70% corresponds to a 90% reduction in international flights and 40% in domestic operations. All customers with affected international and national flights from today can reschedule their journeys until December 31, 2020, at no additional cost
Following new border closures of various countries and the subsequent drop in demand, LATAM Airlines Group S.A. and its subsidiaries will reduce their capacity by 70%, equivalent to a 90% decrease in international operations and 40% in national flights.
“We made this difficult decision following border closures that have made operating to a large part of our network impossible. If these unprecedented travel restrictions are extended over the next few days, we cannot rule out further reductions to our operation,” said Roberto Alvo, Chief Commercial Officer and CEO-elect of LATAM Airlines Group.
All passengers with affected national or international flights from today (March 16, 2020), will be able to reschedule their flights until December 31, 2020, at no additional cost.
LATAM’s customer service channels are currently receiving high numbers of enquiries, impeding the ability to attend customers. To be able to focus on passengers with the most pressing requirements, LATAM requests that customers do not call more than 72 hours prior to their flight.
Ryanair today (Tues 10 Mar) announced the suspension of its full flight schedule to/from and within Italy, following the decision of the Italian Government to “lock down” the entire country to contain the spread of the Covid-19 virus.
These additional cuts will be implemented as follows:
From 24:00hrs Weds 11 Mar until 24:00hrs Wed 8 Apr, Ryanair will suspend all Italian domestic flights.
From 24:00hrs Fri 13 Mar until 24:00hrs Wed 8 Apr, Ryanair will suspend all Italian international flights.
All affected passengers have received email notices today informing them of these flight cancellations. Passengers looking for repatriation can obtain a free move to an earlier Ryanair flight operating up until midnight Fri 13 Mar. Affected passengers will be able to choose between a full refund or a travel credit that can be redeemed on Ryanair flights in the next 12 months.
Ryanair continues to comply fully with WHO and national Government guidance and travel bans. The situation is changing on a daily basis, and all passengers on flights affected by travel bans or cancellations, are receiving emails and are being offered flight transfers, full refunds or travel credits.
Ryanair apologises sincerely to all customers for these schedule disruptions, which are caused by national Government restrictions and the latest decision of the Italian Government to lock down the entire country to combat the Covid-19 virus.
Due to increased uncertainty surrounding the duration and scale of the Covid-19 outbreak, Air New Zealand has today announced that it will be withdrawing the full year 2020 earnings guidance it issued to the market on 24 February 2020 and reconfirmed at its interim results announcement on 27 February 2020.
Air New Zealand has taken numerous steps to mitigate the impact of reduced demand resulting from Covid-19, including reducing capacity on its Asia, Tasman and Domestic networks, redeploying its fuel efficient 787 Dreamliner fleet to drive operational efficiencies and using tactical pricing to stimulate demand on the impacted sectors. However, the airline now believes that the financial impact is likely to be more significant than previously estimated and with the situation evolving at such a rapid pace, the airline is not in a position to provide an earnings outlook to the market at this time. An update on earnings expectations will be provided when appropriate.
Over the course of the past week the airline has seen additional softness in demand with a decline in bookings across its network. The further spread of Covid-19 to countries outside of China, including New Zealand, has driven a downward shift in demand.
Chief Executive Officer Greg Foran says that it is increasingly clear that Covid-19 has created an unprecedented situation and it is difficult to predict future demand patterns.
“We have been continuously monitoring bookings and in recent days have seen a further decline which coincides with media coverage of the spread of Covid-19 to most countries on our network as well as here in New Zealand,” says Mr Foran.
In response the airline has implemented further capacity reductions to its network, which include extending the suspension of its Shanghai service through to the end of April, and additional consolidation of services across the Tasman, Pacific Islands and Domestic network in March and April.
As a result of these actions, Air New Zealand has reduced total capacity into Asia by 26 percent, and total overall network capacity by approximately 10 percent since the outbreak of Covid-19 started.
Like the vast majority of its industry peers, the airline is also pursuing a range of mitigations in response to the swift decline of demand. These include the deferral of non-urgent capital spend and non-critical business activity across operational and corporate functions.
Chief Executive Officer Greg Foran has voluntarily offered to reduce his base pay of $1.65 million by approximately 15% ($250,000) with the support of the Board, and Air New Zealand’s Executive team will extend their salary freeze that has been in place since May 2019. On top of this, the airline has implemented a hiring freeze for all roles that are non-critical and will offer operational staff the option to take unpaid leave in addition to managing annual leave balances.
