Tag: grow (Page 2 of 3)

Grupo Viva Aerobus Reports Financial Results for Fourth Quarter and 2020

February 23, 2021 / WIL BALDWIN

Mexico City, February 22, 2020. – Grupo Viva Aerobus today reported operating and financial results for 4Q20 and full year 2020, reflecting a recovery trend, amid the challenges of the pandemic, which began in the third quarter. This performance is the result of an adequate financial management, a strict expense control protecting the company’s liquidity and a responsible operational recovery which prioritizes health and safety for all passengers and staff.

During the 4Q, Viva Aerobus led the industry’s recovery, being the first airline in the Americas to resume 100% of its operational capacity, in November. Furthermore, Viva also consolidated as the first Mexican airline to grow its service at the end of the year by increasing its offer (available seats per kilometer) an 11% during December 2020 vs December 2019. In addition, the airline closed the year with 131 routes (103 domestic and 28 international), 12 more routes than the ones recorded at the end of 2019.

As a result of this recovery, added to an enhanced flexibility by permanently getting rid of charges for flight changes, Viva registered higher demand, closing 4Q20 with more than 2.9 million passengers, a 59% increase compared to 3Q2020. Moreover, the airline closed December with over one million of passengers registered, a similar figure reported in December 2019, before the pandemic.

This operational and passengers increase boosted the operating revenue to reach 3,237 million pesos in 4Q20, representing a 76.8% growth compared to 3Q20. Total operating revenue was composed 49% by fare revenue (1,589 million pesos) and 51% of ancillary revenue (1,647 million pesos). This revenue scheme represents the possibility that Viva Aerobus gives passengers to personalize their flights. Therefore, Viva takes care of their economy by offering low prices and giving the opportunity to pay only for what they need.

Due to this sequential increase in revenues, a positive EBITDAR was obtained for the second consecutive quarter, totaling 531 million pesos; this represented a sequential increase of 95% compared to 3Q20. Additionally, liquidity preservation stands out as attested in the cash and cash equivalents balance, recording 2,967 million pesos, a similar figure to the one reported in 3Q20. This reflects an assertive use of cash, taking advantage of an agile operational resumption, the support of the airline’s suppliers and the decisions to eliminate non-essential expenses.

These quarterly results softened the effects of the pandemic in the full year, considering that it was in the first half of 2020 when demand was most affected by the health emergency. Viva Aerobus registered more than 8.1 million annual passengers, a decrease of 32.4% compared to 2019. Consequently, total operating revenues reached 8,221 million pesos and EBITDAR totaled 946 million pesos, a 36.1% and 75.6% decrease, respectively.

To consult the full earnings report, please visit Viva Aerobus investor relations site: https://ri.vivaaerobus.com/en

Financial Indicators (MXN Million)	4Q20	4Q19	Ch. %	2020	2019	Ch. %
Total Revenue	3,237	3,728	(13.2%)	8,221	12,874	(36.1%)
EBITDAR*	531	1,122	(52.7%)	946	3,875	(75.6%)
EBITDAR Margin*	16.4%	30.1%	(13.7 p.p.)	11.5%	30.1%	(18.6 p.p.)
Operation (loss) income [EBIT]*	(427)	315	(>100.0%)	(2,619)	935	(>100.0%)
EBIT Margin*	(13.2%)	8.4%	(21.6 p.p.)	(31.9%)	7.3%	(39.1 p.p.)
Earnings Before Taxes (EBT)*	(791)	658	(>100.0%)	(3,881)	579	(>100.0%)
EBT Margin*	(24.4%)	17.7%	(42.1 p.p.)	(47.2%)	4.5%	(51.7 p.p.)
Net (loss) income*	(558)	420	(>100.0%)	(2,727)	469	(>100.0%)
Net Margin*	(17.2%)	11.3%	(28.5 p.p.)	(33.2%)	3.6%	(36.8 p.p.)

*Items not comparable with 2019 due to change in the functional currency conducted in 2020.

