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Virgin Australia Group Outlines Growth Plans to Support Tourism Recovery

BRISBANE, 15 April 2021: Virgin Australia Group has announced fast-tracked plans to acquire new aircraft, create more frontline jobs and grow its network to further support domestic tourism.

The recovery efforts include the reintroduction of 10 additional Boeing 737-800 aircraft and the planned return of more than 80 per cent of the airline’s pre-pandemic domestic capacity by mid-June. Network operational changes will also allow the airline to redeploy Boeing 737 aircraft to other parts of its network over the coming months.

After a year of rolling state-based restrictions, pent-up travel demand is supporting the launch of several new and expanded services and frequencies on key leisure and business routes. Virgin Australia Group is committed to maintaining a market share consistent with its pre-COVID position.

Commitment to Jobs

The creation of more roles at the Company will see more than 220 cabin crew return to the skies from the airline’s discontinued long-haul international, ATR regional and Tigerair Australia operations. The new recruits will join one of 15 cabin crew training schools over the next two months. 

In addition, a major recruitment drive to fill more than 150 new cabin crew roles, including an expression of interest for future positions has also begun today, with applications from other Virgin Australia employee groups being assessed as a matter of priority. External expressions of interest can be made via the airline’s careers website.

Fleet and Network

The Company has finalised arrangements to re-introduce 10 Boeing 737-800 aircraft which had previously been operated by Virgin Australia, with further aircraft under investigation. The first three aircraft will join the airline’s mainline fleet this month while the remainder are set to progressively enter service by October.

The Company is finalising wet lease arrangements with Alliance Airlines to operate Fokker 100 services on behalf of Virgin Australia between Brisbane-Alice Springs and Brisbane-Mt Isa from 19 April 2021. The move will allow Virgin Australia to explore more efficient ways of managing capacity and frequencies to support choice and convenience for regional customers.

Using an Airbus A320 aircraft, Virgin Australia Regional Airlines (VARA) will also move to operate select services on mainline routes between Perth-Darwin, Perth-Broome and Perth-Adelaide from next month. These arrangements will support the redeployment of the Boeing 737 aircraft to other markets.

Between now and the June school holidays, the airline will add more than 220 return flights per week to its schedule, offering new and extended seasonal services and expanded frequencies on key business and leisure routes. Trans-Tasman services to Queenstown are set to recommence ahead of school holidays on 18 September 2021.

KiwiRail Announces New Auckland Southern Station Locations

KiwiRail and the Supporting Growth Alliance (Auckland Transport and Waka Kotahi) have today confirmed their proposed sites for three new stations in southern Auckland and will now begin more detailed consultation with stakeholders about their development.

Over the next 30 years, an extra 120,000 people are expected to live in the area, which will also have 40,000 new houses and 38,000 new jobs. The development of the new stations and their associated facilities will be staged over time to coincide with demands from developments feeding each location. 

KiwiRail has been given funding through the Government’s NZ Upgrade Programme for the first phase of development.

The locations for the new stations are designed to maximise connections with future town centres, new housing, and other public transport routes.

The aim is ensure the wider area has a robust public transport system to enable long-term housing and business growth. Other factors considered included the existing railway track alignment, the distance between stations, and environmental and ecological features.

The fully developed stations will have a bus interchange and Park & Ride facilities along with other infrastructure. We are working to confirm the exact footprint which will be needed for the associated facilities for the fully developed stations and will then begin the process of protecting the land.

Waka Kotahi National Manager System Design Robyn Elston says: “We are focusing on how longer-term road and rail projects can give people more connected public transport choices and help them move around safely and easily. We’re looking forward to talking to communities about how to make these projects happen.”

The planned railway stations are part of the $2.39 billion of transport improvements in southern Auckland that Waka Kotahi and KiwiRail are delivering as part of the Government’s New Zealand Upgrade Programme.

Other improvements will include SH1 Papakura to Drury South, Mill Road and Papakura to Pukekohe rail electrification. They are part of a longer term transport network being investigated and delivered to support growth in south Auckland.

Public information sessions on the rail developments in Southern Auckland are being held in Drury on February 18th and Pukekohe on February 20th.

The proposed locations for the three stations are:

  • Drury Central will be located on the existing rail line south of Waihoehoe Road, between Flanagan and Great South Roads.
  • Drury West will be located on the existing rail line, about 450 m south of the existing intersection of SH22 / Karaka Road and Jesmond Road.
  • Paerata will be located on the existing rail line, adjacent to the planned eastern extent of the Paerata Rise development.

Airbus Signs Contract for 38 Eurofighters with Germany

Airbus has signed a contract to deliver 38 new Eurofighter aircraft to the German Air Force. This makes Germany the largest ordering nation in Europe’s biggest defence programme. The order, also known by its project name Quadriga, covers the delivery of 30 single-seater and 8 twin-seater Eurofighters. Three of the aircraft will be equipped with additional test installations as Instrumented Test Aircraft for the further development of the Eurofighter programme.