“Air New Zealand is a strong and resilient business operated by a world-class team with deep experience having navigated prior shocks to our business and industry. While we have already made swift adjustments to our operations, we are prepared to take further actions to address the ongoing demand impact of Covid-19,” says Mr Foran.
Summary of Air New Zealand’s response since the Covid-19 outbreak
Overall capacity reductions of approximately 10% across the network, including: – Asia capacity reduction of 26% through June, including extension of Shanghai route suspension through April – Tasman capacity reductions of 7% through June – Pacific Islands capacity reductions of 6% through June – Reductions across the Domestic network of approximately 4%, with a 10% to 15% reduction in March and April
Various labour initiatives including a voluntary reduction in CEO pay, a hiring freeze for all non-critical roles and voluntary unpaid leave for operational staff
Deferral of non-urgent capital spend and any non-critical business activity
Japan’s five-star carrier plans to acquire 11 787-10 airplanes, four 787-9s jet and five options
Deal marks ANA’s sixth Dreamliner purchase; order book to eclipse 100 airplanes once options are exercised
ANA plans to use the largest, most efficient Dreamliner to replace certain domestic 777 models
Boeing [NYSE:BA] and ANA HOLDINGS INC. announced the Japanese airline group today decided to acquire up to 20 more 787 Dreamliner airplanes. The agreement with Boeing includes 11 787-10s, one 787-9 and options for five 787-9s valued at more than $5 billion at list prices. The airline also plans to acquire three new 787-9 airplanes from Atlantis Aviation Corporation.
Once the agreements are finalized, it will be ANA’s sixth order for the ultra-efficient and passenger-pleasing Dreamliner and bring their overall 787 order book to more than 100 airplanes.
“Boeing’s 787s have served ANA with distinction, and we are proud to expand our fleet by adding more of these technologically-advanced aircraft,” said Yutaka Ito, Executive Vice President of ANA and ANA HD. “These planes represent a significant step forward for ANA as we work to make our entire fleet even more eco-friendly and further reduce noise output.”
With this order, the airline will add 11 of the largest and most fuel-efficient Dreamliner models, the 787-10 to its world-class fleet. Powered by a suite of new technologies and a revolutionary design, the 787-10 set a new benchmark for fuel efficiency and operating economics when it entered service in 2018. The airplane allows operators to achieve 25 percent better fuel efficiency per seat compared to older airplanes in its class.
ANA sees the 787-10 as the perfect airplane to replace previous domestic 777 models that are slated for retirement.
“Introducing the 787-10 on our domestic routes will help ANA Group maintain its leadership role and improve our ability to operate as a responsible corporate citizen,” Yutaka Ito said.
ANA became the global launch customer of the 787 Dreamliner when it placed its initial order in 2004. Since then, like half of all Dreamliner operators, the Japanese carrier has placed follow-on orders. However, ANA is in a class by itself as the world’s biggest 787 operator with 71 airplanes in its fleet and 12 more to be delivered prior to the latest agreement. The new deal will bring the 11 additional 787-10 airplanes, one 787-9 and options for five more 787-9 jets.
ANA is also in the launch customer group for Boeing’s new 777X.
“ANA has grown into one of the leading airline groups in Asia by continually raising the bar for customer satisfaction and investing in the most technologically-advanced and capable fleet. We are truly honored that ANA HD is coming back to order more 787 planes with plans to boost their Dreamliner fleet to more than 100 jets,” said Ihssane Mounir, senior vice president of Commercial Sales and Marketing, The Boeing Company. “We are confident that the unique capabilities of the 787-10 will continue to safely serve its passengers with best-in-class comfort and reliability.”
The 787 Dreamliner is playing an important role in reducing carbon emissions around the world. Since the first 787 entered commercial service in 2011, the Dreamliner family has saved more than 48 billion pounds of fuel. In addition, the 787 fleet’s noise footprint is 60 percent smaller than those of the airplanes it replaces.
ANA HD’s new 787 jets will be powered by GE’s GEnx-1B engines. The new engines will contribute to the 25 percent improved fuel efficiency per seat of the 787-10.
TAROM, Romania’s national flag carrier, today took delivery of its first ATR 72-600 aircraft, the market-leading product of the world’s number one regional aircraft manufacturer. With a brand new livery, this aircraft is the first of a leasing contract with leading regional aircraft lessor NAC, for nine ATR 72-600.