Operational Indicators	4Q20*	4Q19	Ch. %	2020*	2019	Ch. %
ASKs (million)	4,303	4,153	3.6%	11,670	15,080	(22.6%)
RPKs (million)	3,400	3,642	(6.6%)	9,393	13,374	(29.8%)
Total Passenger (thousands)	2,945	3,282	(10.3%)	8,123	12,019	(32.4%)
Load Factor (%)	79.0%	87.7%	(8.7 p.p.)	80.5%	88.7%	(8.2 p.p.)

Boeing Says More Freighters Needed to Support Global Supply Chains

November 17, 2020 / WIL BALDWIN

Boeing [NYSE: BA] today released its biennial World Air Cargo Forecast (WACF), reflecting COVID-19 impacts and opportunities as well as substantial long-term demand for freighters over the next two decades.

Enabled by a rebound in global trade and long-term growth, the WACF forecasts demand for 2,430 freighters over the next 20 years, including 930 new production freighters and 1,500 freighters converted from passenger airplanes.

According to the new forecast, world air cargo traffic will grow at 4% per year over the next 20 years. This growth is influenced by trade and growing express shipments to support expanding e-commerce operations. With these developments and the proven need for dedicated freighter capacity to support the world’s transportation system, the global air cargo fleet is expected to grow by more than 60% through 2039.

“Freighter operators have been in a unique position in 2020 to meet market requirements for speed, reliability and security, transporting medical supplies and other goods for people and communities around the world,” said Darren Hulst, vice president of Commercial Marketing. “Looking ahead, dedicated freighters will be even more critical to compete in air cargo markets; they carry more than half of air cargo traffic, and airlines operating them earn nearly 90% of air cargo industry revenue.”

In addition to projecting long-term demand for freighters, the WACF provides insights into air cargo performance during the pandemic, including the following:

– E-commerce, which was growing at double-digit rates prior to the pandemic, has accelerated its impact on the air cargo market as more businesses shifted to online selling platforms. Year to date through September, express carriers increased traffic by 14%

– Passenger belly cargo, which in 2019 accounted for about half of the world air cargo capacity, was significantly reduced when airlines parked thousands of planes. Freighter operators responded by operating above normal utilization levels, and traffic for all-cargo carriers grew 6%

– So far in 2020, approximately 200 airlines used more than 2,000 passenger widebody aircraft for cargo-only operations to generate cash flow and support global supply chains. These passenger freighters have taken up some of the capacity shortfall and, in some cases, generated quarterly profits for carriers despite minimal passenger operations

Hyatt Announces Opening of Three New U.S. Hotels

October 1, 2020 / WIL BALDWIN

Hyatt Hotels Corporation (NYSE: H) today announced the opening of three different distinct hotels across the United States. The new properties include the Grand Hyatt Nashville, Hotel Kansas City, part of The Unbound Collection, and the Hyatt Centric Center City Philadelphia.

The Grand Hyatt Nashville

“Hyatt remains committed to thoughtfully growing our full-service portfolio of brands across the United States,” said Pete Sears, Americas group president, Hyatt. “Hyatt’s purpose of care and our ability to offer guests a customized experience is at the center of these exciting new openings. We believe there is a strong pent-up demand for travel and these new Hyatt hotels are well positioned to offer locally inspired programming, curated experiences and elevated services which our loyal members and guests expect from Hyatt.”

Hotel Kansas City, part of the Unbound Collection

The Hyatt Centric Center City Philadelphia is a brand new built 332-room upscale lifestyle hotel that includes 22 suites centrally located in the heart of downtown Philadelphia. The hotel features contemporary guest rooms and amenities, with more than 5,000 square feet worth of meeting space, a lobby bar and restaurant with American cuisine, and a grab and go market.

Located in Philadelphia’s desirable Rittenhouse Square neighborhood, the location is steps away from tree-filled parks, outdoor gardens, splendid architecture, upscale dining, boutique shops, and a robust nightlife. Located eight miles from Philadelphia International Airport, Hyatt Centric Center City Philadelphia connects travelers with popular Philadelphia historical and cultural attractions in the museum district and Independence National Historic Park.

