the pilot declaring an emergency and proceeded to give priority clearance for a landing at Sydney," An Air Services Australia spokesman told AAP.
Passengers said the plane remained low in the sky for about five minutes after take-off and dumped fuel over the ocean east of Sydney before circling for more than an hour.
"About five minutes after taking off it was very obvious the plane was very low in the sky. ...It was very strange," a passenger told Fairfax.
"For 45 minutes we did not know what was going on."
The ATSB said the aircraft made a "precautionary return" to Sydney and landed without incident.
Qantas confirmed the leak was not detected before the plane took off.
"On inspection, engineers determined that fluid was coming from the spoiler actuator that was not evident before departure," a Qantas spokeswoman told AAP.
The spoiler is situated on top of the wing to slow the aircraft down. The actuator is a mechanism which moves the spoiler.
"There was no safety issue at any time," the spokeswoman said.
Passengers were transferred to another aircraft which left Sydney for Manila about 5.45pm (AEST).
The ATSB is awaiting a report from Qantas engineers before deciding whether to launch an investigation into the incident.
An ATSB spokeswoman said all backup systems had worked normally.
It comes a week after an explosion blew a hole in a Qantas jet flying from Hong Kong to Melbourne , forcing the plane to make an emergency landing in Manila.
On Tuesday a Melbourne bound Boeing 737-800 departed Adelaide at 6.08pm (AEST) and returned 37 minutes later after a door opened during a flight to Melbourne .
Qantas was completing checks on oxygen bottles on its fleet of Boeing 747s on Friday.
A CASA spokesman said there was no evidence of any lowering of safety standards at Qantas and the last audit did not detect any "significant safety issues".
Source: au.news.yahoo.com
Labels: emergency landing, Qantas
British Airways seeks to seal alliance with American Airlines
BRITISH AIRWAYS will make a third attempt to seal an alliance with its US partner American Airlines within weeks.
Willie Walsh, BA's chief executive, said he expected final preparations for the deal to be complete within a fortnight, with an application to US regulators to follow shortly afterwards. "We want to move on this as soon as possible," he said.
BA, which revealed sharply reduced profits last week, has tried to consummate its marriage with American Airlines for more than a decade. It first sought the permission of US regulators in 1997, then again in 2002.
The two airlines want to be exempt from America's tough anti-competition laws. This would allow them to run their transatlantic operations as a single company, with co-operation on pricing and schedules. A full merger of the companies is made almost impossible by America's strict airline-ownership laws.
Regulators rejected earlier attempts at an alliance because the arrangement was judged to be anti-competitive.
The deal with American may be expanded to bring in two other airlines, Iberia of Spain and Continental of the US. BA and Iberia last week announced plans for a full merger, details of which are likely to be announced in a few months.
Meanwhile, Walsh condemned government plans to drop air-passenger duty in favour of a flight tax.
"Aviation already more than covers the cost of its greenhouse gases through taxation and duty," he said. "This is nothing more than a revenue-generating exercise by the government."
Walsh said he supported aviation's inclusion in the European emissions-trading scheme, rather than the imposition of blanket taxes.
Source: timesonline.co.uk
Willie Walsh, BA's chief executive, said he expected final preparations for the deal to be complete within a fortnight, with an application to US regulators to follow shortly afterwards. "We want to move on this as soon as possible," he said.
BA, which revealed sharply reduced profits last week, has tried to consummate its marriage with American Airlines for more than a decade. It first sought the permission of US regulators in 1997, then again in 2002.
The two airlines want to be exempt from America's tough anti-competition laws. This would allow them to run their transatlantic operations as a single company, with co-operation on pricing and schedules. A full merger of the companies is made almost impossible by America's strict airline-ownership laws.
Regulators rejected earlier attempts at an alliance because the arrangement was judged to be anti-competitive.
The deal with American may be expanded to bring in two other airlines, Iberia of Spain and Continental of the US. BA and Iberia last week announced plans for a full merger, details of which are likely to be announced in a few months.
Meanwhile, Walsh condemned government plans to drop air-passenger duty in favour of a flight tax.
"Aviation already more than covers the cost of its greenhouse gases through taxation and duty," he said. "This is nothing more than a revenue-generating exercise by the government."
Walsh said he supported aviation's inclusion in the European emissions-trading scheme, rather than the imposition of blanket taxes.
Source: timesonline.co.uk
Labels: american airlines, British Airways
Saturday, August 02, 2008
Northwest Airlines to add $80 fuel surcharge for 2009 flights
MINNEAPOLIS (AP) - Northwest Airlines Corp. confirmed on Thursday that it will add fuel surcharges of up to $80 for many domestic round-trip tickets.
The surcharge will apply to travel to about 7,000 city pairs beginning Jan. 10, Northwest spokeswoman Michelle Aguayo-Shannon said. She said Northwest is matching surcharges added by competitors in those markets. Northwest already has fuel surcharges in other markets, she said.
Source: usatoday.com
The surcharge will apply to travel to about 7,000 city pairs beginning Jan. 10, Northwest spokeswoman Michelle Aguayo-Shannon said. She said Northwest is matching surcharges added by competitors in those markets. Northwest already has fuel surcharges in other markets, she said.
Source: usatoday.com
Labels: fuel, Northwest Airlines
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