TAROM has been very successful in its domestic market operations by using ATR aircraft – both ATR 42‑500 and ATR 72-500 – to compete with low cost carriers. When this major fleet upgrade is completed, by the end of 2020, the Romanian carrier will offer an additional 330,000 seats every year, at the same operating cost as its previous seat level, improving short haul connectivity in Romania. With ATR 72-600 burning 40% less fuel and emitting 40% less CO2 than similar-sized regional jets, TAROM will support the development of local and more isolated communities in a responsible way, while further consolidating their position in the market.
TAROM Chief Executive Officer George Barbu said: “We are looking forward to starting operations with our brand new ATR 72-600, the only aircraft on the regional market to meet our ambitious targets in terms of efficiency, modern technology and environmental performance. We are going to be able to develop new routes and increase frequency and seat availability, whilst offering the highest levels of comfort and technology.”
NAC Chairman, Martin Møller added: “The economics of the ATR 72-600, its modernity, passenger comfort and flexibility, along with proven environmental credentials make it an attractive asset, for both lessors and airlines. We thank TAROM for the confidence they have placed in NAC and we look forward to strengthening our relationship in the future.”
Stefano Bortoli, Chief Executive Officer of ATR commented: “Renewed confidence from a loyal customer is the best possible endorsement for an aircraft manufacturer. Especially when the decision is made after a vigorous evaluation of the existing solutions on the market – we know that our product is working for our customers. All regions deserve the same opportunity to be part of a connected world and ATR aircraft show unrivalled performance in connecting people and businesses responsibly.”
TAROM and ATR have been working together for 20 years. This major fleet upgrade will also enable the airline to benefit from state-of-the-art avionics, including glass cockpit, LPV and V-NAV capabilities, for safe, flexible and efficient operations.
OSLO (Reuters) – Norwegian Air’s turnaround gathered pace last month as the budget carrier removed unprofitable routes from its network and boosted the income from remaining flights, sending its shares up almost 6% in early trade.
The airline’s yield – income per passenger carried and kilometre flown – rose 15% to 0.40 Norwegian crown ($0.0435), its monthly traffic report showed on Thursday, beating a 0.37 crown forecast in a Reuters poll of analysts.
The company cut its capacity by a bigger-than-expected 29% in January from a year earlier. Analysts had expected a 22.2% decline in capacity for the month.
Norwegian’s shares traded 4.3% higher at 39.66 crowns by 0839 GMT, but are still down 46% in the last 12 months.
“I am pleased that we continue to deliver on the strategy of moving from growth to profitability,” Chief Executive Jacob Schram, in office since the start of the year, said in a statement.
Norwegian has shaken up the transatlantic travel market with low fares, but breakneck expansion and the grounding of its Boeing MAX fleet also brought mounting losses, forcing the company repeatedly to raise cash from owners.
Seeking to turn itself around and avoid joining the ranks of collapsed airlines, the company announced in October it would cut its capacity by 10% in 2020 from 2019.
Another measure, revenue per available seat kilometre, or RASK, grew by 22% year-on-year to 0.32 crowns, beating the 0.30 crowns predicted by analysts, and Norwegian also raised its fuel hedges to guard against a spike in prices.
The increase in RASK pointed to better operating margins at the carrier, said Danske Bank analyst Martin Stenshall, who holds a buy recommendation on the stock.
Norwegian on average filled 80.9% of seats in January, up from a load factor of 76.1% a year ago and beating an average forecast of 80.6%.
Routes between Ireland and the United States and Canada were cut from Norwegian’s schedule last September, and in December the company announced the sale of its domestic business in Argentina.
The cutbacks may also alleviate the pressure on rivals such as Scandinavian Airlines, which now faces less head-to-head competition on routes between Europe and the United States.
($1 = 9.1879 Norwegian crowns)
(Editing by Gwladys Fouche and Barbara Lewis)
Norwegian Air Sweden Boeing 737-800 plane SE-RRJ approaches Riga International Airport in Riga
$125 Million Maintenance facility showcases commitment to Houston through new infrastructure investment to support long-term growth for Southwest
Southwest Airlines opens new hangar facility at William P. Hobby Airport in Houston
DALLAS, Jan. 8, 2020 /PRNewswire/ — Southwest Airlines Co. (NYSE: LUV) today officially opened a new maintenance facility at William P. Hobby International Airport, highlighting the importance Houston holds for the nation’s largest domestic airline* and underscoring its commitment to Safety while investing in the Bayou City.