Hyatt Centric Center City Philadelphia

Korean Regional Carrier Hi Air Purchases Two ATR 72 Aircraft

June 30, 2020 / WIL BALDWIN

Airline doubles its fleet as domestic operations continue to grow

ATR today announces the sale of two ATR 72-500 aircraft from its asset management portfolio to Hi Air. With this purchase, the South Korean start-up, which began operations in December 2019 will increase its ATR fleet to four. The two additional aircraft will be delivered in August and October. Supported by the superior economics and versatility of the ATR 72, which burns 40% less fuel and emits 40% less CO2 than a comparable regional jet, the airline is already ready to grow its fleet and expand the number of routes it offers. This summer, Hi Air will launch services on five domestic routes, including to the popular tourist destination of Jeju Island. ATR aircraft are proven route openers, having opened 164 routes globally in 2019.

Hi Air’s capacity for growth at this time also illustrates the resilience of the regional aviation market which is likely to make a faster recovery, with domestic short haul routes proving to be the first to resume as countries around the world begin to lift lockdown restrictions. The airline continued to serve passengers during the Covid pandemic, ensuring connectivity to Korean communities. Regional aviation will continue to play an important role for communities and economies worldwide, ensuring vital access for families, businesses and essential supplies – supporting the economic recovery in a Post-Covid19 world.

HyungKwan Youn, Chief Executive Officer of Hi Air remarked: “Selecting the ATR 72 to begin operations has been important for Hi Air’s early success. Launching an airline is hugely challenging. To be successful, new airlines need an aircraft that is efficient, reliable and offers passengers a good in-flight experience. To be in a position already to expand our operations is because the ATR fulfills these criteria. At Hi Air, we believe that increasing regional connectivity in Korea will benefit passengers, communities and businesses and we look forward to continuing this mission with the support of ATR.”

ATR Senior Vice President Commercial, Fabrice Vautier, said: “Regional connectivity is more vital than ever and this is why the regional aviation segment will be resilient. In many countries, we are already seeing that domestic and regional routes are the first to return and in the case of Hi Air they continued to fly. Businesses, governments and people around the world are looking for solutions to this crisis and regional aviation has a key role to play. Our ATR aircraft have the right blend of economics and operational versatility to support airlines. Furthermore, with their advantage in fuel burn and CO2 emissions, they are the perfect solution to help aviation emerge from this global recovery as a more sustainable industry.”

Alaska Airlines Promotes Brooke Vatheuer to Vice President of Strategic Performance at Seattle Hub

March 11, 2020 / WIL BALDWIN

Alaska Airlines, Inc.’s board of directors today elected Brooke Vatheuer to the new position of vice president strategic performance – Seattle, where she will lead the airline’s growing, hometown hub at Sea-Tac International Airport.

Vatheuer, who previously served as senior vice president of operations and planning for Horizon Air, will be a champion for Alaska’s guests and employees as it continues to grow its operations at Sea-Tac. Vatheuer will be accountable for the guest experience, operational metrics, gate space areas, ground staffing, air space management and employee engagement at Sea-Tac. The new leadership role reflects the airline’s continued focus on Seattle as a center of national and global connections for guests traveling for both business and leisure.

Vatheuer has more than a decade of experience at Alaska Airlines and Horizon Air. She started with Alaska in 2007 as an internal auditor and quickly took on new positions and leadership roles in the following years, including managing director of audit programs. In 2017, she joined Horizon Air as vice president of finance and planning where she oversaw operational performance, led strategic planning and continued to improve processes, collaboration and engagement among Horizon’s frontline employees.

“Brooke is a talented executive with a lengthy history of experience at Alaska Air Group managing people and operations,” said Gary Beck, Alaska’s executive vice president and chief operating officer. “She has an astute understanding of the airline business. Her work in audit, finance, analytics, strategic planning and as the head of operations at Horizon Air enables her to deeply appreciate the intricacies of an effective operation. Our guests can look forward to an improved experience at Sea-Tac airport.”