Dirk Hoke, CEO Airbus Defence and Space, said: “The new Tranche 4 Eurofighter is currently the most modern European-built combat aircraft with a service life well beyond 2060. Its technical capabilities will allow full integration into the European Future Combat Air System FCAS”.

The renewed order from Germany secures production until 2030 and comes at a strategically important time for the programme. In addition to an expected Eurofighter order from Spain to replace its legacy F-18s, procurement decisions in Switzerland and Finland are imminent in 2021.

The variant offered in Switzerland corresponds to the configuration of the German Quadriga order. The equipment includes the world’s latest electronic radar, future-proof hardware and software and unlimited multi-role capability for engaging air and ground targets.

Eurofighter is Europe’s largest defence programme, in which the United Kingdom, Spain and Italy are involved alongside Germany. In addition to technological capabilities, it secures more than 100,000 jobs in Europe.

Leonardo Joins Adelaide’s Lot Fourteen Space Precinct

– Partners with SmartSat CRC

Leonardo commits to the South Australian space ecosystem establishing a foothold for its space service business – through its subsidiary e-GEOS – in partnership with SmartSat CRC. e-GEOS is a joint venture between Telespazio – Leonardo’s subsidiary – and the Italian Space Agency.

The news was warmly welcomed by the local community and by the Premier of South Australia Hon. Steven Marshall who recently welcomed Leonardo at Lot Fourteen. “South Australia is the defence and space capital of the Country and it’s fantastic to see another incredible international company choosing South Australia to do business” he commented. “The strong interest being shown by major national and international players is a coup for South Australia and is further evidence that Lot Fourteen is a magnet for business and jobs. The addition of Leonardo to Lot Fourteen cements my governments strong commitment to create a once in a generation hub that will generate thousands of jobs for South Australians now and into the future.” Hon. Marshall stated.

As a dominant worldwide supplier in the space sector, Leonardo aims to collaborate with the Australian space industry to stimulate local growth and competitiveness in global markets.

In 2019, Leonardo Australia through the involvement of e-GEOS (a joint venture between Telespazio – Leonardo’s subsidiary – and the Italian Space Agency), became a supporting partner of Adelaide-based space Cooperative Research Centre SmartSat CRC.  Leonardo Australia’s partnership with SmartSat is a key driver in the company’s strategy to grow its presence in the space industry within the Oceania region and to develop joint research and commercialisation opportunities. As prominent provider of the European Copernicus program, e-GEOS supports rapid security and disaster response operations all over the world, including providing Australian fire authorities rapid mapping during recent bushfires.   

Leonardo Australia is the regional subsidiary of Leonardo, a global top ten high technology Defence and Space company with annual revenues of 23 bn AU$.  

Mr George Coulloupas of Leonardo Australia (Business Development Manager – Space) is leading Leonardo Australia’s Space Line of Business based at Lot Fourteen. George has extensive Australian-based experience in start-up innovation, space-derived service commercialisation and primary.

Air France-KLM’s Future in Doubt Without Cost Cuts – Dutch minister

AMSTERDAM (Reuters) – Air France-KLM <AF.PA> might not survive its current crisis if the airline group cannot lower its costs, Dutch Finance minister Wopke Hoekstra said on Sunday.

“The survival of Air France-KLM is not a given,” Hoekstra said in an interview on Dutch public television.

“They will have to address their cost base even as things stand now. And suppose this situation lasts until the end of next year, then they will have to cut even deeper.”

Air France-KLM’s immediate future was secured by the French and Dutch governments in July, as they provided a total of 10.4 billion euros ($12.3 billion) in bailout loans and guarantees to help the group survive the disastrous effects of the COVID-19 pandemic on air travel.

In return for the support, Dutch arm KLM has said it would cut another 1,500 jobs, reducing its staff by 20%, while a pay hike agreed for 2020 was frozen by the company.

French arm Air France plans to cut 6,500 jobs, or 16% of its workforce, through 2022.

So far, however, KLM has failed to reach an agreement with unions on the cuts needed to meet the requirements set by the Dutch government.

Hoekstra indicated a thorough restructuring would be necessary for governments to contemplate further support.

“KLM will always be very important for the Dutch economy. But the question is whether that will be enough”, he said.

Air France-KLM said last month that it was losing 10 million euros per day due to the coronavirus crisis.

(Reporting by Bart Meijer; Editing by Susan Fenton)

KiwiRail Supports Prisoner Reintegration with Railway Jobs

A Northland programme to help prisoners rejoin society by building their skills and confidence through rail work is an exciting new initiative which will benefit the community, KiwiRail Group Chief Executive Greg Miller says.