The 240,000 square foot maintenance complex, now the largest in the airline’s network, includes offices, training facilities, warehouse space, and a 140,000 square foot hangar. This allows for the nearly 400 Houston based Technical Operations Employees to work simultaneously on up to six 737 aircraft indoors and has space for an additional eight aircraft outside the hangar bays. It replaces Southwest’s smaller Technical Operations facility at Hobby Airport, which opened in 1988.
“This state-of-the-art hangar will support our Technical Operations Team’s unwavering commitment to Safety and maintaining our fleet to the highest standards,” said Gary Kelly, Southwest Airlines Chairman and CEO. “I’m very proud of our hundreds of Technical Operations Employees in Houston for the work they do every day to support our growing operation from Houston’s Hobby Airport, which includes almost 200 departures per day during peak seasons to nearly 70 destinations across the United States, Latin America, and the Caribbean.”
A Boeing 737 sits inside Southwest’s new hangar at William P. Hobby Airport in Houston
“We thank Southwest Airlines for its nearly 50-year partnership and commitment to the Houston community,” Mayor Sylvester Turner said. “Between the direct employment of 5,000 local residents, continued growth in flight activity, and this investment in infrastructure, the airline represents $3 billion in economic impact for Houston each year, and that’s something that makes us proud and thankful.”
“Having similar values allowed McCarthy Building Companies and Southwest Airlines to form an integrated team to address the many entities and hurdles involved with constructing such a high profile project at a major airport. This was instrumental in the success of this project and the teams’ ability to deliver it on time,” said Jim Stevenson, McCarthy’s Houston Division President. “We are proud of our partnership with Southwest and pleased to be part of this important maintenance hangar project that will have such a high impact on its operations.”
The airline is currently investing in aircraft maintenance build-outs at Baltimore/Washington International Airport and Denver International Airport, as well as an expansion of its maintenance facility at Phoenix’s Sky Harbor International Airport. Including the projects in Denver and Baltimore, the airline expects to have eight maintenance hangars throughout the United States.
Broadcast-quality photos and videos are available for download at the carrier’s online newsroom, swamedia.com/houstonhangar.
(Left to Right: Mario Diaz, Director, Houston Airport System, Houston Mayor Sylvester Turner, Gary Kelly, Southwest Airlines Chairman and CEO, Original Houston Technical Operations Employees Brad Shelton, Paul Mould, B.J. Ritter, and Landon Nitschke, Southwest Airlines SVP of Technical Operations)
(Reuters) – JetBlue Airways Corp on Monday said it plans to become carbon neutral on all domestic flights by July 2020 and would use an alternative fuel source for flights leaving from San Francisco amid rising pressure to cut greenhouse emissions.
The aviation industry has been trying to combat climate change by trying to cut its greenhouse gas emissions in half by 2050 compared with 2005 levels and sees the emergence of lower-carbon biofuels as a vital step towards meeting this goal.
The industry’s plan rests on a mix of alternative fuel, improved operations such as direct flight paths, new planes and other technologies.
JetBlue in its attempt to reduce greenhouse gas emissions will favor renewable sources and will start using sustainable aviation fuel in mid-2020 on flights from San Francisco International Airport.
“By offsetting all of our domestic flying, we’re preparing our business for the lower-carbon economy that aviation – and all sectors – must plan for,” Chief Executive Officer Robin Hayes said in a statement.
JetBlue declined to give details about the cost of the exercise. It did not disclose if any other airports will be a part of the plan to reduce greenhouse gas emissions.
Sustainable-fuel, derived from sustainable oil crops or from wood and waste biomass, would have the single largest impact in reducing emissions from each flight by around 80%, but is in short supply, according to the International Air Transport Association (IATA).
(Reporting by Sanjana Shivdas in Bengaluru; Editing by Amy Caren Daniel and Aditya Soni)
A JetBlue aircraft comes in to land at Long Beach Airport in Long Beach
São José dos Campos, Brazil, December 30th, 2019 – Air Kiribati, the flag carrier of the Republic of Kiribati, received today its first E190-E2 jet. Embraer announced the contract with the Government of Kiribati, in partnership with its national airline, Air Kiribati, in December 2018. The airline ordered two E190-E2s and has purchase rights for two more.