Vatheuer earned a bachelor’s degree in business administration from the University of Washington, as well as a master’s degree in professional accounting. She is a certified public accountant.

Alaska Airlines and its regional partners fly 47 million guests a year to more than 115 destinations with an average of 1,300 daily flights across the United States and to Mexico, Canada and Costa Rica. With Alaska and Alaska Global Partners, guests can earn and redeem miles on flights to more than 800 destinations worldwide. Alaska Airlines ranked “Highest in Customer Satisfaction Among Traditional Carriers in North America” in the J.D. Power North America Airline Satisfaction Study for 12 consecutive years from 2008 to 2019. Alaska Airlines and Horizon Air are subsidiaries of Alaska Air Group (NYSE: ALK).

Delta builds employee diversity and inclusion strength during ‘Day of Understanding’

February 10, 2020 / WIL BALDWIN

By Emma Kate Protis

Core to Delta’s mission of connecting the world is our work to first reflect and respect the world. Often, misunderstanding can be one of our biggest barriers to connection.

To broaden understanding of ourselves, our world, our differences and all that we share, Delta hosted our second Day of Understanding with over 300 guests at the Delta Flight Museum in Atlanta.

The day was one pin on Delta’s map to seek diversity and promote inclusion, following Ed Bastian’s commitment to the CEO Action for Diversity & inclusion, a movement including more than 850 of the country’s leading CEOs and presidents to advance diversity and inclusion in the workplace.

Bastian hosted the event in partnership with the Office of Global Diversity and Inclusion and the Diversity and Inclusion Council.

“Our journey of diversity and inclusion at Delta is one of continuous progress. And it is not a journey we will win alone, nor a milestone that can be achieved overnight. Like the value diversity places on unique perspectives, it will take each of our unique commitments to seeing this succeed at Delta,” said Bastian. “I am personally invested in seeing Delta continue to grow and improve in this space, but it will truly take a shared responsibility from each member of the Delta family to make this a success.”

Eric Phillips, Senior Vice President – Pricing and Revenue Management and Chairman of Delta’s Corporate Diversity and Inclusion Council, added: “Diversity and inclusion is not this altruistic term. It’s a business imperative, and importantly, it’s a skill and a capability. We want to be world-class in diversity & inclusion the same way we’re world-class in operational reliability, the same way we’re world class in revenue generation, the same way that we’re world class in taking care of our customers.”

The event included a moderated training on how to have “R.I.C.H.” dialogues – which Reggie Butler, CEO of Performance Paradigms, calls conversations around race, identity, culture and heritage. Within the next 18 months, Delta is aiming to train people at every level of the organization with programs for employees and leaders at every level of the company to engage in a similar dialogue in smaller groups.“It’s our differences that add perspective and value that Delta needs,” said Keyra Lynn Johnson – Chief Diversity & Inclusion Officer. “As we talk about our similarities, I don’t ever want us to overshadow that our differences are an important part of what makes Delta unique. And we are going to put those differences to work today.”

D&I teams and employees from Coca-Cola, Expedia, The Home Depot, Korn Ferry, PwC, and UPS joined Delta’s event. Special guests also included Delta Board of Directors members Kathy Waller, William “Bill” Easter, and David Taylor.

“We have heard time and time again that it is the Delta people that make [diversity and inclusion] happen. And you ought to know that that is authentically said because in the boardroom we hear it each meeting,” said David Taylor, Chairman, President and CEO of The Procter & Gamble Company.

“To create a culture that’s truly inclusive, that unlocks the potential in this room and throughout the company… it’s going to be a force to be reckoned with. More than just the best company in your industry, you’ll impact so many people.”

Take the “I Act On” pledge to check your bias, speak up for others and show up for all here. Learn more about how Delta is seeking diversity, promoting inclusion and celebrating Black History this month here.