Regional Economic Development Minister Shane Jones has announced $640,000 funding for KiwiRail’s “Second-Steppers” programme, which will provide training and support for the reintegration of 20 prisoners back into Northland’s community.

“Government investment to revitalise Northland’s rail line is already supporting local businesses and creating jobs in Northland. This additional funding means KiwiRail will be able to give something more back to the community,” Mr Miller says.

“Everyone knows how difficult it can be for prisoners to successfully reintegrate into the community. Giving them steady work, mentoring and manaaki tānga will enable them to learn new skills and assist with rebuilding their dignity.

“To start with, five carefully selected and vetted prisoners from Northland Region Corrections Facility, near Kaikohe, will be carrying out ‘release to work’ for us for six months. They’ll each go through a special course that provides a combination of health and safety, track maintenance, and personal development training. They’ll also be learning in an environment that offers Kaitohutohu (mentors) who can help support the growth of each participant.

“We’ve been building our workforce in Northland, and we want to bring on more local staff. This programme is designed to help up-skill the prisoners, with the intention to offer them full time work at the end.

“KiwiRail has a strong Māori network, and we want to inspire our next leaders and strengthen whakawhanaungatanga (relationships) with the communities around our rail operations.

“Rail will help to transform Northland and supporting prisoners to rejoin and contribute to society is a small but important part of that effort.”

KiwiRail expects the first group of five prisoners to begin work at our Whangarei Rail Depot in late September/early October. In total, 20 prisoners are expected to go through the Second-Steppers programme over the next two years.

KiwiRail is working with Corrections in selecting prisoners for the programme. There is a thorough pre-approval process and a number of factors are taken into account when assessing a prisoner’s suitability, including the prisoner’s security classification, their release and parole eligibility dates, their behaviour and potential impact on victims. Prisoners will be subject to electronic monitoring while on our sites and while travelling to and from Northland Region Corrections Facility each day.

Siemens Mobility Awarded Billion-Euro Order for Deutsche Bahn High-Speed Trains

Beginning in 2022, DB will expand its mainline fleet with 30 new high-speed trains. Deutsche Bahn has awarded the billion-euro order to Siemens Mobility. DB called for tenders at the end of 2019 when the federal government announced it would be reducing the value-added tax on mainline rail tickets as of the beginning of 2020.

The trains will initially run on routes between the state of North Rhine-Westphalia and Munich via the high-speed Cologne-Rhine-Main line. The new trains will increase DB’s daily passenger capacity on these mainline routes by 13,000 seats.

Dr. Richard Lutz, CEO of Deutsche Bahn AG said: “Today marks a big step for a strong and environmentally friendly rail system: DB is investing in new trains at a record level. Our fleet will be getting state-of-the-art additions with the new ICE trains, and our passengers will benefit from more seats, greater comfort and higher speeds by the end of 2022. The entire DB fleet will grow by 20 percent over the coming years. Even though demand has sharply declined due to the corona pandemic, everything speaks in favor of climate-friendly rail transport for the longer term. That’s why we’re committed to growth!”

Andreas Scheuer, Germany’s Federal Minister for Transportation and Digital Infrastructure, commented: “The new, ultra-modern ICE trains make rail travel even more attractive – also because high-performance high-speed trains, along with modern rail infrastructure, are a key prerequisite for increasing the frequency of nation-wide rail service. With this move, rail is increasingly becoming a climate-friendly alternative for long-distance travel. The order is also a strong economic stimulus and therefore a positive signal for many employees in the rail industry and their families. With an order of this size, we are securing thousands of jobs and strengthening innovations made in Germany.”

“We are helping Deutsche Bahn implement its master plan for transforming Germany’s transport sector. The goal is to massively reduce CO2 emissions while at the same time attracting more people to public transport,” said Roland Busch, Deputy CEO andMember of the Managing Board of Siemens AG. “Siemens and DB have long enjoyed a highly successful partnership. The most important requirement for the ICE order was to get the new trains on the rails very quickly. We can do exactly that by relying on our proven Velaro platform.”

By 2026, 421 ICE trains with 220,000 seats will be operating on Germany’s rail system. In addition to the 30 new ICE trains just ordered, there is an option for an additional 60 trains.

The new ICE trains will be manufactured at Siemens locations in North Rhine- Westphalia, Bavaria and Austria. Technically, the train is based on the proven platform of the ICE 3. The new trains will have 440 seats and a top speed of 320 km/h. They will offer passengers greater comfort and convenience with features like frequency- transparent windows for stable mobile phone reception and space for transporting bicycles.