“Aviation is critical for any island nation and Kiribati is no exception. Our Government has made the conscious decision to take into our hands the opportunity to unlock economic prosperity for our people and our nation through the purchase of these two aircraft,” said Hon. Willie Tokataake, Minister for Information, Communication, Transport and Tourism Development of the Kiribati Government. “The arrival of our first jet today is the culmination of three years of vision, strategic thought, government focus, research, evaluation, hard work, commitment, partnership and a good measure of problem solving.”
Air Kiribati is the launch operator for the E190-E2 in Asia Pacific. The aircraft will be configured in a dual class layout seating 92 passengers in total, with 12 seats in business class and 80 seats in economy class. Located in the central Pacific, Air Kiribati can now fly longer domestic and international routes than it currently does with its turboprop fleet.
“This is first E190-E2 delivered in the Pacific region,” said Cesar Pereira, Asia Pacific Vice President, Embraer Commercial Aviation. “We’re are honored that Air Kiribati selected the E190-E2 as the best fit for the airline’s challenging flying environment. The E190-E2 has cutting-edge technology and is the most fuel efficient and environmentally-friendly single aisle jet in the world. These attributes are extremely important for Kiribati.”
With a maximum range of up to 2,850 nautical miles, the E190-E2 can serve destinations throughout the vast expanse of Kiribati, including nonstop from Tarawa to Kiritimati (Christmas) Island, one of the most challenging routes in the Pacific. The current domestic flight from Tarawa to Kiritimati requires an international stopover in Fiji.
Spanning four time zones and comprised of more than 30 islands, Kiribati is the only country in the world to be in all four hemispheres. Embraer has been present in the Pacific since the first Bandeirante was delivered to a customer in Australia in 1978. The company continues to support operators across Oceania more than 40 years later.
The E190-E2 is the first of three new aircraft types in the E-Jets E2 family, developed to succeed the first-generation E-Jets. Compared to the first-generation E190, the E190-E2 burns 17.3% less fuel and nearly 10% less than its direct competitor. This makes it the most efficient single-aisle aircraft on the market. The E190-E2 generates significant savings for airlines in terms of maintenance costs. It has the longest maintenance intervals – 10,000 flight hours for basic checks and no calendar limit in typical E-Jets utilization. This means an additional 15 days of aircraft utilization over a period of ten years.
The E2 cockpit features advanced Honeywell Primus Epic 2 integrated avionics. Combined with closed-loop fly-by-wire controls, the systems work together to improve aircraft performance, decrease pilot workload and enhance flight safety. From a passenger perspective, the E2 cabin features a comfortable two-by-two layout. The absence of a middle seat enables passengers to have an enjoyable flight experience with more legroom and additional luggage storage space.
Embraer is the world’s leading manufacturer of commercial aircraft up to 150 seats with more than 100 customers across the world. For the E-Jets program alone, Embraer has logged more than 1,800 orders and 1,500 aircraft have been delivered. Today, E-Jets are flying in the fleets of 80 customers from 50 countries. The versatile 70 to 150-seat family is flying with low-cost airlines as well as with regional and mainline network carriers.
American Airlines has launched a reciprocal codeshare agreement with Morocco’s largest airline, Royal Air Maroc, to add new options for travel to Morocco starting Dec. 26.
American’s customers will be able to purchase select Royal Air Maroc flights to Casablanca, Morocco (CMN), which will provide seamless connecting service to Marrakech, Morocco (RAK). These flights are available for sale now for travel beginning December 26. The codeshare will expand to additional cities across the African continent in early 2020.
“Royal Air Maroc is a premier African carrier and their hub in Casablanca is perfectly situated to offer our customers convenient connections between North America and over 40 destinations throughout Africa,” said Vasu Raja, American’s Senior Vice President of Network Strategy. “With Royal Air Maroc’s upcoming entry into the oneworld® alliance and our recently announced service between Philadelphia and Casablanca, we are committed to creating more opportunities for our customers to visit unique destinations in Africa.”
Beginning in early 2020, the codeshare agreement will provide American’s customers access to popular destinations in Africa, including:
Abidjan, Cote d’Ivoire (ABJ)
Accra, Ghana (ACC)
Lagos, Nigeria (LOS)
Luanda, Angola (LAD)
Monrovia, Liberia (ROB)
The codeshare will also allow Royal Air Maroc customers to connect to new destinations throughout American’s domestic network beginning Dec. 26.
American will begin seasonal service to CMN June 4 as the only U.S. carrier with nonstop service to Morocco, which will be operated three times per week. Flights are available for purchase now.