MGM To Sell Las Vegas Resorts To Joint Venture In $4.6B Deal

January 14, 2020 / WIL BALDWIN

MGM Resorts International (NYSE: MGM) said Tuesday that it plans to sell the MGM Grand and Mandalay Bay properties to a joint venture of MGM Growth Properties LLC (NYSE: MGP) and Blackstone Real Estate Income Trust, Inc. for $4.6 billion.

The Blackstone Real Estate Income Trust will purchase $150 million in MGM Growth Properties Class A shares. MGP will own 50.1% of the joint venture, and BREIT will own 49.9%.

MGM Resorts will enter into a long-term triple net master lease for the MGM Grand and Mandalay Bay and will continue to manage and be responsible for the properties on a day-to-day basis, with the joint venture owning the properties and receiving rent payments.

The transaction is expected to close in the first quarter of 2020.

“We are pleased to announce this partnership with BREIT, which illustrates the numerous opportunities available to grow our business and emphasizes the strong institutional demand for gaming real estate assets,” MGP CEO James Stewart said in a statement.

“Along with the contemplated cash redemption of $1.4 billion of MGM’s operating partnership units as announced by MGM, we expect this transaction to be accretive to AFFO while allowing us to maintain pro rata net leverage of 5.6x.”

MGM shares were down 0.45% at $33.22 at the time of publication Tuesday. The stock has a 52-week high of $33.87 and a 52-week low of $23.68.

Mongolian Airlines to Welcome First Boeing 787-9 Dreamliner

December 19, 2019 / WIL BALDWIN

The Dreamliner will open direct flights between Ulaanbaatar, Berlin, Paris and the West Coast of the U.S.

MIAT Mongolian Airlines (Mongolyn Irgenii Agaaryn Teever) will soon welcome the first Boeing 787-9 Dreamliner to its fleet, as the airline looks to connect its home base in Ulaanbaatar with major European and North American cities beginning in 2021.

The 787-9 – the longest-range version of Boeing’s Dreamliner widebody airplane – will join MIAT’s fleet via lease from Air Lease Corporation.

“Our vision is to become a globally recognized Mongolian national flag carrier, and we are making a significant step forward by adding the first 787-9 Dreamliner to our fleet,” said Battur Davaakhuu, President and CEO, MIAT Mongolian Airlines. “The Mongolian Dreamliner will fly our passengers direct and in unmatched comfort to their dream destinations. Today is a proud day for MIAT and for all Mongolians.”

The Mongolian flag carrier joins other airlines in Asia – including Hainan Airlines, All Nippon Airways and Vietnam Airlines – that operate long-distance routes using the super-efficient, long-range 787-9. The airplane can fly up to 7,635 nautical miles (14,140 km).

Los Angeles-based ALC purchased the airplane and is providing a long-term leasing agreement for its delivery to MIAT.

“ALC is honored to announce this significant lease placement with MIAT Mongolian Airlines and be the first to introduce the airline to the Dreamliner,” said Steven F. Udvar-Házy, Executive Chairman of Air Lease Corporation. “We are proud to support the national carrier as it expands its fleet with the most technologically advanced aircraft to connect Mongolia with the rest of the world.”

Since the 787’s introduction in 2011, Boeing has booked over 1,400 orders from more than 80 customers. The company will now count MIAT as its newest Dreamliner operator.

“It will be wonderful to see the 787 Dreamliner in MIAT Mongolian Airlines’ livery flying in and out of Ulaanbaatar and connecting Mongolia with key destinations across Asia and Europe. The airline has continued to build on its proud aviation history by modernizing its fleet and operations. We are honored MIAT has selected the 787 and its superior fuel efficiency and range to profitably grow their international network,” said Ihssane Mounir, senior vice president of Commercial Sales and Marketing at Boeing. “We are delighted to partner with leading lessor ALC, which has a tremendous portfolio of 787 Dreamliners and other advanced jets, to open a new chapter in MIAT’s history.”