Tesla Reports Q2 Profit, Announces Texas Gigafactory

Tesla (TSLA) posted a surprise second-quarter profit last week on cost cutting and strong deliveries, offsetting the effects of its Covid-19 related factory shutdowns. The report may help the electric vehicle manufacturer gain inclusion into the S&P 500 index (^SPX).

Tesla announced earned net income of $104 million for the quarter, or $0.50 per share. This marks the first time the company has posted four straight quarterly profit, a benchmark for the company to be considered for inclusion in the highly coveted S&P 500.

This marks another major win for Chief Executive Elon Musk, whose quest to lead the global auto industry with Tesla, and the aerospace industry with SpaceX, has increasingly been making major leaps forward.

Musk said last Wednesday that the city of Austin, located in Travis County, would be the site of Tesla’s newest factory. The victory for Texas comes at a loss for Oklahoma, which also was seeking to have the factory land in Tulsa. The facility seeks to create as many as 5,000 new jobs. The County offered up to $65 million in tax rebates to entice the company, and plans to begin construction in the third quarter.

The additional plant is slated to produce Model 3 and Model Y vehicles for the Eastern half of the United States, as well as a potential new Tesla Semi truck and its Cybertruck pickup. Elon Musk has stated that his cars are not affordable enough yet for the average consumer, and he hopes to develop a plan to address that issue.

The company also needs to address its growing need for affordable battery cell production, and is looking to expand its partnerships with Panasonic Corp <PCRFY> and Contemporary Amperex Technology of China (CATL) <300750.SZ>.

Safran Shares Lifted by Boeing 737 MAX Restart Plan

Outbreak of the coronavirus disease (COVID-19) in Renton, Washington

PARIS (Reuters) – Safran <SAF.PA> shares rose on Thursday after Boeing <BA.N> said it would restart production of its 737 MAX jet and announced further cost-cutting measures.

Shares in the French aerospace firm, which co-produces the 737 MAX’s engines with General Electric <GE.N>, were up 2.2%, while Airbus <AIR.PA> shares were 0.7% higher.

Boeing said on Wednesday it was eliminating more than 12,000 U.S. jobs, including 6,770 involuntary layoffs, as the largest American planemaker restructures in the face of the coronavirus pandemic. The move nevertheless lifted Boeing’s shares.

The U.S. rival to Airbus said it had restarted 737 MAX production at a “low rate” at its Renton, Washington factory. Reuters reported in April that regulatory approval for the MAX was not expected until at least August.

(Reporting by Sudip Kar-Gupta; Editing by David Goodman and Alexander Smith)

The Safran company logo is pictured at the company’s logistic area in Colomiers near Toulouse

Next Step for New Generation Interislander Ferries

KiwiRail is taking the next step to procure a new generation of Cook Strait ferries which will increase the capacity on this vital transport link, and increase its resilience.

A Request for Proposal (RFP) to find a preferred shipyard to build two new ships for the Interislander is being issued today, the next step in the procurement process. 

“The new ships will strengthen and enhance the vital transport link between the North and South Islands and represent a once-in-a-generation opportunity to transform the Cook Strait crossing,” Group Chief Executive Greg Miller says. The ferries are extensions of State Highway 1 and the Main Trunk Line across Cook Strait, linking road and rail networks between the two islands.

Currently, Interislander operates a fleet of three ferries, moving some 800,000 passengers and up to $14 billion worth of road and rail freight between the North and South Islands each year.

The $400 million contribution in Budget 2020 has enabled KiwiRail to go out to international tender to build the new ships, which are intended to arrive for service in 2024 and 2025. When the ferries are delivered, it will be over 25 years since New Zealand last introduced a brand-new purpose-built ferry to its fleet.

The $400 million towards the ferries and KiwiRail’s infrastructure at the ports in Wellington and Picton builds upon a $35 million-dollar investment in last year’s Budget for ferry design and procurement work.

The two new ferries will be technologically advanced, have significantly lower emissions, a greater carrying capacity – including rail wagons – and provide an enhanced visitor experience, Mr Miller says.

“On behalf of New Zealanders, we are grateful to the Government for enabling this acquisition,” says Mr Miller. “It is exciting to issue this RFP, to move the project forward and to find a shipyard to partner with KiwiRail to deliver the ships to our specifications, quality and timeline requirements.”

“Only overseas shipyards have the ability to build ferries of the size and standard needed for the Cook Strait. However, the project also involves new infrastructure including terminals, linkspans, and marshalling yards which will create numerous Kiwi jobs in Picton and Wellington. Community engagement has already begun in Picton for the proposed new terminal there. 

“We are engaging our Interislander staff in the design of the ferries to ensure the ships are not only great for passengers, but also for those who work on them.

“Our new ferries and the associated port infrastructure will provide greater resilience for this crucial link that unites our country and will serve New Zealand for the next generation and beyond.”

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