The 787 Dreamliner – the fastest-selling widebody jet in history – allows airlines to reduce fuel use and emissions by 20 to 25 percent and serve far-away destinations. The combination of unrivaled fuel efficiency and long range has helped airlines save more than 36 billion pounds of fuel and opened more than 235 nonstop routes.

MIAT is a leading national carrier dedicated to connecting Mongolia with the rest of the world by providing air transportation services of the highest quality, reliability and efficiency. Based in Ulaanbaatar, the airline currently operates a fleet of four Next-Generation 737s, one 737 MAX and two 767 airplanes.

Boeing is the world’s largest aerospace company and leading provider of commercial airplanes, defense, space and security systems, and global services. As the top U.S. exporter, the company supports commercial and government customers in more than 150 countries. Boeing employs more than 150,000 people worldwide and leverages the talents of a global supplier base. Building on a legacy of aerospace leadership, Boeing continues to lead in technology and innovation, deliver for its customers and invest in its people and future growth.

Azul Receives the First Airbus A321neo in Brazil

November 12, 2019 / WIL BALDWIN

The aircraft is the first of 13 ordered and will allow the company to simultaneously grow its high-density domestic routes and reduce seat-cost

SÃO PAULO, Nov. 12, 2019 /PRNewswire/ — Azul S.A., “Azul”, (AZUL), the largest airline in Brazil by number of cities served and daily departures, receives today the first Airbus A321neo ever delivered in Brazil. Configured in a 214 seat layout and powered by CFM International’s Leap-1A engines, the aircraft is the first of 13 ordered. The airline has chosen the A321neo to fly its high-density domestic routes and will provide customers with an industry leading inflight experience, including larger overhead bins, mood-lighting and individual touch-screen inflight entertainment.

“The A321neo is an important milestone for Azul once it will allow the company to simultaneously grow its route network and become more efficient. Customers will enjoy the extra legroom of our Espaco Azul product as well as free unlimited snacks and drinks. The new Airbus will also feature individual seat-back touch screen entertainment with stored content and soon to come streaming live-TV and Wifi”, says John Rodgerson, CEO of Azul.

About Azul
Azul S.A., the largest airline in Brazil by number of flight departures and cities served, offers 910 daily flights to 114 destinations. With an operating fleet of 133 aircraft and more than 12,000 crewmembers, the Company has a network of 237 non-stop routes as of September 30, 2019. In 2019, Azul was awarded best airline in Latin America by TripAdvisor Travelers’ Choice and also best regional carrier in South America for the ninth consecutive time by Skytrax. In 2018, the Company was elected best airline by Kayak’s Flight Hacker Guide. Azul also ranked as most on-time airline in Brazil in 2018 according to FlightStats. For more information visit www.voeazul.com.br/ir

Air Lease Announces Placement of New Boeing 787-9 Aircraft with MIAT Mongolian Airlines

October 3, 2019 / WIL BALDWIN

Today Air Lease Corporation (AL) announced a long-term lease agreement with MIAT Mongolian Airlines for one new Boeing 787-9 aircraft. This aircraft, scheduled to deliver to the airline in Spring 2021 from ALC’s order book with Boeing, will be the first 787-9 to operate in Mongolia as well as the first Dreamliner in MIAT Mongolian Airlines’ fleet.

“It will be wonderful to see the 787 Dreamliner in MIAT Mongolian Airlines’ livery flying in and out of Ulaanbaatar and connecting Mongolia with key destinations across Asia and Europe. The airline has continued to build on its proud aviation history by modernizing its fleet and operations. We are honored MIAT has selected the 787 and its superior fuel efficiency and range to profitably grow their international network,” said Ihssane Mounir, senior vice president of Commercial Sales and Marketing for The Boeing Company. “We are delighted to partner with leading lessor ALC, which has a tremendous portfolio of 787 Dreamliners and other advanced jets, to open a new chapter in MIAT’s history.”

MIAT Mongolian Airlines currently operates two Boeing 737 MAX 8 aircraft and one 737-800 aircraft on lease from ALC.

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